Thursday, 20 Sep 2012

Written Answers Nos. 32-43

Consular Services Availability

Questions (32)

Billy Timmins

Question:

32. Deputy Billy Timmins asked the Tánaiste and Minister for Foreign Affairs and Trade his views on correspondence (details supplied) regarding the Justice for Mark and Andreas Campaign [39990/12]

Written answers

Tánaiste and Minister for Foreign Affairs and Trade

I am aware of the situation concerning the person referred to by the Deputy. As the person referred to is not an Irish citizen, it is not possible for my Department to offer him consular assistance. The Greek authorities are under no legal obligation to assist our Embassy with any requests made in connection with this investigation, as we have no locus standi in the matter. Embassies have certain rights of communication and contact with their citizens to facilitate the exercise of our consular functions under the Vienna Convention on Consular Relations (1963). Embassies have no such rights for other persons, even if they are related to those citizens.

As previously advised, this Department and the Embassy in Athens stand ready to authenticate any documents which would assist the case of the person in question if they are in a form suitable for authentication. In regard to other documents or records, including passport stamps and airline records, the person in question’s lawyers are best placed to advise on how such documents or records might be entered into evidence at any appeal. If such documents or records are held by Irish authorities or other entities, there are legal procedures which may assist in their retrieval but this Department has no role in that regard.

NAMA Debtors

Questions (33)

Gerry Adams

Question:

33. Deputy Gerry Adams asked the Minister for Finance the number of borrowers in the National Asset Management Agency who have one or more performing assets in NAMA; if these NAMA borrowers are allowed recoup income from the performing NAMA asset as well as the salary which the borrower is receiving from NAMA in accordance with their business plans with NAMA; and if he will make a statement on the matter. [39690/12]

Written answers

Minister for Finance

NAMA advises that performance status is determined on a loan by loan rather than a debtor by debtor basis. Details on the percentage of performing loans are set out on a quarterly basis in NAMA's Section 55 Report. The most recent report that is publicly available covers the three months to end-March 2012 and is available on NAMA's website, www.nama.ie. NAMA advises that it captures income deriving from assets under the control of its debtors to make payments of interest and principal on their loans.

In some cases, NAMA permits debtor connections to retain part of the income from their income-producing assets to pay certain overhead costs required to preserve, manage and enhance the value of the assets securing the Agency's loans. Such overhead costs include costs associated with repair and maintenance of properties and an allowance for the remuneration of debtors and the staff employed by them to manage the assets.

NAMA Debtor Agreements

Questions (34)

Gerry Adams

Question:

34. Deputy Gerry Adams asked the Minister for Finance the number of borrowers in the National Assets Management Agency who have one or more assets in NAMA that receives rental income from the State, a State owned entity or semi-State entity; and if he will make a statement on the matter. [39691/12]

Written answers

Minister for Finance

I am advised by NAMA that 39 debtors and receivers rent one or more assets to State bodies. For a further breakdown relating to the rental by State bodies of properties under the control of NAMA debtors and receivers, the Deputy may wish to consider my response to a Parliamentary Question from Deputy Pat Deering (34483/12, 17th July 2012) on the same topic.

NAMA Loan Book

Questions (35)

Gerry Adams

Question:

35. Deputy Gerry Adams asked the Minister for Finance the current estimated value of the National Asset Management Agency’s loan book; if he will provide a breakdown of the value of the US loan book, the British loan book, the European loan book and the Irish loan book, respectively; and if he will provide an update on NAMA plans for the sale of these loan books. [39692/12]

Written answers

Minister for Finance

The most recent segmental analysis of the carrying value of NAMA’s loans is set out on page 95 of the Agency’s Annual Report and Financial Statements for the year ended 31 December 2011. NAMA currently splits its loan portfolio by Ireland, the UK and the rest of the World. The analysis indicates total loans and receivables before impairment of €28.4 billion, €17.6 billion of which relates to Ireland, €8.7 billion to the UK and €2.1 billion to the rest of the World, including the US. I am advised by NAMA that all of its loans are potentially for sale at any point in time if an opportunity arises to realise the optimal commercial return consistent with section 10(2) of the NAMA Act. NAMA has recently established two loan sales advisory panels (one for Europe and one for the US) to provide a framework for the loan sales process as and when the correct opportunity arises. Actual sale transactions will depend on the level of investor interest and on whether such interest is reflected in competitive purchase bids for individual loans or loan portfolios.

