Sewerage Asset Management Plan 2020 - 20491 19/03/2020 Draft AMP 2020 SM WB Note: All figures...
Transcript of Sewerage Asset Management Plan 2020 - 20491 19/03/2020 Draft AMP 2020 SM WB Note: All figures...
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May 2018 May 2018
Sewerage Asset Management Plan
2020 - 2049
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Abbreviations
AAS Australian Accounting Standard
ADWG Australian Drinking Water Guidelines
AHD Australian Height Datum
BOD Biological Oxygen Demand
BPM Best-Practice Management (NSW Department of Industry (Water) Planning Framework for LWUs)
CCTV Closed Circuit TeleVision
CWP Capital Works Program
DCP Development Control Plan
DSP Development Servicing Plan
EP Equivalent Population
EPA NSW Environmental Protection Agency
ET Equivalent Tenement
FINMOD NSW Financial Planning Model (developed by NSW Department of Industry (Water))
I/I Inflow and Infiltration
IPART NSW Independent Pricing and Regulatory Tribunal
IWCM Integrated Water Cycle Management
kL Kilolitre (1,000 litres)
LOS Levels of Service
LTW Liquid Trade Waste
LWU Local Water Utility
ML Megalitre (1,000,000 litres)
OCC Orange City Council
p.a. per annum
SBP Strategic Business Plan
SPS Sewage Pump Station
TBL Triple Bottom Line
TRB Typical Residential Bill
WHS Work Health and Safety
WTP Water Treatment Plant (also: Water Filtration Plant)
WWTP Wastewater Treatment Plant (also: STP – Sewage Treatment Plant)
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TABLE OF CONTENTS
1 Executive Summary ......................................................................................................................... 2
2 Strategic Objectives ......................................................................................................................... 4
3 Services Provided ............................................................................................................................. 6
3.1 Orange Sewerage Scheme ..................................................................................................... 6
3.2 Spring Hill and Lucknow Sewerage Scheme ........................................................................... 7
3.3 Recycled Water Scheme ......................................................................................................... 8
4 Levels of Service ............................................................................................................................. 10
5 Condition of Our Assets ................................................................................................................. 13
6 Operational Plan ............................................................................................................................ 16
7 Maintenance Plan .......................................................................................................................... 19
8 Capital Renewal Plan ..................................................................................................................... 21
9 Capital Upgrade & Expansion Plan ................................................................................................ 25
10 Asset Rationalisation and Disposal Plan ........................................................................................ 27
11 Financial Plan ................................................................................................................................. 28
11.1 Summary of Model Inputs.................................................................................................... 29
11.2 Sewer Fund Model Results ................................................................................................... 32
12 Key Performance Measures ........................................................................................................... 38
13 Risk Management Plan .................................................................................................................. 39
14 Performance Review and Proposed Improvement Plan ............................................................... 41
Appendix A: Operations and Maintenance Programs ........................................................................... 42
Appendix B: Four Year Renewal Programs 2019-2022 .......................................................................... 46
Appendix C: 30 Year Capital Works Program ........................................................................................ 51
Appendix D: 30 Year Financial Plan ....................................................................................................... 53
Appendix E: Sewerage Performance TBL Report.......................................................................................
Document Control
Rev No Date Revision Details Author Verifier Approver
1 19/03/2020 Draft AMP 2020 SM WB
Note: All figures expressed in this plan are in 2019/20 real (current) terms and NOT adjusted for inflation unless otherwise stated.
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Sewerage Asset Management Plan
Orange City Council Page 2
1 Executive Summary
Orange City Council’s intention is to provide the City with a sewerage network that is serviced and maintained
to a level which reflects the community’s expectations and operates in a manner that is both functional and
cost effective. The sewerage asset portfolio had a fair value of $236,866,000 at 30 June 2019.
This plan assists Council in the decision making process and is presented at a high level to provide key
information that can be used in the determination of levels of service and funding required.
This plan’s primary objective is to meet the adopted Levels of Service, which cover the following areas:
Wastewater quality and protection of the environment
Availability and capacity of wastewater services
Response times for system failures
Note that the Levels of Service are the targets which Council aims to meet; they are not intended as a formal
customer contract. Council’s performance in these areas is also presented in Section 12 – Performance
Measures.
Table 1-1 identifies the asset categories in this plan, the thirty year average costs and funding gap if one exists
between available renewal budget and predicted renewal requirements.
Table 1-1: Sewerage Asset Portfolio Overview 2020-2049 (30yr Average Annual Costs)
Asset Renewal Upgrade & New Funding Gap Backlog 2020 Backlog 2049
Sewer Treatment Plant 765,000 312,000 529,000 -543,000 15,861,000
Sewer Pump Stations 140,000 121,000 255,000 6,000 7,647,000
Sewer Rising Mains - - 598,000 745,000 17,945,000
Sewer Trunk Mains - - 214,000 3,909,000 6,428,000
Sewer Reticulation Mains 700,000 330,000 -69,000 2,582,000 -2,075,000
Sewer Vents 8,000 - 15,000 -42,000 450,000
Other 205,000 110,000 - - -
Total 1,818,000 873,000 1,542,000 6,657,000 46,256,000
Negative figures indicate a surplus in the first year, which will be required to fund renewals in subsequent
years where there is a funding gap. If the programs are flexible this surplus may be able to be used in other
categories which have a funding gap. The renewal modelling shows that overall, the funding gap is increasing
over the 30 years towards 2049.
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Figure 1-1 identifies the proposed expenditure over the next 10 years, with an increasing backlog at current
levels of funding for all sewerage asset categories. The backlog after 30 years is indicative of current levels of
renewal funding. The proposed Capital Works Program is detailed in Appendix C, including work for Renewals,
Upgrades and New Works.
Alternative funding scenarios are discussed in Section 11 – Financial Plan, including funding the renewal gap.
Figure 1-1: What will we spend over the next 10 years?
The current condition of our assets is shown in Figure 1-2 based on the value of each asset in each of 10
conditions ranging from 1 to 10, with 1 being near new and 10 as a completely failed asset.
Figure 1-2: What condition are our assets in?
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10
15
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2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29
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Operations Maintenance Renewal Upgrade / Expansion Rolling Backlog
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Sewer Vents Sewer Treatment Sewer Trunk Mains
Sewer Pump Stations Sewer Reticulation Mains Sewer Rising Mains
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2 Strategic Objectives
Council operates and maintains the sewerage network to achieve the following strategic objectives.
To satisfy community expectations and regulatory requirements at a reasonable cost.
To have sufficient capacity for community growth.
To provide an environmentally and financially sustainable service.
To develop public confidence in the staff and services..
Orange City Council developed a comprehensive community engagement strategy to ensure a broad range of
opinions, ideas and visions were captured to help shape the Orange Community Strategic Plan (CSP). The
outcomes and strategies supported by that plan are detailed in the Strategic Asset Management Plan,
Strategic Business Plan (SBP) and Integrated Water Cycle Management (IWCM) Strategy.
To assist in the delivery of the objectives in this plan, a number of key documents and systems have been
prepared and should be referred to in considering the findings in Table 2-1.
Table 2-1: Where can I find additional information?
Document / System Content
Annual Systems Performance Report (ASPR)
Performance of the sewerage system in regards to effluent quality and overflows
Asset Management Manual (AMM) Documents the procedures and processes for the management of assets
Asset Management Strategy (AMS) Overall direction of asset management and portfolio summary
Asset Management System (AIM) Electronic system that contains the asset register, condition ratings and used to model future renewals
Capital Value Register (CVR) Electronic system that stores the financial information of assets
Community Strategic Plan (CSP) Outcomes and strategies identified by the community
Condition Assessment Manual Details on the process of assessing condition, including photographic examples of various conditions
Council Asset Policy How we manage assets
Development Servicing Plans (DSP) Developer charges applicable to development for sewerage infrastructure
Enlighten GIS Geographical information system that produces maps of assets
Enterprise Risk Management (ERM) The identification and management of risks across Council operations
Integrated Water Cycle Management Evaluation Study (IWCM)
Sustainable management strategies for optimal management of all components of the water system (water, sewage and stormwater)
Liquid Trade Waste Policy (ST046) Identification and monitoring of trade wastes according to NOW and EPA Guidelines
Pollution Incident Response Management Plan (PIRMP)
Processes and procedures when we respond to an overflow event
Pollution Reduction Plan (PRP) Identifies high risk pump stations and overflow points
Sewer Infrastructure Strategic Policy (ST130)
Outlines Council’s commitment to sustainable and efficient sewerage services
Water Supply and Sewerage Strategic Business Plan (SBP)
Management of water supply and sewerage business
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Figure 2-1 shows the strategic context for sewerage services. It demonstrates the link between the NSW Best
Practice Management (BPM) framework for Water Supply & Sewerage and how that integrates with the NSW
Integrated Planning & Reporting (IPR) framework.
