vtrans asset management - vermont...

VTransAsset Management

Chad A. Allen, P.E., DirectorAsset Management & Performance Bureau

January 14, 2015

Commitment to Asset Management willchange how the Vermont Agency of

Transportation conducts its business!change

The purpose of Asset Management is tomeet a required level of service, in themost cost effective manner through

the management of assets for presentand future customers.

Business Purpose / Need Statement

Source: IIMM

Why Asset Management ?

MAP 21 Federal Requirements (2012) tied toAgency Funding Levels

Asset Management was mandated byVermont Legislature

(Act 64 in 2001) and is documented under19 V.S.A. § 10k - Highways

Chapter 1: STATE HIGHWAY LAW

Map 21 Requirements

Each State is required to develop a risk-based and performancebased asset management plan for the National Highway System(NHS) to improve or preserve the condition of the assets and theperformance of the system. Plan development process must bereviewed and recertified at least every 4 years. (23 U.S.C.119(e)(1), MAP-21 § 1106)

Map 21 will establish minimum standards for Interstatepavements and NHS bridges and will require States to devoteresources to improve conditions beyond the minimumrequirements.

Map 21 Timeline / Penalties

The federal rule making process is currently on-going.AASHTO Subcommittee on Asset Management expectsfinal rule to be issued prior to October 1, 2015 resulting ineach State to have a certified Transportation AssetManagement Plan (TAMP) by October 1, 2016.

States which do not implement a TAMP within theestablished timeframe will see their Federal Share forNational Highway Performance Program (NHPP) projectsdecrease from 80% to 65%.

AgencyGoals

ProgramObjectives

(Strategic Management)

Performance Measures(Performance Management)

Data ManagementData: Quality, Standards & Governance

AM Visualization - Simplified

StrategicMgmt

RiskMgmt

Perform.Mgmt

AssetMgmt

2001-2002 VERMONT LEGISLATURENO. 64. AN ACT RELATING TO THE STATE’S

TRANSPORTATION CAPITAL PROGRAM ANDPROJECT DEVELOPMENT PLAN.

Sec. 24. 19 V.S.A. § 10k is added to read:

§ 10k. STATEMENT OF POLICY; ASSET MANAGEMENT

The agency shall develop an asset management plan which is asystematic goal and performance-driven management and decision-making process of operating, maintaining and upgradingtransportation assets cost-effectively.

19 V.S.A. § 10kAt a minimum, the asset management system shall:

(1) identify transportation system indicators by which thedifferent components of the transportation system may beevaluated;

(2) list all of the infrastructure assets and their condition, including,but not limited to, pavements, structures, and facilities;

(3) include deterioration rates for infrastructure assets; and(4) determine, long-term, the annual funds necessary to fund

infrastructure maintenance at the recommended performancelevel.

Why Asset Management?

Asset Management Defined

MAP 21 Definition: Asset management is a strategic andsystematic process of operating, maintaining, andimproving physical assets, with a focus on engineeringand economic analysis based upon quality (data)information, to identify a structured sequence ofmaintenance, preservation, repair, rehabilitation, andreplacement actions that will achieve and sustain adesired state of good repair over the lifecycle of theassets at minimum practicable cost. (23 U.S.C. 101(a)(2),MAP-21 § 1103)

VTrans’AM MissionWhat ?

The overall mission is to program capital ormaintenance activities for assets at strategic points inthe asset’s life cycle with the intention of extending itsexpected useful life, increase performance, whileminimizing the costs to manage the asset over its lifespan.

How?

By meeting the required customer service level, in themost cost effective manner through the managementof assets for both present and future customers.”

Monitor asset status and condition, determinecustomer service levels, measure performanceand determine any unmet needs. = Sustainability.

Maximize the value of VTrans’ capital, operationsand maintenance expenditures within currentrevenues, while continuously delivering levels ofservice that the public expects and decisionmakers require. = Fiscal Accountability.

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Benefits of AM

Develop analytical methodologies and tools requiredto analyze asset life-cycle costs and benefits of capitaland maintenance projects, and to evaluate projectsacross transportation modes and programs whileminimize the cost of managing the system over thelong-term – resulting in an increased cost effectivenessand service life = Credible Programming.

Strategically time treatment interventions to helpsextend the asset’s useful life and maximize theAgency’s financial resources = Right3.

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Benefits of AM

Suite of data management tools that generatesconsistent strategic information across asset typesthat is consistent with tactical information = DataIntegration & VTransparency

Develop Agency Risk Registry; resulting in reduction ofrisk to the Agency, better decisions and increaseperformance = Risk Management.

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Benefits of AM

Decisions, Decisions …

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es

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GoodGood

Fair

Poor

Very Poor

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$$$$

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11.2

7.0

2.6

*6%

Goal

20.0 20.4

7.3

*10%

Goal

18.5

15.9

7.9

*12%

Goal

17.0

13.4

6.8

*10%

Goal

0.0

10.0

20.0

30.0

Interstate Bridge State Highway Bridge Town Highway Bridge State Shorts

Perc

ent

ofBridges

Structural Deficiency over Time by System*April Submittal Years 2004, 2009, and 2014

2003 - April 2004 Submittal



Interstate Bridge State Highway Bridge Town Highway Bridge State Shorts

GoodGood

Fair

Poor

Very Poor

GoodGood

Fair

Poor

Very Poor

Wh

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et?

