MDOT Freeway Lighting Public Private Partnership

Transcription

1 MDOT Freeway Lighting Public Private Partnership Design-Build Build-Finance Finance-Operate Operate-Maintain (DBFOM) Project

2 Project Overview Administering - Design and Construction Administering - Operations and Maintenance Challenges and Lessons Learned National Perspective on Lighting Projects Questions

3 FHWA definition of Public-Private Partnerships (P3 s) - contractual agreements formed between a public agency and a private sector entity that allow for greater private sector participation in delivering and financing of project. MDOT benefits for this P3 Contract: Shift and manage specific risks with private sector Private funds to expedite the work Shift and reallocate MDOT resources elsewhere Improve lighting and increase public safety Reduce costs: energy savings and maintenance Promote innovation: save energy, prevent theft Energy Savings Program over $1,200,000

4 General Overview: Payment Structure Milestone 1 -$6,000,000 was paid at 90% operable lighting Milestone 2 - $6,000,000, paid at Subst. Completion After Substantial Completion Operate & Maintain Quarterly Service Payments (estimated =$2.1 w/o power) Plan to use a mix of Federal and State funds Total Cost of P3 contract = $145M (includes energy) Lights operating at 70-73% (current scenario) Expected cost = $142M Based on average costs expended over the last 8 years Lights operating at 100%, using High Pressure Sodium lights Estimated cost = $183M $46.03 $21.86 $77.26 Capital Improvement Costs O&M Costs Power Costs

5 Technical Requirements: Technical Requirements Schedule 16 Design Requirements: Non-Tunnels AASHTO Roadway Lighting Design Guide / IES RP-8 Tunnels AASHTO Roadway Lighting Design Guide (Chap 5) / IES RP-22 Non-Lighting Elements adhere to MDOT Standards, AASHTO, etc. Maintenance Management Information System (MMIS) Project Management Plan Traffic Management Plan Quality Plan Safety Plan Operations and Maintenance Plan

6 Non-Compliance: 31 Non-Compliance Events: Quality, Performance and Administrative $450 per occurrence, $1000 if not remedied If the root cause of the problem is substantially the same Deduction is increased to $1000, indexed Mitigation Period timeframe is dependent on the type of failure Remedy Period timeframe is dependent on the type of failure 10 days -correct a non-operating light 7 days -correct a group of non-operating lights

7 Handback Criteria: A complete condition survey and inspection must be completed within 1 year of handback Supply a 60 day supply of parts and materials quantity based upon a 60 day typical period for repairs documented in the MMIS Handback requirements are variable dependent on the component Luminaires (including ballast/driver) 5 years Posts/Standards before term require inspections, during term 10 yrs& inspection High Mast before term require inspections, during term 15 yrs& inspection

8 MDOT Project Team: Procurement Document Development Team: AECOM KPMG Nossaman Project Company Freeway Lighting Partners (FLP) Finance-Star America Fund GP, LLC D&C Contractor - Aldridge Electric, Inc. Designer -Engineer of Record WSP (a.k.a. PB) O&M Contractor - Engie Services Inc. D&C and O&M Electrical Subcontractor Motor City Electric, Inc. Owner s Representative for D&C and O&M HNTB Michigan, Inc

9 Objective of the Project: design and construct improvements to existing freeway and tunnel lighting in the MDOT Metro Region in 2 years. Operate and maintain the freeway lighting for 15 years including a the 2 year design and construction phase. Project Company Scope of Work: Survey existing conditions (panels, circuits, hand holes, foundations) Replace High Pressure Sodium (HPS) fixtures with LED fixtures Repair or replace existing defective foundations and bolts Install 300 missing poles (new) Repair damaged circuits Respond to lighting utility information and staking requests Replace pole knockdowns and general maintenance of the system Tracking and documenting performance

10 Unique Features: Theft and Vehicle Damage FLP responsibility first $150,000 50/50 share up to $250,000 Department covers all costs over $250,000 Damage to Infrastructure Vehicle damage Department responsible for costs associated with damage caused by errant vehicles Department pursues reclamation from insurance with incident reports Michigan State Police only file incident reports when a vehicle is at the scene 141 pole knockdowns, without reports, roughly $4,000.00/pole to replace

