Capital Planning
To support our clients in developing capital planning strategies, we categorize their assets into classes and sub-classes based on attributes that impact asset life expectancy, such as material, installation decade, and diameter. By analyzing failure data and generating failure curves, we estimate the likelihood of failure (LoF) and the consequence of failure (CoF) for each asset, helping prioritize capital renewal needs. Our scenario-based projection tool allows utilities to model various scenarios, update with the latest condition data, and accurately forecast future capital renewal requirements.
Seattle Public Utilities (SPU) contracted with Blue Cypress to develop a capital investment analysis that describes options and a recommended course for the level and type of capital investment needed to renew its gravity sewer system over both the short and long-term (a sixty-year period). By dividing assets into various classes (anticipated to fail over similar times), Blue Cypress applied existing SPU failure methodologies to calculate system degradation over time and ultimately apply this to a financial model.
Seattle Public Utilities Collection System Capital Investment Analysis and Forecast
Clayton County Water Authority’s (CCWA) Stormwater Utility (SWU) department requested Blue Cypress Consulting, LLC to assess program funding needs for capital renewal and workforce to sustain the stormwater program and maintain the current level of service. The deliverables from this scope (capital needs and workforce assessment) served as critical inputs into a future business case for a potential rate increase.
Clayton County Water Authority Drainage System Capital Investment Analysis and Forecast
For the Capacity Assurance program, Blue Cypress provided strategic advisory services to design the policies, processes, procedures, information management, and tracking systems. This process has led to canceling a $2.2m project, $20.6m of projects that were thought to be needed in the near-term but were verified to be able to be deferred, and verifying a
$9.8m project that was needed in the near-term.
Winston-Salem/Forsyth County Utilities Asset Class Failure Analysis