acknowledgement of country · 14/12/2017 · business case template benefit cost ratio (etc above...

Acknowledgement

of Country

“We acknowledge and pay

respect to the Widjabal

people of the Bundjalung

Nation on whose Land

we meet”.

1

Stage two information session and webinar

Lismore Regional Gallery

14 December 2017

Cultural Infrastructure Program Management Office

Slide 1: Welcome

2

— Create in NSW: Arts Cultural Policy Framework Developing a sustainable and resilient cultural sector, equitable distribution of resources, investment and support for Western Sydney and regional NSW

— State Priorities Increase cultural participation by 15%; Building infrastructure

— State Infrastructure Strategy Update 2014 Need for a standardised cultural investment framework and a broader cultural infrastructure strategy

— Regional Development Framework Quality services and infrastructure in regional NSW; supporting growing regional centers; activating economic potential

Session planSession Topic Start

timeDuration

1 General information on stage two 12:30 30 min

2 Applications with ETC below $250,000 13:05 45 min

3 Applications with ETC above $250,000 13:55 35 min

The plan for today is:1. To make sure you know what’s required in your stage 2 application, and2. Where to find the information you need

The PowerPoint is broken into sessions:

Session 1 ‐ General will be covering topics for every applicant (from slide 4) Session 2 – Specifically for those with an Estimated Total Cost below $250,000 (from slide 18) Session 3 – is specifically for applicants with an Estimated Total Cost above $250,000 (from slide 39)

Just a reminder that we will be referring to the resources sent out to you via email, so keep them handy. The resources can also be easily downloaded from the Regional Cultural Fund website.

3

General information sessionFor all stage two applicants :

1. Application categories

2. Application forms

3. Timelines

4. Assessment process

5. Support and where to find information

Got a question? Please email [email protected] Webinar Question in the subject line

The main takeaway is that you understand what is required of you, when it’s required by and how to seek help when you need it.

4

Risk $

Project A Project B

Amount requested from RCF

Amount requested from RCF

ETC$1M

Risk profileThe Estimate Total Cost to deliver the project determines the risk profile

ETC$1M

The risk level for both projects is the same even though the amount requested from the RCF is different

Other funding

Other funding


Categories for stage two have changed. Applications are measured by your project’s Estimated Total Cost (ETC). NOT the amount you have requested from the Regional Cultural Fund.

The reason for this is that ETC is a more accurate representation of the size of your project and the risk it poses to NSW Government as the funding body.

Note: While you may only be asking for $200,000 from the Regional Cultural Fund but your project’s total cost is $1 million, you bare the same risk as a project asking for $700,000 towards a $1million project.

5

Application categoriesCategories are now based on the Estimate Total Cost to deliver the project

Estimate Total Cost (ETC)Total cost to deliver your project

ETC above $250,000

ETC below $250,000


Stage two will have two categories• Above $250,000 ETC • Below $250,000 ETC

These categories determine what you need to deliver as part of your stage two application and what it’s assessed against.

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Application requirementsEstimate Total Cost determines the application requirements

ETC above $250K

Business case templateBenefit cost ratio (ETC above $5M only)

ETC below $250K

Project plan template


Applications with ETC above $250K will need to complete the business case. This will be covered in session 3. (from slide 39)

There are some resources to help you. They’ll be on our website.• Business Case template and completed example• Business Case Guidelines • An instructional video

The Regional Cultural Fund is 1 of 6 funds under the Regional Growth Fund.Please note the Regional Growth Fund contacts and process instructions in the business case guidelines and video do not apply to you. The Regional Cultural Fund inbox and phoneline are your contacts for your application and your first port of call for any questions.Some have already completed a business case and might like to submit that. Applicants are advised to make sure it covers all requirements as outlined on page 1 of the Business Case Guidelines.

Also please note that projects with an ETC above $5M will need to provide a Treasury compliant BCR. (We will be in touch with these applicants separately to provide further guidance).

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Applications with ETC below $250K will need to complete the:• Project Plan template (this includes a budget template)• And provide supporting documents. This will be covered in Session 2. (from slide 18)

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How much detail?The level of detail required for applications is proportional to the amount requested

The information required for

the application increases as

the ETC increases

ETC $

Level of detail required in the stage two application


While we’ve made two categories based on increased fairness, a principle of proportionality still stands.

Meaning, the more expensive your project is, the higher risk it poses. Therefore, the more detail you should provide in your application.

That said, proportionality is not a precise science but it is a way of making the process fair for all applicants.

The assessors will take the Estimated Total Cost (ETC) and risk of a project into account when assessing applications and compare that with the detail you have provided.

