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Public Private Partnerships

Dáil Éireann Debate, Tuesday - 11 June 2019

Tuesday, 11 June 2019

Questions (459, 460, 492)

Imelda Munster

Question:

459. Deputy Imelda Munster asked the Minister for Health if St. Mary's Hospital community nursing unit, Drogheda, County Louth, is being considered for delivery as part of a bundle of facilities by public private partnership; and if he will make a statement on the matter. [23405/19]

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Imelda Munster

Question:

460. Deputy Imelda Munster asked the Minister for Health the input the private sector will have under the HSE contract under the public private partnership arrangements for community nursing units nationally; and if he will make a statement on the matter. [23406/19]

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Imelda Munster

Question:

492. Deputy Imelda Munster asked the Minister for Health if the private sector will finance capital input under the HSE public private partnership contract for the St. Joseph's Hospital community nursing unit in Ardee, County Louth and the St. Mary's community nursing unit in Drogheda; if so, the funding model that will be used to allow private investors to profit and recoup their investment in a public service; if the private sector will have an input into the staffing of these units; and if he will make a statement on the matter. [23524/19]

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Written answers

I propose to take Questions Nos. 459, 460 and 492 together.

The State's capital programme Building on Recovery: Infrastructure and Capital Investment 2016-2021, which was announced in late 2015, provided for a health PPP project in the amount of €150m. Following analysis, the most appropriate project for this PPP project is a bundle of Community Nursing Units. The HSE is currently undertaking significant planning and preparation work to progress this PPP project.

PPPs offer an alternative model for delivering infrastructure, that can be effective in particular circumstances, and are subject to the same robust and rigorous project appraisal process as traditionally procured projects, in accordance with the Public Spending Code.

The National Development Finance Agency, NDFA, also has a role in advising on the best way of financing large projects, which would include all PPPs.

The Community Nursing Unit PPP will be delivered as a design, build, finance, and operate model (DBFOM). The PPP company will be responsible for the design and build of the Community Nursing Units, including the funding the costs of construction which are estimated at €150m. Thereafter the PPP company will be responsible for providing facilities management and maintenance services for the contract period, typically 25 years, during which the HSE will pay the company an annual unitary charge payment. At the end of this contract period the units will be handed over to the HSE who will be responsible directly for the facility management services provided previously by the PPP company.

The HSE will be responsible for the provision of care services within these units. Therefore the PPP company will not have any input into the clinical operation or staffing of these units, as that is a matter for the HSE.

I understand that St Joseph's CNU, Ardee, Co. Louth is currently being considered for delivery as part of the PPP programme, while St. Mary's CNU, Drogheda, Co. Louth is expected to be delivered through the HSE's capital programme.

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