A further significant step forward in South Ayrshire Council’s ambitious  £73 million Public Private Partnership Initiative to replace or improve school buildings has taken place with a decision by the Council to proceed to a “Financial Close.”

A special report to the full Council has detailed the progress of negotiations with
Education 4 Ayrshire, the Council’s Preferred Bidder for the PPP project which involves the  construction of new primary schools at Barassie, Alloway and Monkton, new secondary schools at Belmont and Prestwick, and an extension to Kyle Academy.

Authorisation has been given by the unanimous approval of the Council to conclude negotiations with Education 4 Ayrshire, and for the signing of a contract, subject to remaining within the Affordability Threshold set by the Council, and receiving the necessary approvals from the Scottish Government.

Said the Leader of South Ayrshire Council, Councillor Gibson T. Macdonald: “The Council has noted the extremely positive progress that has been made in the detailed negotiations that have taken place with Education 4 Ayrshire.  I am aware that the negotiation process has been necessarily detailed and challenging for both parties.”

The Council meeting was made aware that the project remained affordable within the previously Council approved “affordability threshold” and the objective of both parties was to secure a deal which was “on market” and meets the criteria of the Scottish Standard PPP Schools Contract.

Reference was also made to the fact that the Design Proposals for the new schools had attracted “very positive comment” from Architecture and Design Scotland.

The Council was also told that although a number of commercial points required to be agreed before Final Close the Council’s Chief Executive Tom Cairns and his nominee(s) would ensure that these issues were resolved before the Contract was agreed and formally signed.

October 2006