AGENDA ITEM J2 DATE: TO: Matt Jordan, General Manager FROM: Alison Adams, Chief Technical Officer SUBJECT: Comprehensive Asset Management Program - Presentation SUMMARY: Tampa Bay Water is implementing its comprehensive asset management program, RISE, which is fundamental for maintaining a reliable water supply and delivery system. A new component to this program is development of an Environmental Management System for continual improvement. Status of all program activities underway is provided in this item. RECOMMENDATION: Receive status report and presentation DISCUSSION: Tampa Bay Water is implementing a comprehensive asset management program, RISE, which stands for Resilient Infrastructure Systems and Employees. The Asset Management Assessment Report and Implementation Plan was completed in April 2014. This document details a multi-year formal approach to asset management through integrating and enhancing existing data, systems, business processes, and practices into a comprehensive asset management program. Staff began implementing the Asset Management Implementation plan in December 2013 with the Board s decision to purchase Maximo as the Agency s computerized maintenance management system. A new component to the overall Asset Management program is the Environment Management System (EMS). The EMS framework ensures that best management practices are defined and used within the organization to reduce environmental impacts and continually improve organizational performance. The framework is based on ISO 14001 standards and is endorsed by EPA and water utility organizations. Use of this framework will provide the agency with the best opportunity to successfully implement a continual improvement program. Implementation of this program is planned as an internal staff effort. Accomplishments to date include: Maximo go live successful start-up of phase I scope Implementation of a vertical asset hierarchy structure in Maximo Completion of maintenance work flows, job plans and preventive maintenance schedules for implementation in Maximo Purchase of Aurigo Capital Improvement software and development of workflows for CIP implementation Board approval of updated Strategic Plan Established cross functional teams across the agency Established an Asset Management Advisory Team Developed internal communications plan
Page 2 Work in progress: Performance measure monitoring using operation and executive dashboards Developing an Environmental Management System within the Agency Developing the scope and level of effort to implement Maximo for linear assets Refinement of maintenance job plans Development of additional asset-specific job plans Optimizing Maximo for vertical asset maintenance work scheduling, assigning, tracking and reporting Implementation of Aurigo CIP software with go-live scheduled for October 2015 Review of the Agency s renewal and replacement planning model Continued development of a comprehensive training tracking process Planned Future work: Integration of MUNIS and Maximo to include inventory/warehouse and purchase orders Implementation of the service request and work order Maximo functions for nonmaintenance departments (e.g., engineering, survey, monitoring, mitigation, and laboratory) Implementation of IT help functionality in Maximo Updating/revising the Renewal and Replacement planning model The majority of costs have occurred within the first two years of implementation through 2015 (see Table 1). The updated actual and planned expenditures for this program for years 2014 and 2015 are $2,151,843. In June 2014 the estimated expenditures for 2014 and 2015 presented to the Board were $1,791,007. The difference is a result of the final software budget approved for 2015 and the increase of $259,886 to purchase the CIP software and professional services which was approved by the Board December 2014. The budget estimate for FY 2016 is $625,000, resulting in total program funding of $2,776,843 through 2016. However this does not include additional outside services not included in the 2016 proposed budget that may be needed to fully integrate our MUNIS financial software system with Maximo. Discussions are continuing with MUNIS to fully evaluate the issues and solutions. Program costs to date include software purchases (Maximo and Aurigo CIP), professional services to integrate the new software systems, and professional services to support staff in various aspects of the Asset Management Implementation Plan. The Implementation Plan charts a set of 17 projects (see Table 2) which actually began January 2014. These projects cover the areas of Maintenance Management, Financial tools, Level of service/risk, Continual Improvement, Training and Strategic planning. An incremental approach is being used to address completion of the 17 projects with the intent to involve and train staff during the earlier project implementation steps and then transition the work away from consultant services to staff. Completion of the implementation plan is dependent upon staff availability and budget.
Page 3 BACKGROUND: Since Tampa Bay Water s inception in 1998, its infrastructure has increased dramatically. In April 2011, the Board adopted the 2011 Strategic Plan. The updated Strategic Plan was approved by the Board in December 2014. In support of the Board s mission to provide water now and for future generations, the vision to be a leader in innovation and best practices, the value to strive for continuous improvement in everything we do, the goal to achieve a reliable water supply and delivery system, and the strategy to implement a framework for long term regional system reliability, Tampa Bay Water staff are implementing a comprehensive asset management program, similar to several of our member governments, in accordance with the water utility industry best practices. Asset Management is maintaining a desired level of service at the lowest life cycle cost with limited resources and at an acceptable level of risk. Lowest life cycle cost determines the best appropriate cost for rehabilitating, repairing or replacing an asset. Asset management is implemented through as Asset Management Program which includes a written Asset Management Plan. Implementation of a comprehensive Asset Management Program is the foundation for long-term water supply planning.
