Life Cycle Cost Analysis

Legislation passed by the North Dakota Legislature in 2017 created NDCC 61-03-21.4 - requiring the DWR to: “develop an economic analysis process for water conveyance projects and flood-related projects expected to cost more than one million dollars, and a life cycle analysis process for municipal water supply projects. When the State Water Commission is considering whether to fund a water conveyance project, flood-related project, or water supply project, the DWR shall review the economic analysis or life cycle analysis, and inform the State Water Commission of the findings from the analysis and review.”

To comply with the 2017 legislation, the DWR contracted with HDR Inc. to assist the agency in drafting Life Cycle Cost Analysis (LCCA) guidelines/processes. This document provides guidance and a process to project sponsors who are pursuing water supply projects that are subject to the completion of LCCA per policy requirements

On December 6, 2019, the Water Commission adopted policy requiring LCCA on all water supply projects.

North Dakota Guidance for Life Cycle Cost Analysis of Water Supply Projects

Please note – any project sponsors seeking SWC cost-share assistance for water supply projects must complete and submit a LCCA before their cost-share application can be considered.

In addition to the guidance document, the agency and HDR Inc. developed an electronic fillable platform that project sponsors and the agency can use to assist with more efficient assessments of projects. Sponsors are responsible for downloading the most current version of the worksheet for submission of results with their application.

Updated 5/2024 - Life Cycle Cost Analysis Worksheet for Evaluating Water Supply Projects

When completing the Life Cycle Cost Analysis “2 - Detailed Cost” tab, the values entered should be a summation of the costs entered into the Updated 4/2024 Delineation of Costs (SFN 61801) form.

LCCA Model/Worksheet Instruction

Please note – The Appendix in the guidance document provides a detailed, step-by-step overview of model/worksheet usage for water supply projects.

LCCA Guidance and Model/Worksheet Tutorial Video


Questions about the North Dakota LCCA Guidance document and model/worksheet can be directed to the Planning & Education Division at (701) 328-4968.