COUNCIL bosses are to step in to plug a five-figure funds gap in a project for a new community hub in Port Glasgow.
Work to construct a multi-purpose facility for Parklea Branching Out, within the organisation's existing grounds, got under way in June last year, and officials have now reported that the project is complete.
But Inverclyde Council officials say that 'unforeseen circumstances' led to a sharp rise in the cost of the £1.7 million initiative.
Members of the local authority's education and communities committee have now agreed to approve an additional £21,000 spend to bridge the funding gap on the scheme.
Council officers say that factors such as public utility challenges, adverse weather conditions, and material procurement limitations contributed to a delay in the project, which meant the contract for the work had to be extended by between eight and 10 weeks.
The project was originally to be paid for using a £1.1m grant which Parklea Branching Out had received from the Scottish Government’s Regeneration Capital Grant Fund following an application in 2022, alongside £151,000 of external funding which the group raised itself.
But in February, it was revealed that a further £403,000 would be required for Parklea to be able to accept the tender for the work, and the organisation turned to Inverclyde Council for their support in making up the gap.
The council was able to secure an agreement with the Scottish Government that saw each group pay for half of the shortfall, with the council setting aside an additional £48,000 of contingency cash on top of their share.
But the recent contract extension has taken the overall cost of the project beyond the money the council has set aside, meaning that the latest sum was required to cover the costs.
Councillors have now agreed to pay this additional sum, with an official report stating that Parklea Branching Out bosses will not seek any further funding from the council upon the project’s final approval.
Officers have advised that the project itself is now complete, but an official opening date is yet to be confirmed.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules here