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Key principles:

Know your organisation's strategic agenda, be part of it, and provide information that makes a difference in a compelling way.

Know what assets you have, what condition they are in and how they perform

Know what services the assets provide, know the future demand for these services, know how service models may change, and know the associated shortfalls.

Develop a range of possible asset initiatives and management activities that will address the shortfalls

First work out the ideal level of expenditure required to address the shortfalls, then work out whether it is achievable.

If it is not achievable, develop scenarios where a programme of work is achievable based on priorities considering financial and non-financial outcomes, while reporting the consequences of under-investment

Make decisions

Implement the work programme
 

News

May / June / July 2008

 

Building Component Guideline update (BCGs)

The criticality criteria and formatting of the 2007 BCG spreadsheets have been updated. The criticality criteria of 'consequence of failure, health & safety, and appearance', have been reviewed noting that the numbers have been reversed to allow direct use within a risk analysis framework, i.e. a factor of 5 is now critical.

Additional tabs have been included that provides more of a survey pack for first time users of the manual and tools. The pack is aligned with demonstration asset planning system and can be used to directly captured data in the field and enter it into the online system.

The 2008 update of the unit rates is due for late 2008.

Health's NAMLG

The National Asset Management Leadership Group (NAMLG) for the New Zealand District Health Boards have met four times over the past few months. Direction has now been set including a requirement to produce AMPs by July 2009 and to provide capital intentions and 'service justifications for capital investment' by the end of July 2008.

The key output of the Group is to provide specific guidance on how asset related shortfalls in models of care and general health services can be described and addressed within an asset management planning framework.

Minutes from previous meetings are available for download from the NAMS Property website. Current templates are also available for download including the Capital Intentions, Service Justification for Capital Intentions, Asset Information and Improvement planning. Information has been collated from all 21 DHBs over the past few months and will be used to generate the National Health AMP, which in turn, will inform Treasury's CAM templates for Budget 2009. NAMS Property will provide an overview of the outcome of the National AMP later in August.

Treasury's CAM Update

New Zealand Treasury has finalised their timeframes and requirements for implementing the Capital Asset Management Framework. By September 2008 each Agency must have an AMP that closely follows NAMS.

On CAM more generally, this month Treasury intends to complete its consultation with 15 capital-intensive agencies and sectors on its CAM information requirements for later in 2008. Broadly the information will provide a capital profile for each agency/sector, comprising asset-related financial and non-financial information over a 10 year horizon, at asset class and major project level along with key planning assumptions. This will help meet Government's objective for improved visibility over capital intentions.

Treasury intends to publish or promote good practice guidance material in second half of 2008 via a public sector portal.

Treasury's Gateway Review Process

In late 2007 the New Zealand Government approved the use of the Gateway Review Process for quality assurance of large State sector projects. Full information about the Gateway Review Process can be gained via the following link.
http://www.ssc.govt.nz/display/document.asp?navid=320

2008 LAPA Conference 8-10 October

The annual Local Authority Property Association (LAPA) Conference is being held in October this year. Visit their website for more information. Make a note that a session on NAMS Property will be given by Steve Lyons from SPM that will provide a range of case studies from organisations that have used various parts of the manual including the
  • Information Management Strategy
  • Property surveys
  • Property Quality Standards
  • Long term capital planning
A separate training session will also be given to those who would like further assistance with the the demonstration asset planning system.
Please register your interest with NAMS Property admin.

Development Contributions

An article recently published in the Local Government magazine discusses if you get the Asset Management Processes right then the output can be used to justify funding through development contributions. Click here.

Chartered Institute of Housing Conference, Harrogate, England

NAMS Property made an appearance at the Chartered Institute of Housing Conference and Exhibition in Harrogate, England from 17 – 19 June 2008.

The NAMS Property manual was shown as part of an overall solution to asset management planning for housing within an exhibition space of a Housing systems provider. A steady stream of Conference delegates visited the stand and were taken through how the NAMS Property process supports the UK Decent Homes programme.