Figure 2-1: Strategic Planning Framework for Water Supply & Sewerage
The Orange Community Strategic Plan outcomes supported by this Sewerage Asset Management Plan include:
Theme: Preserve | Objective 8: Managing our resources wisely
o 8.1: Identify and deliver essential water, waste and sewer infrastructure to service the community
into the future.
o 8.2: Develop and promote initiatives to reduce water, energy and waste in consultation with the
community.
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3 Services Provided
Orange City Council provides reticulated sewerage to the City of Orange and the villages of Lucknow and
Spring Hill.
3.1 Orange Sewerage Scheme
Orange City Council provides reticulated sewerage services to approximately 17,000 assessments. Sewage
from this area is collected through approximately 450km of sewer mains and 11 major pump stations. Sewage
is collected at the Orange Wastewater Treatment Plant (WWTP), which processes 3,000 to 4,000 ML annually
and has the capacity to service up to 60,000 equivalent population (EP) with capacity to provide full treatment
up to approximately 43.2 ML/day. The majority of treated effluent from the Orange STP is reused under an
existing water supply agreement with Cadia Holdings Pty Ltd for mineral processing. The balance of the
treated effluent is discharged under licence to Blackmans Swamp Creek.
Figure 3-1: Orange Sewerage Service Area
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3.2 Spring Hill and Lucknow Sewerage Scheme
Orange City Council also provides reticulated sewerage to the villages of Lucknow and Spring Hill, serviced
through approximately 40km of sewer mains and 4 pump stations. Sewage is collected and delivered to the
Spring Hill Sewage Treatment Plant, which has the capacity to service up to 1,000 EP with capacity to provide
full treatment up to 2.3ML/day.
Figure 3-2: Spring Hill and Lucknow Sewerage Service Area
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3.3 Recycled Water Scheme
Cadia Valley Operations (CVO) is under contract with Orange City Council to receive recycled water from the
Orange STP. This agreement currently gives CVO access to a minimum 10 ML/day with the ability to take up to
13 ML/day.
The water supply agreement started in December 1997 and was set to continue for the life of the mine.
Figure 3-3: Orange Effluent Reuse System
Orange Wastewater treatment plant
Blackmans Swamp Creek / Summer Hill Creek
Pump Station Effluent re-use
Environmental Flows
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Table 3-1: What is provided? (at 30 June 2019)
Asset Category Dimension/Capacity Fair Value
Sewage Treatment 61000 EP -
Sewage Pump Stations 91 ML/d -
Sewer Rising Mains 34 km -
Sewer Gravity Mains 442 km -
TOTAL
236,866,000
The extension of sewerage services to new areas is dependent on a range of factors, detailed in the Integrated
Water Cycle Management (IWCM) Strategy, the most important of which relate the our Levels of Service:
Servicing new residential areas
The impact to existing customers
The environmental impact of effluent (raw or treated)
Affordable Typical Residential Bill (TRB)
Growth and Demand
In addition to assets constructed by Council, new sewerage assets are also acquired from land developments.
In the last 5 years (2013/14 to 2018/19 FY):
Council’s total gravity mains network has grown by 8.6%, from 407km to 442km (1.7% p.a.); and
The number of residential sewerage assessments has increased 6.7%, from 15,119 to 16,133 (1.3%
p.a.).
Acquiring these new assets commits Council to fund the additional operating, maintenance and renewal costs
associated with the assets.
Council has undertaken hydraulic modelling to determine what infrastructure would be required in the next 30
years to service new development and maintain levels of service for existing customers. This analysis was
collected in the “30 Year Infrastructure Strategy”. The projects included in the Infrastructure Strategy are
included in the Capital Works Program for growth.
Opportunities for Non Asset Service Delivery
Council has pursued a number of non-asset service delivery options which are detailed in the Strategic
Business Plan and IWCM. These include Trade Waste Policy, Inflow/Infiltration program, and energy efficiency
programs.
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4 Levels of Service
One of the basic principles of sound asset management practice is to provide the level of service the current
and future community want and are prepared to pay for, in the most cost effective way (NZ NAMS 2007).
Sewer assets have been categorised into classes to assist in the determination of Levels of Service (LOS) which
are grouped into:
Community LOS – relates to how the community receives the service in terms of safety, quality,
quantity, reliability responsiveness, cost efficiency and legislative compliance; and
Technical LOS – are the technical measures of performance developed to ensure the minimum
community levels of service are met.
Table 4-1 outlines what the community desires for each asset Category and how Orange City Council will
deliver it. The Community desires have been determined in line with the Community Strategic Planning and
Strategic Business Plan processes.
Table 4-1: Customer Service Levels
CSP Type of Service (Community LOS)
Level of Service (Technical LOS)
CUSTOMER ENQUIRIES
14.2 Adequate response to complaints/enquiries
Respond to 95% of written complaints/inquiries within 5 working days.
Respond to 95% of personal/verbal complaints/inquiries within 1 working day.
WASTEWATER SERVICES
8.1 Properties are able to connect to the sewerage network
Connections for domestic sewerage should be provided to all houses, units or businesses within the defined service area.
Acceptance of commercial and industrial wastes (trade waste) should be in accordance with the approval conditions for each discharger.
8.1 Service is available to use at all times
Minimise frequency of overflows, breakdowns and chokes though maintenance and renewal programs.
WASTEWATER QUALITY
8.1 Effluent from Treatment Works
To meet licence regulations set by the Environmental Protection Authority.
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Table 4-2: Reponse Times
Response times to System Failures
8.1 Priority 1 A major failure to contain sewage within the sewer system.
Typical Causes:
Main break
Choke (blockage)
Overloading of system
Failure of pumping station
Typical Effects:
Personal injury or risk to public health
Surcharge or overflow in dry weather
Surcharge or overflow in wet weather
Surcharge inside building
Surcharge outside a building, if posing a health risk
Major property damage, e.g. subsidence
Major environmental impact
We will aim to respond within:
30 min (business hours)
1 hour (after hours)
8.1 Priority 2 A minor failure to contain sewage within the sewer system.
Typical Causes:
Cracked pipe
Partial blockage of the sewer
Typical effects:
Surcharge outside a building, not posing a health risk
Minor property damage
Minor environmental impact, i.e. odour problems
We will aim to respond within:
1 hour (business hours)
1 hour (after hours)
8.1 Priority 3 A minor failure to contain sewage affecting a single property.
Typical causes:
Sudden extra hydraulic load which backs up but then clears itself
Partial main line choke
Partial house service choke
Broken junction connection
Typical effects:
Minor surcharge
Slow-moving toilet flush
Minimal or no environmental impact
We will aim to respond within:
1 hour (business hours)
2 hours (after hours)
Any requirements for further community consultations, particularly for Level of Service changes may cause a
significant impact on costs to deliver the services detailed in this plan. A review of Council’s performance in
delivering the sewerage service to the community is included in Section 12 – Performance Measures.
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Table 4-3 provides a brief overview of the legislative framework in which Council operates its sewerage
network, and the requirements that the network is required to meet.
Table 4-3: Legislative requirements
Obligation Implications
PRICING
Local Government Act 1993 (and Regulations 2005)
Determining developer charges: o Provide a source of funding for infrastructure required for new urban
development o Provide signals regarding costs of urban development and encourage
less costly forms
Pricing principles to be adopted by local government authorities for water & sewerage
Guidelines for a ‘user pays’ charging system
ENVIRONMENTAL PROTECTION AND LICENCES
Protection of the Environment Operations Act 1997
Council holds environmental protection licences for the operation of the Orange and Spring Hill Sewerage Systems
HEALTH AND SAFETY
Work Health & Safety Act 2011 (and Regulation 2017)
Council is required to comply with Work Health and Safety in its sewerage service operations
Public Health Act 2010 Effluent disposal methods to protect public health
Prevention of the spread of disease
CONTRACTUAL ARRANGEMENTS
Cadia Valley Operations Recycled Water Supply Agreement
Contractual obligation for delivery of treated effluent to Cadia Valley Operations
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5 Condition of Our Assets
Council maintains a Condition Assessment Manual that details the frequency of inspection and condition
rating to be used for all assets. This data is recorded in the Council Asset Management System and used to
predict the timing of renewal / maintenance requirements in the Long Term Financial Plan.
