Roof Asset Management Program Mike Ginder Honeywell FM&T Manager, Facilities Projects October 18, 2006

Roof Asset Management Program

Mike GinderHoneywell FM&T

Manager, Facilities Projects

October 18, 2006

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• Roof Asset Management ProgramIntegrated Multi Site team that uniquely combines resources from Headquarters, Site Office Management, and M&O contractors to provide a corporate management approach utilizing consistent set of criteria to manage the NWC roofing assets

Implements standard industry processes and best management practices across NWC Allows HQ to manage the NWC roofing portfolio at a

“corporate level” Provide HQ a prioritized list of roofing needs across the NWC

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• Historically, roofing assets at NWC sites were not adequately supported due to limited funding and perceived higher priority needs

• Roofing requirements exceed available funding HQ had difficulty determining the highest funding priorities Sites competed for limited resources for roofing needs Focus on roofing assets varied significantly from site to site Most sites used one or two roofing subcontractors Reactive rather than proactive mindset Little focus on roof life extension

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• FY 2002 Pilot Program

Assessed roof areas of 3 NNSA sites Proffered a design and construction approach to the 3 sites

(KCP, Pantex, Y-12) At each site, demonstrated clear paths to roof life extension

through selected repair and replacement of critical roof areas Predicted cost avoidances from current roofing practices

through life extensions

• Pilot Program proved successful BTA successfully performed work at 3 NNSA sites Demonstrated cost avoidances associated with life

extensions Lessons learned were incorporated Shared results throughout the NWC

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• FY2003 Developed contracting methodology M&Os partnered with world class roof management

contractor-Building Technology Associates (BTA) Effectively incorporated terms and conditions of the

different M&Os into the contract language with BTA necessary to do work at each site.

• FY2004 Expand RAMP from 3 to 6 sites to include LANL,

LLNL, and NTS

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BTA program objectively assesses and evaluates current roof conditions while identifying the optimal strategies for budgeting and planning. BTA’s primary goal is maximizing the life of roof systems.

• Used recognized industry expert (BTA) to establish a complex-wide prioritized list based on:

Financial analysis of roof asset Prioritization against critical mission need and condition Uniform criteria across the complex

• Developed comprehensive NWC database

Over 16 Million Square Feet Managed 4,660 separate roof areas Total estimated replacement value of all roofs - $346M

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R. Dino HerreraNNSA/HQ

Kansas City PlantDan GehrkeJoseph Cerv

Bob Schmidt, KCSO

Pantex PlantMike Bromley

Bob RothJohnnie Guelker, PSO

Y-12 PlantMike Richesin

David LindBob Edlund, YSO

Nevada Test SiteGreg MitchemSusan Livenick

Gerry Babero, NSO

LANLDavid Chavez

Jayson BlanchardRon McMahan, LASO

LLNLRich Shonfeld

Fred GlaskiFrank Porto, LLSO

Honeywell FM&TDebi Stumpff

Ron BergesonMike GInder

Multi-Site Team(Sites and BTA)

Bob SchmidtNNSA/KCSO

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Funding Profile5-Year, $50M Program

FY04 - $5.4MFY05 - $15.M FY06 - $6M * FY07 – Anticipate $10MFY08 – Anticipate $10M

* FY06 funding prior to budget cuts was $10M

HQ has committed to fund RAMP an additional 3 years through FY11

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Roof Asset Management ProgramTotal Square Footage Replaced

Site FY04 Square Footage

Replaced

FY05 Square Footage

Replaced

FY06 Square Footage

Replaced

Total

Square Footage Replaced

KCP - 217,211 67,213 284,424

Pantex 72,100 22,882 62,058 157,040

Y-12 14,069 36,086 19,120 69,275

NTS - 124,989 24,261 149,250

LLNL - 1,996 16,724 18,720

LANL - 66,268 *148,071 214,339

TOTAL 86,169 469,432 337,447 893,048

*Includes FY05-funded CMR areas to be completed in 2006 (30,105 sq. ft.)

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Roof Asset Management ProgramFY06 Square Footage Replaced

Site FY06 Square Footage Replaced

(RAMP Funded)

FY06 Square Footage Replaced

(FIRP Funded)

Total

FY06 Square Footage Replaced

KCP 27,118 40,095 67,213

Pantex 11,125 50,933 62,058

Y-12 19,120 - 19,120

NTS 24,261 - 24,261

LLNL 16,724 - 16,724

LANL *96,981 51,090 148,071

TOTAL 195,329 142,118 337,447

*Includes FY05-funded CMR areas to be completed in 2006 (30,105 sq. ft.)

