Housing costs ‘behind Fingal Council overspend’

Council chief executive says projected spend for year had now risen by more than half to more than €54m

Money was used to fund repairs to council houses before they were let to new tenants, window and door replacement, and the purchase of social houses
Money was used to fund repairs to council houses before they were let to new tenants, window and door replacement, and the purchase of social houses

Increased housing costs are the major reason why Fingal Co Council will overspend its capital budget this year, councillors have been told.

Council chief executive Paul Reid said the initial plan had been to spend just over €36 million on housing, libraries, coastal protection, purchase of sites for schools and development of visitor attractions at Malahide Castle and Newbridge Demense, among others.

But he said the projected spend for the year had now risen by more than half, to more than €54 million. The largest portion of that, more than €8 million, was due to increased housing costs.

The money was used to fund repairs to council houses before they were let to new tenants, window and door replacement, and the purchase of social houses.

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Mr Reid said repairs to a fire-damaged dwelling cost €120,000. Other repairs would cost €2.4 million, while upgrading windows and doors would cost €1.1 million.

However, money was saved in a number of areas, including capital spending on libraries, culture and sports, which came in at just over €5 million – a reduction on the planned figure of €9.7million.

Budget overruns

Mr Reid told members that the capital budget for waste management would overrun by about €1.3 million, parks and heritage by about €1 million, and economic development by about €3.5 million.

Over the next three years, from 2015 to 2017, the council will spend €93 million on 147 projects. Some 44 percent of this spend, about €40.7 million, is on housing.

In response to a question from Cian O’Callaghan (Ind), council officials said the council’s primary land banks were in the Donabate, Meakstown, Balbriggan and Skerries areas, with potential infill sites in Dublin 15. Officials said they were examining the suitability of each of their sites for social housing.

Mr O’Callaghan was also told the council would spend an additional €600,000 on economic development, to include €200,000 on kitchens at the Drinan Enterprise Centre, €100,000 on a business promotion scheme, and €85,000 on the formulation and printing of “a local economic and community plan”.

Sandra Kavanagh of the Anti-Austerity Alliance was told the council would receive €4.75 million under the Government’s local authority construction initiative. This would allow for the construction of 28 homes, officials said.