How To Improve The Health Of The Corps



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Southwestern Division Program Overview SAME Dallas Post February 2014 Meeting Mr. Robert E. Slockbower, P.E. Director of Programs Southwestern Division, Dallas, TX 20 January 2015 US Army Corps of Engineers

Southwestern Division Leadership Team Brig. Gen. David C. Hill SWD Commander Colonel Richard J. Muraski, Jr. SWD Deputy Commander Mr. Robert E. Slockbower, SES Director of Programs Mr. Pete G. Perez, SES Director of Regional Business LTC William N. Craig, III Ft Worth District Commander (Acting) Colonel Richard P. Pannell Galveston District Commander Colonel Courtney Paul Little Rock District Commander Colonel Richard A. Pratt Tulsa District Commander

Southwestern Division Footprint

Civil Works Southwestern Division Major Mission Areas Military Programs Interagency & International Services

Civil Works Mission Areas Water Supply Water storage enough to provide water to 4.5 million people or More than 70% of the Corps water supply Inland Navigation (MKARNS & GIWW) MKARNS: 18 locks & dams 423 miles of GIWW Hydroelectric Power 18 power plants in 6 states produce 6.7 billion kw hours 87% of regional capacity, second in the Corps Generates power to 8 million customers in six states Flood Damage Reduction 74 flood damage reduction lakes/reservoirs 33.22M acre-feet of flood storage 760 miles of local flood protection projects $85 B in cumulative flood damage prevention Lake Lavon, Texas Dallas Floodway Regulatory (work in waters & wetlands) Regulators examine soils on a wetland delineation field visit. Bull Shoals Powerhouse Arkansas Eufala Lake, Oklahoma Recreation 20 percent of the Corps' total recreation projects located within the regional boundary 75 million visitors at 90 operating projects located in five states Navigation (Ports and Channels) 3 of the Nation s Top Ten ports 32 channels (15 deep draft, 17 shallow draft) More than 500 M tons of commerce annually Houston Ship Channel

Civil Works Total SWD Appropriations (FY04-FY15) / Program (FY16) 1,600,000 1,400,000 1,200,000 1,000,000 800,000 600,000 400,000 ARRA FCCE SUPP REG O&M CAP CG GI 200,000 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 7

Southwestern Division Infrastructure Strategy Means Ways End Process Improvement Strategic Partnerships Sustain Existing Infrastructure Major & Routine Maintenance Major Rehabilitation Projects (i.e., Dam Safety) Prioritization of Available Funding (Budget) Non-Federal Modifications (408s) SWD Value Proposition: Sustainable Communication CW Transformation Transparency Re-purpose Existing Infrastructure Reallocation of Storage (M&I Water Supply) Expansion & Major Rehabs Non-Federal Modifications (408s) New Infrastructure Streamlining Regulatory/408 processes Federal Studies for new Infrastructure Improvements Public /.Private / Partnerships infrastructure relevant for sustained economic growth Stakeholder Community of Practice 10

Dam Safety Program

MKARNS Means Ways End Communication Transparency Stakeholder Community of Practice Mission Execution 1-2 year Maintenance Planning Personnel & Plant Forecasts Performance Metric Development & Monitoring Capital Investment Long-range Planning (3-5 years) Plant Replacement & Improvement Program (PRIP) Studies (Expansion & Major Rehabs) Business Strategy Optimize Federal to solve challenges to reliability Understand and harmonize with State plans Understand and harmonize with industry plans Develop contracting strategy Sustained Learning Incorporating Lessons-learned Adopting Best Practices Developing Training Standards MKARNS reliable, resilient and relevant and promote growth for future generations.

Lifecycle Portfolio Management - Ideal Process Flow Define appropriate data and IT solutions for linked maintenance execution and budget development Assets Condition Mission Risk Value to Nation Budget Inventory Age Failures Repairs Cycles Etc. Full Maintenance Requirements Inventory & Condition Condition Consequences P(f) Budget Development Risk Buy-down and Investment Budget Prioritization Portfolio Analytics & Total Risk Exposure Work Management & Communications -Local -Regional -National Benefits 6 information elements required for effective Lifecycle Portfolio Management: Inventory Condition Consequences Requirements Prioritization Execution 13

Texas Gulf Coast Means Ways End Process Improvement CW Transformation Communication Strategic Partnerships Transparency Stakeholder Community of Practice Improve our Ports (Deepen / Widen / Safety / Capacity) Sustain Federal Projects (Dredging / PA Mgmt / GIWW maintenance) Support non-federal Investment (Regulatory, Outgrants, SEC 204/408, MOAs) Protect our Shorelines (Storm Damage, Ecosystem Restoration, Levee Cert) The Texas Coast navigation system is protected & resilient, positioned for sustainable economic growth with strategic partnerships that support non-federal investment.