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TimelinesTimelines for stage two applications submission and assessment

1 3 4

Applicants advised of stage one outcome

Applications due 3 April 2018

Stage two now open

Announcementsfrom mid 2018

2 4


The timeline for submission of this material has been extended to allow appropriate time to complete this further information.

The processing time for the applications was delayed significantly as the volume of applications received was far more than anticipated.

To ensure you have sufficient time to complete a quality application in stage two, it was important to extend the time frame.

Further information will now be due 3 April 2018 with an announcement to be made in approximately mid‐2018.

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Regional Cultural Fund objectivesSummary of the RCF objectives

Regional communities have access to cultural experiences that result in recreational and educational benefits

Projects representing value for money and strong ongoing viability are supported

Regional NSW’s cultural offering is improved and its rich diversity is supported and encouraged

Bold and exciting new and upgraded cultural infrastructure is supported across NSW


This slide shows the Regional Cultural Fund objectives ‐ You may recognise these from the EOI guidelines.

Just FYI to let you know in sessions 2 and 3 we’ll make a few references to these.

Understanding the objectives is the first step in the stage 2 assessment process.

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Stage two assessment criteriaAll applications will be assessed against the four assessment

criteria

CASE FOR CHANGE

CAPACITY TO

DELIVER

ENGAGEMENT AND REACH

VALUE FOR

MONEY

Criteria 1 Criteria 2

Criteria 3 Criteria 4


This slide shows the 4 assessment criteria. You might recognise some these from the EOI process. Here they’ve been refined to get to the point on what’s expected in stage 2 applications.

Key point – all criteria are equally weighted – so in order to be most competitive you need to be strong in all criteria. For example you can’t just have a good idea, you need a realistic budget, prove you’re able to deliver it and have your community’s support demonstrated.

The proportionality concept also applies here.

A single panel will assess all applications, each one will receive a score and be ranked based on their score.

The list will determine which applications receive funding based on the amount of funding available.

Just a reminder – don’t worry too much about how good other applications might be –just focus on making your application the best it can be, and we’re here to support you in that process.

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Regional Cultural Fund – assessment guidance for stage two applicants with ETC below $250,000

Assessment criteria

Case for change

Assessment criteria ETC < $250K applicants must show:

1Will the proposed project, on completion, achieve the RCF objectives and fulfil the identified need(s)?

Will the proposed project, on completion deliver social and economic benefits?

• An immediate and continuing need for the proposed project deliverables (the case for change)

• The proposed project aligns with the Regional Cultural Fund’s priorities and objectives.

• Alternative ways of meeting the need have been considered

• Social and economic impacts of the project have been outlined and considered as contributing to the RCF objectives

Capacity to deliver

2Have key activities required to ensure a successful project (resource, time, risk and process management) been addressed to the appropriate degree?

• Roles, responsibilities and accountabilities have been allocated to project team members

• The proposed project schedule and milestones appear achievable and contingency allowances are justifiable.

• Major risks have been identified, assessed and any actions to avoid or mitigate risks are considered.

Value for money

3

Are there sufficient or appropriate resources allocated to deliver the project?

Will the expenditure of these resources provide value for money?

• All costs throughout the life of the project have been identified, quantified (where possible), validated and included in the analysis.

• Assumptions underlying the analysis are clearly articulated.

• The ongoing feasibility of the project has been considered and shown to be viable.

• A reasonable contingency management approach with sufficient contingency allowances to cover risk management strategies.

• All opportunities for co‐funding have been maximised

4Has the community support for the project been demonstrated?

Are regional communities confident of enduring recreational and educational benefits?

• Community support for the project

• That stakeholder views have been considered in developing the project

• Key stakeholders have been identified, and their opinions reviewed and documented

• Recreational and educational benefits for the community

Engagement and reach


This slide shows the assessment criteria and checklist for projects with an ETC below $250,000.

The points on the right side outline what the assessors will be looking for as they read your application.

Use this as a checklist to make sure your applications cover all the necessary areas.

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Regional Cultural Fund – assessment guidance for stage two applicants with ETC above $250,000

Assessment criteria

Case for changeWill the proposed project, on completion, achieve the RCF objectives and fulfil the identified need(s)?

Will the proposed project, on completion deliver social and economic benefits?

Assessment criteria ETC > $250K applicants must show:

1

Capacity to deliverHave key activities required to ensure a successful project (resource, time, risk and process management) been addressed to the appropriate degree?

2

Value for moneyAre there sufficient or appropriate resources allocated to deliver the project?

Will the expenditure of these resources provide value for money?

3

4Engagement and reachHas the community support for the project been demonstrated?

