Regional Roads Positioning Local Government to compete for - - PowerPoint PPT Presentation

1 |

Regional Roads

Positioning Local Government to compete for Department of Transport and Main Roads (TMR) contracts

Regional Round Table – Cairns

1-2 December 2014

2 | 2 |

3 | 3 |

4 | 4 |

Transport – enabling The Queensland Plan

5 | 5 |

What our customers think

6 |

Charters Towers Regional Council and Transport and Main Roads

7 | 7 |

Charters Towers Regional Council and TMR

• Five kilometre project as a sole

invitee

• To assist local government to

up-skill their resources and give them experience to support their prequalification application

• A benchmarking exercise to

ensure that Charters Towers Regional Council’s tender demonstrated value for money.

8 | 8 |

Charter Towers Regional Council and TMR

• Works were delivered under a

Roadworks Performance Contract

• There was a very positive

relationship during the project

• CTRC dedicated reasonable

supervision and administration to the project, used competent sub-contractors and had well- maintained plant and equipment.

9 |

Queensland Transport and Roads Investment Program (QTRIP)

10 | 10 |

Queensland Transport and Roads Investment Program (QTRIP)

2014–15 to 2017–18

• TMR planned investment in road and transport

infrastructure

• Four–year rolling program published annually
• Complies with Transport Infrastructure Act 1994
• $18.1b program from 2014–15 to 2017–18
• Informs other government stakeholders and industry
• Available electronically on www.tmr.qld.gov.au, under

the About Us/Corporate Information/Publications tab.

11 | 11 |

Scope

• Road, rail, marine, public

transport and active transport

• State, federal and other

funding sources

• National, state and local

transport networks

• Complex and dynamic

program.

12 | 12 |

QTRIP history

• During the 2012-13 to 2015-16 QTRIP development

process, election commitments were incorporated but a significant amount of effort was undertaken to defer projects not currently in delivery. This resulted in a significantly reduced program of works over the following four years. Noting that federally-funded and jointly-funded projects remained in the program.

• Temporary funding cuts were applied consistently to

state and local government programs, including the Transport Infrastructure Development Scheme (TIDS) - base funding reduced to $40 million per year. This supported the government achieving a sound fiscal position.

13 |

Funding Allocations 2014–15 to 2017–18

QTRIP Funding Allocations 2014–15 $m 2015–16 $m 2016–17 $m 2017–18 $m Four– year Total $m By Entity: Department of Transport and Main Roads 4,363 3,622 4,138 3,829 15,952 Queensland Rail 446 571 537 567 2,121 Gold Coast Waterways Authority 6 6 12 Total 4,816 4,200 4,675 4,396 18,086 By Source: Federal funding (including 75% NDRRA) 2,115 1,839 2,387 1,261 7,602 State/other funding (including borrowing and local government contributions) 2,701 2,360 2,288 3,135 10,484 Total 4,816 4,200 4,675 4,396 18,086

14 |

Current Funding Allocations – Maintenance and NDRRA

QTRIP Funding Allocations 2014–15 $m NDRRA incl in 2014-15 $m 2015–16 $m 2016–17 $m 2017–18 $m Four– year Total $m Far North 151 112 34 35 44 264 North West 87 59 29 34 39 189 Northern 104 77 27 33 29 193 Mackay / Whitsunday 61 14 39 46 54 200 Central West 84 55 31 35 42 192 Darling Downs 184 132 55 65 72 376 Fitzroy 114 72 45 52 65 276 Metropolitan 102 9 86 93 109 390 North Coast 81 19 54 64 72 271 South Coast 86 13 58 63 66 273 South West 69 41 28 33 37 167 Wide Bay/Burnett 95 31 48 58 62 263 Statewide 383 309 88 82 154 707 Total 1601 943 622 693 845 3761

15 | 15 |

Routine Maintenance Allocations

• 50,000,000

100,000,000 150,000,000 200,000,000 250,000,000 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19

Allocation ($)

Routine Maintenance Allocations Queensland - Statewide

(Note: Includes Routine Maintenance and Unsealed Road Resheeting)

Historic Indicative Allocations

16 | 16 |

Routine Maintenance Performance Contracts – Statewide

• 20,000,000

40,000,000 60,000,000 80,000,000 100,000,000 120,000,000 2009-10 2010-11 2011-12 2012-13 2013-14

RMPC Contract Expenses

All RMPCs - Statewide

LG

17 | 17 |

Strong Choices Investment Program

• Government proposed $8.6b

Strong Choices Investment Program

• Eligible projects required to:

 represent value for money for Queenslanders  demonstrate how they will lift productivity and economic performance in Queensland.

18 | 18 |

Royalties for the Regions

• Government proposed $495m over four years from

2012-2013 to 2015-2016.

• Aims to provide a future beyond mining and resources

by investing in targeted infrastructure projects.

19 |

Options for Local Government delivery of TMR projects

20 | 20 |

Without Prequalification

• Opportunities:

 Maintenance works  Minor construction contracts (generally less than $1m) which are usually sole invitee

21 | 21 |

With Prequalification

• Opportunities:

 Maintenance works  Minor construction contracts (generally less than $1m)  Construction contracts (greater than $1m) which are generally competitively tendered on the open market

22 |

Prequalification and Tendering Processes

23 | 23 |

Why would you be prequalified?

• The National Prequalification

system is recognised by other state road authorities, as well as other government bodies, such as Queensland Rail

• Increased opportunity for work
• Grow your business
• Better business practices.

24 | 24 |

Contract categories and levels

• Contractor are prequalified based on their ability
• Prequalification levels

 Roadworks levels: R1 to R5  Bridgeworks levels: B1 to B4  Financial levels: F1 to F7, F-Open

• Local authorities do not require financial capacity

assessment

25 | 25 |

Application criteria

• Company profile
• Organisational structure
• Stability of organisation
• Senior management
• General performance of

management practices

• Certification of systems

26 | 26 |

Application criteria (continued)

• Company experience

 Length of experience  Current projects  Completed projects  Contractual issues  Project management  Relationship management  Stakeholder engagement  Utilisation of systems  Traffic management

• Technical capacity

 Number of employees in each key categories  Key operational personnel experience  Plant and equipment

27 | 27 |

Assessment Process

• Technical and financial assessors make

recommendations

• The Prequalification Committee grants the levels

when it meets on a monthly basis

• Assessment takes between four and eight weeks

28 | 28 |

Tender process

• Tenders are advertised on Queensland Government

marketplace

• Procurement Transformation QTenders website:

https://secure.publicworks.qld.gov.au/etender/index.do

• Prequalification levels are stated in advertisement
• Only Prequalified Contractors can take out tender

documents and submit

• Tenders may be opened publicly
• P-Schedule assessments.

29 | 29 |

Forms and information on our website

Visit www.tmr.qld.gov.au for:

• Prequalification guidelines, application form and list of prequalified

contractors

 >> Business & Industry >> Technical standards and publications >> Transport Infrastructure systems >> National Prequalification System

• Queensland Transport and Roads Investment Program

 >> About us >> Corporate Information >> Publications

• Proposed major works to competitive tender reports

 >> Business & Industry >> Tenders & Contracts >> Tenders

30 |

Thank you