USACE Southwestern Division Regional Priority Port of Houston Port of Port Arthur Port of Beaumont Port of Texas City Port of Galveston Matagorda Port Freeport Port of Victoria Sabine Neches Waterway Houston Galveston Navigation Channel Port of Corpus Christi Matagorda Ship Channel Channel to Freeport Gulf of Mexico Texas is #2 in the nation for maritime commerce, accounts for more than $400 billion in economic value and 2.3 million jobs nationally which helps to generate more than $34 billion in local and state tax revenue each year. Corpus Christi Ship Channel When the Panama Canal Expansion opens in 2016, ports must expand their capacity via land-and-waterside improvements to accept these ships. The Texas navigation system has post-panamax projects ready for construction and studies are completed for deepening Port Freeport, Corpus Christi Ship Channel and the Sabine-Neches Waterway to depths that would allow post -Panamax ships to call. Port of Brownsville Mexico Brazos Island Harbor Legend Current Depth Authorized Depth Ongoing Studies

Coastal Texas Study Regions Region 2 Region 1 Region 3 Region 4

Multipurpose Reservoir & Water Supply Means Ways End Communication Transparency TWCA TWDB TRISTATE REGIONS Sustain Long-range Planning (3-5 years) Major Maintenance and Routine Maintenance Planning Budgets Modify Water supply contracts Dam Safety IRRMS and Major Rehab Reallocation Studies Enable Incorporating Lessons-learned Adopting Best Practices Planning support Regulatory Policy/Legislation Sustainable infrastructure and be relevant to water supply in Texas. 17

Water Supply in USACE Reservoirs 9.3 Million Acre-Feet of Storage for Municipal, Industrial or Agricultural Use - 36% of potable water for Texas - 35% of potable water for Oklahoma - 50% of potable water for Kansas 18

Planning Modernization Civil Works Transformation USACE Infrastructure Strategy (UIS) Strategic Communications Lifecycle Portfolio Management UIS Comprehensive Watershed Approach Climate Change Alternative Resourcing & Delivery Budget Development 19 Deliver Quality Services

Narrowing the Gap with Alternative Financing $20,000 CW Funding Requirements $15,000 Gap $10,000 O&M Efficiencies/Optimization Non-Appropriated CW Budget $5,000 Appropriated CW Budget $0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 20

Alternative Resourcing & Delivery Objective Deliver Future Value USACE PROJECTS Options range from: Contributed funds Leases Contracting of O&M Transfer of Assets Build upon Partners Goals and Objectives Next Steps: 1. Communicate options with Partners 2. Work with Partners to Identify potential projects 3. Build Capacity (Assess Authorities) Corps O&M Projects Contributed Funds Outgrant (Lease ) Contract O&M Transfer 21

Military Missions Engineering Construction Installation Support Environmental Engineering/services Interagency & International Services Air Defense Artillery School Fort Sill Support to Department of Homeland Security Little Rock AFB Security Forces Operations Facility BRAC Program Fort Bliss San Antonio Military Medical Center Medical Education &Training Complex (METC) Dorm #1 Lackland AFB Future Fort Hood Hospital

SWD Military Programs 4,000 $ Millions 3,500 3,000 2,500 2,000 1,500 1,000 500 REIMB ARRA DOD BRAC AF BRAC Army BRAC DOD MILCON AF MILCON Army MILCON 0 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 Significant reduction in MILCON; Sustainment, Restoration, Modernization (SRM) becomes larger part of program KC-46A MILCON program at Altus AFB and Tinker AFB

Military Missions: Lines of Operation MILCON SRM Master Planning Asset Mgt Sustainability /Energy Environmental Real Estate 24

MILCON SWD Military Missions Program Trends & Focus Areas More scrutiny on lesser number of projects (e.g. new scope policy, change management process, etc.) No appetite for cost increases above Programmed Amount (PA) Continued emphasis on Value Engineering New Sustainability/Energy policies on design/construction KC-46A Program future projects at Tinker AFB 25

SRM SWD Military Missions Program Trends & Focus Areas More centralized management of large R&M projects by Army/AF Medical SRM for AF and Army (enterprise mission) Incorporate Sustainability/Energy and Value Engineering Developing SRM Wizard to speed up RFP development process 26

SWD Military Missions Program Trends & Focus Areas Asset Management Trend: Flat, with potential to grow Provide customers with a lifecycle portfolio of Asset Management services BUILDER implementation Existing enterprise missions: DLA, AFCEC, AF Medical Svc Potential Support Opportunities: Army (IMCOM, AMC), NNSA Future: Link Master Planning, Sustainability/Energy and BUILDER Linear Segmentation (utilities) 27

Military Missions Program Trends & Focus Areas Master Planning Trend: Small, growing program Continue to develop competencies and capacity to match workload Partnership with POD and TAD Help customers meet the OSD mandate (update master plans to new UFC by 2018) Link Master Planning, Sustainability/Energy and BUILDER 28

SWD Military Missions Program Trends & Focus Areas Sustainability/Energy Small workload, with potential to grow SWD Regional Energy CX SRM/Deep Retrofit Waste-to-Energy New guidance on design and postconstruction validation of energy savings Energy Savings Improvement Program (ECIP) will remain a viable program 29

SWD Military Missions Program Trends & Focus Areas Environmental Steady workload SWD Regional Planning & Environmental Center (RPEC) $180,000,000 Environmental Funding Projection FY14-16 $175,000,000 $170,000,000 $165,000,000 FY2013 FY2014 FY2015 FY2016 30

SWD Military Missions Program Trends & Focus Areas Real Estate Slight workload increase, with potential to spike as CFO Act deadline nears BRAC work continues Fort Polk Land Acquisition Army (AMLT) Data Entry Project USACE Program Manager for Air Force Real Estate support 31

SWD Military Missions Program Trends & Focus Areas Interagency & International Services (IIS) program Customs & Border Protection (CBP) (enterprise mission) Fence, Border facilities, Land Ports of Entry, etc. Potential program impacts from immigration reform Department of Energy, National Nuclear Security Administration (NNSA) Pantex Plant Veterans Affairs (VA) National Cemetery Administration (NCA) use of veteran-owned contractors Support on hospital design/construction/acquisition EPA Region 6 Targeted Brownfields Assessments 32

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