❓ A WA parliamentary question seeks details on Multiplex's obligations regarding delegate numbers and economic impact for the new convention centre, including potential penalties for underperformance and delegate origin segmentation. The Minister's response clarifies that economic impact, not delegate numbers, is the key performance indicator, with penalties for failing to meet targets.
AnsweredQoN 557Legislative Assembly
QuestionView source ↗
(2) How many convention delegates does Multiplex have to attract to the new convention centre in each of the ten years after the convention centre is completed and declared open? (3) What is the estimated economic impact for Western Australia of that number of convention delegates? (4) Is it true that if the company falls short of the number of delegates for three consecutive years, the entire facility reverts to the State? (5) In assessing the number of convention delegates, is the company required to differentiate between delegates that come from- (a) outside the metropolitan area; (b) outside the metropolitan area but from a location where it is possible to return home each day; (c) in Western Australia but where it is impractical for delegates to return home each night; and (d) delegates from outside of Western Australia? (6) What is the total number of delegates from- (a) outside the metropolitan area; and (b) outside Western Australia, that the company has to attract to the convention centre each year for the first ten years of its operation? Answered on 10 October 2000 The Minister
AnswerView source ↗
Answered
10 October 2000
Response time
54 days
(1) Yes. The premise of the article was that if Multiplex failed to achieve set targets for three consecutive years, the entire facility would revert to the State. The editorial then detailed Multiplex's commitment to attract economic impact to Western Australia worth $2 billion over 10 years from convention delegates. (2) The performance criterion that the Multiplex consortium is measured on is economic impact rather than that of delegate numbers. The economic impact variable is derived from the number of delegates (as classified into the international and interstate segments) multiplied by delegate expenditure. As such, the following Key Performance Indicator (KPI) regime has been established for the preferred provider of the Perth Convention and Exhibition Centre: - A hurdle of $100m per annum economic impact (by year three) - A target of $200m per annum economic impact (by year three) over the ten year period making a total economic impact of $2 billion. The outlined KPI's will be reviewed on an annual basis. (3) The estimated economic benefit of the convention and exhibition centre over a ten-year period will be $2 billion. (4) If Multiplex fails to meet the hurdle KPI's in three successive years, an event of default will be said to have occurred. An event of default gives the State step in rights to resume part or whole possession of the leased premises. A $1 million marketing fund will be established, and failure to meet the hurdle KPI's in any year will trigger the expenditure of the marketing fund to secure additional business. The amount of expenditure required from the marketing fund will be in direct proportion to the shortfall in the relevant KPI. (5) The KPI regime focuses on Multiplex targeting new business which is national and international based. No state based business counts towards achieving the economic impact agreed under this regime. Hence, differentiation as based on (a) outside the metropolitan area, (b) outside the metropolitan area but from a location where it is possible to return home each day and (c) in Western Australia but where it is impractical for delegates to return home each night, is not used in the segmentation process. As noted in paragraph (1) of this question, emphasis is placed on international visitation as a segmentation variable. (6) As noted in question (5), economic impact as generated from intrastate sources is not considered in assessing the financial viability of the convention and exhibition centre. As part of the KPI criterion of the hurdle of $100m per annum economic impact (by year three) being met, there is the stipulation that Multiplex must generate new business equivalent to 6,000 international and 12,000 national delegates. Based on an Economic Impact Assessment (Net Benefit to WA) 2007, Multiplex have forecast that over 1 million people will be attending either conventions, exhibitions, corporate and private functions by the fifth year of operation (2007) increasing to 1.25 million by year 9 (2011).
