1. APWA Asset Management Workshop
Making the Case for
Asset Management
APWA Asset Management Workshop
Linda E. De Boldt, P.E
Director of Public Works
August 10, 2017

2. Gaining support for asset management
Why is it important to gain support from city officials?
Why should city officials care?
What are strategies and messages that can garner support?
Redmond’s Asset Management Program
Providing background and information on the Asset Management Program

3. Why Does it Matter? Asset Management is about how we manage
Mayor/Council
Asset Management is about how we manage
physical assets:
Police
Finance
- We all manage assets and are impacted by how well we manage them
H.R.
Public
Works
Establishes relationship between services we provide and cost
Park &
Rec.
Developing the systems, data and software that allows us to make informed decisions
Planning &
Comm. Dev.
We ARE referring to items such as buildings, utility infrastructure, transportation such as electrical cables,
water pipes, rail lines and metro tunnels,
- Focus on the skills we need, training and capturing intuitional knowledge.
Fire
T.I.S.

4. ASSET Management ASSET LIFE CYCLE Design Assess and Construct Plan
Operate
And
Maintain

5. Asset Management
The systematic and coordinated activities and practices to optimally manage assets, and their performance, risks, and cost over their life-cycle for the purpose of achieving its expected levels of service.
This is one of many definitions of Asset Management, it gets a little wonky so I won’t read it. The key points are asset management is an organization-wide frame-work and there are three key concepts are Level of Service, Life-cycle cost and risk.

6. What is Asset management
It’s About Balancing Competing Goals
to Make Good Decisions
Service Levels
Resources
Costs
Information
Risk
In simple terms: AM is about making good decisions based on knowing our level of service, costs (over the L-C), timing based on risk and available resources.

7. Capital Investments are just part of the costs
35-40%
60-65%
Costs
Most of the capital costs get most of the attention, but usually make up 35%-40% of the total cost, where M&O, R&R and disposal make up the rest.
Time Frame
Asset Ownership Costs

8. Redmond’s Infrastructure constructed
Profile of three Redmond infrastructure systems. In general half way through useful life. Important point, going forward M&O will increase and likely at a higher rate as assets age.

9. Projected maintenance Cost Lift station #3 costs
LS #3 as example of costs over 20-years. Escalated numbers over that time and the cumulative cost.

10. Results Compared our Current practices Best Practices
The results of the GAP analysis:
-Gave us a snapshot of where we were compared to “Best Practices”
-Explain 13 Categories and 110 Best Practices and Colors

11. Asset management program evaluation (Ampe) Process
Where We are Now
Resources
Action Plan
One year
Three year
Long-term
GAP
You also need to know
Where you are now
Where you want to be
In 2015 an AMPE was done in a series of workshops
Where We
Want to BE
One year
Three year
Long-term

12. five strategies focused on answering core questions
1.0 Asset Knowledge
What do we own and what condition is it?
2.0 Asset Lifecycle
What are our level of services?
What are our long-term costs?
3.0 Risk Management
What assets are critical for meeting our level of service?
1 Over the next three years what do we need to focus on.
2 Looked at five broad strategies on typical core questions of AM
4.0 Financial
What is our long-term funding strategy?
5.0 Program Development
What skills and resources do we need? How do we communicate effectively?

13. 3-Year Roadmap
If you think about it we are working establishing the two of the three part of build the program Structure and systems.
Go back to earlier slide

14. Developing the Asset Management program
Tying the AMP to the Public Works Strategic Plan
AMP is a Strategic Objective in achieving the goals of the PW Strategic Plan
Developing the AMP like all Programs includes:……

15. Asset Management is about delivering services
Communication
Creating Value
It’s about delivering services that creating value
Efficient
Effective