17.4Are providers expected to amortise the cost of establishment across the contract period and meet through operational period funding? And is there any guidance on the quantum of establishment funding that will be covered for different regions?
The funding amounts outlined in the Pricing Response Schedules relate to the available funding in each Service Area for LAC Services or ECEI Services respectively. Establishment Funds have not been provided for in the funding amounts outlined.
Applicants are required to indicate their estimate of their establishment costs, and cost types, in the relevant Pricing Response Schedule.
It is expected that Applicants will, to the extent possible, make use of existing premises, staff, networks and relationships to minimise the need for Establishment Funds. (Refer to clause 2.10 in the Statement of Requirements as an example of this.)
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