11 Detroit News... NASA astronaut Shane Kimbrough tweeted a stunning picture. Good morning USA! Detroit - Toledo Cleveland

12 Administration of Design and Construction: Aug 15 to Aug 17 Review and verify FLP s design, construction and maintenance activities Review Design Submittals for general compliance Administer responses or respond to Requests For Information Assist with coordination (i.e. utilities, active projects, maintenance work) Daily field inspection and reporting of FLP s work Maintain e-construction project files Luminance testing for conformance and uniformity Track remedying maintenance events

13 Administration of Design and Construction: Aug 15 to Aug 17 Lane closure request coordination with multiple Metro Region TSC s Develop Field Manager project files with Field Builder Field Manager Live Contract writing contract mods and track costs No payment estimates generated on P3 contract Field Manager Shadow Contract : Document construction/maintenance activities Track quantities Track material usage and approvals Review, verify compliance for Milestone Payments

14 Administration of Operations and Maintenance: Aug 15 to Aug 30 Review recurring Service Payments and Project Company reports Recurring bi-annual condition inspections Recurring 5 year residual life inspections Monitor progress, maintenance of traffic and materials Verify Lane Rentals/MOT/Noncompliance Events Maintain Field Manager and project electronic files Develop contract modifications as necessary Monitor the accurate tracking of items on MMIS

15 Maintenance Management Information System (MMIS) Elements Included: Asset Inventory Power Delivery Management Performance Tracking Incident Tracking Field Staking Requests Utility Information Requests Non-Compliance Reporting Maintenance Activities

16 Current ON/OFF Status: Fixture Type ON OFF TOTAL Current % On Mainline & Ramp 7, ,416 99% High mast 2, , % Tunnel 2, , % Underpass % Total 13, ,138 99%

17 Challenges/Lessons Learned Document and Version Control Need for the full team (i.e. legal) on-board early during RFQ development RFQ provide detail on the planned structure of the P3 agreement and expected closing process Risk workshops and periodic updates to the financial model Engineering estimates done often and reflect current risk profile of the contract Updated term sheets should be readily available for management Owners should conduct and develop meeting notes Need for owner internal stakeholder support Mobility management during construction Leverage use of local contractors and consultants Owner establish workflow processes for internal use Support from owner s internal departments

18 Challenges/Lessons Learned Performance specifications promote innovation Avoid specifying brand name products Specify E-construction expectations (i.e. Field Manager, Project Wise, Procore) Project company s timely hiring of key personnel Maintaining traffic and SEMTOC coordination Pole knockdowns liability and MSP incident reporting Energy Savings Actual Energy consumption info availability Power supply inconsistency As-Constructed (as-built) information for freeway lighting Active and Past MDOT project coordination Utility coordination during design of future projects Unknown Existing conditions (i.e. COBO decorative lighting, circuits) System damage reclamation process

19 Challenges and Lessons Learned Ensure damper systems are installed for aluminum poles (video below)

20 COBO Tunnel -before and after

21 Metro Region Freeway Lighting P3 wall repairs

22 special equipment

23 National Perspective: Michigan is the first DOT in the U.S. with P3 freeway lighting contract. Detroit is the first major City to upgrade to LED lighting. Michigan 14,800 Freeway lights Washington D.C. 70,000 City lights, Wi-Fi & Central Light Control Chicago 350,000 City lights, Wi-Fi and 311 Systems, Line Item Contract for 5 years Phoenix Feasibility Study Tunnel and Freeway Boston Feasibility Study - Tunnel State of Virginia Feasibility Study State of Indiana Feasibility Study Cleveland Feasibility Study Missouri, Wisconsin, Illinois, Massachusetts, Arizona International Perspective: Nearly all European Cities have LED Lighting

24 Resources FHWA has a P3 informative website: MDOT s Innovative Contracting website: Freeway Lighting Partner s website: Will Mathies, PE MathiesW@michigan.gov Victor Judnic, PE vjudnic@hntb.com Questions?