Preserving the Past Securing the Future
318
0
0
Full text
(2) A LEX ANDR INA COUNC IL Preserving the Past – Securing the Future. This Infrastructure and Asset Management Plan was produced by Alexandrina Council to comply with Section 122 (1a) (b) of the Local Government Act 1999 (2007 consolidation). The templates developed for the Local Government Association of South Australia through IPWEA NAMS Plus, were adopted, with some minor modification, to compile the initial Plan adopted in January 2009. In September 2012 CT Management Group Consultants were engaged to review and update Version 1.1 of the Plan as Version 2.0..
(3) A LEX ANDR INA COUNC IL Preserving the Past – Securing the Future. INFRASTRUCTURE and ASSET MANAGEMENT PLAN PART 1 GENERAL STATEMENTS. Draft Version 2.0 September 2012.
(4) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1-i. Document Control Document ID : PART 1 GENERAL V2.0 SEP 2012 Version No.. Date. Advanced November 2008 Draft. Revision Details. Author. Advanced Draft issued as ‘IAMP Part 1, General Statements'. PW. V 1.0. November 2008. Audit Committee review. PW. V 1.1. January 2009. For Council approval. PW. V 2.0. September 2012 Audit Committee review. CT/JEH. V 2.0. October. For Council approval and Public Consultation. CT/JEH. V2.0. November 2012. For adoption by Council. CT Management Group P/L PO Box 1374 GEELONG VIC 3220 Phone: Email: Web:. (03) 5221-2566 [email protected] www.ctman.com.au. Project Author: Jim Henshelwood, Senior Associate. Reviewer Approver.
(5) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - ii. CONTENTS ABBREVIATIONS GLOSSARY 1. EXECUTIVE SUMMARY _________________________________________________________ 10 1.1 1.2 1.3 1.4 1.5 1.6. 2. 2.2. 2.3 2.4. Background 2.1.1 Purpose of the Plan 2.1.2 Strategic Planning Linkages 2.1.3 Key Stakeholders 2.1.4 Organisation Structure 2.1.5 Infrastructure & Assets Included in the Plan Goals and Objectives of Asset Management 2.2.1 Council’s Vision & Mission Statements 2.2.2 Relevant Strategic Plan Goals, Strategies and Planning Principles Plan Framework Core and Advanced Asset Management. 15 15 15 16 17 18 19 19 19 24 25. Customer Research and Expectations Legislative and Other Requirements Current Levels of Service Desired Levels of Service. 28 28 30 30. FUTURE DEMAND _____________________________________________________________ 31 4.1. 4.2 4.3 4.4 4.5 4.6. 5. 10 10 13 13 13 14. LEVELS OF SERVICE __________________________________________________________ 27 3.1 3.2 3.3 3.4. 4. Infrastructure and Asset Management Plan Lifecycle Costs & Expenditure Summary General Planning Objectives Key Asset Assumptions and Data Limitations Performance Measures IAMP Implementation Program. INTRODUCTION _______________________________________________________________ 15 2.1. 3. iv v. Population Growth 4.1.1 Allotment Creation and Asset Yield 4.1.2 Demand Factors – Trends and Impacts Climate Change Legislative Change Changes in Technology Demand Management Plan New Assets from Growth 4.6.1 Assumptions Used in Projected Asset Growth 4.6.2 Contributed Assets 4.6.3 Constructed Assets. 31 32 32 32 33 33 33 33 33 34 34. LIFECYCLE MANAGEMENT PLAN ________________________________________________ 35 5.1. 5.2. 5.3. 5.4. Background Data 5.1.1 Physical Parameters 5.1.2 Asset Capacity and Performance 5.1.3 Asset Condition & Rating Methods 5.1.4 Asset Valuations Risk Management Plan 5.2.1 Risk Management Framework 5.2.2 Risk Assessment 5.2.3 Inspections 5.2.4 Responses to Customer/Reactive Requests Routine Maintenance Plan 5.3.1 Maintenance Arrangements 5.3.2 Standards and Specifications Renewal / Replacement Plan 5.4.1 Renewal Standards. 35 35 36 36 37 37 37 38 38 39 39 40 40 40 40.
(6) Infrastructure and Asset Management Plan Part 1, General Statements. 5.5 5.6. 6. 6.2 6.3 6.4. Financial Statements and Projections 6.1.1 Financial Expenditure Projections 6.1.2 Sustainability of Service Delivery Funding Strategy Valuation Forecasts Key Assumptions Made in Financial Forecasts. 42 42 43 46 46 46. ASSET MANAGEMENT PRACTICES ______________________________________________ 47 7.1 7.2 7.3 7.4 7.5. 8. 40 40 41 41. FINANCIAL SUMMARY _________________________________________________________ 42 6.1. 7. 5.4.2 Renewal Strategy Creation / Expansion / Upgrade Plan 5.5.1 Standards and Specifications Disposal Plan. Alexandrina Council 1 - iii. Accounting / Financial Systems Asset Information Systems Information Flow Requirements and Processes Standards and Guidelines Data Confidence Level. 47 47 47 48 49. PLAN IMPROVEMENT AND MONITORING _________________________________________ 50 8.1 8.2 8.3. Performance Measures Improvement Plan Monitoring and Review Procedures. 50 50 51. 9. REFERENCES ________________________________________________________________ 52. 10. APPENDICES _________________________________________________________________ 53 APPENDIX A. Condition Rating Tables. APPENDIX B. 10-Year Capital Expenditure Programs. APPENDIX C. 10-Year Operations & Maintenance Expenditure Programs. APPENDIX D. 10-Year Operations, Maintenance & Capital Expenditure Summary. TABLES Table 2.1: Assets Covered by the IAMP – Overview Table 3.1: Legislative and Other Requirements Table 4.1: Community Growth Projections Table 5.1: Financial Reporting Ratios Table 6.1: Disparity between Projected Renewal Costs and Planned Expenditure Table 7.1: Process Reference Documents Table 7.2: Data Confidence Levels Table 8.1: Improvement Plan. 18 28 31 37 43 49 49 50. FIGURES Figure 2.1: Strategic Management Framework Figure 2.2: Strategic Planning Linkages Figure 2.3: IAM Planning Framework Figure 3.1: Levels of Service Concept Diagram Figure 5.1: Risk Management Overview Figure 6.1: Planned Operating and Capital Expenditure –Summary All Groups Figure 6.2: Planned Maintenance and Capital Expenditure –Summary All Groups Figure 6.3: Projected Annual Renewal Costs against the Planned LTFP Funding Figure 6.4: Total Annual Renewal Funding Shortfall Figure 6.5: Cumulative Impact of Renewal Funding Shortfalls Figure 7.1: Asset Planning, Recording and Implementation Process. 15 15 26 27 38 42 42 44 44 45 48.
(7) Infrastructure and Asset Management Plan Part 1, General Statements. ABBREVIATIONS A&IM. Assets and Infrastructure Manager. AAAC. Average annual asset consumption. AAS. Australian Accounting Standards. AC. Asset GIS Co-ordinator. AIS. Asset Information System. ASR. Aquifer storage and recovery. BAC. Built Assets Co-ordinator. CE. Chief Executive. CRC. Current replacement cost. CWMS. Community Wastewater Management Scheme. DA. Depreciable amount. DCE. Deputy Chief Executive. DDA. Disability Discrimination Act. DN. Diameter Nominal – the nominal internal diameter of a circular pipe. DRC. Depreciated replacement cost. DPTI. Department for Planning, Transport and Infrastructure. EIS. Engineering and Infrastructure Services (Department). EPA. Environment Protection Act. GMES. General Manager - Engineering Services. GMIPD. General Manager - Infrastructure Planning and Design. GMED. General Manager – Environment & Development. GMCCS. General Manager – Corporate & Community Services. GMOD. General Manager – Organisational Development. GMACT. General Manager – Arts, Culture & Tourism. IAMP. Infrastructure and Asset Management Plan. IM. Infrastructure Manager. IIMM. International Infrastructure Management Manual. IRMP. Infrastructure Risk Management Plan. LGA. Local Government Association of South Australia. LTFP. Council Long-Term Financial Plan. MMS. Maintenance Management System. OM. Operations Manager. RM. Risk Manager. RV. Residual value. veh / d. Vehicles per day. WSUD. Water-sensitive urban design. Alexandrina Council 1 - iv.
