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THE Education Department still plans to build a $13 million school in the North-West, despite increased pressure on its budget.
The state government announced it would build a school for Port Sorell last year, in response to the rapidly growing beachside community.
The department had indicated that the project would go to tender in May or June, and construction start this month.
However, while $2.5 million was set aside for that in the budget, neither has happened.
Latrobe councillors had voiced concern over whether the project was still going ahead.
The department yesterday said that it was committed to the project, despite having to find an additional $4 million in savings after immediate school closures were ruled out earlier this week.
Deputy secretary corporate services Andrew Finch said that the project would go to tender at the end of the month, following Latrobe Council's approval of a development application.
"The report (from a parliamentary committee in 2009) noted that more than 260 primary school- aged children attending nearby schools actually reside in the Port Sorell township," Mr Finch said.
"This project is an example of investing in school infrastructure to cater for demographic change."
The report by a parliamentary joint standing committee on community development recommended a public primary school be planned, built and opened at Port Sorell.
The closest now is Wesley Vale Primary School, about 10 kilometres away.
Another nearby school, Sassafras Primary, was among the 20 schools named on the closure list.
A Port Sorell primary school would cater for up to 350 pupils from kindergarten to grade 6.