Massachusetts Water Resources Authority
FY21 Draft Final Capital Improvement Program
May 27, 2020
• Impact of COVID-19
• FY21 Draft Final CIP complies with the Cap requirements
• Focus on Asset Protection and Long-Term Redundancy
• Metropolitan Tunnel Redundancy
• CEB Impacts
FY21 Draft Final CIP
3
MWRA and its construction activities have been challenged by the COVID-19 pandemic:
• Governor’s Stay-At-Home Advisory
• MWRA non-essential employees teleworking and an A/B schedule in place for critical operations
• Impact on CIP projects and CEB Maintenance
COVID-19
4
FY21 Draft Final CIP - FY19-23 Base-Line Cap
5
FY19 FY20 FY21 FY22 FY23 Total FY19-23
Projected Expenditures $179.2 $276.1 $251.3 $194.9 $150.4 $1,051.8I/I Program (19.2) (25.7) (24.3) (27.9) (26.1) (123.2)Water Loan Program (8.3) (8.4) (7.2) (5.6) (2.8) (32.4)MWRA Spending 151.7 241.9 219.7 161.4 121.4 $896.2Contingency 9.9 15.9 14.5 11.0 8.2 59.4Inflation on Unawarded Construction 0.7 5.0 7.8 7.2 8.5 29.3Chicopee Valley Aqueduct Projects (0.0) 0.0 0.0 0.0 0.0 (0.0)FY19 Final FY19-23 Spending $162.3 $262.8 $242.0 $179.6 $138.1 $984.8
FY19 FY20 FY21 FY22 FY23 Total FY19-23
Projected Expenditures $142.9 $158.3 $266.2 $251.9 $236.0 $1,055.2I/I Program (39.6) (31.5) (32.0) (26.6) (22.3) (152.0)Water Loan Program (13.8) (5.8) (33.2) (9.7) 8.3 (54.2)MWRA Spending $89.4 $121.0 $201.0 $215.7 $222.0 $849.1Contingency 0.0 0.0 12.1 14.2 15.1 41.5Inflation on Unawarded Construction 0.0 0.0 1.4 5.2 8.1 14.6Chicopee Valley Aqueduct Projects (0.0) 0.0 0.0 0.0 0.0 (0.0)FY21 Draft final FY19-23 Spending $89.4 $121.0 $214.5 $235.0 $245.2 $905.1
FY19
-23
Bas
e-L
ine
Cap
FY21
Dra
ft Fi
nal
$s in millions
6
FY21 Draft Final CIP – Top Spending Projects Excluding Community Loans in FY19-23 Cap Period
Project ContractProjected FY19-23
Expenditures $s in millions
DI Treatment Plant Asset Protection Clarifier Rehab Phase 2 - Construction $75.3Corrosion & Odor Control NI Odor Control HVAC Improvement Construction Phase 2 $57.6Facility Asset Protection Chelsea Creek Upgrades - Construction $51.8Facility Asset Protection Prison Point Rehab - Construction $41.8SEH Redundancy and Storage Redundancy Pipeline Sect 111 - Construction 3 $20.4NIH Redundancy & Storage Section 89 & 29 Redun Construction Phase 2 $19.8DI Treatment Plant Asset Protection Gravity Thickener Rehab $19.5NIH Redundancy & Storage Section 89 & 29 Replacement - Construction $16.7DI Treatment Plant Asset Protection Fire Alarm System Replacement - Construction $15.8
Total Contracts > $15.0 million $318.6% of FY19-23 Spending 30.2%
Total Projected FY19-23 Spending $1,055.2
• Asset Protection and Redundancy are the principal drivers of future capital expenditures
FY21 Draft Final CIP – Asset Protection and Redundancy
7
Project Category FY14-18 FY19-23 FY24-28
Asset Protection $222.8 $570.5 $1,259.2Water Redundancy $174.6 $206.8 $386.6CSO $64.7 $10.0 $0.1Other $123.5 $267.9 $213.3Total $585.6 $1,055.2 $1,859.1 Asset Protection 38.0% 54.1% 67.7%Water Redundancy 29.8% 19.6% 20.8%CSO 11.0% 1.0% 0.0%Other 21.1% 25.4% 11.5%Total 100.0% 100.0% 100.0%
$s in millions
• Wastewater Asset Protection is driving future capital expenditures
FY21 Draft Final CIP – Asset Protection by Utility
8
$199.0
$437.6
$928.9
$19.8
$119.6
$330.2
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
FY14-18 FY19-23 FY24-28
$s in
Mill
ions
Asset Protection by Utility
Wastewater Waterworks
Total Final FY21 Expenditures: $266.2 million
FY21 Draft Final CIP – FY21 Expenditures
9
$s in millions
Wastewater$153.5
58%
Waterworks$90.334%
BOS$22.4
8%
FY21 Spending
10
FY21 Draft Final CIP – Top Spending Projects Excluding Community Loans in FY21
Project ContractProjected FY21 Expenditures $s
in millions
