Director's


DIRECTOR'S ORDER #80: REAL PROPERTY ASSET MANAGEMENT

Approved: /s/ Mary G. Bomar

                            Director

Effective Date: November 20, 2006

Duration: Until amended or rescinded

This Director’s Order (DO) and the associated Reference Manual (RM) supersede guidance on implementing the 1986 National Park Service Maintenance Management System and all other previously published directives and policy-related memoranda regarding NPS asset management.

Table of Contents:

1.    Background and Purpose

2.    Authorities

3.    Policies, Requirements, and Standards

3.1   Requirements of Public Law 98-540

3.2   Requirements of Government Performance Results Act (GPRA)

3.3   Requirements of 23 USC 204 and 23 USC 109(c)(1)(B)

3.4   Requirements of the National Historic Preservation Act of 1966 (NHPA)

3.5   Archaeological Resources Protection Act of 1979 (ARPA)

3.6   Requirements of Executive Order 13327

3.7   Requirements of Executive Order 13287

3.8   Requirements of Statements of Federal Financial Accounting Standards (SFFAS) #6, #8, and #29

3.9   Conclusions of Department of the Interior’s Facilities Maintenance Assessment and Recommendations

4.    Implementation of Policies, Requirements, and Standards

4.1   Core Elements of the NPS Asset Management Program

4.2   Real Property Asset Management Planning Processes

4.3   Cost of Ownership

4.4   Training

4.5   Policies for Heritage Assets and General Properties

4.6   Automated Facilities Management Systems

4.7   Policy Implementation Support and Resources

4.8   Systems Integration

5.    Responsibilities

5.1   Director

5.2   Deputy Directors and Associate Directors

5.3   Associate Director, Park Planning, Facilities, and Lands

5.4   Regional Directors

5.5   Superintendents

5.6   Park Facility Managers and Staff

5.7   Summary of Responsibilities

_________________________________________________

1.         Background and Purpose

National Park Service assets exist to serve the resource protection and visitor services elements of the NPS’s mission.  Maintenance and asset management within the NPS requires an investment in human, natural, and cultural resources in order to provide stewardship for the Nation’s most significant places.  Maintenance and preservation of real property heritage assets, balanced with new technologies and basic resource needs, are based on the enabling legislation and the general management plan for each park.  While this DO places emphasis on the NPS asset management practices, it also recognizes that the NPS has special needs and processes associated with heritage assets or cultural resources, such as historic structures, cultural landscapes, and archeological sites.  Further, the NPS asset management business practices discussed in this DO include a shared and deep understanding of the value and role that heritage assets play in fulfilling the NPS mission.  Accordingly, this DO does not in any way conflict with or supersede DO #28: Cultural Resource Management. 

The purpose of this DO is to establish the NPS policies, requirements, and standards for implementing section 4 of Public Law 98-540 (October 24, 1984).  In doing so, it supplements the policies articulated in NPS Management Policies 2006.  PL 98-540 directs the NPS to implement a maintenance management system to support real property maintenance and operations programs of the National Park System.  This DO also integrates the requirements of this law with requirements of other initiatives, legislation, and regulations that require the NPS to provide information about real property assets, including heritage assets, facilities management, and facilities operation.  These other requirements include: 

·        The Government Performance and Results Act of 1993 (31 USC 1115 et seq.; PL 103-62).

·        23 USC 204 regarding the Federal Lands Highways Program.

·        23 USC 109(c)(1)(B), regarding the design criteria for the Federal Lands Highways Program.

·        National Historic Preservation Act of 1966, as amended (16 USC 470 et seq.).

·        Archaeological Resources Protection Act of 1979 (ARPA), as amended (16 USC 470aa-mm).

·        Executive Order 13327—Federal Real Property Asset Management.

·        Executive Order 13287—Preserve America.

·        Executive Order 13123Greening the Government Through Efficient Energy Management.

·        Executive Order 13148—Greening the Government Through Leadership in Environmental Management.

·        The Federal Accounting Standards Advisory Board Statement of Federal Financial Accounting Standards Number 6:  Accounting for Property, Plant and Equipment (SFFAS #6; June 1996).

·        The Federal Accounting Standards Advisory Board Statement of Federal Financial Accounting Standards Number 8:  Supplementary Stewardship Reporting (SFFAS #8).

·        The Federal Accounting Standards Advisory Board Statement of Federal Financial Accounting Standards Number 29: Heritage Assets and Stewardship Land (SFFAS #29;  July 7, 2005)

·         The February 1998 Department of the Interior document entitled Facilities Maintenance Assessment and Recommendations.

·        The Department of the Interior Asset Management Plan (September 30, 2005).

While the NPS originally implemented a maintenance management system in 1986, these subsequent laws and directives (which are described in more detail in Section 3), combined with changes in technology since PL 98-540 was passed, have necessitated updating, expanding, and clarifying the NPS real property asset management policies, requirements, and standards.

