I thank the Chairman and the committee for the opportunity to discuss today the housing adaptation grants for older people and people with a disability. I hope to be able to answer all questions. With the agreement of the Chairman and the members, I will undertake to respond in writing to any question I am not in a position to respond to directly today.
Proposals for the future operation of the disabled person's grant, DPG, scheme and essential repairs grant, ERG, scheme were announced in February 2007 as part of the Government's housing policy statement, Delivering Homes, Sustaining Communities. The DPG and ERG schemes, operated by local authorities, were designed to assist in the carrying out of works which, in the opinion of the local authority, were necessary to provide adequate accommodation for disabled and older persons. The special scheme of housing aid for the elderly was designed to undertake emergency repairs for older persons living in unsanitary or unfit conditions.
Significant revisions were made to the terms and conditions of both the DPG and ERG schemes in recent years, including increases in grant levels, the percentage of approved costs payable and the level of recoupment to the local authorities, which had increased from 50% to two thirds before introduction of the new schemes, as well as the introduction of a disabled person's new house grant. These changes resulted in an increase in the level of demand for assistance under the schemes, and expenditure over the ten years up to 2007 increased from approximately €13 million to €65 million.
Following from a commitment set out under the terms of Towards 2016 and to facilitate the continued independent occupancy of their own homes by older people and those with a disability, the Department conducted a major review of the schemes to improve equity and targeting. The review took place in the context of funding difficulties at local level, inconsistencies in administration of the schemes across different authorities, a Government decision in 2006 to transfer responsibility for the special housing aid scheme for the elderly from the Health Service Executive to the Department of the Environment, Heritage and Local Government, and Government policy to maintain people for as long as possible in their own homes and communities. The review also took into account the experience of a number of local authorities that had been able to prioritise spending through targeting of priority clients and standardised costs.
The primary aims of the review were to ensure the available resources were targeted towards those persons in greatest need, to improve equity and consistency across local authority areas and streamline the administrative and operational procedures governing the schemes, and to provide a more seamless set of responses to the needs of people with a disability and older people.
Following the review, which incorporated the views of local authorities and relevant voluntary organisations, details of the proposed new schemes were set out in the Government's new housing policy statement. The three schemes include the housing adaptation grant for people with a disability, which is designed to assist with the provision or adaptation of accommodation to meet the needs of people with a disability. Works included under this scheme include access ramps, stairlifts, downstairs toilets, accessible showers, wheelchair access and extensions. The effective maximum grant is €30,000 with a new house grant of €14,500. The grant aid can cover 95% of the cost of the works carried out. The scheme is means tested, with the income of the property owner and spouse counting in the case of owner-occupier applicants and the income of the tenant and spouse counting where the applicant is in the private rented sector. There are a number of income disregards relating, for example, to the number of dependent children in the household and other benefits of which the householder may be in receipt.
A mobility aids housing grant scheme was also introduced to fast-track grant aid to address mobility problems primarily associated with ageing. Works carried out under this scheme tend to be relatively minor in comparison with those carried out under the adaption grant for people with a disability. Such works include level access showers, ramps, grab rails, stairlifts, etc. It is targeted at those on lower incomes of the order of approximately €30,000 per annum, and the effective maximum grant is €6,000. This can cover up to 100% of the cost of the works and several income grounds are taken into account. Only one quotation is required given the fast-track nature of the scheme.
A scheme of housing aid for older people was also announced to provide targeted support to improve conditions in the existing housing of older people. This scheme was targeted at those over 60 years of age and the effective maximum grant available was €10,500, which can cover up to 100% of the works. I am happy to return to the specific details of the scheme later on, but I would like to outline some of the more general features of all three.
The levels of grant aid available have increased substantially in response to increases in building costs, and to protect the value of the grants into the future, grant levels will increase annually in line with the building cost index. The recruitment level to local authorities regarding individual grants paid has been increased from two thirds to 80%. Local authorities will provide the remaining 20% from within their own resources. Arrangements governing occupational therapy assessment have also been streamlined and improved. The Department became aware that the position regarding the availability of occupational therapists had improved generally, with shorter waiting times for their services in a certain number of authority areas. The new scheme was built on this by recouping to individual applicants the cost of engaging a private occupational therapist where necessary, thus ensuring no grant applicant is subject to undue delays in accessing grants for this reason. In cases where the local authorities engage the services of a private sector occupational therapist, the department recoups to them 80% of the cost of each assessment.
Local authorities have also been instructed to prioritise applicants on the basis of medical need. In particular where works will facilitate discharge from hospital and continuing care in an applicant's home, and where the works will alleviate the need for hospitalisation in the future, these applications are to be prioritised. To assist applicants in sourcing registered contractors, local authorities were requested to form panels of contractors who will be available to carry out works under the new schemes. This practice was one that had been in operation in many local authority areas previously and had been shown to work effectively and so was rolled out to the local authorities who had not adopted the practice.
Reform of the grant schemes is part of an overall strategic response to the housing needs of older people and people with a disability. The strategy includes the development of a national housing strategy for people with a disability and related inter-agency protocols to deal with co-operation between the HSE and housing authorities to provide a strategic framework for inter-agency co-operation at local level. It also includes the establishment of a cross-departmental team on sheltered housing for older people, which will develop and oversee policy on sheltered housing and agree local structures and protocols for integrated management and delivery of housing and related care services.
Review of the schemes also presented the opportunity to address the issue of the transfer of the special housing aid for the elderly scheme from the HSE to the local authority sector. As the committee will be aware, the core functions of the health service report recommended in future that this scheme should be administered by the local authorities so that a more integrated service can be delivered to address the needs of older people. The new housing aid for older people scheme amalgamates the provisions of the essential repairs and special housing aid for the elderly grant schemes with the aim of providing assistance to older people to have necessary improvements and repair works carried out. The transfer of the scheme poses significant challenges for local authorities in terms of workload and resources. In recognition of this, and to ensure satisfactory resolution of outstanding issues, it was agreed with the HSE that the SHAE would continue to operate, and be administered by the HSE, until 31 March 2008.
However, while the Department, the HSE and the local authority sector engaged in extensive discussions, not all relevant issues regarding the transfer of the scheme, and in particular the issue of staffing resources, could be fully and satisfactorily resolved by the arranged transfer date. Therefore, it was agreed with the HSE earlier this year that the transfer date of 31 March 2008 would be postponed pending resolution of outstanding issues. The issue of staffing resources is yet to be fully resolved, but interim arrangements have now been agreed and the SHAE ceased to exist on 1 August last. The agreed interim arrangements between housing authorities and the HSE provide for joint action and co-operation with regard to administration of the HAOP scheme, and have been developed in consultation with representatives of the City and County Managers Association and the HSE.
I am happy to provide full details of the agreed interim arrangements if the committee wishes. I look forward to hearing the views of the committee members and I will endeavour to address all queries as comprehensively as possible.