The Facilities Management Agreement is a critical document used when engaging professional services for the comprehensive management and maintenance of facilities in Australia. This agreement is essential when a property owner, corporation, or institution requires outsourced facility management services, covering aspects such as building maintenance, cleaning, security, space management, and operational support. The document establishes the legal and operational framework for service delivery, incorporating Australian regulatory requirements, industry standards, and best practices. It is particularly vital for organizations seeking to ensure professional management of their facilities while maintaining compliance with Australian workplace safety, environmental, and building regulations. The agreement typically includes detailed service specifications, performance metrics, pricing structures, and risk allocation mechanisms, making it suitable for various facility types from commercial buildings to institutional complexes.
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1. Parties: Identification of the facility owner/client and the facilities management service provider
2. Background: Context of the agreement, facility details, and purpose of the engagement
3. Definitions and Interpretation: Defined terms, rules of interpretation, and hierarchy of documents
4. Term and Extension: Duration of the agreement, renewal options, and extension conditions
5. Services: Detailed scope of facilities management services to be provided
6. Service Provider's Obligations: Key responsibilities, performance standards, and compliance requirements
7. Client's Obligations: Access provisions, information sharing, and client responsibilities
8. Fees and Payment: Payment terms, fee structure, expenses, and invoicing requirements
9. Performance Management: KPIs, performance monitoring, reporting requirements, and review processes
10. Staff and Subcontractors: Requirements for personnel, subcontractor management, and key staff provisions
11. Work Health and Safety: Safety obligations, risk management, and compliance requirements
12. Insurance and Liability: Required insurance coverage, liability limits, and indemnities
13. Default and Termination: Events of default, termination rights, and consequences of termination
14. Transition and Exit: Handover requirements and transition assistance obligations
15. General Provisions: Standard boilerplate clauses including notices, governing law, and dispute resolution
1. Environmental Management: Include when specific environmental compliance or sustainability requirements apply
2. Security Services: Include when security services are part of the scope
3. Asset Management: Include when the provider is responsible for asset lifecycle management
4. Energy Management: Include when energy efficiency and utilities management are key requirements
5. Innovation and Continuous Improvement: Include when seeking ongoing service improvements and innovations
6. Disaster Recovery and Business Continuity: Include for critical facilities requiring specific continuity planning
7. Technology and Systems: Include when specific facility management systems or technology are required
8. Change Management: Include when significant facility changes or upgrades are anticipated
1. Schedule 1 - Service Specifications: Detailed breakdown of all services, service levels, and frequency
2. Schedule 2 - Fee Schedule: Detailed pricing, payment structure, and fee adjustment mechanisms
3. Schedule 3 - Performance Standards and KPIs: Specific performance metrics, measurement methods, and targets
4. Schedule 4 - Site Information: Facility details, plans, and specific site requirements
5. Schedule 5 - Staff Requirements: Required positions, qualifications, and experience levels
6. Schedule 6 - Equipment and Assets: List of equipment, maintenance requirements, and asset registers
7. Schedule 7 - Reporting Requirements: Required reports, formats, and submission timeframes
8. Schedule 8 - Forms and Templates: Standard forms for reporting, requests, and communications
9. Appendix A - Emergency Procedures: Emergency response procedures and contact information
10. Appendix B - Compliance Requirements: Specific regulatory and compliance obligations
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