This DO is intended only to improve the internal management and operations of the NPS, and is not intended to, and does not, create any right or benefit, substantive or procedural, enforceable at law or equity by a party against the United States, its departments, agencies, instrumentalities or entities, its officers or employees, or any other person.  DO #80 will apply to concessions-managed real property assets unless otherwise provided by legislation and implemented by regulation and standard contract language.

2.         Authorities

The authority to issue this DO and the associated RM is contained in the NPS Organic Act (16 USC 1 – 4), and the delegations of authority contained in Part 245 of the Departmental Manual.  Other important legal, regulatory, and policy requirements are those listed in the background information in Section 1, above, which are explained in more detail in Section 3, below

3.         Policies, Requirements, and Standards

  3.1         Requirements of PL 98-540

Section 4(a) of PL 98-540 (16 USC 1a-8(a)) directs the NPS to implement a Maintenance Management System to support the maintenance and operations programs of the National Park System.  By law, this Maintenance Management System must contain, but is not limited to, the following elements:

(1)   a work load inventory of real property assets including detailed information that quantifies for all real property assets (including but not limited to buildings, roads, utility systems, and grounds that must be maintained) the characteristics affecting the type of maintenance work performed;

(2)   a set of maintenance tasks that describe the maintenance work in each unit of the National Park Systeml

(3)   a description of work standards including frequency of maintenance, measurable quality standard to which assets should be maintained, methods for accomplishing work, required labor, equipment and material resources, and expected worker production for each maintenance task;

(4)   a work program and performance budget which develops an annual work plan identifying maintenance needs and financial resources to be devoted to each maintenance task;

(5)   a work schedule which identifies and prioritizes tasks to be done in a specific time period and specifies required resources;

(6)   work orders specifying job authorizations and a record of work accomplished which can be used to record actual labor and material costs; and

(7)   reports and special analyses which compare planned versus actual accomplishments and costs and can be used to evaluate asset management.

   3.2         Requirements of Government Performance Results Act (GPRA)

GPRA directs that all Federal agencies provide to the Office of Management and Budget a strategic plan, annual performance plan, and annual performance report for program activities performed by the agencies.  See, 5 USC 306 and 31 USC 1115 – 1117 (respectively Sections 3 and 4(b) of PL 103-62).  Strategic plans are updated every 3-5 years.  Both the DOI and the NPS strategic plans include performance goals associated with the condition of the NPS facilities.

  3.3         Requirements of 23 USC 204 and 23 USC 109(c)(1)(B)

The need for all Federal public roads to be treated under uniform policies similar to those that apply to Federal-aid highways is recognized in 23 USC 204.  This law established a coordinated Federal Lands Highways Program that applies to public lands highways, park roads and parkways, and Indian reservation roads and bridges.  The NPS roads and highways are in this category.

In addition, Federal public roads uniform policy in 23 USC 109(c)(1)(B) states “A design for … reconstruction, resurfacing…restoration, or rehabilitation of a highway…may take into account…the environmental, scenic, aesthetic, historic, community, and preservation impacts of the activity.”

  3.4         Requirements of the National Historic Preservation Act of 1966, as amended (16 USC 470 (et seq.)

Section 2 of the NHPA (16 USC 470) states that it shall be the policy of the Federal Government, in cooperation with other nations and in partnership with the States, local governments, Indian tribes, and private organizations and individuals to:

(1)   use measures, including financial and technical assistance, to foster conditions under which our modern society and our prehistoric and historic resources can exist in productive harmony and fulfill the social, economic, and other requirements of present and future generations;

(2)   provide leadership in the preservation of the prehistoric and historic resources of the United States and of the international community of nations and in the administration of the national preservation program in partnership with States, Indian tribes, Native Hawaiians, and local governments;

(3)   administer Federally owned, administered, or controlled prehistoric and historic resources in a spirit of stewardship for the inspiration and benefit of present and future generations;

(4)   encourage the public and private preservation and utilization of all usable elements of the Nation's historic built environment; and

  3.5         Archaeological Resources Protection Act of 1979, as amended (16 USC 470aa-mm)

The ARPA establishes policies, procedures, and penalties to advance the purpose of the ARPA, which is “to secure, for the present and future benefit of the American people, the protection of archaeological resources and sites which are on public lands and Indian lands, and to foster increased cooperation and exchange of information between governmental 
authorities, the professional archaeological community, and private individuals having collections of archaeological resources and data which were obtained before the date of the enactment of this Act.” 

Specific excerpts from the Executive Orders that pertain to this NPS DO are as follows:

  3.6         Requirements of Executive Order 13327—Federal Real Property Management

    ·        Promote efficient and economical use of America’s real property assets; and
·        Assure management accountability for implementing Federal Real Property reforms.