Are regional communities confident of enduring recreational and educational benefits?

• An immediate and continuing need for the proposed project deliverables (the case for change)

• The proposed project aligns with the Regional Cultural Fund’s priorities and objectives.

• Alternative ways of meeting the need have been considered

• Social and economic impacts of the project have been outlined and considered as contributing to the RCF objectives

• Roles, responsibilities and accountabilities have been allocated to project team members

• The proposed project schedule and milestones appear achievable and contingency allowances are justifiable.

• Major risks have been identified, assessed and any actions to avoid or mitigate risks are considered.

• Appropriate expertise for the project team has been identified and is available.

• All project costs have been identified, quantified (where possible), validated and included in the analysis.

• Assumptions underlying the analysis are clearly articulated.

• The ongoing feasibility of the project has been considered and shown to be viable.

• A reasonable contingency management approach with sufficient contingency allowances to cover risk management strategies

• All opportunities for co‐funding have been maximised

• Community support for the project

• That stakeholder views have been considered in developing the project

• Key stakeholders have been identified, and their opinions reviewed and documented

• Recreational and educational benefits for the community

• The scope, scale and requirements of the project have been properly identified and are realistic, clear and unambiguous.

• A comprehensive assessment and analysis of all reasonable, feasible alternative means of meeting the need.

• Criteria for measuring the success of the project, and the benefits to be delivered have been defined, quantified and target dates assigned for achievement of benefits and successful project delivery.

• Project risks are visible at the appropriate level of management with responsibility for risk monitoring and management assigned to a suitable project team member.

• Responsibility has been assigned for the management and reporting of benefits to be delivered by the proposal.

• Capability and capacity to establish and manage the proposed project governance structure identified in the proposal

• Appropriate analysis has been undertaken i.e. a financial and/or economic appraisal. The CBA supports the recommended option and the ongoing feasibility has been considered and is shown to be viable.

• Analysis of a range of alternative options (including a realistic base case) has been undertaken. The alternatives are reasonable and offer a similar level of service delivery

• Expected benefits have been identified, quantified and validated. They are considered realistic and most likely to be achieved in the specified timeframe

• A strategy for managing stakeholder expectations and communications with stakeholders has been developed

• A strategy for measuring the extent to which the community agrees that recreational and educational benefits have been created


This slide shows the assessment criteria and checklist for projects with an ETC above $250,000

This checklist includes all items for ETC below $250,000 and additional items in the second column.

This reflects the additional level information required for higher ETC projects.

Once again make sure your application covers each of these points.

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Accessing the information you needAll support material will be available online

Log into SmartyGrants

Download application forms

templates

Submit application in SmartyGrants

Review support material

Complete templates

and upload in SmartyGrants

12

3

4 5


Just like the expressions of interest phase, we will be using Smarty Grants to manage your application.

You will soon receive an email notifying you that a new form has been added to your application. This will include instructions on how to access the form.

The new form has a few simple questions, confirming some information from your original application.

Where the fields are the same, that information has been pre‐filled from your EOI application. Feel free to edit this information.

If the amount you’re requesting, or the total project cost has changed significantly, please include an explanation why.

Note: Your application was progressed on its current scope and unless otherwise directed by the panel, you cannot alter that scope. Please call us if you feel like you need to.

Use the Smarty Grants form to upload your business case and other support documents.

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Ongoing supportThe Cultural Infrastructure Program Management Office (CIPMO) will provide support for all applicants similar to stage one

Phone and email support from the CIPMO team

Weekly updates

Teleconferences


Teleconferences – from February we will run a series of teleconferences based on what you need to know.

Note: Please email any questions or ideas you may have for teleconference topics to [email protected]

Weekly Updates – will start in the New Year.

Note: If you would like to see anything different or extra in the weekly updates, please email [email protected]

Phone and Email Support will be available.

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Get in touchPlease contact us with any questions you might have

• Phone 02 8283 6575

• Email [email protected]

• Office closure 22 December to 8 January


Our office will be closed between Friday 22 December and Monday 8 January. Please feel free to leave a message or send an email and we will get back to you when we return.

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Question timePlease contact us with any questions you might have

Those joining via webinar please

email [email protected] with

Webinar Question in the subject line

17

Information session for projects with an ETC below $250,000This session will review the application form for projects with ETC under $250K:

1. Project plan overview

2. Case for change

3. Capacity to deliver

4. Value for money

5. Engagement and reach


Commencing at 13:05pm

In the session we will be walking through the Project Plan template that was developed for this category. This will include the budget template that forms part of your project plan.

Note: We’re not asking you to reinvent the wheel. Your project has been progressed because your application was sound, so large changes are not needed.

