(a) In addition to and notwithstanding the Modifications regime, government may elect to create a Minor Works regime.77
(b) The minor works regime will be utilised by the private party to complete works, the cost of which fall under specified per event monetary thresholds and which are considered to be a routine element of administering the relevant social infrastructure (whether it be a hospital, school etc) ("Minor Works"). Any thresholds will be determined on a project-specific basis.
(c) A Minor Works regime will only be relevant to works completed during the operating term. Minor works requested by government or the operator of the facility will be deemed to be part of the Contracted Services. No additional margin or other costs will be payable to the private party for the Minor Works.
(d) If Minor Works are requested, the private party must cost them on an open-book basis.
(e) Minor Works will not impact on the risk transfer between the private party and government, although it is envisaged that the Minor Works will generally be agreed directly between the facility operator and the facilities management subcontractor.
(f) Generally, any overspend of the provisional sum allowed for Minor Works over the operating term will be recovered directly by the facilities management subcontractor from the facility operator on an annual basis. Any annual underspend will be rolled forward to the next year. Any accumulated underspend will be payable to government.
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77 In making this decision, government will consider (inter alia) the level of minor modifications expected during the operation phase as well as budgetary constraints of the operator.