(8) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1-v. GLOSSARY Acquired Asset New or renewed asset purchased by Council or constructed by a Contractor or Council workforce, using Council-managed funds. Active (Competitive) Recreation Physically demanding, and generally organised, activities requiring specialised surfaces and facilities to cater for participants and spectators. Asset Condition Assessment The process of continuous or periodic inspection, assessment, measurement and interpretation of the resultant data to indicate the condition of a specific asset so as to determine the need for some preventative or remedial action. Asset Consumption A measure for financial reporting purposes, of loss of service occurring with an asset (group), determined as the Annual Depreciation Allocation divided by the Current Replacement Cost (qv), expressed as a percentage. Asset Hierarchy A framework in which components of an asset base are allocated appropriate classifications, determined by asset functionality or type. The hierarchy classifications are: Category -. the highest level at which assets are grouped according to function, and being the title of each of the suite of IAMP Parts.. Class *-. the overall asset type, eg KERB. Element -. sub-classification of Class, eg SEMIMOUNTABLE KERB. Asset (Individual) item or segment to which a unique identifier has been assigned, eg KERB & GUTTER, NORTH SIDE, JONES STREET, Brown Street to White Street, ID 9999. Component. An individual part of an asset which contributes to the composition of the whole and can be separated from or attached to an asset or a system.. *Referred to as ‘sub-category’ in LGA on-line financial templates. Asset Management The combination of management, financial, economic, engineering and other practices applied to physical assets with the objective of providing the required level of service in the most cost effective manner. Asset Renewal Rate (Refer Rate of Annual Asset Renewal).. Asset Upgrade / Expansion Rate A measure, for financial reporting purposes, determined as the Upgrade / Expansion expense divided by the Depreciable Amount (qv), expressed as a percentage. Assets Infrastructure, property and other assets with benefits expected to last more than 12 months. Future economic benefits controlled by Council as a result of past transactions or other past events. Bridge A structure, conveying a road over a waterway generally, and having a length of 6m or greater, measured along its centreline or that of the road carriageway. Brownfield Asset Values Asset (re)valuation values based on the cost to replace the asset including demolition and restoration costs. Building Enclosed roofed structure, of floor area 10 m 2 or greater, containing facilities pertinent to temporary or permanent occupation, or designed to permit the storage of items associated with an adjoining building use. (Capital) Expansion Expenditure Expenditure that extends an existing asset, at the same standard as is currently enjoyed by residents, to a new group of users. It is discretional expenditure, which increases future operating, and maintenance costs, because it increases Council’s asset base, but may be associated with additional revenue from the new user group, eg. extending a drainage or sewerage treatment and effluent drainage system network, the provision of an oval or park in a new suburb for new residents. Capital Expenditure Relatively large (material) expenditure, which has benefits, expected to last for more than 12 months. Capital expenditure includes renewal, expansion and upgrade. Where capital projects involve a combination of renewal, expansion and / or upgrade expenditures, the total project cost needs to be allocated accordingly. (Capital) New Expenditure Expenditure which creates a new asset providing a new service to the community that did not exist beforehand. As it increases service potential it may impact revenue and will increase future operating and maintenance expenditure. (Capital) Renewal Expenditure Expenditure on an existing asset, which returns the service potential or the life of the asset up to that which it had originally. It is periodically required expenditure, relatively large (material) in value compared with the value of the components or sub-components of the asset being renewed. As it reinstates existing service potential, it has no impact on revenue, but may reduce future operating and maintenance expenditure if completed at the optimum time, eg. replacing a material section of a drainage network.
(9) Infrastructure and Asset Management Plan Part 1, General Statements with pipes of the same capacity, resurfacing an oval. Where capital projects involve a combination of renewal, expansion and / or upgrade expenditures, the total project cost needs to be allocated accordingly. (Capital) Upgrade Expenditure Expenditure, which enhances an existing asset to provide a higher level of service or expenditure that will increase the life of the asset beyond that which it had originally. Upgrade expenditure is discretional and often does not result in additional revenue unless direct user charges apply. It will increase operating and maintenance expenditure in the future because of the increase in the Council’s asset base, eg. widening the sealed area of an existing road, replacing drainage pipes with pipes of a greater capacity, enlarging a grandstand at a sporting facility. Where capital projects involve a combination of renewal, expansion and / or upgrade expenditures, the total project cost needs to be allocated accordingly. Community Wastewater Management Scheme (CWMS) Gravity drainage (qv), pumping systems, treatment installations and disposal / re-use facilities provided to manage wastewater (qv). Contributed Asset Asset handed over to Council's care and control free of cost, usually as part of land division development. Cost of an Asset The amount of cash or cash equivalents paid, or the fair value of the consideration given, to acquire an asset at the time of its acquisition or construction, plus any costs necessary to place the asset into service. This includes one-off design and project management costs. Cost / Value Projections Forecast amounts expressed in current dollars, as at the date (year) of document issue. Creation / Acquisition / Upgrade (‘New works’, ‘Expansion’) The creation of a new asset that did not previously exist, or works that upgrade or improve an existing asset beyond its existing capacity or original design level of service. They may result from growth, social or environmental needs and may be acquired at no cost (donated) through land developments. Current Replacement Cost (CRC) The cost the entity would incur to acquire the asset on the reporting date. The cost is measured by reference to the lowest cost at which the gross future economic benefits could be obtained in the normal course of business or the minimum it would cost to replace the existing asset with a technologically modern equivalent new asset (not a second hand one) with the same economic benefits (gross service potential) allowing for any differences in the quantity and quality of output and in operating costs. Current Replacement Cost ‘As New’ (CRC) The current cost of replacing the original service potential of an existing asset, with a similar modern equivalent asset, i.e. the total cost of replacing an existing asset with. Alexandrina Council 1 - vi an as new or similar asset expressed in current dollar values. Cyclepath / Cycleway Paved and / or sealed portion of land, separate from a road (qv) or footpath (qv), intended to be used primarily by cyclists. It includes cyclepaths or cycleways within a road reserve and on other Council land associated with a building or recreation use. Cyclic Maintenance Replacement of higher value components / subcomponents of assets that is undertaken on a regular cycle, eg building roof and replacement of air conditioning equipment. This work generally falls below the capital / maintenance threshold and needs to be identified in a specific maintenance budget allocation. Depreciable Amount The cost of an asset, or other amount substituted for its cost, less its residual value. Depreciated Replacement Cost (DRC) The current replacement cost (CRC) of an asset less, where applicable, accumulated depreciation calculated on the basis of such cost to reflect the already consumed or expired future economic benefits of the asset. Depreciation / Amortisation The systematic allocation of the depreciable amount (service potential) of an asset over its useful life. Disparity The difference between projected costs (qv) and planned expenditure (qv) ; that is, the difference between the amounts that should be spent to maintain levels of service (qv) and the amounts that the community is willing , and has the capacity, to pay. A positive disparity signifies a surplus and a negative disparity, a shortfall. Disposal (of Asset) Any activity associated with the disposal of a decommissioned asset, including sale, demolition and relocation. Donated Asset See Contributed Asset. Economic Life See useful life definition. Expenditure The spending of money on goods and services. Expenditure includes recurrent and capital spending. Facultative Lagoon Shallow, open, man-made pond or basin, in which further treatment of effluent occurs. Fair Value The amount for which an asset could be exchanged, or a liability settled, between knowledgeable, willing parties, in an arms length transaction..
