We recommend that the RTA:
■ define project costs and development costs more clearly (page 38)
■ require transport consultants to provide a clearly defined range of likely patronage outcomes (page 62)
■ consider the impact of various patronage outcomes on a project's viability (page 62)
■ assess the affordability and public acceptability of any proposed tolls in future projects (page 47).
We recommend that Treasury and the RTA:
■ review the bidding model used for Public Private Partnership projects, including the CCT (page 33)
■ limit the upfront payment sought from the private sector to recovery of development costs, and abandon the option of a Business Consideration Fee (page 33)
■ consider receiving upfront payments progressively as project development costs are incurred (page 38)
■ consider making the toll level the point of competition in the bidding process (page 33)
■ make value for money for motorists an explicit objective of the assessment of bids for future tollway projects (page 33)
■ consider alternative funding methods for subsequent project cost increases, and ensure decisions are made with regard to motorists price sensitivity (page 38)
■ develop guidelines for setting any future tolls equitably, related to distance travelled and the cost of the project (page 51).
We recommend that Treasury and the Budget Committee of Cabinet:
■ clarify for any future contracts what 'no net cost to government' means, including whether agencies should use their capital budgets to cover any cost increases (page 36)
■ develop guidelines for the use of any surplus from current or future upfront payments (page 33)
■ consider direct funding of public domain improvements (page 38).
We recommend that Treasury and Premier's Department require agencies to:
■ keep the full tender evaluation and review panels involved in complex high risk projects until the project deed is signed, and re-convene them if amending deeds are needed (page 52)
■ make any contract amendments subject to the same level of probity checks and scrutiny as the original contract process (page 52)
■ make any contract amendments, and their summaries, public in a timely manner (page 52).
We recommend that the DoP and the RTA:
■ improve the consultation process for major projects (page 70)
■ conduct a joint review of road changes that are not consistent with current traffic volumes (page 72)
■ resolve the inconsistency between current traffic arrangements and the stated objective of maintaining at least one direct toll-free alternative route on all sectors affected by the CCT (page 72).
We recommend that the DoP, in conjunction with Treasury:
■ review the use of open-ended conditions of approval of projects (page 38).