Corrosion & Odor Control NI Odor Control HVAC Improvement Construction Phase 2 $20.0Facility Asset Protection Chelsea Creek Upgrades - Construction $17.7Facility Asset Protection Prison Point Rehab - Construction $15.7DI Treatment Plant Asset Protection Clarifier Rehab Phase 2 - Construction $14.5SEH Redundancy & Storage Redundancy Pipeline Section 111 - Construction 3 $7.3DI Treatment Plant Asset Protection Gravity Thickener Rehab $6.6
Total Contracts > $5.0 million $81.7% of FY21 Spending 30.7%
Total Projected FY21 Spending $266.2
Nut Island Odor Control & HVAC Improvements Construction
FY21 Budget : $20.0MTotal Contract: $57.6MNTP: February 2020SC: December 2022
FY21 Draft Final CIP – FY21 Top Spenders - Asset Protection
11
Chelsea Creek Headworks Upgrade Construction
FY21 Budget: $17.7MTotal Contract: $83.4MNTP: November 2016SC: November 2020
FY21 Draft Final CIP – FY21 Top Spenders – Asset Protection
12
Prison Point Rehabilitation ConstructionFY21 Budget: $15.7MTotal Contract: $41.8MNTP: September 2020SC: September 2022
FY21 Draft Final CIP – FY21 Top Spenders – Asset Protection
13
FY21 Draft Final CIP – FY21 Top Spenders – Asset Protection
14
Clarifier Rehabilitation Phase 2 Construction
FY21 Budget : $14.5M Total Contract: $137.2MNTP: September 2020SC: January 2025
Southern Extra High Redundancy Section 111 Construction 3
FY21 Budget: $7.3MTotal Contract: $20.4MNTP: August 2018SC: November 2020
FY21 Draft Final CIP – FY21 Top Spenders - Redundancy
15
Gravity Thickener Rehabilitation
FY21 Budget: $6.6MTotal Contract: $19.9MNTP: May 2018SC: February 2021
FY21 Draft Final CIP – FY21 Top Spenders - Asset Protection
16
12 new projects added to the CIP totaling $55.0 million
Projects > $1.0 million are as follows:
• Water Tank Painting Bellevue 1 & 2, Park Circle, Walnut Hill, Deer Island - $27.9 million
• Cosgrove Tunnel Rehab. Design - $10.0 million
• Beacon Street Line Rehabilitation - $9.3 million
• Deer Island Roof Replacement: $2.0 million
• Clinton Landfill Cell #1 Closure: $1.0 million
FY21 Draft Final CIP – New Projects
17
• 74 Contract Awards planned for FY21• Total Contract Value: $439.1 million
FY21 Draft Final CIP – FY21 Contract Awards
18$s in millions
Wastewater29
39%Waterworks
3446%
BOS11
15%
Contract Value Contract Awards
Wastewater$297.7
68%
Waterworks$125.1
28%
BOS$16.3
4%
FY21 Draft Final CIP - Projected Contract Awards ($’s in millions)
19
Project SubphaseNotice to Proceed
Total Contract Amount
$s in Millions
DI Treatment Plant Asset Protection Clarifier Rehabilitation Phase 2 - Construction Sep-20 $137.2Facility Asset Protection Prison Point Rehab - Construction Sep-20 $41.8DI Treatment Plant Asset Protection Fire Alarm System Replacement - Construction Jan-21 $28.8Facility Asset Protection Ward St & Columbus Park Headworks Des/CA Jul-20 $22.0NIH Redundancy & Storage Section 89 & 29 Repl - Construction Jul-20 $21.3New Connecting Mains-Shaft 7 CP3-Section 23,24,47, Rehabilitation Sep-20 $14.7Metro Redundancy Interim Improvements WASM 3 CP-1 Jul-20 $13.0Central Monitoring System CWTP SCADA Upgrade Construction Dec-20 $13.0DI Treatment Plant Asset Protection MCC & Switchgear Replace Construction Sep-20 $11.2Cathodic Protection Of Distribution Mains Cathodic Protection Metropolitan System Des/CA Jan-21 $9.2
Top 10 Contracts $312.1% of Total Planned Awards 71.1%
74 Contract Awards Planned $439.1
Historic and Projected Capital Improvement Spending
20
$196
$304
$413
$504
$608
$580
$437
$377
$447
$498
$392
$333
$365
$297
$194
$168
$152
$178
$196
$182
$211
$139
$138
$155
$102
$104
$95 $1
33
$151
$143
$158
$266
$252
$236
$0
$100
$200
$300
$400
$500
$600
$700
$ m
illio
ns
Actual Projected
FY90-19 Average $273M/year
FY20-23 Average $228M/year
Historic and Projected Capital Improvement Spending by Utility
21
$79
$286
$389
$463
$590
$564
$395
$282
$273
$245
$199
$146
$143
$117
$92
$89
$102 $1
20 $147
$124 $1
53
$92
$76
$74
$56 $7
5
$64
$72
$65
$75 $9
7 $153
$143
$133
$117
$18
$24
$41
$18
$16
$43
$95
$174
$253
$193
$187 $2
22
$180
$102
$79
$50 $5
6 $46
$53 $5
0
$39
$55 $7
5
$41
$23
$27
$63 $8
3
$66 $5
4
$90 $9
8
$97
$0