NAMA Debtor Agreements

Questions (36)

Gerry Adams

Question:

36. Deputy Gerry Adams asked the Minister for Finance the number of cases in which the National Assets Management Agency allows its debtors to retain part of the income from their income-producing assets to pay overheads including salaries to the debtors themselves; the number of cases in which debtors are receiving salaries; if he will provide a breakdown of the salaries received by these debtors; the number that are less than €50,000; the number that are between €50,001 and €100,000; the number between €100,001 and €150,000; the number between €150,001 and €200,000; and the number over €200,0001; the total cost to NAMA of paying these salaries in 2010, 2011 and to date in 2012. [39693/12]

Written answers

Minister for Finance

I am advised by NAMA that it seeks to capture income generated by assets under the control of its debtors. Separately, it permits appropriate overheads where necessary for the preservation and enhancement of the value of property securing its loans. Overhead costs typically fall into two categories:

(1) Cost associated with the repair and maintenance of properties, insurance premia, local authority rates and professional fees. These are essential costs which would be incurred regardless of whether the assets are managed by debtors or receivers.

(2) Overhead costs also include allowances for the remuneration of debtors and the staff employed by the debtor to manage the assets. I am informed by NAMA that the alternative in these cases is to appoint receivers and that receiver costs tend to be substantially higher than debtor and associated staff salary costs.

As the Deputy may be aware, the NAMA Chief Executive advised the Dáil Committee of Public Accounts (PAC) in July that NAMA has permitted 168 principals to retain salaries from rental and other income generated by cash producing assets. NAMA's analysis shows that 7% or 29 principals retain income of up to €49,000; a further 43% or 73 principals retain income of between €50,000 and €99,000; 23% or 38 principals retain income of between €100,000 and €149,000; 15% or 25 principals retain income of between €150,000 and €190,000; and 2% or 3 principals retain income of €200,000. No principals have an agreement with NAMA to retain salaries of over €200,000.

NAMA advises that, based on this breakdown, the total principal salaries retained from income producing assets in 2012 will be of the order of €15.5 million. As advised to the Deputy in March (13975/12, 13th March 2012), NAMA had previously collated data on approved overhead costs where agreement had been reach by 31 December 2010 relating to 41 debtors. Principal salary allowances within the approved overheads of these 41 debtors, who collectively managed 25% of the total NAMA portfolio, were €4.1 million.

Tax Code

Questions (37)

Brendan Griffin

Question:

37. Deputy Brendan Griffin asked the Minister for Finance if he will consider a third rate of income tax for very high earners; the amount of additional revenue that would be generated by a rate of income tax for earners of €100,000 and over of 45%, 46%, 47%, 48%, 49% and 50%; and if he will make a statement on the matter. [39823/12]

Written answers

Minister for Finance

It is assumed that the threshold for the proposed new tax rates mentioned by the Deputy would not alter the existing standard rate band structure applying to single and widowed persons, to lone parents and married couples. I am advised by the Revenue Commissioners that the estimated full year yield to the Exchequer, estimated by reference to 2013 incomes, of the introduction of each of the proposed new rates of 45%, 46%, 47%, 48%, 49% and 50% would be of the order of €210 million, €260 million, €315 million, €365 million, €415 million and €470 million respectively.

However, given the current band structures, major issues would need to be resolved as to how in practice such new rates could be integrated into the current system and how this would affect the relative position of different types of income earners. These figures are estimates from the Revenue tax-forecasting model using latest actual data for the year 2010, adjusted as necessary for income and employment trends in the interim. It is, therefore, provisional and subject to revision.

Mortgage Arrears Proposals

Questions (38)

Mary Lou McDonald

Question:

38. Deputy Mary Lou McDonald asked the Minister for Finance if he will provide details of the legislative, taxation or additional measures he intends to put in place to assist families in mortgage distress. [39880/12]

Written answers

Minister for Finance

The Government is aware of the financial stress that some households are facing arising from difficulty in meeting their mortgage commitments. Mortgage holders who are in difficulty with their mortgage obligations in respect of their primary residence have significant protections available to them under the Central Bank’s Code of Conduct on Mortgage Arrears. In addition, the Department of Social Protection’s mortgage interest supplement scheme also provides for direct support to mortgage holders that have had to avail of social welfare support. Budgeting and debt advice is also available through MABS which is also funded by the Department of Social Protection.

