National PPP SummitINFRASTRUCTURE FORUM

April 2008

1. Sustaining meaningful relationships between stakeholders2. Overcoming the partnering challenges with PPP delivery3. Working with government to ensure efficient delivery of projects4. Resolving disputes

1.1 Sustaining meaningful relationships between stakeholders

• Partnership Charter• Relationship management

Southbank Education and Training Precinct Project Partnership Charter

We commit to this Partnership Charter and its guiding principles and agree to

provide partnership support for a shared vision and the attainment of key objectives for the SETP project.

Shared Vision We will create and sustain an environment of first choice that facilitates a world- class

educational experience for all students.

Joint Key Objectives We will;

1. Care for the health, safety and well-being of people and the Environment; 2. Achieve or exceed expected commercial outcomes for all the partners, 3. Be recognised as exemplary by users, industry, government and other key

stakeholders, 4. Continuously improve through innovation, breakthroughs and joint

benchmarking, 5. Effectively maintain and deliver core services during the transition phase

and concession period. 6. Deliver or exceed the desired project outcomes in a co-operative and

convivial manner, 7. Build the partnership to achieve broader business outcomes. 8. Establish open, accurate and timely communication and information

systems and protocols, and 9. Support marketing initiatives that differentbiate the Southbank Institute

experience.

Guiding Principles

Give early warning and no unpleasant surprises

Talk before you write Do what you say with respect for

people and confidentiality Keep the client focus on Southbank

students Don’t seek to blame but to maintain

high accountability

Work through a single communications platform Be cooperative and employ proactive problem

solving Be fair and reasonable, think and act win/win Be unified as a team with one direction and with

common goals Have respect and understanding for diversity and

actively seek mutually agreeable solutions Enjoy and celebrate success

18/7/2005

1.2 Sustaining meaningful relationships between stakeholders

• Use of common internet information exchange platform – InCITE

• User Group input• User Group

empowerment

1.3 Sustaining meaningful relationships between stakeholders

• Bedding in of Partnership

2.1 Overcoming the partnering challenges with PPP delivery

Construction• Face to Face daily/weekly communications• Brown field site – constant change to the environment and systems • to manage• Conflicting priorities - time and cost vs. business continuity - applying • the fairness test• Negotiation parameters and scope – managing scope creep• Getting the right people at the table – commitment to solutions• Keeping up with technology• Value adding the solution – e.g. ESD, Security• Retail and student accommodation– the commercial transition• Third Party

2.2 Overcoming the partnering challenges with PPP delivery

Operations• Contract Management• Managing changeover from public to private

delivery structures and service arrangements• KPI monitoring• Service standards

• Increased demand for facilities – Celcat programming

• Encouraging staff to use alternative teaching methods/technologies

• Institute liaison with Operator • Operations Committee

3. Working with government to ensure efficient delivery of projects

• Partners should understand of the client’s business• Flexible Design Development process is required• Be committed to delivering outcomes with optimal solutions

Understanding the Business

In 2004

• Buildings not fit for purpose• Poor utilization of space• IT incompatible• Poorly maintained facilities• Need for compliance upgrades• Inflexible spaces for changing education needs• Poor use of energy• Inefficient use of ‘footprint’• Inefficient energy and utilities

Buildings not Fit for Purpose

Not IT Compatible

Poorly Maintained Facilities Need for Compliance Upgrades

Inflexible Spaces for Changing Education Needs

Inefficient use of ‘Footprint’

Inefficient Energy and Utilities

Southbank Institute of Technology

Queensland’s largest Technical and Further Education (TAFE) institute

More than 24,000 students including 2,500 international400 staff

Annual budget of $100 million

Located close to Brisbane’s CBD

Business Solutions

Adaptable Flexible Buildings• Buildings for the future in keeping with modern precinct• Greater public use of facilities• Flexible learning spacesResponsive Teaching and Learning Spaces• Opportunity to reconstruct core delivery systems and

services• Opportunity to introduce a alternative teaching modes • e.g. Mode 2• Opportunity to introduce a greater range of learning

technologiesCost Effective Operations• Efficiencies through one-campus operations• Greater efficiency of non-core services in the delivery • of core servicesAffordability• Limited to Agency Business Case

