Written Answers Nos. 754-773
754. Deputy Anne Rabbitte asked the Minister for Housing, Local Government and Heritage the protocols in place to ensure city and county councils respond to TD representations in relation to the housing adaptation grant; the alternative mechanisms in place to ensure a response is issued if none is being issued; and if he will make a statement on the matter. [40923/21]
View answerRepresentations from Oireachtas members to local autorities are subject to the provisions of the Local Government Act, 2001 (Section 237A) Regulations, 2003 (S.I. No. 274 of 2003). The Regulations include provisions in relation to correspondence with Oireachtas members by local authorities, arrangements to facilitate access to information, and communication generally by local authorities with Oireachtas members.
Representations made on behalf of individual constituents in relation to housing adaptation grants or other personal matters are also subject to the general requirements that apply under the Data Protection Act 2018, which is under the remit of my colleague Ms Heather Humphreys TD, Minister for Justice. The 2018 Act confers rights on individuals in relation to the privacy of their personal data as well as responsibilities on those persons or bodies holding and processing such data.
The Data Protection Commissioner (DPC) published detailed guidance for elected representatives in December 2018 and this is available on the DPC website at the link below:
www.dataprotection.ie/en/news-media/latest-news/dpc-publishes-guidance-elected-representatives
This guidance was created taking account of the DPC’s direct engagement, at the request of members, with the Houses of the Oireachtas Commission in July 2018.
Local authorities are independent statutory bodies with their own governance and management structures. The implementation and day-to-day compliance with both the data protection obligations and the representations from Oireachtas members regulations is a matter for each individual local authority.
755. Deputy Cian O'Callaghan asked the Minister for Housing, Local Government and Heritage the current position regarding the National Coastal Change Management Strategy Steering Group; the number of times the group has met since its formation; the current membership of the group; the issues it has considered; the timeline for the completing its work and publishing its strategy; and if he will make a statement on the matter. [40929/21]
View answerThe National Coastal Change Management Strategy Steering Group is jointly chaired by my Department and the Office of Public Works (OPW). The Group is comprised of senior officials from the Department of Communications, Climate Action and the Environment, the Department of Transport, Tourism and Sport, the Department of Public Expenditure and Reform, the Department of Agriculture, Food and the Marine, Met Éireann, and the County and City Management Association. The Group met for the first time on 3 September 2020 and most recently met on 10 June 2021.
Further to the initial meeting of the Steering Group in September 2020, a technical working group was also established under the stewardship of the OPW. The work of this group has focused on the identification and initial analysis of data sources, to underpin the work of the Steering Group.
Since the initial meeting in September, the work of the Steering Group is being progressed through a series of bilateral meetings to scope out the extent of the issues, including, inter alia, the threats and effects of coastal change as they relate to the remit of the individual Steering Group members and the wider stakeholders.
To assist and support the work of the group in scoping out the extent of the issues, including, inter alia, the threats and effects of coastal change as they relate to the remit of the individual Steering Group members and the wider stakeholders, my Department and the OPW have been engaging in a series of bilateral meetings in the interim with relevant Departments and key stakeholders.
The intention of these bilateral meetings has been to give an opportunity to discuss the emerging work of the Group and to stimulate the most effective engagement of these key stakeholders. The meetings to date have been very useful in allowing for issues relating to coastal change management to be reflected upon and explored in the context of the particular operations of the participating organisations.
Following these engagement, I understand that the findings of the group are currently being compiled into a report which will be presented to Government later this year.
756. Deputy Fergus O'Dowd asked the Minister for Housing, Local Government and Heritage if there are plans to address the capital funding requirements at the Drogheda wastewater treatment plant considering the ongoing and unacceptable malodour issues reported in the town which has led to the involvement of the Environmental Protection Agency; if Irish Water has made any requests for funding; if so, the details of same; and if he will make a statement on the matter. [40987/21]
View answerSince 1 January 2014, Irish Water has statutory responsibility for all aspects of water services planning, delivery and operation at national, regional and local levels. Irish Water takes a strategic, nationwide approach to asset planning and investment, and meeting customer requirements. The prioritisation and progression of individual projects and programmes is a matter for determination by Irish Water.
As part of Budget 2021, I secured funding of over €1.4 billion to support water services. This includes €1.3 billion in respect of domestic water services provision by Irish Water. This overall investment will deliver significant improvements in our public water and waste water services, support improved water supplies right across Ireland, including rural Ireland, and support a range of programmes delivering improved water quality in our rivers, lakes and marine area.
