Escalating costs mean more money must be sought for Burtonport development

It’s emerged escalating costs on a major development project in Burtonport mean Donegal County have had to apply for more money to complete the work.

Responding to a Dail question from Deputy Thomas Pringle, Rural and Community Development Minister Heather Humphries says just over €2,065,000 was approved for Phase Two of the Burtonport project from the Rural Regeneration and Development Fund.

Minister Humphries `says her understanding is that the cost of the project has significantly increased since the funding was approved in principle, and a request for additional funding for the project has been submitted to the Department by Donegal County Council, which is leading the works.

Minister Humphries says officials from the Department are currently reviewing the case for additional funding for the project, and will be engaging further with Donegal County Council in the coming weeks as the request for more money is being considered.

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Answer in full-

Question Number(s)341 Question Reference(s): 13480/24
Department: Rural and Community Development
Asked by: Thomas Pringle T.D.
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QUESTION

To ask the Minister for Rural and Community Development when the money will be granted for phase 2 of the project to complete the works at the Pier at Ailt á Chorráin, County Donegal; the amount that will be granted for the works; and if she will make a statement on the matter.

REPLY

The Rural Regeneration and Development Fund (RRDF) provides funding for the development and construction of capital projects in towns, villages and rural areas across
To date, 215 projects have been approved for RRDF funding of €414 million for projects costing €571 million.
Projects which emerge as successful from calls for applications to the Fund are initially approved for funding in principle and then progress through a further comprehensive approval process before the final confirmation of funding is provided by my Department. At each stage of this approval process, the project is reviewed by my Department to ensure it continues to meet its stated objectives, including financial sustainability.
It is open to project lead parties to make a case to the Department for additional funding in exceptional circumstances if the cost of the project increases.  Any request for additional funding is examined on a case by case basis by my Department.
The Burtonport Phase 2 project was approved for RRDF funding of €2,065,75.
I understand that the cost of the project has significantly increased since the project was approved for funding in principle and a request for additional funding for the project has been submitted to my Department by the lead party, Donegal County Council.
My Department is currently reviewing the case for additional funding for the project and will be engaging further with Donegal County Council as the request is being considered in the coming weeks.

 

Burtonport, Redevelopment, Plan, Green Light, Highland Radio, News, Letterkenny, Donegal

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