Assets are rated on a 1 (Near New) to 10 (Completely Failed) scale consistent with the Maloney model and
advanced asset management practices as outlined in the IPWEA International Infrastructure Management
Manual. Details on how Council assesses condition and further information on the rating scale are contained in
the Condition Assessment Manual.
The intent of Council is not to undertake renewal on an asset until it reaches its ‘Intervention Level’, that is the
condition at which the community has determined renewal is required based on the LOS analysis. Typically
assets will be renewed by condition 8.
Asset Deterioration
Deterioration profiles have been developed that track the rate of deterioration expected over time for each
material type in each asset group. This information is used in our models to determine when an asset is
expected to be due for renewal, noting that assets will only be renewed when they reach their intervention
condition, not based on their age.
Figure 5-1 provides examples of several deterioration profiles used with the vertical column showing the years
remaining at a particular condition. For example, a VC main at condition 3 will last 85 years until complete
failure at condition 10.
Figure 5-1: At what rate do we expect our assets to deteriorate?
021426384
105
1 2 3 4 5 6 7 8 9 10
Sewer Reticulation Mains
Relined Mains AC, VCConcrete UPVC, PECast Iron, DICL
0
13
26
39
52
65
1 2 3 4 5 6 7 8 9 10
Mechanical Assets
20 year life 30 year life
40 year life 60 year life
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9
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45
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Electrical Assets
15 year life 20 year life
30 year life 40 year life
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85
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Civil Assets
30 year life 40 year life
60 year life 80 year life
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Asset Condition Assessment
Using the information from the deterioration profiles and the intervention level set for the class of an asset we
can determine the expected useful lives of our assets as detailed in Table 5-1.
Table 5-1: What are our Intervention Levels to Renew an Asset?
Category Component Intervention Level Useful Life
Trunk Mains Sewer Mains – Metallic (DICL, CI) 8 40 years
Sewer Mains – Concrete 8 100 years
Sewer Mains – AC 8 70 years
Sewer Mains – Earthenware (VC) 8 70 years
Sewer Mains – Plastic (UPVC, PE) 8 70 years
Sewer Mains – Relined 8 50 years
Reticulation System (Gravity & Pressure mains)
Sewer Mains – Metallic (DICL, CI) 8 40 years
Sewer Mains – Concrete 8 100 years
Sewer Mains – AC 8 70 years
Sewer Mains – Earthenware (VC) 8 70 years
Sewer Mains – Plastic (UPVC, PE) 8 70 years
Sewer Mains – Relined 8 50 years
Pump Stations Structures 8 20-80 years
Electrical 8 15-40 years
Mechanical 8 20-60 years
Treatment Plants Structures 8 20-80 years
Electrical 8 15-40 years
Mechanical 8 10-60 years
Condition inspections for above ground assets are conducted annually by competent operational staff who
maintain the assets being inspected, with a member of the asset team to determine the condition of the asset
being inspected. The method of condition assessment for underground sewerage assets is detailed in the
Condition Assessment Manual and is broken up as follows:
Level 1 assessment – a preliminary condition rating based on the asset age, material and pipe
diameter where no other information is available
Level 2 assessment – utilising operation and maintenance records (e.g. sewer choke information) to
gain an understanding of asset condition. Assets that are identified in a condition close to or exceeding
the intervention level are scheduled for a Level 3 assessment.
Level 3 assessment – formalised condition assessment, e.g. CCTV. Inspections are undertaken by
competent operational staff who are qualified to conduct CCTV inspection in accordance with WSAA
Conduit Inspection Code.
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Asset Register
The asset register captures the asset data and condition data in a hierarchical structure. The adequacy of the
data and information captured is comprehensive, although is due to be reviewed to ensure the relevance of
the data captured. This includes making sure that data is not captured for data’s sake, and that resources are
available to keep the data up to date. The review of the data is included as an action in Section 13 –
Improvement Plan.
Each asset’s condition is maintained in the Asset Register and Figure 5-2 gives the condition profile based on
the dollar value of the top 4 valued assets in each condition.
An overview of the assets that are recorded in the Asset Register is provided in Table 3-1.
Figure 5-2: What Condition are our assets in?
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Sewer Reticulation Mains
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6 Operational Plan
The purpose of the Operational Plan is to ensure that service objectives (Levels of Service, statutory &
regulatory requirements and obligations) are achieved at the least cost and that the impact of any breakdowns
or outages is minimised. Operational Performance Indicators are shown in Section 12.
The operations plan is based on knowledge of the system assets and as such, there are ongoing requirements
for maintaining an appropriate asset register and for investigating the condition of key elements of the
systems that affect the ability to deliver the desired level of service. Contingency operations plans (emergency
response plans and business continuity plans) are being developed where the consequence of failure is
significant.
Existing operational systems, processes and procedures routinely deliver services that comply with levels of
service and regulatory requirements. Rapid changes in the operating environment in terms of customer
expectations, improved environmental outcomes, resource conservation and higher regulatory standards will
require commensurate improvements in operations.
Key operation issues include the following:
Asset condition and monitoring program.
Monitoring of operational performance.
Review and documenting of operating procedures.
Ongoing review of energy usage and reduction opportunities.
Operational activities are those regular activities that are required to continuously provide the service
including asset inspection, electricity costs, plant and overheads. Table 6-1 outlines the split of our operational
costs on an annual basis.
Table 6-1: What are our annual Operational Costs?
Item 30 yr Avg Annual Cost
Administration 2,849,000
Engineering 1,406,000
Operations 3,519,000
Energy 1,004,000
Depreciation 3,956,000
Interest 4,000
Total 12,739,000
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Figure 6-1: What is the breakup of our Operational Costs?
Routine Operations
Normal operational procedures are undertaken in accordance with the Environmental Protection Licences for
each sewerage scheme and specify the level of service to be maintained.
It is recognised that monitoring telemetry and SCADA systems leads to best operating efficiency and improves
resource utilisation.
As well as ongoing operations, annual returns required for Environmental Protection Licences (EPL) through
the Environmental Protection Authority for the sewerage treatment system provides further opportunity for
performance review and if any issues may be present. The Spring Hill EPL only requires the annual return,
whereas the Orange STP EPL includes a further assessment with the Annual Systems Performance Report.
The operation of the treated effluent reuse system is documented in Council’s Recycled Water Management
System.
Emergency Response
Council has documented procedures in place in the Pollution Incident Response Management Plan. The
response plan includes actions in relation to pollution incidents including sewer overflows, treatment bypasses
and water quality results exceeding EPL limits.
Business Continuity
Emergency operational procedures are being developed by Council into a suite of Business Continuity Plans
where service fails at critical facilities. There are currently no Sewerage facilities that are being considered for
Business Continuity Planning.
Administration22%
Engineering11%
Operations28%
Energy8%
Depreciation31%
Interest0%
Administration
Engineering
Operations
Energy
Depreciation
Interest
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Future Operational Expenditure
Increases to operations and maintenance expenditure occur when new assets are acquired through new works
and developer contributions. These extra costs would be identified at the project stage when undertaking a
life-cycle cost analysis of the asset to be built and included operational budgets. For example:
New sewer pump stations in new development areas, electricity and operational costs.
New reticulation mains in new areas adding to the overall network requiring inspection and flushing.
More sewage being treated at the sewer treatment plants, resulting in more chemical use and
electricity use.
Impact of Inflow/Infiltration Programs being implemented reducing the volume of sewage pumped
and sewage treated at the sewerage treatment plants.
Impact of demand management strategies on indoor water use reducing volume of sewage pumped
and sewage treated at treatment plants.
Future operational expenditure is forecast to trend in line with the growth in the sewerage network. Forecast
operational expenditure levels are detailed in Section 12 – Financial Plan.
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7 Maintenance Plan
The purpose of the Maintenance Plan is to support the Operation Plan by ensuring that the actual outputs,
reliability and availability of the sewer systems, facilities and components, as specified in the Operation Plan,
are achieved in the most cost effective manner.
Maintenance is the on-going work that is necessary to keep assets operating to ensure they reach their useful
life. It includes work on an asset where a portion may fail and need immediate repair to make it operational
again. It may be either planned where works are programmed in, cyclic in nature or reactive in response to
storm damage, vandalism etc.