(10) Infrastructure and Asset Management Plan Part 1, General Statements Footpath Paved and / or sealed portion of land, intended to be used primarily by pedestrians and small-wheeled vehicles. It includes walkways and footpaths within a road reserve and on other Council land associated with a building or recreation use. Gravity Drain Pipe, up to and including DN 150 mm, conveying wastewater under gravity flow conditions. Gravity Drainage Network of pipes and chambers to enable wastewater (qv) to be received from properties and conveyed, without pumping, to a centralised location for further treatment and disposal or re-use. Gravity Main Pipe, greater than DN 150 mm, conveying wastewater under gravity flow conditions. Greenfield Asset Values Asset (re)valuation values based on the cost to initially acquire the asset. Hash (#) The inclusion of this symbol in any table indicates that the data are not available. This should only occur in early versions of the core IAMP and be rectified when the document is reviewed. Improvement Plan A program of actions designed to improve the content and implementation of an IAMP. Infrastructure and Asset Management Plan A Plan for the management of infrastructure and other long-lived assets over the lifecycle of those assets, such that specified and agreed levels of service are maintained in the most cost-effective manner. Infrastructure Assets Physical assets of the entity or of another entity that contribute to meeting the public's need for access to major economic and social facilities and services, eg. sewerage treatment and effluent drainage systems, footpaths and cycleways. These are typically large, interconnected networks or portfolios of composite assets. The components of these assets may be separately maintained, renewed or replaced individually so that the required level and standard of service from the network of assets is continuously sustained. Generally the components and hence the assets have long lives. They are fixed in place and are often have no market value. Kerb Edge restraint feature, usually concrete, at the edges of, or on, a constructed and sealed carriageway to convey property and road stormwater runoff and control vehicle movements. This asset class includes ‘median kerb’ (at traffic islands and medians), pram ramps and gutter crossings to properties.. Alexandrina Council 1 - vii Level of Service The defined service quality for a particular service against which service performance may be measured. Service levels usually relate to quality, quantity, reliability, responsiveness, environmental, acceptability and cost. Lifecycle Cost The life cycle cost (LCC) is the average cost to provide the service over the longest asset lifecycle. It is, represented by the depreciation expense. The Lifecycle Cost does not indicate the funds required to provide the service in a particular year. Lifecycle Expenditure The Lifecycle Expenditure (LCE) is the actual or planned annual maintenance and capital renewal expenditure incurred in providing the service in a particular year. Lifecycle Expenditure may be compared to Lifecycle Cost to give an initial indicator of lifecycle sustainability. Maintenance and Renewal Sustainability Index Ratio of estimated budget expenditure to projected costs for maintenance and renewal of assets over a defined time (eg, 10 or 20 years). Maintenance Expenditure Recurrent expenditure, which is periodically or regularly required as part of the anticipated schedule of works to ensure that the asset achieves its useful life and provides the required level of service. It is expenditure, which was anticipated in determining the asset’s useful life. Major Culvert An individual section of stormwater drain of a length approximating the road formation width, conveying a road over a waterway, catering for flows from a predominately rural catchment and not falling within the definition of a Bridge (qv). The waterway area of the culvert will be 0.64m2 or greater (being that of a DN 900 mm pipe, or rectangular or other section of equivalent cross-sectional area). A series of smaller pipes or multi-cell culverts at the one location with a total waterway cross-sectional area of 0.64m2 is defined as a 'major culvert' also. Materiality An item is material if its omission or misstatement could influence the economic decisions of users taken on the basis of the financial report. Materiality depends on the size and nature of the omission or misstatement judged in the surrounding circumstances. Modern Equivalent Asset A structure similar to an existing structure and having the equivalent productive capacity, which could be built using modern materials, techniques and design. Replacement cost is the basis used to estimate the cost of constructing a modern equivalent asset. Non-Capitalised Asset Item that provides a benefit to the community, generally of an amenity value, which is maintained and renewed over a relatively short lifecycle, but not capitalised, depreciated or (re) valued eg, garden bed plantings..
(11) Infrastructure and Asset Management Plan Part 1, General Statements Open Space Hierarchy Framework (under development) for allocating maintenance and upgrade expenditure to assets, based on the importance of the land and facilities to the local or wider public. A proposed open space hierarchy comprises: Regional District Neighbourhood (or Township) Local Conservation Open Space Maintenance Hierarchy Level of asset maintenance, related to usage patterns and extent of facilities and largely aligning with the proposed Open Space Hierarchy. (qv) Class A. High-use area with high exposure to the general public.. Class B. Medium use area with high to medium exposure to the general public.. Class C. Low-use area with medium to low exposure to the general public.. Class D. Very low-use area with low exposure to the general public.. Other. Council land not leased or identified as Reserve. Operating Expenditure Recurrent expenditure, which is continuously required excluding maintenance and depreciation, eg power, fuel, staff, plant equipment, on-costs and overheads. Passive Recreation Offers restorative and pleasurable human benefits, requires minimal user facilities and results in low environmental impact. Pavement Structural layers below the road surfacing, comprising imported or modified materials and the underlying natural soils, designed to transmit forces from vehicular traffic to the underlying road foundation. (Not to be confused with the common (British) use in denoting a footpath). Planned Expenditure Anticipated levels of expenditure, taking into account Council's and the community's ability to pay and expenditure patterns in other areas of Council's long-term financial plan. Planned expenditure 'smooths out' the yearly peaks and troughs of projected costs (qv). Planned Maintenance Repair work that is identified and managed through a maintenance management system (MMS). MMS activities include inspection, assessing the condition against failure / breakdown criteria / experience, prioritising scheduling, actioning the work and reporting what was done to develop a maintenance history and improve maintenance and service delivery performance.. Alexandrina Council 1 - viii Projected Costs Annual accumulated costs, computed over the reporting period (20 years for the IAMP) from renewal cycles and operations and maintenance expenses for individual assets. The corresponding planned expenditure (qv) should, ideally, sum to the same amount over the total reporting period. Rate of Annual Asset Consumption A measure of average annual consumption of assets (AAAC) expressed as a percentage of the depreciable amount (AAAC / DA). Depreciation may be used for AAAC. Rate of Annual Asset Renewal A measure of the rate at which assets are being renewed per annum expressed as a percentage of depreciable amount (capital renewal expenditure / DA). Rate of Annual Asset Upgrade A measure of the rate at which assets are being upgraded and expanded per annum expressed as a percentage of depreciable amount (capital upgrade / expansion expenditure / DA). Reactive Maintenance Unplanned repair work carried out in response to service requests and management / supervisory directions. Recurrent Expenditure Relatively small (immaterial) expenditure or that which has benefits expected to last less than 12 months. Recurrent expenditure includes operating and maintenance expenditure. Rehabilitation See renewal expenditure definition above. Remaining Life The time remaining until an asset ceases to provide the required service level or economic usefulness. Age plus remaining life is economic life. Renewal See renewal expenditure definition above. Residual Value The net amount which an entity expects to obtain for an asset at the end of its useful life after deducting the expected costs of disposal. Risk Management The application of a formal process to the range of possible values relating to key factors associated with a risk in order to determine the resultant ranges of outcomes and their probability of occurrence. Road Paved and / or sealed portion of land, intended to be used primarily by motor vehicles. It includes carriageways and parking bays within a road reserve and access roads and carparks on other Council land, associated with a building or recreation use..
