Council's cash crisis cover up? (From Barry And District News)

Council's cash crisis cover up?

THE BARRY and District News has learned the Vale of Glamorgan Council could be in financial dire straits over the Town Hall development.

The major contract in relation to the £8.3m Barry Town Hall redevelopment scheme is expected to start at the end of November. But a confidential report about a massive over-spend of £900,000, which could jeopardise the whole project has been leaked to the News.

Details about the cash crisis were discussed in a Cabinet meeting on October 13 but kept in Part II of the agenda, which excludes public and press from sitting in.

The whole scheme is now estimated at £9,265,000, with the council contributing just over £6.6m. The deficit could be slashed to £676,637 if funding partners agree to help.

The external refurbishment of the Grade II listed building was completed earlier this year. And at the same meeting the Vale council's Cabinet agreed the main part of the development, including the building of a new extension to provide a new County Public Library, enhancement of King Square and Central Park and provision of a new car park at Wyndham Street.

The flagship regeneration project, which has been keenly awaited by the public, is being mainly funded by the council with support from the Welsh Development Agency, Welsh Assembly Government and the Welsh European Funding Office. It is currently expected that the whole project will be completed by the spring of 2006.

The contractors for the scheme, Kier Western, have revised their programme to allow for the continued use of half of the Wyndham Street car park until late next year, and will not utilise the remaining part of King Square until after Christmas to allow for festive events.

Council Leader, Cllr Jeffrey James, was unable to comment on the rumours of the overspend, but said: "Complex negotiations, especially with regard to detailed contract matters, has meant a later start date than expected for the main contract but the town is on the verge of what can quite legitimately be considered a new dawn.

"This magnificent scheme will breathe new life into the heart of Barry and I believe that it has been worth waiting for. The scheme is already acting as a catalyst for other investment in the town centre and, hopefully, will only be the starting point for further new investment."