Capital Insight Pty LimitedABN 76 056 297 100140 Ann StreetBrisbane QLD 4000t 07 3002 7700f 07 3211 8788www.capitalinsight.com.au Townsville Hospital

CI Chat Room

July 2014

Overview

• CI engaged in Feb 12 as Project Director (GT 0.5FTE) and Deputy Project Director (RvG 0.6 FTE)

• GT based in Brisbane and travels to site twice a month, RvG based on site

• Project had already spent $120m of $470m budget by Feb 12• Project funded by 10 different streams of Federal, State and

Local funding – reporting and control nightmare!• When CI started the project’s financial reports varied by $20m

as to the cost to date (in $120m)!• Project has turned over an average $9m per month every

month for the last 24 months• Now under budget • Forecasting savings of $10 to 15m!• CI has led significant culture change in how the project is led,

managed and administered• HIB is an ever-changing and developing Client

Stage 3&4 - CSSB/Cancer/Pathology

Overview – the project

• Stages 3 & 4 (Stages 1, 2, 3A near comple when CI started)– Thiess – $210m MC contract – currently forecast for completion in

Jan 15– TBH as PM, BAS as Principal’s Rep and payment agency– Cancer Centre (2 new linacs), Pathology Building, Central Energy

Facility, South Ward Block, CSSB, refurbishments, new kitchen, Mortuary

– Building adjacent to, under/over/in existing tertiary hospital including HV infrastructure improvements – you name a problem we have probably faced it

– New CSSD ($6m) at SD stage – to be procured as a separate construction contract

– End of trip Facilities (bike shed) ($0.4m) – separate Watpac variation currently in design, very controversial and emotive

– PET suite ($7m) – completed – separate Thomas and Coffey lump sum contract

Stage 3&4 - Cancer Centre - opening

Overview – the project

• Sub Acute Facility (45 bed) ($22.5m)– Watpac ($15m) lump sum contract, due for completion Oct 14– BAS terminated at end of tender process and new PM,

Superintendent and Principal Design Consultant engaged for construction (GT made this happen within HIB and the first time HIB had gone down this path on a significant project)

– BAS design documentation poor and has generated a lot of issues, variations, delays and consultant fees

• Planned Procedures Centre ($12.1m)– currently DD completed and working through HIB processes to

get approval to proceed to next stage– internal work in shell space created under the Thiess contract– expected to be complete by Jun 15

Stage 3&4 - South Block

Overview – the project

• Other Elements– Executive offices ($3m)• at SD, procurement strategy to be resolved

– HV infrastructure upgrade ($1.5m)• being documented, procurement strategy to be

resolved– Paeds master plan – new Family Unit Building ($1.5m)• Concept Design, implementation by THHS to be agreed

– other savings initiatives• design documentation being advanced

– Art Program ($0.9m)• art works now complete and to be stored until ready for

installation

Stage 3&4 - Central Energy (CEF2)

Sub Acute Facility