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Wednesday, 29 Nov 2017

Written Answers Nos. 1-57

National Economic and Social Council

Questions (16)

Brendan Howlin

Question:

16. Deputy Brendan Howlin asked the Taoiseach if will report on his interactions to date with the National Economic and Social Council, NESC; if he will further report on his plans for changes to the NESC; and his plans for the organisation's new priorities or instructions. [49174/17]

View answer

Written answers

A new National Economic and Social Council (NESC) was appointed in May. The Council has changed the way it works with fewer plenary meetings, greater use of working or project groups, and more structured engagements with key policy actors, interests, and commentators.

The NESC has played an important role over many decades in developing shared understanding between Government and other stakeholders on economic and social policy and, more recently, sustainable development.

Over the coming years, Ireland faces into a period of significant change both at home and abroad which will present some new and exceptional challenges. The Programme for Partnership Government specifically notes that there are policy challenges where long term thinking is required.

I expect the Council to continue to contribute to policy development, with a focus on the strategic and longer term view.

The Council published its most recent report on 25 October – “Moving Towards the Circular Economy in Ireland”.

The Council has also approved a work programme up to 2019 comprising three themes:

a) A Key Social Challenge: Low Work Intensity Households, Quality Tailored Services and Participation;

b) Climate Change: Governance of the Low-Carbon Transition;

c) Land Value, Land Use and Urban Development.

Work on each of these themes is progressing and will be reviewed at the forthcoming Council meetings.

As is normal practice, I will submit the Council’s reports to Government for information before they are published.

Questions Nos. 17 and 18 resubmitted.

Departmental Strategy Statements

Questions (19)

Michael Moynihan

Question:

19. Deputy Michael Moynihan asked the Taoiseach the position regarding his Department's strategy statement commitment on rural development. [49420/17]

View answer

Written answers

My Department is committed to delivering sustainable economic development including regional and rural development.

Responsibility for Rural Affairs policy rests with the Minister for Community and Rural Development. Realising our Rural Potential, the Government’s Action Plan for Rural Development, was launched in January 2017. It provides an overarching structure for the co-ordination and implementation of initiatives right across Government which will benefit rural Ireland.

As this is a priority issue for the Government, my Department is supporting implementation of the Action Plan through Cabinet Committee A.

Questions Nos. 20 to 29, inclusive, resubmitted.
Questions Nos. 30 to 34, inclusive, answered orally.

Community Employment Schemes Administration

Questions (35)

Willie Penrose

Question:

35. Deputy Willie Penrose asked the Minister for Employment Affairs and Social Protection the amount spent in each county for community employment; and the procedures in place for schemes that require extra funding or seek extra places. [50575/17]

View answer

Written answers

Community Employment (CE) schemes are typically sponsored by groups (known as CE Sponsors) wishing to benefit the local community. Such schemes provide a valuable service to local communities, while at the same time, providing training and educational opportunities to job seekers.

The total expenditure for CE in 2016 was just over €361 million. A breakdown of this CE expenditure, for each county, is set out in the table attached. At the end of September, there were just over 21,000 participants on the Programme and over 1,300 supervisors. The annual budget provided to CE schemes includes an amount to cover the cost of training, materials, participant and supervisor wages, which are necessary for the effective operation of the scheme. The materials grant is available towards the cost of all materials necessary for the effective operation of the project such as insurance, audit fees and protective clothing. All scheme expenditure is approved by my Department, at Divisional level, in line with the contract agreement.

While my Department is not in a position to allocate additional places or monies to the overall budget in 2017, if there is a scheme that has an identified need for additional places or is experiencing financial difficulties, the sponsor should contact their local DEASP Division and the matter will be reviewed on a case-by-case basis.

The overall number of employment scheme places available in 2017 is 32,000. CE continues to be the largest programme in 2017 with 22,400 places available in over 950 schemes across the country. The balance is made up of placements in schemes such as the Rural Social Scheme and Tús.

The Government is very conscious of the role CE schemes play to support the delivery of vital services in local communities.

I trust this clarifies the matter for the Deputy.

