CORPORATE SERVICES AND INFRASTRUCTURE REQUIREMENT (CSIR) PART
PROJECT TITLE [DEMS NUMBER – PROJECT DETAILS]
Date: Month 20XX
Contact Details: (02) 626 6XXXX
Date: Month 20XX
Contact Details: (02) 626 68034
CSIR PART TWO APPROVAL
This CSIR Part Two is endorsed for further development of the requirement in
accordance with the boundaries described. Sign-off must occur at the One-Star level.
NAME: NAME: Alison Clifton
POSITION: POSITION: ASEP
CONTACT: CONTACT: (02) 6266 8002
IF REQUIRED IF REQUIRED
CSIR Part Two template 2
CORPORATE SERVICES AND INFRASTRUCTURE REQUIREMENT (CSIR)
TITLE [insert DEMS NUMBER – PROJECT DETAILS]
Examples: A4410 – AIR 9000 Phase 2: Troop Lift Helicopter Facilities
R7079 – RAAF Tindal – 322 CSS – Fighter OPTECH Facility
1. One sentence summary description of the context of the project, (ie a brief
description of the requirement defined in terms of the outcome to be achieved).
2. A brief description of relevant background and/or issues, where appropriate.
3. Describe facilities requirement in this section including the justification for the
requirement, and proposed reinvestment strategy, if applicable (ie redevelopment
4. Broadly identify a range of options which could be considered. For facilities and
information technology requirements these might include new, modify, replace, or
extend existing assets or systems. Leasing options should be investigated if the
facilities are not required to be owned by Defence or located on a Defence
establishment. For other services, options may also include new, modify, replace or
extend service or contract arrangements that incorporate in-house, contractor or
other outsourced solutions.
5. Options should include the full scope of works needed to meet the requirement
or capability identified in the CSIR Part 1, as well as an option that fits within the
identified budget allocation, where appropriate. Potential delivery options should also
be considered, including consideration of Public Private Partnerships (PPP) for
facilities with a capital cost greater than $50M. Refer to the PPP guidance material in
the Infrastructure Management (IM) to help with the process of screening projects to
determine PPP procurement suitability. If a ‘PPP screen’ is required, PPP Branch
should be consulted. A PPP statement is required for all CSIR Part 2 documents
presented to the DEC for consideration.
6. Identify in this section just a list of options through numbered points.
Discussions of the options are to be provided in the ‘assessment’ section.
7. For example,
Option 1: New facility at base X
Option 2: Adaptively reuse existing building X at base Y
Option 3: PPP
CSIR Part Two template 3
Option 4: Do nothing
Option 1: Develop the full project scope
Option 2: Develop within the current X (eg MCFP) budget
Option 3: Develop minimum requirement only
Option 4: Deliver through Public Private Partnership (PPP)
Option 5: Do nothing
8. Options should be analysed in this section, showing the final justification for the
recommendation. Based on the option analysis, a recommended option should be
identified. For example,
Option 1: X
Option 2: Y
Option 3: PPP
(If required - Where the total value of the project is >$50M complete PPP checklist.
Where the PPP suitability is medium to high discuss with the Director of PPP in MIP
branch, if further investigation is required MIP branch will conduct a scoping study to
inform the CSIR Pt2 for DEC consideration)
It is recommended that option X is the preferred option.
CONTRIBUTION TO THE STRATEGIC REFORM PROGRAM (SRP)
9. Briefly summarise how the strategy or recommended option proposed will
contribute to the SRP, particularly efficiencies and savings through emerging Non
Equipment Procurement (NEP) initiatives. Also include the following text:
CSIR Part Two template 4
10. Further details of X, Y, Z (eg each element of work’s) contribution to the NEP
initiatives are at Attachment X.
11. In consultation with IAD Branch, provide an indicative timeline identifying the
major project development and delivery milestones required for the project by the
required date (by option if appropriate).
