HOTO Training Module for HOTO v6 - Department of Defence · Management &Planning [ADEM&P]) accepts the delivered works from the PD / PM into the Defence estate, enabling its use by

HOTO Training Modulefor

HOTO v6.0

2019Presented by:

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Purpose.• The purpose of this training presentation is to instruct estate project stakeholders on

use of the new HOTO Plan and Checklist (version 6.0) and adopt the principles and practices that underpin these new HOTO documents and processes.

• This training is applicable to all Defence personnel (APS and Uniform) and Defence contractors who are involved in the planning, delivery, management, support and/or acceptance of Defence estate projects.

Aim.• Learning aims are:

• Understand the estate project lifecycle phases and purpose of HOTO.• Identify key HOTO stakeholders, principles and documents. • Understand how HOTO documents are used in Defence estate projects• Understand HOTO issue resolution and escalation process.• Identify additional sources of HOTO information and assistance.

HOTO Training Presentation

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Training Module Content• Training Aim – Learning Objectives• Estate project lifecycle phases and purpose of HOTO

– The Estate Project Lifecycle– What is HOTO?– HOTO Defined– Historic HOTO issues

• Key HOTO stakeholders, principles and documents– HOTO Stakeholders & Roles– General HOTO Principles & Requirements– HOTO Policy, Checklist, and Workflow

• How HOTO documents are used in Defence estate projects– When is HOTO applicable?– How is HOTO applied. – Develop HOTO requirements– Agree HOTO requirements with key stakeholders– Continual HOTO review, update & delivery of evidential requirements– Validation & acceptance of evidence and HOTO sign-off


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Training Module Content - continued

• How HOTO documents are used in Defence estate projects - continued

– Completing HOTO Checklist Signatures– Early Access and Use of Facilities– Managing and Completing DLP Activities

• Understand HOTO issue resolution and escalation process.• Identify additional sources of HOTO information and assistance.


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Learning Objective - Understand the estate project lifecycle phases and purpose of HOTO.

The Estate Project Lifecycle• Estate projects typically exhibit a lifecycle that comprise of the following phases:

planning, development, design, construction (plus commissioning), acceptance (HOTO) and Defects Liability Period (operating & maintaining).

– Refer to HOTO workflow diagram – following slide– DEQMS Estate Lifecycle -

http://www.defence.gov.au/estatemanagement/lifecycle/default.asp

• Historically, HOTO focused on that point in the project lifecycle when construction was complete, FP&E had been tested, facilities were ready to be “handed over” to Defence and final acceptance checks occur.

What is HOTO?• Sometimes referred to as Commissioning Hand Over & Take Over (CHOTO), HOTO is a

key project activity that occurs when construction and deliverables are complete (from a delivery contractor’s perspective) and the contractor is ready and undertake a final inspection and acceptance of deliverables from the client (Defence).


http://www.defence.gov.au/estatemanagement/lifecycle/default.asp

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HOTO Defined.HOTO is completed in two stages commencing with the Hand Over “HO” then followed by the Take Over “TO”. The terms mean:

• Handover - HO is the term used to describe a series of project delivery completion and assurance activities designed to satisfy the PD / PM that the Defence Contractor Representative(s) have completed all of the required works to a satisfactory standard, the facility is safe and fit for purpose and Defence specified estate information requirements are met (project completion). The HO is formalised by the contractor representative providing the required documentary evidence to the PD / PM as identified in the HOTO Checklist and HOTO plan and the PD / PM issuing a completion certificateto the contractor representative in accordance with the applicable contract clause(s).

• Takeover - TO is the term used where the Defence Representative (Zone Director Service Delivery [DSD] or authorised delegate, usually the Zone Assistant Director Estate Management &Planning [ADEM&P]) accepts the delivered works from the PD / PM into the Defence estate, enabling its use by the resident unit(s) (RU) for its intended purpose. The acceptance is confirmed by the Defence Representative being satisfied that all project deliverables are satisfactorily completed, the asset(s) is/are fit for purpose, evidentiary and Defence estate information requirements are met and signing the completed HOTO Checklist to that effect.


