A Regional Water Utility and the Private Sector Defining a Partnership for Infrastructure Delivery
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1 A Regional Water Utility and the Private Sector Defining a Partnership for Infrastructure Delivery Carmel Krogh Director Shoalhaven Water Shoalhaven City Council
2 Shoalhaven City Council Structure Asset and Works General Manager Planning and Development Corporate and Community Services Shoalhaven Water Shoalhaven Water Structure Shoalhaven Water Facts 200 staff Annual Operating and Capital Program - $80M >$1 B in Asset Replacement Costs 4 Water Treatment Plants 12 Sewage Treatment Plants Director Operations Customer and Business Services Planning and Development
3 The Problem $60,000,000 Capital - Water and Sewer - Budget and Actual $50,000,000 Past $40,000,000 $30,000,000 $20,000,000 $10,000,000 $ Actual Water + Sewer Original Budget Water + Sewer Future 45,000,000 40,000,000 35,000,000 30,000,000 25,000,000 20,000,000 15,000,000 10,000,000 5,000,000 0 Water and Sewer - 10 year Capital Programs 2013/ / / / / / / / / /23 Water Sewer
4 Internal Analysis (external facilitator) needs greater than just capital program 2011 Single Provider Preferred Option-Tenders Called January tenders received March 2012 GHD successful Tenderer Contract Signed June 2012 Interviews held with specified personnel from shortlisted companies April 2012 Shortlisted to 2 April 2012
5 Contract Requirements/Objectives Obtain multi-disciplinary services to assist SW to achieve significant capital works program Program and Project Management Services including civil, mechanical, electrical, environmental, asset management Improve the availability, reliability and efficiency of services to SW Embed improved practices and processes within SW Required locally based accommodation for core staff and project staff Allowance for temporary accommodation of SW Project Managers Office required within 15 minutes vehicle journey of Council 4+1 year contract Capital Works - Water and Sewer Executed under AS4122 Renewal / Replacement New Works (Growth) New Works (Asset Enhancement) Asset Management Plans Developer Servicing Plans (Section 64) Water Supply Headworks Strategy Pollution Reduction Programs Changes in regulatory and operating standards Backlog Sewerage Program
6 Governance/Partnership Framework Formal monthly project meetings High Level quarterly reporting dashboard format Master Project Program captures all current and potential projects Timing for input into Council Operational Plan SW staff access to data through GHD Client Net SW Planning Manager responsible for initiation of all projects SW staff initiate project via initial discussions GHD prepare initial briefing sheet SW review briefing sheet Briefing sheet accepted Project kick-off meeting
7
8 Progress After 12 months Key strategic planning projects Water Servicing Strategy Sewerage Servicing Strategy REMS DSP (draft awaiting Office Water guidelines) Asset Management Gap Analysis and roadmap Porters Creek dam remediation options
9 Progress After 12 months (cont) Design/Tenders/Implementation Strongs Rd Water Supply Design Porters Creek mini hydro Design Major Pump Station Upgrades Period Contract for sewer pump supply (Xylem) Watermain Renewal Panel of Contractors Small Work Packages Emergency Reviews (geotech advice) Centrifuge procurement technical advice Sewer Relining contract advice
10 Highlights Not just an ordinary contract Partnership obligations require understanding of culture/constraints of both organisations SW staff more focussed on project management rather than administrative tasks a doing culture Value comparisons able to be made
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