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Wednesday, 14 Nov 2012

Written Answers Nos. 77 - 86

Election Monitoring Missions

Questions (77)

Eric J. Byrne

Question:

77. Deputy Eric Byrne asked the Tánaiste and Minister for Foreign Affairs and Trade if his attention has been drawn to the recent statement made by the Attorney General of Texas who stated that overseas election monitors from agencies such as the OSCE were liable to be arrested in the state of Texas in the pursuit of their duties; if he will outline, even at this stage, the results of the OSCE observation mission to the USA; and if he will make a statement on the matter. [50478/12]

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Written answers

At the invitation of the United States Government, the OSCE Office for Democratic Institutions and Human Rights (ODIHR) deployed a Limited Election Observation Mission (LEOM) for the General Elections of 6 November. The LEOM, which deployed on 3 October, was led by Ambassador Daan Everts of the Netherlands and included 13 core team experts, based in Washington D.C., and 44 long-term observers, deployed to 40 locations throughout the country. The role of the LEOM, as with all election observation missions, was to assess the elections for their compliance with OSCE commitments and other international standards for democratic elections, as well as national legislation. As a participating State in the OSCE, the United States has committed itself to conducting elections in line with OSCE standards and inviting international election observers. ODIHR has assessed elections in the United States on five previous occasions, since 2002. Observers followed campaign activities, the work of the election administration and relevant federal and state institutions, implementation of the legislative framework, and the resolution of election disputes.

The mission met with representatives from relevant federal and state authorities and political parties, as well as with candidates, and with representatives from the judiciary, civil society and the media. As part of the observation, the LEOM conducted comprehensive monitoring of the media. In line with ODIHR’s methodology for limited election observation, the mission did not carry out systematic or comprehensive observation of the voting, counting, and tabulation on election-day. However, Mission members visited a number of polling stations across the country to follow election-day procedures.

On 23 October, in an open letter to Ambassador Everts, the Attorney General of Texas, Greg Abbott, stated that OSCE representatives were not authorised by Texas law to enter a polling place. He indicated that it might be a criminal offence for OSCE representatives to maintain a presence within 100 feet of a polling place in Texas and that failure to comply with these requirements could subject the OSCE’s representative to criminal prosecution for violating state law.

On 24 October, the Director of ODIHR, Ambassador Janez Lenari, expressed his grave concern over the threat of criminal prosecution of OSCE/ODIHR election observers. The ODIHR Director wrote to United States Secretary of State Hillary Clinton, noting that the threat of criminal sanctions against OSCE/ODIHR observers was unacceptable and that the United States, like all countries in the OSCE, had an obligation to invite ODIHR observers to observe its elections. He stressed that any concerns or reports that the election observers intended to influence or interfere with the election process were groundless, underlining that OSCE/ODIHR election observers adhered to all national laws and regulations, as well as a strict code of conduct.

A Statement of Preliminary Findings and Conclusions of the LEOM was issued on 7 November. It noted that election observation in the United States was regulated by State law, which generally did not provide for international observers, as was required by paragraph 8 of the 1990 OSCE Copenhagen Document. It further noted that OSCE/ODIHR observers were not provided with full and unimpeded access to polling stations in several States, including Texas, and that observers were publicly threatened with criminal sanctions if they entered polling stations. This was in contravention of paragraphs 8 and 10 of the 1990 Copenhagen Document.

More generally, the Statement of Preliminary Findings and Conclusions assessed that the elections took place in a pluralistic environment and were administered in a professional manner. Election day was calm and although most voters were generally able to cast their vote without difficulty, there were reported instances of long queues and shortages in polling station staff. Overall, the elections enjoyed the trust of the majority of stake-holders, although shortcomings were identified in areas such as voting rights, accuracy of voter lists, campaign finance transparency and recount procedure. It was also reported that decisions on technical aspects of the electoral process were often unduly politicised, and the absence of a federal election management body with oversight responsibility was noted. A final report on the observation of the entire electoral process will be published in the coming weeks.

The OSCE Parliamentary Assembly (OSCE PA) also deployed a short-term observer mission to the general elections in the United States, led by João Soares of Portugal, whom I appointed as Special Coordinator for the short-term observer mission. The OSCE PA deployed a total of 100 observers in Washington D.C. and four of the 50 federal States. In its preliminary post-election statement, the OSCE PA lauded the professionalism of the election authorities, while pointing to capacity problems at some polling stations. After a generally peaceful but highly polarised campaign, voters were given a genuine opportunity to make an informed choice. The OSCE PA expressed particular concern about the role of unlimited private campaign financing and the decentralised and highly diverse electoral system, which continues to lack country-wide standards, creating vulnerabilities in the system. The OSCE PA will issue its final report on the elections at its Bureau meeting on 5 December.