(12) Infrastructure and Asset Management Plan Part 1, General Statements Road Hierarchy Framework for allocating components of an asset base to appropriate classifications based on asset functionality or type. The hierarchy, as adopted April 2006, is: Rural Distributor Rural Collector Rural Local Rural Access Tracks Urban Distributor Urban Collector Urban Local Urban Access Tracks Urban collector roads may include on- or off-carriageway parking. Urban local roads may include on-carriageway parking. Routine Maintenance The regular ongoing work that is necessary to keep assets operating, including instances where portions of the asset fail and need immediate repair to make the asset operational again. Service Potential The capacity to provide goods and services in accordance with the entity's objectives, whether those objectives are the generation of net cash inflows or the provision of goods and services of a particular volume and quantity to the beneficiaries thereof. Service Potential Remaining A measure of the remaining life of assets expressed as a percentage of economic life. It is also a measure of the percentage of the asset’s potential to provide services that are still available for use in providing services (DRC / DA). Shared Path Paved and / or sealed portion of land, separate from a road (qv) or footpath (qv) intended to be used jointly by pedestrians and cyclists. Shared paths are generally located on land other than a road reserve containing a road or footpath. Stormwater Management Includes all control and treatment activities required to manage stormwater runoff without adverse impact to surrounding areas or receiving waters. Strategic Management Plan (Community Strategic Plan) Documents Council objectives for a specified period (3-5 years), the principle activities to achieve the objectives, the means by which that will be carried out, estimated income and expenditure, measures to assess performance and how rating policy relates to the Council’s objectives and activities.. Alexandrina Council 1 - ix Sustainability Index Measure of the degree to which the current levels of service provided by asset classes will be sustained by maintenance and renewal expenditure. The index is derived by dividing the planned expenditure over a given period by the projected cost of the assets over the same period, expressed as a percentage. An index greater than 100 indicates that (average) expenditure exceeds costs and that the current levels of service are improving. The index is shown in Council's Long-Term Financial Plan. Useful life The period over which an asset is expected to be available for use by Council and the community. It is the estimated or expected time between placing the asset into service and removing it from service, or the estimated period of time over which the future economic benefits embodied in a depreciable asset, are expected to be consumed by the Council. Utilities Government agencies and authorities and private supply organisations having statutory powers to construct and maintain infrastructure on public land. Wastewater (and Effluent) The used water arising from domestic activities in dwellings, institutions or commercial facilities and comprising all-waste (combined blackwater and greywater) greywater (domestic wastes, excluding human wastes), blackwater (water-borne human wastes) and effluent from septic tank and other treatment facilities. Water Reticulation Network of pipes and fittings to enable stored, (or otherwise derived water suitable for domestic purposes, to be distributed to consumers. Whole-of-Life Costs / Expenditure See Lifecycle Costs / Expenditure. (including DVC, ref. 9).
(13) Infrastructure and Asset Management Plan Part 1, General Statements. 1. Alexandrina Council 1 - 10. EXECUTIVE SUMMARY. 1.1 Infrastructure and Asset Management Plan Council is the custodian of an array of infrastructure assets, with a total replacement cost of some $371 million. This Infrastructure Asset Management Plan encompasses five asset categories covering assets as diverse as community halls to effluent treatment lagoons and rural roads to jetties. IAMP Part. Replacement Value. Asset Category. Part 2. Roads & Footpaths. $157,185,395. Part 3. Bridges, Kerbs & Stormwater. $88,691,952. Part 4. Water Supply & Wastewater. $49,282,009. Part 5. Buildings. $69,026,127. Part 6. Recreation Open Space. $7,230,415. Total for Asset Groups. $371,415,897. NB: There is some uncertainty about the precise value of Recreation Open Space Assets. Figure used is from current Register but the individual component asset values need to be reassessed. Parts 2 to 6 need to be read in conjunction with Part 1, General Statements.. 1.2 Lifecycle Costs & Expenditure Summary Appendices B, C & D provide the 10-Year summary tables for operating & capital budgets from each of Parts 2 to 6. There are two key indicators of cost in providing levels of service, namely lifecycle costs and maintenance and renewal expenditure. Lifecycle cost By definition (Glossary) the life cycle cost is the average cost to provide the service over the longest asset lifecycle. It is represented by the depreciation expense. Alexandrina uses the annual depreciation amount as the Projected Renewal Expenditure. Projected Renewal Expenditure 2013 $M. Planned Renewal Expenditure 2013 $M. Roads and Footpaths. 2.7. 2.4. Bridges and Stormwater Management. 0.2. 0.2. Water and Wastewater Management. 0.0. 0.3. Buildings. 0.0. 0.4. Recreational Open Space. 0.0. 0.4. TOTAL. 3.0. 3.7. Asset Category. Note: Refer discussion on renewal versus upgrade of stormwater management assets in the IAMP Part 3 and on maintenance of non-capitalised assets in the IAMP Part 6..
(14) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 11. Planned Maintenance & Renewal Expenditures The expenditure required to deliver existing service levels in the period 2012 to 2022, covered by Council’s LTFP is: Total 10-Year Maintenance & Renewal Expenditure ($M). Average 10Year Annual Maintenance & Renewal ($M). Planned Maintenance Expenditure, 2013 ($M). Planned Renewal Expenditure, 2013 ($M). Planned Maintenance & Renewal Expenditure, 2013 ($M). Roads & Footpaths. 48.0. 4.8. 1.4. 2.4. 3.9. Bridges, Kerbs & Stormwater. 5.7. 0.6. 0.3. 0.2. 0.5. Water & Wastewater. 10.4. 1.0. 1.0. 0.3. 1.3. Buildings. 5.8. 0.6. 0.4. 0.4. 0.8. Recreational Open Space. 14.0. 1.4. 1.1. 0.4. 1.5. PLAN TOTAL. 84.0. 8.4. 4.2. 3.7. 7.9. Asset Category. Projected Costs and Planned Renewal Expenditure Projected Renewal Costs (currently at Alexandrina is represented by 'depreciation') are the amounts required to maintain and renew assets to provide the present levels of service. Planned Expenditure is the amount that can be realistically accommodated in Council's budget and long-term financial plan to renew those assets. It should be noted that determination of projected renewal costs by ‘depreciation’ is one form of assessing future funding needs. Depreciation usually relies on straight-line devaluation of an asset over its assessed useful life. Actual asset decay or degradation is not straight-line over its useful life. A more representative method is by financial modelling based on condition assessments and knowing the point of degradation at which renewal is required. Renewal is usually before structural failure (on a scale of 0-10, intervention for renewal or retreatment may fall at a rating of 8). An improvement item is to develop an appropriate financial modelling process for each asset group. Asset Category – Projected & Planned Renewal Expenditures Year End June 30. Roads & Footpaths, $'000 Projected. Planned. Bridges & S’water Infr. $'000 Projected. Planned. Water Supply & W'w Mgmt, $'000 Projected. Planned. Buildings, $'000 Projected. Planned. Recreational Open Space, $'000 Projected. Planned. 2013. 2,720. 2,428. 230. 194. 0. 327. 2. 385. 0. 352. 2014. 5,377. 2,391. 5. 209. 521. 327. 121. 100. 0. 252. 2015. 4,510. 2,635. 8. 229. 357. 339. 88. 350. 279. 252. 2016. 4,559. 2,508. 8. 269. 261. 187. 94. 275. 0. 252. 2017. 5,915. 3,284. 11. 269. 620. 349. 1,124. 320. 207. 252. 2018. 4,534. 2,653. 8. 269. 115. 498. 207. 100. 62. 252. 2019. 5,663. 3,621. 1. 269. 71. 279. 1,673. 227. 50. 252. 2020. 2,380. 4,624. 14. 269. 64. 289. 33. 108. 421. 252. 2021. 2,879. 4,647. 3. 269. 65. 175. 34. 192. 0. 252. 2022. 3,344. 4,945. 7. 269. 87. 268. 478. 40. 0. 252. Average. 4,188. 3,374. 30. 252. 216. 304. 385. 210. 102. 262.
(15) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 12. Disparity between Projected Costs and Planned Expenditure on Renewal Across all five asset categories, the disparity (difference between planned expenditure and projected costs) and the annual cumulative disparity is as shown below. Note that negative values indicate shortfalls. IAMP Renewal Funding Disparity. Asset Category Year End June 30. Roads & Footpaths, $'000. Bridges & S’water Infr. $'000. Water Supply & W'w Mgmt, $'000. Buildings, $'000. Recreational Open Space, $'000. Total Annual Disparity, $'000. Cumulative Renewal Disparity ($'000). 2013. -292. -36. 327. 383. 352. 734. 734. 2014. -2,986. 204. -194. -21. 252. -2,745. -2,011. 2015. -1,875. 221. -18. 262. -27. -1,437. -3,448. 2016. -2,051. 261. -74. 181. 252. -1,431. -4,879. 2017. -2,631. 258. -271. -804. 45. -3,403. -8,282. 2018. -1,881. 261. 383. -107. 190. -1,154. -9,436. 2019. -2,042. 268. 208. -1,446. 202. -2,810. -12,246. 2020. 2,244. 255. 225. 75. -169. 2,630. -9,616. 2021. 1,768. 266. 110. 158. 252. 2,554. -7,063. 2022. 1,601. 262. 181. -438. 252. 1,858. -5,205. At this stage there is no long-term projection of operations & maintenance requirements. The only figures available related to proposed operations & maintenance from the LTFP. However there are figures available for projected renewals and proposed renewals. The Table above indicates the disparity, or ‘gap’, in renewal funding over the next 10-years. It also shows the cumulative effect of continuing with a funding shortfall.. The table shows that although there are apparent ‘surpluses’ predicted at 30 June 2013, 2020, 2021 & 2022 in fact the cumulative impact is that there will be an ongoing ‘shortfall’ in renewal funding of infrastructure assets peaking at $12.24 million in 2019 and dropping down to 5.2 million in 2022. Ideally, at the end of the 10-year period there should be a zero balance and more work will be done on refining estimates of expenditure to achieve this goal. It must be stressed that these projections are based on the current understanding of asset management needs over the next 10 to 20 years. Note that negative disparity values are shortfalls..
