Richard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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54. To ask the Minister for Public Expenditure and Reform the cost to date of remedial works to buildings commissioned by the OPW as design and build projects; and if he will make a statement on the matter. [46169/18]

Paschal Donohoe (Dublin Central, Fine Gael)
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To ask the Minister for Public Expenditure and Reform the costs to date of remedial works to buildings commissioned by OPW as Design and Build projects; and if he will make a statement on the matter.

Reply

There were two Design and Build Contracts, within the last 10 years to which the OPW was a party, involving remedial works.

1.Government Offices, Carricklawn, Wexford

A contract was placed in June 2007, in the sum of €20.9 million (including VAT) with Pierse Contracting Ltd (PCL) for the Department of Environment Decentralisation Building Project in Wexford. Practical Completion was achieved in March 2010 after protracted delays by PCL. PCL went into liquidation later that year.

A number of issues became known after practical completion and the OPW made a claim against the PCL Bond. The Bond is an insurance instrument required from the contractor by the OPW. The OPW settled the claim and the monies awarded were used to complete the remedial works programme.

The cost of the remedial works programme amounted to €1,583,286 of which €998,442 was funded by the PCL Bond award, the balance of €584,844 was paid by the OPW.

2.Department of Defence Offices, Station Road, Newbridge, Co. Kildare

The Contract was entered into with P. Elliott & Company Limited (PECL) in May 2008. The Contract Sum was €24.8 million (including VAT).Partial Practical Completion was achieved in September 2010.

A number of issues were apparent at practical completion and PECL carried out some remedial works as was their obligations under the design and build contract. PECL went into Receivership in May 2011. The OPW incurred costs of €597,157 of which €370,000 was met from retentions held by the OPW on the construction contract.