Super-school campus costs soar to £60m
Councillors are set to agree to spend a further £6m on Maybole Community Campus after it was revealed costs have rocketed to £60m.
South Ayrshire Council Leadership Panel will be asked to increase the £52.86m budget set for the campus to £59.33m next week.
Councillors will consider money saving options such as removing a second £3.34m all weather pitch, a wind turbine and a multi-use games area from the plans.
South Ayrshire Council leader Peter Henderson revealed that the new build - which will consist of a replacement for Carrick Academy, Cairn, Gardenrose and St. Cuthbert’s primary schools and an early years facility - was to rise by at least £5m earlier this month.
The proposed increase in costs will also increase the money the council pays in borrowing charges by around £400,000 a year.
A report to the Leadership Panel said: “The supply of materials to the construction industry is under severe pressure resulting in longer lead in times, higher prices and price volatility.
“Material shortages are said to be the result of a number of compound factors: Covid-19 has affected supply.”
These include issues with the supply chain due to global demand shocks, container shortages and port delays, and construction demand rises in the second half of 2020.
The increased paperwork at UK ports post Brexit has a been a factor along with ‘sharp rises in shipping costs and temporary surcharges’.
The report continues: “The costs for the Maybole Campus Project have risen by a substantial amount over the past six months.”
The campus also focuses on community and sports uses, including a swimming pool.
The responsibility for the development will go to the procurement partnership HubSW, with Morgan Sindall the primary contractor.
South Ayrshire Council will then be responsible for running the facility after handover, including janitation, cleaning and catering and all future maintenance.
The Scottish Government supports the project via its Learning Estate Investment Programme.
This provides around half of the costs, including the building and running of the campus - a total of £35.4m. Most of this will be made to the council on a yearly basis.
However, the council would see this reduced if it doesn’t meet a number of conditions related to satisfactory upkeep, energy use targets, internet access and provision of jobs.
The report states: “It should be noted that, in the event that these outcomes are not achieved then the level of funding may be reduced.”