12. Note that all projects over $13.6M (excl GST) or $15M (incl GST) will require
PWC scrutiny. The Parliamentary Standing Committee on Public Works (PWC) public
hearing does not approve the project. The hearing is a separate process; an enquiry
into Commonwealth funded public works. The PWC’s investigation and subsequent
report provides the basis for Parliament deciding whether a project may continue
(that it is ‘expedient to proceed’).
13. Consider any possible delays to project activities. For example the impact of an
impending Federal Election (if an election is foreseeable note that a delay of up to 3
months regarding Government approvals or PWC hearings or contract awards can
occur) or note the lack of immediate resources (eg to commence SBC). Also include
the following text and table:
IAD has agreed to the indicative timeline outlined in table X below, identifying the
major project development and delivery milestones to complete the project.
Table [x]: Project timeline
Milestones Commencement Completion
Strategic Screen Endorsement
1st Stage Approval - SBC development & DEC endorsement Around 2 months for
(incl. PDDP & Procurement) PDDP/ Procurement
and 6 months for
2nd Stage Approval - DBC development and DEC Around 12 months
Departmental delegate or Government Approval (if required) Around 3 months
PWC hearing / expediency motion (if required) Around 6 months
Project delivery (incl. Procurement) Around 3 months
use the Guidance
schedules below to
Guidance for delivery schedules (approximate construction timing):
Projects < $8M up to 12 months
Projects <$13.6M (PWC threshold excl GST) up to 15 months
Projects <$100M up to 2 years
Projects > $100M up to 3 years
CSIR Part Two template 5
14. In conjunction with Regional Managers and/or Infrastructure Asset Development
(IAD) Branch as appropriate, confirm or otherwise the broad order of costs of capital
investment and whole of life Net Operating Cost (NOC) for each of the delivery
options. Cost estimates are to be expressed at
+ 50% cost confidence at the CSIR Part 2 stage of development.
15. If an offset is required, identify recommended options, such as existing MCF
projects that could be deferred or cancelled to make funding available. The sponsor
may identify one of their own projects to be used as an offset and DSG may develop
funding options based on strategic priorities (offsets may be from any sponsor).
Alternatively, the sponsor or DSG may be able to identify funding from a different
source. It is recommended that proposed funding offsets be advised to DIFP for MCF
programming purposes. This paragraph should also indicate the funding source for
the NPOC, ICT and related development costs.
16. Capital Investment. An estimate of the capital investment cost for each option
should be provided along with the source of the estimate. Include the Project’s
cashflow and total cost estimate in out turned dollars (refer to tabular format below).
17. If the project has more than one funding source, use the example text below to
firstly identify the funding source prior to using the next example text:
The Defence White Paper 2009 has allocated around $[X]M to [Y] project.
The balance of the capital is provisioned in the MCF at a total of $[Z]M.
Director Infrastructure Financial Planning has advised that funding of $XM
(out turned) is available from [Y (eg the Major Capital Facilities program
(MCFP))] to deliver the requirement and $[X]M is available to develop the
requirement. This development budget has been calculated using % of
the delivery budget and contains a provision of 0.05% of the delivery budget
($[X]) for Chief Information Officer Group (CIOG) development costs. Table
[X] below describes the development and capital project funding program.
Table [X]: Project Funding Provision and Program
FY FY FY 2012- FY 2013-14 FY 2014-15 FY 2015-16 Total
2010- 2011-12 13 Budget
11 $m (50%) $m (50%) $m (50%)
$m $m $M
$m (50%) (50%)
e.g. DBC DBC/Govt PWC/ Construction Complete
SBC Approval Procurement Construction
Development PMCA +
1-2% 3- 6%
CSIR Part Two template 6
Delivery Around 15% Around 50% Around 30%
stage pending pending pending
when when when
construction construction construction
starts starts starts
18. Whole-of-Life Costs. An estimate of the Net Personnel and Operating Cost
(NPOC) impact on DSG/CIOG of providing through life support for each option
should be provided along with the source of the estimate. NPOC includes a per
annum cost relating to utilities (power, water, gas etc.), garrison support/base
contracts, estate maintenance and ICT. NPOC estimates for the CSIR Part 2 are
generally identified as a percentage of the project cost, dependant on the use /
purpose of the facility. If specific NPOC details are available by exemplar or extant
assets they should be used and form an attachment or reference, otherwise there is
a generalised tool based on agreed parameters of asset types/categories, which
assigns a broad % NPOC estimate to be further refined. For further detail, refer to the
DSG NPOC Policy on the DEQMS Website. Further development of NPOC will
occur in the Strategic and Detailed Business cases. An example paragraph for this
section is below.