Public Sector Reform Review

Questions (78)

Éamon Ó Cuív

Question:

78. Deputy Éamon Ó Cuív asked the Tánaiste and Minister for Foreign Affairs and Trade the number of bodies that have been abolished or amalgamated by his Department out of the list of bodies listed in the public service reform document of 17 November 2011; the savings or cost of this in 2012; the projected savings or cost of this programme in 2013; and if he will make a statement on the matter. [50540/12]

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Written answers

A decision on the future of DEAC will be made in the near future when the Review of the White Paper on Irish Aid is finalised.

Departmental Staff Promotions

Questions (79)

Maureen O'Sullivan

Question:

79. Deputy Maureen O'Sullivan asked the Tánaiste and Minister for Foreign Affairs and Trade the number of promotions made in his Department to principal officer higher scale, principal officer standard scale, assistant principal officer higher scale, assistant principal officer standard scale, higher executive officer scale, executive office scale and staff officer scale; the total for all of his Department; if he will provide a breakdown for for 2009, 2010, 2011 and to date in 2012; and if he will make a statement on the matter. [50977/12]

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Written answers

Promotions in the Department of Foreign Affairs and Trade have been relatively few since the introduction of the moratorium by the Government with effect from 27 March 2009, with any exceptions requiring the specific approval of the Minister for Public Expenditure and Reform. In the period since then the Department’s core staffing decreased by approximately 190, or about 12%. Predictably, senior levels were most severely affected and, in the circumstances, the Minister for Public Expenditure and Reform recently approved the filling of some of the critical gaps that had arisen at these levels, particularly since the end of the pensions “grace period” on 29 February 2012. In the period under reference there have also been a number of up-gradings to higher scales in line with the terms of local bargaining agreements between various unions and the Department of Public Expenditure and Reform under the Programme for Competitiveness and Work, 1994-1997. Full details are set out in the following table. In each case, the rules of the Department of Public Expenditure and Reform governing pay-on-promotion were followed in determining the new scale point and increment date.

2009 Promotions

Number

From grade

To grade

5

Third Secretary

First Secretary

2

Higher Executive Officer

Assistant Principal Officer

1

Executive Officer

Higher Executive Officer

3

Clerical Officer

Staff Officer

2009 Up-Grades

Number

From grade

To grade

1

First Secretary

AP1

2

Third Secretary

Third Secretary Higher

2

Executive Officer

Executive Officer Higher

2010 Promotions

Number

From grade

To grade

Nil

-

-

2010 Up-Grades

Number

From grade

To grade

1

Third Secretary

Third Secretary Higher

1

Executive Officer

Executive Officer Higher

1

Clerical Officer

Clerical Officer Higher

2011 Promotions

Number

From grade

To grade

Nil

-

-

2011 Up-Grades

Number

From grade

To grade

1

Third Secretary

Third Secretary Higher

1

Executive Officer

Executive Officer Higher

1

Clerical Officer

Clerical Officer Higher

2012 Promotions

Number

From grade

To grade

5

First Secretary

Counsellor

7

Third Secretary

First Secretary

2012 Up-Grades

Number

From grade

To grade

3

Counsellor

PO1

8

First Secretary/APO

AP1

1

Third Secretary

Third Secretary Higher

Bank Debt Restructuring

Questions (80, 81)

Maureen O'Sullivan

Question:

80. Deputy Maureen O'Sullivan asked the Minister for Finance if he will quantify the amount of risk that was transferred from the German sovereign exchequer by way of risk attaching to financial institutions that had ultimate recourse to the German sovereign exchequer in the event of failure, to the Irish sovereign Exchequer by means of bank guarantee given by the then Government on 28 September 2010; and if he will make a statement on the matter. [50548/12]

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Maureen O'Sullivan

Question:

81. Deputy Maureen O'Sullivan asked the Minister for Finance if he will report on any independent estimates that have come to the attention of his Department, indicating the amount of risk that was transferred from the German sovereign exchequer by way of risk attaching to financial institutions that had ultimate recourse to the German sovereign exchequer, in the event of failure, to the Irish sovereign Exchequer by means of the bank guarantee given by the then Government on 28 September 2010; and if he will make a statement on the matter. [50549/12]

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Written answers

I propose to take Questions Nos. 80 and 81 together.