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Historic HOTO issues

HOTO continues to present a range of issues that challenge all project stakeholders. While issues vary due to the differing nature of project works and stakeholders involved, a few common and reoccurring issues include:

• Incomplete delivery – data, manuals, drawings, training, fixtures & fittings etc.• Differing standards of quality required to satisfy acceptance,• Insufficient evidence to demonstrate completion and/or compliance,• Inadequate and/or poor support and rectification of issues during DLP,


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New HOTO Process

To address these historic issues and improve HOTO outcomes, the new suite of HOTO documents (version 6.0 - onwards) posted on DEQMS have introduced the following initiatives and/or requirements:

• Formally introduce HOTO planning & reviews throughout the project lifecycle. • Establish an increasing level of earlier engagement, development of agreed plans

/ activities / support and assurance of deliverables that culminate in a more clearly understood and successful HOTO and DLP management.

• Is aligned to updated Defence suite of facility contracts that specify use of the HOTO documents located on DEQMS,

• Improve alignment of HOTO outcomes with practically achievable project activities,

• Provide more information in the HOTO instructions, address HOTO workflow issues (timing of deliverables), explain stakeholder roles and accountabilities, and introduce HOTO training material.


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Summarise learning outcomes

• Project lifecycle: planning & development, design, construction (plus commissioning), acceptance (HOTO) and Defects Liability Period (operating & maintaining).

• Early stakeholder engagement and planning with a HOTO focus must occur at the commencement of each project lifecycle phase and collaboratively throughout the project lifecycle to achieve a successful HOTO at the end of construction.

• Key HOTO Aim

HOTO should be implemented as a project assurance activity where the HOTO Plan and Checklist is used to plan & record the actions and evidence required by Defence to demonstrate that project deliverables are completed, accurately recorded, safe & fit for purpose and occupancy; and to a standard that is acceptable to key project stakeholders.


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Learning Objective - Identify key HOTO stakeholders, principles and documents.

HOTO Stakeholders & Roles• Information within the HOTO instructions and the project lifecycle criteria instructions

provide a brief description of key stakeholder roles and responsibilities. • A Responsible, Accountable, Consult, Inform (RACI) matrix is provided to further

explain roles as they relate to the conduct and validation of criteria throughout the project lifecycle.


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General HOTO Principles & Requirements

• HOTO must be treated as an assurance activity that extends across the project lifecycle where activities & checks conducted early in the project lifecycle enable successful HOTO,

• Planning for HOTO is initiated in the project planning phase, with ongoing review & development throughout the project lifecycle, and not just conducted as a concluding project event, - as depicted in the HOTO workflow diagram.

• HOTO Checklist and Project Lifecycle & HOTO Plan criteria and evidence requirements are to be first determined and agreed at the project planning & development phase. (checklist criteria 1.1 addresses this requirement). Refinement and minor improvement changes can occur in later project phases. – Refer notes

• Collaboration and pragmatic approach to manage HOTO (e.g. understand risks and practical constraints to balance the delivery of evidence and occupy a facility),

• Project contracts will refer to the HOTO requirements detailed on DEQMS. HOTO documents should be retrieved from DEQMS when required as they will be updated from time to time.


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General HOTO Principles & Requirements

• Completing the requirements for agreed criteria in the HOTO Plan & Checklist is a contractual delivery requirement.

• HOTO for multiple project phases and/or sites. – refer notes.

• Treatment of project issues must occur IAW project contract, legislative requirements and Defence policy & guidelines. Early identification and quick treatment at the lowest possible level is the preferred course of action.

• Where issues cannot be quickly resolved at the lowest possible level, they are to be managed IAW the escalation process detailed in the works contract. e.g. Escalation steps include:

– CFI – PMCA / PD & Zone EMP Rep at project meetings, PCG, PGB– EWP – PM & Zone EMP Rep at project meetings, Zone Regional Estate Works

Program Forum (REWPF), Zone AD EMP / DEWPO.

• Use of caveats for pragmatic project management practices. – refer notes.


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HOTO Documents

Key HOTO documents for estate projects and selected maintenance works include: • HOTO Policy• HOTO workflow diagram• HOTO Plan and Checklist – consolidated excel workbook that comprise of:

• Instructions, checklist, plan, logs, RACI and abbreviations & definitions.

