Dáil Éireann Debate, Tuesday - 26 July 2022
487. Deputy Richard Boyd Barrett asked the Minister for Public Expenditure and Reform if he will provide a copy of the Department of Finance Memorandum for Government of 18 December 2012, the Property Asset Management Delivery Plan 2013, the OPW's Capacity and Capability Review 2014; if he will provide an update on each of the 12 recommendations set out in these reports; and if he will make a statement on the matter. [41047/22]
View answer492. Deputy Richard Boyd Barrett asked the Minister for Public Expenditure and Reform the reason that the current estimated occupancy rate at 22.26 square metres per person is almost double the target occupancy level as per the 2013 Property Asset Management Delivery Plan of 12 square metres per person; when it is hoped to reach the target; and if he will make a statement on the matter. [41053/22]
View answer494. Deputy Richard Boyd Barrett asked the Minister for Public Expenditure and Reform if his Department has implemented its cost option appraisal model of candidate projects; the person or organisation who will undertake this review work; and if he will make a statement on the matter. [41055/22]
View answer495. Deputy Richard Boyd Barrett asked the Minister for Public Expenditure and Reform if a risk assessment protocol has been devised and adopted by the OPW and applied to all accommodation requests and requirements, specifically in relation to the choice between owned versus leased property solutions; and if he will make a statement on the matter. [41056/22]
View answerI propose to take Questions Nos. 487, 492, 494 and 495 together.
As the Deputy may be aware, all memoranda for consideration by the Government are confidential. Therefore, the OPW is not in a position to provide you with a copy of a Memo referenced in your question.
The Property Asset Management Delivery Plan 2013 (PAMDP) is publicly available on at: Property Asset Management Delivery Plan 2013. A progress report on the Plan from 2015 is available at: Property Asset Management Delivery Plan (Progress Report 2015)
A copy of the 2014 Capacity and Capability Review is attached.
The Deputy will be aware that since work was completed many years ago on these reports, the landscape in the area of property in the public service has changed significantly. These changes have mainly been driven by public sector reform initiatives, the onset of Covid-19, the introduction of blended working models and radical changes in cost models in the construction industry.
Responding to these changes, the OPW too has had to adapt to the evolving environment by introducing new measures and initiatives some of which include:
- The establishment of a dedicated Communications Unit to enhance engagement with stakeholders and the public by raising awareness of the OPW’s activities. The OPW regularly hosts Accommodation Workshops with client Departments, Annual Accommodation Officers Network Conferences and provides web-based client related information. Central to this activity is the assistance provided to Client Departments regarding the reshaping of office accommodation to me new blended working models;
- The development of an overall estate management strategy to provide a high level, coordinated planning approach of the functions covered within the Estate Portfolio Management area;
- The requirement to ensure that all property solutions meet expected climate and environmentally appropriate standards;
- The establishment of a Portfolio Planning Unit to facilitate more in-depth strategic portfolio planning and property option appraisals, along with identifying potential opportunities in the market, in consultation with the Property Advisory (Valuation) Services in the OPW. This includes assessing options relating to requests for accommodation received from clients. These option appraisals are conducted in line with the Public Spending Code and are prepared by a multi-disciplinary group tasked with assessing all potential solutions, including lease versus buy options, among others. In relation to assessing options around the relative cost of building, buying or leasing office accommodation, this was examined as part of a spending review carried out jointly between OPW and the Irish Government Economic Evaluation Unit (IGEES). Decisions on whether to build, buy or lease are taken by the OPW on a case-by-case basis, and have regard to a number of factors including:
- Availability of capital. The build or purchase option requires upfront capital whereas lease options involve a more gradual build-up of costs;
- The operational requirements of client departments and agencies;
- The balance of properties already in the portfolio;
- Whether the requirement is for short term or longer term usage;
- Security considerations and requirements for specialist fit outs;
- Profile of the proposed occupier e.g. Government Department headquarters or regional offices for agencies;
- Property market availability and trends;
- Availability of sites for development;
- The timescale within which a property solution has to be delivered;
- Increased use of structured multi-disciplinary option appraisals on significant acquisition proposals;
- Independent verification of Heads of Terms agreed on leasehold or freehold acquisitions to ensure alignment between the agreed Heads of Terms and the final legal documentation;
- The establishment of a property Acquisition and Disposals Committee to identify potential strategic acquisitions, matched with planned disposals (to re-invest disposal income);
- The adoption of office accommodation standards that have introduced more modern, open plan working environments that optimise space usage. The approach to the utilisation of office space has significantly changed in the past two years since the onset of Covid-19. All client Departments are currently examining more flexible working policies across the civil service. In instances where Departments wish to rationalise properties they occupy, the OPW will continue to facilitate changes in accommodation, subject to any legally binding occupancy agreements in place;
- The establishment of a Project Oversight Group, which provides accountability for planning, budgeting decision-making on project inception (i.e. getting projects onto the pipeline), prioritisation and resourcing for delivery;
- The restructuring of the projects delivery area to include a Major Capital Projects Unit to manage large and/or complex projects requiring extensive design work, an Intermediate Capital Projects function and a dedicated Minor Capital Works function with a core of professional and administrative staff. This has focused activities on optimising our delivery of the large number of capital projects undertaken by OPW;
- The introduction of an Integrated Workplace Management System (IWMS) to streamline the management and information sharing of property activities and data across the organisation
