Regional Development Australia Moreton Bay Inc. Pine Rivers Private Hospital Feasibility Study & Business Case. Expression of Interest Brief
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1 Regional Development Australia Moreton Bay Inc. Pine Rivers Private Hospital Feasibility Study & Business Case Expression of Interest Brief 23rd June, 2015
2 TABLE OF CONTENTS 1 Regional Development Australia Moreton Bay 1 2 The Moreton Bay Region 1 3 Pine Rivers Private Hospital Feasibility Study & Business Case Feasibility Study Business Case 3 4 Project Reporting 3 5 Project Timing 3 6 Project Management 3 7 Project Budget 3 8 Project Payments 4 9 Selection Criteria 4 10 Service Providers Project Team 4 11 Negotiation 4 12 Confidentiality 4 13 Intellectual Property 4 14 Conflicts of Interest 4 15 Notification of Probity Breach Required and Confidentiality 5 16 Disclosure of Bid and Contract Details 5 17 Questions and Queries about the Brief 5 18 Limits on Contacts During Quoting Period 5 19 How to Respond 5 Pine Rivers Private Hospital Feasibility Study & Business Case Page 1
3 BRIEF TO PREPARE A PINE RIVERS PRIVATE HOSPITAL FEASIBILITY STUDY & BUSINESS CASE 1. Regional Development Australia (RDA) Moreton Bay: Regional Development Australia Moreton Bay (RDAMB) is part of a national network of organisations, which in Queensland is funded through the Australian Government to promote the economic development of the Moreton Bay Region. The role of RDA Moreton Bay is to: Provide advice on critical issues affecting the region Identify and implement initiatives to tackle the region's economic development priorities Generate project proposals for the National Stronger Regions Fund Promote Australian Government Programs. For further information on RDA Moreton Bay Inc. visit 2. The Moreton Bay Region: The Moreton Bay Region is strategically located to the north of Brisbane (Queensland) and to the south of the Sunshine Coast. In March 2008, Moreton Bay Regional Council (MBRC) was formed through the amalgamation of the three former local government areas (LGAs) of Pine Rivers, Caboolture and Redcliffe. The new Council area encompasses over 2,000 square kilometres and has an estimated current resident population of 417,137. The State of the Regions report, published during June 2015 by the Australian Local Government Association, ranks the Moreton Bay Regions economy as number one in Queensland. Some key challenges facing the region include regional identity, population growth and the associated demands on infrastructure and creating employment opportunities, which increasingly meet the aspirations of the region s growing population. For further regional information, please visit Pine Rivers Private Hospital Feasibility Study & Business Case Page 1
4 3. Pine Rivers Private Hospital Feasibility Study & Business Case: The Moreton Bay Region is now the third largest local government area in Australia based on population behind Brisbane City Council and Gold Coast City Council. By 2031 the region s population is estimated to grow to over 585,000. The region s population is greater than the Northern Territory and by 2031 will be larger than Tasmania! This population growth is driving significant investment in infrastructure, including the $1.1bn Moreton Bay Rail Link, alongside unparrelled investment in new housing and community infrastructure, and is also attracting considerable new business investment, including by Costco and Ikea. It is this significant growth in population, which is creating increasing demand for a wider range of choices in the provision of medical and health related facilities across the region. The provision of a Private Hospital in the Pine Rivers area of the Moreton Bay region would significantly assist meeting the demands and aspirations of the region s growing population. The overarching objective is to produce a robust business model to secure a private hospital investment in to the Pine Rivers area of Moreton Bay Regional Council, and will consist of: 1. Feasibility Study 2. Business Case. The following scope is indicative only and the appointed organisation will be expected to deliver both the Feasibility Study and Business Case, and also to identify other key requirements fundamental to the purpose of the exercise Feasibility Study: Review of current and proposed health care policy at a Commonwealth and State Government level. An analysis and evidence base of supply and demand for health care provision both current and projected based on the Moreton Bay Region s demographic and population data, together with data for the projected catchment population outside of the Moreton Bay region. Identify the opportunities for the development of a private hospital based on the above, which should consider the scope and scale of the hospital, potential staging of the project, potential for government contracts, clinical services, specialties offered based on the population demographic projections and its ability to integrate with a wider health or wellness precinct. Review of business models in regard to private ownership and public private partnership /operation. Development site requirements, including high level estimates of total infrastructure cost projections to ensure the financial viability of the project. Identification of potential operators and financiers for the project. Options for working collaboratively with collocated tertiary education institutions, including but not limited to placements, training and research. Pine Rivers Private Hospital Feasibility Study & Business Case Page 2
