Concerns around Orkney council’s ability to keep making “reactive repairs” to its properties and assets were raised in the council chamber this morning.
The problem has come about as a result of a “vicious cycle”, created by inflation, fuel costs, and finding contractors to carry out the work, according to one council officer.
Council leader James Stockan raised his concerns as the sub-committee viewed a report on how much had been spent on things like repairs and general maintenance of council assets over the 2021 to 2022 financial year.
While there was an underspend of £338,300 on a budget of £4,359,700, it wasn’t all good news.
Councillors were warned that inflation will take a toll.
Estimates from contractors are already showing “significant increases” compared to last year.
The council’s head of finance, Erik Knight, said the council would not be able to do as much with their money.
Orkney council seeing ‘vicious cycle’ affect asset management works
Council leader Stockan raised his concerns.
He said: “If we don’t change the budget, we get less of these reactive repairs done.
“If we get less reactive repairs done, we’ll be setting up a different problem for us in the future. The costs around our assets will become higher in the long run.
“At what stage do we have to consider that? Our budget hasn’t really grown a lot over the years.
“We’ve put extra money in here or there to make sure things are maintained.
“But maintaining properties and our assets is absolutely a priority. Otherwise, the long-term impact will be quite considerable.
The council’s head of neighbourhood services and infrastructure, Hayley Green said officers were looking at what the council can get for its money.
However, there was an acceptance that it would be less.
She said: “Obviously, we’ve got the budget setting process. We’ll be coming to that with ideas about what we can get for our money.
“But bear in mind that we do set out the budget quite early and things are changing quite quickly.
“Even if we were to set an increased budget for next year, that’s not to say they get the value of that six months down the line.
She added that it’s not just about money, but also “capacity”.
There have been delays in getting contractors able to work. Those contractors are facing their own problems caused by inflation.
She said: “It’s a very vicious cycle.
“we’re working through it steadily so we have the best information at the right time.”
Council seeking insurance payout for damage to library wall
Also at the meeting of Orkney council’s asset management sub-committee, members posed questions about some of the ongoing work on council assets.
They were told the council is in the process of seeking payment for just over £10,000- worth of damage done to a wall at The Orkney Library and Archive.
The damage was the result of a traffic accident. The council are trying to get the payout from the driver’s insurance.
This is now in the hands of insurers, according to the officers.
Councillors Steven Heddle asked about vandalism at St Magnus Lane toilets, which has been a recurring problem. The report to the sub-committee put the cost at over £1,010.
Capital programme manager with the council, Ian Rushbrook said it was believed fittings in the place in the public toilets were deemed to be vandal proof.
Unfortunately, that has turned out not to be the case. He said the council is continuing to do the best it can, to sort the issue.
During the meeting, North Isles councillor Melissa Thomson also raised a question about £1,208 being spent on fixing a lock at the Pickaquoy Centre Camping and Caravan Site.
She asked: “What kind of lock are we fixing for that price?”
Councillor Thomson was reassured that this cost was most likely incurred from fixing multiple locks at the site.
She said she was content that the council had not spent the money on “one gold-plated lock.”
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