Planned or scheduled maintenance is normally used for critical items where a breakdown would be
costly and would cause large interruptions to service. Scheduled maintenance can be fixed-time
interval or condition-based interval (e.g. every 10,000 pump run hours). These programs should be
documented in a Scheduled Maintenance Plan.
Reactive or breakdown maintenance is generally reserved for less critical assets, or for situations
where scheduled maintenance is not possible. These are usually carried out in response to service
requests.
Maintenance Programs
Current maintenance programs are designed to maintain sewer assets at their target levels of service and
minimise risk of future failure. Maintenance expenditure levels are considered to be adequate to meet
required service levels.
Future revision of this asset management plan will include linking required maintenance expenditures with
required service levels in the Community Strategic Plan. The level of service and standards of care for
maintenance is carried out in accordance with Council’s Asset Management Policy.
The proposed maintenance programs are detailed in Appendix A, with costs identified in Table 7-1.
Table 7-1: What are our annual maintenance costs?
Item 30 yr Avg Annual Cost
453 Sewerage Treatment $ 644,000
456 Sewage Pumping $ 202,000
458 Sewer Reticulation $ 364,000
Total $ 1,210,000
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Figure 7-1: What is the breakup of our Maintenance Costs?
Future Maintenance Expenditure
Increases to operations and maintenance expenditure occur when new assets are acquired through capital
works and developer contributions. These extra costs are identified at the project stage when undertaking a
life-cycle cost analysis of the asset to be built and included operational budgets. For example:
Maintenance of new sewer pump stations in new development areas
New reticulation mains in new areas adding to the overall network requiring response when
choked/blocked.
Future maintenance expenditure is forecast to trend in line with the growth in the sewerage network. Forecast
maintenance expenditure levels are detailed in Appendix D.
Deferred maintenance, i.e. works that are identified for maintenance and unable to be funded, present a
higher likelihood of failure.This can happen if maintenance budgets do not increase in line with asset growth.
453 Sewerage Treatment
53%
456 Sewage Pumping17%
458 Sewer Reticulation
30%
453 Sewerage Treatment
456 Sewage Pumping
458 Sewer Reticulation
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8 Capital Renewal Plan
Renewal works are Capital Work on an existing asset to replace or rehabilitate it to a condition that restores
the capability of the asset back to an acceptable level of service. The intervention level and estimated useful
lives are contained in Table 5-1.
Renewal will be undertaken using ‘low-cost’ renewal methods where practical. The aim of ‘low-cost’ renewals
is to restore the service potential or future economic benefits of the asset by renewing the assets at a cost less
than the full replacement cost. For example, re-lining sewer mains instead of re-construction.
This Asset Management Plan contains an analysis based on broad assumptions and best available knowledge
to date. Modelling is not an exact science so we deal with long term averages across the entire asset stock.
Work will continue on improving the quality of our asset registers and systems to increase the accuracy of our
renewal models.
Details of planned renewal activities proposed over the next four years are contained in Appendix B for each
asset category. The first year of the program will be considered in the development of the next Operational
Plan and the remaining three years of work will be assessed each year to confirm that the asset has reached its
intervention level prior to the work being scheduled.
Prioritising Renewals
Assets requiring renewal will be generally identified from estimates of remaining life and condition
assessments obtained from the asset register and models. Candidate proposals will be inspected to verify the
accuracy of the remaining life estimate and to develop a preliminary renewal estimate.Verified proposals are
ranked by priority and available funds and scheduled in future works programs.
Assets were identified for the renewal program based on the following criteria:
Not meeting the level of service (e.g. sewer overflows)
Poor condition/performance resulting in high risk to leave in service (identified from asset register)
from assets that have a level 2 assessment level
Assets that have been identified in poor condition/performance rating from a level 1 assessment have
been identified to undertake a level 2 assessment (e.g. Sewer mains that have been assessed to be in
poor condition are included in the upcoming CCTV program to confirm their condition before being
included in a renewal program).
Any other specialist evaluation study commissioned by Council (e.g. Treatment Plant Capacity Studies,
Pump station specialist inspections and studies)
A backlog of works (works that have been identified as required, but not able to be funded), may result in
reduced performance, e.g. overflows and odour problems.
This risk may be acceptable for some assets, but not for others. A criticality assessment has been undertaken
for these assets included in the Sewerage Asset Management Plan, and prioritise renewals based on their
consequence of failure. Assets that have a low consequence of failure that are a low risk to remain in service
are not included in Special Schedule 7 financial reports.
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Renewal Expenditure
The costs presented in Table 8-1 identify the current level of funding for the required renewal programs and
the funding required to maintain the asset to what is considered an appropriate standard. The required
funding in that table is based on the intervention specified in Section 5.
For sewerage assets, an analysis has been undertaken to determine assets that are already at or above
intervention level that are not able to be funded in the next Operational Plan. This work is quantified in the
‘Backlog’ column.
Negative figures (in red) indicate a surplus for that particular category, however if the programs are flexible
this surplus may be able to be used in other categories which have a funding gap. Overall, however there is no
surplus in renewal funding.
Appendix B details the renewal programs over the next 4 years.
Table 8-1: What are our Renewal Costs, Gap and Backlog?
Activity Budget Required Gap Backlog 2019 Backlog 2048
Sewer Treatment 765,000 1,293,000 529,000 -543,000 15,861,000
Sewer Pump Stations 140,000 395,000 255,000 6,000 7,647,000
Sewer Rising Mains - 598,000 598,000 745,000 17,945,000
Sewer Trunk Mains - 214,000 214,000 3,909,000 6,428,000
Sewer Reticulation Mains 700,000 631,000 -69,000 2,582,000 -2,075,000
Sewer Vents 8,000 23,000 15,000 -42,000 450,000
Other 205,000 - - - -
Total 1,818,000 3,155,000 1,542,000 6,657,000 46,256,000
Figure 8-1: What will we spend over the next 10 years on Renewal?
0
1
2
3
4
5
6
7
8
9
2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29
$ (
Mill
ion
s)
Sewer Treatment Sewer Pump Stations Sewer Rising Mains
Sewer Trunk Mains Sewer Reticulation Mains Sewer Vents
Other Rolling Backlog
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Figure 8-2: Rolling Backlog Split
Lifecycle costs
The lifecycle costs are determined based on the total cost of ownership of each asset including operations,
maintenance, renewal and disposal costs. The thirty year average annualised lifecycle costs for each
component is presented in Table 8-2.
Table 8-2: What are our Lifecycle Costs?
Category Units Rate Annual Average
Sewer Reticulation /km $ 19,034 $ 8,565,151
Sewage Treatment /1000 EP $ 29,353 $ 1,790,524
Sewer Pump Stations /ML $ 10,196 $ 919,720
0
1
2
3
4
5
6
7
8
2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29
$ (
Mill
ion
s)
Sewer Treatment Sewer Pump Stations Sewer Rising Mains
Sewer Trunk Mains Sewer Reticulation Mains Sewer Vents
Other
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8.1 Intervention Levels – Phase Up/Phase Down
For each asset type, the “intervention level” condition is the condition at which renewal of the asset proposed
to be undertaken. Minimising the life cycle cost and indications of the desired level of service obtained
through community engagement have been considered in setting intervention level conditions.
As an example, the intervention level adopted for trunk mains (condition 7) is higher than the level adopted
for reticulation mains (condition 8) as it is a more critical asset type. Refer to Section 5 - Condition of Our
Assets for more details.
Evaluating “phase up” and “phase down” scenarios provides information on costs or savings and other impacts
to the community based on higher and lower Levels of Service (LOS) options.
A phase up scenario may mean that mains are renewed at condition level 6 for trunk mains and condition 7 for
reticulation mains, and a phase ramp down scenario could be where mains renewed at condition level 8 for
trunk mains and at condition 9 for retic mains.
The average annual renewal costs under each of the scenarios modelled are listed in Table 4.2 below.
Table 8-3: What is the cost of increasing intervention levels by 1 condition point?
Asset Category Scenario 30yr Avg Ann Cost
Base Case Movement
Sewer Rising Mains Phase Up $ 641,000 $ 598,000 $ 43,000
Sewer Reticulation Mains Phase Up $ 334,000 $ 631,000 $ 295,000
Sewer Trunk Mains Phase Up $ 269,000 $ 214,000 $ 55,000
Sewer Pump Stations Phase Up $ 600,000 $ 395,000 $ 205,000
Sewer Treatment Phase Up $ 2,165,000 $ 1,293,000 $ 871,000
Sewer Vents Phase Up $ 27,000 $ 23,000 $ 4,000
Table 8-4: What is the cost of decreasing intervention levels by 1 condition point?
