NEW SOO LOCK QUARTERLY UPDATE

Mollie MahoneyProject ManagerU.S. Army Corps of Engineers, Detroit DistrictOct 3, 2019

Artist’s rendering

EXISTING

PROPOSED

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AGENDA

1. Soo Locks Importance

2. Maintenance of Existing Facility

3. New Soo Lock Schedule

4. New Soo Lock Cost

5. Upstream Channel Deepening

6. Upstream Approach Walls

7. New Lock Chamber

8. Emerging Topics

9. Congressional Engagements

10.Upcoming Dates

SOO LOCKS LOCATION & IMPORTANCE 3

Soo Locks

The New Soo Lock would eliminate the single point of failure in our Nation’s iron ore supply chain

Impacts to the U.S. economy 11 million jobs lost in U.S. For comparison,

Michigan’s unemployment was 15% in the 2009 Great Recession

GDP loss across the entire Nation and reaching 10% -22% loss in multiple states

Source: DHS, OCIA-The Perils of Efficiency Dynamic PDF, Oct 2015

THE SOO LOCKS IMPACTS OF OUTAGE & NEED FOR RESILIENCY

Expected impacts of a 6-month unexpected closure of the Poe Lock from March 25 – September 30Immediate Closure of 78% of mining capacity in MI & MN

Mid-April Halted production of 75% of integrated steel mills

Mid-May Curtailed domestic auto & appliance manufacturing

Fall (Poe reopens) Steel mill furnaces checked for any shutdown damage

December Re-firing of furnaces takes time; steel production resumes

April Auto assembly lines begin production, 1 year later

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O&M – Routine & Asset Renewal• Routine annual O&M has grown from $10.7M in

FY08 to $14.8M in FY19• Higher cost component repairs and

replacements (Asset Renewal ) - $115M thru FY19

MAINTAINING EXISTING SOO LOCKFY20 Funding/Activities• FY20 PBUD

• $15.2M for Routine O&M• $2.5M in Asset Renewal for Poe Lock Gate 1 Repairs

• Soo Winter Maintenance (Jan-Mar 2020)• Poe Lock Gate 1 Repairs – crack/diagonal repairs• Poe Lock Gates 1&3 Sill Repairs• Poe Lock Gate 1 anchor bar replacement• Poe Lock Gate 4 Inspection if able to fully dewater

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FY20 Work Plan Priorities• Gate1/3 Sill Repairs ($500K)• Roof replacement on Davis Bldg & Boathouse ($625K)• Crawler Crane Replacement for C/B Harvey ($3.2M)• Design of C/B Harvey - barge repairs & upgrades ($1.2M)• Medium Voltage Breaker Replacement – lock power supply

($2.1M)

FY21 Priorities• MacArthur Lock Ship Arrestor Repairs• Routine O&M• Asset Renewal Priorities:

• Poe Lock Gate 1 – final phase (repairs & coating replacement)

• Poe Gate 4 – initial phase (crack repairs)• Center Dike Rehab (initial phase)

NEW SOO LOCK CONSTRUCTION PHASES

Upstream Channel

Deepening

Design

Contract Procurement

Construction

FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 FY27 FY28 FY29 FY30

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Completed Work: Downstream Deepening & Sabin Lock Cofferdam

Remaining Work:

Upstream Approach

Walls

New Lock Chamber

Phase 1

Phase 2

Phase 3

* Early completion could be realized with efficient funding, favorable weather conditions and continuing contracts clause

WE ARE HERE

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NEW SOO LOCK FUNDING HISTORY AND CAPABILITIESFiscal Year

Allocation/ (Capability)

Activities Funded/Capabilities

Prior to 2018 $32.0M

• Design and planning efforts• Downstream Channel Deepening construction completed• Sabin Lock Cofferdam construction completed

2019$69.2M$32.3MFed

$36.9M State of MI

• Upstream Channel Deepening: complete design & award construction contract in Q1 of FY20

• Upstream Approach Walls: complete design• New Lock Chamber: resume design

2020($123.8M)*

$75.3M in PbudRequest

• Upstream Channel Deepening: complete and manage construction• Upstream Approach Walls: complete design, AOA, award and manage

construction contract • New Lock: continue design $48.5M remaining capability identified in fiscal year 2020

2021 ($173.1M) *• Upstream Channel Deepening – manage construction• Upstream Approach Walls – complete and manage construction• New Lock - complete design and advertise construction contract

2022 ($129.3M)*• Upstream Approach Walls – manage construction • New Lock – year 2 of construction contract

2023-2028 ($536.4M) * • New Lock - Manage and complete construction

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Remaining $15M in State of MI Funds to be used for future needs*Fully funded costs escalated through midpoint of construction

NEW SOO LOCK FY20 WORK PLAN CAPABILITIES

Capability Activities Funded/Capabilities$16.6M Upstream Approach Walls Completion of Construction

$24.5M* New Lock Chamber Construction of Downstream Coffer Dam Cells

$7.4M Upstream Channel Deepening Additional Construction Funds

$48.5M** TOTAL

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* Critical to accelerate as (1) it is on critical path for New Lock Chamber construction and (2) is required to support timely rehabilitation of dewatering system required to perform critical repairs to the Poe Lock** Increased from $14.4M total FY20 Work Plan capability identified in June 2019