DEQMS link for HOTO documents:http://www.defence.gov.au/estatemanagement/lifecycle/PlanHandoverTakeover/Default.asp


http://www.defence.gov.au/estatemanagement/lifecycle/PlanHandoverTakeover/Default.asp

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HOTO Policy

• The HOTO policy is released under the authority of DEPSEC E&IG with FAS SD and FAS I being co-sponsors. Ongoing administration of HOTO documents and instructions is performed by DEPU.

• The HOTO policy applies to all estate projects delivered on the Defence estate. Estate projects include:

– facilities and infrastructure construction, re-purposing, refurbishing, maintenance, land acquisition or disposal, leasing (including Government Furnished Facilities [GFF)] / Government Furnished Equipment [GFE]) and environmental projects; and

– projects delivered and / or managed by Defence personnel (Australian Public Service [APS] and ADF) and contracted entities.

HOTO Workflow diagram

• The HOTO workflow diagram provides a useful pictorial explanation of the key project lifecycle and HOTO assurance activities. The diagram can be used to assist development of the project lifecycle & HOTO plan and data provision plan. A copy can be found on DEQMS.


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HOTO Checklist & Instructions

• The HOTO Plan and Checklist is an excel workbook that contains all the HOTO documents and instructions required for management of key estate project assurance activities that support and include HOTO. The excel workbook is configured with separate worksheets that cover HOTO instructions, checklist and supporting documents. Worksheets tabs are titled with the following headings:

– HOTO Instructions– Project details– HOTO Checklist Signatures– Project Lifecycle & HOTO Plan– Project Logs– DLP Checklist– Project Lifecycle criteria instruction– HOTO RACI– Abbreviations and Definitions

How and when these documents are to be used be explained later in the training


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Summarise learning outcomes

• HOTO Key Principles– Early engagement with ongoing review & development throughout the project

lifecycle– HOTO must be treated as an assurance activity that extends across the project

lifecycle– Collaboration and pragmatic approach to manage HOTO

• HOTO Stakeholder Roles – Refer to HOTO instructions and RACI• Key HOTO Documents include: HOTO policy, excel HOTO Plan and Checklist, and

workflow.• All HOTO documents are found on DEQMS at: link.http://www.defence.gov.au/estatemanagement/lifecycle/PlanHandoverTakeover/Default.asp


http://www.defence.gov.au/estatemanagement/lifecycle/PlanHandoverTakeover/Default.asp

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Learning Objective - Understand how HOTO documents are used in Defence estate projects

When is HOTO applicable?• In Accordance with the Defence HOTO Policy, the HOTO process applies to all

facilities and infrastructure projects on the Defence estate.

• This includes all facilities work conducted on the Defence estate by Service Groups, CASG, CIOG, DSTG & Defence contractors.

• For E&IG HOTO applies to all CFI and EWP projects, and selected EMOS works (for applicable alternate proposals (APs) and complex maintenance works).

• The Defence suite of facilities contracts specify that the HOTO process and documents located on DEQMS must be applied.

Note: for applicable APs and complex maintenance activities it is expected the HOTO principles and tools are applied by EMOS, however; approvals, signatures and broader stakeholder involvement is not required. The requirement is more focused on driving quality practices like: update estate data & drawings, safety & legislative requirements etc.


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How is HOTO applied.

What are the key requirements actions and timeline?

To answer the question this section will cover the following HOTO topics:• Develop HOTO requirements,• Agree HOTO requirements with key stakeholders,• Continual review and update of HOTO documents and incremental completion of

Project Lifecycle & HOTO Plan criteria and delivery of evidential requirements,• Validation, acceptance and sign-off of HOTO,• Managing defect rectification, DLP checklist and project logs.


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Develop HOTO requirements

• A project’s HOTO requirements must first be considered in the project planning phase to determine what level of detail will be specified in tender documents and subsequent actions in later project lifecycle phases.

• HOTO documents found on DEQMS must either be sent with project tender documents or be made available to contractors so they can demonstrate in their tender reply, how HOTO requirements will be met and managed throughout the project lifecycle.

