FY18 ACTIVITY

Regional Line Marking

Opportunity DescriptionPilbara local governments currently procure line marking services and manage contractual arrangements with little or no reference to a common set of broader regional requirements. Procurement and ongoing contract management is an expensive and resource consuming activity.The PRC facilitated the procurement and delivery of a number of activities in the past, all of which continue to provide a great value for money, and enhanced flexibility to the members by reducing the overheads.

In FY17, the tender process proved that a regional service would create efficiencies in the existing service delivery. The PRC is proposing to conclude this procurement cycle, form a regional and commercially attractive contract on behalf of the members.

Key Focus Area | Regional Service Delivery

Proposed Outcomes

• Provide cost reductions to line marking services through economies of scale and contract negotiation

• Create efficiencies and effectiveness in line marking services through coordinated scheduling of works which will reduce the price impact of multiple mobilisations

• Centrally managed procurement and contract management producing time and effort savings

• Reduced time and effort for members on procurement

DELIVERABLE 1

» Regional Contract and Service delivery

KEY RESULTS & TARGETS

» Maximised the use of competitive local businesses where it represents value for money.

» Draft regional contract reviewed with the Reference Group to ensure agreement on terms and member sites/specific requirements are accounted for within August 2017.

» Contract management protocols formally agreed with the Reference Group.

» Protocols to clearly define how the contract is going to be managed, including, but not limited to:

» How the PRC will ascertain scope, and quantities from the members prior to scheduling the works

» Provision of expected costs and confirming financial commitments from the members prior to scheduling the works

» Site mobilisation dates / works schedule » Expected communications from PRC and

contractor throughout the process » Schedule capital assets to visit the region as required

by the members. » Not less than 20% cost savings achieved compared

to market price. » Published report card measuring the success of the

initiative.

EXPECTED BENEFITS

» Provide cost reduction through economies of scale.

» Reduce the time and costs of procurement activities and contract management.

Proposed Action Plan

Policy and Strategic Alignments

Alignment with PRC’s Strategic Community PlanThe project aligns with the following Strategic Outcome of the PRC’s Strategic Community Plan:

Key Focus Area: Regional Service Delivery.Strategic outcome: Member councils are able to improve their operational performance.Strategy: We will facilitate bureau services that benefit our member councils through improved levels of service, reduced costs, improved efficiency, and/or increased value.

Relevance to members’ Strategic Community PlanThe project aligns with the following areas of the members’ Strategic Community Plans:

City of Karratha: Our Leadership

4b - Continuous improvement and innovation (an environment that supports continuous improvement and innovation is well established)4c - Financial Sustainability (recognised as a leader in local government financial management)

Shire of Ashburton: Inspiring Governance

5.1 - Effective Planning for the Future (monitor trends, anticipate needs capitalise on opportunities to build strong communities)

Shire of East Pilbara: Civic Leadership/Economic

1.1 - Efficient and Effective Local Government (continued strong financial management)3.3 - Provide Adequate Community Infrastructure (ensure well managed and equitable provision of community infrastructure

Town of Port Hedland: Leading Our Community

• 4.1 - Strategic and best practice local government (maintain a strong and sustainable financial position, be efficient and effective in use of resources, infrastructure, assets and technology)

Those linkages help position our activities within a much broader context ensuring current and emerging needs are considered while also identifying key stakeholders and interdependencies which may affect the delivery of appropriate activities to our members over time.