(3) What is the estimated economic impact for Western Australia of that number of convention delegates? (4) Is it true that if the company falls short of the number of delegates for three consecutive years, the entire facility reverts to the State? (5) In assessing the number of convention delegates, is the company required to differentiate between delegates that come from- (a) outside the metropolitan area; (b) outside the metropolitan area but from a location where it is possible to return home each day; (c) in Western Australia but where it is impractical for delegates to return home each night; and (d) delegates from outside of Western Australia? (6) What is the total number of delegates from- (a) outside the metropolitan area; and (b) outside Western Australia, that the company has to attract to the convention centre each year for the first ten years of its operation? Answered on 10 October 2000 The Minister Replied: (1) Yes. The premise of the article was that if Multiplex failed to achieve set targets for three consecutive years, the entire facility would revert to the State. The editorial then detailed Multiplex's commitment to attract economic impact to Western Australia worth $2 billion over 10 years from convention delegates. (2) The performance criterion that the Multiplex consortium is measured on is economic impact rather than that of delegate numbers. The economic impact variable is derived from the number of delegates (as classified into the international and interstate segments) multiplied by delegate expenditure. As such, the following Key Performance Indicator (KPI) regime has been established for the preferred provider of the Perth Convention and Exhibition Centre: - A hurdle of $100m per annum economic impact (by year three) - A target of $200m per annum economic impact (by year three) over the ten year period making a total economic impact of $2 billion. The outlined KPI's will be reviewed on an annual basis. (3) The estimated economic benefit of the convention and exhibition centre over a ten-year period will be $2 billion. (4) If Multiplex fails to meet the hurdle KPI's in three successive years, an event of default will be said to have occurred. An event of default gives the State step in rights to resume part or whole possession of the leased premises. A $1 million marketing fund will be established, and failure to meet the hurdle KPI's in any year will trigger the expenditure of the marketing fund to secure additional business. The amount of expenditure required from the marketing fund will be in direct proportion to the shortfall in the relevant KPI. (5) The KPI regime focuses on Multiplex targeting new business which is national and international based. No state based business counts towards achieving the economic impact agreed under this regime. Hence, differentiation as based on (a) outside the metropolitan area, (b) outside the metropolitan area but from a location where it is possible to return home each day and (c) in Western Australia but where it is impractical for delegates to return home each night, is not used in the segmentation process. As noted in paragraph (1) of this question, emphasis is placed on international visitation as a segmentation variable. (6) As noted in question (5), economic impact as generated from intrastate sources is not considered in assessing the financial viability of the convention and exhibition centre. As part of the KPI criterion of the hurdle of $100m per annum economic impact (by year three) being met, there is the stipulation that Multiplex must generate new business equivalent to 6,000 international and 12,000 national delegates. Based on an Economic Impact Assessment (Net Benefit to WA) 2007, Multiplex have forecast that over 1 million people will be attending either conventions, exhibitions, corporate and private functions by the fifth year of operation (2007) increasing to 1.25 million by year 9 (2011).
(4) Is it true that if the company falls short of the number of delegates for three consecutive years, the entire facility reverts to the State? (5) In assessing the number of convention delegates, is the company required to differentiate between delegates that come from- (a) outside the metropolitan area; (b) outside the metropolitan area but from a location where it is possible to return home each day; (c) in Western Australia but where it is impractical for delegates to return home each night; and (d) delegates from outside of Western Australia? (6) What is the total number of delegates from- (a) outside the metropolitan area; and (b) outside Western Australia, that the company has to attract to the convention centre each year for the first ten years of its operation? Answered on 10 October 2000 The Minister Replied: (1) Yes. The premise of the article was that if Multiplex failed to achieve set targets for three consecutive years, the entire facility would revert to the State. The editorial then detailed Multiplex's commitment to attract economic impact to Western Australia worth $2 billion over 10 years from convention delegates. (2) The performance criterion that the Multiplex consortium is measured on is economic impact rather than that of delegate numbers. The economic impact variable is derived from the number of delegates (as classified into the international and interstate segments) multiplied by delegate expenditure. As such, the following Key Performance Indicator (KPI) regime has been established for the preferred provider of the Perth Convention and Exhibition Centre: - A hurdle of $100m per annum economic impact (by year three) - A target of $200m per annum economic impact (by year three) over the ten year period making a total economic impact of $2 billion. The outlined KPI's will be reviewed on an annual basis. (3) The estimated economic benefit of the convention and exhibition centre over a ten-year period will be $2 billion. (4) If Multiplex fails to meet the hurdle KPI's in three successive years, an event of default will be said to have occurred. An event of default gives the State step in rights to resume part or whole possession of the leased premises. A $1 million marketing fund will be established, and failure to meet the hurdle KPI's in any year will trigger the expenditure of the marketing fund to secure additional business. The amount of expenditure required from the marketing fund will be in direct proportion to the shortfall in the relevant KPI. (5) The KPI regime focuses on Multiplex targeting new business which is national and international based. No state based business counts towards achieving the economic impact agreed under this regime. Hence, differentiation as based on (a) outside the metropolitan area, (b) outside the metropolitan area but from a location where it is possible to return home each day and (c) in Western Australia but where it is impractical for delegates to return home each night, is not used in the segmentation process. As noted in paragraph (1) of this question, emphasis is placed on international visitation as a segmentation variable. (6) As noted in question (5), economic impact as generated from intrastate sources is not considered in assessing the financial viability of the convention and exhibition centre. As part of the KPI criterion of the hurdle of $100m per annum economic impact (by year three) being met, there is the stipulation that Multiplex must generate new business equivalent to 6,000 international and 12,000 national delegates. Based on an Economic Impact Assessment (Net Benefit to WA) 2007, Multiplex have forecast that over 1 million people will be attending either conventions, exhibitions, corporate and private functions by the fifth year of operation (2007) increasing to 1.25 million by year 9 (2011).
