Chapter F14 Administration and professional services

F14.2 Administration and professional services

Introduction

The Land Transport Management Act 2003 (LTMA) makes a distinction between:

• administration activities
• professional services
• other costs.

Output-based agreements with in-house professional services business units and contracts for network and professional services must clearly identify the separation of these activities.

Reference: For detail about procurement procedures relating to administration activities and professional services, see Chapter E3 Procurement.

Administration not included in project cost

Administration activities are not included in project costs for NZTA funding purposes. Funding assistance for administration is provided separately for each activity class, as an on-cost of the total allocation to the organisation.

Professional services are included as project or activity costs, within the work category for the construction/implementation work (except for activity classes 8 and 9 - for detail, see Chapter F7 Maintenance and operation of roads).

Administration activities

Activities are defined as administration activities for purposes of procurement and financial support.

Administration activities include:

• approving, administering and monitoring activity management plans, policy and standards, risk and levels of service
• owning management systems and databases
• managing a land transport disbursement account
• preparing and administering funding assistance claims, long-term council community plans (LTCCPs), annual plans, longer-term programmes, and communications plans and strategies
• administering a database of tenderers
• reporting and providing data and information to the NZTA, Audit NZ, etc
• preparing and administering service agreements or contracts with professional services providers (internal and external)
• accepting tenders for professional services and physical works
• undertaking financial processes, management accounting and reporting
• developing and operating land transport business support systems
• meeting statutory responsibilities, including audit fees and tax advice fees
• administering registration of bus, ferry and rail passenger transport services and Total Mobility agencies, services and users
• servicing democracy, including providing customer/ratepayer interface.

Note: Any administration activity must be related to land transport.

Professional services

Professional services are technical inputs to an approved activity undertaken by persons skilled in fields relevant to that activity. Professional services include the following:

Activity	Examples
Investigation and evaluation	preparing contracts and evaluating tenders for works and services, except professional services investigating and resolving public enquiries related to activity planning, investigation, design and delivery activity evaluation (data collection, outcome evaluation, submission of activity-specific information to the NZTA) gathering information for activity management systems risk identification
Consulting	activities for inclusion in regional land transport programmes (RLTPs) road condition information contract dispute resolution services property management services consulting landowners and affected parties legalising existing transport corridors
Management	activity delivery Total Mobility services and Total Mobility users activities with community groups building and resource consents
Planning and strategies	safety management strategies environmental management strategies asset/activity management plans project management plans education activities
Reporting	project feasibility reports project development reports contracts reports (eg activity-based contracts and physical works contracts) report on the physical condition and performance of the land transport system and its components, including assets

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