Stage Two is about bringing that information together and better articulating its need and how it will be delivered.

Much of the information used in your EOI will be relevant in your project plan.

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Reference material for this sessionAll support material is available online

Budget templateProject plan template

Assessment guidance


Throughout this session we will be referring to these documents:• Project plan template• Budget template • Assessment guidelines.

So please have them handy if possible, as it will assist in understanding.

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Using the project planThe benefits of using the project plan as a framework

Project PlanA tool to

communicate your ideas to other people

A framework to convert your vision

into reality


The project plan is:• Not only for the assessment panel to understand and score your project

• Its also a tool for you to plan your project

You should be referring back to your plan during planning and delivery to keep track and make sure your project is delivered successfully.

All applicants have an opportunity for success in stage 2 – the quality of your plan will determine how your application scores.

20

Project plan - section oneAssessment guidance


The case for change is essentially selling your idea and why it needs to happen.

The response here should identify how the proposed project, on completion, will:• achieve the RCF objectives and fulfil the identified needs and• deliver social and economic benefits

Make sure your response to this section covers all the points listed in the assessment guidelines to ensure your response meets the requirements.

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Making your case for changeCommunicating how your project aligns with the RCF strategy to support the realisation of benefits for NSW

Case for change

Goal statement Strategic alignment

Alternative approaches

What do you plan to achieve?

SMART objectives

How would this contribute to the RCF objectives?

Is there another way to do it?


Case for change includes:• the goal statement • The strategic alignment, and • alternative approaches

The goal statement defines the scope – what your project would deliver and for what cost.

Ideally the first paragraph should be a 30 second summary – the pitch you might use to ‘sell’ your project if you only had a few moments to persuade the reader to invest in your idea. This is sometimes called an executive summary.

Identifying your objectives are an important part of your plan. The SMART methodology describes on the next slide can be used to help you identify your objectives.

22

Making your case for changeCommunicate how your project aligns with the RCF strategy to support the realisation of benefits for NSW

Specific

Measurable

Achievable

Relevant (to the RCF objectives)

Timebound

S

M

A

R

T


Objectives need to be short and sharp. The SMART framework can help make sure your objectives cover what needs to be said.

Specific – not vague, get straight to the point

Measurable – state the success criteria or how you’ll know the objective has been met i.e. goal to build more gallery space – the objective might be to provide you community a space to display work of local artists to raise their profile. The success criteria might be that X people attend annually, Y local artists are involved and $Z revenue increase.OTHER Example is measuring community perception of benefit ‐ this might be done via a survey asking satisfaction levels.

Achievable – be realistic i.e. don’t be overly optimistic about revenue from sales.

Relevant – make sure you tie the objective in with the Regional Cultural Fund objectives.

Timebound – set a date ‐ when the objective should be achieved. Allow contingency for busy periods or holidays i.e. end of financial year, Christmas etc.

23

Making your case for changeCommunicating how your project aligns with the RCF strategy to support the realisation of benefits for NSW

Case for change

Goal statement Strategic alignment

Alternative approaches

What do you plan to achieve?

SMART objectives

How would this contribute to the RCF objectives?

Is there another way to do it?


Strategic Alignment relates to Section 1.2 in the project plan template.

Start with what the current situation is, or base case. This should outline the problem you’re trying to fix i.e. unsafe facilities, inability to attract artists / performances or something to that effect.

Once the base case is established, describe how your project will meet the need or gap that currently exists in the community.

Draw all this together by outlining how your project aligns with the Regional Cultural Fund objectives and other state Government or Local Government priorities, plans or strategies. Your councils community strategic plan is also a great resource.

This section is also an opportunity to highlight the social and economic impacts of the project.

Note: The information you provided in Criteria One through the EOI process will be relevant in this section.

Alternative approaches relates to Section 1.3 in the project plan template.

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Here you need to assure assessors that your project is the best way to achieve your objectives.

Briefly outline other options that could deliver the same objectives and the reasons that these options have been rejected in favour of your project.

E.g. We considered two other types of air‐conditioning systems but found that the one selected provided the best value for money and achieves the level of climate control needed in a modern art gallery.

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Project plan – section twoAssessment guidance


In this section you’ll need to show the assessors that you:

• Know all the work that needs to be done to deliver your project

And

• You’ve done the planning and are ready to deliver your project

This section is similar to Criteria 3 from the EOI process but here its more detailed as we’d like a few more things confirmed.

25

Project milestonesDefine and sequence key activities to be undertaken to deliver the

project

Sequence activities

Estimate how long it

will take

Estimate resourcesDefine activities


The first section is on milestones. This is where you prove to the assessors that you understand the work involved.

