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Transit Asset Management, Strategic Planning, & Vehicle Procurement
Omaha, NE October 31, 2017
♦ ♦ ♦
Transit Asset Management Summary Asset Management Benefits Strategic Planning ○ ○
♦
Short Term/Long Term External Factors
Vehicle Procurement ○ ○
Needs vs. Wants Measuring Efficiency, Effectiveness and Safety
Transit Asset Management (TAM) Plan Background ♦
Originated in MAP-21 – 49 U.S.C. 5326 ○
♦
Requires Secretary of Transportation to establish and implement a National TAM System which defines “state of good repair”
$89.8 Billion State of Good Repair (SGR) Backlog ○ ○ ○
Derived from FTA’s Transit Economic Requirements Model (TERM) $1.5 Billion a Year is Needed To Keep Backlog From Growing Based on newly released Conditions and Performance Report
Transit Asset Management (TAM) Plan Currently ♦
Final Rule, 49 CFR Part 625 – July 26, 2016 ○ ○
○ ○
○
Effective October 1, 2016 with a 2 year implementation period Applies to all recipients and subrecipients of Federal financial assistance under 49 U.S.C. 53 that own, operate or manage capital assets used for providing public transportation Designed to be scalable for small and large systems Applies to 5310 providers who provide general public transportation or public transportation to a portion of the public (seniors, persons with disabilities, low income) FTA will provide technical assistance and tools ▪
https://www.transit.dot.gov/TAM
Transit Asset Management (TAM) Plan Plan Is Designed to Assist Providers in… ♦ ♦ ♦
♦
Assessing the current condition of its capital assets Determining what the condition and performance of its assets should be (if they are not already in a state of good repair) Identifying the unacceptable risks, including safety risks, in continuing to use an asset that if not in a state of good repair – parallels anticipated Safety Plan regulations Deciding how to best balance and prioritize reasonably anticipated funds (revenues from all sources) towards improving asset condition and achieving a sufficient level of performance within those means
Transit Asset Management Why do we need to manage assets? ♦ Effective management saves money ♦ Provides safe operating environment for riders and employees ♦ Allows for long term planning by having a grasp of asset condition and useful life ♦ Identifies deficiencies in other areas (maintenance, scheduling, operations, policies and procedures, procurement)
Transit Asset Management How do we manage our assets? ♦ Daily Vehicle Status Sheet ♦ Pre/Post Trip Inspection Reports ♦ Driver/Passenger/Mechanic Feedback ♦ Balancing Preventive Maintenance with Meeting Pull-out Obligations ♦ Fix if Safety Issue
Transit Asset Management What else could we do? ♦ Use performance measures ♦ Track maintenance on each asset ♦ Determine life cycle cost of each asset or class of asset ♦ Thorough condition assessment ♦ Replacement schedule based on decision making tools ♦ Determine effectiveness of the vehicle to meet service demand (right type of vehicle)
What else could we do? ♦ Proper investigation of breakdowns, complaints and accidents –(Safety Management Systems) ♦ Training, retraining….and then some more training
Transit Asset Management Proactive Management
Reactive Management
Strategic Planning Your planning is only as good as the data you have to work with. Intuition and experience only go so far.
Strategic Planning Strategic Planning requires vision, but also relies on a level of experience to chart the path forward. Consideration must be given to the political climate – funding levels, regulatory requirements. You must evaluate the projected, current and historic data to develop a foundation in which to build the vision.