To be helpful, Irish Water has established a dedicated team to deal with representations and queries from public representatives. The team can be contacted via email to oireachtasmembers@water.ie or by telephone on a dedicated number, 1890 578 578.
757. Deputy Martin Browne asked the Minister for Housing, Local Government and Heritage his views on whether there is anything in the Planning and Development Act 2000 as amended which involves Irish Water in SI 180 taking in charge process and that any subsequent transfer of assets is a matter solely between the local authority in question and Irish Water. [41000/21]
View answerThe Planning and Development Act 2000, as amended, and the Water Services Acts 2007 to 2018 set out the statutory provisions relating to the taking in charge of water and waste water services infrastructure, including developer provided wastewater treatment systems, by planning authorities and Irish Water where it is appropriate to do so.
Section 180 of the Planning and Development Act 2000 (the Act) provides for the taking in charge of housing developments by planning authorities. The legislation sets out the process to be followed when a development is considered to have been satisfactorily completed, as well as where it has not been completed to the satisfaction of the planning authority.
While Irish Water is not a planning authority, it is a prescribed body under the Act for applications for planning permission where it appears to the authority that the development might impact on the provision of public water services. The obligation to take in charge wastewater infrastructure for developments which are completed satisfactorily remains with planning authorities, unless such infrastructure has already been vested in Irish Water through a Connection Agreement pursuant to the Water Services Acts.
When taking an estate in charge under section 180 of the Act, the planning authority shall take in charge “any sewers, water mains or service connections within the attendant grounds of the development” which must then be transferred to Irish Water by Ministerial Order pursuant to section 12 of the Water Services (No. 2) Act 2013.
758. Deputy Ruairí Ó Murchú asked the Minister for Housing, Local Government and Heritage if he will increase the funding that his Department makes available to local authorities for the housing adaptation grant; his views on the way in which the current level of funding is continually excluding many persons from getting work done; his views on the way Louth County Council’s budget for 2021 is already fully allocated; his views on the two to three year waiting list quoted for those classified as priority one cases; his plans to address same; and if he will make a statement on the matter. [41004/21]
View answerMy Department provides funding under the suite of Housing Adaptation Grants for Older People and People with a Disability, to assist people in private houses to make their accommodation more suitable for their needs. The grants include the Housing Adaptation Grant for People with a Disability, the Mobility Aids Grant and the Housing Aid for Older People, which are 80% funded by my Department, with a 20% contribution from the resources of the local authority. The detailed administration of these schemes including assessment, approval and prioritisation, is the responsibility of local authorities. Local authorities receive an overall allocation, with the responsibility for the apportionment between the three schemes being a matter for each authority given their knowledge of local need.
My Department's approach every year is to issue a single full year allocation to each local authority, so they can plan and implement the grants programme. Over the course of the year, my Department works closely with the local authorities to monitor spend and to achieve a full drawdown of the available funding. This means that if underspends arise on the part of some local authorities, they can be redistributed to other authorities which have high levels of grant activity. If Louth County Council is in a position to allocate additional own resources to the grant scheme in 2021, further additional funding can be requested from my Department and every effort will be made to accede to any such request.
My Department recommends that all valid applications should be processed within 6 weeks from the date of submission. However, in the event of a backlog, local authorities should prioritise applications on the basis of the medical needs of the applicant. Louth County Council has advised my Department that it is currently dealing with a backlog of applications.
The schemes are means tested and operate on a sliding scale with the highest percentage grants available to those with the lowest incomes and vice versa. Grant assistance is not available to applicants whose household income, after disregards and deductions, exceeds €60,000 per annum. Local authorities must adhere to the income thresholds set down by the regulations, so that the funding is focused on those households who need it most. In administering the schemes, local authorities should always work with qualifying applicants to ensure they get the most beneficial outcome possible in line with their financial circumstances. My Department will commence a review this year of the means test criteria and maximum grant limits applicable to the housing adaptation grants.