• HOTO documents have some data fields pre-populated to provide guidance and drive greater standardisation. These fields can be changed to enable customisation of documents according to the project type and nature.

• Customisation of the Project Lifecycle & HOTO Plan will be required to match the document with each project type (HC, MC, DSC, D&C etc.). For example, DSC and HC projects have very distinctly different project deliverables that occur at different periods in the project lifecycle. Subsequently, selecting HOTO criteria applicable to the project type is necessary to establish accurate and succinct HOTO checklists and Project Lifecycle & HOTO Plans.


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Develop HOTO requirements – continued

• Customisation is initiated with a selection in the “Required Status” data field for every criteria listed in the Project Lifecycle & HOTO Plan. Each “Required Status” data field has a drop-down selection where either “Required” or “N/A” is selected. When N/A (Not Applicable) is selected, that criteria is “greyed out” and no further data entry is required against that criteria.

• HOTO document example below.


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• To assist with the determination of applicable criteria, more information about each criteria is detailed in the Project Lifecycle Criteria Instruction worksheet. By clicking on the criteria item number in the Project Lifecycle & HOTO Plan, it links users directly to the corresponding area in the Project Lifecycle Criteria Instruction worksheet.

• Additionally paragraphs 23 – 26 of the HOTO instructions provides further explanation on selecting criteria.


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• The “Person Responsible”, “Person Verifying” and “Evidence Type” fields have been pre-populated to represent a common base-line applicable for most estate projects. However, these fields must be checked to ensure it is an accurate representation of arrangements for the project particulars. Refer to the HOTO RACI worksheet for more information about project roles and responsibilities.

• Note: It is essential that all “Status Required” data fields are selected as either “Required” or “N/A”. Failure to complete the status against all criteria will inhibit the selection of “status completed” for that criteria and the automatic update of completed status for that project phase.


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Multiple Sites and/or Delivery Phases. • Consideration must be given to implement multiple HOTO documents where projects

deliver works on multiple sites or likely to comprise of several large delivery phases. Separate HOTO checklists, Project Lifecycle & HOTO Plan, approvals and DLP checklists for each site and/or project delivery phase is likely to help simply assurance and HOTO completion and takeover. Where possible, these requirements should be indicated in the tender documents and at minimum, addressed in contract negotiations to align expectations and minimise variations.

• HOTO Instructions paragraph 17 provides additional information about these considerations.


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Agree HOTO requirements with key stakeholders• At contract negotiations and/or once a contractor has been engaged for project

delivery; PD / PMs must arrange a meeting between PD / PM, Zone Representative, PSS and Contractor Representative to review, amend (if required) and agree the proposed Project Lifecycle & HOTO Plan criteria & evidence requirements, and estate data delivery schedule. This is necessary to align stakeholder expectations and requirements with the contract conditions; and minimise disputes later in the project lifecycle.

• Key documents to be reviewed and agreed are: – Project details

• Complete all Project a Stakeholder details.– Project Lifecycle & HOTO Plan

• Ensure all information fields are completed and agreed for: Status Required, Responsible Person, Evidence Type and Status Completed.

– Data provision plan.• Ensure the contractor representative and PSS have met to agree actions.

• Document storage location, file structure and access arrangements must be determined to enable efficient document transfer and verification of deliverables and evidence. Document storage and management systems can include: WebFM, Aconex and Objective.


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Continual review and update of documents and incremental delivery of evidential requirements and criteria completion. • Ongoing review and update of the Project Lifecycle & HOTO Plan must occur

throughout the project lifecycle to ensure selected criteria and evidentiary requirements are applicable. Changes to criteria and evidence must be communicated and agreed between the PD / PM, Zone Representative, PSS and Contractor Representative. This is best managed where HOTO is an agenda item in scheduled project progress meetings.

• This review process must include review of the data provision plan and schedule for supply and verification of estate data.

• Contractor Representatives must aim to provide evidence and satisfy Project Lifecycle & HOTO Plan criteria as early as practically possible during the applicable lifecycle phase. This enables timely validation to confirm that contract requirements and deliverables have been satisfactorily achieved. The advantage of this practice for contractor representatives is that early identification of issues and/or deficiencies minimises later rework and project delays.