The sequencing and duration are critical here.

Also ‐ you need to give sufficient detail ‐ for example don’t use a single milestone where a series of milestones would give assessors a better understanding.

Make sure you check that the estimated cost used here reflects your budget at section 3.

The milestone costs need to be accurate as possible – these may be used to govern payments if your application is successful.

Also this milestone plan should be a realistic work schedule you could use to keep your project on track.

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Project benefitsList all expected benefits and identify who the beneficiaries are including the type and expected timing for realisation


This section is an opportunity to justify why your project should receive funding. List all benefits that will be created as a result of the project.

Think of benefits that are more than the ones direct to your audience or organisation, what are the broader or in‐direct benefits of your projects.

Wherever possible quantify benefits in dollars and the number of people included in a beneficiary group.

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liklik

Project risksIdentify, assess and describe any actions to avoid or mitigate risks to your project

M H H E E

M M H H E

L M M H E

L M M H H

L L M M H

1 2 3 4 5

Likelih

ood

Impact

Rare

UnlikelyModerate

Likely

Alm

ost

Certain

1

2

3

4

5

Insignificant Minor Moderate Major Catastrophic


Managing risks is sometimes called maximising good luck and minimising bad luck

This is where you show assessors that you’ve thought about the risks that could impact your project and possible ways to avoid or manage the risk.

Strong risk management goes a long way to giving assessor confidence that you can deliver the project.

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Non-financial assumptionsItems needed to achieve the objectives of the project aside from funding

Examples include• Planning approvals

• Other grants

• Decisions of council / board

• Heritage considerations


Non‐financial assumptions are basically the things you need beyond the RCF to make your project happen.

29

Governance arrangementsList all individuals and groups that will provide guidance, authority, input and support to your project


Now we come to Governance – this is the last section in Capacity to Deliver.

So here you need to outline your governance arrangements – in other words who will be doing what for your project.

This section should tell assessors the role of each person involved and what they are responsible for. If there is a steering committee or board they should be included.

This has a practical application too since this would be used to advise who to contact for different types of information.

There are 2 mandatory roles to included – these are the project manager and cost approver.

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Project plan – section threeAssessment guidance


The Value for Money response at Section 3 is where you demonstrate that you:• Have allocated sufficient resources to deliver your project and• Can manage costs to ensure your project represents value for money.

Once again please ensure your response to this section covers all the points listed in the assessment guidelines to ensure your response meets the requirements.

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Budget templateThis may be downloaded from SmartyGrants and from the RCF website


This is where you tell the assessors:

• What is costs to deliver your project

And

• How you estimated the cost – including contingency allowances and inflation

The key objective here is to make assessors feel confident that:

• You have a strong understanding of the full cost and

• That you can control costs during delivery of your project.

You also need to show that your project is viable in the long term. Assessors will not score this criteria well if you don’t show viability.

So make sure your give a thorough and accurate analysis of ongoing operational costs.

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Project plan – section fourAssessment guidance


Here you should demonstrate:• Your community’s support for the project, and• Your community’s confidence in the recreational and educational benefits expected

as a result of the project.

E.g. Your local school uses the facility so you would be in regular contact with the principal about the projects progress.

Once again please make sure your response to this section covers all the points listed in the assessment guidelines to ensure your response meets the requirements.

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Community Engagement and ReachDemonstrate your community’s support for the project and how you plan to keep stakeholders informed


The purpose of the communication plan is to identify the people that could impact or be impacted by the project and engage them. Aim to: • keep them informed; • manage their expectations; and • ensure that their involvement is as positive and beneficial as possible.

Ensuring the timely and appropriate planning, collection, creation, distribution, and monitoring of project information.

34

Community Engagement and ReachDemonstrate your community’s support for the project and how you plan to keep stakeholders informed

Stakeholders support and agree on the

expected benefits

Show the recreational

and educational

benefits

Demonstration of Community Support

Consideration of community

and stakeholder

views


The response to section 4.2 Community Support should show:• community/stakeholder views have been considered in developing the project (key

stakeholders are identified, consulted and their opinions incorporated into plans) • expected recreational and educational benefits for the community as result of

delivering your project• the community/stakeholders support the project and agree on the expected benefits

The response from your EOI application and any previous letters of support may form the basis of your response here. Applicants are recommended to provide evidence of support from as many stakeholder groups as possible.