Section 3 defines the responsibilities of the designated Agency Senior Real Property Officer.  For the NPS, this position is represented by the Associate Director, Park Planning, Facilities, and Lands (PPFL).

(b)      The Senior Real Property Officer shall develop and implement an agency asset management planning process that meets the form, content, and other requirements established by the Federal Real Property Council established in Section 4 of this DO.  The initial agency asset management plan will be submitted to the Office of Management and Budget on a date determined by the Director of the Office of Management and Budget. In developing this plan, the Senior Real Property Officer shall:

(i)      identify and categorize all real property owned, leased, or otherwise managed by the agency, including, where applicable, those properties outside the United States in which the lease agreements and arrangements reflect the host country currency or involve alternative lease plans or rental agreements;

                 (ii)      prioritize actions to be taken to improve the operational and financial management of the agency’s real property inventory;

               (iii)      make life cycle cost estimations associated with the prioritized actions;

               (iv)      identify legislative authorities that are required to address these priorities;

                (v)      identify and pursue goals, with appropriate deadlines, consistent with and supportive of the agency’s asset management plan and measure progress against such goals;

               (vi)      incorporate planning and management requirements for historic property under Executive Order 13287 of March 3, 2003, and for environmental management under Executive Order 13148 of April 21, 2000; and

             (vii)      identify any other information and pursue any other actions necessary to the appropriate development and implementation of the agency asset management plan.

   3.7         Requirements of Executive Order 13287—Preserve America

·        Preserve America's heritage by actively advancing the protection, enhancement, and contemporary use of the historic properties owned by the Federal Government; and
·        Recognize and manage Federal historic properties as assets that can support department and agency missions while contributing to the vitality and economic well-being of the Nation's communities and fostering a broader appreciation for the development of the United States and its underlying values.

Specific excerpts from the Executive Order that pertain to this the NPS DO are as follows:

Sec. 3. Improving Federal Agency Planning and Accountability

(a)  Accurate information on the state of Federally-owned historic properties is essential to achieving the goals of this order and to promoting community economic development through local partnerships. Each agency with real property management responsibilities shall prepare an assessment of the current status of its inventory of historic properties required by Section 110(a)(2) of the NHPA (16 USC 470h-2(a)(2)), the general condition and management needs of such properties, and the steps underway or planned to meet those management needs. The assessment shall also include an evaluation of the suitability of the agency's types of historic properties to contribute to community economic development initiatives, including heritage tourism, taking into account agency mission needs, public access considerations, and the long-term preservation of the historic properties. No later than September 30, 2004, each covered agency shall complete a report of the assessment and make it available to the Chairman of the Advisory Council on Historic Preservation (Council) and the Secretary of the Interior (Secretary).

(b) No later than September 30, 2004, each agency with real property management responsibilities shall review its regulations, management policies, and operating procedures for compliance with Sections 110 and 111 of the NHPA (16 USC 470h-2 & 470h-3) and make the results of its review available to the Council and the Secretary.  If the agency determines that its regulations, management policies, and operating procedures are not in compliance with those authorities, the agency shall make amendments or revisions to bring them into compliance.

(c) Each agency with real property management responsibilities shall, by September 30, 2005, and every third year thereafter, prepare a report on its progress in identifying, protecting, and using historic properties in its ownership and make the report available to the Council and the Secretary.  The Council shall incorporate this data into a report on the state of the Federal Government's historic properties and their contribution to local economic development and submit this report to the President by February 15, 2006, and every third year thereafter.

(d) Agencies may use existing information gathering and reporting systems to fulfill the assessment and reporting requirements of subsections 3(a)-(c) of this order.  To assist agencies, the Council, in consultation with the Secretary, shall, by September 30, 2003, prepare advisory guidelines for agencies to use at their discretion.

(e) No later than June 30, 2003, the head of each agency shall designate a senior policy level official to have policy oversight responsibility for the agency's historic preservation program and notify the Council and the Secretary of the designation.  This senior official shall be an Assistant Secretary, Deputy Assistant Secretary, or the equivalent, as appropriate to the agency organization.  This official, or a subordinate employee reporting directly to the official, shall serve as the agency's Federal Preservation Officer in accordance with Section 110(c) of the NHPA.  The senior official shall ensure that the Federal Preservation Officer is qualified consistent with guidelines established by the Secretary for that position and has access to adequate expertise and support to carry out the duties of the position.

  3.8         Requirements of Statements of Federal Financial Accounting Standards (SFFAS) #6, #8 and #29

SFFAS #6 requires that all Federal agencies disclose certain information about agency-owned property, plant and equipment (PP&E), including Federal mission PP&E, general PP&E, heritage assets, and stewardship land.

