Claims that City Hall may need to go to the bank to borrow €5 million for the Seamus Quirke Road upgrade appear to be unfounded as no definite figure on any overrun for the project has been confirmed.
Party whips were called to a “confidential briefing” in City Hall on Monday where the status of the project was outlined. However afterwards claims began to be made that the cost of the project could cost up to €16.5 million, that the over-run was €5 million, and that the Galway City Council would have to borrow the money to meet the costs.
City Hall has told the Galway Advertiser that the figure of €5 million was “never confirmed”, any claims of a definite figure are “total speculation”.
It is likely that the figure for any over-run will become more clear during the city council budget meetings next month.
Regarding claims of needing to borrow the money, a spokesperson for City Hall said the project was funded through a combination of EU funds, Department of Transport funds, and City Hall’s own funds, part of which involves raising a loan.
“This was factored in from the start of the project, it is not something that has arisen just now,” said the spokesperson.
Work on the upgrade is on-going and the expected completion of works is due at the end of March 2012.