Funding of €75 million is available nationally in 2021 for the Housing Adaptation Grants for Older People and People with a Disability Scheme. This funding has increased year on year since 2014. As part of the annual budgetary process, consideration will be given to increasing this funding in future years in line with the Programme for Government commitments and the Policy Statement on Housing Options for Our Ageing Population, which is available on my Department's website at the following link:
www.gov.ie/en/publication/ea33c1-housing-options-for-our-ageing-population-policy-statement/
759. Deputy Ruairí Ó Murchú asked the Minister for Housing, Local Government and Heritage if he will increase the funding that his Department makes available to local authorities for the disabled persons grant; his views on the way in which the current level of funding is continually excluding many persons from getting work done; his views on the way Louth County Council’s budget for 2021 is already fully allocated; and if he will make a statement on the matter. [41005/21]
View answerMy Department provides funding on an annual basis under the Disabled Persons Grants (DPGs) scheme to local authorities for adaptations and extensions to the existing social housing stock to meet the needs of local authority tenants. The scheme applies to works that are necessary to address the needs of older people or people with a disability. This may involve minor adaptations, such as stair-lifts, grabs -rails, showers, wet-rooms, ramps etc., but can also provide funding for more major adaptations such as extensions, for example in the case of overcrowding, or the installation of a downstairs bedroom or bathroom.
Under the DPG scheme, the Department also provides funding for Improvement Works in Lieu (IWIL's) to enable local authorities to repair, improve or extend privately owned houses that are occupied or intended to be occupied by approved housing applicants, as an alternative to the provision of local authority housing.
On top of the exchequer funding amounts, the local authority makes a further 10% contribution in respect of these grants. The detailed administration of these grants, including the assessment, approval and prioritisation of applications, is the responsibility of the local authorities.
A communication issued to all local authorities in March requesting a programme of works detailing all applications on hand and the status of same together with their contractual commitments. These returns were reviewed and informed the 2021 funding allocations. Louth County Council’s combined allocation is €451,003 which will allow the Council to complete all works in their submission.
The Department will review allocations and funding drawdown later this year with a view to considering revised allocations based on the progress of works. Funding approval for works that cannot be undertaken will be redistributed to those local authorities that can complete works in excess of their allocations.
Demand for this programme has been increasing considerably over the last number of years and it is important to ensure that the available budget benefits the majority of people and meets the needs of eligible tenants.
760. Deputy Ruairí Ó Murchú asked the Minister for Housing, Local Government and Heritage if he will increase the funding that his Department makes available to local authorities for persons with disabilities and mobility issues for which the current grants for adaptation are insufficient; and if he will make a statement on the matter. [41006/21]
View answerFunding of €75 million is available nationally in 2021 for the Housing Adaptation Grants for Older People and People with a Disability Scheme. This funding has increased year on year since 2014. As part of the annual budgetary process, consideration will be given to this funding in future years in line with the Programme for Government commitments and the Policy Statement on Housing Options for Our Ageing Population, which is available on my Department's website at the following link:
www.gov.ie/en/publication/ea33c1-housing-options-for-our-ageing-population-policy-statement/
Officials from my Department will begin a review of the existing grant limits and income thresholds applicable to the grant schemes later this year.
761. Deputy Ruairí Ó Murchú asked the Minister for Housing, Local Government and Heritage the number of land banks by local authority in tabular form; the remaining monies owed on these sites; and the repayments made to date. [41007/21]
View answer762. Deputy Ruairí Ó Murchú asked the Minister for Housing, Local Government and Heritage his plans for dealing with local authority land banks; the cost per local authority of servicing the land bank loans in tabular form; and if he will make a statement on the matter. [41008/21]
View answerI propose to take Questions Nos. 761 and 762 together.
I have no specific function in relation to the local authority owned land banks and the associated local authority local authority debts.
Section 63(3) of the Local Government Act 2001 provides that, subject to law, a local authority is independent in the performance of its functions. Accordingly, the day-to-day running of each local authority is a matter for its Chief Executive while budgetary decisions are made by the Elected Members.
The information requested is not available in my Department but should be available in individual local authorities.
763. Deputy Ruairí Ó Murchú asked the Minister for Housing, Local Government and Heritage if he will increase the maintenance budget to service council homes within Louth County Council; and his plans for future retrofitting given the insufficient budget Louth County Council has to deal with maintenance. [41009/21]
View answer764. Deputy Ruairí Ó Murchú asked the Minister for Housing, Local Government and Heritage if he will increase the budget to Louth County Council to service the huge stock of old housing requiring upgrades such as windows and doors; his interactions with Louth County Council regarding the lack of budget it has to complete these woks; and if he will make a statement on the matter. [41010/21]
View answerI propose to take Questions Nos. 763 and 764 together.