Examples of evidence include (but are not limited to):o letters of support from any stakeholders (we want to hear from your

community why your project needs to be funded)o confirmation letters for financial or in‐kind supporto petitionso surveyso public consultationo newspaper articleso visitor feedback formso Facebook comments/reviews

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Weekly updates

Teleconferences


Now just a quick reminder that we’ll haveTeleconferencesWeekly UpdatesPhone and Email Support will be available

36


• Phone 8283 6575 • Email [email protected]



Don’t hesitate to get in touch

37





38

Information session for projects with an ETC above $250,000This session will review the application form for projects with ETC over $250K:

1. Business case overview

2. Case for change

3. Analysis of the proposal

4. Implementation case


Commencing at 13:55pm

In this session, we’ll walk you through the business case template and familiarise with the key concepts.

There are four sections in the Business Case Template • Executive Summary • Case for Change• Analysis of the Proposal• Implementation

39

Reference material for this sessionAll support material is available online

RCF assessment guidance

Business case template

Business Case Guidelines

SampleBusiness Case


Key documents we will be referring to are the:• Business case template• Business case guidelines and• RCF assessment guidelines

Note: These will all be available on the regional cultural fund website.

I know many of you will have already completed a business case.

Note: You are not required to use our template, you may submit your own business case. However, you must be certain it addresses all the assessment criteria.

Before starting your business case, if you haven’t already, we strongly advise you to watch the instructional video on the Regional Growth Website. It steps through every section of the business case template and should answer every question.

Our session today will try and fill any gaps the video has, put things in a cultural context and also explain how parts of your previous application work in here.

Using the business case template

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In addition to the instructional video and the business case guidelines, there are handy tips in blue boxes throughout the document. You should read these before filling out that section and make sure they’re all deleted before submitting.

40

Business case template overview

:

Mapping the Business Case Template to the four assessment criteria

Assessment criteria Application section

Case for change Section 1, 2.1‐2.4 and 3.1‐3.4

Capacity to deliver Section 4

Affordability value for money Section 3.5‐3.9

Engagement and reach Section 2.5


This table matches the assessment criteria with the sections in the business case template.

41

Using the business case templateThe business case provides a framework for applicants to demonstrate the merit and deliverability of their proposed project

Business case

Show your capacity to

deliver the project

Prove the investment is

warranted


The Business Case is all about how to present your project in the best light. It’s a framework to:

• Prove the worth of your project

• Show you have the skills to deliver the project

Business cases give Government a way to identify which projects will make the biggest impact for NSW.

As we walk through the template keep in mind that the business case is also a planning document to help you find the best way to deliver your project.

42

Business case development processProjects with ETC above $250K will need to complete the Business Case

Template

Developingthe business

case

Planning and getting

started

Preparing the case for

change

Analysing the proposal

Preparing for

implementation


The process shown here is reflected in the way the template is structured.

1. Planning2. Why your project is needed3. How you are going to deliver it successfully

There’s an example business case on the website. This project is around $300,000 so this is about the baseline level of detail needed in your business case.

Information given here doesn’t need to be lengthy. Some guiding principles to use are that info should be:

• Succinct – get straight to the point

• Evidence based – support your claims with evidence i.e. quotes for the budget, letters of support to show the needs

• Lastly showcase your ideas – make sure you prove to the assessors the worth of your project

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Section 1: Executive SummaryOutline of your proposal

a few moments to persuade the reader to invest in yo

idea.

The short version of the full

business case

The pitch you might use to ‘sell’ your

project if you only had a few moments to

persuade the reader to invest in your idea.

Executive Summary


This is essentially a short version of what’s in your business case and should capture all the key points.

The executive summary will be the first thing anyone reads which makes it important as it will set the tone for the whole business case.

Hot tip is to write this after you’ve completed the rest of your business case.

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Section 2: Case for ChangeProvide any background information that will help the assessor understand the context for the proposal

HINT: Avoid assumptions

of any prior knowledge

from the Expression of

Interest applicationAnalysis of

the Proposal

Case for Change

Implementation Case


Section 2.1 Background information • The first part of establishing the case for change is putting your project in context.

• Provide key details and statistics about your town, organisation, locations etc.

• Avoid assumptions that the reader has any prior knowledge.

• However, make sure this information is relevant to your project.

E.g. Assessors don’t want to read a 41page history on your organisation, they want just enough to understand the importance of your project to your organisation and the importance of your organisation to your region.

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Section 2: Case for ChangeDemonstrate the need for your project and that it delivers the RCF objectives

Establish the link (your project) and how it aligns with the RCF objectives

Where you want to beRealisation of expected outcomes

Where you are nowWhy change is needed


This relates to Sections 2.1‐2.4. The logical progression you want assessors to get from this part is:

• Why change is needed – (your community’s strong need for this project)• How this change aligns with the fund’s objectives and • What the outcomes would be for your project.