At this stage, the Net Personnel and Operating Cost (NPOC) has been
calculated using % of the capital cost estimate of the project totalling $[X] per
annum to be funded by [X (eg for projects over $20M funding is from the
Defence Support NPOC provision previously known as the NPOC wedge. For
projects under $20M, NPOC funding is by the Sponsor)]. This estimate will be
further refined during the subsequent development stage in accordance with
established processes and procedures.
19. Usually NPOC range at this stage of the project is between 6 – 8%. If using the
lower end or higher end of the range, (ie 6% or 8%) explain why. Include the
following example text below:
The lower end of the usual 6% - 8% range was used to reflect the expected NPOC
offsets/savings from [X (eg replacement/upgrade of old and inefficient buildings)] and
savings from [Y (reason)].
The higher end of the usual 6% - 8% range was used to reflect the expected NPOC
increase from [X (reason)].
Approval. Indication of the level of project approval required for the facility project.
Use the following checklist to determine but don’t include the checklist in your CSIR
Part 2. It is just for guidance. For example, a facility project valued at $52M would
have the following text:
CSIR Part Two template 7
The [X] project will require [joint Ministerial] approval by [the Minister for Defence and
the Minister for Finance and Deregulation, and clearance from the Parliamentary
Standing Committee on Public Works (PWC)].
Project Approvals/clearances $ Threshold
Defence Estate Committee (DEC) > $7m
DGIAD & Sponsor < $8m
HI > $8m
MinDef > $8m < $20m
PWC clearance > $13.6m (excl GST)
MinDef & MinFin but either can refer to NSC > $20m < $100m
NSC > $100m
20. Resources. Consult with the development/delivery body (e.g. IAD) to discuss
the complexity of the project and resources required to meet the complexities.
Complex projects may require further resourcing e.g. more input from IAD directors
or more time to develop the project (eg SBC/DBC) especially if development includes
a 90% design component. Reflect any delays to resource commitments in the project
timeline. An example paragraph for this section is below.
[X (eg IAD)] confirms the availability of resources to meet the development and
delivery stages of the project.
CONSIDERATIONS AND ISSUES
21. Broadly identify known issues, and any associated cost, that might influence or
impact the consideration of the options to meet the requirement. For facilities projects
these might include scope, schedule or budget issues as well as any environmental,
heritage, indigenous, master planning, spare capacity of base engineering services
(water, electricity, sewerage, communications etc), base support capacity, PPP, force
disposition issues, etc. For information technology issues this might include
intellectual property, security, connectivity issues, etc. For other service issues this
might include contractual obligations, DECA, union issues, etc. Issues that generate
a degree of risk to options that might be considered to meet the requirement should
be highlighted. Issues to be considered include, but are not limited to:
22. Environmental/Climate Change and Sustainable Development. Defence
policy is for sustainable environmental management as an integral element of
capability development, equipment acquisition and through life support. Identify any
environmental issues associated with each of the options. Confirm that the Defence
ESD Strategy and Green Building Requirements will apply to the project. Consider
any Climate Change issues/initiatives and other priorities, such as water
management and sustainability. In particular, where an option may result in a
significant impact on the environment that matter will be referred to the Minister for
Environment and Heritage under the Environment Protection and Biodiversity
CSIR Part Two template 8
Conservation Act 1999 (EPBC Act). This is a lengthy process and the CSIR Part 2
should identify that this needs to be commenced ahead of other planning. Technical
advice should be sought via the EPE document review process. Also refer to the
Defence Environmental Management website for additional guidance.
