BAPTISTE COLLETTE BAYOU NAVIGATION CHANNEL DEEPENING SECTION 203 FEASIBILITY STUDY

Transcription

1 BAPTISTE COLLETTE BAYOU NAVIGATION CHANNEL DEEPENING SECTION 203 FEASIBILITY STUDY 2018 LOUISIANA TRANSPORTAION CONFERENCE February 28, 2018 Melissa Kennedy, PE

2 AGENDA Project History Section 203 Feasibility Overview Project Purposes Project Evaluation Recommended Plan Additional Benefits Evaluation Challenges 2

3 PROJECT HISTORY 75 Miles S. Of New Orleans Authorized by Rivers and Harbor Act of 1968 Original construction completed in 1979 of 10.7 miles Channel and 150 wide and -16 and 250 wide at Gulf Annual channel siltation portions dredged by USACE.

4 Section 203 Feasibility Study Section 203 of the Water Resource Development Act (WRDA) of 1986 (P.L ). Allow Non-Federal interests to prepare study Allow Submittal to Assistant Secretary of the Army for Civil Works [ASA(CW)] For recommendation for construction as a Corps of Engineers Civil Works project. Guidance & Input provided by USACE Technical Review Galveston Economic Review Mobile Cost Review Walla Walla Legal Review, Environmental Support & Overall Guidance New Orleans 4

5 PROJECT PURPOSES (1) State & Parish: Desire Shorter Route to Eastern Gulf. 5

6 PROJECT PURPOSES (2 & 3) State & Parish Also: Support to Oil & Gas Industry in Eastern Gulf Economic Benefits to Port of Venice & the Parish Active Oil and Gas Wells (approx. 11,000) in Plaquemines (State Jurisdiction),

7 PROJECT PURPOSES (4) State & Parish: Utilize Dredged Material for Coastal Restoration Projects. 7

8 PROJECT EVALUATION Complicated Project Route, Alignments, Depths and Width Economic Analysis Environmental Issues Construction and O&M Quantities & Costs Utility Relocations & ROW Acquisitions Project Needs Healthy Benefit/Cost (B/C) Ratio to get Approved 8

9 PROJECT EVALUATION Route Analysis Routes Evaluated: Baptiste Collette Main Pass Pass a Loutre South Pass Transportation Savings Design Vessel 38 wide 240 length 18 draft 9

10 PROJECT EVALUATION Alignment Analysis Reason for Alignments Channel Width & Depth Based on Vessel Types Benefits Assumed Equal Cost Analysis BC-5 Preferred VE Study Channel (BC-5 Preferred) 10

11 PROJECT EVALUATION Depth Analysis Project Design Average Annual Average Annual Benefit Cost [ Depth Benefits Costs Ratio Net Benefits 15-foot foot foot foot foot foot foot foot foot foot foot foot foot foot foot foot

12 PROJECT EVALUATION - Economics OSVs Share of OSVs Fourchon % Venice 74 21% Morgan City 69 19% Mobile/ Theodore 6 2% Pascagoula 3 1% Pensacola 3 1% Panama City 4 1% TOTAL % Source: USACE Navigation Data Center, 2011 Offshore Oil Production Rates, Gulf of Mexico, Ports Serving as Base for Offshore Support Vessels (OSV) 12

13 PROJECT EVALUATION Environmental Analysis Least Cost Disposal Area Bird Island creation/enhancement Marsh creation Protection of Wildlife Areas Protection of Oysters T&E Species Cultural Resources Anomalies HTRW Evaluation Protection of Existing Bird Islands 13

14 PROJECT EVALUATION Quantities Project Reach Initial Construction Dredge Volume (cubic yards) Annual O&M Volume (cubic yards) [ 50-Year O&M Volume (cubic yards) Project Reach Acreage Created from Initial Construction (acres) Annual Acreage created from Annual O&M (acres) Potential Marsh and Bird Island Acreage Over 50-Year Project Life (acres) 2.17% land loss Reach 1 66, ,000 11,750,000 Reach 2 472, ,000 16,000,000 Reach 3 675, ,000 16,000,000 Reach 4 1,940, ,000 21,350,000 Reach 5 884, ,000 23,800,000 TOTAL 4,037,000 1,778,000 88,900,000 Dredging Quantities Reach Reach ,042 Reach ,055 Reach ,473 Reach ,561 TOTAL ,879 Marsh Creation Quantities 14

15 Recommended Project Plan

16 RECOMMENDED PLAN & COSTS 50 Yr. Project Life 9.43 mi. channel 185 wide x 22 Deep mi. trench 200 wide x 24 Deep (3.1 mi. no dredging) 4,037,000 CY construction dredging 1,778,000 Cy annual O&M dredging 6 pipeline Relocations Acres marsh & bird island creation Construction Cost $44.92 Annualized $1.79 Construction Cost Annual Maintenance $9.28 cost Total Annual Cost $11.07 Transportation $15.59 Savings Net Benefits $4.52 Benefit Cost Ratio 1.41 Project Cost (millions of dollars) 16

17 ADDITIONAL BENEFITS EVALUATION Federal Standard Current model reflects a 1.41 Benefit Cost Ratio Benefits of the Beneficial Use of Dredged Material not quantified Additional Benefit Framework Monetizing beneficial use of dredged material. Calculated total acreage of wetlands created and sustained over the 50-year life of the project (assumed 2.03% rate of land loss CWPPRA) Performed a Wetland Value Assessment - determine monetary based assessment - $86,000/acre.

18 ADDITIONAL BENEFITS EVALUATION Improved Benefits Project Costs at 3.125% Discount Rate Construction Cost $44.92 Annualized Construction Cost $1.79 Annual Maintenance Cost $9.28 Total Annual Cost $11.07 Annualized Transportation Savings $15.59 Annualized Environmental Benefits $10.5 Total Annual Benefits $26.1 Benefit Cost Ratio 2.35 Net Benefits $14.94 Project Cost (millions of dollars)

19 CHALLENGES Economic Evaluation Evolution Costs & B/C Ratio Deepwater Horizon Incident/Cultural Anomalies Refined Design - Revised Cost, i.e. Required Cost Risk Analysis Public Reviews Overall Timeline 19