Flexible Design Development Process

• Ongoing design solutions – throughout the Construction phase• Consultation with end users – full access as required• Flexible decanting and transition plan – adapting to available space• Better management of delays – high level of trust/commitment• Variations management process – implement and comply with strict rules • from the outset• Ability to respond to policy change – Skills Plan

Master Plan

11 new buildings4 refurbished buildings

Onsite student accommodation

Construction Phase

• $234 million construction• Business-as-usual during construction• Two construction stages• Design Development in conjunction with client• Decanting and use of alternative facilities• Project team based at Southbank Institute with

significant support from other government agencies including:

Department of Education, Training and the Arts Department of Infrastructure and Planning Queensland Treasury Department of Works

Construction TimelineTo be completed four months ahead of schedule

2005 29 August – Construction begins2007 22 January Building D annex (new)

29 June - Building H (new) July – winner international Public Private Finance Awards 2007

31 July – Building C (new) 31 October – Building B (refurbished)2008 20 March - Stage 1 buildings opened by Premier Anna Bligh

14 April – Building E (new) - original schedule 30 June 2008 24 April – Building A (refurbished)

19 May Building F (new) – original schedule October 2008 10 June Building D (refurbished) – original schedule 30 June 2008

• 7 July – Building G (new & refurbished) • original schedule 11 October 2008

Beauty Therapy‘Live’ environment

Contemporary MusicHigh level of User participation delivered exceptional outcome

COTAH RestaurantIncreased business

Dental TechnologyWorld-best technology

Gym & FitnessEncouraging corporate and community health

Health and Applied SciencesIndustry standard teaching and learning environment

Creative IndustriesPurpose-built facility inspiring creativity

across disciplines

Gallery Spaces for Student WorkOn-campus exhibitions advance career opportunities and enhance community

Indigenous Australian Peoples UnitCommunity and cultural space

Knowledge Transfer ZonesEncouraging ‘connections’

Lecture & Performance SpacesFlexible spaces across the campus

seating up to 650

Library & e-LearningSubstantial increase in student participation and collaboration

Multi-purpose teaching & learning spacesIntegrated wireless infrastructure

Art Built-In$ 2.5m

Campus Heart ServicesInstitute and Third Party

Vibrant Outdoor Spaces Award winning designs for Queensland climate

Resolving Disputes

• Governance structure for escalation• Dispute mechanism

Collaborative Results

• No disputes to date• Over 100 variations completed• $15m value - 6.4% capital cost• On budget• Nil delays• Ahead of schedule by 4 months • No days lost to Institute business• No courses cancelled or deferred• International business increased

Optimal Outcome• Energy efficient ‘green’ facilities Flexible learning

spaces • ‘Live’ teaching and learning environments• Accredited standards for fitouts to operate

commercially• Reconstruction of delivery systems and services

* Mode ll learning areas * Use of latest technologies

• Fully IT networked campus• Modern Precinct catering to diverse needs • Areas for public use

* Ground floor studios* Auditoria* Meeting spaces* Retail

• Single campus operations• Managed risk • Value for Money

Lessons

• Early face-to-face engagement with consortia is highly desirable• Greater involvement of the service provider in bid development and contract

execution• Higher level of prescription required prior to financial close – • Management Plans

* Transition* Change* Service Standards

• Be clear about expectations regarding levels of innovation• Appoint the end-user as State Representative• Greater incentives for innovation and productivity

63 Bent St Toowong 4066m: 0409 473 524e-mail: norm@normjagger.com.auwww.normjagger.com

NORM JAGGER

ETHICAL LEADERSHIP AND GOOD GOVERNANCE BY EXAMPLE. DRIVING BEST PRACTICE THROUGH EDUCATION, COLLABORATION AND CONSENSUS. MAKING A SUSTAINABLE DIFFERENCE IN THE WORLD.