ANNEX B

MEMORANDUM OF UNDERSTANDING FOR CSCSC


This Memorandum of Understanding entered into as of date of MOU establishes the basis of an understanding between the Commonwealth of Australia, hereinafter referred to as "the Commonwealth", and name of contractor , hereinafter referred to as "the Contractor", regarding the implementation and maintenance of management control systems conforming to the Australian Cost Schedule Control System Criteria as promulgated DEF(AUST) 5655.

WHEREAS, the Contractor has demonstrated certain management control systems and sub systems as identified and defined in the Project Management System Description dated date of document.

WHEREAS, the Commonwealth, by letter dated date of advice based on the demonstration review report dated date of report, did accept such systems and sub systems as compliant with the CSCSC.

NOW IT IS UNDERSTOOD that such systems and sub systems which have been validated as indicated above, together with approved changes thereto, shall continue to be used by the Contractor and shall apply to future contracts which may be entered into between the Contractor and the Commonwealth which by the terms of those contracts require compliance with the CSCSC; and

BE IT FURTHER UNDERSTOOD THAT:

(1) Contractor-proposed changes to those accepted systems and sub systems will be submitted to the applicable Project Authority for review; and for approval or disapproval by the Commonwealth.

(2) The Contractor will provide routine access to pertinent records and data in order to permit adequate surveillance of the systems and sub systems.

Nothing in this Memorandum of Understanding is intended by the parties to create binding legal obligations to enter into any agreement for the acquisition or supply of any goods or services (including any proprietary rights) or any other agreement whatsoever.

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Deputy Secretary
Acquisition & Logistics
date

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Chief Executive
Contractor
date