capital investment plan - tobin tellers

Capital Investment PlanFY 11/12 – 12/13

Mills 1978

Skinner 1976

Jensen 1972

Weymouth 1941

Diemer 1963

Metropolitan Distribution SystemReplacement Value = $13 Billion

0

200,000

400,000

600,000

800,000

1,000,000

30's 40's 50's 60's 70's 80's 90's 00's 10's

Years

Dol

lars

in T

hous

ands

Capital Projects Expenditures 1933 - 2020

5 treatment plants

2.5 Billion gal / day

4 Metropolitan plants among 7 U.S. largest

45 treatment basins

50,000 mech. & elect. equipment items

Metropolitan InfrastructureTreatment Plants

800+ miles of pipeline & tunnels– Up to 20’6”

345 service connections

2 pumping plants– 19 pumps

5,000+ structures– 27,000 equipment items– 9,000 instruments

Metropolitan InfrastructureDistribution System

8 reservoirs – 1.06 M acre-feet (345 billion

gallons)

6 outlet towers– 177 outlet valves & gates (24” –

144”)

26 dams (21 DSOD)– 600 monitoring instruments

Metropolitan InfrastructureDams and Reservoirs

242 miles of aqueduct– 118 miles of canals

& conduits– 124 miles of siphons

& tunnels

5 pumping plants– 45 pumps– 20,000 mech. & elect.

eqpt. items

308 miles of elect. transmission lines– 1196 towers

Metropolitan InfrastructureColorado River Aqueduct

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-120

100,000

200,000

300,000

400,000

500,000

600,000

700,000

Infrastructure Reliability Stewardship/Regulatory Cost/Efficiency/Productivity Water Qality

Supply/System Expansion

FY 2003/2004 CIP10 Year Period 2002/03 – 2011/12

$$ 1

00

0’s

10-year = $ 3.39 B

2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-120

100,000

200,000

300,000

400,000

500,000

600,000

700,000

Infrastructure Reliability Stewardship/Regulatory Cost/Efficiency/Productivity Water Quality

Supply/System Expansion

FY 2010/2011 CIP10 Year Period 2002/03 – 2011/12

$$ 1

00

0’s

10-year = $ 3.4 B

Prioritization Criteria

Critical infrastructure refurbishment and/or replacementSystem capacity/DemandRegulatory requirement

Water qualityHealth/SafetyEnvironmental

5-Year CIP Reductions(2011/12 – 2015/16)

Changed ConditionsReduced water sales Conservation efforts

Major CIP ChangesStage/deferral of growth and capacity related projects$156 million overall reduction in 5-year CIP

Demand/Capacity Related ReductionsMills Capacity Upgrade – deferred two years; on-line in 2016Jensen Solids Handling – Stage 1 capacity reduced from 750 mgd to 500 mgdWeymouth Ozone – Stage 1 capacity reduced from 520 mgd to 320 mgdPerris Valley Pipeline South Reach Tunnel – deferredCentral Pool Augmentation – rescheduledSan Diego 6 South Reach - rescheduled

5-Year CIP Budget Comparisons

FY Budget 2011/12 2012/13 2013/14 2014/15 2015/16 TOTAL

2010/11(Baseline) $341 M $387 M $457 M $349 M $265 M $1.799 B

2011/12 - 2012/13(1.8 MAF Sales) $283 M $348 M $370 M $352 M $290 M $1.643 B

Revised 5-year Reduction for 1.8 MAF Sales - $156 M

Major CIP Expenditures - 2011/12-12/13Weymouth ORP $100.8 MDiemer ORP $60.2 MLaVerne Shops Upgrades $16.9 MJensen Solids Handling Facilities $16.8 MWeymouth Power Systems Upgrade $15.4 MYorba Linda Power Plant $13.8 MEtiwanda Pipeline Lining $11.7 MJensen Filter Surface Wash $10.9 MCRA Pumping Plant & Reservoir Isolation Gates $10.1 MRialto Pipeline PCCP Replacement $9.1 MLake Skinner W. Bypass Screen Struc. $8.9 MCopper Basin & Gene Reservoir Outlets $8.4 MCRA Tunnel Rehab. $ 7.7 M