My Department supports local authorities with annual funding towards the management and maintenance of their social housing stock under a number of funding programmes including the Energy Efficiency Retrofitting Programme (EERP) and the Voids programme. Record funding was provided to local authorities by my Department under the 2020 voids programme and very significant funding has been provided again in 2021.
The EERP was launched in 2013 with the aim of funding the retrofit of social homes requiring insulation and energy upgrade works. Since 2013, over 73,500 units of local authority housing stock have been retrofitted under the programme with a total exchequer spend of €161 million. From the period 2013 to 2020 Louth County Council completed 2,281 units under the EERP at a cost of €3.2m. Substantial works has also been undertaken under the Voids programme, with almost €1.6m recouped by Louth County in the period 2015-2020 which resulted in 148 vacant properties being returned to productive use.
The revised EERP for 2021 focuses on ensuring that the fabric of the home is upgraded and an energy efficient heating system is provided. Works eligible under the Programme include attic/cavity wall insulation or external wall insulation, windows and external doors, heat pumps and ancillary works. The budget for the 2021 EER is €45m and Louth County Council has received an allocation of €1,407,580 for the retrofit of a minimum of 52 homes to a B2/Cost Optimal BER standard. Under the 2021 Voids Programme, Louth County Council has been allocated funding for the return of 115 vacant properties.
Responsibility for the management and maintenance of the local authority housing stock is the responsibility of the local authority under section 28 of the Housing Act, 2009. My Department will continue to support local authorities in this regard however it is important that local authorities budget adequately for housing management and maintenance as part of their annual budgeting process using the available housing rental income to its maximum.
765. Deputy Ruairí Ó Murchú asked the Minister for Housing, Local Government and Heritage his plans in relation to affordable cost rental homes and council housing within Louth County Council; and if he will make a statement on the matter. [41011/21]
View answerThis Government is absolutely committed to ensuring that affordable, quality housing solutions are available to everyone in Irish society and this is reflected in the Programme for Government "Our Shared Future".
This commitment was underpinned by the investment of €3.3bn towards housing programmes in Budget 2021. Subject to the impact of COVID-19, this investment will fund the delivery of 12,750 new social homes in 2021, including 9,500 new build homes. I will be publishing a new Housing Strategy, "Housing for All" in the coming weeks and I look forward to working with all stakeholders, in delivering on the commitment in the Programme for Government, to deliver 50,000 new social homes over the next five years.
The status of social housing construction projects, including those being progressed by Louth County Council, is updated and published on a quarterly basis by my Department. The quarterly publication is a comprehensive status report of social housing construction schemes for all local authority areas, with details such as the project locations and a range of information relating to their advancement, whether completed or on site or progressing through planning, design and construction. The most recent publication covers the period up to the end of Q1 2021 and is available at the following link: www.gov.ie/en/publication/23911-social-housing-construction-projects-status-report-q1-2021/.
In relation to Cost Rental, a range of work is ongoing to deliver this new form of housing. My Department is utilising the expertise of Local Authorities, the Land Development Agency (LDA), and the Approved Housing Bodies (AHBs) to deliver projects in a variety of ways, in order to prove the concept of this new sector. Cost Rental will be regulated by Part 3 of the Affordable Housing Act 2021 and I intend to publish the first Regulations governing the Cost Rental sector within the coming weeks, with the full framework for this new housing sector to be introduced in the coming months
The geographic provision of Cost Rental will be informed by National Planning Framework priorities. It will be focused, at least initially, in densely populated urban areas, where rental affordability pressures are particularly acute and where State resources can have the biggest impact. It is important that the State targets its affordability measures towards the parts of the country that are experiencing the most extreme affordability challenges.
One of the main sources of State funding for Cost Rental homes is the new Cost Rental Equity Loan scheme, which was allocated €35m in funding in Budget 2021. It gives AHBs access to Government loans on favourable terms, to cover up to 30% of the cost of new Cost Rental homes. Following the detailed assessment of submitted proposals, approval was granted for the funding this year of 390 new Cost Rental homes, located in Dublin, Kildare, and Cork. Cost-covering rents for these homes will be at least 25% below comparable open market prices. Further details of these homes, including precise locations, will be published when the successful AHBs have completed necessary commercial arrangements. I am planning to expand this scheme through the review of the National Development Plan and the budgetary process, in order to give AHBs certainty of funding on a multi-annual basis and also to allow them to plan developments into the longer term.
