Specific guidance on contract management is provided in the Partnerships Victoria Contract Management Guide.2 The guidance requires a 'contract management strategy' and a 'contract management team' to be established at the beginning of the procurement stage, with transfer of their responsibility to the contract director/administrator at the completion of the procurement process.
The Project Agreement specifies that a contract administrator for the RWH project must be appointed at least three months prior to the proposed completion date (12 June 2008). Prior to this date the state is represented by the project director.
A contract administrator has been appointed for the operating phase. The role of the contract administrator is to exercise the powers, duties and discretions detailed in the Project Agreement on behalf of the state, and monitor the project company's compliance with the obligations detailed in the Project Agreement.
Formal approval is currently being sought for the establishment of a contract monitoring and management unit within DHS and adoption of a contract management strategy to manage the RWH Project Agreement during the operating phase.
2 Partnerships Victoria Contract Management Guide, Chapter 4, Figure 4.2.