• This is most pertinent for the provision of estate data (GDLs), final draft drawings and manuals where validation of data completeness is very time consuming and/or where some deliverables can be completed before final HOTO.

• The key requirement is not to leave delivery and validation of all project deliverables to the final HOTO activity.


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Validation & acceptance of evidence and HOTO sign-off

• Contractor representatives are to provide all evidence that demonstrates completion of project deliverables and criteria satisfaction prior to the HOTO inspections (physical walk around) and the HOTO meeting.

• Prior to the above activities, PD / PMs are to confirm that: specified evidence for all required criteria has been provided, the evidence conforms with requirements specified in the contract and evidence requirements detailed in the Project Lifecycle & HOTO Plan; and that the information is saved in the agreed file storage location.


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Completing the Project Lifecycle & HOTO Plan and HOTO checklist

The specified “Responsible Person” is to provide and save in the agreed storage location, the evidentiary information listed in Project Lifecycle & HOTO Plan to demonstrate that each criteria has been satisfactorily achieved. Stored location of the evidence can be detailed in the corresponding comments field. The specified “verifying person” is to confirm that the evidence provided is complete and conforms to the quality standard specified in the contract and Project Lifecycle & HOTO Plan. When the evidence is deemed to demonstrate satisfactory completion of the criteria, the verifying person selects “completed” on status completed drop-box.


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Completing the Project Lifecycle & HOTO Plan and HOTO checklist – continued

• When all the criteria selected as “required” within a project phase are complete, the completed status for that project phase (heading section) will automatically update to a “completed” status. This status will automatically transfer and update the status on the HOTO checklist signatures page. The same occurs for summary comments.

• Project Phases are: Planning & Development, Design, Pre-mobilisation, Construction and HOTO.

For Example• For design phase, when all selected “required criteria” (items selected from items 2.1

to 2.6) have been recorded as “completed” by the verifying person, the completion status for item 2 will automatically update to “completed”. This indicates a summary status for the design phase. This “completed” status will also update the corresponding design status on the HOTO signature page as “completed”.

• If HOTO criteria are assessed as “not completed” at the final HOTO inspection and meeting, a “not completed” status is to be selected (drop-box) and an explanation provided in the corresponding comments field.

• Diagram next slide.


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Example – Project Lifecycle & HOTO Plan

HOTO Checklist Signatures

Note: If the summary status does not automatically update to complete, check that all “Required” Status fields have been selected as either Required or N/A; and that the completed status has been recorded for all criteria with a “required status”.


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• While it is highly desirable that all criteria have been satisfactorily completed at HOTO to enable Takeover and use of a facility, there may be extenuating circumstances where minor defects were discovered and/or issues with supplied criteria evidence need to be addressed. In some situations, this should not delay a “conditional acceptance” of deliverables, HOTO sign-off and commencement of DLP.

• To achieve endorsement of conditional acceptance, the PD / PM, Zone EMP representative and PSS are to conduct an informed assessment and make a recommendation to the Defence Representative to either approve / not approve a conditional acceptance and takeover of the delivered works.

Note: Where the PSS and EMP Rep are not listed as the verifying person, they may conduct random verification of provided evidence as part of the SDD HOTO due diligence. However this activity is not to delay the HOTO schedule. Where non-conformances are found, these are to be raised (either direct correspondence and/or at review meeting) with the PD / PM to be addressed.


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• Where a defective item has been identified and/or deliverables & criteria are not fully met at HOTO, a conditional acceptance assessment should consider the following points and risks at minimum:

– Are the facilities and equipment safe and fit for purpose for use and operation. – Statutory and legislative compliance requirements have been met, e.g. NCC &

MFPE requirements met,– Has sufficient information, tools and training been provided to enable safe

operation, sustainment and support,– A defect rectification plan and/or schedule for supply of outstanding items is

provided where the remedial actions are not detrimental to ongoing use, operation and support.

– Project Logs record all associated caveats, issues and outstanding deliverables.