(16) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 13. 1.3 General Planning Objectives Council plans to operate and maintain its infrastructure and assets to achieve the following strategic objectives: . Ensure that assets are maintained at a safe and functional standard.. . Meet or exceed community expectations and achieve social justice for all.. . Cater for future growth, demographic changes and community needs.. 1.4 Key Asset Assumptions and Data Limitations Limitations on data quality and current analysis tools, applied over the diversity of assets in the IAMP, have constrained the Plan outcomes.. Asset Class. General. Unsealed (Sheeted) Roads. Assumption / Limitation . 1 / 3.1 1 / 4. 1 1 / 4.5.1 1 / 5.2. . Specific community Levels of Service unknown. Impacts of the economic downturn on growth predictions. Simplistic and restrictive financial analysis available from on-line templates. Detailed assessment of risks awaiting production of the Risk Management Plan. Excluded from financial modelling due to condition rating uncertainties. Improvement Plan to review sealed roads and unsealed roads hierarchy and subsequent levels of service Cost-effective condition rating methodology for underground assets (eg, pipes) to be reviewed Asset renewal insignificant and included in 'upgrade'. Improvement Plan to address AM shortcomings. . No Council-acquired new or upgraded water supply infrastructure. Improvement Plan to address AM shortcomings. 4 / 4.1.2 4 / 8.2. . Council to review day-to-day maintenance requirements and expectations for leases properties. Asset growth may not be accurately reflected in the financial reporting. Improvement Plan to address AM shortcomings Maintenance expenditure includes very significant component devoted to noncapitalised assets. Data collection and condition assessment of Rec & Open Spaces assets required Improvement Plan to address AM shortcomings. 5 / 3.1. Stormwater Management Water and Wastewater Management Buildings. Recreational Open Space. . 1.5. Reference Part / Section. 2 / 6.1.1 2 / 8.2 3 / 5.1.3 3 / 5.1.4 3 / 8.2. 5 / 4.4.3 5 / 8.2 6 / 2.1 6 / 5.1.3 6 / 8.2. Performance Measures. The three significant measures of Council’s performance are: Quality - The assets will be maintained in a usable condition. Defects found or reported that are outside our service standard will be repaired. Defect prioritisation and response times will be detailed in Council’s Maintenance Response Levels of Service. Function - Our intent is that appropriate assets are maintained in partnership with other levels of government and stakeholders to ensure they meet current and future needs. Safety - Assets will be maintained at a safe level and associated signage and equipment will be provided as needed. Council inspects all assets regularly and prioritises the repair of defects in accordance with our inspection schedule to ensure they are safe..
(17) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 14. The main functional consequences of failure to deliver the desired outcomes are: . Asset Maintenance. Increase in user and owner costs Increase in litigation. . Levels of Service. Unsatisfactory conditions / service levels Increase in user and owner costs. 1.6 IAMP Implementation Program Following completion of the ‘core’ IAMP, the following actions are proposed: Approval Council endorsement of the advanced draft IAMP. Community consultation and Plan review. Council adoption of IAMP. Implementation Training in new IAMP processes for asset custodians and Managers. Commencement of ongoing IAMP Improvement Plans. Data Refinement and Improvement Proposed Improvement Plan actions and timelines are indicated in Section 8.2 of each Part of the IAMP. Review Annual review of IAMP financial data at stage of annual budget formulation. Periodic revision of IAMP..
(18) Infrastructure and Asset Management Plan Part 1, General Statements. 2. Alexandrina Council 1 - 15. INTRODUCTION. 2.1 Background 2.1.1 Purpose of the Plan The Infrastructure and Asset Management Plan, IAMP sets out how the Alexandrina Council delivers service to the community on a long term sustainable basis through the effective utilisation of its infrastructure and assets that underpin service delivery. It has been prepared to demonstrate responsive management of assets (and services provided from assets), compliance with regulatory requirements, and to describe funding to provide the required levels of service, projected over a 20-year reporting period. It combines management, financial, engineering, technical, and service delivery practices to ensure that the level of service required by user groups is provided at the lowest long term cost to the community within the limits of any fiscal constraints that may be imposed by Council. This Management Plan is a key element of Council’s strategic asset management planning.. 2.1.2 Strategic Planning Linkages The following chart outlines the linkages between the various components involved in Council’s strategic planning process and progression of development of the Infrastructure & Asset Management Plan, IAMP. The IAMP is to be read with the following associated planning documents: Community Strategic Plan – Articulates the long-term strategic direction of Council. Long-term Financial Plan – Outlines all aspects of the key financial strategic objectives and commitments. Funding Policy – Describes how future expenditure needs will be funded. Annual Plan – Detailed action plan on projects and finances for each particular year. The works identified in the IAMP form the basis on which future annual plans are prepared. Contracts – The service levels, strategies and information requirements contained in the IAMP are translated into field staff work instructions, contract specifications and reporting requirements. By-Laws, Standards and Policies – Tools to assist in the management of and to support strategies. Business Plans – Levels of service, processes and budgets defined in the IAMP are incorporated into business plans as activity budgets, management strategies and performance measures.. Figure 2.1: Strategic Management Framework. Figure 2.2: Strategic Planning Linkages.
(19) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 16. 2.1.3 Key Stakeholders Key stakeholders in the preparation and implementation of the IAMP are: Federal and State Governments and Agencies Funding assistance and standards development. Elected members Community representation and administration. Community End-user involvement. Visitors End-user involvement. Utilities / Developers Providers of services and infrastructure facilities. Employees / Volunteers Operational and administration providers. Contractors / Suppliers External providers of goods and services. Insurers Remedy providers..
(20) Infrastructure and Asset Management Plan Part 1, General Statements. 2.1.4 Organisation Structure. Alexandrina Council 1 - 17.
(21) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 18. 2.1.5 Infrastructure & Assets Included in the Plan Asset categories and classes are quantified in the relevant Part for each asset category. Table 2.1 provides an overview: Table 2.1: Assets Covered by the IAMP – Overview. IAMP Part. Asset Category. Part 2. Roads and Footpaths. Part 3. Bridges, Kerbs and Stormwater Management. Water Supply. Sewer Pipes Part 4. Sewer Manholes Sewage Treatment & Pumping. Part 5. Buildings. Part 6. Recreational Open Space. Asset Class. Quantity. Unit. Roads Car Parks Footpaths Pram Ramps Bridges Major Culverts Kerbs Stormwater Drains Stormwater Pits Stormwater Treatment & Pumping Water Meters Stop Valves Water Mains Gravity Drains Gravity Mains Irrigation Lines Rising Mains Vacuum Pipes Lot Connections Boundary Kits Flushing Points Maintenance Shafts Manholes WWTP's Miscellaneous equipment Ablution/Toilet Commercial Community Sports & Recreation Facility Administration & Operations Waste Management Facility WWTP Park Furniture Shelters Irrigation Playgrounds Boat Ramps Jetties and Wharves Footbridges Staircases and Boardwalks Fences Other identified Structures (Maloney). 1,316 111,248 80 1130 39 29 285.7 104.5 3,351 N/A 24 7 9.5 97.1 27.9 7.7 63.6 2.2 5,630 75 2,231 42 246 3. kms m² kms No. No. No. kms kms No. Items No. No. kms kms kms kms kms kms No. No. No. No. No. No. Items No. No. No. No. No. No. No. No. No. No. No. No. No. No. metres metres Items. 40 13 52 6 29 15 8 360 40 10 23 17 8 12 955 9,350.
