🏥 The Oireachtas Health Committee will hear today that BAM, the builders of the National Children’s Hospital, have submitted extra cost claims for “hundreds of millions of euro” - while also, allegedly, not having a valid post-pandemic works programme in line with its contract
The board behind the new hospital say they are withholding 15% of BAM’s monthly invoices until the issue is resolved - and also that they are embroiled in High Court action where BAM argues the design being delivered is not what its contract was agreed on (hospital disagrees)
Hospital chairman David Cunning tells TDs: The contract date for completion of the NCH is August 2022… but "we have no expectation at this time that that date will be fulfilled"
Gunning tells TDs that the hospital remains within its construction budget of €1.433bn but the delay in completion naturally puts pressure on that, plus there are "significant" extra claims from BAM which the hospital board is defending
Gunning says there are over 600 claims for extra costs submitted by BAM, collectively worth "in excess of €200 million"
Gunning also says the hospital board considered all options during the Covid-19 shutdown, including the possibility of terminating the contract with BAM
Gunning can't give a fixed answer on how delayed the overall NCH project is (intimating it's tied up in the dispute with BAM) but intimates it's about 9 months behind - was six months delayed pre-Covid, seven weeks of construction ban, then another seven weeks before BAM returned
Gunning: Actual payments to BAM for work completed are 43% below what was projected level - "this is an indication, in financial terms, of how far behind we are"
Oir Health Committee is told that BAM only "reluctantly" agreed to return to NCH site after the Covid-19 lockdown on July 10, and asked for extra payments from the children's hospital board in doing so. The board resisted these claims
Gunning declines to say whether the building will be ready to hand over to its operators in 2023. "We expect be able to give guidance to stakeholders early in 2021, that's the best we can do…" - can't go further without BAM carrying out a works programme in line with contract
There have been 19 cases of Covid-19 confirmed among BAM staff (and subcontractors) at the St James's site, of which 2 are active. There have been 2 cases at the Tallaght site, neither currently active
You can follow @gavreilly.
Tip: mention @twtextapp on a Twitter thread with the keyword “unroll” to get a link to it.

Latest Threads Unrolled:

By continuing to use the site, you are consenting to the use of cookies as explained in our Cookie Policy to improve your experience.