• HOTO Instructions paragraphs 27 to 31 provides additional information. Also refer to instructions for early access and use of facilities (paragraphs 34 & 35) to inform assessment considerations.


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• Where deliverable/s & criteria are not fully met at HOTO, and conditional acceptance is to be recommended, the status field will remain “Not Completed” and the comments field must be used to explain the circumstances. Example next slide.

• If the comments field and project log is insufficient in size / space to record all circumstances, an explaining brief or report can be attached to the submission of HOTO checklist signatures and project log. The brief / report must be referenced in the comments.


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Completing the Project Logs - Caveats or Conditions, Issues and Non Delivered Items• At final HOTO if there are any project deliverables that have not been completed, are

defective or they are subject to a project caveat these items must be recorded in the project logs, and contractor representative’s defect list & rectification plan. Where these items are minor in risk and scope the Defence Representative may accept the defects and conditions to allow facilities and equipment to be used.

• Acceptance will be conditional on the provision of a remediation plan and schedule that aligns with project log entries. PD / PMs are to monitor and report on the completion of these items.

• Where remedial actions are not being met in accordance with the agreed plan and schedule, the Zone EMP representative is to raise the matter with PD / PM for resolution and advise the Defence Representative who may take further action.

• HOTO instructions paragraphs 34 & 35 provide additional information.


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Completing HOTO Checklist Signatures

• To complete the HOTO checklist and obtain stakeholder signatures, PD / PMs are to ensure that all required criteria and evidence detailed in the Project Lifecycle & HOTO Plan have been satisfactorily met and saved in objective, the status has been accurately reflected on the HOTO Checklist and any exceptions have been detailed in the project logs and applicable comments field (in both Checklist and Project Lifecycle & HOTO Plan).

• PD / PMs must work with the Zone EMP representative and PSS to achieve this outcome and ensure there is an agreed understanding of the completion status and recommendation to present to the Defence Representative.

• When the actions above have been achieved the Contractor Representative and PD / PM are to sign the HOTO checklist.

• Once signed, the remaining project stakeholder signatures can be obtained simultaneously. This may be achieved by circulating a pdf version of the Contractor Representative and PD / PM signed HOTO Checklist.


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Completing HOTO Checklist Signatures – continued

• When the remaining stakeholder signatures have been received the PD / PM is to save all information in the agreed file location and notify the Zone EM&P Representative, who will provide a recommendation within the HOTO checklist for acceptance or rejection by the Defence Representative or authorised delegate. The stakeholder signatures provide assurance to Defence that the following has been achieved:

– stakeholder signatures have been obtained or an explanation provided as to why a particular stakeholder’s signature was not provided;

– works have been delivered and a Completion Certificate has been issued in accordance with the works contract and Defence requirements;

– stakeholders have been represented at the final inspection and all issues and concerns raised have been addressed and/or documented for resolution;

– there are no known non-conformances for the delivered works, other than non-conformances listed on the checklist as a caveat or condition to acceptance; and

– a sample review of the documentation has been conducted and information was readily available for review by the Base Services Contractor through EMOS PSS.

• Where the comments field and project log have insufficient space to explain conditional requirements, issues, risks and/or recommendation details to the Defence Representative, a covering minute or brief must be provided with the HOTO signatures.


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Early Access and Use of Facilities

• There will be occasions in a project when a building and/or part of the project scope (e.g. plant and equipment) needs to be accepted into operation or occupation prior to final project HOTO. These situations may occur due to:

– Operational imperatives; – Requirement to decant occupants from a building that must demolished and/or

refurbished by the project; or – Energise infrastructure / equipment that supply existing facilities, e.g. an electrical

sub-station that powers new and existing facilities etc.

• Where possible these requirements should be identified in the project planning and development phase or early in the construction phase and a separate HOTO checklist and project lifecycle & plan, or an alternate appropriately abridged HOTO check and acceptance must be arranged.


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Early Access and Use of Facilities - continued

• Under exceptional circumstances, a conditional acceptance for operation and/or early occupation can occur before HOTO if the following conditions are satisfied:

– Contractor representative demonstrates that buildings and/or equipment are fit for purpose, safe to occupy and operate via the provision of a certificate of occupancy and other applicable legislative / policy required licences and/or conformance certificates, commissioning results and ITRs etc.