(5) In assessing the number of convention delegates, is the company required to differentiate between delegates that come from- (a) outside the metropolitan area; (b) outside the metropolitan area but from a location where it is possible to return home each day; (c) in Western Australia but where it is impractical for delegates to return home each night; and (d) delegates from outside of Western Australia? (6) What is the total number of delegates from- (a) outside the metropolitan area; and (b) outside Western Australia, that the company has to attract to the convention centre each year for the first ten years of its operation? Answered on 10 October 2000 The Minister Replied: (1) Yes. The premise of the article was that if Multiplex failed to achieve set targets for three consecutive years, the entire facility would revert to the State. The editorial then detailed Multiplex's commitment to attract economic impact to Western Australia worth $2 billion over 10 years from convention delegates. (2) The performance criterion that the Multiplex consortium is measured on is economic impact rather than that of delegate numbers. The economic impact variable is derived from the number of delegates (as classified into the international and interstate segments) multiplied by delegate expenditure. As such, the following Key Performance Indicator (KPI) regime has been established for the preferred provider of the Perth Convention and Exhibition Centre: - A hurdle of $100m per annum economic impact (by year three) - A target of $200m per annum economic impact (by year three) over the ten year period making a total economic impact of $2 billion. The outlined KPI's will be reviewed on an annual basis. (3) The estimated economic benefit of the convention and exhibition centre over a ten-year period will be $2 billion. (4) If Multiplex fails to meet the hurdle KPI's in three successive years, an event of default will be said to have occurred. An event of default gives the State step in rights to resume part or whole possession of the leased premises. A $1 million marketing fund will be established, and failure to meet the hurdle KPI's in any year will trigger the expenditure of the marketing fund to secure additional business. The amount of expenditure required from the marketing fund will be in direct proportion to the shortfall in the relevant KPI. (5) The KPI regime focuses on Multiplex targeting new business which is national and international based. No state based business counts towards achieving the economic impact agreed under this regime. Hence, differentiation as based on (a) outside the metropolitan area, (b) outside the metropolitan area but from a location where it is possible to return home each day and (c) in Western Australia but where it is impractical for delegates to return home each night, is not used in the segmentation process. As noted in paragraph (1) of this question, emphasis is placed on international visitation as a segmentation variable. (6) As noted in question (5), economic impact as generated from intrastate sources is not considered in assessing the financial viability of the convention and exhibition centre. As part of the KPI criterion of the hurdle of $100m per annum economic impact (by year three) being met, there is the stipulation that Multiplex must generate new business equivalent to 6,000 international and 12,000 national delegates. Based on an Economic Impact Assessment (Net Benefit to WA) 2007, Multiplex have forecast that over 1 million people will be attending either conventions, exhibitions, corporate and private functions by the fifth year of operation (2007) increasing to 1.25 million by year 9 (2011).
(b) outside the metropolitan area but from a location where it is possible to return home each day; (c) in Western Australia but where it is impractical for delegates to return home each night; and (d) delegates from outside of Western Australia?
(c) in Western Australia but where it is impractical for delegates to return home each night; and (d) delegates from outside of Western Australia?
(d) delegates from outside of Western Australia?
(b) outside Western Australia, that the company has to attract to the convention centre each year for the first ten years of its operation?
that the company has to attract to the convention centre each year for the first ten years of its operation?