Community Employment Expenditure by County in 2016

County

Wages

Supervision

Training

Materials

Totals

CARLOW

5,892,198

987,213

162,975

315,363

7,357,749

CAVAN

4,628,106

760,583

120,428

211,348

5,720,464

CLARE

6,751,468

1,393,042

126,352

356,484

8,627,346

CORK

25,575,102

4,588,449

570,816

1,372,011

32,106,378

DONEGAL

13,775,665

2,469,327

292,956

687,693

17,225,642

DUBLIN

66,174,906

14,601,494

1,070,408

2,475,360

84,322,169

GALWAY

18,190,160

3,636,502

322,442

887,631

23,036,736

KERRY

12,488,621

2,128,569

186,009

708,588

15,511,787

KILDARE

9,974,386

1,689,451

324,739

500,815

12,489,391

KILKENNY

5,660,880

909,030

106,265

285,090

6,961,265

LAOIS

4,188,801

695,407

60,004

202,391

5,146,602

LEITRIM

1,579,201

310,894

48,291

79,506

2,017,893

LIMERICK

16,039,202

2,995,706

258,629

782,244

20,075,780

LONGFORD

5,196,767

921,401

137,511

260,546

6,516,226

LOUTH

9,609,997

1,543,068

228,552

483,318

11,864,935

MAYO

9,201,648

1,828,943

163,648

472,072

11,666,311

MEATH

5,688,388

1,005,089

149,449

284,155

7,127,081

MONAGHAN

4,240,865

599,613

112,596

196,106

5,149,181

OFFALY

5,077,853

878,142

141,937

250,460

6,348,393

ROSCOMMON

4,193,349

838,192

95,760

196,681

5,323,983

SLIGO

5,989,938

1,150,102

149,932

322,144

7,612,117

TIPPERARY

9,657,083

2,169,773

147,550

519,340

12,493,746

WATERFORD

11,688,276

2,144,048

242,688

588,715

14,663,728

WESTMEATH

6,610,318

1,135,842

173,487

365,683

8,285,330

WEXFORD

13,293,621

2,469,110

301,142

728,118

16,791,992

WICKLOW

5,681,601

1,021,734

154,667

286,676

7,144,678

Grand Total

287,048,401

54,870,726

5,849,234

13,818,540

361,586,901

Questions Nos. 36 to 39, inclusive, answered orally.

State Pension (Contributory)

Questions (40, 44, 45, 48)

Ruth Coppinger

Question:

40. Deputy Ruth Coppinger asked the Minister for Employment Affairs and Social Protection her plans to implement changes to the State pension in order to rectify pension inequality faced by women. [50591/17]

View answer

Robert Troy

Question:

44. Deputy Robert Troy asked the Minister for Employment Affairs and Social Protection the timeframe for addressing the inequitable system of contribution averaging; and if she will make a statement on the matter. [50593/17]

View answer

Niamh Smyth

Question:

45. Deputy Niamh Smyth asked the Minister for Employment Affairs and Social Protection her plans to re-examine the situation whereby women who were in the workforce and left in earlier years for family duties are not in a position to receive the full State contributory pension when they reach retirement age; and her further plans to address this situation. [50545/17]

View answer

Martin Heydon

Question:

48. Deputy Martin Heydon asked the Minister for Employment Affairs and Social Protection the status of work of her Department in reviewing the position of those affected by the 2012 changes to the eligibility bands for the contributory old age pension; when she expects her report to be finalised. [50578/17]

View answer

Written answers

I propose to take Questions Nos. 40, 44, 45 and 48 together.

The current rate bands applying to the State pension contributory were introduced from September 2012, replacing previous rates introduced in 2000. The rate bands prior to 2000 were less generous, and the improved rate bands introduced in 2000 were a feature of the economic and political environment at that time. The economic crash changed the focus and while other payments were reduced as a result, the core rates of the pension, which many pensioners were solely dependent on, were maintained. Instead, the rates for people who had additional means and lesser PRSI contribution records were reduced.

The 2012 rate bands more closely reflect the social insurance contributions history of a person than those in place between 2000 and 2012. The current rate bands still provide pensions to people which are not proportionate with their level of contribution. A person with only 20 years of contributions over nearly 50 years will still get an 85% pension.

It is estimated that, to revert to the previous bands from January 2018, this would result in an annual cost of well over €70 million in 2018, and this annual cost would increase by an estimated €10 to €12 million each following year.

