Dáil Éireann Debate, Tuesday - 11 October 2016
212. Deputy Michael Healy-Rae asked the Minister for Housing, Planning, Community and Local Government if his attention has been drawn to letters sent to persons who are local authority occupants (details supplied); if he will clarify the position; and if he will make a statement on the matter. [29254/16]
View answer237. Deputy Jackie Cahill asked the Minister for Housing, Planning, Community and Local Government if it is possible under the current tenant purchase scheme for long time tenants of county councils to purchase their homes by way of a lump sum complete payment while not fulfilling the age criteria; and if not, the reasoning behind this; and if he will make a statement on the matter. [29779/16]
View answer238. Deputy Fergus O'Dowd asked the Minister for Housing, Planning, Community and Local Government if he will examine the criteria set down under the tenant incremental purchase scheme and the €15,000 minimum income requirement to avail of the scheme, in respect of the applicants having a large down payment available to make up for the shortfall in yearly required income; and if he will make a statement on the matter. [29806/16]
View answerI propose to take Questions Nos. 212, 237 and 238 together.
Under Section 3(A)(9) of the Water Services Act 2014 (inserted by Section 48 of the Environment (Miscellaneous Provisions) Act 2015) a person who is a tenant of a dwelling let to him under the Housing Acts 1966 to 2014 and who proposes to purchase the dwelling shall before completion of the sale provide the local authority concerned with a certificate of discharge from Irish Water confirming that any charge under section 21 of the No. 2 Act 2013 in respect of the dwelling owed to Irish Water has been paid. The sale of the dwelling cannot proceed until a certificate of discharge in respect of the dwelling has been received from Irish Water.
The Water Services (Amendment) Act 2016 suspended charges for a period of 9 months, commencing on 1 July 2016 and ending on 31 March 2017. Irish Water customers remain liable for unpaid domestic water charges as it is the law of the land. This Act provides that during any period of suspension of domestic water charges, this shall not count towards the time period for the calculation of late payment charges in respect of unpaid water bills. However, arrears of water charges incurred by households remain to be discharged.
The Tenant (Incremental) Purchase Scheme is open to eligible tenants, including joint tenants, of local authority houses that are available for sale under the Scheme. To be eligible, tenants must meet certain criteria, including having a minimum reckonable income of €15,000 per annum and having been in receipt of social housing support for at least 1 year.
In determining reckonable income, the income of the tenants of the house, including adult children that are joint tenants can be included, as can the income of the spouse, civil partner or other partner/co-habitant of a tenant who lives in the house with them. Reckonable income is calculated as gross income. Income from social welfare payments is included in the reckonable income but only where these payments constitute a secondary source of income.
In order to ensure the sustainability of the scheme, it is essential that an applicant’s income is of a long-term and sustainable nature. This is necessary to ensure that the tenant purchasing the house is in a financial position, as the owner, to maintain and insure the property for the duration of the charged period. This ensures compliance with the conditions of the order transferring the ownership of, and responsibility for, the house from the local authority to the tenant.
In line with the commitment in the Programme for a Partnership Government and reaffirmed in the Rebuilding Ireland Action Plan for Housing and Homelessness, it is intended that a review of the Scheme will be initiated in January 2017 following the first 12 months of operation and any changes to the terms and conditions of the scheme which are considered necessary based on the evidence gathered at that stage will be brought forward.