Chapter 2 of SFFAS #6, #8 and #29  defines the four categories of PP&E as follows

·        General PP&E facilities and land that could be used for similar or alternative purposes by non-government entities.
·        Federal Mission PP&E generally military and space exploration facilities having no non-governmental equivalent.
·        Heritage Assets – PP&E that is generally expected to be preserved indefinitely and is unique for one or more of the following reasons (many NPS assets fall within this category):
-         prehistoric or historic site significance (e.g., for archeological sites, historic structures, and cultural landscapes);
-         cultural, educational, or artistic (e.g., aesthetic) importance;
-         significant architectural characteristics; and
·        Stewardship Land land not included in general PP&E.
Chapter 2 of SFFAS #6 requires that all Federal agencies disclose, or report, at a minimum, the following information about each category of PP&E owned by the agency:

Chapter 3 of SFFAS #6 defines “deferred maintenance” as maintenance (1) that was not performed when it should have been or was scheduled to be and which, therefore, is put off or delayed for a future period, and (2) continued deferment of which will result in deficiencies.  SFFAS #6 requires Federal agencies to disclose, or report on, current levels of deferred maintenance for the four categories of PP&E. 

SFFAS #29 fully incorporates into this standard all requirements for heritage assets.  Its main focus is the reclassification of heritage asset information from Required Supplementary Stewardship Information to basic information that will undergo greater audit scrutiny.  Condition information about heritage assets is reclassified as Required Stewardship Information

  3.9         Conclusions of Department of the Interior’s Facilities Maintenance Assessment and Recommendations

In February 1998, the DOI Planning, Design, and Construction Council (now the Planning, Design, Construction, and Maintenance Council) published its Facilities Maintenance Assessment and Recommendations report.  This report recommended that DOI and its bureaus take the following steps to improve management of facilities:

·        Expand the DOI Planning, Design, and Construction Council to include a DOI-wide facility maintenance component (since accomplished);

·        Reduce underutilized space;

·        Emphasize and initiate steps to make management and staff aware of maintenance responsibilities;

·        Establish common definitions for key maintenance terms;

·        Ensure integrity of maintenance deficiency databases;

·        Emphasize proactive maintenance management;

·        Design facilities that are appropriate for local maintenance capabilities;

·        Conduct benchmarking/best business practices study;

·        Seek increased funding for facility maintenance; and

·        (Establish) good management practices.

Further, in support of Executive Order 13327, the DOI created an interagency working group.  This partnership is responsible for defining the overarching guidance for Executive Order implementation.  The working group drafted the DOI Asset Management Plan (AMP) and bureau templates.  The NPS has completed its AMP within this DOI guidance. 

4.         Implementation of Policies, Requirements and Standards

The NPS will follow a holistic approach, as described below and consistent with guidelines presented in this DO, when carrying out responsibilities related to:

·        Acquiring, managing, and disposing of facilities;

·        Planning, design, construction, and repair/rehabilitation of facilities and related activities;

·        Development of facilities maintenance and operations programs;

·        Establishment of Servicewide automated facilities data collection and management systems; and

·        Training and development of all those charged with operation and maintenance of Federally owned and operated facilities.

The NPSan organization whose assets include many of the Nation’s most visible and well-known heritage assetswill develop the internal capabilities to meet the requirements of the laws and policies discussed in Section 3 of this DO.  For heritage assets, relevant inventory and condition information shall be drawn from cultural resources inventory systems as described in DO #28, i.e., the List of Classified Structures, the Cultural Landscapes Inventory, the Archeological Sites Management Information System, the automated NPS Checklist for Preservation and Protection of Museum collections (found in the Automated National Catalog System), as well as the NPS’s asset management software tool[1].  More specifically, the NPS will implement a comprehensive real property asset management program using organizational core capabilities to carry out proper asset management processes.  A disciplined strategy and philosophy will be used that ensures efficient and effective management of the NPS assets and that recognizes the total cost associated with ownership and stewardship.

The Asset Management Program is dependent on a variety of external factors, including Federal laws and regulations, Executive Orders, and DOI and NPS regulations, and is influenced by changing technologies, environmental factors, and funding fluctuations.  These external factors require the real property asset management program to be flexible and allow for future changes.

   4.1         Core Elements of the NPS Asset Management Program

The NPS will have the program staffing and organizational structure to fulfill five fundamental organizational core capabilities required for successfully implementing a comprehensive and mature asset management program.  FMSS will be used to capture data in support of these capabilities:

       4.1.1        Capability #1:  Asset Inventory and Condition Assessment

This capability will allow for the development of current listings of all assets the NPS owns and/or manages; this includes concessions facilities as well as leased space.  The NPS will be able to understand and provide a brief description of each asset, its use, location, major subsystems and components, and general information about quantities, condition, and Asset Priority Index (API) ratings.  This capability also will require that all assets be evaluated on a routine, recurring basis. The evaluation should be based on physical condition and fitness of use. 