Asset Category Scenario 30yr Avg Ann Cost
Base Case Movement
Sewer Rising Mains Phase Down $ 597,000 $ 598,000 $ -2,000
Sewer Reticulation Mains Phase Down $ 926,000 $ 631,000 $ -297,000
Sewer Trunk Mains Phase Down $ 170,000 $ 214,000 $ -44,000
Sewer Pump Stations Phase Down $ 318,000 $ 395,000 $ -77,000
Sewer Treatment Phase Down $ 811,000 $ 1,293,000 $ -483,000
Sewer Vents Phase Down $ 19,000 $ 23,000 $ -4,000
The average annual renewal costs are identified in Table 8.3 and 8.4, however the extra maintenance costs
that would be required because of renewal delay under the phase down option have not been captured. More
sewer chokes, equipment breakdown or other issues could occur due to a decline in the average condition of
the sewerage network.
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9 Capital Upgrade & Expansion Plan
Upgrade and expansion works are those capital works that create a new asset that did not previously exist, or
works which upgrade or improve an existing asset’s capacity.
Upgrades enhance an existing asset to provide a higher level of service, for example improving capacity in an
area, and improving wastewater quality (identified in the Capital Works Program as Level of Service works).
New assets are those created to meet an additional service level requirement or increase the size of a
network, for example, servicing new development areas.
Works for growth may be funded in part through developer contributions in the form of Section 64
contributions, a Voluntary Planning Agreement, or as part of a subdivision development. These works are
identified in the Capital Works Program for ‘Future Growth’. They are usually not eligible for grant funding
Upgrade works (Level of Service works) need to be funded from within the existing revenue stream of the
Sewer Fund. Upgrade works may also be eligible for grant funding.
Project Identification and Strategies
New assets and upgrade/expansion of assets are identified from studies completed by Council. These will be
included into Integrated Water Cycle Management (IWCM) Plan scenarios. The current capital works projects
have been identified from the following sources:
Orange STP Capacity Study 2015
Spring Hill STP Capacity Study 2015
30 year Infrastructure Strategy 2014
IWCM Evaluation Study , May 2013
Interim Sewer Development Servicing Plan, November 2012 – currently under review
Council has an adopted strategy for the expansion of sewerage network with the following new / upgraded
assets proposed over the next 30 years to meet demand and levels of service.
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Capital Expenditure
Table 9-1 indicates the major projects and groups of new and upgraded assets proposed, a complete list is
contained in Appendix C.
Table 9-1: What are the major projects proposed over the next 10 years?
Project Reason Year(s) Total Budget
Orange STP – Inlet Works Upgrade LOS 2019/20 – 2020/21
4,850,000
Orange STP – UV Design, construction and dechlorination
LOS 2022/23 – 2023/24
4,350,000
Orange STP – Digestor Upgrade LOS 2026/27 – 2029/30
2,700,000
Orange STP – Aeration Upgrade LOS 2020/21 – 2022/23
1,900,000
SPS – Leeds Parade Rural Residential New SPSs Growth 2020/21 – 2025/26
1,648,000
SPS – Clergate Road/Leeds Parade New SPSs Growth 2023/24 – 2024/25
1,119,000
North Orange Sewer Strategy Growth 2020/21 – 2021/22
3,234,000
Spring Hill / lUkcnow Sewer Strategy LOS 2020/21 – 2025/26
2,800,000
Figure 9-1: What will we spend over the next 10 years on Upgraded and New Assets?
0
1
2
3
4
5
6
2019/20 2020/21 2021/22 2022/23 2023/24 2024/25 2025/26 2026/27 2027/28 2028/29
$ (
Mill
ion
s)
451 Sewer Administration 453 Sewer Treatment 456 Sewage Pumping 458 Sewer Reticulation
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10 Asset Rationalisation and Disposal Plan
Disposal is any activity associated with disposal of a decommissioned asset including sale, demolition or
relocation. Assets with a condition rating of 9 (poor condition), where Council has received no contact through
the Customer Request System indicating that the community don’t require the asset (as they have raised
concerns or complaints about the asset condition) may be considered to be a redundant asset or not utilised
and therefore decommissioned and disposed unless it is considered critical infrastructure
Table 10-1: What assets are we planning to dispose of?
Asset Reason Year Cost
Spring Hill Wastewater Treatment Plant
Asset is to be replaced with a new Sewer Pump Station to enable treatment of all wastewater at the Orange Wastewater Treatment Plant
2025/26 (part of Spring Hill-Lucknow Sewer Strategy)
2,000,000
Turner Crescent SPS Asset is currently non-operational (no power connected & no pumps in well)
Asset is no longer required (further development has removed the need for this pump station – connected now via gravity sewer to North Orange 1 SPS)
Asset is located on residential block that might be able to be sold for development should the pump station be fully decommissioned.
UNSCHEDULED 40,000
Orange Wastewater Treatment Plant – Trickling Filters
Asset no longer required 2028/29 1,850,000
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11 Financial Plan
This financial plan is based on Orange City Council’s financial statements from 2017/18 (Special Schedule 5 and
6), which are a key component of Council’s strategic business plans for water supply and sewerage.
A 30-year financial plan has been prepared for Council’s Sewerage business. The NSW Financial Planning
Model (FINMOD) has been used for preparing this Financial Plan.
This Financial Plan sets out the long term price path (Typical Residential Bills) Council will need to levy in order
to fund the recurrent cost and capital investment required for delivering the levels of service set out in this
Asset Management Plan.
A summary of the expenditure projected over the next 30 years is included in Appendix D. Funding for
management of assets can come in a variety of sources as detailed in the table below.
Table 11-1: Where does our Income come from?
Item 30yr Avg Annual Income
Fees & Charges 13,748,000
Interest 1,011,000
Other 559,000
Grants 161,000
Contributions 2,138,000
Total 17,617,000
Figure 11-1: What is the breakup of our income streams?
Fees & Charges-78%
Interest-6%
Other-3%
Grants-1%
Contributions-12%
Fees & Charges
Interest
Other
Grants
Contributions
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11.1 Summary of Model Inputs
Historical Financial Data
Historical financial data was obtained from Special Schedules 5 & 6 of Council’s 2017/18 annual financial
statements.
Initial Data
Data used in the modelling is shown in Table 11-2. The values are those recommended by Orange City
Council’s Finance Department.
Table 11-2: Initial Data
Parameter Value
Inflation Rate 2.5%
Borrowing Interest Rate 3.0%
Deposit Interest Rate 1.75%
Term of new loan 10
Average life of new system assets 70
Assessments and Growth Projections
The figures used for the existing number of assessments and the projected growth are given in Table 11-3.
Table 11-3: Sewer Assessments
Item Exiting Assessments (June 2019)
Growth Projection
Residential Assessments 16133 0.9%
Non-Residential Assessments 1235 0.9%
Typical Developer Charges
Developer charges, together with the annual charges, are Council’s two sustainable sources of income. In
order to project the annual charges, the income from developer charges needs to be estimated.
For assessing the developer charges for new development, it was assumed that each new residential
assessment will be 1 ET (Equivalent Tenement) and on average, each non-residential assessment will also be 1
ET.
Table 11-4: Sewer Developer Charges per Assessment
Item Developer Charge
Residential Development 4948
Non-Residential Development 4948
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Operation, Maintenance and Administration Costs
As a default, FINMOD assumes no change in the real operation, maintenance and administration (OMA)
historical costs per assessment, and increases the total annual OMA expenditure in line with growth. These
costs are adjusted annually for inflation.
Additional OMA costs to the sewer fund have been considered in this financial plan, as detailed in Table 11-5.
Table 11-5: Additional OMA costs to the sewer fund
Item Additional OMA costs to Sewer Fund
Energy Costs
Adjustment to Electricity Contract -$53k from 2019/20, adjusted annually for CPI
Other Revenue
Internal loan incomes – loans to the Water Fund and General Fund from the Sewer Fund1
$ 8.66M @ 2% interest only over 20 years until 2034/35
$ 3.3M @ 2% interest over 24 years until 2040/41
$ 2.493M @ 2% interest over 10 years until 2026/27
Non-Residential Income
One of the inputs to FINMOD is the proportion of income from annual charges that will be provided from
residential customers. This input variable has a significant impact on the outcomes, as typical residential bills
are affected by the contribution of non-residential customers to the total income from annual charges.