Discuss how delivering your project would deliver the Regional Cultural Fund objectives – so referring back to our objectives you need to say how your project would e.g. improve the region’s cultural offering or how your project represents value for money.

Other government objectives you could reference include:• State/premier’s priorities• Regional and local plans etc.

Lastly outline the expected outcome from your project – the future state, where you want to be.

Do this in quantitative terms as much as possible – e.g. a 5% increase in visitors or revenue etc. Also make sure you say who the beneficiaries are.

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Some material from your EOI application for criteria 1 may be relevant here.

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Section 2.5: Community & Stakeholder supportCommunicating how your project aligns with the RCF strategy to support the realisation of benefits for NSW

• Ensure your response addresses all points in the assessment guidance for applicants

• You may like to use a communication plan table in your analysis similar to the example below


Applicants need to demonstrate broad support for their proposals and show how they will actively manage potential issues arising with stakeholders.

Important to remember this section is weighted the same as the other sections and if not done well could really drag your score down.

Think outside the box, community support doesn’t just mean letters, it could be petitions, newspaper articles, reviews, even a bake sale etc.

The use of a communication plan similar to the table shown above may be helpful here.

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Section 3.1: Objectives & Indicators Demonstrate that your project offers value for money and is affordable considering the alternatives


Key problem/issue Key proposal objective Key success indicator

Increase community participation and attendance at events beyond current levels

X number of additional attendees

In this section applicants need to demonstrate that their proposal offers the best value for money.

Within section 3.1, applicants need to identify the key issues in the current situation, this is like establishing the problem you’re trying to fix.

Then list the objectives or desired changes to be brought about by your project. These should be linked to the issues they are addressing from column one.

Lastly applicants should define the success indicators or measures used to track whether the outcomes were achieved and to what degree.

E.g. Key problem/issue Low attendance Key proposal objectiveIncreased gallery space Key success indicator Measure attendance

To help you develop your success indicators, refer to the SMART methodology.

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Specific

Measurable

Achievable

Relevant (to the RCF objectives)

Timebound

S

M

A

R

T

SMART Objectives Demonstrate that your project offers value for money and is affordable considering the alternatives


Objectives need to be short and sharp. The SMART framework can help make sure your objectives cover what needs to be said.

Specific – not vague, get straight to the point

Measurable – state the success criteria or how you’ll know the objective has been met i.e. goal to build more gallery space – the objective might be to provide you community a space to display work of local artists to raise their profile. The success criteria might be that X people attend annually, Y local artists are involved and $Z revenue increase.OTHER Example is measuring community perception of benefit ‐ this might be done via a survey asking satisfaction levels.

Achievable – be realistic i.e. don’t be overly optimistic about revenue from sales.

Relevant – make sure you tie the objective in with the Regional Cultural Fund objectives.

Timebound – set a date ‐ when the objective should be achieved. Allow contingency for busy periods or holidays i.e. end of financial year, Christmas etc.

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Section 3: Analysis of the ProposalDemonstrate that your project offers value for money and is affordable considering the alternatives

The ‘status quo’ state without the proposed project. This is the baseline for assessing the merits of the project

Section 3.2: The Base Case

Section 3.3: Other Options

Considered

Section 3.4: Information about the Proposal

Demonstrate that a range of options that would meet the proposal objectives were considered

Describe exactly what is and is not being delivered by the proposal


Section 3.2 ‐ Applicants should describe the base case or the status quo’. This will be the baseline for assessing the merits of your project against alternatives.

Section 3.3 ‐ Describe alternative ways of achieving the same objectives. E.g. Alternative locations, higher / lower quality options; different timeframesThe purpose of this section is to assure assessors that your project is the best way to achieve your objectives.

Section 3.4 ‐ Describe exactly what is and is not being delivered by the proposal.The response here should:• Define all of the work that needs to be done to achieve the project objectives • Identify any exclusions • Highlight any related projects/work (hint: address these is the risk analysis)

E.g. The description of the works proposed should include: • Location • Quantifiable details including area/length, capacity etc. • Relevant design standards • Property purchases required • Major adjustments to existing infrastructure required.

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Section 3.5: Projected Cost

Cost estimates should include:• Base costs• Contractor margins• Project management

margins• Contingency

Demonstrate that your project offers value for money and is affordable considering the alternatives


This is where you tell the assessors:

• What is costs to deliver your project

and

• How you estimated the cost – including contingency allowances and inflation

The key objective here is to make assessors feel confident that:

• You have a strong understanding of the full cost and

• That you can control costs during delivery of your project.

You also need to show that your project is viable in the long term. Assessors will not score this criteria well if you don’t show viability.

