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Leaky Buildings

Mayor Leach made mention in last Friday's HH of the uncertainty surrounding leaky buildings claims as one of the three major risks facing the incoming Council.

I requested further information on this because it appears to be the first time that this 'risk' has come to the fore in some considerable time, and this raised concerns that there had been a sudden increase in actual or  potential cliams.

This is the reply I have received:

How much has been spent on claims? 

From June 2005 - June 2013 Council has paid $1.55m in leaky homes settlements.

How many claims have there have been in the past three years (since this council took office)?

TCDC is involved in 15 leaky building home claims. Eight of these claims have been lodged in the current Council's tenure with the remaining 7 being historic. Of all 15 claims, 7 are part of the Government Financial Assistance Package (FAP) scheme

How much is Council budgeting on claims for the next three years?

As specified in Council's 2012 - 2022 Ten year Plan a provisional sum of $8.3m has been budgeted for leaky homes over this time.  In the next three years the provisional sum budgeted for leaky homes is $2.49m. Please be aware these are provisional figures as due to the unforeseen nature of leaky homes situation, the amount and number of claims may exceed or come under budget in any one year.

I am not sure whether this represents any sudden re-assessment as I do not have the previous figures, but am aware that there have been recent reports to Council that were kept with 'public excluded' for some unstated reason (other than the usual pap that accompanies these reports). Note that the quantum of current claims has not been provided as requested, but that is understandable in the circumstances. I have made a follow-up request.

Nevertheless, the figures provide a benchmark by which the progress of these claims can be followed. It seems pointless to me that detail surrounding the progress of these claims is kept confidential, and this needs to be challenged on a regular basis.




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