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RAMP Integrated Metrics

Optimal RepairsImmediate Return

Construction CostExecution

Remaining LifePortfolio Health

Construction QualityTechnical Excellence

Safety PerformanceWorking Safely

Schedule/Earned Value

Execution


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Optimal Repairs• Repairs that extend the remaining roof life• Expressed as value added to the portfolio• Example –

– Replacement cost of roof area estimated at $1M– Assuming 20 year life, depreciates by $50K per year– Optimal repairs will extend the life by 5 years– Cost of optimal repairs - $30K– Value added to the portfolio –

(5 year life extension x $50K) less $30K (cost of repairs) $220K value added to the portfolio

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Optimal Repairs – Value Added to the Portfolio ($K)

FY04 FY05 FY06 TOTAL

KCP $1,528 $1,987 $ 583 $ 4,098

Pantex 79 57 136

Y-12 391 1,250 29 1,670

LANL 930 424 1,354

LLNL 502 208 710

NTS _____ 180 180

TOTAL $1,998 $4,906 $1,244 $ 8,148

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Historic Roofing Costs Compared to RAMP Costs

* Work in Rad-Con and/or High Security Areas which results in higher costs; Pantex FY06 work also includes asbestos abatement.

Inflation Adjusted Historic Costs (FY06 dollars)KCP Y-12 Pantex LANL LLNL NTS

FY01 $25.98 $35.83 $21.18 No Data $20.15 No DataFY02 $28.16 $16.92 $18.59 $31.31 $18.80 No DataFY03 $25.34 $27.80 $19.25 No Data $18.36 $21.923 Year Average $26.51 $24.69 $19.59 $31.31 $19.41 $21.92FY04 Repairs $21.69 $21.34 No Work No Work No WorkFY05 $18.73 * $42.45 * $33.11 $18.83 Repairs $17.61FY06 $17.72 $18.81 * $52.61 $23.51 $21.16 $15.59

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Roof Asset Management Program Remaining Roof Life

Site Start of FY04

End of FY04

Start of FY05

End of FY05

Start of FY06

End of FY06

KCP 4.38 5.14 4.63 6.75 6.57 7.40

Y-12 9.54 9.79 9.17 9.77 8.91 9.08

Pantex 9.41 9.93 10.49 10.55 10.59 11.17

LANL - - 7.53 8.12 7.16 7.72

LLNL - - 6.80 7.14 7.72 7.94

NTS - - 7.14 7.21 7.64 8.09

All Sites - - 7.82 8.43 8.11 8.59

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Zero Injuries in FY06. 47,000 safe hours.

Total Incident Rate (TIR) & Lost Workday Case Rate (LWCR)• TIR is OSHA reportable injuries per 200,000 hours worked.• LWCR is lost workday injuries per 200,000 hours worked. • 199,292 hours worked in FY04, FY05, & FY06.• Three reportable incidents. One Lost Workday Case.

National Average

Roofing

National Average

General Construction

RAMP

TIR 9.5 6.4 3.0

LWDC 4.0 2.4 1.0


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• Full and open competition was achieved at all sites. This competitive bid environment was evidenced in the quality and value of the contracts.

• RAMP has brought new, qualified roofing contractors to each of the 6 sites. Many of the bidders have the opportunity to bid on all 6 contracts. Sites are benefiting from the opportunity to develop relationships with new roofing subcontractors.

• Successes, failures, and lessons learned are shared among the sites through BTA as well as networking with other sites.

• Sites have developed relationships with technical points of contact at other sites.

• RAMP costed > 80% of available funding in FY05, FY06 significantly exceeding the 63% goal

Roof Asset Management Program Accomplishments

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Roof Asset Management Program Summary

• Developed approach that manages NNSA’s roof assets from a corporate perspective instead of 6 different site views

• RAMP program requires executive leadership to manage• Program is an imbedded component of NNSA’s corporate

facilities management process• NNSA sites are together making decisions in the best interests

of the “corporation”• Obtaining high percentage of dollars into physical repair/roof

replacement Minimal burden costs (20% on first million dollars only)

• Effectively using RAMP dollars by making sound decisions to optimize and extend roof life across the complex

• Selection of BTA was a sound choice – demonstrated performance

Documents

Roof Asset Management Program Mike Ginder Honeywell FM&T Manager, Facilities Projects October 18, 2006