Question 1You are a member of the Partmerships Victoria Team managing the procurement of the Footscray

Question

Question 1

-You are a member of the Partmerships Victoria Team managing the procurement of the Footscray

Hospital. It has been announced that this project will be delivered as a PPP.

-You have been asked to provide a briefing note to the Treasurer addressing the following questions from his Chief-of- Staff:

Q1 .Why is this hospital being delivered as a PPP?

Q2. The Northern Beaches Hospital PPP appears to have faced some problems and is now subject toa Parliamentary Inquiry. Will we encounter the same difficuies and how are we approaching the scoping of the project?

Q3. It is understood that based on previous precedent, the private sector is likely to use non-recourse project finance and set up a special purpose company; what does this mean, what risks does it present for government and how will we protect ourselves?

Finance