Issue - meetings

The Council considered the urgent report of the Interim Director of Resources reporting a shortfall in the budget for the St. Cedds House and Car Park Project.  The report also sought Members’ approval for a supplementary estimate of £39,000 for the capital project, of which £10,000 related to a contingency sum allowed for within the contract. 

It was noted that this matter had been brought for urgent consideration as a decision was required on this matter prior to the next meeting of the Finance and Corporate Services Committee on account of the imminent completion of the contract and therefore the final accounts, once agreed, would require settlement.

The report provided detailed information regarding the project, including the current budget shortfall, project costs and contingency provision.  Members were advised that the Interim Director of Resources would be submitting a further report on the project to a future meeting of the Finance and Corporate Services Committee.

A number of comments were made regarding management of the Council’s contracts with some Members expressing the need for the Council to employ a dedicated contracts manager. 

In response to further questions the Chief Executive and Leader of the Council advised when they had been made aware of the overspend relating to this contract.

RESOLVED

(i)        that the reasons for the requirement to seek a supplementary estimate for this capital project be noted;

(ii)       that in order for the Council to meet its contractual obligation, for the capital project for the relocation of the tenants from the former St. Cedds House to the Council Offices building, demolition of St. Cedds House and the formation of the car park of a supplementary estimate £39,000 which includes a contingency sum of £10,000 be approved.  In approving this recommendation the Council will also be approving the use of the Department for Work and Pensions grant monies for meeting the cost of any contingency items;

(iii)      that a report be submitted to the Finance and Corporate Services Committee on 31 January 2017 on the reasons and the analysis leading up to the need to seek this approval.

Prior to closing the meeting, the Chairman invited all present to join him for refreshments after the meeting and wished everyone a very Happy Christmas.