Under the partnership arrangement, Civic Nexus Pty Ltd is offered financial incentives to deliver an efficient operating service (Partnerships Victoria 2003b: p.15) i.e. in the form of regular structured payments from the State, and conversely, deductions are applied by the public partner (typically due to an accumulation of penalty points which are then used to calculate an abatement) for failing to meet KPIs (Brumby and Batchelor 2002; Baker and McKenzie Solicitors 2006) for instances of under-performance or non-compliance. The audit team from the Victorian Auditor-General's Office (2007a: p.35) concluded that the reward and sanction regime was satisfactorily aligned to service requirements and performance weightings under the Services and Development Agreement and is therefore, fit-for-purpose.