Angus Council could be due more than £150,000 to administrators of collapsed Dundee construction company Muirfield Contracts.
The full details of the authority’s involvement with Muirfield which went into administration in March with debts of almost £7 million and the loss of 250 jobs have emerged in an official report revealing that the council had more than 75 contracts with the firm.
But council chiefs have given an assurance that the authority will not suffer a financial hit from the situation.
The two main Angus projects were the construction of new Arbroath primary schools at Timmergreens and Muirfield, a £12.2million scheme procured by Hub East Central Scotland.
Steps are being taken to get the project back on track but the Muirfield Contracts situation has delayed the timetable.
In a report to communities committee councillors, council head of technical and property services, Ian Cochrane, said work is ongoing to determine the final figure due to administrators.
Across Angus, Muirfield was involved in a responsive repairs service for council house tenants, which has now been taken up by another contractor.
Muirfield was also a second-placed contractor for a range of works in the Carnoustie, Forfar, Kirriemuir and Monifieth areas. “These contracts were due for completion on November 30. As the contractor is second place and these contracts are only used to ‘call-off’ orders, no further action is required,” said Mr Cochrane.
The firm was also involved in installing door-entry systems to various properties and a replacement contractor has been arranged, with work under way and due to be completed by next month.
Mr Cochrane said Muirfield had 16 projects where work is complete but where accounts are yet to be finalised or the works are still in the defects period.
“Until any outstanding works and defects are fully completed an exact figure relating to this administration is not available.
“Based on the information to date, Angus Council are due in the region of £165,000 to the administrators, although this figure will be reduced once any contra-charges are applied relating to outstanding works and defects.
“At this stage any contra-charges will be covered by the monies currently due, therefore there is no financial risk to the council as a result of Muirfield (Contracts) Ltd entering into administration.”