I propose to take Questions Nos. 155 to 157, inclusive, together.
In late 2011 the European Commission approved a change in the maximum co-funding rate from 55% to 85% for the Axes 3 and 4 elements (LEADER) of Ireland’s Rural Development Programme (RDP) 2007-2013. Prior to this the Axes 3 and 4 RDP measures were co-funded at a rate of 55% by the EU, with the remaining 45% coming from national exchequer sources. The 2011 agreement reduced the national exchequer input to 15% on a net basis for 2012 and 2013 without a concomitant increase in the amount of funding to be provided by the EU. This resulted in a reduction in the overall Programme complement from €427m to approximately €314m on the basis of the Programme achieving full spend by the end of 2013.
In this context the original funding allocations given to each Local Development Company (LDC) contracted to deliver the LEADER elements of the RDP required readjustment. My Department is currently carrying out an exercise to determine the level of project commitments across all LDCs and all measures in order to complete the rebalancing of the programme in as equitable a way as possible. The original allocations to Mayo North East LEADER Partnership and South West Mayo Development Company were some €10.752 million and €12.150 million respectively.
In addition, given the levels of spending by the LDCs from 2009 to date it is very unlikely that full spend will be achieved by the end of 2013. The co-funding rate will revert to 55% for all expenditure beyond the end of 2013 and will therefore have a knock on effect on the overall Programme requirement. Once the rebalancing exercise as outlined above has been satisfactorily completed decisions will then be made regarding definitive allocations and the resumption of new project approvals.