·        The NPS will use standardized guidelines to determine the condition of all assets.  This includes regularly scheduled baseline and comprehensive assessments which categorize deficiencies within predefined work types, life cycle assessments, and daily work findings.  For unique linear assets (e.g., roads, pipelines, power lines, trails) that are too resource intensive to assess on an annual basis, a statistical sampling methodology may be used to infer the asset condition.

·        The NPS should use Federal Geographic Data Committee standards and content metadata standards to determine and document asset locations with Global Positioning System units or by other Geographic Information Systems and cartographic procedures such as digitizing, georeferencing Computer-Aided Design or engineering drawings, and/or address matching. Construction of new assets requires the same locational information.  Locational information will be reported or converted to latitude, longitude, decimal degrees, in North American Datum 1983.  The NPS will ensure that all locational information on sensitive archeological resources will not be inappropriately disclosed.

·        The NPS should develop competencies to estimate the costs of repairing asset deficiencies as documented during the condition assessment phase.  Estimates will use the standard methodology deployed servicewide. 

·        Either contractors or internal NPS staff can do the assessments, depending on the level of expertise required.  When heritage assets are assessed, individuals conducting the assessments must meet the Secretary of the Interior’s Professional Qualification Standards (48 FR 44716).

       4.1.2        Capability #2:  Asset Valuation

The NPS will develop the capability to evaluate each real property asset to determine its current replacement value (CRV).  CRV refers to the estimated cost of replacement—exchange or substitution of one fixed asset for another having the same function and scope.  The NPS recognizes the unique historical and cultural values of many of our assets, and acknowledges that a CRV cannot adequately capture the intrinsic learning/presentation value of these resources.  Asset costing policies for real property heritage assets will be developed with input from cultural resource specialists and other appropriate discipline experts and may be based on the management of a resource type rather than its replacement. 

·        CRVs should be estimated using parametric measures—e.g., dollar per square foot—or similar reputable cost standards.  Alternative measures may be devised when they would be more appropriate for certain asset types, e.g., heritage assets.

·        To ensure that assets are valued consistently, the NPS will develop a standardized methodology to determine replacement cost.  Furthermore, the NPS shall keep a historical record of actual costs incurred in replacing or building new assets to help determine the replacement value of similar assets in the future. 

·        The NPS also should have access to databases that list costs for common assets, and continually benchmark its costs against the private sector and other Federal agencies ensuring that replacement values measures for heritage assets will be developed with input from cultural resource specialists and other appropriate discipline experts. 

·        CRV assists in determining the facility condition index (FCI), which is a measure of the physical state of an asset[2].  CRV should not be used to pursue construction funding.  For construction budgeting purposes, the NPS should use cost estimates based on specific projects details (e.g., project description, design drawings, and technical specifications).

4.1.3        Capability #3:  Real Property Asset Management Planning Process

The NPS will have the ability to develop AMPs to address long-term NPS facility needs, priorities, and initiatives.  The structure of the NPS AMPs is covered in more detail in Section 4.2. 

·        The AMP will concentrate on funds to be spent on the acquisition, maintenance, operations, recapitalization, improvement, expansion, or replacement of general and heritage assets.  Operations and maintenance are a critical part of the asset management process.

·        A budget can result directly from the real property AMPs, and will provide input for packaging and bundling projects.  The asset management planning process will reflect initiatives and projects that have been approved or deferred in the budget process. 

·        Data for asset management planning purposes will reside in FMSS, but other tools may be used to analyze the data, such as the Project Management Information System (PMIS), 5-year plans, park business plans, general management plans, and core operations or other budget and program analysis tools.

       4.1.4        Capability #4:  Implementation and Execution

The NPS will implement and execute AMPs using life cycle principles (acquire, sustain, and dispose where appropriate).

·        The AMPs will be executed to allow for the establishment of a baseline, and to consider changes.  AMPs for heritage assets will be developed in partnership with cultural resources. 

·        The AMPs will be updated as milestones are reached, and cost estimates will be updated with actual costs. 

·        A record of actual costs versus planned budgets will be kept for future reference. 

The NPS will have the ability to carry out a mature operations and maintenance (O&M) program where costs for O&M activities are continually benchmarked and assessed to determine the appropriate expenditures for future activities.

       4.1.5        Capability #5:  Performance Assessment and Asset Portfolio Improvement

The NPS staff will develop evaluation methods to analyze the success of the asset management program.  The strategy will include methods for measuring actions to determine program accomplishments. 

·        Performance assessment will measure progress in moving toward goals.  As part of performance assessment and improvement, a methodology and complimentary tools will be developed and implemented.  This will be done in partnership with cultural resource specialists for heritage assets.

