Acquisition of Multi-Function Equipment at DIA: Conditions, Factors, Considerations & Integration. Presented by Mike Carlson September 20, 2012
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1 Acquisition of Multi-Function Equipment at DIA: Conditions, Factors, Considerations & Integration Presented by Mike Carlson September 20,
2 Denver International Airport 5 Runways 12,000 /. (3,658m) x 150 /. (46m) 1 Runway 16,000 /. (4,877m) x 200 /. (61m) 53 Square Miles (137 Square Kilometers) 5 th busiest airport in the U.S. 2
3 DIA is located 34 miles (56 kilometers) northeast of Denver 3
4 Trigger to acquire Multi-Function Equipment 4
5 December 21,
6 Planning - Equipment Count DIA Snow Equipment Count December
7 2006 Blizzard Review Inaccurate forecasting Holiday week Heavy snow fall rates Strong winds/low visibility 22 (55.9cm) of snow 35 hour storm duration Airport opened 22 hours after snow stopped 5,000 stranded passengers Airline losses = approximately US$60+ million 7
8 Time to Re-Think a Few Things Update DIA Snow and Ice Control Plan Evaluate new equipment Multi-function Contract out portions of the Airport Snow Melters 8
9 Goals & Objectives Come to a consensus on: Acquisition of additional snow equipment (which kind?) Utilization of snow melters and contractors on the terminal ramp Implementation plan (multi-year) 9
10 Priority 1 Map 10
11 Snow Plan Levels of Snow Alert Type Amount of Snow (cm) Equipment needed Personnel needed Cautionary Level A Level B Snow Emergency Up to 1 (2.5 cm) 1-3 (2.5 to 7.6 cm) 3-10 (10.1 to 25.4 cm) >10 (25.4 cm) 35 pieces pieces pieces pieces
12 Snow Removal Equipment Traditional Equipment Oshkosh Blower - 20 units Oshkosh Plow/Pusher -24 units Oshkosh Broom - 24 units 12
13 Crossroads for Snow Program Decision Point 40% of the existing snow removal equipment is nearing the end of its useful life Average age of the replacement equipment is 16 years Snow program will require a significant investment regardless of direction Multi-function equipment was becoming industry standard Conduct Cost-Benefit Analysis to justify multi-function equipment direction 13
14 DIA Cost-Benefit Analysis Process Weather Analysis 80-Year Plan NOAA data Define Annual Snow Events Airline Flight Schedule Peak winter day (March 10, 2006) Official Airline Guide (OAG) Snow Equipment Teams 2006 Conventional Team Transition Team Full Conventional Team Multi-Function Team Airline Operating Costs Current fleet mix Cost per minute of operation Runway Capacity Rates Arrivals & Departures During poor weather conditions (snow) Number of runways open (1 to 6) Snow Team Travel Routes & Clearing Times Old Priority 1 pavement New Priority 1 pavement East & West runway/taxiway teams Annual Delay Savings Comparison Based on runway closures Each snow event Each equipment team configuration Determine the cost and benefits of using multi-function vs. conventional airfield snow removal equipment 14
15 Cost-Benefit Analysis Summary Largest annual operational delay savings (US $5,554,558) accrues from changes to Priority 1 pavement areas (conventional equipment) Second largest annual operational delay savings (US $4,212,071) accrues from implementing multifunction snow equipment teams Total Saving=$9,766,629 15
16 Multi-function vs. Full Conventional Comparison Project Costs Multi-function (US$ millions) Full Conventional (US$ millions) Equipment $31.0 $21.3 Facilities $7.2 $7.2 Labor $3.5 $13.1 Contracts $0.0 $0.0 Total Projected Costs $41.8 $41.6 Operational Delay Savings $60.1 $27.0 Operational Net Value $18.3 $14.6 Passenger Time Savings (Consistent with FAA Methodology) $65.0 $29.5 Total Economic Present Value $83.3 $
17 Why Multi-function? Multi-function Full Conventional 10 year net operational benefit: $18,327,993 NPV Labor 192 Maintenance Time 15 minute / runway Full recovery faster than full- conventional Equipment cost $31,000,000 NPV Safe year net operational deficit: -$14,620,617 NPV Labor 318 Maintenance Time 30 minutes / runway Full recovery slower than multi-function Equipment cost $21,304,520 NPV Safe 17
18 Specifications Request For Proposal DIA s needs identified and modeled during the development of the updated snow removal plan Apparatus identified to meet U.S. Advisory Circular standards FAA Airport Improvement Program funding eligibility Team evaluated and made recommendations Procure approximately 37 pieces of MFE from one manufacturer or multiple manufacturers 18
19 Performance Standards/Tests Specific Performance Standards were outlined in the Request for Proposal for each of the key functions of the MFE Carrier Vehicle Sweeper/Airblast Unit Displacement Plows Other Delivery 19