(3) What is the estimated economic impact for Western Australia of that number of convention delegates? (4) Is it true that if the company falls short of the number of delegates for three consecutive years, the entire facility reverts to the State? (5) In assessing the number of convention delegates, is the company required to differentiate between delegates that come from- (a) outside the metropolitan area; (b) outside the metropolitan area but from a location where it is possible to return home each day; (c) in Western Australia but where it is impractical for delegates to return home each night; and (d) delegates from outside of Western Australia? (6) What is the total number of delegates from- (a) outside the metropolitan area; and (b) outside Western Australia, that the company has to attract to the convention centre each year for the first ten years of its operation? Answered on 10 October 2000 The Minister Replied: (1) Yes. The premise of the article was that if Multiplex failed to achieve set targets for three consecutive years, the entire facility would revert to the State. The editorial then detailed Multiplex's commitment to attract economic impact to Western Australia worth $2 billion over 10 years from convention delegates. (2) The performance criterion that the Multiplex consortium is measured on is economic impact rather than that of delegate numbers. The economic impact variable is derived from the number of delegates (as classified into the international and interstate segments) multiplied by delegate expenditure. As such, the following Key Performance Indicator (KPI) regime has been established for the preferred provider of the Perth Convention and Exhibition Centre: - A hurdle of $100m per annum economic impact (by year three) - A target of $200m per annum economic impact (by year three) over the ten year period making a total economic impact of $2 billion. The outlined KPI's will be reviewed on an annual basis. (3) The estimated economic benefit of the convention and exhibition centre over a ten-year period will be $2 billion. (4) If Multiplex fails to meet the hurdle KPI's in three successive years, an event of default will be said to have occurred. An event of default gives the State step in rights to resume part or whole possession of the leased premises. A $1 million marketing fund will be established, and failure to meet the hurdle KPI's in any year will trigger the expenditure of the marketing fund to secure additional business. The amount of expenditure required from the marketing fund will be in direct proportion to the shortfall in the relevant KPI. (5) The KPI regime focuses on Multiplex targeting new business which is national and international based. No state based business counts towards achieving the economic impact agreed under this regime. Hence, differentiation as based on (a) outside the metropolitan area, (b) outside the metropolitan area but from a location where it is possible to return home each day and (c) in Western Australia but where it is impractical for delegates to return home each night, is not used in the segmentation process. As noted in paragraph (1) of this question, emphasis is placed on international visitation as a segmentation variable. (6) As noted in question (5), economic impact as generated from intrastate sources is not considered in assessing the financial viability of the convention and exhibition centre. As part of the KPI criterion of the hurdle of $100m per annum economic impact (by year three) being met, there is the stipulation that Multiplex must generate new business equivalent to 6,000 international and 12,000 national delegates. Based on an Economic Impact Assessment (Net Benefit to WA) 2007, Multiplex have forecast that over 1 million people will be attending either conventions, exhibitions, corporate and private functions by the fifth year of operation (2007) increasing to 1.25 million by year 9 (2011).
(4) Is it true that if the company falls short of the number of delegates for three consecutive years, the entire facility reverts to the State? (5) In assessing the number of convention delegates, is the company required to differentiate between delegates that come from- (a) outside the metropolitan area; (b) outside the metropolitan area but from a location where it is possible to return home each day; (c) in Western Australia but where it is impractical for delegates to return home each night; and (d) delegates from outside of Western Australia? (6) What is the total number of delegates from- (a) outside the metropolitan area; and (b) outside Western Australia, that the company has to attract to the convention centre each year for the first ten years of its operation? Answered on 10 October 2000 The Minister Replied: (1) Yes. The premise of the article was that if Multiplex failed to achieve set targets for three consecutive years, the entire facility would revert to the State. The editorial then detailed Multiplex's commitment to attract economic impact to Western Australia worth $2 billion over 10 years from convention delegates. (2) The performance criterion that the Multiplex consortium is measured on is economic impact rather than that of delegate numbers. The economic impact variable is derived from the number of delegates (as classified into the international and interstate segments) multiplied by delegate expenditure. As such, the following Key Performance Indicator (KPI) regime has been established for the preferred provider of the Perth Convention and Exhibition Centre: - A hurdle of $100m per annum economic impact (by year three) - A target of $200m per annum economic impact (by year three) over the ten year period making a total economic impact of $2 billion. The outlined KPI's will be reviewed on an annual basis. (3) The estimated economic benefit of the convention and exhibition centre over a ten-year period will be $2 billion. (4) If Multiplex fails to meet the hurdle KPI's in three successive years, an event of default will be said to have occurred. An event of default gives the State step in rights to resume part or whole possession of the leased premises. A $1 million marketing fund will be established, and failure to meet the hurdle KPI's in any year will trigger the expenditure of the marketing fund to secure additional business. The amount of expenditure required from the marketing fund will be in direct proportion to the shortfall in the relevant KPI. (5) The KPI regime focuses on Multiplex targeting new business which is national and international based. No state based business counts towards achieving the economic impact agreed under this regime. Hence, differentiation as based on (a) outside the metropolitan area, (b) outside the metropolitan area but from a location where it is possible to return home each day and (c) in Western Australia but where it is impractical for delegates to return home each night, is not used in the segmentation process. As noted in paragraph (1) of this question, emphasis is placed on international visitation as a segmentation variable. (6) As noted in question (5), economic impact as generated from intrastate sources is not considered in assessing the financial viability of the convention and exhibition centre. As part of the KPI criterion of the hurdle of $100m per annum economic impact (by year three) being met, there is the stipulation that Multiplex must generate new business equivalent to 6,000 international and 12,000 national delegates. Based on an Economic Impact Assessment (Net Benefit to WA) 2007, Multiplex have forecast that over 1 million people will be attending either conventions, exhibitions, corporate and private functions by the fifth year of operation (2007) increasing to 1.25 million by year 9 (2011).