·        The NPS also will establish performance goals to meet the requirements of GPRA and the Program Assessment Rating Tool (PART), as appropriate.

  4.2         Real Property Asset Management Planning Process

The NPS AMP will identify the steps and procedures that the NPS and individual park units will follow in order to plan for, acquire, operate, sustain, and dispose of real property assets (when appropriate) that it owns and/or manages.  The AMP is also the method by which the NPS articulates its asset investment strategy.  The AMP is a vital tool in meeting the intent of Executive Order 13327 referenced in Section 3.6 and Executive Order 13287 referenced in Sections 3.6 and 3.7.  Creating the NPS AMPs requires skill in executing the core elements of the asset management program stated in Section 4.1.  Specifics of the AMP process can be found in the forthcoming NPS AMP guidance.  The components of the NPS AMP are as follows and can be considered by a series of questions identified below:

(1)   What is our inventory? – Real Property Asset Inventory;

(2)   What is the inventory’s condition? – Real Property Asset Condition;

(3)   What is the inventory’s value? – Real Property Asset CRVs;

(4)   How do existing or proposed real property assets contribute to mission? – Contribution to Mission; and

(5)   What is required to improve the condition of the real property asset portfolio and properly sustain it over time? – Real Property Asset Portfolio Improvement.

Addressing these questions/focus categories requires the NPS to use a set of common industry metrics, establish performance goals, and prioritize both assets and key investment decisions.  In meeting the requirements of the AMP, the NPS will be able to succinctly capture, analyze, plan, and present all of this information in a manner that facilitates leading “best practice”[3] concepts in Federal asset management.  The development of both Servicewide and park AMPs should be done using an interdisciplinary, collaborative approach since the assets exist to serve the legislated purposes of the park, not just one division. 

The full implementation of the AMP process across the NPS will provide information to support life cycle management practices, provide the linkage of assets to mission, and enable the NPS to make sound decisions regarding its real property asset investments.  It also will enable the NPS to report on specific funds spent annually for the acquisition, operations, maintenance, restoration, reutilization or disposal of general and real property heritage assets.  As asset stewards, the NPS is committed to improving the management of the existing real property portfolio and making sound capital investments in new facilities that are critical to its mission. 

Through this AMP process, the NPS will use the API that will provide a clear link to the mission for each existing and proposed real property asset.  Through the use of the FCI and API, the NPS will strengthen its ability to develop business case standards that rigorously support the best possible investment strategy for improving and maintaining its capital assets.  The FCI and API are two key metrics that are necessary and important components in implementing and executing a real property asset management planning process that incorporates life cycle principles.  Given the nature of the budgetary environment, the NPS API scale will assist in effectively managing its real property assets given that it is not practical, nor desired to fund every project based on FCI ratings, and to accomplish the following:

·        Assist in directing resources where they are needed most, not just to an asset with a poor FCI rating.  This includes not only deferred maintenance projects but funds for recurring and preventive maintenance, as well as daily operations. 

·        Assist in identifying opportunities to eliminate excess real property assets that no longer support the NPS mission.

·        Effectively manage the life cycle of every real property asset.

·        Effectively manage the long-term maintenance and management of real property heritage assets to support their preservation and protection.

·        Effectively identify programmatic costs associated with the stewardship of real property heritage assets.    

·        Incorporate a balanced scorecard approach that evaluates each NPS asset based on how well it supports the NPS mission and strategic goals. 

·        Assist in fundamentally shifting the NPS’s focus from a culture of project formulation and execution to one of life cycle real property asset management; where the planning focus is not about obtaining new projects and project funding, but rather about the overall condition of the portfolio and the assets that projects are intended to affect and the costs associated with operationally sustaining the park.

·        Assist in fundamentally shifting the NPS’s focus from a culture of project formulation and execution to one of stewardship; where the planning focus is not about projects and project funding, but rather about the preservation of our irreplaceable real property heritage assets. 

   4.3         Cost of Ownership

Prior to acquisition by any means, including but not limited to purchase, donation, construction, or exchange, the NPS will perform a detailed analysis of the cost of operation, maintenance and repair, recapitalization/replacement, and overall sustainment of facilities proposed or planned for its use.  This will be conducted in conjunction with the NPS and Federal agency acquisition processes and cultural resources staff will be involved for real property heritage assets.  Information obtained by this analysis will be used to determine whether it is appropriate or feasible to acquire or continue to own and operate the facilities based on cost of ownership over time.  In assessing the cost of ownership, parks must evaluate the costs of individual assets and consider their implications to the overall operating budget and resources available to sustain the asset in acceptable condition.

  4.4         Training

The NPS will put into place a comprehensive training program for NPS managers, facility, concession and cultural resource specialists in all aspects of the NPS Asset Management Process and its associated components.  This training program will be managed collaboratively by the NPS Training Division, with significant input from the Washington Office (WASO) Park Facility Management Division (PFMD) and the Cultural Resource Program.

