Oireachtas Joint and Select Committees

Tuesday, 13 July 2021

Public Accounts Committee

National Paediatric Hospital Development Board: 2019 Financial Statement (Resumed)

9:30 am

Photo of Seán SherlockSeán Sherlock (Cork East, Labour) | Oireachtas source

We do not have the main contractor or any of the subcontractors before us. We do not have the mechanical, electrical or lift contractors before us. We have to take everything Mr. Devine is saying at face value. I am trying to dig a little bit deeper on this. It seems to me the claims arise from variations made. Notwithstanding the line, which is well co-ordinated, that has been put forward to us today by the Department of Health and Mr. Gunning that external costs will drive this project well beyond whatever figure is to be determined and well beyond the initial costs and the stated public cost, there is also the issue that the development board, and I am trying to be as objective as possible, is part of the process of driving up costs because of the variations it is making. Is this a reasonable statement to make? Effectively, the main contractor is the postbox used for any subcontracting increases or variations. The witnesses explained what a variation or claim is. Where there are such variations to the order outlined, any mechanical, electrical or lift variations have to come from the subcontractor to the main contractor through that postbox to the board. Is this correct? Do I have that right or am I wrong?

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