My Department is examining in depth various options that would provide some relief to those who would have a higher contributory pension had the rate bands not been amended in 2012. If there are equitable changes that target such relief to those who were particularly affected by anomalies under the yearly average system, particularly those with homemaking periods prior to the introduction of the Homemakers scheme, I will bring these options to the relevant Cabinet Committee before bringing any final proposals to Cabinet.

Any change would, if of any substance, have a significant cost, and the resources would have to come from somewhere. It is unlikely this could be done before Budget 2019, and this would reduce the funds available to increase rates of payment in that Budget for everyone, including widows and non-contributory pensioners, neither of whom would gain from any such measure.

It is intended to introduce a total contributions approach for new pensioners from 2020. This will make the rate of contributory pension more closely match contributions made by a person. It will also have significant homemakers provisions that will assist those pensioners who spent significant periods caring for their children, or adults with a caring need.

The main aim of Government policy on pensions is to make sure that pensions are affordable, sustainable and keep their value in the coming years. The reforms that are planned will result in a more inclusive and fairer pension system for all citizens.

I hope this clarifies the matter for the Deputies.

Questions Nos. 41 to 43, inclusive, answered orally.
Questions No. 44 and 45 answered with Question No. 40.

Data Protection

Questions (46)

Mick Wallace

Question:

46. Deputy Mick Wallace asked the Minister for Employment Affairs and Social Protection if she has satisfied herself that the public service identity data her Department as data controller provides to the Department of Public Expenditure and Reform, as data processor, is processed with appropriate security and data protection safeguards. [50588/17]

View answer

Written answers

The Single Customer View (SCV) was developed to enable sharing of Public Service Identity data (called PSI) in accordance with Sections 262 (5) and 262 (6) of the Social Welfare Consolidation Act 2005. In addition, the system facilitates the sharing of this PSI data for control purposes in accordance with Section 261 of the Social Welfare Consolidation Act 2005. Only bodies specified in legislation are legally entitled to access the Single Customer View and only the limited set of PSI data is stored in the system.

The Department of Public Expenditure and Reform maintains and operates the Single Customer View on behalf of my Department. The Secretary General of my Department is the Data Controller. All Single Customer View data is stored in a secure Government-owned and operated datacentre in Dublin. This data is maintained on secure storage in databases with well-defined and monitored access controls in place.

Access to the limited personal identity data on the Single Customer View is subject to the formal approval of my Department. That approval is conditional on a business need being established and on the agreement to and implementation of rigorous data security and protection protocols and standards (both technical and business).

All accesses to the Single Customer View system are logged. Information is logged about what information was accessed, by whom, and when. The Office of the Government Chief Information Officer in the Department of Public Expenditure and Reform, the Client Identity Services Division of my Department and the user organisations management hierarchy can access all relevant access history on the Single Customer View to ensure that all accesses are appropriate.

My Department has published a “Comprehensive Guide to SAFE Registration and the Public Services Card” on its website which also addresses matters relating to the Single Customer View, security and data protection.

I hope this clarifies the matter for the Deputy.

Rent Supplement Scheme Eligibility

Questions (47)

Bernard Durkan

Question:

47. Deputy Bernard J. Durkan asked the Minister for Employment Affairs and Social Protection if she will ensure that officers have due cognisance for the housing situation of persons on certain payments, who may be advised through Intreo to seek employment, which might be low wage employment but could put the person outside the qualification for rent support, which in today's inflated market would effectively render them homeless; and if she will make a statement on the matter. [50547/17]

View answer

Written answers

The objective of the activation process is to provide a professional employment service to help unemployed jobseekers secure and sustain suitable employment and by so doing achieve financial self-sufficiency. This function is carried out by appropriately trained case officers in my Department who provide a personalised supportive collaborative service tailored to meet the individual circumstances of the Jobseeker.

During the course of the engagement between the case officer and the jobseeker, all possible pro-employment incentives are explored and explained to the jobseeker and the advantages and benefits of suitable employment take up are promoted as an integral part of the activation interaction.

In terms of rent supplement, the Deputy will be aware that the strategic policy direction of my Department is to return this scheme to its original purpose of being a short-term income support with the introduction of the HAP scheme. A significant difference between the HAP scheme and rent supplement is that HAP has been designed to allow households with a long term housing need to secure full-time employment and continue to remain in the scheme. Officials in my Department continue to support the transfer of cases from long term rent supplement to HAP.

