Not having a penalty clause in contracts is like handing a blank cheque to the contractors, Cllr Alan Cheevers told this week’s meeting of Galway City Council, when he requested a full financial breakdown on money spent on the Martin Junction Construction to date.
Cllr Cheevers said that he believes that elected representatives and the public need to know exactly the finanical update.
“At the end of the day this is taxpayers’ money. This construction project was supposed to be finished last August and we are now six months over that end date.
“I think what is really concerning is that Galway City Council did not put a penalty clause in contract, so effectively what we have done is give the contractor an open cheque book which is concerning.
“I emphasise that this should never happen again in any contract we issue. I believe this will go well over the original budget that was set out at €5 million,” he said, addiong thjat he has been informed by the City Council executive that the financial report should be ready in two weeks.