23. Heritage. Australia has a rich and valued heritage that is intrinsically linked with
our military history. Defence takes its heritage obligations and, more importantly,
opportunities seriously and understands the benefits to be gained by balanced
heritage management strategies. In consultation with the Directorate of Heritage and
Biodiversity, identify any heritage impacts. Identify any heritage opportunities, such
as adaptive reuse where practical and feasible. Identify heritage issues that may
require consultation with the Department of the Environment and Heritage and other
heritage authorities, in the further development of the project.
24. Indigenous. Any indigenous and native title issues should be identified to
enable the development of Indigenous Land Use Agreement (ILUA) to be developed
where necessary. The development of ILUA can take a considerable period of time
and early advice from Property Services (PS) Branch should be sought.
25. Zone Planning/Base Planning Issues. Consideration should be given to any
existing base planning guidance or internal/external land planning aspects. Base
Zone/Precinct planning activities and linkages with other projects and other key
issues should also be identified. Consultation with Director Land Planning Spatial
Information (DLPSI) is required.
26. Estate Strategic Planning. Consultation with Director Estate Strategic
Planning (DESP) is required. Consideration should be given to force disposition
planning for the units involved, along with future intentions for the property.
27. Estate Consolidation. Consultation with the Director of Estate Consolidation is
required. An example paragraph for this section is below. Use the first sentence of
the paragraph if the base is one of the top 72 bases (bases that have been
considered for consolidation) otherwise use the second sentence.
Director Estate Consolidation has advised that [X] will be retained into the
foreseeable future and its status confirmed as part of the Future Defence Estate
Profile expected to be considered by Government before 2012. OR Directorate
of Estate Consolidation has advised that [X] will be retained into the foreseeable
future and the proposed investment is consistent with its proposed use.
28. Training Areas. Consideration of locations and impacts to Defence training
areas and ranges as a result of the new capability. If project affects any training
areas consultation with DOTAM is required.
29. Infrastructure Asset Development/Related projects. Consideration should
be given to other infrastructure asset development projects being planned for
construction on the site or base, the impact of each option on those projects and the
possibility of combining any infrastructure requirements with those projects.
CSIR Part Two template 9
Consultation with Executive Director IAD (EDIAD) and the appropriate IAD Director(s)
is required. Example text below:
There are a number of projects and initiatives which may impact on the X project.
The Defence White Paper – identified new capability acquisitions which may have a
significant impact on [training] to be conducted on future platforms. This potentially
includes submarines, a fourth AWD, a strategic sealift ship, HMAS Success
replacement, and larger future frigates and offshore combatant vessels. The
introduction of these new capabilities over the next 20 years may have long term
implications for [training facility requirements] at [Y].
JP2047 Phase 3 Terrestrial Communications Upgrade project – Opportunities for
synergies and efficiencies from bundling the works for the [X] project should be
considered at the development stages [(eg SBC/DBC if by IAD)]. However, this will
depend on timing of funding being available and project approval.
BSIP – Initial Security Risk Assessment (SRA) undertaken for X base [did/did not]
justify the application of any works related Base Security Improvement Program
(BSIP) security risk treatment. Consequently, there [are/are no] BSIP works planned
for [X] base at this stage, [or state what works are planned and timeline].
Single Leap Phase 2 or Phase 3 and SMILE projects – The permanent LIA
requirements for X will be met through Project Single Leap Phase 3. Project SMILE
identified a requirement to deliver 20 level 3 cabins by 2015 at a cost estimate of
$XM (2007 estimates). These works are currently identified in both projects SL3 and
30. Defence Support Operations. Advice should be sought from Defence
Support Operations Division (use the group email address on the consultation
checklist) on the likely impact of each option on the requirement for products and
services delivered within applicable DSG regional areas. This may include impacts
on contractual arrangements for Garrison Support, Personnel Services and any other
impacts to base support services and existing facilities to support the new capability.