(22) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 19. 2.2 Goals and Objectives of Asset Management Refer to asset category and relevant Part. Council exists to provide services to its community. Many of these services are provided by infrastructure assets. Council has acquired infrastructure assets by ‘purchase’, by contract, construction by Council staff and by donation of assets constructed by developers and others. Council’s goal in managing infrastructure assets is to meet the required levels of service in the most costeffective manner for present and future consumers. The key elements of infrastructure asset management are: taking a lifecycle approach; developing cost-effective management strategies for the long term; providing defined levels of service and monitoring performance; understanding and meeting the demands of growth through demand management and infrastructure investment; managing risks associated with asset failures; sustainably using physical resources; and continuously improving asset management practices. The IAMP has been prepared under the direction of Council’s vision, mission, goals and objectives as established in the Alexandrina Council Community Strategic Plan 2009-2013 (reference 18, adopted March 2009).. 2.2.1 Council’s Vision & Mission Statements Council’s draft vision is: Alexandrina – Connecting Communities Council’s draft mission is: Provide leadership through equitable, efficient and effective services supporting the aspirations and needs of our community.. 2.2.2 Relevant Strategic Plan Goals, Strategies and Planning Principles Assets are a significant means for local government to support community interests across a range of areas, contributing to social, economic and environmental sustainability. All assets will, in some way, influence and support the following community aspirations and outcomes. For example, recreation and open space can increase usage of community assets (if a well-maintained park is adjacent to a community building), improve liveability (if attractive buffers soften the impact of new urban growth areas), foster wellbeing (in providing spaces for activity and social inclusion) and support biodiversity (in choosing plantings with local relevance for flora or fauna)..
(23) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 20. The aspirations, outcomes and strategies from Council’s draft Community Strategic Plan relevant to all asset categories are shown in Table 2.2..
(24) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 21. Table 2.2 Relevant Draft Strategic Plan Statements. DRAFT Aspiration. Innovate throughout our Region. DRAFT Outcome. DRAFT Strategy. Proactive Leadership and Accountability. Maintain a high-performing, dynamic organisation responsive to community interests (Provide/Respond). Resilient Economy. G. Amplify the voice of community, representing how regional, state, national and international trends impact locally (Advocate/Influence). G. Participate in regional advocacy for improved and integrated transport networks supporting equity for local communities (Advocate/Influence). G RF. Recognise, support and value a confident primary production future (Lead/Empower). G. Showcase ‘Alexandrina 2040’ as a premium living and lifestyle destination (Facilitate/Connect) Attract diverse industries and strengthen our workforce to grow the local economy and increase employment opportunities (Advocate/Influence) Productive Community Assets. Asset Classes (G) General (RF) Roads and Footpaths (BSM) Bridges and Stormwater Management (WWM) Water Supply and Wastewater Management (B) Buildings (ROS) Recreation and Open Space. Attract external infrastructure investment and development, including technological opportunities (Facilitate/Connect) Expand and renew community infrastructure (Provide/Respond). G ROS. G. G ALL. G ALL. Maximise multi-purpose usage of community assets, fostering social capital (Lead/Empower) Activate our Spaces. Vibrant Communities. Foster and build strong township identities, interacting with our heritage (Lead/Empower). G ALL G.
(25) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 22 B ROS Inspire arts, culture and creative activities that encourage investment and participation (Facilitate/Connect). G B ROS. Encourage community ventures and options for participation across sport and recreation for our wellbeing (Lead/Empower). G RF ROS. Memorable Experiences. Create welcoming, accessible public spaces around natural and built environments (Owner/Custodian). G RF B ROS. Identify and encourage lifestyle and visitor experiences (Facilitate/Connect) Liveability of Townships & Rural Areas. Design for integrated healthy spaces & places (Provide/Respond). G G RF WWM ROS. Visible and connected areas (Facilitate/Connect). rural. G RF ROS. Enhance the amenity and quality of our recreation and open space areas (Provide/Respond). G RF ROS. Participate in Wellbeing. Self-Sustaining Communities. Engender and support models for participation across community by all age groups, including sharing of intellectual assets (Lead/Empower). G. Coordinate, cultivate and tailor volunteerism and social participation (Facilitate/Connect). G. Build skills and capability in community leadership and ownership (Facilitate/Connect). G.
(26) Infrastructure and Asset Management Plan Part 1, General Statements Collaborative Community Ventures. Alexandrina Council 1 - 23 Promote and support community ventures ‘in-place’ tailored to local issues and options (Provide/Respond). G B ROS. Seek to match local wellbeing needs to funding and partnership opportunities across government, non-government and private sectors (Advocate/Influence) Better utilise existing community facilities and assess purpose and fit for emerging trends and needs. G. G ALL. Accessible Services and Opportunities. Drive awareness of, and support access to, Federal, State and Regional programs and resources (Facilitate/Connect) Research, tailor ideas and lobby for core community services that can be accessed in-place or access supported to-place (Advocate/Influence) Protect public health and promote linkages to the wellbeing of the broader community (Provide/Respond). G. G. G RF WWM ROS. Thrive in ‘Clean, Green’ Futures. Enhanced Biodiversity. Build alliances with community, government and nongovernment stakeholders, including NRM, optimising respective strengths and knowledge (Partner/Collaborate) Plan initiatives targeting local natural environs, flora, fauna and ecosystems (Facilitate/Connect). Protection of Water Resources. G BSM WWM ROS G ROS. Foster youth and career pathways in local biodiversity (Advocate/Influence). G. Respect the integrity of the Coorong, Lower Lakes and Murray Mouth –exemplifying a ‘healthy, working Basin’ (Advocate/Influence). G BFM WWM ROS. Support innovative water efficiency initiatives. G.
(27) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 24 (Provide/Respond). BFM WWM. Optimise community use of water resources (Educate/Promote). G BFM WWM ROS. Progressive Approaches to Climate Adaptation. Build resilience through clean energy initiatives (Advocate/Influence). G. Adapt a range of waste management opportunities, tailored to reduce community footprint & upcycle resources (Provide/Respond). G. B. WWM. Reduce vulnerability through preparing climate-suitable community buildings and assets (Partner/Collaborate). G B. Township Planning Principles: Goolwa & Hindmarsh Island. Create an Industrial / Enterprise Park zone near Goolwa. Extend residential zoning north of Goolwa and consolidate residential living to the north west of Hindmarsh Island.. Milang. Continue to develop adequate infrastructure to enable growth.. Strathalbyn. Manage population / household growth within the urban boundary.. 2.3 Plan Framework The prime guidance used for development of Council’s Infrastructure Asset Management Plan is the framework set out in the Institute of Public Works Engineering Australia’s (IPWEA) International Infrastructure Management Manual (IIMM). The IIMM Framework sets out how the Council’s assets are managed from a Strategic, Tactical and Operational point of view. The structure of each Plan, including Part 1 which entails information general to each of the group AM Plans, is outlined in the following diagram. The Planning Framework is shown in Figure 2.3. Key elements of the plan are: Levels of service – specifies the services and levels of service to be provided by Council. . Future demand – how this will impact on future service delivery and how this is to be met.. . Lifecycle management – how Council will manage its existing and future assets to provide the required services.. . Financial summary – what funds are required to provide the required services.. . Asset management practices - means by which assets are managed to provide required levels of service.. . Monitoring – how the plan will be monitored to ensure it is meeting Council’s objectives..