The "Keane report" made a number of recommendations to tackle the mortgage arrears problem, but it indicated that bankruptcy reform would be a central catalyst to the resolution of the problem and that, in particular, the early introduction of new judicial and non-judicial personal insolvency options is vital. The 2010 Law Reform Commission Report also took a similar view on the overall personal debt situation and it also made a significant number of detailed recommendations for change. The Government, having regard to its Programme for Government commitment to fast-track personal bankruptcy reform, took account of these reports in the development of the Personal Insolvency Bill which was published on 29 June 2012 by the Minister for Justice, Defence and Equality. The Deputy will be aware that the Bill is currently before the Oireachtas and that the Bill has now been considered by the Select Committee on Justice, Defence and Equality.

The provision of a mortgage advisory function is also key. The Minister for Social Protection has recently launched this service which includes the provision of a mortgage arrears information helpline and the provision of ‘one-to-one’ independent financial advice by qualified accountants to mortgage holders when they are considering the offer of a long term forbearance/resolution offer by their regulated mortgage lender.

This service will tie in with the development and implementation of Mortgage Arrears Resolution Strategies by lenders as required by the Central Bank. Under this initiative, mortgage holders are requested to segment their loan book and to put in place a framework for all mortgage holders experiencing difficulty, including those with the most difficult mortgage position and for whom a long term forbearance/resolution option is likely to be the best option in the best interest of the customer. In addition the mortgage to rent scheme involving the Department of the Environment, Community and Local Government and voluntary housing bodies is now in place on a nationwide basis.

Regarding taxation measures, Budget 2012 provided for significant measures to help mortgage holders including the increase in mortgage interest relief for first time buyers who took out their first mortgage between 2004 and 2008. Details of any future taxation changes will be a matter for decision at budget time.

The Government remains very committed to progress measures to assist genuine mortgage holders in difficulty and the Government committee on mortgage arrears, which is chaired by An Taoiseach, continues to meet. It is the intention of Government to ensure that those mortgage holders in genuine difficulty will receive appropriate assistance and a high priority has been assigned by Government to the implementation of this broad range of measures to assist those experiencing difficulty on their mortgage across the relevant Departments and agencies.

Tax Clearance Certificates

Questions (39)

Jack Wall

Question:

39. Deputy Jack Wall asked the Minister for Finance if a person (details supplied) will be issued with a notice of assessment for 2011; and if he will make a statement on the matter. [39915/12]

Written answers

Minister for Finance

I have been advised by the Revenue Commissioners that they are awaiting the person’s Income Tax return for 2011. Notice of assessment for 2011 will be issued on receipt of the tax return.

Schools Building Projects Status

Questions (40)

Éamon Ó Cuív

Question:

40. Deputy Éamon Ó Cuív asked the Minister for Education and Skills the number of primary and secondary schools respectively that are in the band rating 2.1 and are not included in the five year plan; the name and roll number of each school; the estimated cost of the completion of all projects in this band; and if he will make a statement on the matter. [39868/12]

Written answers

Minister for Education and Skills

There are three second level projects and five primary school projects which are currently being progressed within the architectural process and that are not included in the five year construction programme. These schools are:

Coláiste Abbain, Wexford, (RN71600B);

St Brendan's College, Bray, (RN61790D);

Scoil Phobail, Clifden, (RN91412M);

St Marys NS, Bagnalstown, Co Carlow, (RN11135K);

Scoil Odhran Naofa, Mullingar, Co Westmeath, (RN17932U);

Scoil Tigh an Iubhair, Co Louth, (RN18635T);

Scoil Naomh Padraig, Baconstown, Co Meath, (RN02905J);

St Marys Central NS, Donnybrook, Dublin 4, (RN19727G).

The estimated gross cost of these projects amounts to twenty seven million euro.

