Strategic Assessment

The main components of the strategic assessment are as follows:

•  Project description through the full life cycle (design, construction, operations and maintenance, and decommissioning if applicable);

•  Description of cost components, and estimates if available, for each phase of the project life cycle;

•  A preliminary list of P3 models to be considered for the project;

•  A review of any project-specific objectives or constraints The City may have with respect to the project;

•  A qualitative risk assessment4, which:

o  identifies which risks are of importance in selecting a delivery model for the project

o  assesses the risk (i.e. likelihood and severity) the project is exposed to under both traditional delivery, and the P3 models under consideration

o  applies each P3 model's risk allocation to assess the risk to The City under each model

•  A review of the market of service providers and assessment of the likely interest of the market in bidding competitively for the project (and optionally, a market sounding as described under Value for Money Assessment);

•  A review of any relevant precedent projects or similar projects;

•  A preliminary comment on the potential for cost savings, based on precedent/similar projects, other relevant experience of The City and its advisors, and the findings of the qualitative risk assessment;

•  A determination of the preferred P3 delivery model; and

•  A distillation of the above into a determination of preferred delivery model for the project (i.e. either traditional, or the preferred P3 model).




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4  For additional information on the process for identifying and assessing project risks, refer to Section 3.6 - Risk Assessment and Quantification