  4.5         Policies for Heritage Assets and General Properties

For facilities management purposes, a distinction is made between heritage assets and General Properties management.  In general, the NPS facilities management policies regarding heritage assets and General Properties differ in the recognition that heritage assets have an importance and significance above and beyond their originally intended functions, they are generally expected to be preserved indefinitely, and a primary part of the NPS mission is to protect and preserve their importance and significance.  DO #28: Cultural Resource Management, specifically addresses these issues.  However, both types of assets must be included as part of reporting on asset data/information and thus are included in the FMSS.

       4.5.1        Real Property Heritage Asset Management

According to SFFAS #6, heritage assets are “plant (facilities), property, or equipment that have historical or natural significance; cultural, educational, or artistic importance, or significant architectural characteristics.”  The importance and significance of these assets, the expectation that these assets are to be preserved indefinitely, and the additional cost of protecting and preserving these assets are factors that the NPS must consider in operating, maintaining, repairing, stabilizing, rehabilitating, and restoring these assets.  Real property heritage assets include historic structures, cultural landscapes, and archeological sites.

       4.5.2        General Properties Management

As stated in Chapter 2 of SFFAS #6, General Properties (property, plant, and equipment) are those tangible assets (built facilities) that:  (1) have an estimated useful life of 2 or more years; (2) are not intended for sale in the ordinary course of business; and (3) are intended to be used or available for use by the agency or bureau.  In general, these assets are to be managed to serve the NPS mission in the most effective manner possible.  These facilities have no importance or significance above and beyond their originally intended functions.

       4.5.3        Heritage Assets Used for General Properties Functions

Real Property heritage assets include assets used for general property functions.  These assets are called multi-use heritage assets.  Examples include historic buildings used for office space and housing.  Where heritage assets are used for general properties functions, they will be accounted for as general properties, but managed as heritage assets, subject to specific guidance in DO #28: Cultural Resources Management, and DO #36: Housing Management.

  4.6         Automated Facilities Management Systems

The NPS will establish, implement, operate, and maintain a standard Servicewide real property asset management system, previously defined as the NPS FMSS (see Section 4.1.3).  FMSS will incorporate inventory and management information from the cultural resource inventory systems to assist in work management and costing and reporting of conditions.  This system consists of an off-the-shelf maintenance management software package, an NPS standard data management platform, and a hardware platform. 

The NPS also will establish, implement, operate, and maintain other standard Servicewide asset management tools to support the asset management program.  These tools will be fully integrated with FMSS, and will include a standardized condition assessment process and the Cost Estimating Software System, sharing a data management platform and hardware platform with FMSS.

All NPS units responsible for built facilities and assets will be responsible for using FMSS for managing facilities data, information, work management, and reporting.  A complete description of FMSS and the NPS asset management process is found in a series of training manuals produced by the NPS that supplement this DO and the accompanying RM.

  4.7         Policy Implementation Support and Resources

Staffing, funding, equipment, and materials required for the development, implementation, operation, and maintenance of the real property asset management process tools and systems described in Section 4.2, is the responsibility of the WASO PFMD.  The PFMD will provide data to and coordinate with other NPS entities involved in real property asset management, such as the cultural resource, concessions, property, leasing, and other programs of the NPS.  This office also is responsible for the development of funding proposals for the upkeep and sustainment of the Servicewide system and the asset investment programs of the NPS under its jurisdiction.  Each unit of the NPS, however, is responsible for the development of, and proper use of funds for the site-specific implementation and operation of, the asset management process.  This will be accomplished through the use of existing operations and maintenance funds, and through requests for operations and maintenance increases through the NPS Operations Formulation System and PMIS.  

  4.8         Systems Integration

The real property asset management program and its system components, together with FMSS, will be incorporated into an Agency AMP, as specified in Executive Order 13327.  In particular, the intent of the NPS is to establish FMSS as the core enterprise system for the management of its real property assets and that all other data management systems using real property management Servicewide shall interface to it through a series of automated links to provide consistent reporting, eliminate redundancy or data duplication, and to establish a common language set among all entities of the organization.  For heritage assets, FMSS will incorporate inventory and management information from the cultural resources inventory systems.  Facility management employees at all levels in the organization will work to identify key linkages to other data management systems, and will actively develop data fields, information formats, data management protocols, data standards, and reporting requirements that are consistent and compatible with other the NPS and DOI entities.  These entities may include but are not limited to systems administered by administration, budget and finance, personnel, real property, cultural resources, natural resources, geographic information systems, concessions and other operations activities, safety and risk management, and others.