Strategic Planning Start with… ♦ List of Assets: ID# (VIN), Year, Description, Mileage, Purchase Price ○
♦ ♦ ♦ ♦ ♦
TAM add: Condition Assessment, Useful Life, Replacement Year, Separate into sub-class
Maintenance History Performance Measures Preventive Maintenance/Facility Plans Funding Vision and Goals – Operational Changes Anticipated
Strategic Planning Goals ♦ Operate safely and efficiently while maximizing productivity ♦ To meet the current and anticipated ridership needs in a cost effective manner ♦ To provide a working environment where my employees can feel safe, respected and reach their potential
Strategic Planning Vision ♦ To develop technology usage to meet the changing dynamics of my riders ♦ Start a new service or expand existing services ♦ Reduce operating costs with electric or hybrid vehicles ♦ Rehab or move to new facility
Strategic Planning Vision: Develop technology usage to meet the changing dynamics of my riders
Strategy: ♦ Evaluate existing technology ♦ Determine need for new technology ♦ Research, estimate cost & implementation time ♦ Staff and contract requirements ♦ Determine funding source ♦ Determine timeline
Strategic Planning Vision: Start a new service of expand existing services
Strategy: ♦ Evaluation of existing services ♦ Determine need for new services ♦ Involve public ♦ Design service to meet current and future needs ♦ Determine cost and funding ♦ Identify timeline
Strategic Planning Vision: Reduce operating costs with electric or hybrid vehicles
Strategy: ♦ Evaluate current costs – lifecycle, training, infrastructure ♦ Is alternative fuel cheaper? ♦ Determine changes needed – capital, employees, training, safety, policies ♦ Determine cost, timeline and funding
Strategic Planning Vision: Rehab or move to new facility
Strategy: ♦ Determine viability of existing facility based on current and future demands ♦ Identify funding source(s) ♦ Determine needs and capacities ♦ Determine lifecycle costs ♦ Determine timeline
Strategic Planning Transit Asset Management provides the data needed to identify goals and develop strategies. Rolling Stock/Small Bus – SGR 62% Identify reasons for low SGR, investigate cause, develop remedies, follow-up and restrategize if necessary.
Procurement Transit Asset Management allows transit systems to prioritize asset replacement based on State of Good Repair, SGR, decision making tools and anticipated environmental changes (funding, new or reduced service, budget, rider needs)
Procurement Procurement takes into account asset management data and strategic planning goals and vision to develop an asset procurement schedule. Schedules may be developed from 5-20 years in advance taking into account useful life of rolling stock, facilities and equipment as well as system changes.
Procurement Identifying the proper asset to purchase Rolling Stock ♦ Size/type meets rider demand ♦ Life cycle costs ♦ Account for growth and changing demographics ♦ Facility accommodations ♦ Additional training needed ♦ Safety to driver and passengers
Facility ♦ Size/type meets current and future needs ♦ Evaluation of maintenance and operating costs ♦ Additional elements needed to support service ♦ Environmental concerns
Asset Management Through proper asset management transit is able to increase efficiency, safety and productivity. Long term planning can be done more easily by knowing the status and useful life of assets. Evaluating methods of maintaining assets can result in systematic changes for the better.
Thank-you Kelly Shawn RLS & Associates [email protected] (703)919-9237
Omaha, NE October 31, 2017
♦ ♦ ♦
Transit Asset Management Summary Asset Management Benefits Strategic Planning ○ ○
♦
Short Term/Long Term External Factors
Vehicle Procurement ○ ○
Needs vs. Wants Measuring Efficiency, Effectiveness and Safety
Transit Asset Management (TAM) Plan Background ♦
Originated in MAP-21 – 49 U.S.C. 5326 ○
♦
Requires Secretary of Transportation to establish and implement a National TAM System which defines “state of good repair”
$89.8 Billion State of Good Repair (SGR) Backlog ○ ○ ○
Derived from FTA’s Transit Economic Requirements Model (TERM) $1.5 Billion a Year is Needed To Keep Backlog From Growing Based on newly released Conditions and Performance Report
Transit Asset Management (TAM) Plan Currently ♦
Final Rule, 49 CFR Part 625 – July 26, 2016 ○ ○
○ ○
○
Effective October 1, 2016 with a 2 year implementation period Applies to all recipients and subrecipients of Federal financial assistance under 49 U.S.C. 53 that own, operate or manage capital assets used for providing public transportation Designed to be scalable for small and large systems Applies to 5310 providers who provide general public transportation or public transportation to a portion of the public (seniors, persons with disabilities, low income) FTA will provide technical assistance and tools ▪
https://www.transit.dot.gov/TAM
Transit Asset Management (TAM) Plan Plan Is Designed to Assist Providers in… ♦ ♦ ♦
♦
Assessing the current condition of its capital assets Determining what the condition and performance of its assets should be (if they are not already in a state of good repair) Identifying the unacceptable risks, including safety risks, in continuing to use an asset that if not in a state of good repair – parallels anticipated Safety Plan regulations Deciding how to best balance and prioritize reasonably anticipated funds (revenues from all sources) towards improving asset condition and achieving a sufficient level of performance within those means
Transit Asset Management Why do we need to manage assets? ♦ Effective management saves money ♦ Provides safe operating environment for riders and employees ♦ Allows for long term planning by having a grasp of asset condition and useful life ♦ Identifies deficiencies in other areas (maintenance, scheduling, operations, policies and procedures, procurement)
Transit Asset Management How do we manage our assets? ♦ Daily Vehicle Status Sheet ♦ Pre/Post Trip Inspection Reports ♦ Driver/Passenger/Mechanic Feedback ♦ Balancing Preventive Maintenance with Meeting Pull-out Obligations ♦ Fix if Safety Issue
Transit Asset Management What else could we do? ♦ Use performance measures ♦ Track maintenance on each asset ♦ Determine life cycle cost of each asset or class of asset ♦ Thorough condition assessment ♦ Replacement schedule based on decision making tools ♦ Determine effectiveness of the vehicle to meet service demand (right type of vehicle)
What else could we do? ♦ Proper investigation of breakdowns, complaints and accidents –(Safety Management Systems) ♦ Training, retraining….and then some more training
Transit Asset Management Proactive Management
Reactive Management
Strategic Planning Your planning is only as good as the data you have to work with. Intuition and experience only go so far.
