Vol. 344 No. 9
asked the Minister for Finance (a) if he will make a statement on future State policy in regard to office accommodation for Departments and semi-State bodies; and (b) whether he will detail the amount of the loss which the State has incurred by the operation of its policy in this connection up to the present time.
513.
asked the Minister for Finance whether his Department has carried out, or will carry out, a cost-benefit analysis to compare the economics, over a 30-year period, of office accommodation built to the order of, and owned by the State, and of such accommodation rented from private interests by the State.
514.
asked the Minister for Finance (a) his policy in regard to the exercise of ordinary economic judgment in the provision, whether by renting or building, of premises for the accommodation of Government Departments or State bodies; and (b) whether, where it is decided that premises should be rented for such a purpose, he will arrange for the invitation, by public advertisement, of tenders for, rather than the private negotiation of leases.
I propose to take Questions Nos. 512, 513 and 514 together.
Studies carried out indicate that it is more cost effective to build than to rent office accommodation and building would accordingly be the preferred option. Capital for building is, however, in competition with capital for other projects which may give a better return. Where capital cannot be made available for building there may well be no option but to rent to meet the reasonable basic requirements of Government services.
The policy being pursued by the Commissioners of Public Works in relation to the provision of office accommodation for civil service staffs is to build premises where possible and the commissioners have in operation a building programme for this purpose. This aim can be achieved only over a period of years and, consequently, it is also necessary to rent space to meet the more pressing requirements of Government Departments. Accordingly there has been no loss incurred in the provision of accommodation.
The Commissioners of Public Works do not have responsibility for the provision of accommodation for semi-State bodies.
With regard to the method of renting accommodation, I am satisfied that the rental etc. terms obtained by the commissioners through negotiation are at least as favourable as those paid by many business concerns for similar facilities.
They are aware of all the speculative developments available for letting and of the terms being sought. Their aim is to acquire the most suitable property in a particular location to meet the demands on hands on terms which are fair and reasonable. This aim could not be met effectively through a process of tendering.