Considerations should also include specialist advice on the any existing facility
licences, security aspects, adaptive re-use opportunities not considered and any land
issues, including and associated land acquisition requirements. Seek DSO’s
agreement on your NPOC estimate and any further regional feedback. Submit draft
CSIR Pt2 to DSO email for their input to seek their agreement on your NPOC
estimate and any further regional feedback. Example text may include for this
The Infrastructure Appraisal Data (IA Data) [approved/yet to be approved] projects
have approximately $XM of works identified for X base scheduled for delivery within
the next X financial years. The majority of the works identified in the IA Data appears
to be also included in this project. Elements assessed as high risk in the IA Data or
not likely to be delivered by this project should remain in the IA Data for progression.
CSIR Part Two template 10
31. Information Systems. Advice should be sought from Chief Information Officer
Group (CIOG) on the likely impact of each option (use the group email address on
the consultation checklist) on the requirement for information systems products and
services. Generally a 0.05% allowance of the Capital Budget for the development
phase and between 3.5-5% allowance of the Capital Budget for delivering ICT active
works. If there are ICT impacts associated with a project, a CIOG Project Business
Requirement (BR) should be developed and submitted to seek a registration number
in order to commence ICT planning and costing requirements. An example
paragraph for this section is below.
In accordance with CIOG requirements, a CIOG project BR has been submitted
in order to commence ICT planning and costing requirements. The project’s
registration number is [X-X]. As described at paragraph [X], early consultation
with CIOG indicated that % of the project budget capital funding available, or
$[X]M should be used as the initial estimate for delivery of the ICT active works,
and an indicative cost of $[X]M ([0.05]% of the project budget) at development
phase will be required for CIOG to develop [X (eg Project Definition Study
(PDS) to inform the SBC)].
32. Security. Facilities should consider compliance with security regulations and
provide costs as appropriate, particularly if an existing facility is being modified or
refurbished. For projects with high security impacts, the ID Security officer should be
consulted via the EPE document review process. Advice should be sought from
Defence Security Authority (DSA) on the security requirements for the preferred
option and their input to identify any security issues. DSA issues are addressed as
part of the EPE PRAP process. Advice is also required from the directorate of
Security Emergency Management & Safety (DSEMS). Check any impact with
BSEMS proposed works through the Base Security Improvement Project (BSIP).
33. Engineering Services. Advice should be sought from DSO and applicable
regional staff (e.g. base managers) on current conditions and/or issues of the base
infrastructure services or infrastructure upgrade works proposed to be delivered
under the IA Data approved works program.
34. Base Support Capacity. Advice should be sought from DSO and applicable
regional staff (e.g. base managers).
35. [X]. Other issues that may impact upon the satisfaction of the requirement are
to be outlined (eg SRP initiative issues, carparking, visual impact, LIA policy, PPP
issues, limited available funding issues).
EARLY PLANNING ACTIVITIES
36. Any long lead planning activity identified and considered in the above section,
such as land acquisition, Indigenous Land Use Agreement (ILUA) and environmental
and heritage referrals, should be summarised here.
CSIR Part Two template 11
37. The risk associated with delivering the requirement is based upon a
consideration of the likelihood of failure assessed against the consequences of
failure. The levels of Risk are Very High, High, Medium and Low – refer to guidance
notes for CSIR Part 2.
38. Consideration of the likelihood of failure assessed against the consequences of
failure. The levels of Risk are Very High, High, Medium and Low. Guidance to
complete the following Early Risk Assessment table is below. The risks are
assessed against each Risk Type (see matrix below) and any mitigation actions
The following Consequence Ratings (CR) should be applied:
1 = Severe [CR-1]
2 = Major [CR-6]
3 = Moderate [CR-11]
4 = Minor [CR-16]
5 = Negligible [CR-21]
Where the Consequence rating is described as either Major [CR–6] or Severe
[CR–1], sufficient detail should be provided in the hurt statement to justify rating.