766. Deputy Fergus O'Dowd asked the Minister for Housing, Local Government and Heritage the status of the proposed new fire station in Dunleer, County Louth since €1.6 million was awarded for the design and site purchase; and if he will make a statement on the matter. [41047/21]
View answerThe provision of a fire service in its functional area, including the establishment and maintenance of a fire brigade, the assessment of fire cover needs and the provision of fire station premises, is a statutory function of individual fire authorities under the Fire Services Acts, 1981 and 2003. My Department supports the fire authorities through setting general policy, providing a central training programme, issuing guidance on operational and other related matters and providing capital funding for equipment and priority infrastructural projects.
In December 2020, I announced a new Fire Services Capital Programme for the period 2021-2025, with a funding allocation of €61m. Following extensive engagement with fire authorities, a number of proposals for station works etc. were received. The proposals were evaluated and prioritised on the basis of the:
- Area Risk Categorisation of the fire station (population, fire risks, etc.);
- established Health and Safety needs;
- state of development of the project (is site acquired?, etc.); and
- value for money offered by the proposal.
This new Programme will see six new fire stations built, continued support for the construction of a further 12 new fire stations, nine fire station refurbishments as well as the allocation of 35 new fire engines. In order to maximise the available Capital Programme funding, my Department re-assesses the status of projects in the Programme on an annual basis, and some flexibility is normally available to advance projects that are ready and that offer best value-for-money taking account of the state of readiness of projects more generally.
Louth County Council has indicated that Dunleer is their number one fire station priority project, and a new fire station at Dunleer is provided for in this Capital Programme. The Council submitted a preliminary appraisal to my Department in January 2021. Following examination of the proposal, approval in principle for this project issued on 25 June 2021, along with approval for the Council to appoint a design team. I understand that a potential site has been identified by the Council. On receipt of a detailed design brief, my Department will continue to work with Louth County Council to progress the Dunleer fire station project.
767. Deputy Holly Cairns asked the Minister for Housing, Local Government and Heritage his views on providing fully accessible changing places toilet facility open to the public in all buildings owned by the State in which his Department and public bodies and agencies operate to offer persons with disabilities and carers a network of equipped spaces to take care of personal hygiene, in safety and comfort. [41076/21]
View answerThe Building Regulations 1997-2019 set out minimum standards for the design and construction of buildings and works to ensure the health and safety of people in and around such buildings. They are subject to ongoing review in the interests of safety and the well-being of persons in the built environment and to ensure that due regard is taken of changes in construction techniques, technological progress and innovation. Part M of the Building Regulations deals with Access and Use. The associated Technical Guidance Document M provides guidance indicating how the requirements of Part M can be achieved in practice. Where works are carried out in accordance with TGD M, this will, prima facie, indicate compliance with Part M of the Second Schedule of the Building Regulations.
Part M of the Building Regulations aims to foster an inclusive approach to the design and construction of the built environment. While the Part M requirements may be regarded as a statutory minimum level of provision, the accompanying technical guidance encourages building owners and designers to have regard to the design philosophy of universal design and to consider making additional provisions where practicable and appropriate.
In December 2020, my Department established a Working Group to examine the provision for a changing places toilet in certain buildings. A changing places toilet offers larger supported facilities that address the needs of people for whom current accessible sanitary accommodation is inadequate. These facilities enable people with complex care needs to take part in everyday activities such as travel, shopping, family days out or attending a sporting event.
The plenary Working Group has met six times to date, in addition to a number of sub-group meetings. Draft documentation, which includes Draft Building Regulations (Part M Amendment) Regulations 2021, Draft Technical Guidance Document M – Access and Use 2021 and a Regulatory Impact Analysis, is currently being prepared to support a public consultation in the matter later this year.
768. Deputy Richard Bruton asked the Minister for Housing, Local Government and Heritage the income threshold set by him for the first cost of rental properties; the way in which he plans to set income thresholds in different local authority areas; when these will be announced; if a person’s existing housing need will be a factor determining eligibility; and if he will make a statement on the matter. [41108/21]
View answer769. Deputy Richard Bruton asked the Minister for Housing, Local Government and Heritage if the sub-market charge to be made under individual cost rental projects will be determined according to an agreed methodology; the person or body by which this will be conducted in each case; and if he will make a statement on the matter. [41109/21]
View answerI propose to take Questions Nos. 768 and 769 together.
