A New Delivery Model for Developer Works Hunter Water has a clear role in supporting the delivery of the Government 2036 vision, as articulated in the recently released Hunter Regional Plan. In consultation with the development and broader communities, we have commenced a process of reviewing our practices, processes and policies to better enable growth within the Lower Hunter. One initiative is to place more autonomy back with the development community in the delivery of infrastructure where the associated risks are relatively low (Certification of Routine Works). For more technically challenging works (Complex Works), Hunter Water wishes to remain fully engaged with Accredited Suppliers (Designers and Construction Contractors) in the asset creation process. Into the future, we will be undertaking further engagement including revision of associated Design Standards, Approved Products, and further streamlining our internal processes to improve time efficiency and minimise the need for rework. The Project Hunter Water has initiated a project to develop and implement a new delivery model for developer funded infrastructure. There are two sub-projects: Part 1 Complex Works Part 2 Certification of Routine Works For Part 2 of the project, separate draft documentation will be issued for consultation over March/April (6 weeks), feedback considered May 2017, with implementation to take place in mid 2017. This information package focuses on Part 1 Complex Works. Page 1
Part 1 Complex Works This sub-project is of interest to larger scale developments, where assets such as water and sewer pump stations, pressure sewer systems, and trunk water or sewer mains are required. Timeline Consultation period 1 31 March 2017 UDIA & HIA Workshop 9 March 2017 Accredited Designers Workshop 10 March 2017 Feedback considered April 2017 New Complex Works process launches May 2017 We initially seek your feedback on our proposed Delivery Model for Complex Works. Further information can be found here at www.hunterwater.com.au/complexworks. All feedback to be provided via email complexworks.consultation@hunterwater.com.au Depending which role you fulfil now, in the future your role will change according to the Works category being delivered. Complex Works - Roles If you are a Developer: You re fully responsible for the design and construction of works, and the engagement of Accredited Suppliers that meet your project needs and you will warrant that all quality objectives are achieved, including WHS and environmental performance. If you are an Accredited Designer: you will be required to ensure compliance with design standards and work closely with Hunter Water to produce a satisfactory design. You will be required to certify your design to Hunter Water. If you are an Accredited Construction Contractor: you will need to work closely with Hunter Water to ensure that works are delivered as per the design. You will be required to certify your works to Hunter Water. Hunter Water will: do two phases of design review - concept and detail; and, inspect construction works, and issue a Completion Certificate. Page 2
ASSET CREATION RISK PROFILE Insert Sewer Junction (LOW) Sewer Pump Station (HIGH) CURRENT MODEL MINOR : Sewer reticulation assets less than 25m long; less than 1.5m deep; water submains; Licensed plumber MAJOR : Water and sewer reticulation greater than 25m long; greater than 1.5m deep; water and sewer pump stations; pressure sewer; Major Works Contractor FUTURE MODEL MINOR: Reticulation sewer assets less than 25m long; less than 1.5m deep; 150mm diameter; water services; Licensed plumber. CERTIFICATION ROUTINE MAJOR: Greater than 25m long; All reticulation assets less than 300mm diameter; submains; Accredited Contractor. : All trunk infrastructure 300mm and greater diameter; telemetry; mechanical / electrical components; pressure sewer; wastewater pump stations; water booster stations. Page 3
Some Key Points: Follows current phases of activity Subtle changes made to the process Reference to Complex Works will be included in the Notice of Formal Requirements Instrument of Agreement replaced with new Complex Works Deed Developer required to enter Deed prior to commencing Design Phase Services Developer enters own contractual arrangements with Accredited Suppliers (design and construction) Complex Works Deed covers design and construction delivery obligations Two design reviews retained concept and detail Developer required to lodge security for construction phase services Hunter Water committed to review and improve current process to limit rework, set clear design standards and reduce review times Hunter Water will continue to be involved in design and construction audits to ensure quality outcomes are achieved Page 4
Phase 1 Development Assessment Investigation and Design Construction of Works PHASE 1 Development assessment Project Finalisation Developer makes development assessment application to Hunter Water S.49 Hunter Water Act Hunter Water assess application and issues Notice of Formal Requirements. S.50 Hunter Water Act Typical 30 calendar processing time Where required in Notice Letter: Developer engages an Accredited Design Consultant to complete servicing strategies with approval from Hunter Water. Concurrent with Servicing Strategy approval by Hunter Water, the Complex Works Deed will be emailed to the Developer for execution and return to Hunter Water Developer must provide within 5 Business Days of Date of the Developer Works Deed the following: 1. Evidence of Insurance (clause 3.1(a) and 28) 2. If required, evidence of land entry matters (clause 3.1 (b) 3. If required, deed of guarantee and indemnity (clause 6.5) Proceed to Investigation and design phase Page 5
Phase 1 Development Assessment Investigation and Design Construction of Works Project Finalisation PHASE 2 two stages of review Concept Design / Detailed Design Documents prepared by Developer s Accredited Design Consultant Developer provides Hunter Water 10 Business Days notice of Intention to submit Concept Design / Detailed Design Documents (clause 12.1) Developer submits: * Concept Design Documents (clause 12.1) * Detailed Design Documents with Accredited Design Consultation Certificate and estimate value of works (clause 12.1) Hunter Water reviews the Concept Design / Detailed Design Documents within 30 Business Days otherwise 20 Business Days if Advance Notice is given (clause 12.1) Hunter Water gives permission to use the Detailed Design Documents for execution of WUC. Detailed Design is valid for the 12 month Design Validity Period (clause 12.2) Proceed to Construction phase Page 6
Phase 1 Development Assessment Investigation and Design Construction of Works PHASE 3 Construction Project Finalisation Developer provides Security (clause 6) Developer engages Accredited Works Contractor (clause 10.1) WUC progresses in accordance with the Developer Works Deed (Part E) Developer provides 10 Business Days notice of intention to carry out Completion Tests (clause 21.4(a)) Developer performs Completion Test (clause 21.4) Proceed to Project Finalisation phase Page 7
Phase 1 Development Assessment Investigation and Design Construction of Works PHASE 4 Project finalisation Project Finalisation Developer notifies Hunter Water that Works have reached Completion (clause 21.5(a)) Hunter Water issues Completion Certificate Ownership of the works transfers to Hunter Water (clause 22) and 24 months Defects Liability Period commences for the works (clause 23) Provided all other requirements in the Notice Letter are met, Hunter Water will issue a S.50 Compliance Certificate Page 8