My Department is responsible for the Infrastructure Guidelines, which aims to ensure value for money for the taxpayer in delivering on capital requirements of the State. These guidelines set out directions for evaluating, planning, and managing Exchequer-funded capital spending.
My department is also responsible for the Capital Works Management Framework (CWMF), an integrated set of contractual provisions, guidance material and technical procedures which covers all aspects of the delivery process of a public works project from inception to final project delivery and review. The structure of this strategic framework is closely aligned with and complements the Infrastructure Guidelines.
Under the Infrastructure Guidelines, sponsoring agencies and approving authorities are asked to critically consider the potential cost implications of a project, which are further developed as a project progresses through the approval gates and more information becomes available. This includes undertaking both detailed financial and economic appraisal, sensitivity analysis, accounting for behavioural influences such as optimism bias as well as consideration of appropriate levels of contingency.
Within the CWMF, there are ongoing reforms designed to enable better decision making and reduce risks on construction projects, ensuring better value for money. These include:
• rebalancing the risk position in the public works contracts aimed at encouraging greater participation, thereby improving competition,
• a public sector Building Information Modelling (BIM) mandate, providing the structure for the development of high quality information generated on a construction project and promoting collaboration between all the members of the project team,
• adoption of new Reporting Templates based on the International Cost Management Standard (ICMS),
• proposals to amend the existing dispute resolution mechanisms and to promote the greater use of dispute avoidance, and
• the establishment of a working group in conjunction with the Government Contracts Committee for Construction to develop a model to engage construction and manufacturing expertise early in the design stage to foster collaboration and explore innovative construction solutions.
Management and delivery of investment projects and public services within allocation and the national frameworks is a key responsibility of every Department, Accounting Officer and Minister. This includes the Department of Transport and the Department of Education.