For the sewerage scheme, the historical split between residential and non-residential customers has been
assumed to continue for the next 30 years.
Table 11-6: Sewer Income Split
Item User Charges
Residential Assessments – Service Availability 76.44 %
Non-Residential Assessments – Trade Waste 23.56 %
Total 100 %
1 Annual Financial Statements June 2018 – Note 22
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Capital Works Program
The sewerage business is a highly capital-intensive service, with capital costs representing about 70% of the
cost of providing the sewerage service.
Council’s capital works program is divided into three categories:
New Assets for improved standards (e.g. improvements to wastewater effluent quality).
New Assets for growth.
Renewals – replacement of assets that have reached the end of their useful life.
The 30 Year Capital Works Program is included in Appendix C. A summary is shown in Table 11-7
Table 11-7: 30 Year Sewer Capital Works Program
Category 30 Year Total Capital Works
New Assets for Improved Standards $ 8,535,000
New Assets for growth $ 16,389,000
Renewals $ 55,222,000
Total $ 80,146,000
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11.2 Sewer Fund Model Results
The main output parameter of this financial plan is the Typical Residential Bill (TRB) in current (2019/20 $)
dollars over the next 30 years. The TRB is the annual bill paid by a non-pensioner2 resident.
The purpose of the financial modelling is to identify the lowest TRB that will enable Council to fund the
operation, maintenance and development of the system. The TRB is a measure of affordability, and sets the
price path Council needs to set in order to meet the proposed levels of service.
It is important to note that the financial outcomes (e.g. TRB, cash and investments) are shown in 2019/20
dollars. CPI adjustments are required annually.
Financial Data
The Sewerage Fund at 30 June 2019 had cash and investments totalling $47,234,000 and borrowings of
$995,000. According to Council’s loan repayment schedule, the existing loans will be repaid over the next 20
years.
The minimum Cash and Investments modelled in the sensitivity analysis has been kept above approximately
10% of business income in the first few years, or $6,500,000.
Capital Works and Growth
The capital works and growth projectsions are shown graphically in Figure 11-2.
Figure 11-2: Sewerage Capital Works and Growth
2 Pensioners receive a $87.50 pensioner rebate for each of water supply and sewerage
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Typical Residential Bill
Council levies a uniform residential sewerage charge of $523 in 2019/20. Over the next 4 years, this represents
a Typical Residential Bill of (adjusted annually for CPI of 2.5%):
2019/20 - $523
2020/21 - $536
2021/22 - $549
2022/23 - $563
Results Summary & Recommendations
The results are summarised in Figure 11-3. The main output parameters shown in the figure are all in 2020/21
dollars:
Typical Residential Bill:
The modelling indicates that the current TRB is sufficient to fund the operation and development of the
sewerage network identified in the current Capital Works Program (Appendix C), without the need for
borrowing.
There is provision to reduce the current TRB – refer to the sensitivity analysis for the minimum TRB
required for each scenario.
Cash and Investments:
The cash grows over the modelled years. It accumulates in periods when capital investment is low, and
then the reserves are reduced as money is invested in new assets and renewals but is overall increasing
towards 2049.
Borrowings:
Loans are required when accumulated cash and investments are insufficient to fund capital works. The
base case includes all new works are funded through accumulated cash and investments, and no
borrowing is used.
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Figure 11-3: Sewer Fund Base Case Results (2020/21 $)
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Sewer Fund Model Sensitivity Analysis
A sensitivity analysis was carried out in order to assess the sensitivity of results to the input parameters. The
results of the sensitivity analysis are shown in Table 11-8. Four additional cases were modelled, as described
below:
Minimum Required TRB: the TRB was reduced until the minimum Cash and Investments over the 30
Year model was at $6.5M. The following scenarios also used this threshold to calculate the TRB.
Slow growth: The growth projections were modified from the figures in Table 11-3, to a growth rate of
0.5% p.a. over the 30 year planning period.
The Cash & Investments at year 30 was modelled to be the same as current 2020 levels ($47 million).
Fully funding the renewal gap: the capital works program was increased to fully fund the renewal gap
identified in Section 8 through accumulated surpluses.
Table 11-8: Sewer Fund Sensitivity Analysis
Scenario Assessment Growth Rate Total Capital Works
C&I Final Year ($M)
TRB 2020$
BASE CASE Status Quo (Existing TRB)
0.9 $80,146,000 128 523
1. Status Quo (Minimum TRB)
0.9 $80,146,000 6.8 315
2. No net decrease in Cash and Investments
0.9 $80,146,000 50.5 390
3. Slow growth (Minimum TRB)
0.5 $80,146,000 6.9 337
4. Increased Total Renewals (Minimum TRB)
0.9 123,900,000 6.5 377
The sensitivity analysis indicates that the minimum TRB for sewerage is highly sensitive maintaining the
reserves of Cash & Investments at current levels, which shows the highest TRB, increasing the total capital
works program, which shows the next highest TRB.
However, both scenarios have significantly less TRBs than the base case (current TRB) of $523p.a.
The sensitivity analysis also indicates that the lowest TRB is found in Case 1, where the renewal program is
kept at current funding levels (and the renewal gap as demonstrated in Section 8 exists), and the reserves are
used to fund the capital works program.
The following figures show a comparison of the cases.
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Figure 11-4: Sewer Fund Sensitivity Analysis – TRB
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Figure 11-5: Sewer Fund Sensitivity Analysis – Cash and Investments
Figure 11-6: Sewer Fund Sensitivity Analysis – Borrowing
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12 Key Performance Measures
Department of Industry (Water) publishes the NSW Benchmarking Report in May each year for the previous
financial year. Orange City Council’s performance as a sewerage utility is also reported via the Triple Bottom
Line (TBL) report each year. The 2018/19 TBL Report is due to be published in May 2020. Table 12-1 shows a
summary of the performance indicators included in the annual TBL Report.
Those areas where current performance has not met target performance are addressed in the Water and
Sewer Annual Report.
Table 12-1: How did we perform in 2018/19? – TO BE PROVIDED WB
Category Key Performance Measure
2017/ 2018
2018/ 2019
Target 3 National Average4
Pricing Typical Residential Bill $/assessment 498 - ●
Residential Access Charge $/assessment 498 - ●
Non-residential sewer charge
c/kL 234 - ●
Finance Operating Cost per property
$/property 389 - ●
Economic Real Rate of Return
ratio 1.7 - ●
Customer Average Sewerage Interruption
mins 75
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13 Risk Management Plan
Council is committed to the identification and elimination or reduction of risks associated with hazards that
arise throughout Council operations as far as reasonably practicable. To facilitate this process an Enterprise
Risk Management Plan has been developed which includes the management of risks for each of its assets.
From this Plan the key Risks have been identified in Table 13-1.
Table 13-1: Critical Risks and Treatment Plans
Asset at Risk What can Happen Risk Rating
Risk Treatment Plan
All Assets Ageing asset failure impacting ability to provide services
Moderate Undertake criticality assessment, ensure implementation of CCTV inspection process
Sewage Treatment
Mechanical/Electrical failure affecting effluent quality
Major Operational procedures and BCPs.
Sewage Treatment
Extra Costs incurred to treat sewage in wet weather flows
Moderate Inflow/Infiltration Program
New Developments
Failure to adequately service new areas
Moderate Infrastructure modelling, Development Control Plan
Pump Stations Mechanical/Electrical failure affecting service
Moderate Pump maintenance program
Reticulation Effluent quality degradation in reticulation below standards
Minor Flushing Maintenance Program
One of the outcomes of this assessment is the determination of Critical Assets. Critical Assets are specific
assets which have a high consequence of failure but not necessarily a high likelihood of failure. By identifying
critical assets and critical failure modes, Council can appropriately target and refine inspection regimes,
maintenance plans and capital expenditure plans.
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Operations and maintenance activities may also be targeted to mitigate critical assets failure and maintain
service levels. These activities may include increased inspection frequency, higher maintenance intervention
levels, etc.
Pumping stations where there is a potential for failure to risk public safety, public health or property have
been identified as critical, as has the Sewage Treatment Plants.
