Dáil Éireann Debate, Tuesday - 29 January 2013
358. Deputy Mary Lou McDonald asked the Minister for Public Expenditure and Reform when he will begin holding meetings with the various industry stakeholders about the review of the Government form of construction contracts; the industry stakeholders that he proposes to invite to these meetings; the expected timeframe for the review; and if he will make a statement on the matter. [3825/13]
View answerFixed-price lump-sum public works contracts were developed during the last decade. The standardised contracts were introduced as a significant reform measure in the construction area in 2007 on foot of a Government decision in 2004 to deal with significant cost overruns on public works projects. The main objectives of this reform initiative are cost certainty at tender stage; better value for money; and more efficient delivery of public works projects.
A commitment was given to the Construction Industry Federation (CIF) in 2006 by the Minister for Finance at that time that a review would be conducted by the Government Contracts Committee for Construction (GCCC) at an appropriate time when adequate experience had been obtained in the use of the new contracts by contracting authorities. Consideration was given to a review in 2010 but at the time it was agreed that insufficient numbers of contracts had reached final account stage to provide material for a review. I am satisfied that sufficient projects have now reached agreed final account stage to conduct a review of the performance of the contracts. The CIF’s most recent request for a review is currently being considered. The arrangements about which the Deputy is enquiring will be decided shortly.
