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Údarás na Gaeltachta Expenditure

Dáil Éireann Debate, Thursday - 7 July 2016

Thursday, 7 July 2016

Questions (29, 51)

Thomas Byrne

Question:

29. Deputy Thomas Byrne asked the Minister for Arts, Heritage and the Gaeltacht the oversight she has of State assistance in respect of a factory (details supplied); and to inform Dáil Éireann of any concerns of the State agencies under her aegis relating to the operation of this business. [19888/16]

View answer

Thomas Byrne

Question:

51. Deputy Thomas Byrne asked the Minister for Arts, Heritage and the Gaeltacht the support which was made available to a factory (details supplied); if she reviewed State funding under the aegis of her Department in recent times; and if she is aware of difficulties in the operation of this business. [19887/16]

View answer

Written answers

I propose to take Questions Nos. 29 and 51 together.

I have been informed by Údarás na Gaeltachta that, on 28 February 2014, the Board of Údarás na Gaeltachta granted the company referred to by the Deputy the following supports to set up and develop its business:

- The provision of up to 4,127 square metres of space by way of standard lease at an annual rent of €16.14 per square metres. The terms of the lease were subject to standard review.

- Payment of a rent reduction grant of €66,609 or 50% of the annual cost, whichever is the lesser, for years 1 and 2 on 4,127 square metres of space.

- Payment of an employment grant of not more than €190,000 (€10,000 per job) in respect of 19 full-time qualifying jobs.

- Payment of a training grant of not more than €30,000 towards the cost of implementing an agreed training programme in accordance with the Training Aid Guidelines (TAGS) as laid down by the Commission of the European Union.

- Payment of a consultancy grant of not more than €10,000 or 50% of costs, whichever is the lesser, according to the grants scheme.

The company in question is currently leasing a building from an tÚdarás since October 2014.

To date, a total of €170,000 in employment grants and €41,631 in rent subsidy grants has been paid to the company by an tÚdarás. During 2015 the company had 23 full-time employees. However, during the period November 2015 to end of February 2016, that figure was gradually reduced to zero. I am advised that currently the company has no full-time employees.

Údarás na Gaeltachta have also informed me that they are aware that:

- the company is not trading;

- there is no electricity in the building; and

- the sorting machinery for its operations has been removed from the building.

I understand from an tÚdarás that the company is currently removing materials that were stored in the building. This is being carried out under the direction of the local authority in question and Údarás na Gaeltachta, having regard to the terms of the permit it has from the local authority and its lease agreement with an tÚdarás. I also understand that issues arising in regard to the grant agreement between the company and Údarás na Gaeltachta are being followed up by the legal department of an tÚdarás.

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