(5) In assessing the number of convention delegates, is the company required to differentiate between delegates that come from- (a) outside the metropolitan area; (b) outside the metropolitan area but from a location where it is possible to return home each day; (c) in Western Australia but where it is impractical for delegates to return home each night; and (d) delegates from outside of Western Australia? (6) What is the total number of delegates from- (a) outside the metropolitan area; and (b) outside Western Australia, that the company has to attract to the convention centre each year for the first ten years of its operation? Answered on 10 October 2000 The Minister Replied: (1) Yes. The premise of the article was that if Multiplex failed to achieve set targets for three consecutive years, the entire facility would revert to the State. The editorial then detailed Multiplex's commitment to attract economic impact to Western Australia worth $2 billion over 10 years from convention delegates. (2) The performance criterion that the Multiplex consortium is measured on is economic impact rather than that of delegate numbers. The economic impact variable is derived from the number of delegates (as classified into the international and interstate segments) multiplied by delegate expenditure. As such, the following Key Performance Indicator (KPI) regime has been established for the preferred provider of the Perth Convention and Exhibition Centre: - A hurdle of $100m per annum economic impact (by year three) - A target of $200m per annum economic impact (by year three) over the ten year period making a total economic impact of $2 billion. The outlined KPI's will be reviewed on an annual basis. (3) The estimated economic benefit of the convention and exhibition centre over a ten-year period will be $2 billion. (4) If Multiplex fails to meet the hurdle KPI's in three successive years, an event of default will be said to have occurred. An event of default gives the State step in rights to resume part or whole possession of the leased premises. A $1 million marketing fund will be established, and failure to meet the hurdle KPI's in any year will trigger the expenditure of the marketing fund to secure additional business. The amount of expenditure required from the marketing fund will be in direct proportion to the shortfall in the relevant KPI. (5) The KPI regime focuses on Multiplex targeting new business which is national and international based. No state based business counts towards achieving the economic impact agreed under this regime. Hence, differentiation as based on (a) outside the metropolitan area, (b) outside the metropolitan area but from a location where it is possible to return home each day and (c) in Western Australia but where it is impractical for delegates to return home each night, is not used in the segmentation process. As noted in paragraph (1) of this question, emphasis is placed on international visitation as a segmentation variable. (6) As noted in question (5), economic impact as generated from intrastate sources is not considered in assessing the financial viability of the convention and exhibition centre. As part of the KPI criterion of the hurdle of $100m per annum economic impact (by year three) being met, there is the stipulation that Multiplex must generate new business equivalent to 6,000 international and 12,000 national delegates. Based on an Economic Impact Assessment (Net Benefit to WA) 2007, Multiplex have forecast that over 1 million people will be attending either conventions, exhibitions, corporate and private functions by the fifth year of operation (2007) increasing to 1.25 million by year 9 (2011).
(b) outside the metropolitan area but from a location where it is possible to return home each day; (c) in Western Australia but where it is impractical for delegates to return home each night; and (d) delegates from outside of Western Australia?
(c) in Western Australia but where it is impractical for delegates to return home each night; and (d) delegates from outside of Western Australia?
(d) delegates from outside of Western Australia?
(b) outside Western Australia, that the company has to attract to the convention centre each year for the first ten years of its operation?
that the company has to attract to the convention centre each year for the first ten years of its operation?
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