To answer the Deputy's questions would necessitate an ability to identify those holders of securities guaranteed by the Irish Government, who were financial institutions with recourse to the German sovereign for support.

I refer the Deputy to my previous reply on 13 November 2012 which outlined the difficulties in establishing the identity bondholders in such a circumstance.

With respect to any independent estimates of such a situation, I do not consider that such estimates could be reliable, given the difficulties that those who have prepared those estimates would similarly have in establishing the identity of bondholders.

I confirm again that neither the banks nor the Government have an accurate means of establishing the underlying ownership of securities issued by the banks under the ELG as of a particular point in time. As these securities are freely tradable once issued it is not possible to trace their ultimate ownership. These securities are traded and dealt through market participants and settled by clearing house systems. An issuer does not have any access to the records of the clearing house. At maturity, the Bank will instruct its paying agent to transfer the funds due to the clearing house who will then distribute the funds to the holders of the securities as per their records. Even where the bank is presented with lists alleging to represent names of bondholders I am informed there is no way for the bank or anyone else to completely verify the accuracy of such lists..

Budget 2013

Questions (82)

Micheál Martin

Question:

82. Deputy Micheál Martin asked the Minister for Finance the number of meetings he or his officials have attended in relation to budget 2013; and if he will make a statement on the matter. [45669/12]

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Written answers

Budget 2013 is the culmination of a year long budgetary process. The development of the Budget consists of many important elements, including the publication of the Stability Programme Update and the Medium-Term Fiscal Statement. Regarding the Budget, meetings take place throughout the year between my officials and officials of other organizations, such as the NTMA, the Revenue Commissioners and other Government Departments, most notably the Department of Public Expenditure and Reform. Suffice to say, there would be a huge quantity of meetings held in relation to the Budget. It would be extremely difficult for my Department to accurately estimate the total number of meetings that I or my officials have attended in relation to Budget 2013.

In addition, I am able to inform the Deputy of a small sample of Pre-Budget meetings with external representative groups that I have attended personally over the past number of days. These include meetings with ICTU, IBEC, the IFA, the Construction Industry Federation, the Irish Creamery and Milk Suppliers Association and the CVP (Community and Voluntary Pillar, an umbrella body representing 17 organisations in the voluntary sector: Social Justice Ireland, Age Action Ireland, SVP, etc.) all of which I attended with my colleague, the Minister of Public Expenditure and Reform.

Furthermore, I have individually attended Pre-Budget meetings with external representative groups over the same short time period with the Vinters’ Federation of Ireland, the Irish Road Haulage Association, Retail Ireland, and the CCAB-I, which is an umbrella body for accountancy organisations.

Universal Social Charge Payments

Questions (83)

Pearse Doherty

Question:

83. Deputy Pearse Doherty asked the Minister for Finance the amount of universal social charge paid per week and per annum by a person on the minimum wage salary. [50204/12]

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Written answers

The amount of Universal Social Charge payable per week and per annum by a person on the minimum wage, aged less than 70 and not in receipt of medical card is €10.51 per week and €546.74 per annum.

Computation

Individual earning the minimum wage, aged less than 70 and not in receipt of a full medical card.

Income   

€17,542

Universal Social Charge

€ 5,980 @ 4%

= €239.20

€10,036 @ 2%

= €200.72

€ 1,526 @ 7%

= €106.82

Total Universal Social Charge liability €10.51 per week and €546.74 per annum.

The amount of Universal Social Charge payable per week and per annum by a person on the minimum wage and in receipt of full medical card is €9.63 per week and €500.96 per annum.

Computation

Individual earning the minimum wage and in receipt of a full medical card.

Income

€17,542

Universal Social Charge

€10,036 @ 2%

= €200.72

€ 7,506 @ 4%

= €300.24

Total Universal Social Charge liability €9.63 per week and €500.96 per annum.