The following Likelihood ratings should be applied:
1 = Almost Certain [LR-1]
2 = Likely [LR-3]
3 = Possible [LR-5]
4 = Unlikely [LR-7]
5 = Rare [LR-9]
Where the likelihood rating is described as Likely [LR-3] or Almost Certain [LR-
1], the basis for this rating is to be provided.
The Risk Exposure is based upon the Consequence of the Threat and the
Likelihood of its occurring and is determined from the following matrix:
Risk Assessment Matrix
Likelihood Consequence Rating
Rating Severe Major Moderate Minor Negligible
1 6 11 16 21
Almost Certain Very High Very High High Medium Low
1 2 7 12 17 22
Likely Very High High Medium Medium Low
3 4 9 14 19 24
Possible High High Medium Medium Low
5 6 11 16 21 26
Unlikely High Medium Medium Low Low
7 8 13 18 23 28
Rare High Medium Low Low Low
9 10 15 20 25 30
CSIR Part Two template 12
EARLY RISK ASSESSMENT – PROJECT DELIVERY
39. The risks are assessed against each Risk Type (see guidance & matrix above).
Please provide comments against each assessment. An assessment is made of the
overall level of risk associated with the requirement, given the identified likelihood of
failure and the consequences of failure. Include sentence to specify that this is only
an EARLY Risk Assessment for Project Delivery, with delivery risks to be reassessed
during the development stage. Example text below:
Table [X] below is an early risk assessment for the project delivery. The overall risk
associated with project delivery is assessed as [X (eg Low or Medium or High)], with
[time failure] being the only high risk for this project. Project risks will be further
assessed at the development stages.
Table [X]: Risk Assessment Matrix – Project Delivery
Risk Description Likelihood Consequence Risk Rating
Reliance on Other Projects
[X] (other risk specific for this project)
40. All stakeholders consulted in the development of the CSIR Part 2 should be
detailed. Example text:
The following stakeholders identified in Table [X] below have been consulted in the
development of this CSIR Part 2, including prioritisation of the proposed works:
Table [X]: Stakeholder Consultations
Navy Strategic Command (eg Sponsors) Jane Citizen (DDNIP), LCDR John Citizen (SOFAC1)
DSO (eg region, NPOC, COO)
EP&E (incl. DSA)
MIP (eg DPPP, DECP)
CSIR Part Two template 13
41. It is recommended that [X] [Insert the DEC for project seeking DEC
endorsement. Insert you for projects < $4.5m requiring ASEP endorsement only]:
a. Agree that Option [X] be further developed in [a Strategic Business Case]
by [IAD]; or to endorse Option [X] for [IAD] to develop the scope within
budget in the SBC; or [alternate paragraph if being delivered by PS
Branch or MIP (PPP) Branch or Regional delivery].
b. Note that PPP delivery is not suitable for this project; (include if facility
component of project is over $50M)
c. Note that the cost estimate for the development of option [X] is $[X]M
(±50% out turned) and this amount will be funded from [X (eg MCF)],
based on approximately % of the current budget and experience from
[recent redevelopment projects];
d. Note that the cost estimate for the delivery of option [X] is $[X]M (±50%
out turned) and this amount will be funded from [X (eg MCFP)];
e. Note that funding of $[X]M (±50% out turned) commencing FY 20[XX/YY]
is available from [Z (eg MCFP)] for CIOG ICT active works development
costs based on [0.05]% of the current project budget, and funding of $[X]M
commencing FY 20[XX/YY] is available from [Z (eg MCFP)] for CIOG ICT
active works delivery costs based on 5% of the current project budget; and
f. Note the early Net Personnel and Operating Costs (NPOC) estimate of
$[X] per annum that will be funded by [X (eg Defence Support NPOC
provision)], based on % of the current project budget. This estimate will
be further refined and clarified during the subsequent development of the
project in accordance with established processes and procedures.
g. Note other recommendations as required.