So make sure your give a thorough and accurate analysis of ongoing operational costs.

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Section 3.6 Cost Benefit AnalysisDemonstrate that your project offers value for money and is affordable considering the alternatives

List all expected benefits and identify who the beneficiaries are including the type and expected timing for realisation


Cost benefit analysis seeks to assess the economic, social and environmental benefits and costs over the lifetime of a proposal. Applicants will need to identify all benefits for the proposal and alternative options.

There are two key elements to the Cost Benefit Analysis• Identifying benefits and the costs (listing them)• Benefit cost ratio or BCR– which is quantifying the costs (putting a dollar value) and

working out the net present value of your project.

Note: Most applicants will only have to complete the first element which is identifying the benefits of your project and listing them out. There is a great example of this in the sample business case.

Projects over $5 million ETC – must ensure your CBA is compliant with NSW Treasury Guidelines which requires calculating your project’s Benefit Cost Ratio – there are only 6 projects that fall into this category so we will work with you to ensure you understand what’s required.

For most of you this is a relatively simple section to complete and is real opportunity to show off the broad benefits of your project.

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If you’re not required to complete a BCR then your benefits do not need to have a dollar value assigned to them, however it is a great way of demonstrating benefit so include it if you can.

I just want to point out something in the template: it says there that the department will complete the BCR for you. This is an instruction for the other regional growth funds which required a BCR to be able to be funded. That is not the case for the Cultural Fund, so a BCR is only required for projects over $5million and it will need to be completed yourself.

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Section 3: Analysis of the ProposalDemonstrate that your project offers value for money and is affordable considering the alternatives

Provide the rational for the ongoing cost estimates provided in the budget

Section 3.7: Financial Appraisal

Section 3.8 Proposed Funding

Arrangements

Section 3.9 Financial Health

and Support

Outline how the proposal will be funded, including how much funding is being requested from the RCF

Demonstrate whether the projected revenues will cover the whole‐of‐life costs of the proposal


Now this section relates back to your budget figures

Here you’ll need to explain different aspects of your budget ‐ you need to prove how robust your budget is

At section 3.7 you need to show the assessors that the cost estimates you’ve provided are sound.

At section 3.8 you need outline how you will fund your project and your ongoing operating and maintenance costs. This is where you need to show that you’ve maximised all co‐investment opportunities – this was also communicated for the EOI stage.

At section 3.9 you need to show the financial health or your organisation to operate into the future. Demonstrating ongoing viability is a key requirement.

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Section 4.1 Program & Milestones Applicants must demonstrate that they have the capacity, capability and experience to deliver their proposals through robust controls


In this section, you will outline the key events and decision points associated with their proposal.

The milestone, sequencing and estimated duration are crucial to demonstrating that you’ve thought of all the steps and activities needed to deliver your project.

The estimated costs should correspond to the timing of costs in the budget. These milestones need to be as accurate as possible since these may be used to govern payments received if you’re successful.

The milestone table should be a realistic work schedule that would be used to manage progress so that the project finishes on time and within budget.

It would be preferable to include costs of the milestones in the table so feel free to add an additional column here.

The program should demonstrate that the proposal and its milestones are achievable.

Milestones may be used in the contracting phase.

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Section 4.5 Risk ManagementProvide a Risk Management Plan addressing key risks

Section 4.4 Legislative, Regulatory Issues and Approvals Identify any regulatoryapprovals

Section 4.2 Governance

Showcase project teams’ experience and skills to deliverand manage the proposal

Section 4.3 Key Risks

Demonstrate a rigorous risk assessment has been undertaken

Section 4: Implementation CaseApplicants must demonstrate that they have the capacity, capability and experience to deliver their proposals through robust controls


At section 4.2 you need to explain who is involved in the project and outline the roles and responsibilities. This is an opportunity to highlight the skills and experience in your project team. You might like to provide CVs to show that the team has a track record and strong capability to deliver this type of project.

The next 3 sections are all about risk.

At section 4.3 show assessors that you have done a thorough assessment of all risks.

At section 4.4 cover any legal issues, if regulatory oversight is needed or if there are approvals needed. Make sure these are covered at section 4.5 where you should provide a risk management plan proving your thorough planning and ability to manage risks to your project.

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Weekly updates

Teleconferences


A reminder that further support will be offered throughout stage two.

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• Phone 8283 6575 • Email [email protected]



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Stage two information session and webinar

Lismore Regional Gallery

14 December 2017

Cultural Infrastructure Program Management Office

Slide 1: Welcome

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acknowledgement of country · 14/12/2017 · business case template benefit cost ratio (etc above...

Documents