The Chartered Institute of Housing Annual Conference and Exhibition is the UK’s ultimate housing event focusing on the provision of affordable housing and the development of sustainable communities. The event is an important date in the UK’s housing events calendar as it brings together nearly 6,500 housing professionals, together with 380 key suppliers all under one roof in 6 exhibition halls. The exhibition creates a unique platform where innovation and experiences can be shared and advice and solutions sought.

The Conference had a distinguished and diverse range line-up of presenters and opened with a video link-up to 10 Downing Street for a welcome address by British Prime Minister, Gordon Brown, followed by a keynote address at the Conference from Housing Minister, Caroline Flint.

In terms of asset management and housing maintenance, there was a number of interesting sessions:

  1. Better Buys: Insights into How to Procure Repairs and Maintenance Services. The UK Audit Commission has recently published its report: Better Buys: Improving Housing Association Procurement Practice. The report highlights a range of key findings and a DVD is available with practical tools, including a video on good practice.
    Further information is available from http://www.audit-commission.gov.uk
  2. Rethinking Housing Refurbishment. Kate Symons, Associate Director at the UK Building Research Establishment, presented on this ‘exemplar’ initiative. The project sets out a framework for creating a national step change in the refurbishment arena. The BRE is working with the Housing Market Renewal Pathfinder Agencies and other agencies to promote the step change. The UK has the oldest housing stock in the developed world, with refurbishment still regarded as the Cinderella of the housing industry and the poor relation to new build. The project sets out why change is needed, shows how upgrading the existing stock brings homes back on to the market and how it is a sound and sustainable answer to the housing shortage.
    For further information see http://www.rethinkinghousingrefurbishment.co.uk/index.jsp?id=105
  3. Three Million Homes – Is the Target Still Deliverable. The UK has an ambitious development programme for three million new homes to be provided. This session examined the credit crunch, local opposition to eco towns and delays with planning that are threatening the ability of the UK social housing sector to deliver the Government’s growth targets.
  4. Planning and Land Supply. Land supply is the key to meeting housing targets. This session examined the steps needed in assessing how enough supply could be achieved to meet national targets and needs.
  5. Access to Decent Affordable Housing – A Global Issue. The Conference is attended by delegates from around the world. New Zealand was represented by delegates from Housing New Zealand Corporation. This session focused on four key themes with speakers from Australia, South Africa and the UK:
The challenges facing housing providers and the need for policy reform.
  • Sustainable housing
  • Access to decent housing
  • Tackling homelessness
  1. Housing’s Contribution to Tackling Climate Change – Environmental Sustainability for the Existing Stock. Whilst the British Government has an emphasis on environmental performance, this session explored the danger of neglecting the biggest problem facing the social housing sector – emissions from the existing stock, an issue just as relevant in New Zealand as it is in the UK. This session assessed the scale of the problem and outlined suggestions as to the way forward.
In addition to these sessions, English Partnerships sponsored the Regeneration Exchange – a three day rolling programme of informal teach-ins, advice and information focusing on land supply, partnership working, high quality development, good design, enhancing the environment and customer satisfaction.

In conclusion, there is much for New Zealand asset managers to learn from the CIH Conference and by sharing information with their UK counterparts. You can keep in touch with developments in the social housing sector in Australasia and the UK by becoming a member of the Australasian Housing Institute.
For further information, contact Roger Jameson, Chair of the New Zealand Branch of the Australasian Housing Institute at roger.jameson@spmapplications.com ; tel +64 (0)9 921 4021

For further information on housing in the UK, see www.cih.org and for information on the Conference, www.cih-housing.co.uk

All being well, NAMS Property will be back in Harrogate next year with SPM.

NAMS Property membership renewals are underway, if you have any questions, please contact the NAMS Property Administrator.

Please let us know anything happening in your organisation or industry…