NEW SOO LOCK CONSTRUCTION SEQUENCING9

UCD 2020 Work AreaUCD 2021 Work Area

UAW 2021 Work AreaUAW 2022 Work Area

NLC 2022 Forward Work Area

• FY20: Upstream Channel Deepening (UCD)• FY21: Upstream Channel Deepening and Upstream Approach Walls (UAW)• FY22: Upstream Approach Walls and New Lock Chamber (NLC)• FY23 Forward: New Lock Chamber

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NWP WCP

REQ’D OVERDEPTH (-30’ LWD)

ALLOWABLE OVERDEPTH(-31’ LWD)

REQ’D DEPTH(-29’ LWD)

NEW SOO LOCK UPSTREAM CHANNEL DEEPENING

Overburden (Req’d)

Bedrock (Req’d)

Bedrock (Allowable)

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• Channel to be deepened to 30’ + 1’ Allowable Overdepth• 100,000 CY of overburden removal• 200,000 CY of bedrock removal

• Some areas require up to 6’ of bedrock removal

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Channel Deepening LimitsBedrock & Overburden Removal LimitsOverburden Removal LimitsMaterial Placement Area

NEW SOO LOCK UPSTREAM CHANNEL DEEPENING

Scope: Deepen upstream approach channel to depth of 30 feetSolicitation Number: W911XK20B0001Design Status: In Progress – Re-Advertisement expected in early Oct 2019Construction Status: Construction award expected in Dec 2019 ($7.4M FY20 Work Plan Capability)

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NEW SOO LOCK UPSTREAM CHANNEL DEEPENING12

• Contract being re-solicited due to change in government requirements

• Construction of Resident Office removed from contract and will be contracted separately

• Blasting Spec being updated based on information gathered from industry feedback sessions with contractors

• No expected impact to start of construction for Upstream Channel Deepening in Spring 2020

NEW SOO LOCK UPSTREAM CHANNEL DEEPENING CONTRACTOR ENGAGEMENT – 2ND SOLICITATION

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• Industry Feedback Sessions Conducted 5 Sep 19 - 13 Sep 19• Pre-Bid Conference for will be held on 10 Oct 19 at Soo Locks

NEW SOO LOCK UPSTREAM APPROACH WALLS 14

Majority of Existing Approach Wall over 100 years old and in need of rehabilitation

15NEW SOO LOCK UPSTREAM APPROACH WALLS

New 34 ft diameter Circular SSP CellsNew SSP Faced WallNew Concrete Faced WallExisting Wall Treatment is TBD

Scope: Rehabilitate approach walls upstream of New Soo Lock-Install 2,100’ of 34’ diameter SSP Cells-Install 2,400’ of SSP faced wall-Install 800’ of Concrete faced wall-1,200’ of existing wall to be stabilized-Install new mooring bollards and lighting

Design Status: In Progress (funded by State of MI)Construction Status: Funding Capability Identified in FY20 Budget ($16.6M Capability in FY20 Work Plan) Estimated Performance Period: 24 Months

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NEW SOO LOCK UPSTREAM APPROACH WALL CONTRACTOR ENGAGEMENT

• Industry Day held for the Upstream Approach Wall contract on 8 July 19 at Soo Locks

• Industry Feedback Sessions on 75% Design Conducted 4 Sep 19 - 5 Sep 19• Industry Feedback Sessions to be scheduled for 95% Design in early Nov• Pre-Proposal Conference to be held on site at Soo Locks in Feb 2020

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NEW SOO LOCK CHAMBER 17

Scope: Construct new 1,200’ long by 110’ wide by 32’ deep chamber and rehabilitate downstream approach wallsDesign Status: In Progress Construction Status: Funding capability identified in FY21 Budget ($24.5M FY20 Work Plan Capability)Estimated Performance Period: 5-8 Years

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18NEW LOCK CHAMBER DESIGN

• New Lock cofferdam cell alignment• FY20 Work Plan Capability identified to

accelerate construction of downstream cofferdam cells

• Hands Free Mooring PartialImplementation

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• Public Private Partnership (P3)• New Soo Lock Integrated Project Office• Mega Project Designation

EMERGING TOPICS

CONGRESSIONAL ENGAGEMENTS

Completed:• Congressional Delegation Visit at Soo Locks. Attended by

Rep. Marcy Kaptur and Rep. John Moolenaar, 23 Aug 19• Congressional Delegation Visit at Soo Locks. Attended by

Rep. Jack Bergman and Rep. Pete Stauber, 5 Sep 19

Upcoming:• Great Lakes Governors and Premiers Meeting in D.C.,

16 Oct 19 - 17 Oct 19

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NEW SOO LOCK UPCOMING DATES• Upstream Channel Deepening Contract Advertisement: Oct 2019• Upstream Channel Deepening Pre-Bid Conference: 10 Oct 19• Upstream Approach Walls Industry Feedback: Nov 2019• Upstream Channel Deepening Contract Award: Dec 2019• New Soo Lock Fiscal Year 20 2nd Quarter Update: 16 Jan 20• Upstream Approach Walls Contract Advertisement: Feb 2020

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CONTACT INFOMollie Mahoney, New Soo Lock Project Manager, (313) 226-2033Dave Wright, Chief of Operations, (313) 226-3573

Email: LRE-New_SOO_Lock@usace.army.mil Website: https://www.lre.usace.army.mil/