May 9, 2013

 

U.S. Conference of Mayors Calls for Reform in Water Pipe Procurement


According to a new report by the U.S. Conference of Mayors (USCM), an estimated $2.28 trillion in water and sewer pipes are needed over the next 20 years to upgrade the nation’s deteriorating underground infrastructure. Updating procurement policies could reduce this figure substantially, spur innovation and help realize much-needed cost-savings. Unfortunately there is a tendency for many utilities to simply buy traditional materials like ductile iron pipe without reviewing other options. Instead, water and sewer utilities should be focused on finding savings and efficiencies through open pipe selection practices. Click here for study.

“The common practice of choosing metallic pipes without a full financial evaluation continues to dominate procurement decision-making…Only by modernizing procurement practices and the assumptions upon which pipes are selected can municipalities achieve much needed cost-savings and performance improvements in their underground infrastructure at a time of dwindling financial resources,” says report author Richard F. Anderson, Ph.D., Senior Advisor, Mayors Water Council.


Beware of Thinner-Walled Ductile Iron Pipe Says USCM, It May Only Last 11 to 14 Years

Mr. Anderson points out that thinner-walled ductile iron pipes “corrode and fail more quickly than their thicker cast iron predecessors” and are more expensive to buy and operate than corrosion-proof PVC pipe. For these and other reasons, municipalities must undertake rigorous cost comparisons for all the piping they buy. “Focusing on pipe material selection is the first step in reducing system capital cost, and, subsequently, operations and maintenance costs (O&M),” says Anderson.


Open Procurement and Financial Analysis Prevents Over Building the System and Saves Money

Traditional pipe procurement often doesn’t take into account the additional costs of corrosion mitigation or the loss in performance of metallic piping systems over time because of corrosion. “The use of non-corrosive materials can help reduce the overall costs of maintenance, operations and expensive capital replacement plans,” argues Anderson. As well, today there is much less need for more expensive water pipe that handles very high pressures since with “modern system operation technology, pressure release valves and other improvements the underground infrastructure is operated more efficiently and at monitored levels…average water system supply pressure is only 77 psi with pressure fluctuations of less than 20 psi.”

“We hope that our report will provide solutions for local leaders to find more cost-effective and efficient ways to manage their water systems, despite challenging economic times,” says U.S. Conference of Mayors CEO and Executive Director Tom Cochran.


Additional Findings:

  • Some 75% of cities in the U.S. have corrosive soil conditions.
     
  • Corrosion and soil conditions are major factors in determining pipe performance.
     
  • PVC pipe has a life expectancy in excess of 110 years and is unaffected by corrosion.
     
  • Closed procurement processes lead to unnecessary costs, and may diminish public confidence in a local government’s ability to provide cost-effective services.
     
  • Cities that have reviewed their pipe material options and performed objective analyses have chosen more cost-effective and better performing pipe materials for their water systems.
     
  • Using a non-corrosive material is critical to keeping long-term maintenance costs down and minimizing capital replacement budgets.
     
  • A utility procurement manual or standard operating practice can simply be updated to allow open competition for pipe materials. Once this occurs, design and financial analysis can take place to select the best value for a particular project.

Regards,

Bruce Hollands
Executive Director | Uni-Bell PVC Pipe Association
2711 LBJ Freeway, Suite 1000 | Dallas, TX 75234
T. 972.243.3902 ext. 1019 | C. 214.244.9202 | F. 972.243.3907
www.uni-bell.org