5.         Responsibilities

  5.1         Director

The Director will ensure that the NPS real property asset management meets the legislative and regulatory requirements for facilities operations, maintenance, repair, rehabilitation, construction, and removal or disposal, in a manner that effectively supports the NPS mission.

  5.2         Deputy Directors and Associate Directors

The Deputy Directors and Associate Directors are responsible for verifying that the NPS real property asset management remains consistent with the internal requirements of their respective areas.  They also are responsible for ensuring that all activities, projects, and policies in their areas of operations remain consistent with the legislative and regulatory requirements for real property asset management as identified in this DO.

  5.3         Associate Director, Park Planning, Facilities, and Lands  

The Associate Director, PPFL (who is also the NPS Senior Real Property Officer pursuant to Executive Order 13327) is responsible, through PFMD, for development, implementation, operation, and maintenance of the facility management business practice systems–including real property asset management–that support the effective management of facilities in all NPS units.  The Associate Director is hereby delegated authority to promulgate, and revise and reissue, as appropriate, RM 80, which provides more detailed guidance on how to implement DO #80.  The Associate Director also will provide continuing program oversight to ensure that policies articulated in DO #80 are kept up to date.

To coordinate real property asset management efforts throughout the NPS, the Associate Director will select a real property Asset Management Advisory Group (currently called the Servicewide Maintenance Advisory Committee).  Group members will have expertise with regard to real property asset management best practices, which include those for real property heritage assets, procedures and policies beyond levels normally addressed by the PFMD and may include regional, park, and WASO membership.  The real property Asset Management Advisory Group will support the parks, regions, and WASO in their real property asset management efforts, including but not limited to, answering any technical questions which may arise.  The Associate Director will also use a PPFL Advisory Council, composed of senior program leads from each of the regions and within the PPFL Directorate, to assist in oversight and implementation issues.

  5.4         Regional Directors

Regional directors are responsible for ensuring that all parks within their respective regions are fully implementing the real property asset management program.  Successful implementation includes: more effective use of existing resources and funding through increased operational effectiveness; restructuring of existing funds to balance or increase routine and cyclic maintenance with reduced repair and rehabilitation costs; and increased opportunity for obtaining additional funds through improved accountability.  Inability of parks to fully implement the real property asset management program could result in a direct impact on funding for facilities repair, operations, and real property heritage assets maintenance available for those parks.

  5.5         Superintendents

Park superintendents are responsible for ensuring that facilities in their parks are being managed in accordance with the NPS real property asset management program, and that all facilities information is current.  It is the responsibility of the superintendent to ensure that the staffing and resources necessary to accomplish this task are made available.  As outlined in Section 5.4, above, successful implementation and management of the process and its components will assist parks in making strategic and efficient resource allocation decisions.  Inability to comply with the legislative and regulatory requirements for Federal facilities could result in a negative impact on facilities repair and operations funding available for those parks.

  5.6         Park Facility Managers and Staff

Park facility managers, cultural resource specialists and staff, and park Concession Program staff are responsible for the day-to-day implementation of the NPS real property asset management program at their respective parks.

  5.7         Summary of Responsibilities

Table 1 summarizes the core elements each member of the NPS team must contribute in order to fully implement the real property asset management program.  The core elements refer to those outlined in Section 4.1 of this DO.

 

 

Table 1: Organizational Core Elements

Asset Inventory and Condition Assessment

Asset Valuation

Real Property Asset Management Planning Process

Implementation and Execution

Performance Assessment and Asset Portfolio Improvement

NPS Position

Director

 

 

X

 

X

Deputy and Associate Directors

 

 

X

 

X

Associate Director, PPFL

X

X

X

X

X

Regional Directors

 

 

X

X

X

Superintendent

X

X

X

X

X

Park Facility Managers and Staff

X

X

 

X

X

*Also the NPS Senior Real Property Officer pursuant to Executive Order 13327

Table 1: Organizational core capability responsibility matrix by NPS position

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List of Acronyms

AMP – Asset Management Plan

API – Asset Priority Index

ARPA – Archaeological Resources Protection Act

CRV – Current Replacement Value

DOI – Department of Interior

FCI – Facility Condition Index

FMSS – Facility Management Software System

GRPA – Government Performance and Results Act

NHPA – National Historic Preservation Act

NPS – National Park Service

O&M – Operations and Maintenance

PART – Program Assessment Rating Tool

PFMD – Park Facility Management Division

PL – Public Law

PMIS – Project Management Information System

PP&E – Property, plant, and equipment

PPFL – Park Planning, Facilities, and Lands

SSFAS – Statement of Federal Financial Accounting Standards

USC – United States Code

WASO – Washington Office

 

 ---- End of Director’s Order ----



[1] At the time of writing, this is referred to as the Facility Management Software System, or FMSS.

[2] Refer to RM #80 for a more complete discussion of the FCI.

[3] Refer to RM #80 that includes best practices and examples.