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-Off

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TAM Update – Key Highlights

AM Gap Analysis

In 2014 VTrans worked withFHWA and its Consultant AMECto identify AM gaps; where weare versus where we want tobe.

Recommendations to closethese gaps have been rolledinto VTrans’ TAMP Work Plan

October 1, 2014

Implementation Plan

Final

VTrans Transportation Asset ManagementImplementation Plan

AMP Organizational Structure

Data ManagementBudget &

ProgrammingPerformance

Asset Inventory

Systems

Programming

Bridge Inspection

Se

ctio

ns

Un

its

4 positions

Pavement MgmtBridge Mgmt2 positions

Chief Bridge Inspector,Load Raters(2), BridgeInspectors (8)

3 positions

Estimating

Kevin Viani Mike Hedges Mike Pologruto

Quality Assurance

Risk Mgmt

1 position

1 position

Admin.

Chad Allen

1 position

1 position Budget

VTrans’ TAMP

TAMP Work Plan Development

Chapter Title

6.1 EXECUTIVE SUMMARY

6.2 REGULATORY REQUIREMENTS

6.3 TAM BUSINESS MODEL

6.4ASSET MANAGEMENT GOALS, OBJECTIVES ANDSTRATEGIES

6.5 AM PERFORMANCE MEASURES6.6 CUSTOMER SERVICE LEVELS6.7 AM DECISION-MAKING PROCESSES

VTrans’ TAMPTAMP Work Plan Development

Chapter Title

6.8 ASSET INVENTORY & CONDITIONS

6.9 LIFE CYCLE COST CONSIDERATIONS

6.10 FINANCIAL PLAN

6.11 INVESTMENT STRATEGIES

6.12 FUTURE GROWTH & DEMAND

6.13 RISK MANAGEMENT

6.146.15

AM ENHANCEMENT PLANCOMMUNICATION, OUTREACH & REPORTING

TAMP Implementation

◊ Define Scope ofTAM in Agency

◊ Review Agency Mission,

Vision & Goals

◊ Conduct Self Assessment andGap Analysis

DefineDirection

Align theOrganization

Constructthe TAMP

DevelopProcesses,Tools &Systems◊ Develop change

strategy

◊ Integrate TAM into org. culture

◊ Integrate TAM into business processes

◊ Define Asset Mgmtroles & responsibilities

◊ Review / Develop Performance Mgmtgoals for each asset

◊ TAMP to bedeveloped inphases pendingasset maturitylevels

◊ PredictiveModeling

◊ Trade-off Analyses

◊ Life Cycle Mgmt

◊ Data Collection & Mgmt

◊ Data & Financial Integration

Goal 1. Meet the minimum Federal (MAP-21) and Statelegislative requirements regarding Asset Managementimplementation

Objective 1A. Develop GIS-based Asset Registry

Objective 1B. Develop Customer Service Levels(CSLs)

Objective 1C. Develop a Financial Plan

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TAM Goals &Objectives

Goal 2. Develop factual, risk based, and data drivenAsset Management processes

Objective 2A. Develop and Document Life CycleCosts Processes

Objective 2B. Develop Data ManagementFramework

Objective 2C. Develop Risk Integration Plan

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Goal 3. Use asset management to manage the Agency’sphysical infrastructure, drive the budget developmentprocess, and support the Agency’s Strategic Plan

Objective 3A. Develop Risk-based Tradeoff AnalysisProcesses

Objective 3B. Define Asset Management Budget ProcessFramework

Objective 3C. Develop Investment Policies and ProceduresFramework

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Goal 4. Integrate asset management into VTrans’ culture

Objective 4A. Strengthen asset management-focusedOrganizational Structure

Objective 4B. Institutionalize asset management across theentire Agency

Objective 4C. Document and prioritize asset managementprocess enhancements or improvements

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Where is Asset Management Taking Us?

Establishment of Customer Service Levels

Ability to conduct Life Cycle Cost Analyses

Calculation of Benefit Cost Ratios or Returnon Investment for programmed activities

Long term financial decisions based on

data, considering risk and driven byperformance!



Towards credible programming with acorridor management, strategic goalorientated focus.


Towards an improved business model!

Vermont State Standards – not the what but rather thecreative collaborative process; working with externalpartners and developing key working relationships

Anticipated future impacts related to;

- corridor management

- customer service level discussions

Budget Development – AMP B&P Section leadingHighways Division budget development


How are we going to get there?Through integration of a series of best AM practicesidentified in Europe, Australia and in the United States.

The AM community in US are collectively developing thesebest practices. Some States better than others. SomeStates have not started their TAMP yet!

Working together. Effective Communication

Alignment with Strategic Goals.

Questions ?

Chad A. Allen, P.E. | Highway [email protected] | (802) 828-0768

Asset Management & Performance Bureau

vtrans asset management - vermont...

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