Infrastructure (Asset Management)

Policy framework statement

Purpose

The purpose of this policy framework is to ensure:

• good governance in asset management
• accountability and transparency of the financial management of asset management
• projects are delivered with scope, cost and time parameters and to the specified quality
• effective and efficient service delivery solutions
• consideration of lifecycle costings to ensure long term sustainability of each asset
• effective project and service risk management strategies
• accuracy, timeliness and completeness of information
• compliance with the WA Government’s legislative and policy requirements.

Applicability

This policy framework is binding on each HSP to which it applies or relates.

Principles

The key principles that underpin this policy framework are:

Accountability, Transparency and Performance Focussed

Responsible and accountable use of financial resources, with the ability to explain decisions and actions to external reviewers, as well as document and report on the management of resources, in a clear, consistent and accurate manner.

Asset Management is considered in the context of:

• Asset lifecycle.
• Asset prioritisation based on the operating imperatives across the WA health system. This by nature means that reprioritisation becomes a key consideration for future asset planning.
• Future proofing of assets to ensure opportunities to extend the operating life of assets by anticipating changes in patterns of use or growth in demand, thereby creating flexibility and the potential to add capacity. This allows for continued technological evolution.
• Strategic Asset Planning to provide a framework for future and current assets, with the involvement of all the key enablers of the WA health system. This includes ICT, procurement, finance, facilities management and governance with consideration of the long term lifecycle costs.
• Sustainability to ensure - the performance of assets is optimised in terms of their capacity to support service delivery. Asset management decisions do not compromise the long-term financial sustainability across the WA health system.

Holistic and Strategic

Asset management decision-making will take a holistic and strategic approach in relation to asset development, procurement, maintenance and disposal. Patient care, service delivery and safety are always at the core of this decision-making process.

Stewardship

The use of funds and resources in the management of assets to support service delivery objectives is consistent with achieving value for money for whole-of-government service delivery.

Legislative context

This policy framework is made pursuant to ss 26(2)(d) of the Health Services Act 2016.

The Health Services Act 2016 refers to policy frameworks in ss. 26-27 and s. 34(2)(c). Other relevant parts in the Act that relate specifically to this policy framework include ss. 34(2)(i), 36(3)(a) and 37-39.

The legislation below, may also apply:

• Building Act 2011
• Building Services (Registration) Act 2011
• Building Services (Registration) Regulations 2011
• Financial Management Act 2006
• Public Works Act 1902
• Planning and Development Act 2005
• Treasurer’s Instructions
• Work Health and Safety Act 2020
• Procurement Act 2020.

Mandatory requirements

Under this policy framework HSPs must comply with all mandatory requirements* including:

^This internal document can be made available on request.

Policy framework custodian

Deputy Director General

Enquiries relating to this Policy Framework may be directed to: PolicyFrameworkSupport@health.wa.gov.au

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