Cost Rental housing, in which the rent is set to cover the cost of provision of homes, is an entirely new housing sector in Ireland. It is not intended to overlap with or replace existing social housing supports for low-income households, which remain a parallel priority for the Government. Cost Rental is rather intended to support households with moderate income, above the limits for social housing eligibility.
The Affordable Housing Act 2021, which was signed into law on 21 July, provides in Section 31 that the Minister may use Regulations to prescribe, among other things, "eligibility requirements in respect of tenants". This will be be necessary to ensure that Cost Rental homes, of which there will finite stock in the initial delivery phase, are accessible to the intended target cohort. The use of Regulations will allow the eligibility criteria to be set in flexible way, open to revision and updating over time.
It will be the role of the Cost Rental landlord to implement any prescribed eligibility criteria for tenants and their households, which will mean checking that tenants are eligible before they are offered tenancy contracts. In the case of the very first Cost Rental homes, the 25 houses at Balbriggan, Fingal launched on 7 July 2021, the landlord will be Clúid Housing, which is an Approved Housing Body supported by my Department's new Cost Rental Equity Loan scheme. Clúid has advertised a household net income limit of €53,000 for these homes, in advance of the enactment of the Affordable Housing Act and the making of consequent Regulations, in order to ensure that tenants can apply in good time and be accommodated in these new homes as soon as possible.
In advance of advertisement, Clúid and my Department together with the Housing Agency, had engaged extensively to ensure that these homes are let to the target cohort of moderate-income households above the social housing eligibility thresholds. The intention is that these homes will be brought under the statutory framework for Cost Rental, now that the Affordable Housing Act has been signed into law.
The full framework of Regulations that will govern this new housing sector will be prepared and introduced over the coming weeks. These will include setting an income limit for the Cost Rental sector as a whole, which will naturally be informed by the experience of Clúid Housing in letting the very first Cost Rental homes at Balbriggan. While there is potential for income limits to vary from region to region and this may be addressed in the future, the initial focus is on making an entirely new form of housing as easy as possible to understand and deliver. Aside from the identified affordability constraint, it is not envisaged that "existing housing need" will be a factor in the same sense that it is for social housing, since Cost Rental is intended to be a fundamentally different housing tenure targeting a different cohort. However, as per the legislation, it is intended that Cost Rental landlords will have regard to the size and composition of a household when considering it for a particular Cost Rental home.
In relation to the "sub-market charge to be made under individual cost rental projects", I assume the Deputy is referring to the cost rents that will be charged for each home. As per Part 3 of the Affordable Housing Act, the initial maximum rent for each home to be designated as a Cost Rental dwelling will be set and agreed during the application process for designation. This is a result of modelling the costs of provision, financing, maintaining and managing the home over a 40-year period, and is not linked to the open market rent for the home. The detail of the designation process will be set out further in regulations, but the Cost Rental designation itself will be formally issued by me, as Minister.
770. Deputy Richard Bruton asked the Minister for Housing, Local Government and Heritage when he will issue a new directive in respect of the revised subsidy that his Department will grant to support the delivery of affordable homes in rent pressure zones under the site support scheme; and if he will make a statement on the matter. [41110/21]
View answerContained within the Programme for Government was a commitment to extend the Serviced Sites Fund (SSF). In line with this commitment, a review of the SSF progress and projects to date was undertaken and, having regard to feedback from local authorities, a number of significant improvements to the funding scheme, now named the Affordable Housing Funding scheme, have been agreed and communicated to local authorities by way of Circular last month.
The changes include expanding the scope of costs covered to subvent the all-in development cost of delivering the housing, which may include land purchase costs; taking applications as they are developed on a rolling basis as opposed to time constrained funding calls; and, allowing funding support to now exceed the current maximum of €50,000 per affordable dwelling on a stepped scale to €100,000, based on location and density.
The improved and expanded funding scheme will provide key, enhanced support to local authorities in making available new dwelling units for purchase or rent at affordable prices.
771. Deputy Richard Bruton asked the Minister for Housing, Local Government and Heritage when he plans to publish regulations that would permit a local authority to draw up a scheme for the allocation of affordable homes; if the same scheme will apply to affordable homes acquired from a Part V quota, an LDA project or a development of affordable homes on the council’s own lands; and if he will make a statement on the matter. [41111/21]
View answer772. Deputy Richard Bruton asked the Minister for Housing, Local Government and Heritage if affordable homes built with the help of the grant from his Department or an acquisition by the LDA of sites at values consistent with affordable pricing will all be sold at a uniform price to all successful applicants; if successful applicants with a lower capacity to finance a mortgage can in addition avail of the shared equity scheme; and if he will make a statement on the matter. [41112/21]
View answerI propose to take Questions Nos. 771 and 772 together.
