Builders attack Latrobe City Council policy on contract variations Latrobe City Council policy dictates all building contract variations over $15,000 must go before a council committee. A RURAL council has been blasted for a policy overhaul that building industry representatives say will bring costly delays to construction in the region. The controversial policy was voted in unanimously in October and honed earlier this month. Under the amended policy, a committee made up of councillors and officers will assess variations contractors wish to charge. Australian Construction Industry Forum executive director Peter Barda described the policy as "nonsense" and said contractors would be hesitant to work with a council entangled in unnecessary red tape. God knows what's inspired it. The whole purpose is to have technically skilled council staff making these decisions, not elected people who don't know what they're doing," Mr Barda said. He said the price of building contracts would rise as companies factored delays and labour costs into the process. "It has the real risk of adding delays to the approvals process and, in some cases, if they're insisting there be no work done on variations until it's signed off that has the scope to delay other work," he said. Australian Industry Group Victorian branch director Tim Piper said while accountability and local procurement were important, councils shouldn't be creating "needless red tape." But Latrobe Deputy Mayor, Dale Harriman, who was involved in implementing the new procurement policy, said scrutinising building contracts closely would end up saving ratepayers money. "There was the potential for misuse with up to $5000 being available with just one verbal quote and we were aware of some contractors, if they got one phone call, would add it on," Cr Harriman said. But Councillor Darrel White said it would cost the council hundreds of thousands of dollars a year just to implement the policy.