I trust this clarifies the matter for the Deputy.

Question No. 48 answered with Question No. 40.
Question No. 49 answered with Question No. 42.
Question No. 50 answered orally.

State Pension (Contributory)

Questions (51)

Niamh Smyth

Question:

51. Deputy Niamh Smyth asked the Minister for Employment Affairs and Social Protection her plans to re-examine the situation for women who lost out on their full State contributory pension due to leaving the workforce to rear their children; and if she will make a statement on the matter. [50546/17]

View answer

Written answers

There are two State pensions. Firstly, the State pension non-contributory is a means-tested pension funded from taxation. Secondly, the State pension contributory, which is not means-tested, is paid from the Social Insurance Fund. Accordingly, it is important to ensure those qualifying for that pension have made a sustained contribution to the Social Insurance Fund over their working lives.

To ensure that the individual can maximise their entitlement to a State pension, all contributions, paid or credited, over their working life from when they first enter insurable employment until pension age are taken into account when assessing their entitlement and the level of that entitlement.

The homemaker's scheme makes qualification for a higher rate of State pension contributory easier for those who take time out of the workforce for caring duties. The scheme, which was introduced in and took effect for periods from 1994, allows up to 20 years spent caring for children under 12 years of age, or caring for incapacitated people over that age, to be disregarded when a person’s social insurance record is being averaged for pension purposes. This has the effect of increasing the yearly average of the pensioner, which is used to set the rate of his or her pension.

Backdating it in respect of periods before its introduction in 1994 is estimated to cost €290 million per year, and this figure would rise annually and at a faster rate than the overall cost of State pensions.

It is clear that this is a very substantial sum, which would not be affordable without very significant cut-backs in other areas. Therefore, a change where everyone affected by the 1994 cut-off point for the Homemakers scheme would receive a maximum rate pension, is not a feasible option at the present time.

Where someone does not qualify for a full rate contributory pension, they may qualify for an alternative payment. If their spouse has a contributory pension, they may qualify for an increase for a qualified adult, amounting up to 90% of a full rate pension. Alternatively, they may qualify for a means-tested State pension non-contributory, which amounts up to 95% of the maximum contributory rate.

I plan to introduce a total contributions approach to the calculation of the State Pension (Contributory) to replace the yearly average approach from around 2020. The position of homemakers will be carefully considered in the context of that reform.

Separately, I have committed in this House to ask my officials to carefully examine approaches that might assist some women in the situation you refer to, particularly if they were impacted upon by the rate-band changes in 2012. When they report to me, I will consider the options available, and bring the matter to cabinet committee for consideration and thereafter to Government for approval.

I hope this clarifies the matter for the Deputy.

Foster Care Policy

Questions (52)

Martin Heydon

Question:

52. Deputy Martin Heydon asked the Minister for Employment Affairs and Social Protection if she will review the position of foster parents who are in receipt of homemaker credits but can only qualify for this while foster children are under 12 years of age in view of the fact that their responsibilities continue after 12 years of age; and if she will make a statement on the matter. [50592/17]

View answer

Written answers

The home-makers scheme makes qualification for a higher rate of State pension (contributory) easier for those who take time out of the workforce for caring duties. The scheme, which was introduced in 1994, allows up to 20 years spent caring for children under 12 years of age (or caring for incapacitated people over that age) to be disregarded in the calculation of the yearly average contributions of the pensioner. This will generally have the effect of increasing the yearly average and may result in a higher rate of pension. Claims continue to be subject to the standard qualifying conditions for State pension contributory also being satisfied, including the requirement that 520 contributions be paid.

Foster parents are entitled to the benefits of the homemakers scheme, on the same basis as other homemakers, and will qualify if the carer is in receipt of Child Benefit. If the foster parent is not in receipt of Child Benefit, they can still qualify for the home-makers scheme if the caring periods are confirmed by TUSLA - these are cases where caring is for a short period of time.

The scheme is limited to the age of 12 (except where the child is incapacitated), and most children over that age will be in secondary school until mid-afternoon. This should facilitate both natural parents and foster parents returning to the workforce, either on a part-time basis, or by availing of a few hours after-school childcare each day.

I hope this clarifies the matter for the Deputy.

