Dáil Éireann debate -
Tuesday, 7 Oct 1997

Vol. 481 No. 1

Written Answers. - Grant Procedures.

Richard Bruton

Question:

231 Mr. R. Bruton asked the Minister for Tourism, Sport and Recreation the procedures, if any, which are in place to ensure that grants are not paid out to community organisations without deeds of trust first being put in place to protect the interests of the State in supporting specified community purposes only; and if he will make a statement on the matter. [15462/97]

Minister for Tourism, Sport and Recreation (Mr. Flood)

: A deed of trust is executed in respect of any grant amounting to £40,000 or more in value. The deed creates a charge up to the value of the grant paid. The charge comes into effect in the event that the grant aided facility ceases to be used for the sporting, recreational or community purposes of the grantees within 35 years of the payment of the grant.

The preparation and execution of the deed of trust can be a lengthy process. Meanwhile delays in payment pending completion can cause great difficulty to some grantees and in certain exceptional circumstances it has been practice in the past to permit payment of a portion of a grant where a deed of trust is required, but only when clear title has been established.

My Department is currently examining the issues raised in the Comptroller and Auditor General's report and is exploring ways of streamlining this aspect of the sports capital programme while ensuring that there is effective security for the investment by the State.