Vol. 523 No. 4
8 Mr. Allen asked the Minister for Tourism, Sport and Recreation if his Department ensures the updating of information detailing the business interests of members of the tourism product development management boards, which are responsible for the allocation of EU funds. [21189/00]
In October 1994, the then Minister for Tourism and Trade established two independent management boards for product development – one in respect of the Bord Fáilte area and the other covering the Shannon Development area. These product development management boards had responsibility for making decisions on applications for capital grant assistance under the product development sub-programme of the Operational Programme for Tourism, 1994-1999.
The membership of the boards consisted of three independent business-professional members, two representatives of the implementing agencies, that is, Bord Fáilte or Shannon Development, and one official from the then Department of Tourism and Trade.
Paragraph 10.5 of the Operational Programme for Tourism 1994-1999 provides that "all members of the relevant decision-making authority shall ensure that they do not participate in adjudicating on grant applications in which a potential conflict of interest arises". On the appointment of the boards, each member was supplied with a copy of the terms of reference of the board, the code of conduct for the board and a disclosure of information form. Members were asked to complete the disclosure forms and return them to the chairperson of the relevant board for onward transmission to the Secretary General of the then Department of Tourism and Trade. In the case of a vacancy arising, a newly appointed board member would also have been furnished with these documents.
The code of conduct for management boards clearly states that it is the duty of each board member to ensure that if and when a potential conflict of interest arises, he or she will take the necessary action to ensure that no actual conflict ensues. The code also states that a member should absent himself or herself when the board is deliberating or deciding on matters in which he or she or a person or body connected with them has an interest.
Both Bord Fáilte and Shannon Development have confirmed to me that on the few occasions when a potential conflict of interest arose the procedure I have just outlined applied and was recorded in the minutes of the relevant meetings. Consequently, I am satisfied that every step was taken by the management boards to ensure that any potential conflict of interest was dealt with in the appropriate manner.
Additional Information
As regards the disclosure of information forms, in June 1999 my Department wrote to each member of the independent boards for product development and sought an updating of their original disclosure form. Updating was not necessary where up-to-date declaration of interest forms existed in the context of individual board members' official capacity, either as a member of the board or executive of Bord Fáilte or Shannon Development or as a civil servant under the Ethics in Public Office Act, 1995.
How much funding was allocated by those boards over the past four years? Given that the Ethics in Public Office Act, 1995, obliges members of the board to disclose their business interests and that there is an obligation on the Department to ensure that such lists of interests are provided to the Department through Bord Fáilte and Shannon Development, have the terms of the legislation been followed in all cases? If the terms of the legislation were not followed, how would we know if there was a potential conflict of interest?
The boards have responsibility for approximately £100 billion of EU funds over the period. The regulations and rules appertaining to those boards were followed at all times.
Were full declarations of interest supplied by the members to Bord Fáilte and Shannon Development on an annual basis over the past four years? Is the Minister stating that the terms of the legislation were followed in all instances?
I am not sure what the Deputy is asking. The boards were appointed by my predecessor, Deputy Kenny. I have worked at all times with the board and its chairman. The members are people of integrity. To my knowledge, all members of the product development boards filled in the forms of declarations. The stipulation that it had to be filled in on a yearly basis may not have been followed, but that only arose when new members were appointed to the board on a few occasions. When it became clear that the forms should be updated, one official stated it was not necessary but that was overruled. The Secretary General of the Department informed the board in 1999 that members must show a declaration of interest. The board members had no problem filling in that declaration of interest. It appears everything was above board in terms of the declarations of interest.
Was there a conflict between the chairman of one of the boards, Mr. Stephens, and the officials in the Department when he stated that returns had been made to the Department but the Department stated it had no record of such returns?
To what did the returns relate?
The returns of members interests.
As regards Mr. Stephens who was chairman of the board and who was appointed by Deputy Kenny when he was Minister, I have always had a perfect working relationship with him.
That was not the question I asked.
The Department was satisfied at all times. As regards the members interests, the forms were updated in 1999 and I understand both the boards and the chairmen were satisfied with that.