Infrastructure Reliability$419 M

Regulatory$10 M

Cost, Effi-ciency,

Productivity$4 M

Supply Re-liability/ System

Expansions$8 M

Water Quality$190 M

CIP Budgets for 1.8 MAF SalesFY 11/12 and FY 12/13

Treat-ment Plants

$383 M Distri-bution

Storage $100 M

CRA $93 M

Other $55 M

CIP Budgets for 1.8 MAF SalesFY 11/12 and FY 12/13

Diemer $122 M

Jensen$60 M

Mills $20 M

Skinner $17 M

Weymouth $164 M

Distribu-tion

Storage $100 M

CRA $93 M

Other $55 M

CIP Budgets for 1.8 MAF SalesFY 11/12 and FY 12/13

FY 2011/12 - $283 M

InfrastructureWater Quality / RegulatorySupply/System Capacity

Revised CIP Budgets for 1.8 MAF SalesFY 11/12 and FY 12/13

FY 2012/13 - $348 M

InfrastructureWater Quality / RegulatorySupply/System Capacity

FY 2011/12 – 12/13 $631 M

Infrastructure Reliability – $419 M - Copper Basin Outlet Rehab- Etiwanda Pipeline Lining Replacement- Rialto Pipeline PCCP Replacement- Lake Skinner Bypass Screen Structure- Yorba Linda Power Plant Rehab.- Jensen Surface Wash Rehab.- Jensen Solids Handling- Weymouth Power System Upgrade- Laverne Machine/Fab. Shops - Rehab.CRA Isolation Gates

Revised CIP Budgets for 1.8 MAF SalesFY 11/12 and FY 12/13

CRA – Copper Basin Reservoir Outlet Gates

CRA – Copper Basin Reservoir Outlets Power and Controls

CRA – Copper Basin Reservoir Outlet Gate Operator

CRA – Copper Basin Reservoir Rapid Drawdown Valve

CRA – Copper Basin Reservoir Rapid Drawdown Valve

Etiwanda Pipeline – Failed Mortar Lining

Rialto Pipeline – PCCP Section Replacement

Lake Skinner West Bypass Screening Structure

Lake Skinner Bypass Screening Structure

Yorba Linda Power Plant Pelton Wheel Turbine

Jensen Filter Surface Wash Piping

Jensen Water Treatment Plant

Proposed Lagoons(Currently leased to LADRP)

Proposed Solids Dewatering Facility

Exist. Leased LADWP Lagoons

Weymouth Water Treatment PlantPower Systems Upgrade

Main plant switchgear building wall forms Corporate Resources Group September 2010

PCCP Refurbishment/Replacement

Corporate Resources Group January 2011Offloading repair pipe segments

Mills Water Treatment PlantElectrical Building Seismic Upgrade

Engineering Services March 2011Installing masonry units

1 MW Solar Facility at Lake Skinner

Quagga Mussels in Lake Mathews Outlet Tower

FY 2011/12 – 12/13 $631 M

Water Quality/Regulatory - $200 M - Weymouth ORP- Diemer ORP- Cross Connection Program- Diemer Filter Media Replacement

Revised CIP Budgets for 1.8 MAF SalesFY 11/12 and FY 12/13

Diemer Water Treatment PlantOxidation Retrofit Program

Contactor upper deck Corporate Resources Group September 2010

Diemer Water Treatment PlantOxidation Retrofit Program

FY 2011/12 – 12/13 $631 M

Supply/System Expansion - $8 M - System Integration Assessments- Groundwater Program- Inland Feeder Environmental Monitoring

Revised CIP Budgets for 1.8 MAF SalesFY 11/12 and FY 12/13

2004

-05

2005

-06

2006

-07

2007

-08

2008

-09

2009

-10

2010

-11

2011

-12

2012

-13

2013

-14

2014

-15

2015

-16

2016

-17

2017

-18

2018

-19

2019

-200

100,000

200,000

300,000

400,000

500,000

600,000

700,000

Infrastructure Reliability Infrastructure Replacement Model Water Quality/Regulatory

Supply/System Capacity Supply/System Capacity - Future

Capital Investment Plan FY 11/12 – 12/13 2004/05 – 2019/20

$$ 1

00

0’s

1997

-98

1998

-99

1999

-00

2000

-01

2001

-02

2002

-03

2003

-04

2004

-05

2005

-06

2006

-07

2007

-08

2008

-09

2009

-10

2010

-11

2011

-12

2012

-13

2013

-14

2014

-15

2015

-16

2016

-17

2017

-18

2018

-19

2019

-200

100,000

200,000

300,000

400,000

500,000

600,000

700,000

Infrastructure Reliability Infrastructure Replacement Model Stewardship/Regulatory Cost Water Quality

Supply/System Capacity Supply/System Capacity - Future

Capital Investment Plan FY 11/12 – 12/131997/98 – 2019/20

$$ 1

00

0’s

- Mills Capacity Upgrade- Perris Valley Pipeline - Tunnel

FY 2011/12 – 12/13 CIP SummaryThorough and rigorous review of all projectsPrioritized to maintain reliability and regulatory complianceReduced 5 - year plan by $156 MDeferred/Staged demand and facility capacity related projectsIncreasing investments in Infrastructure Reliability

Consistent with Asset Replacement ModelOver next 5 years, Infrastructure Reliability comprises 70% of CIP

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Refurbished Conical Plug Valve

LaVerne Coating Shop

LaVerne Fabrication Shop

DWR Dos Amigos Plant Impeller

Unit #9 Pump Cover Intake Pumping Plant

LaVerne Machine Shop