INTEGRATING CAPITAL PLANNING AND ASSET MANAGEMENT
Abstract:For more than 20 years, the Fairfax County, Va. Department of Public Works and Environmental Services has had an active financial planning and management program in place to ensure that the County's Integrated Sewer System's (the System) financial needs are met. From its inception, the financial management program has focused on providing managers with the information necessary to optimize financial decisions and maintaining significant cash reserves to provide flexibility to optimize capital project funding source selection.
The County, like many utilities, has planned for capacity needs going well into the future. However, with much of the necessary infrastructure in place and ready to serve its customers, the County is transitioning from a Capital Improvement Plan (CIP) that included a number of upgrade/expansion projects to a CIP that is focused on Renewal and Replacement (R&R) projects designed to maintain the System's performance. Historically, large CIP projects have served as a vehicle for identifying and funding R&R projects, especially at the County's treatment facility. With the anticipated reduction of large CIP projects over the next several years, it was necessary for the Wastewater Management Program (WWM) to develop a new process for identifying and budgeting R&R projects to ensure the System's financial performance, level of service, and environmental compliance are maintained on an ongoing basis.
WWM selected a condition-based approach for the R&R program to support the Asset Management Program's goal of implementing a formal condition management program for all System assets. WWM's initial goals were to quickly implement the R&R program and accurately assess the System's future funding needs based on asset condition. Because it was not practical or cost effective to begin a full-scale condition assessment program for all System assets, the WWM chose to first focus on “Critical” System assets, prioritizing the asset condition assessments based on the consequence of the asset's failure. Based on carefully selected criteria that reflected and supported the overlying Asset Management Program Goals, the prioritization included measures based on level of service, environment impacts, public and employee health, life and safety, and estimated cost of replacement. This paper outlines the process implemented by WWM for determining an asset's criticality.
Document Type: Research Article
Publication date: 2005-01-01
More about this publication?
- Proceedings of the Water Environment Federation is an archive of papers published in the proceedings of the annual Water Environment Federation® Technical Exhibition and Conference (WEFTEC® ) and specialty conferences held since the year 2000. These proceedings are not peer reviewed. A subscription to the Proceedings of the Water Environment Federation includes access to most papers presented at the annual WEF Technical Exhibition and Conference (WEFTEC) and other conferences held since 2000. Subscription access begins 12 months after the event and is valid for 12 months from month of purchase. A subscription to the Proceedings of the Water Environment Federation is included in Water Environment Federation (WEF) membership.
WEF Members: Sign in (right panel) with your IngentaConnect user name and password to receive complimentary access. Access begins 12 months after the conference or event
- Subscribe to this Title
- Membership Information
- About WEF Proceedings
- WEFTEC Conference Information
- Learn about the many other WEF member benefits and join today
- Ingenta Connect is not responsible for the content or availability of external websites