Mayo councillor slams OPW for overspend on modular homes for refugees

Mayo Independent Councilor Patsy O'Brien has issued a scathing critique of the Office of Public Works (OPW) in light of what he described as “the staggering €137 million cost overrun” on the modular homes initiative for refugees.

Originally projected to cost €100 million, the total expense is now expected to balloon to €237.4 million due to rampant price inflation and extensive site remediation requirements.

Councillor O'Brien, a general election candidate, stated: “This ongoing fiasco is clear evidence that the OPW is not fit for purpose.

"Their mismanagement has put the state and vulnerable refugees in an untenable position.”

The initial budget for 500 modular homes was already adjusted in November 2022 to €140 million, reflecting the changing economic landscape and unforeseen challenges at the proposed sites.

A briefing document prepared for the newly appointed junior minister for the OPW, Kieran O’Donnell, cited “increasing inflation” and “extensive and time-consuming remediation work” as primary drivers for the cost escalation.

“How can we justify such incompetence, on the back of the Leinster House Bike shelter scandal and the security hut fiasco?” Councillor O'Brien asked.

As of January last year, the projected costs had risen to over €150 million, and the government subsequently scaled up its plans from 500 to 700 homes.

“This last-minute change, coupled with inadequate planning, has left us facing an even steeper bill,” Councillor O'Brien remarked.

Each modular home, initially expected to cost €49,000, is now anticipated to cost approximately €145,000, not including site development and utility connection costs.

“This level of financial mismanagement is unacceptable and indicative of a deeper systemic issue within the OPW,” he added.

The OPW has cited unforeseen technical difficulties at several sites, including the discovery of Japanese knotweed in Mahon, Co Cork, which necessitated specialist treatment and delayed progress.

Additionally, the small size of some sites has diluted economies of scale, further inflating costs.

“This project was supposed to provide urgent housing for those fleeing war, not become a financial black hole for taxpayers,” Councillor O'Brien stated, expressing his frustration with the ongoing challenges faced by the OPW.

With 654 units now set to be delivered across 11 sites, Councillor O'Brien has called for a complete reassessment of the OPW’s capabilities.

“The government must take immediate action to ensure that we are not throwing good money after bad.

"An independent audit of the OPW is urgently needed to restore public trust and accountability,” he asserted.

As the situation develops, the final costs associated with the modular homes will only be fully known once all sites are selected and necessary works identified.

Councillor O'Brien said: “We need transparency and clarity on these expenditures. Either the initial estimates were clearly inadequate, or the OPW is simply unfit to manage these projects, and we cannot afford to repeat this pattern of wastefulness.”

The Robeen-based representative remains committed to advocating for better management of public resources and ensuring that the needs of refugees are prioritized.

“It is high time the OPW takes responsibility for its failings and provides the quality service that the Irish people expect and deserve,” he concluded.