Table 13-2: Critical Assets
Critical Assets Critical Failure Mode Treatment Plan
Orange Sewerage Treatment Plant
Mechanical/Electrical Assets:
Reduced flow output
Excessive or unusual vibration
Excessive or unusual noise
Excessive or unusual temperature increase
Leakage from seals
External corrosion
Oil or grease leaks
Pollution Incident Response Management Plan
Spring Hill Sewerage Treatment Plant
Mechanical/Electrical Assets:
Reduced flow output
Excessive or unusual vibration
Excessive or unusual noise
Excessive or unusual temperature increase
Leakage from seals
External corrosion
Oil or grease leaks
Pollution Incident Response Management Plan
North Orange 1 Pump Station North Orange 2 Pump Station March Road Pump Station Beer Road Pump Station Lucknow 1 Pump Station
Reduced flow output
Excessive or unusual vibration
Excessive or unusual noise
Excessive or unusual temperature increase
Leakage from seals
External corrosion
Oil or grease leaks
Pollution Incident Response Management Plan
Lucknow 1 Rising Main Beer Rd Rising Main North Orange 1 Rising Main North Orange 2 Rising Main March Rd Rising Main
Corrosion
Joint leakage
Biofilms
Fracture
Longitudinal split
Circumferential break
Leaching of lime and calcium silicate hydrates
Pollution Incident Response Management Plan
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14 Performance Review and Proposed Improvement Plan
Achievements
The following actions have been completed since the development of the last Sewerage Asset Management
Plan:
Annual budgets have been updated
Complete condition rating of all above-ground assets
Asset data hierarchy reviewed
Risk Assessment completed for sewerage service through Enterprise Risk Management System
Review of Customer Request Management system reporting categories for Water & Sewer
Improvement Plan
Asset Management improvements pertaining to the asset management system, or Council’s approach to asset
management, are identified in the Asset Management Strategy. The improvements in Table 14-1 are
specifically to improve the asset management of the sewerage network only.
Table 14-1: Improvement Plan
Action Responsibility Target Progress
Implement Maintenance Scheduling Work Orders System
AE, WE, WTS December 2016
ON HOLD – to be implemented with AMG Working Group
Develop an Inflow/infiltration Management Plan
AE, WE FY2020 In progress – sewer flow gauging program
Review CRM categories CS FY2020 In progress
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Appendix A: Operations and Maintenance Programs
458 Sewerage Reticulation
Reoccurrence per year Task
Nu
mb
er
Ora
nge
Re
ticu
lati
on
Spri
ng
Hill
Re
ticu
lati
on
Cad
ia E
fflu
en
t
Activity Type
z46
5
z46
5
-
OPERATIONS
No programs
MAINTENANCE
Cleaning – Chokes Unplanned – Locate fault & repair .0024 1 1
Cleaning – Flushing Planned – Frequency based 1 1 1
Inspections – CCTV Planned – Frequency based .0654 1 1
Inspections – Manholes Planned – Frequency based .0673 1 1
Mains Repair Unplanned – Locate fault & repair .0024 1 1 1
Root Foaming Planned – Frequency based 1 1
Sewer Reconstruction Planned – Condition based 1 1
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453 Sewage Treatment
Reoccurrence per year Task
Nu
mb
er
Ora
nge
STP
Spri
ng
Hill
STP
Activity Type
z46
5
z46
9
OPERATIONS
EPA Testing Planned – Compliance based .0649 12 12
Sampling Planned – Compliance based .0871 12 12
Operations Planned – Frequency based .0622 365 52
Sludge Transport Planned – Frequency based .0872 1 -
Trade Waste Monitoring Planned – Frequency based .0603 1 -
Trade Waste Operations Planned – Frequency based .0603 1 -
Electrical Testing & Tagging Planned – Frequency based .0626 1 1
Confined Space Equipment Inspections Planned – Frequency based .0628 1 -
Gas Monitor Inspections Planned – Frequency based .0628 1 -
MAINTENANCE
Flowmeter Calibration Planned – Frequency based .0024 1 1
Instrument Calibration Planned – Frequency based .0024 1 1
Lab gear servicing Planned – Frequency based .0024 1 1
Cleaning – Clarifiers Planned – Frequency based .0622 1/7 -
Cleaning – Lagoons Planned – Frequency based .0623 - 1
Gantry Inspections Planned – Frequency based .0622 4 -
Servicing – Aerators Planned – Frequency based .0024 1 1
Servicing – Blowers Planned – Frequency based .0024 2 -
Servicing – Boilers Planned – Frequency based .0024 2 -
Servicing – Centrifuge Planned – Frequency based .0024 1 -
Servicing – Compressors Planned – Frequency based .0024 4 -
Servicing – Pumps Planned – Frequency based .0531 1 1
Electrical Repair Unplanned – Locate fault & repair .0626 1 1
Mechanical Repair Unplanned – Locate fault & repair .0024 1 1
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Orange City Council Page 44
456 Sewage Pumping – Major Pump Stations
Reoccurrence per year Task
Nu
mb
er
Air
po
rt S
PS
Bee
r R
oad
SP
S
Dea
n D
rive
SP
S
Lake
Can
ob
ola
s SP
S
Leec
hat
e SP
S
Luck
no
w N
o 1
SP
S
Luck
no
w N
o 2
SP
S
Mal
lee
Pla
ce S
PS
Mar
ch R
oad
SP
S
Mit
chel
l Hw
y SP
S
No
rth
Ora
nge
1 S
PS
No
rth
Ora
nge
2 S
PS
No
rth
po
int
SPS
Ph
illip
Str
eet
SPS
Sieb
en D
rive
SP
S
Shir
alee
No
1 S
PS
Shir
alee
No
2 S
PS
Sop
hie
Pla
ce S
PS
Spri
ng
Hill
No
1
Spri
ng
Hill
No
2
Turn
er C
res
SPS
Wo
od
war
d S
tree
t
SPS
Activity Type
Z46
3
Z10
56
9
Z46
1
- - Z46
3
Z46
3
Z46
1
Z10
57
0
Z46
1
Z18
84
4
Z18
84
5
Z46
1
Z46
1
Z46
1
Z46
1
Z46
1
Z46
1
Z46
3
Z46
3
Z46
1
Z46
1
OPERATIONS
Operations Planned – Frequency based .0062 52 52 52 52 52 52 52 52 52 52 52 52 52 52 52 52 52
Confined Space Equipment Inspections Planned – Frequency based .0683 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1
Gas Monitor Inspections Planned – Frequency based .0683 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1
Electrical testing & tagging Planned – Frequency based .0626 1 1 1 1 1
MAINTENANCE
Lagoon cleaning Planned – Frequency based .0623 1
Gantry Inspections Planned – Frequency based .0622 1 1 1 1 1 1
Servicing – Generators Planned – Frequency based .0024 1
Servicing – Pumps Planned – Frequency based .0531 1/2 1 1/2 1/2 1 1/2 1 1/2 1 1 1/2 1/2 1/2 1/2 1/2 1/2 1/2
Electrical Repairs Unplanned – Locate fault & repair .0626 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1
Mechanical Repairs Unplanned – Locate fault & repair .0024 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1
Pump Well wash downs Planned – Frequency based .0024 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12 12
Rising Main inspections Planned – Frequency based .0024 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4
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Sewerage Asset Management Plan
Orange City Council Page 45
456 Sewage Pumping – Single Pump Units
Reoccurrence per year Task
Nu
mb
er
Air
po
rt E
ast
SPS
Bla
cket
t P
lace
SP
S
Bo
tan
ic G
ard
ens
Caf
é SP
S
Bu
sh F
ire
Shed
Mo
lon
g SP
S
Car
eflig
ht
SPS
Clin
ton
Str
eet
SPS
Oly
mp
ic P
oo
l SP
S
Fore
st R
oad
Pre
ssu
re
Sew
er
Ree
ce S
PS
Shep
her
ds
Lan
e P
ress
ure
Sew
er
Activity Type
Z46
3
Z46
1z
Z46
1
Z14
40
9
Z46
1
Z46
1
- Z46
1
Z46
1
Z46
1
OPERATIONS
Nil
MAINTENANCE
Electrical Repairs Unplanned – Locate fault & repair .0626 1 1 1 1 1 1 1 1 1 1
Mechanical Repairs Unplanned – Locate fault & repair .0024 1 1 1 1 1 1 1 1 1 1
Rising Main inspections Planned – Frequency based .0024 4 4
-
Sewerage Asset Management Plan
Orange City Council Page 46
Appendix B: Four Year Renewal Programs
The following programs are based on best available information with the first year of works expected to be
delivered within budgetary constraints. The following years will be validated each year with a review of the
condition so that assets are only renewed at the intervention level. Works that can’t be funded within the 4
years but which are expected to be due based on modelling are grouped as ‘unfunded works’.