The Affordable Housing Act 2021 was enacted by the President on 21 July 2021. This Act is the first ever standalone affordable housing legislation, establishing a basis for four new affordable housing measures. These measures will deliver on the Programme for Government commitment to put affordability at the heart of the housing system and prioritise the increased supply of affordable homes through (1) delivering affordable homes on local authority lands, (2) the introduction of a new form of tenure in Cost Rental, (3) a new affordable purchase shared equity scheme and (4) expanding Part V planning requirements to increase the 10% contribution requirement to 20% and to apply it to cost rental as well as social and affordable housing.
It is my intention to commence the provisions of the Affordable Housing Act in the near future. In this regard, the required regulations to implement these measures including eligibility etc. are being progressed on a phased basis by my Department officials and will be finalised over the coming weeks.
In this regard, I can confirm, that in respect of Part 2 of the Act and the sale of affordable homes, it is envisaged that direct sales agreements will specify the purchase price at which the dwellings can be made available to eligible purchasers. This may vary in accordance with individual affordability i.e. the borrowing capacity/purchasing power of the individual eligible purchasers, which is related to incomes.
The minimum price for which a dwelling may be sold will be determined by the local authority and would be influenced by development costs including supports such as the Affordable Housing Fund (which replaces the Serviced Sites Fund).
Local authorities will take an equity stake in the home equivalent to the “affordable dwelling contribution”. This is essentially the discount from market value and the percentage that discount represents of market value will be the percentage equity share the local authority takes in the dwelling. The amount of the contribution will be the amount needed to bridge the gap between what the applicant can borrow under the macro-prudential rules and the market value of the home (subject to the proviso that there will be a minimum price below which the housing authority cannot sell the unit).
773. Deputy Richard Bruton asked the Minister for Housing, Local Government and Heritage when it is proposed that he will set the affordable price in respect of sites being identified by the LDA for potential designation by Government as sites for early development to fulfil housing needs in areas of housing pressure; and the prices which have been set to date on sites in advanced planning or delivery. [41113/21]
View answerThe Land Development Agency (LDA) was established on an interim basis in September 2018, by way of an Establishment Order made under the Local Government Services (Corporate Bodies) Act 1971. The Land Development Agency Act 2021 was recently signed into law and, on enactment, the LDA will be established as a commercial State agency.
Under Part 9 of the LDA Act any affordable housing delivered on relevant public lands, either by the LDA or another developer for purchase or cost rental, will be provided fully in accordance with the provisions of Part 2 (Affordable Dwelling Purchase Arrangements) and Part 3 (Cost Rental Dwellings) of the Affordable Housing Act. This will also ensure that if any provisions in the Affordable Housing Act, including its regulations, change in the future, they will automatically apply to a developer of relevant public lands (including the LDA) under an LDA Act Part 9 affordable housing delivery agreement.
There are 3 options under Part 9 of the LDA Act for a developer, including the LDA, to deliver affordable housing on relevant public lands in accordaance with the Affordable Housing Act: the housing can be designated and leased as cost rental under Part 3 of that Act; the housing can be transferred on completion to a planning authority under Part 2 of that Act; or the housing can be transferred on completion to the ownership of relevant applicants as nominated by the local authority under a direct sales agreement under Part 2 of that Act.
It should be noted that while the LDA is required to pay market value for the purchase of public land, there will a minimum 50% affordable housing delivery requirement for relevant public lands under Part 9 of the LDA Act, with a minimum of 80% affordable housing on relevant public lands in urban areas with a population greater than 150,000, that is Dublin and Cork cities. This will be in addition to the increased 20% Part V social and affordable housing obligation being introduced under the Affordable Housing Act which will ensure that there will be 100% affordable and social housing on such lands in our largest cities. As such, the market value of such public lands will be significantly reduced in terms of the purchase price that the LDA will pay.
The LDA is currently engaging in pre-construction activity on a number of public sites but has not yet taken ownership of any sites. After commencement of the LDA Act, it is intended that the Valuation Office will individually value public sites that the LDA has decided to purchase taking into account the minimum 50% or 80% affordability requirement (as appropriate) under Part 9 of the LDA Act and the increased 20% Part V social and affordable housing obligation.
