Asset Management

The county initiated a formal asset management program for the collection system nearly ten years ago. The three-phase program (asset inventory, criticality, and condition assessment) was designed to initially identify and correct sewer line problems, then to integrate engineering, finance, and operations and maintenance efforts into a comprehensive inflow/infiltration management program.

To attain a financial position to support proactive asset management, the county substantially revised its fiscal policies and financial planning process to include, among other considerations, proactive maintenance and long-term funding of capital reinvestment projects. As a result, the county attained a financial position that enables it to support the program’s long-term funding needs for asset management.

Here’s where we are:

1. Annual preventive maintenance expenditures of approximately $7-8 million/year.
2. A competitive sewer service charge that adequately covers the costs for preventive maintenance as well as O&M and debt.
3. Annual SSOs and backups that are well below industry averages.
4. Annual O&M expenses with little variance from year to year. 
5. A debt coverage ratio routinely greater than 1.5.

Here’s what we’ve done:

1. An active sewer repair and lining program to extend the useful life of the sewer system.
2. An ongoing modernization program to upgrade sewer pumping stations and treatment facilities.
3. An aggressive facility inspection program.
4. A proactive engineering support group that assures availability of conveyance and treatment capacity to avoid any sewer moratoriums.
5. A financial planning and fiscal control program that assures funding availability and can readily comply with GASB-34 reporting requirements associated with asset management.
6. An organizational leadership philosophy that supports preventive maintenance, equipment replacement, and facilities upgrade programs as well as coverage of pay-as-you-go capital improvements through service charges.
7. A rate stabilization program to steadily raise rates that have minimal adverse effect on sewer customers.

Here’s what we’ve learned:

Collaboration and integration of the financial, engineering, operations, maintenance, and administrative functions are essential to properly manage the infrastructure assets and sustain a competitive wastewater management program.

Competitive rates and minimum SSOs are drivers as well as outcomes of the Asset Management Program. Availability of funds, a passion to minimize SSOs/backups, and administrative support from senior management are critical success factors.

GIS, outsourcing, and asset records (construction dates, costs, materials, slopes, and maintenance histories) are leveraging tools for enhancing the asset management process. Linkage of information databases will be a critical next step; e.g., maintenance histories, capacity utilization, locations of SSOs/backups, and asset features could be linked and analyzed to generate CIP needs. Other drivers are a passion to be best in class, availability of trenchless technologies, knowledge of sewer line crack formations, new diagnostic tools, and inspection methods (TV cameras, robots).

Assert management works for us by supporting system growth, keeping O&M costs in check, and minimizing SSOs and system backups. Asset Planning works for us by assuring capacity availability and identifying funding needs in advance. Asset strategies work for us by minimizing system failures and extending useful lives of physical assets.