$100
$200
$300
$400
$500
$600
$700
$ in m
illion
s
Wastewater Improvements Waterworks Improvements
Actual Projected
FY90-19 Water $83M/yr
Wastewater $188M/yr
FY20-23 Average Water $85M/yr
Wastewater $132M/yr
Capital Spending and Debt Service
22
$0
$100
$200
$300
$400
$500
$600
$700
FY86
FY88
FY90
FY92
FY94
FY96
FY98
FY00
FY02
FY04
FY06
FY08
FY10
FY12
FY14
FY16
FY18
FY20
FY22
FY24
FY26
FY28
FY30
FY32
FY34
FY36
FY38
FY40
FY42
FY44
FY46
FY48
FY50
FY52
FY54
$ in
Mill
ions
MWRA Capital Spending &
Debt Service
Debt Service CIP - Actual CIP - Draft Final FY21
As of June 30, 2020, the total Indebtedness
is $4.9 billion
Debt Service
23
$0
$100
$200
$300
$400
$500
$600
$700
FY86
FY88
FY90
FY92
FY94
FY96
FY98
FY00
FY02
FY04
FY06
FY08
FY10
FY12
FY14
FY16
FY18
FY20
FY22
FY24
FY26
FY28
FY30
FY32
FY34
FY36
FY38
FY40
FY42
FY44
FY46
FY48
FY50
FY52
FY54
$ in
Mill
ions
Current Debt Service vs. FY16 Debt Service
Current Debt Service 2016 Peak Years Debt Service
Current cap period debt service is projected tobe $513.7 mi l lion less than in FY16.
Level of MWRA Indebtedness
24
$2,000,000,000
$2,500,000,000
$3,000,000,000
$3,500,000,000
$4,000,000,000
$4,500,000,000
$5,000,000,000
$5,500,000,000
$6,000,000,000
$6,500,000,000
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Outstanding Debt on June 30 by Fiscal YearFY12-FY23
$5.85B$5.73B $5.60B
$5.39B$5.21B
$5.11B $5.07B $4.95B $4.91B $4.84B $4.72B
$5.94B
• Metropolitan Tunnel Redundancy• Lessons learned from Chelsea Headworks Upgrades• Continue Asset Protection• Continued impacts of COVID-19• Potential Federal Stimulus
Looking Ahead
25
FY21 Draft Final CIP
26
Thank You!
Massachusetts Water Resources Authority
May 27, 2020
Metropolitan Tunnel Redundancy
Preliminary Design, Geotechnical Investigation and Environmental Impact Report
Contract Awardand
Program Update
29
Metropolitan Tunnel Redundancy Program
Proposed Northern Tunnel
Proposed Southern Tunnel
Tunnel Alignment Study Area
• Project Management, Regulatory Agency, and Stakeholder Coordination
• Environmental Notification Form - MEPA
• Evaluation of Alternatives
• Environmental Impact Report - MEPA
• Geotechnical Subsurface Investigation and Evaluation
• Base Mapping and Survey
• Preliminary Design
30
Preliminary Design Scope of Services
31
Procurement Process
• Two Step RFQ/RFP Process
• RFQ Publically Advertised– Qualifications/Key Personnel (45 points)– Experience/Past Performance (35 points)– Capacity (20 points)
• Received Six Qualifications Statements
• Selection Committee Shortlisted Three Firms to Submit Proposals– AECOM– CDM Smith– McMillen Jacobs Associates
• Cost (20 points)
• Qualifications/Key Personnel (20 points)
• Technical Approach (20 points)
• Organization and Management Approach (20 points)
• Experience/Past Performance (15 points)
• MBE/WBE Participation (5 points)
32
RFP Evaluation Criteria
33
Cost Proposal Summary
Proposer Cost Hours
CDM Smith $15,692,527 58,301
McMillen Jacobs $16,993,155 67,995
AECOM $19,241,231 79,416
Staff Estimate $15,956,347 62,266
• CDM Smith – Prime Consultant
• Jacobs Engineering Group
• VHB
• Green International Affiliates
• CDW
• New England Boring Contractors
34
CDM Smith Proposed Team
35
CDM Smith Proposed Team
• Extensive and relevant experience in
– Evaluation of tunnel alignment alternatives
– Hydraulics and design of the MWRA water system
– Planning and design of deep rock tunnels
– MEPA documentation and compliance
36
Contract Schedule
• Completed Program-Wide Guidelines and Standards
– Program Quality Management Plan
– Program Risk Management Plan– Geotechnical Field Manual– Program Delineation Report– Existing Geotechnical Data Report
37
Update on Program Activities
• Ongoing Program-Wide Activities
– Expert Review Panel– Program Guide Specifications– Hydraulics– Program Budget and Schedule
Analysis– Project Controls– Geotechnical Data Management
Plan– Program Management Plan– Contract Practices