State Pension (Contributory)

Questions (53, 66, 76)

Thomas P. Broughan

Question:

53. Deputy Thomas P. Broughan asked the Minister for Employment Affairs and Social Protection when the PRSI contribution bands changes made in budget 2012 for the pension will be changed back to the previous four bands; when refunds will be provided to the tens of thousands of pensioners who have been adversely affected; and if she will make a statement on the matter. [50467/17]

View answer

Mary Butler

Question:

66. Deputy Mary Butler asked the Minister for Employment Affairs and Social Protection the way in which she plans to address the shortfall in pension payments for persons retiring since 2012 in view of the inequality between persons retiring pre and post 2012; and if she will make a statement on the matter. [50505/17]

View answer

John Brady

Question:

76. Deputy John Brady asked the Minister for Employment Affairs and Social Protection when action will be taken to reverse the 2012 pension bands and rates changes which resulted in reduced State pension payments for over 42,000 persons; and if she will make a statement on the matter. [50580/17]

View answer

Written answers

I propose to take Questions Nos. 53, 66 and 76 together.

The current rate bands applying to the State pension contributory were introduced from September 2012, replacing previous rates introduced in 2000. The rate bands prior to 2000 were less generous, and the improved rate bands introduced in 2000 were a feature of the economic and political environment at that time. The economic crash changed the focus and while other payments were reduced as a result, the core rates of the pension, which many pensioners were solely dependent on, were maintained. Instead, the rates for people who both had additional means and lesser PRSI contribution records were reduced.

The 2012 rate bands more closely reflect the social insurance contributions history of a person than those in place between 2000 and 2012. The current rate bands still provide pensions to people which are better than proportionate with their level of contribution. A person with only 20 years of contributions over nearly 50 years will still get an 85% pension, which compares favourably with contributory pensions in other EEU countries.

On the matter of differing criteria for people who retired before and after this change was made, this is the norm, both in Ireland and in other countries, when pension systems are reformed in a way to make them more sustainable. If it were not the case, either (a) existing pensioners would be subject to actual reductions in their incomes, in some cases several years after reaching pension age, or (b) no reforms which made savings could ever be made, as people would always be subject to the rules in place when older pensioners had reached pension age.

It is estimated that to revert to the previous bands from January 2018 would result in an annual cost of well over €70 million in 2018, and this annual cost would increase by an estimated €10 to €12 million extra each following year.

My Department is examining in depth various options that would provide some relief to those who would have a higher contributory pension, had the ratebands not been amended in 2012. If there are equitable changes that target such relief to those who were affected by the yearly average system, particularly those who had homemaking periods prior to the introduction of the Homemakers scheme, I will present the possible solution(s) to cabinet committee to consider how these might be financed and thereafter I will bring to Government for approval.

It is intended to introduce a total contributions approach for new pensioners from 2020. This will make the rate of contributory pension more closely match contributions made by a person. It will also have significant homemakers provisions that will assist those pensioners who spent significant periods caring for their children, or adults with a caring need.

The main aim of Government policy on pensions is to make sure that pensions are affordable, sustainable and keep their value in the coming years. The reforms that are planned will result in a more inclusive and fairer pension system for all citizens.

I hope this clarifies the matter for the Deputies.

Citizens Information Services

Questions (54)

Willie Penrose

Question:

54. Deputy Willie Penrose asked the Minister for Employment Affairs and Social Protection if the Citizens Information Board has taken a final and official position on the cost benefit analysis report on the restructuring of Money Advice and Budgeting Service, MABS, and Citizens Information Services, CIS. [50573/17]

View answer

Written answers

The Citizens Information Board (CIB) is a statutory body established by the Oireachtas. In addition to its own statutory responsibilities in relation to information and advocacy service provision, it has statutory responsibility for the countrywide networks of Citizens Information Services (CIS) and the Money Advice and Budgeting Service (MABS).

In February of this year, the Board of CIB decided to change its governance arrangements from ninety three individual service delivery companies to an eight region model. The new model will comprise sixteen regional companies, with one CIS and one MABS company in each region.

Following a procurement exercise, the CIB Executive commissioned a Cost Benefit Analysis on the final model decided upon by the Board. The Cost Benefit Analysis, provided by independent economic consultants, was circulated to the Board of CIB for information in advance of its meeting on 20th September 2017. The report by its nature is an analytical report and, as such, is not dependent on approval or sign off by the Board.

