South Islay Development, Port Ellen Playing Fields Update

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Update from South Islay Development, Port Ellen Playing Fields 
SID have been trying to secure a contractor for the construction of the new building on Port
Ellen Playing Fields since the start of January 2022. 
The tendering process had to be done through Public Contract Scotland as a condition of the
£1 million of RCGF Funding awarded to the project. This caused numerous delays and
difficulties with getting a construction team on board. All the Islay based companies either
didn’t use PCS, or couldn’t commit the time necessary to complete the tendering process.
There is also extensive building work being undertaken across the island at the moment,
meaning local contractors are all very busy. 
SID had to reissue the tender several times and extend the deadline before eventually
receiving two completed tenders, both from mainland firms, at the end of May 2022. 
However construction costs are rising rapidly, and during the various project delays - the delay
to the planning decision and the delays in procurement - costs have continued to rise. SID
were braced for the tenders to be over-budget, with a little contingency set aside, however
were not unfortunately expecting the final tender costs to be so much over budget. 
SID have been unable to award the construction contract to either of the companies who bid.
There simply isn’t the budget available to cover the costs outlined in the tenders. 
SID are now working with Argyll & Bute Council, Highlands & Islands Enterprise and a
procurement specialist to reapproach local companies and investigate options. This will mean
a delay to the project programme but seems the best and hopefully most cost-effective way
forward. 
In the meantime SID remain committed to the success of this project and continue to try and
secure additional funding from a range of private and public funds.