(28) Infrastructure and Asset Management Plan Part 1, General Statements . Alexandrina Council 1 - 25. Asset management improvement plan – program of activities to enhance the asset management processes.. 2.4 Core and Advanced Asset Management This IAMP has been prepared as a ‘core’ document in accordance with the International Infrastructure Management Manual (ref. 14). It meets minimum legislative and organisational requirements for sustainable service delivery and long-term financial planning and reporting. Core asset management is a ‘top down’ approach where analysis is applied at the ‘system’ or ‘network’ level. In many instances, available data on asset attributes and service levels, documented risks, valuations, detailed works programs and the like, are incomplete. A vital ingredient of the IAMP is the Improvement Plan (Section 8). Incorporation of the task outcomes into revisions of the IAMP will lead to refinements and improved accuracy in the data and a Plan with which asset custodians can be confident in their primary role as managers of the assets. Future revisions of the Plan will move towards ‘advanced’ asset management, using a ‘bottom up’ approach for gathering asset information on individual assets to support the optimisation of activities and programs to meet agreed service levels..
(29) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 26. Figure 2.3: IAM Planning Framework Section 1 Executive Summary Outline of content Key Issues. Section 2 Introduction Purpose & Scope of the Plan Plan Format Key Stakeholders Linkages to Corporate Strategies. Section 3 Levels of Service. Section 4 Future Demand. Function & Hierarchy Customer Research Strategic & Corporate Goals. Demand Forecasts Demand Planning Management Strategy. Section 5 Life Cycle Management Plan Physical Parameters Ownership Function Asset Capacity/Performance Condition Valuation Work Category Definitions. Operations & Maintenance O & M strategy Maintenance Agreement Maintenance Activities Inspections. Renewals & Replacements. New, Upgrade, Disposal. Renewal strategy & plan Risk Management Framework. Planning criteria & assumptions. Section 6 Financial Projections Current financial position Funding capacity Funding options & strategy. Sections 7 & 8 AM Practices, Performance Monitoring & Improvement AM Practices Data Systems AM Improvements Monitoring & Review Procedures.
(30) Infrastructure and Asset Management Plan Part 1, General Statements. 3. Alexandrina Council 1 - 27. LEVELS OF SERVICE. The International Infrastructure Management Manual describes Levels of Service (LOS) as ‘defined service quality for an activity or service area against which service performance may be measured’. What do we mean by “Levels of Service”? Figure 3.1: Levels of Service Concept Diagram. Level of Service (LOS) is the defined quality of service of an asset. Understanding the required level of service is vital for lifecycle management, as this largely determines an asset’s development, operation, maintenance, replacement and ultimate disposal. Levels of service are pivotal in asset management as they have a direct financial impact due to their importance in both operational and risk-based prioritisation. An objective of asset management planning is to match the level of service provided by an asset with the expectations of its customers. Asset Management Planning will enable a relationship between level of service and cost of service to be determined. This relationship can then be evaluated in consultation with customers to determine the optimum level of service customers are willing to pay for. Levels of service can be broken down into three basic aspects: Function – its purpose for the community Design Parameters – what is required of and from the asset itself Performance & Presentation - the effectiveness of delivery of the service Levels of Service are determined from the public consultation process and customer satisfaction surveys. They reflect the strategic objectives of Council and are based on: Customer expectations for quality of service and willingness to pay Legislative requirements; environmental standards, regulations and legislation that impacts the way assets are managed Council’s mission and objectives as stated in the strategic plan Available resources, particularly financial constraints Organisational delivery mechanisms Design Standards and Codes of Practice.
(31) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 28. Defined levels of service can then be used to: Inform customers of the proposed level of service to be offered Develop AM strategies to deliver the required level of service Measure performance against those defined levels of service Identify the costs and benefits of the services offered Enable customers to assess suitability, affordability and equity of the services offered. Tables in each asset group part of this Infrastructure Asset Management Plan will outline what it is assumed to be community expectations in terms of that asset group in terms of maintenance and presentation and general levels of service. Levels of service to date have been developed on the basis of available funding through the annual budget process.. 3.1 Customer Research and Expectations Council has not carried out research on customer expectations at a community-wide level. This will be investigated for Plan updates. Council will use this information in developing specific Levels of Service and in the allocation of resources in the annual budget. However, notwithstanding the position that no community-wide consultation has taken place, services have generally been provided over many years based on historic levels of service which are periodically adjusted through the annual budget process. Community concerns raised through Council, elected representatives and council officers do impact this process. Services have been therefore been delivered to an assumed level of service that is likely to be expected by the community. During any future consultation process Council will test this premise to make sure that it is correct or amend it accordingly.. 3.2 Legislative and Other Requirements Council has to meet many legislative requirements, including Federal and State legislation and Council Policies and By-Laws. These include: Table 3.1: Legislative and Other Requirements. Document Title. Purpose and Obligations Acts. Civil Liability Act. Liability of road authorities. Section 42, May 2004 inclusion into the Act to provide a replacement for the non-feasance defence consequence to the May 2001 High Court judgement. Coastal Protection Act. The responsibilities and powers of Council in protecting the quality of the coastal environment.. Disability Discrimination Act. The responsibilities and powers of Council in providing equitable access for persons with a disability.. Environmental Health Act. The responsibilities and powers of Council in maintaining public health.. Environmental Protection Act. The responsibilities of Council in protecting the environment.. Highways Act. Sets out the legislative framework for roads and road authorities in South Australia.. Local Government Act. The role, purpose, responsibilities and powers of Council including the preparation of a long-term financial plan supported by the IAMP for sustainable service delivery.. Native Vegetation Act. The responsibilities and powers of Council in providing protection for native vegetation..
(32) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 29. Document Title. Purpose and Obligations. Natural Resources Act (and plans). The role, purpose, responsibilities and powers of local government in controlling the use of natural resources.. Occupational Health, Safety and Welfare Act. The responsibilities of Council in providing safe work practices and worksites.. River Murray Act. The responsibilities and powers of Council in protecting the quality of the river flows.. Road Traffic Act 1961. The responsibilities of Council in traffic matters.. Other relevant State and Federal Acts and Regulations. As appropriate. Standards. AAS27, AASB116, AASB1031. The responsibilities of Council for maintaining accounting standards.. Australian Accounting Standards Board. Accounting rules setting out Council requirements for the financial reporting of assets.. Australian Road Rules. Regulations under the Road Traffic Act (SA).. Australian Standards. The minimum requirements for Council for operational and design standards.. Building Code of Australia. The responsibilities and powers of Council in providing safe buildings.. DTEI Code of Technical Requirements for the Legal Use of Traffic Control Devices. The responsibilities of Council in the design, construction and maintenance of traffic control devices.. Environment Protection Authority, Code of Practice for Stormwater Pollution Prevention. The responsibilities of Council in maintaining stormwater discharge quality and controlling erosion.. Mutual Liability Scheme (LGASA). The responsibilities of Council in managing risk and liabilities.. Natural Resources Management Board, Management Policies. The requirements of Council in managing natural resources. By-Laws. By-Laws with specific relevance to the management of assets By-Law No 1 – Permits and Penalties, September 2002 By-Law No 3 – Local Government Land, amdt March 2003 By-Law No 4 – Roads, amdt March 2003 Council Policies Polices and procedures, with specific relevance to the management of assets. Alexandrina Council Building Fire Safety Committee Asset Management and Accounting, July 2007 Common Effluent Draining (CED) Schemes Communication, July 2007. Ensure Council compliance with fire safety provisions in public (and commercial) buildings..
