Purpose

Defence is required to provide accommodation for all Australian Defence Force (ADF) members. For single members of the ADF, be they single without dependents, or single arising from family separation, single accommodation is largely achieved through a mix of living-in accommodation and rental assistance that may offer the opportunity for members to live in similar standard accommodation “off-base” to that provided “on-base”.¹

On Defence bases, the provision of living-in accommodation, and appropriate amenities and standards for ADF members is linked to rank and duration of residence. The provision of high quality living-in accommodation to ADF members, in line with community standards, has a direct impact on the ability of the ADF to attract and retain personnel in a competitive employment market. There is also a duty of care requirement for the provision of appropriate facilities for younger ADF members, particularly those servicemen and women under 18 years of age for whom Defence has a locum parentis obligation, who are required to live-in on base especially during their initial posting.²

The purpose of the current project is to meet those requirements. Essentially Project Single LEAP Phase 2 builds on Project Single LEAP Phase 1 to provide a standard of accommodation across seventeen bases located in all mainland States and Territories that will involve the provision of 3,535 rooms at LIA level 5 standard.

As previously mentioned, Defence has a total of in excess of 36,000 rooms that have been identified in the report of “A Review of Accommodation Arrangements for ADF Members Without Dependents” that are generally in poor state. Over 25,400 rooms do not meet current building standards and many are located on bases in areas that are no longer appropriate for residential purposes.³

Project Single LEAP Phase 2 will address the sub-standard nature of existing living-in accommodation; provide a long term strategy for the future provision of LIA, and present funding options to improve LIA.

Scope

Project Single LEAP Phase 2 will deliver a proposed total requirement of 3,535 units at 17 bases Australia-wide. Additional units identified during the life of the proposed contract that are required to support emerging ADF restructuring initiatives may also be delivered subject to their evaluation on a value-for money basis.⁴

Requirements proposed for each base by rank group are as follows:

According to Defence, current LIA Level 5 accommodation standard provides for independent living styles for long-term living-in personnel with secure storage for personal possessions and undercover parking for one private vehicle per unit.⁶

Need

The need for this project is as a result of the age of the Defence estate combined with little maintenance over the last decade. The department, states that many permanent LIA rooms are in poor condition due to other competing Defence priorities. Further it is not anticipated that the Major Capital Facilities Program will have sufficient financial resources to address the extent of the problem. ⁷

According to Defence, that urgent works were required was clearly identified in the 2003 LIA Review, which led to the creation of the Single LEAP concept and the provision of funding in the 2004-2005 Budget for remediation works targeting the worst LIA deficiencies at those sites identified in the current proposal.⁸

Accommodation Standards

As with Project Single LEAP Phase 1, Phase 2 accommodation will be provided at the standard of Level 5. This translates as:

• Other Ranks - 24 square metres;
• Senior Non Commissioned Officers and Junior Officers - 30 square metres; and
• Senior Officers- 39 square metres.⁹

Each Level 5 unit will include a bedroom, an en-suite bathroom, a kitchenette, an attached balcony and laundry facilities on a minimum scale of one per four units.¹⁰

Project Delivery

While the department’s preference is for the project to be delivered under a PPP arrangement that will engage the private sector in the design, construction, operation and maintenance of the facilities and the provision of infrastructure and ancillary support services for a period of 30 years; a final decision as to method of delivery will need to tested in the market place. This will not occur until a request for tender has been released, and following a tender evaluation process.¹¹

Cost

According to the Reference, the estimated total cost for the proposal, including the raw PSC, is $1.2 billion (1 July 2007) including professional fees, design, buildings, infrastructure, design, servicing of the facilities, maintenance and construction contingency but excluding Goods and Services Tax.¹²

In the event that the delivery of the project will be by way of a PPP, payment under this arrangement will not commence until the accommodation is occupied by ADF members.

Appendix C, Submission No. 1, paragraph 1 Back

ibid., paragraph 2 Back

Chapter 1, paragraph 1.3 above Back

Appendix C, Submission No. 1, paragraph 32 Back

ibid., paragraph 33 Back

ibid., paragraph 34 Back

ibid., paragraph 24 Back

loc.cit. Back

ibid., paragraph 36 Back

ibid., paragraph 37 Back

ibid., paragraph 28 Back

Amendment to Appendix C, See Exhibit No.1 Back