20 Equipment Tested Overassen Vammas Boschung Oshkosh/MB 20
21
22 Multi-function Equipment 16 Boschung 24 Oshkosh/MB 2 MB 22
23 Boschung Boschung unit offered mission specific advantages for the taxiway and rapid response teams 23
24 Multi-function Equipment - Boschung -16 Jet Broom units 8 Units with 3 rd Axle 4 units with summer kits Rubber removal FOD control Spall repair 4 units chemical spreaders 4 units sand spreaders mph (40-48 km/hr) 24
25 Multifunction Equipment Oshkosh/MB 24 units MB mph (40-48 km/h) 2 units mph (40-48 km/h) AIP funded (75%) 25
26 Budgeting and Costs Equipment Costs (US$) Federal Grants (US$) Net Cost (US$) Oshkosh $17,189,003 $12,764,718 $4,424,285 Boschung $15,424,460 $15,424,460 Radios $110,000 $110,000 Total $32,723,463 $12,764,718 $19,958,745 26
27 MFE Delivery Schedule 2008 Boschung Oshkosh/MB August 4 4 September 13 October 4 5 November 2 December 4 February (2009) 4 August (2012) 2* Total * MB 27
28 Benefits of Multi-function Equipment Faster cleaning Smaller Conga line Fewer Full Time Employees (FTE s) One piece of equipment performing up to three functions (pushing, brooming & blowing) 28
29 Equipment Life Cycle Unknown on MFE at this time. Assume a 15 year useful life at 300 operating hours/year Established Life Cycles for Other Runway Equipment Front Mount Runway Brooms 12 years Blowers 15 years Single Axle 4 x 4 with 24 ft. Plow 15 years Tandem with Runway Sander and 24 ft. Plow 10 years 29
30 Operating Cost of MFE (Based on 4 Years) Maintenance & Labor Costs/Year Oshkosh/MB - $19,466 Boschung - $19,045 30
31 Multi-Function Teams Runway Team Taxiway Team 31
32 Push SAND CHEM Broom SU CHEM BL SAND Equipment Drivers / 24 hrs. 4 Boschung 8 Drivers 1 Blowers 2 Drivers 1 Pusher 2 Drivers 1 Broom 2 Drivers 1 Field Supr. 2 Drivers
33 Equipment Speed: mph RW Plow Time: min. 1 Pass on RW BL SA BL SU CH SU SU F CH BL Equipment Drivers / 24 hrs. SA 15 MB s MulT FX 30 Drivers 6 Blowers 12 Drivers 2 Sanders 4 Drivers BL BL BL 2 Chemical 4 Drivers 2 Maint. Supr. 4 Drivers 1 Ops. Supr. 2 Drivers 1 FricTon 2 Drivers
34 BL Equipment Speed: mph RW Plow Time: min. 1 Pass on RW BL SA BL SU CH SU SU F CH SA BL BL BL
35 Equipment Speed: mph RW Plow Time: min. 1 Pass on RW BL SA SU CH SU BL SU F CH SA Equipment Drivers / 24 hrs. 11 MB s MulT Fx 22 Drivers BL 4 Blowers 8 Drivers 2 Brooms 4 Drivers 2 Chemical 4 Drivers BL 2 Maint. Supr. 4 Drivers 1 Ops. Supr. 2 Drivers 1 FricTon 2 Drivers
36 BL Equipment Speed: mph RW Plow Time: min. 1 Pass on RW BL SA CH SU SU SU F CH SA BL BL
37 37
38 38
39 39
40 40
41 Average Runway Closure Time Season Average 2006/ / / / / /
42 Questions? Contact Information Mike Carlson Airport Operations Manager
43 Extra Slides Following slides are all extra to reference for any questions that may come up after the presentation. 43
44 Regulations FAA Standards - Winter Operations Advisory Circular: Airport Winter Safety and Operations (150/ C) - Sufficient equipment to clear 1 (2.5 cm) of snow from: - Primary runways - Principal taxiways to ramp - Emergency access roads - Ramp area to accommodate anticipated aircraft operations - WITHIN 30 MINUTES 44
45 Snow Program Summary DIA Snow Program Cost Benefit Analysis US$ millions Project Costs: (1) 5% NPV 10% NPV Equipment $31.0 $24.7 Facilities $9.5 $7.5 Labor $3.5 $2.9 Contracts $63.9 $50.3 Total Projected Costs $107.9 $85.4 Operational Savings Delay Savings $134.1 $104.2 Other Operational Savings $8.6 $6.7 Total Operational Savings $142.7 $111.0 Operational Net Value $34.8 $25.6 Passenger Time Savings $154.5 $120.0 Total Economic Present Value $189.3 $145.6 DIA Reputation (Customer Service) $Priceless$ Average Cost per Enplaned Passenger ($) $0.519 Average Cost per 1000-lb Landed Weight ($) $
46 SAND CHEM SU CHEM SAND BL Equipment (per side) Drivers / 24 hrs. 4 Boschung 8 Drivers 1 Blowers 2 Drivers 1 Field Supr. 2 Drivers 6 (per side) 12 (per side)
47 Equipment Speed: mph RW Plow Time: min. 1 Pass on RW SA SU CH SU BL SU F CH Equipment Drivers / 24 hrs. SA 15 MB s MulT FX 30 Drivers 4 Blowers 8 Drivers 2 Sanders 4 Drivers 2 Chemical 4 Drivers 2 Maint. Supr. 4 Drivers 1 Ops. Supr. 2 Drivers 1 FricTon 2 Drivers BL
48 BL Equipment Speed: mph RW Plow Time: min. 1 Pass on RW SA SU CH SU SU F CH SA BL
49 Equipment Speed: mph RW Plow Time: min. 1 Pass on RW SA SU CH SU BL SU F CH Equipment Drivers / 24 hrs. SA 11 MB s MulT Fx 22 Drivers BL 2 Blowers 4 Drivers 2 Sanders 4 Drivers 2 Chemical 4 Drivers 2 Maint. Supr. 4 Drivers 1 Ops. Supr. 2 Drivers 1 FricTon 2 Drivers
50 BL Equipment Speed: mph RW Plow Time: min. 1 Pass on RW SA SU CH SU SU F CH SA BL
51 51
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