(33) Infrastructure and Asset Management Plan Part 1, General Statements. Document Title. Alexandrina Council 1 - 30. Purpose and Obligations. Community Groups – Payment of Fees Crossovers to Properties Depot Security Donations and rebates to Halls and Community Groups, May 2003 Insurance – Council Assets, May 2003 Over-dimensional Vehicles Pipes under Roads – Commercial and Domestic Pram Ramps, May 2003 Properties – Council Owned Road Hierarchy (draft,2006) Road Reserve Management Plan, Policy and Guidelines, 2000 Road Sealing, Non-Budgeted Roads – Grading of Safe Environment Speed Limits at Roadworks, May 2003 STEDS – Maintenance, May 2003 Stormwater Outflows – Rural, May 2003 Street Lighting Sustainability, September 2003 Urban Verge Maintenance Works – Common Effluent Drainage, May 2003 Works – Road Reserve, May 2003. 3.3 Current Levels of Service Council has defined service levels in two terms: Community Levels of Service - relate to how the community receives the service in terms of safety, quality, quantity, reliability, responsiveness, cost / efficiency and legislative compliance. Technical measures of performance - supporting the community service levels and are developed to ensure that the minimum community levels of service are met. Where table entries are shown as '#' data are unavailable. Future IAMP revisions will include this information, as it becomes available.. 3.4 Desired Levels of Service At present, indications of desired levels of service are obtained from various sources including residents’ feedback to Elected Members and staff, service requests and correspondence. Council has yet to quantify desired levels of service. This will be done in future revisions of the IAMP..
(34) Infrastructure and Asset Management Plan Part 1, General Statements. 4. Alexandrina Council 1 - 31. FUTURE DEMAND. 4.1 Population Growth The following Chart from the Australian Bureau of Census & Statistics shows the population growth in South Australia in the period 2001 to 2011. It shows Alexandrina to be amongst the highest growth areas within the State (> 15%).. SA2 POPULATION CHANGE, South Australia - 2001-11. The derived and adopted base assumptions are shown in Table 4.1. Table 4.1: Community Growth Projections. Alexandrina Council Population Change in Population (5yrs) Average Annual Change (%) Households Average Household Size (persons) Population in non-private dwellings Dwellings Dwelling occupancy rate. Forecast Year 2006. 2011. 2016. 2021. 2026. 2031. 21,496. 24,593 3,097 2.73 10,547 2.3 289 14,015 75.26. 26,989 2,396 1.88 11,639 2.29 383 15,437 75.4. 29,176 2,187 1.57 12,620 2.28 413 16,729 75.44. 31,230 2,054 1.37 13,456 2.29 443 17,837 75.44. 33,099 1,869 1.17 14,201 2.3 473 18,802 75.53. 9,170 2.32 184 12,238 74.93. Source: Alexandrina Population & Household Forecasts 2006-2031 (Updated 28/02/2012).
(35) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 32. Investigations for Council’s Strategic Plan (ref. 18) indicated that Goolwa, Hindmarsh Island and Strathalbyn will have consistently higher growth than the district average. It is therefore essential that planning for future demand prioritises new service provision in these areas. Factors affecting demand include population change, changes in demographics, seasonal variations, vehicle ownership, consumer preferences and expectations, economic factors, agricultural practices and environmental awareness.. 4.1.1 Allotment Creation and Asset Yield Alexandrina continues to enjoy strong growth, with no evidence in the level of land division activity abating. For the reporting period to 2028, increases in asset stock will be derived largely from donated assets, rather than new / expansion works undertaken by Council. As a basis for determining asset yield from land divisions, the approximate breakdown of lots, by number since 2004 has been: Major land division (80 lots or more). 35%. Small land divisions (up to 15 lots). 45%. Minor land divisions (1 to 2 lots). 20%. and per allotment type: Rural living. 10%. Conventional residential. 73%. Community Title / Small. 15%. Industrial / Commercial. 2%. The assumed demographic trends are shown in the Strategic Plan (ref. 18). 4.1.2 Demand Factors – Trends and Impacts Refer to asset category and relevant Part.. 4.2 Climate Change Climate change has become a topical environmental issue in recent years. Over the past decade there have been extremes of weather patterns across Australia ranging from severe drought, bushfires and flooding. A report “Infrastructure and Climate Change Risk Assessment for Victoria” was prepared by the CSIRO for the Victorian Government in 2007. Although specifically for Victoria its finding are just as relevant for other parts of South-Eastern Australia if not the entire country. The report raises issues relating to infrastructure that may well be at risk due to climate change. Increased frequency and intensity of extreme rainfall, wind and lightning events is likely to cause significant damage to infrastructure, including roads, drains, buildings and other urban facilities. The resulting accelerated degradation of materials may reduce the life expectancy of buildings, structures and facilities, increasing the maintenance costs and leading to potential structural failure during extreme events. Accelerated degradation of materials, structures and foundations of roads, structures, buildings and various facilities may occur through increased ground movement and changes in groundwater. Increased temperature and solar radiation could reduce the life of road and facility elements due to temperature expansion and materials breakdown of concrete joints, steel, asphalt, protective cladding, coatings, sealants, timber and masonry. This could increase the maintenance costs and lead to potential structural failure during extreme events..
(36) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 33. To enable council to give consideration to elements of its infrastructure assets that may be at risk, a checklist has been included in each Group AM Plan to be used to undertake a preliminary risk assessment. If a risk of concern is identified, a more detailed risk assessment is required. Where any element, or the structure overall, is at risk suitable response or remedial measures need to be investigated and implemented.. 4.3 Legislative Change Legislative change can significantly affect Council’s ability to meet minimum levels of service, and may require improvements to building and facility infrastructure assets. Such changes also include the various Regulations with which council buildings and facilities have to comply. This can result from changing environmental standards, community safety standards, OH&S, etc. These can all add to the cost of maintaining and operating Council infrastructure assets and must be accounted for in the annual budget process. This can impact requirements for facilities such as Public Buildings, Community facilities, etc as has been experienced in the past with issues such as disability access. Specific changes are outlined in the asset category relevant Part.. 4.4 Changes in Technology Technological changes, more particularly those related to climate change, energy consumption patterns and water usage, are forecast to have some effect on service delivery. Specific changes are outlined in the asset category relevant Part.. 4.5 Demand Management Plan Demand for new and enhanced service delivery will be managed through a combination of better utilisation and upgrading of existing assets and providing new assets to meet demand. Demand management practices also include non-asset solutions, insuring against risks and managing failures. Specific changes are outlined in the asset category relevant Part.. 4.6 New Assets from Growth Refer to asset category and relevant Part.. 4.6.1 Assumptions Used in Projected Asset Growth There is a diminishing degree of confidence in the projected data from 'committed’ for a three – year works program, through ‘credible’ in the 10 – year LTFP to ‘plausible’ for the balance of the period to 2028. Some attempts have been made to anticipate growth and expenditure ‘peaks’, rather than a linear extrapolation. It is recognised that projections are, at best, estimates based on current knowledge and will be subjected to regular review. The relationship between asset growth (Council-acquired and developer-contributed) and population growth / demographic changes varies across the asset categories and classes. For example, road pavement and seal assets will be created for most of the created allotments, whereas very few built-form assets will accrue in recreational open space. Thus, there is not a clear ratio of asset creation per created allotment, which is then made more complex when Council-acquired assets are taken into account. In this latter case, and using the previous asset examples, road assets will be acquired; some as a result of nearby land division activity but also from strategic regional planning, eg. freight transport bypass routes. On the other hand, Council will likely install many playgrounds, park benches and barbecues in open space. In the interests of uniformity across the industry, Council will comply with the simplistic growth assumptions of the LGA financial templates. The on-line financial input data, Part A, requires estimates of population growth, dwelling occupation rates (and hence growth in residence numbers) and allotment generation. It appears that the basic assumption is made that the annual increase in population equates.
(37) Infrastructure and Asset Management Plan Part 1, General Statements. Alexandrina Council 1 - 34. to the annual increase in allotments and hence in contributed assets. This does not apply, at least at Alexandrina, but the values of developer-contributed infrastructure have been computed on a per-headof-population basis to enable the financial reporting to be produced. The associated charting, which is inputted to Parts 2 to 6 of the IAMP, requires that projected asset values be ‘annualised’, ie., averaged out over the reporting period, thus obfuscating the financial impact of large capital projects. Furthermore the average annual growth will only be illustrated for assets donated to Council, as Council constructed / acquired assets are built into the predictions of future expansion / new expenditure and are not readily extracted. There is also a knock-on effect in the misleading way operations and maintenance expenditure may be reported as a result of the 'smoothing' / 'annualising' process.. 4.6.2 Contributed Assets Refer to asset category and relevant Part.. 4.6.3 Constructed Assets Refer to asset category and relevant Part..
Related documents