– PD / PM confirm that all deliverables associated with the building and/or equipment have been completed, and where this is not achieved, a list of outstanding items and delivery plan is provided;

– Provision of a defects list and acceptable rectification plan;– Provision of a building and/or equipment support and maintenance plan that covers

the period up to HOTO finalisation;– Receipt of EMOS notification that they and applicable miscellaneous support and

service provider contractors are prepared, sufficiently trained and capable of providing the required support for the building and/or equipment. This includes establishing interim measures to deliver services where CCP are not yet approved e.g., via a survey and quote; and

– The Zone EMP confirms that the conditions above have been met and provides a recommendation that supports conditional acceptance.


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Managing and Completing DLP Activities – Responsibilities

• The Contractor Representative is to develop a defects list and rectification plan as a condition of contract. Additionally Contractor Representatives and PD / PMs are to update and submit completed Project Logs at HOTO to communicate what project caveats, issues and deliverables remain outstanding and how & when they will be actioned. When developing the defect rectification plan, Contractor Representatives are to engage with the PD / PMs, Zone EMP Representatives and PSS to develop and agree to a schedule for validation and acceptance of remediated items and/or supply of outstanding items.

• PD / PMs are responsible to ensure the contractor representative has documented all outstanding deliverables and defects in a defect list, rectification plan and project logs; monitor clearance of these items and confirm that remedial actions have been satisfactorily addressed.

• EMP Representatives and PSS are to assist with validation and acceptance remedial actions to ensure timely clearance of all defects and items recorded in the Project Logs.

• During DLP, it is important that EMOS (including maintenance subcontractors) identify and report all new facility and equipment defects, deficiencies, warranty and/or quality issues so they can be rectified before DLP expires. All issues and defects are to be reported to the BSSC in accordance with the agreed project DLP reporting process.


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Managing and Completing DLP Activities - DLP Checklist

• The Contractor Representative and PD / PM are to use the DLP checklist to record and validate the completion of all DLP activities and remaining deliverables.

• When all DLP criteria have been validated as complete, the PD / PM is to obtain stakeholder signatures and forward the completed DLP checklist to the Zone EMP Representative for acceptance of the “End of DLP” notification.


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Summarise learning outcomes• Defence Policy specifies that the HOTO process applies to all facilities projects on the

Defence estate. This includes all facilities work conducted on the Defence estate by Service Groups, CASG, CIOG, DSTG & Defence contractors.

• HOTO documents provide a degree of data field auto-population and customisation via drop-box selection. The document also provides instructions, information web-links and a Data Provision Plan template.

• A project’s HOTO requirements must first be considered in the project planning phase and reviewed and updated throughout the project lifecycle.

• Projects delivering works at multiple sites and/or delivery phases should consider using a separate HOTO checklist for each to simplify acceptance and close-out.

• Contractor Representatives must aim to provide evidence and satisfy Project Lifecycle & HOTO Plan criteria as early as practically possible during applicable lifecycle phases.

• HOTO process has provision for conditional acceptance where delivery is incomplete and/or defects require rectification. Defect remediation plan and project logs apply.

• Under exceptional circumstances, a conditional acceptance for operation and/or early occupation can occur before HOTO if a range of risk based conditions are satisfied.

• The Contractor Representative and PD / PM are to use the DLP checklist to record and validate the completion of all DLP activities and remaining deliverables.

• During DLP, it is important to identify and report asap all new facility and equipment defects, deficiencies and/or quality issues.


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Learning Objective - Understand HOTO issue & dispute resolution and escalation process.

• Treatment of project issues and disputes must occur in accordance with the project “conditions of contract”, legislative requirements and Defence policies & instructions. Early identification and treatment of issues is paramount to avoid escalation to a dispute.

