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A draft contract for funding for the Mournes Gateway project has been approved despite resistance to the move from Alliance councillors.
The major tourism development is to gain a capped amount of £30m from the Belfast Regional City Deal (BRCD) with Newry, Mourne and Down District Council’s (NMDDC) to pay an agreed £14m, plus any increased costs that may occur.
The estimated costs have seen figures rise from a total of £33.6m to £44m in 2021 with the Department for the Economy (DfE) recently advising a new estimate of £50m contrary to the advice from the council’s professional cost consultant.
An integrated consultancy team (ICT) was also appointed to the project separately behind closed doors during a confidential session on Thursday (March 14) night.
Risk register
Downpatrick Alliance Cllr, Cadogan Enright said: “I propose that we reject this report and do not accept the CFF (contract for funding) or FA (funding agreement) until we see a full analysis of a risk register for this project.
“This report is founded on a MOU (memorandum of understanding) , which if you read, it clearly indicates that the National Trust are not on board.
“We are required as a council to provide written assurances confirming we understand the risks associated with the project costs.
“The original costs of this project was £36.6m, then it went to £40m and now it is £50m according to the department.”
A letter from DfE has been summarised in a report to the council highlighting the new cost estimates and that the local authority confirms it understands the risks associated with the project costs.
A blank cheque
Rowallane Alliance rep, Tierna Kelly added: “As a party we simply cannot sign off on a project that is now projected to be about £50m, which also has some very serious hurdles to be met to get approval from the Department of Finance.
“There is no guarantee of planning approval, environmental impact assessment or lease with the National Trust or other land owners.
“This report asks councillors to essentially sign off on a blank cheque to approve any future increase in costs, we can’t sign off on that and I don’t understand how other councillors and parties can.”
The committee chamber became heated as other elected reps argued against the move by Alliance, with SDLP Slieve Gullion Cllr, Pete Byrne telling them to “wise up” and to “stop trying to grab headlines”.
Cllr Byrne compared the Newry City Park project to the Mournes Gateway project "I fear from the commentary that we've heard on this paper that that is the headline that will go out on this Council tonight. Council signs off a blank cheque for X amount of money and that is not fair.
He continued "If we go back to the complimentary fund, I think it was what £16.1/£16.2 million. We brought a paper to SP&R that the council would oversee any increase in the cost of that, that the council would cover costs over and above that amount. Alliance backed that. So Alliance can't come here now tonight and say that the exact same process that we're going through here amounts to a blank cheque. Is that exactly what you's done when it came to the city park signed off on a blank cheque, no you didn't. The council made a commitment to cover the costs over and above 16.1 million, which they are over and above at the minute. Alliance were talking about taking all phases of the park at the one time which would be circa around £40/£50 million."
The approval of the CFF will now allow NMDDC to move towards drawing down the BRCD cash and a draw up a final business case on the Mourne Gateway project.
Fantastic opportunity
Downpatrick Sinn Fein rep, Oonagh Hanlon said: “We are all custodians of the Mournes, it is the best natural asset that we have.
“This is a fantastic opportunity for us to grab with both hands and to look at this CFF and the commitment from the department to support the BRCD is only to be welcomed.
“It is disappointing that some parties wish to be completely negative about the whole project at every point and turn and that saddens me, as elected reps we want to bring investment into the district to make it the best it can be for our residents and visitors. ”
Amateur politicians
Crotlieve SDLP cllr, Declan McAteer added: “When I think back to the old Newry and Mourne council and Down District, before the amalgamations, the likes of this would have been totally unimaginable, we couldn’t even contemplate projects of such magnitude, never mind the amount of money that is being offered.
“That is the clout that these new super-councils have.
“We all agreed to place this council at the forefront and to be a leader in tourism particularly outdoor recreation on this island and that’s council policy.
“We should be celebrating for the first time, since probably the formation of Northern Ireland, that south Down and south Armagh are not being forgotten about.
“So, to listen to the Alliance party, which is suppose to be a moderate party, coming up with nonsense, when they’ve already delayed Newry City Park for God knows how long, are they going to try and wreck this as well ?
“I don’t understand this type of thinking and I would class it as being amateur politicians.”
Media 'Inaccurate and wrong'
NMDDC chief executive Marie Ward stepped into the debate to claim media criticism and scrutiny on occasions was 'inaccurate and wrong'
"I would just start by saying the council officers in this council are here to deliver on behalf of council and do so at the direction of council.
"The council officers of this council have faced significant criticism and scrutiny in the media which I would argue on a lot of occasions is inaccurate and wrong. Council officers are here to be challenged at both project board meetings, council committee meetings and council itself and we provide answers to all questions when asked.
"The challenge that we're faced with is even though we answer the questions we get asked the same questions again repeatedly and we give the same answers. The answers that we give are the correct answers. It's not going to get a different outcome no matter how many times you ask it."
Project of 'strategic importance'
Mrs Ward went on to highlight the Mourne Gateway as a potential tourism equivalent to Titanic Belfast, which would “create 400 direct and indirect jobs in an area of social and economic disadvantage”.
“There is absolutely no way we would sit here tonight and ask any councillor to sign off on a blank cheque, that is wholly wrong, wholly inaccurate and something that definitely should not be out in the public domain.
“I would not request the council to do that.
“Council has an opportunity throughout all points of the project to make a change or choose not to deliver.
“I would refer members to DfE’s letter stating that ‘given the project’s early stage of development, there cannot be absolute certainty over the development costs,
“Council will also be given an opportunity to change parts of the project that will change the costs, but we are not at that stage yet."
She added “It is really important to recognise that this project has been considered of strategic importance for Northern Ireland, that is a really significant thing for Newry, Mourne and Down.
“I was previously the director of enterprise, regeneration and tourism and this council made the decision that we would be the number one tourism destination on the island of Ireland, this is part of the move towards doing that.
“A lot of people didn’t believe in Titanic Belfast, look what it has delivered for Belfast.
“Is the Mournes Gateway, NMDDC’s Titanic Belfast, I don’t know, but do we want to give that up at this point?”
The Alliance proposal to reject the report was defeated on a vote of 10 to two.
A last minute amendment by Slieve Gullion UUP rep, David Taylor who feared the project could be “scuppered” was agreed with the committee supporting a move to seek further external funding.
As always the decision has to be ratified at full council.
Additional reporting: Columba O'Hare