Page 4 Table 1. Asset Management Program Revised Asset Management Program Element 2014 Expenditures 2015 Budget 2016 Projected Budget Total Plan Development $139,000 $139,000 Software licenses $169,957 $323,936 $135,000 $628,893 and maintenance Maximo Phase I Integration Services $395,000 $154,050 $549,050 Implementation $468,000 $285,000 $290,000 $1,043,000 Plan Services Maximo Phase II $216,900 $200,000 $416,900 Total $1,171,957 $979,886 $625,000 $2,776,843 Notes: (1) June 2014 estimated program cost through 2016 was $2,298,257. The program cost update is due to a decision to purchase Aurigo CIP software, the final software budget for 2015 and refinements in the 2016 proposed budget. The overall program budget is subject to further refinement based on project priorities, degree of difficulty in Maximo/MUNIS integration, and staff availability. (2) Software licenses and maintenance includes cost for Aurigo CIP software and professional services
Table 2. Asset Management Implementation Plan Cross Functional Teams April 2015 Update Cross Functional Teams Team Leader Executive Sponsor Projects Asset Management Advisory Team Alison Adams Matt Jordan Asset Hierarchy Team Jennifer Lawrence Jones Mandi Rice Implementation Fiscal Year Current Status April 2015 Expected Completion Asset Management Program Review (Project 1) and Plan Development 2014 Quarterly updates Dec 17 Asset Registry and Inventory Vertical assets (Project 2) 2014 Completed Dec 14 Asset Registry and Inventory Linear assets (Project 2) 2015 Will start linear assets June 2015 Sep 14 CMMS Implementation Jennifer Lawrence Jones Mandi Rice Phase I Maximo Implementation / EDI contract (Project 3) 2014 Go live successful Jan 15 Phase 1b Maximo Implementation 2015 Linear Asset Maximo Implementation level of effort under evaluation Phases 2/3 Maximo Implementation (Project 4) 2016 Other agency depts: Engr, Lab, Hydro monitoring, IT, Buildings and Grounds start in FY 2016 / one workshop in 2015 with CH2?? Maintenance Workflows and SOPs (Project 5) 2014 Completed NA Maintenance Strategies Joe Kehoe Mandi Rice Maintenance Strategies, FEMA, and PMs (project 6) 2014 In progress Condition Assessment ** Not established Not established Condition Assessment Process for Renewal and Replacement (project 7) 2015 Preliminary evaluation of current condition assessment processes being lead by maint. Strategies team Sep 17 Condition Assessment Process for Renewal and Replacement (project 8) 2016 Not started Sep 17 Maintenance Strategies Joe Kehoe Mandi Rice Implement Maintenance Strategies (project 9) 2015 In progress Draft executive and operational dashboards Level of Service/Risk Jon Kennedy Alison Adams Development of LOS (project 10) 2014 under review Dec 15 Risk/Reliability Models development and implementation (project 11) 2015 In progress, will slow down this project Dec 16 Initiated light blub project forms. For 2015 Continual Improvement Michelle Biddle Chuck Carden Continual Improvement (project 12) will develop a Corrective and Preventive 2014 Action Request process using ISO 14001 Continual Improvement Alison Adams Purchased software, go live scheduled for Develop Environmental Management System (refinement of project 12) 2015 Developing framework Dec 18 CIP software procurement support 2014 October 2015 Sep 16 Financial Forecasting Maribel Medina Christina Sackett Business Case Evaluation process and implementation 2016 Deferred until 2016 Sep 16 Review of Renewal and Replacement model and Maximo data extraction for R/R model (project 13 & 14) 2016 Preliminary assessment draft scope under review may be deferred until 2016 Sep 16 Development training programs related to asset management (project 15) 2014 Staff are moving forwarding with setting up a training tracking system for MUNIS and Maximmo Strategy, Communications, Training Chuck Carden Matt Jordan Incorporate Asset Management into Agency Strategic Plan and Update Strategic Plan (project 16) 2014 Board approval December 2014 Dec 14 Develop internal communication strategies specific to asset management program (project 17) 2014 Completed Sep 14