5 3.2 Business Case: The development of a robust and viable business case which will provide the level of detail required by a private health care provider to make an investment decision. The business case should include economic and financial scenario modelling, including all elements directly related to the construction phase and future sustainable operation of a private hospital based on the recommendations flowing from the feasibility study. In developing both the feasibility study and business case it is expected that the appointed organisation will also consult at CEO and board level with the private health care providers across Australia, and as appropriate those international organisations with an existing interest in investing in Australia. 4. Project Reporting: RDA Moreton Bay requires that the service provider includes a detailed project timeline and reporting schedule outlining the steps taken to ensure timely delivery of all project outputs based around interim milestones and a completion date. 5. Project Timing: RDA Moreton Bay would prefer that both stages are completed no later than 29 th April, 2016 unless the service provider s assessment of the workflow suggests a longer time frame is desirable. The service provider shall indicate its preferred start date and keep RDA Moreton Bay informed of any developments that may limit its capacity and ability to meet the brief and undertake the contract within the agreed period. Reporting will also include joint presentations to the RDA Moreton Bay Committee and to Moreton Bay Regional Council. Reporting costs should be included within the costed proposal. No additional fees will be payable in regard to reporting. 6. Project Management: The service provider shall propose a clear project management and consultation framework. This must include identification of key stakeholders (can be completed after the commission of the project in conjunction with RDA Moreton Bay). RDA Moreton Bay will establish a steering group consisting of the Executive Officer and members of the RDA Moreton Bay Committee and senior representatives of Moreton Bay Regional Council. External parties may be requested to join the Steering Group subject to approval by RDA Moreton Bay. 7. Project Budget: Given the comprehensive detail required and to ensure value for money no budget detail is available as part of the EOI process. Submissions will be assessed as Point 9 Selection Criteria. All submissions through this EOI process are required to include a detailed budget breakdown. Funding for the Pine Rivers Private Hospital Feasibility Study & Business Case has been approved by the Commonwealth Government Department of Health. Pine Rivers Private Hospital Feasibility Study & Business Case Page 3
6 8. Project Payments: A staged payment process will be considered by RDA Moreton Bay and should form part of the service provider submission, alongside supporting rationale for the request. 9. Selection Criteria: RDA Moreton Bay Inc. will use an assessment framework to assess all proposals. The assessment will be based on scoring against the following framework and weightings: Experience in successfully completing similar projects and strength of the project team: 20% Proposed methodology: 30% Apparent ability to meet requirements and appreciation of task: 20% Proposed timeframe to complete the project: 10% Apparent communication style and ability: 10% Proposed fee/value for money: 10%. RDA Moreton Bay is not bound to accept the lowest quote and will consider value for money, and innovation in delivery and methodology. 10. Service Providers Project Team: The service provider shall outline the company s directly relevant experience in the field of the brief. Lengthy promotional material is not to be provided. The provider shall provide details of the provider s project team, including their respective expertise, how they will be engaged to deliver various parts of the project, where they will be located, and their relevant experience. The service provider shall warrant that the project team outlined will in fact undertake the project, and take all reasonable steps to ensure the fulfilment of this undertaking. 11. Negotiation: RDA Moreton Bay reserves the right to withdraw from the EOI process described in this document for whatever reason, prior to the signing of any agreement/contract with any party for the delivery of goods and services described in this document. 12. Confidentiality: All bids and any accompanying documents supplied through the Expression of Interest process become the property of RDA Moreton Bay. 13. Intellectual Property: The intellectual property namely all versions including the final version of the Pine Rivers Private Hospital Feasibility Study & Business Case will be the intellectual property of RDA Moreton Bay Inc. 14. Conflicts of Interest: Respondents must declare to RDA Moreton Bay any matter or issue which may be perceived to be or may lead to a conflict of interest regarding their proposal or participation in the supply of the goods and services described. Respondents must describe a strategy so that any conflict of interest will be avoided. Pine Rivers Private Hospital Feasibility Study & Business Case Page 4
7 15. Notification of Probity Breach Required and Confidentiality: Should any respondent consider that the EOI process has failed to accord it fair right to be considered as a successful respondent or that it has been prejudiced by any breach of these Terms and Conditions or other relevant principle affecting the bids or their evaluation, the respondent must provide immediate notice of the alleged failure or breach to the contact person. Notification must set out the issues in dispute, the impact on the respondent s interests, any relevant background information and the outcome desired. 16. Disclosure of Bid and Contract Details: Subject to this clause and the Conditions of Contract, all documents provided by the respondent will be held in confidence as necessary. Notwithstanding any copyright or other intellectual property right that may subsist in the tender documents, the respondent, by submitting the response, licenses RDA Moreton Bay to reproduce the whole or any portion of the bid documents for the purposes of evaluation. 17. Questions and Queries about the Brief: Enquires about the content of the brief are welcome and should be addressed to Andrew Quain, Executive Officer, RDA Moreton Bay by andrewq@rdamoretonbay.org.au or by phone Limits on Contacts During the Quoting Period: Contacts by potential providers with RDA Moreton Bay Committee Members on this matter for the period between the issue of the brief and awarding of a contract to undertake the work should not occur. All contact with RDA Moreton Bay in connection with the brief is through the Executive Officer. 19. How to Respond: Please a response to the brief to Andrew Quain, Executive Officer, RDA Moreton Bay at andrewq@rdamoretonbay.org.au with the response contained in a PDF format. Responses should be limited to a maximum of 24 A4 pages at 11 point font, including all appendices. The response should be provided by 5pm on Friday 24 th July, Responses after this date and time will not be considered. Pine Rivers Private Hospital Feasibility Study & Business Case Page 5
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