Promissory Notes Negotiations

Questions (84)

Thomas P. Broughan

Question:

84. Deputy Thomas P. Broughan asked the Minister for Finance the progress made in negotiations on a deal to restructure the Anglo promissory notes; and if he will make a statement on the matter. [50297/12]

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Written answers

As the Deputy is aware, the Irish Government has been working extremely hard to secure a deal on the Irish bank debt and detailed work will continue to ensure that the positive moves in Europe are harnessed to maximise the benefit to the Irish taxpayer. This is on the back of the Euro Area summit statement of 29 June of this year and the on-going work is one of the Government’s key priorities. A significant item on the agenda in all discussions is the issue of the promissory note. I am glad to say that we meet with strong appreciation of our situation and we are able to have very constructive dialogue on our approach to this question. As discussions are on-going, it is not possible at this point to give a more detailed update or guide on the potential timing of any agreed approach but we will be continuing our engagement with the troika and our partners in the European Union with a view to a satisfactory resolution of this issue and other related questions.

Bank Debt Restructuring

Questions (85, 99, 103, 107, 108)

Thomas P. Broughan

Question:

85. Deputy Thomas P. Broughan asked the Minister for Finance his views on the impact of the recent statement by the Ministers for Finance from Germany, Finland and the Netherlands on the separation of bank and Government debt on efforts to reduce Irish bank debt; and if he will make a statement on the matter. [50298/12]

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Micheál Martin

Question:

99. Deputy Micheál Martin asked the Minister for Finance if the timing of the forthcoming elections in Germany are influencing the timeline of when Ireland's debt issue will be examined by the EU; and if he will make a statement on the matter. [47315/12]

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Micheál Martin

Question:

103. Deputy Micheál Martin asked the Minister for Finance the reason Ireland is a special case in relation to dealing with our legacy debt; and if he will make a statement on the matter. [48330/12]

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Richard Boyd Barrett

Question:

107. Deputy Richard Boyd Barrett asked the Minister for Finance if he will respond to the statement made by German Minister Wolfgang Schäuble, Finland's Jutta Urpilainen and Dutch Minister Jan Kees de Jager following a meeting in Helsinki on 25 September; and if he will make a statement on the matter. [41634/12]

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Richard Boyd Barrett

Question:

108. Deputy Richard Boyd Barrett asked the Minister for Finance if he will discuss the statement made by German Minister Wolfgang Schäuble, Finland's Jutta Urpilainen and Dutch Minister Jan Kees de Jager following a meeting in Helsinki on 25 September at the upcoming European Council meeting on 18 and 19 October 2012; and if he will make a statement on the matter. [41635/12]

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Written answers

I propose to take Questions Nos. 85, 99, 103, 107 and 108 together.

As I have said previously, the statement by the three Finance Ministers of Germany, Netherlands and Finland on 25 September addressed issues already decided upon by Eurozone leaders when they met in Brussels on 29 June. At that time, the Heads of State or Government stated “that it is imperative to break the vicious circle between banks and sovereigns” and that “the Eurogroup will examine the situation of the Irish financial sector with the view of further improving the sustainability of the well-performing adjustment programme.”

The European Council on 18-19 October subsequently reaffirmed that “the Eurogroup will draw up the exact operational criteria that will guide direct bank recapitalisations by the European Stability Mechanism (ESM), in full respect of the 29 June 2012 euro area Summit statement. It is imperative to break the vicious circle between banks and sovereigns.”

Ireland is a special case due to the unique circumstances behind our banking and sovereign debt crisis and the fact that our banking crisis emerged at a time when the full range of European mechanisms were not available to us.

The Taoiseach and Chancellor Merkel spoke together following the October European Council. They reaffirmed the commitment from June 29th to task the Eurogroup to examine the situation of the Irish financial sector with a view to further improving the sustainability of the well performing adjustment programme. They recognised, in this context, that Ireland is a special case, and that the Eurogroup will take that into account.

The key timeline in regard to the realisation of these commitments is the establishment of the Single Supervisory Mechanism and not elections in any Member State. It is only once this has been put in place that the ESM will be in a position to recapitalize banks directly. It is expected that this will not be completed before the second half of next year.

Pension Levy

Questions (86)

Alan Farrell

Question:

86. Deputy Alan Farrell asked the Minister for Finance his views on the possibility of imposing a levy or tax on the pension sums of more than €100,000 administered to former employees of banks only covered by the State guarantee; and if he will make a statement on the matter. [50319/12]

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Written answers

As the Deputy will be aware, it is a longstanding practice of the Minister for Finance not to comment, in advance of the Budget, on any tax matters that might be the subject of Budget decisions.

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