House of Representatives Committees

| Parliamentary Joint Committee on Public Works

Navigation: Previous Page | Contents | Next Page

Chapter 3 Proposed fit-out of new leased premises for the Australian Taxation Office at the site known as 55 Elizabeth Street, Brisbane, Queensland

3.1                   The Australian Taxation Office (ATO) currently leases office space across two building buildings in the Brisbane CBD. The proposed project aims to consolidate these two sites into a single building.

3.2                   The proposal will also provide the ATO with greater business operational efficiencies and significant improvement in the standard of accommodation for its staff. The building will also meet mandatory Commonwealth policies including a minimum 4.5 star NABERS rating as well as allowing the ATO to proactively manage space allocation to meet guidelines prescribed in the recently endorsed Commonwealth Property Management Framework.

3.3                   The lease over one of the two existing buildings will expire in June 2013, with the other site set to expire early in 2014. It is proposed that the new office accommodation will be in place to meet the expiring lease in 2013.

3.4                   The estimated cost of the project is $33.1 million.

3.5                   The proposal was referred to the Committee on 2 June 2011.

Conduct of the inquiry

3.6                   The Committee received one submission and one confidential supplementary submission detailing the project costs. A list of submissions can be found at Appendix A.

3.7                   The Committee undertook a site inspection, public hearing and an in-camera hearing on the project costs on 8 August 2011 in Brisbane.

3.8                   The transcript of the public hearing as well as the submissions to the inquiry are available on the Committee’s website.[1] Plans for the proposed works are detailed in Submission 1: Australian Taxation Office.

Need for works

3.9                   The ATO is currently located in three leased premises in the Brisbane CBD. The proposal is to lease and fit out a building that offers co-location of staff from Terrica Place and Emirates House into a single site. Co-location will give the ATO the opportunity to implement more collaborative work practices, uniformity of workspace and administrative efficiencies.[2]

3.10               The leases on Terrica Place and Emirates House are due to expire on 28 February 2014 and 30 June 2013, respectively.

3.11               The existing leases are below the expected NABERS rating of 4.5 stars, and do not meet the Commonwealth Property Management Guidelines density target of 16m2 per occupied workpoint.[3]

3.12               The Committee finds that there is a need for the proposed works.

Scope of works

3.13               The proposal is to fit-out 18,500 square metres of office space over approximately 14 floors. The fit-out would include:

3.14               The building design and fit out will enable the ATO considerable flexibility to meet its ever-changing accommodation requirements. This will be achieved through:

Cost of works

3.15               The total estimated out-turn cost for this project is $33.1 million (excluding GST). The Committee received a confidential supplementary submission detailing the project costs and held an in-camera hearing with the ATO on those costs.

3.16               The Committee is satisfied that the costings for the project provided to it are adequate.

Committee comment

3.17               Overall, the Committee is satisfied that this project has merit in terms of need, scope and cost.

3.18               Having examined the purpose, need, use, revenue and public value of the work, the Committee considers that it is expedient that the proposed works proceed.

Recommendation 2


The Committee recommends that the House of Representatives resolve, pursuant to Section 18 (7) of the Public Works Committee Act 1969, that it is expedient to carry out the following proposed work: Proposed fit-out of new leased premises for the Australian Taxation Office at the site known as 55 Elizabeth Street, Brisbane, Queensland.