Written Answers. - Community Enterprise Centre Programme.
John Perry
Question:
162
Mr. Perry
asked the
Tánaiste and Minister for Enterprise, Trade and Employment
the level of funding which she allocated to the community enterprise centre programme; if the north-west area, in particular, County Sligo, qualifies based on the criteria; the level of promotion which is planned for this fund with the community based economic sector; and if she will make a statement on the matter.
[28818/01]
To support urban communities suffering from social deprivation and high levels of unemployment, I launched the urban community enterprise centre programme in July 1999. The Government in its budget for 1999 allocated a sum of £13.5 million over the two year period 1999 and 2000 to fund this new programme. A first tranche of £8 million was allocated for the year 1999 and the balance of £5.5 million for the year 2000. This initiative is being administered by Enterprise Ireland on behalf of my Department. The urban community enterprise centre programme provides financial assistance of up to a maximum of £1 million or 50% of the cost of the centre.
The aim of this programme is to promote community enterprise centres in urban areas where there is above average long-term unemployment and serious deprivation. The centres are aimed at meeting the real needs of communities to grow local enterprise, by facilitating activities leading to the creation of new start-up micro enterprises that may impact on the unemployed, particularly the long-term unemployed and foster innovative ideas for enterprise creation.
A total of 24 projects were approved for assistance. One of the successful applications was from Sligo and Enterprise Ireland has provided a total of £360,000 in funding in the form of £330,000 in capital grants and £30,000 management grants towards the construction of a 15,000 sq. ft. enterprise centre on the grounds of Sligo Airport and towards the management of the centre for two years afterwards. The construction of the centre is well under way with all steel structure completed and 50% of the brickwork completed. The centre is due to open in February 2002.
Under this programme Enterprise Ireland also approved funding of £600,000 towards the cost of building a 25,000 sq. ft enterprise centre in Letterkenny and support towards the appointment of a centre manager. This centre was launched by me on 9 April 2001 and construction has commenced on the project which is on schedule for completion soon. In addition to this, Enterprise Ireland approved £29,400, 50% of expenditure, in July 2000 for a project manager over a two year period.
The Donegal county enterprise fund was initially approved 50% funding under this programme based on their original costs of £1.3 million. During the planning phase, the DCEF found that there was a significant demand for hi-tech space in Letterkenny and as such have upgraded the facility to include 10,000 sq. ft. quality fully wired workspace. Due to these increased costs, the project has secured additional funds to build the community enterprise centre and work has recently commenced on the building which I officially opened in September 2001.
Funding under this programme is now fully allocated and no additional funding will be made available under this programme.
The urban programme was run in parallel with the Enterprise Ireland community enterprise centre scheme which was established in 1989 in order to support the development of enterprise centres nationally, providing financial assistance up to a maximum of £100,000 or 25% of the cost of the centre.
Under the Enterprise Ireland community enterprise centre scheme to date, Enterprise Ireland has committed capital grant support to seven enterprise centres located in the north-west region, namely at Convoy, Glenties, Moville, Ballyshannon, Raphoe, Lifford and Taughboyne. Enterprise Ireland, through this programme, has invested a total of £594,325 in enterprise space in these centres. An examination of the programme is currently under way to determine the frame work within which any future possible schemes will operate.
