Fife Council could be taken to a tribunal over compensation claims relating to the beleaguered Dunfermline flood prevention scheme.
Five large claims by land owners remain to be settled, after the local authority took entry to build the £35 million scheme in 2007.
Although the council had the right to enter the land by the Lyne Burn, legislation provides for owners to be compensated under certain circumstances.
One of the claims is to be settled but the council has been warned that others may be referred to the Lands Tribunal.
No indication of the sums involved was given in a report presented publicly to the council’s assets, property and facilities committee this week, but councillors subsequently held a private discussion about the compensation claims.
The district valuer appointed by the council has proposed a settlement figure for the owner of an Elgin Street storage yard which was occupied by the contractors, to cover loss or rent, damages and fees.
However, negotiations continue over the five other large claims.
Ken Gourlay, the council’s head of assets, transportation and environment, said: “The statute provides for reference to the Lands Tribunal for Scotland if the council is unable to reach agreement with any claimant.
“Some claimants have made reference to this but as yet no case has been referred to the Lands Tribunal.
“The (district valuer) has indicated that this may potentially occur with some of the claims.”
Compensation claims were submitted by residents, companies and other groups, for damage and losses during the eight year project.
Work on the flood prevention scheme, to protect homes and businesses near the Lyne, Tower and Calais burns, was beset by delays and spiralling costs.
It was initially estimated it would cost £3.75m, starting in 2005 with completion in 2007.
However, work did not start until 2007 and by the time it was complete the bill had soared to over £35m.
Several smaller payments have already been made, and some minor claims have been refused or cancelled due to a lack of evidence.
