1.3 The contracts covered in this report:
• are for the design, construction and management of all or part of a hospital;
• require the building to be maintained in a specified condition (maintenance services);
• include two thirds where the contractors provide ancillary services such as cleaning, catering, and portering (hotel services); and
• require contractors to report on their performance through a formal Performance Management System. Trusts use this to charge deductions for failures to meet specified standards.
1.4 Contracts are between a Trust and a ProjectCo which builds and manages the asset. ProjectCos are companies specifically established for the PFI contract, to hold the debt funding and coordinate the subcontractors. They typically consist of a consortium between a construction company and other investors. The ProjectCo subcontracts services to specialist providers; it is common for these subcontractors to be investors in the ProjectCo.