Eamon Scanlon (Fianna Fail)

As Senator Finucane's comments show, cost overruns is a hot issue at the moment. My understanding is that local authorities act as agents of the State in arranging contracts. I personally know the man involved in the contract in Limerick. The job was slow because he had to wait for the geological survey reports, which he needed, as does every other contractor, to price it. The company has done a great deal of good work in the State but, because of the attitude of officials of Limerick Corporation, he was prepared to settle for €15 million. The corporation would not discuss the issue with him and the case has gone to arbitration, which could cost the State €50 million. It is deplorable that such a scenario should arise because an attitude was adopted and issues were not discussed. Many problems relating to cost overruns on projects occur because people will not listen.