Australian College of Health Services Executives (ACHSE) Understanding Important Influences on Hospital Designs: Building for a Responsive Future Topic: Where are Governments in Australia Going with Major Health Capital Development and What is Envisaged? 14 September 2007 Glenn Monckton Sector Manager NSW Health
General Overview Current NSW Health spend $630 M p/a Since 1995 approx $4.6 B invested by NSW Government in Health Infrastructure Influences on Major Capital Development - Changes in the nature of construction - Advances in technology - Building cost escalation - Increased servicing and maintenance requirements
Australian College of Health Services Executives (ACHSE) Understanding Important Influences on Hospital Designs: Building for a Responsive Future Topic: Where are Governments in Australia Going with Major Health Capital Development and What is Envisaged? 14 September 2007 Glenn Monckton Sector Manager NSW Health
Presentation Overview General Overview Infrastructure Challenges Models for Public and Private Sector Working Together Directions for Future PPP’s
Infrastructure Challenges National boom in Health Capital Development - leading to issues of industry capacity and capability Number of large scale projects commencing construction in NSW Future asset maintenance and operating costs affordability
Models for Public and Private Sector Working Together Health Infrastructure Partnerships Program Key Strategy - encourage private sector investment - achieve efficient and effective asset procurement Expansion of Health Infrastructure Partnerships Program is being evaluated - Further streamlining of processes - Further harnessing efficiencies and value for money
Models for Public and Private Sector Working Together Health Infrastructure Partnerships Program includes the following PPP’s Current - Long Bay Forensic and Prison Hospitals - Mater Redevelopment Newcastle Proponent Selection - Orange and Associated Health Services - Royal North Shore Hospital
Key Value Gains from PPP’s Improved Risk Management. Reduced Whole of Life Costs. Improved Asset Utilisation. Improvements in Facility Planning.
Benefits from Further Development of HIP Program More certain market through progressive release of projects. Increased confidence by private sector to bid. Reduced transaction costs for both private and public sectors. Refinement of model documents and templates. Management and delivery capability building within the private sector and NSW Health.
Directions for Future PPP’s Based on experiences from Mater and Long Bay PPP’s Model Health Project Deed to be priced. Continuation of Engagement Strategy. Streamline Procurement Process. In terms of design What are givens and what are options for enhancement Functional Relationships fully established
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