Strategic Planning Strategic Planning requires vision, but also relies on a level of experience to chart the path forward. Consideration must be given to the political climate – funding levels, regulatory requirements. You must evaluate the projected, current and historic data to develop a foundation in which to build the vision.
Strategic Planning Start with… ♦ List of Assets: ID# (VIN), Year, Description, Mileage, Purchase Price ○
♦ ♦ ♦ ♦ ♦
TAM add: Condition Assessment, Useful Life, Replacement Year, Separate into sub-class
Maintenance History Performance Measures Preventive Maintenance/Facility Plans Funding Vision and Goals – Operational Changes Anticipated
Strategic Planning Goals ♦ Operate safely and efficiently while maximizing productivity ♦ To meet the current and anticipated ridership needs in a cost effective manner ♦ To provide a working environment where my employees can feel safe, respected and reach their potential
Strategic Planning Vision ♦ To develop technology usage to meet the changing dynamics of my riders ♦ Start a new service or expand existing services ♦ Reduce operating costs with electric or hybrid vehicles ♦ Rehab or move to new facility
Strategic Planning Vision: Develop technology usage to meet the changing dynamics of my riders
Strategy: ♦ Evaluate existing technology ♦ Determine need for new technology ♦ Research, estimate cost & implementation time ♦ Staff and contract requirements ♦ Determine funding source ♦ Determine timeline
Strategic Planning Vision: Start a new service of expand existing services
Strategy: ♦ Evaluation of existing services ♦ Determine need for new services ♦ Involve public ♦ Design service to meet current and future needs ♦ Determine cost and funding ♦ Identify timeline
Strategic Planning Vision: Reduce operating costs with electric or hybrid vehicles
Strategy: ♦ Evaluate current costs – lifecycle, training, infrastructure ♦ Is alternative fuel cheaper? ♦ Determine changes needed – capital, employees, training, safety, policies ♦ Determine cost, timeline and funding
Strategic Planning Vision: Rehab or move to new facility
Strategy: ♦ Determine viability of existing facility based on current and future demands ♦ Identify funding source(s) ♦ Determine needs and capacities ♦ Determine lifecycle costs ♦ Determine timeline
Strategic Planning Transit Asset Management provides the data needed to identify goals and develop strategies. Rolling Stock/Small Bus – SGR 62% Identify reasons for low SGR, investigate cause, develop remedies, follow-up and restrategize if necessary.
Procurement Transit Asset Management allows transit systems to prioritize asset replacement based on State of Good Repair, SGR, decision making tools and anticipated environmental changes (funding, new or reduced service, budget, rider needs)
Procurement Procurement takes into account asset management data and strategic planning goals and vision to develop an asset procurement schedule. Schedules may be developed from 5-20 years in advance taking into account useful life of rolling stock, facilities and equipment as well as system changes.
Procurement Identifying the proper asset to purchase Rolling Stock ♦ Size/type meets rider demand ♦ Life cycle costs ♦ Account for growth and changing demographics ♦ Facility accommodations ♦ Additional training needed ♦ Safety to driver and passengers
Facility ♦ Size/type meets current and future needs ♦ Evaluation of maintenance and operating costs ♦ Additional elements needed to support service ♦ Environmental concerns
Asset Management Through proper asset management transit is able to increase efficiency, safety and productivity. Long term planning can be done more easily by knowing the status and useful life of assets. Evaluating methods of maintaining assets can result in systematic changes for the better.
Thank-you Kelly Shawn RLS & Associates [email protected] (703)919-9237
