finance chiefs have already advised that majority of all capital spending projects should go ahead
Councillors to rule on future building works for city
Published:
Councillors in Aberdeen will today rule on the future of more than £17million worth of public building works planned for the city.
A review of all city council capital spending projects will be considered at today’s budget monitoring board meeting, but finance chiefs have advised that the majority should go ahead.
Marischal College’s controversial £80.4million conversion into the city council’s new headquarters has been secured, after it emerged the council is legally committed to spending £11.1million on the project this year.
City Chamberlain Susan Cooper said: “The review identified projects that were legally committed and the council therefore has no choice but to continue with, which totals £68.6million.
“The remainder of the projects are not legally committed and potentially could be deferred or further reviewed and these projects total £17.1million.”
She added, however, that if all of these projects were deferred, the maximum saving to the overspent revenue account would be £500,000, as a result of the authority having to pay fewer capital financing charges.
The authority is already implementing £50million of cuts from its revenue budget.
Ms Cooper has recommended that Aberdeen’s long-awaited 50-metre swimming pool goes ahead, but that consideration be given to the timing of its construction.
She said that the £200,000 clean-up of a former landfill site at the Mill of Dyce should be deferred until next year, and that the council should “only spend on legally essential works in relation to moving sports facilities to a trust”.
Board convener and depute council leader Kevin Stewart would not comment in advance of today’s meeting.
The board will also hear today of “increased confidence” in the delivery of the £50million of savings.
Half of the savings are categorised as deliverable.
The amount flagged as “red” in the authority’s traffic light system, and potentially not deliverable, has reduced from £14.8million last month, to £4.1million.
Savings marked as “green” and to be delivered in full this year are up by £5.8million since August, to £18.4million. Ms Cooper said: “It remains imperative that the council progress savings plans from ‘red’ to ‘amber’ and ‘amber’ to ‘green’, as any shortfall in the delivery of these savings will require an alternative action.”