• Issues. It is desirable to resolve issues at the lowest possible level of authority and where this cannot be achieved quickly, they are to be managed and escalated according to the process detailed in the works contract and approved project management plan. Typically for CFI and EWP projects issues are to be raised, treated and escalated via PD/PM & PMCA issued correspondence and the following forums where project stakeholders have opportunity to provide input:

– CFI – scheduled project meetings, to PCG, then PGB.– EWP – scheduled project meetings, Zone Regional Estate Works Program Forum

(REWPF), Zone AD EMP to DEWPO


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HOTO issue & dispute resolution and escalation process - continued

• Disputes. Where there is a formal notice of dispute between the contractor representative and the Commonwealth, the dispute management and resolution process specified in the “conditions of contract” must be followed. For the Commonwealth, management of disputes is conducted by the PMCA / PD for CFI and PDS / NPS / DEWPO for EWP.

• Note: For all CFI projects, before an issue or dispute is to be raised at a PGB, it must first be elevated to the respective CFI PD.

Summarise learning outcomes• Resolve issues at the lowest possible level of authority at scheduled project meetings.• Unresolved issues and disputes are to be managed and escalated according to the

process detailed in the works contract and approved project management plan.


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Learning Objective - Identify additional sources of HOTO information and assistance.

Additional HOTO information and related processes & polices.• HOTO Checklist. The HOTO checklist document provides Checklist instructions and

broader HOTO guidance via the HOTO Instructions worksheet and more detailed information about Project Lifecycle & HOTO plan criteria and evidence requirements via the Project Lifecycle Criteria Instructions worksheet. This instruction also contains links to DEQMS where subject relevant: policies, manuals, instructions and guidelines can be found.

• Contracts. Project stakeholders must also refer to the project “conditions of contract” for terms and conditions specifically applicable to each project. Copies of the Defence suite of facilities contracts are available on DEQMS.

http://intranet.defence.gov.au/estatemanagement/Support/SuiteContracts/Default.asp


http://intranet.defence.gov.au/estatemanagement/Support/SuiteContracts/Default.asp

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Additional HOTO information and related processes & polices. - continued

• DEQMS. DEQMS provides access to an expansive range of relevant legislative documents, policies, manuals, instructions, Australian Standards and internal processes & guidelines that apply through the project lifecycle. Note: some DEQMS content is only accessible via the intranet and not via the internet. Where possible the HOTO instructions have used internet links.

http://defence.gov.au/estatemanagement/lifecycle/default.asp

• PD / PM, Zone Representatives and EMOS (PSS). Project stakeholders can liaise with PD / PM, Zone Representatives and EMOS (PSS) staff to obtain information, address issues and answer queries. They can also stakeholder to identify applicable Product Directorates and SMEs.

• Product Directorates. Infrastructure Division (ID) and Service Delivery Division (SDD) have a broad range of Product Directorates that can provide stakeholders with Subject Matter Expert (SME) advice. Directorates are generally aligned to the E&IG services that include but not limited to: Estate Planning, Environment & Engineering, Estate Planning & Upkeep, Operations & Training Areas, Hospitality & Recreation Services to name a few. A list of E&IG Directorates can be found at:

http://drnet/eig/About/Pages/Directorates.aspx


http://defence.gov.au/estatemanagement/lifecycle/default.asp

http://drnet/eig/About/Pages/Directorates.aspx

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Additional HOTO information and related processes & polices. - continued

• Other SMEs. There are SMEs located in other Defence groups that can provide specialist product guidance and/or services. These include, but not limited to: – CIOG for ICT, DS&VS for security, JLC for Fuels & EO, GTE SPO for Airfield ATC, Communications & Navigation systems.

• The HOTO Project Lifecycle Criteria Instructions provide details of several SMEs. Project stakeholders can also liaise with the PD / PM, Zone representatives or PSS for assistance to identify and contact SMEs.

HOTO Review and Improvement• DEPU aim to review the HOTO documents (Checklist, Policy, Workflow and Training

package) every 12 months to fix errors, incorporate improvements and changed legislation / Policy / processes.

• All project stakeholders are encouraged to provide feedback to DEPU at:[email protected]


mailto:[email protected]

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Your feedback on additional training requirements and content would be appreciated.Please email your feedback to [email protected]

FINAL QUESTIONS?


mailto:[email protected]