Implementation by the CIB’s Executive of the Board’s February decision is underway. An Implementation Group, with cross-sectoral representation, has been set up to assist with the transition to the new governance model.

I hope this clarifies the matter for the Deputy.

Exceptional Needs Payment Eligibility

Questions (55, 67)

Willie O'Dea

Question:

55. Deputy Willie O'Dea asked the Minister for Employment Affairs and Social Protection if the qualifying conditions for exceptional needs payments have changed; and if she will make a statement on the matter. [50499/17]

View answer

John Brady

Question:

67. Deputy John Brady asked the Minister for Employment Affairs and Social Protection the number of applications made under the exceptional needs payments in 2016; the percentage of these applications awarded and declined, respectively; and if she will make a statement on the matter. [50583/17]

View answer

Written answers

I propose to take Questions Nos. 55 and 67 together.

Under the supplementary welfare allowance (SWA) scheme, the Department may make a single exceptional needs payment (ENP) to help meet essential, once-off and unforeseen expenditure which a person could not reasonably be expected to meet out of their weekly income.

The ENP scheme is demand led and provides assistance to those with exceptional needs taking into account the requirements of the legislation and all the relevant circumstances of the case in order to ensure that the payments target those most in need of assistance. This position has not changed. The legislation does not confer a statutory right or entitlement to ENPs. The principal consideration in making a payment under the ENP scheme is to address a particular once-off and exceptional need which is not of an expected or recurring nature. Discretion is available to officers to issue a payment to assist an individual or household in any particular hardship situation which may arise.

While statistics are maintained relating to payments under the ENP scheme, they are not maintained on the number of applications or the outcome of those applications. Some 100,000 ENPs issued in 2016 at a total cost of €32.2 million. For reporting purposes this data also includes the numbers of urgent needs payments (UNP). A UNP is a once-off payment made to persons who would not normally qualify for SWA but who have an urgent need which they cannot meet from their own resources or an alternative is not available at that time.

Any persons who consider that they have an entitlement to an ENP should contact my Department.

I trust this clarifies the matter for the Deputies.

Family Income Supplement

Questions (56)

Willie O'Dea

Question:

56. Deputy Willie O'Dea asked the Minister for Employment Affairs and Social Protection the rationale behind renaming family income supplement to the working family payment; and if she will make a statement on the matter. [50500/17]

View answer

Written answers

The Department’s approach to developing the working family payment was guided by two principles. First, that it should ensure that work pays, and second, that it should have a positive effect on reducing child poverty. To advance the commitment contained in the Programme for Partnership Government, the Department established an internal working group and an Inter-Departmental Group of the relevant Government Departments to consider proposals. The Department also issued a call for submissions from interested parties.

As part of this process the Department carried out an extensive analysis of the range of supports it provides to assist individuals to take up employment. This analysis showed the existing in-work supports are very effective, and work well in assisting individuals make the transition from unemployment into employment.

These findings are confirmed by the ESRI’s research into the Department’s existing in-work measures, and Eurostat figures, which show that the parental in-work poverty rate in Ireland is 5.8%, significantly below the EU 28 average of 11.2%.

This is in large part due to the Department’s in-work supports such as Family Income Supplement and the Back to Work Family Dividend.

The Department’s approach, my approach and that of my predecessor to the working family payment is guided by two principles: first, that we have to ensure that work pays and that it is worthwhile for people to go out to work, and, second, that it should have a positive impact on reducing child poverty in the country, which is still far too high. This is of particular importance to me.

It is not, for me, as simple as changing the name from Family Income Supplement to Working Family Payment. Under Section 8 I am proposing to put FIS under the umbrella of working family payments and I plan to bring forward a number of progressive supports for working families with a view to assisting those who are transitioning from unemployment into employment, and from under-employment into full employment.

In the context of Budget 2018 it was decided to re-designate the Family Income Supplement (FIS) scheme as the Working Family Payment (WFP), which will bring it more visibility as a payment aimed specifically at working families. The new name better reflects the nature of the payment and the Department would encourage families to look into seeing if they are eligible for the payment. It is also intended to continually review the package of supports offered to working parents to ensure that they continue to meet their objectives.

Question No. 57 answered with Question No. 43.
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