456 Sewage Pumping – Sewage Pump Stations
Pump Station Asset / Project Renewal Year Renewal Cost
Blackett Place – eone Electrical - Blackett Place 2020 $ 5,594
Leechate SPS - 10L/s Electrical - Leechate SPS 2020 $ 123,524
March Rd SPS - 165L/s Ventilation System - March Road SPS 2020 $ 16,848
TOTAL 2020 $ 145,966
Nil - - -
TOTAL 2021 $
Nil - - -
TOTAL 2022 $
March Rd SPS - 165L/s Wet Well Lid - March Road SPS 2023 $ 9,126
TOTAL 2023 $ 9,126
March Rd SPS - 165L/s Old Wet Well Lid - March Road SPS 2024 $ 9,126
March Rd SPS - 165L/s Telemetry - March Road SPS 2024 $ 16,848
TOTAL 2024 $ 25,974
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Sewerage Asset Management Plan
Orange City Council Page 47
453 Sewage Treatment – Sewage Treatment Plants
Plant Treatment Unit Asset / Project Renewal Year
Renewal Cost
Orange 400 Activated Sludge (Secondary Sedimentation)
Clarifier 7 Chain Scraper MF2.2 2020 $ 98,280
Orange 400 Activated Sludge (Secondary Sedimentation)
Clarifier 7 Chain Scraper MF2.2 Motor 2020 $ 11,340
Orange 500 Chlorination Plant Turbidity Analyzer - Chlorine Room 2020 $ 10,800
TOTAL 2020 $120,420
Nil - - - -
TOTAL 2021 $
Orange 700 Anaerobic Digestion Plant (Sludge Treatment)
Sludge Circulation Pump P7509 Motor
- Heat Exchange
2022 $ 6,048
TOTAL 2022 $6,048
Orange 000 Site Works & Process Control
Telemetry MTU - Wastewater Plant 2023 $ 113,400
Orange 400 Activated Sludge (Aeration & Anoxic)
Redox Sensor Probe - Anoxic Tank 2023 $ 22,680
Orange 400 Activated Sludge (Aeration & Anoxic)
Combined Amonia/Nitrate Probe - Anoxic Tank
2023 $ 22,680
Orange 400 Activated Sludge (Secondary Sedimentation)
Scum Pump P4901 Motor - Secondary Clarifiers
2023 $ 1,512
TOTAL 2023 $160,272
Orange 700 Anaerobic Digestion Plant (Sludge Treatment)
Mixer M7514 - Secondary Digestor $ 22,680
Spring Hill
Effluent Pump Station Effleunt Pump 8011 $ 4,914
Spring Hill
Effluent Pump Station Effluent Pump 8012 $ 4,914
TOTAL 2024 $ 32,508
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Sewerage Asset Management Plan
Orange City Council Page 48
456 Sewage Pumping – Sewer Rising Mains
-
Sewerage Asset Management Plan
Orange City Council Page 49
458 Sewer Reticulation – Sewer Gravity Trunk Mains (CCTV)
-
Sewerage Asset Management Plan
Orange City Council Page 50
458 Sewer Reticulation – Sewer Gravity Reticulation Mains
-
Sewerage Asset Management Plan
Orange City Council Page 51
Appendix C: 30 Year Capital Works Program
$’000
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Imp
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tan
dar
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PROJECT DESCRIPTION
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19
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20
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48
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CAPITAL WORKS PROGRAM
Total New Assets for Improved Standards 100% 255 1,495 0 550 4,550 1,435 250 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0
Total New System Assets for Growth 100% 812 3,007 1,767 1,065 605 1,549 3,623 432 45 135 45 2,045 45 135 45 45 45 135 45 45 45 135 45 45 45 135 45 45 45 135
Total Renewals 100% 1,745 6,145 1,425 3,195 1,395 1,405 1,463 1,493 1,363 3,213 3,963 3,463 1,393 1,363 1,363 1,363 1,463 1,393 1,363 1,363 1,363 1,463 1,393 1,363 1,363 1,363 1,463 1,393 1,363 1,363
TOTAL CAPITAL WORKS 2,812 10,647
3,192 4,810 6,550 4,389 5,336 1,925 1,408 3,348 4,008 5,508 1,438 1,498 1,408 1,408 1,508 1,528 1,408 1,408 1,408 1,598 1,438 1,408 1,408 1,498 1,508 1,438 1,408 1,498
451 SEWAGE ADMINISTRATION
Sewer Temporary Flow Survey 100% 0 200
Sewer Model Update 100% 0 90 0 0 0 90 0 0 0 90 0 0 0 90 0 0 0 90 0 0 0 90 0 0 0 90 0 0 0 90
CCTV (Centroc) - 900mm C6 Trunk Main 100% 0 50
CCTV (Centroc) - Sample of Sewer Mains for Reval
100% 0 100 0 0 0 0 100 0 0 0 0 100 0 0 0 0 100 0 0 0 0 100 0 0 0 0 100 0 0 0
Water & Sewer Revaluation (50% Sewer Fund)
100% 0 0 30 0 0 0 0 30 0 0 0 0 30 0 0 0 0 30 0 0 0 0 30 0 0 0 0 30 0 0
TOTAL 451 SEWER ADMINISTRATION 0 440 30 0 0 90 100 30 0 90 0 100 30 90 0 0 100 120 0 0 0 190 30 0 0 90 100 30 0 90
453 SEWAGE TREATMENT
Sewer Treatment Renewals 100% 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213 213
Primary No 2 Coating 100% 0 0 0 0 0 0 250
Carbon dosing 100% 0 75 0 0 0 845
Secondary Clarifier Upgrade 100% 100 100 100 100 100 110 110 110 110 110 110 110 110 110 110 110 110 110 110 110 110 110 110 110 110 110 110 110 110 110
Cadia Tank 1 Roofing 100% 0 0 0 0 0 90
Cadia Tank 2 Chlorine Booster 100% 0 0 0 0 0 500
Cadia UV design, construction and dechlorination
100% 0 0 0 250 4,100
Sewage Treatment Plant Inlet Works Upgrade
100% 350 4,500
Aeration Upgrade 100% 0 100 0 1,800
Orange STP Dechlorination (Effluent) 100% 0 0
Orange STP Biosolids Handling 100% 0 0 0 0 450
Back-Up Diesel Generator 100% 0 0 0 300
Orange STP Digestor Upgrade 100% 0 0 0 0 0 0 0 100 0 0 2,600
Concept Design - Water infrastructure 100% 25
STP Process Water Upgrade 100% 0 470
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Sewerage Asset Management Plan
Orange City Council Page 52
$’000
Re
ne
wal
Ne
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sse
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or
Gro
wth
Ne
w A
sse
ts f
or
Imp
rove
d S
tan
dar
ds 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30
PROJECT DESCRIPTION
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19
/20
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20
/21
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/23
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Decommission Trickling Filters 100% 0 0 0 0 0 0 0 0 0 1,850
Orange STP Upgrade 50% 50% 0 0 0 0 0 0 0 0 0 0 0 4,000
TOTAL 453 SEWER TREATMENT 688 5,458 313 2,663 4,863 1,758 573 423 323 2,173 2,923 4,323 323 323 323 323 323 323 323 323 323 323 323 323 323 323 323 323 323 323
456 SEWAGE PUMPING
Sewer Pump Station Renewals 100% 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140
Lake Canobolas Sewer Upgrade 100% 0 800
Burrendong Way Rural Residential 100% 0 50 0 0 0 854
Leeds Parade Rural Residential 100% 0 50 0 20 0 0 1,578
Bloomfield Servicing Strategy 100% 0 50
Burrendong Way Pump Station Access Road
100% 30
Operations Shed 100% 200
TOTAL 456 SEWAGE PUMPING 370 1,090 140 160 140 994 1,718 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140 140
458 SEWER RETICULATION
Sewer Reconstructions 100% 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100
Vent Conversions CVR 11599 100% 42 42 42 42 42 42
Sewer CCTV - Unit 969 100% 0 150
Flow Gauges / Modelling 100% 45 150 150 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45 45
Manholes 100% 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100 100
Sewer Main Relining Program 100% 70