In addition, my Department is in receipt of 99 applications for major capital projects from primary and post primary schools that have been assessed in accordance with the published prioritisation criteria and assigned an initial band 2.1 rating. As these applications for capital funding have not yet progressed to the appointment of a school project design team, the estimated costs of these school projects are not available. Officials in my Department will arrange to provide the specific information sought in respect of these schools directly to the Deputy as soon as possible.

Psychological Assessments

Questions (41)

Jack Wall

Question:

41. Deputy Jack Wall asked the Minister for Education and Skills the actions that persons (details supplied) in County Kildare must take through his Department and or other State agencies within the remit of his directive to ensure that their child obtains the neccessary tuition to ensure their child reaches their true potential; and if he will make a statement on the matter. [39896/12]

Written answers

Minister for Education and Skills

I can inform the Deputy that all primary and post primary schools have access to psychological assessments either directly through the National Educational Psychological Service (NEPS), or through the Scheme for Commissioning Psychological Assessments (SCPA), full details of which are on the Department's website. Where a NEPS psychologist is not assigned to a school, authorities therein may access psychological assessments through SCPA. Under this scheme schools can have an assessment carried out by a member of the panel of private psychologists approved by NEPS, and NEPS will pay the psychologist the fees for this assessment directly.

It should also be noted that in common with many other psychological services, NEPS encourages a staged assessment process, whereby each school takes responsibility for a pupil's initial assessment, educational planning and remedial intervention. Only if there is a failure to make reasonable progress in spite of the school's best efforts, will a child be referred for individual psychological assessment.

It is the responsibility of the school Principal in the first instance to identify and prioritise pupils for assessment under the process described above. I would suggest that the parents of the child in question should discuss the matter with the school Principal who will advise them as to the appropriateness of a referral to or intervention by the school's assigned NEPS psychologist in this instance.

Should school authorities have specific difficulties with regard any of the foregoing I would suggest that they contact the relevant local NEPS Office (in this instance NEPS Naas Office, Tel: [phone]) to discuss the matter. The matter of the provision of Speech and Language therapies to the child in question is, the Deputy will be aware, a matter appropriate to the H.S.E. and I would advise that he refer the case to my colleague the Minister for Health for his attention.

Student Grant Scheme Eligibility

Questions (42)

Joe McHugh

Question:

42. Deputy Joe McHugh asked the Minister for Education and Skills the position regarding students who have accepted places on the Social Work (Graduate Entry) L501 programme at the University of Ulster, which is a FETAC Grade 8 course; if he will acknowledge that participation in this course requires a level 8 qualification and to acknowledge that it consequently is a progression from the Level 8 qualification; if he will advise on the way students on the programme should pursue funding support from the State; and if he will make a statement on the matter. [39951/12]

Written answers

Minister for Education and Skills

The decision on eligibility for new student grant applications from the 2012/13 academic year is a matter for the new centralised grant awarding authority, SUSI (Student Universal Support Ireland). The Deputy will appreciate that in the absence of all of the relevant details that would be contained in an individual's application form and supporting documentation, it would not be possible for me to say whether or not a student should qualify for a maintenance grant.

If an individual applicant considers that she/he has been unjustly refused a student grant, or that the rate of grant awarded is not the correct one, she/he may appeal, in the first instance, to SUSI. Where an individual applicant has had an appeal turned down, in writing, by SUSI, and remains of the view that SUSI has not interpreted the scheme correctly in his/her case, an appeal form outlining the position may be submitted by the applicant to the independent Student Grant Appeals Board. The relevant appeal form will be available on request from SUSI.

Schools Refurbishment

Questions (43)

Pat Deering

Question:

43. Deputy Pat Deering asked the Minister for Education and Skills if there will be a minor works grant in this school year. [39952/12]

Written answers

Minister for Education and Skills

It is not envisaged that a Minor Works Grant to primary schools will be issued for the school year 2012/2013. At the launch of the Government's Medium Term Infrastructure and Capital Investment Framework last November, I said that the priority in the education sector is to focus on major school projects and smaller projects devolved to schools to meet demographic demands over the next five years. I indicated that given the need to concentrate on meeting the need for additional school places that it is unlikely that funding would be available for a minor works grant in the coming years.