25 Mar 2015, 15:01
Committee to seek update on DDDA dissolution costs
25 March 2015
Representatives from the Dublin Docklands Development Authority (DDDA) will appear tomorrow before Dáil Public Accounts Committee (PAC) to consider its Annual Report and Financial Statements for 2013.
Acting CEO Paul Clegg and Financial Advisor John Crawley will address the Committee. Paul Dunne, Principal Officer at the Department of Environment, Community and Local Government, will also be appearing before the Committee. The dissolution of the DDDA is expected in the coming months, with its powers and functions to be transferred to Dublin City Council.
A February 2012 C&AG Special Report heavily criticised DDDA decision making which led to a €53million write-off of the Glass Bottle Site.
PAC Chairman John McGuinness TD says that the Committee will be seeking information on the extent to which the DDDA can reach its stated objective to break even upon its dissolution. “Committee Members will wish to assess progress in a smooth wind-up of the DDDA and an idea of the value assets yet to be sold. At the end of 2013, investments assets were valued at €9.594 million in the balance sheet. Since then, the Authority has sold approximately €5 million worth of investment assets so we will be looking to hear about progress made on the remaining balance. Creditors were owed €12.7 million at the end of 2013 so the Committee will be asking about the current extent of the total liabilities of the Authority.”
The reported sale below market value of Unit 16 Hanover Quay to U2 will also be raised. Deputy McGuinness continues: “This unit is included in the 2013 Financial Statements with a value €450,000, which was the sales price achieved in 2014 with U2. The PAC will wish to assess how the market valuation of €450,000 was arrived at, and whether the sale was advertised on the open market.”
Deputy McGuinness says that the PAC will also explore the extent of bad debts at the DDDA. “The 2013 accounts include a bad debt write-back of €4.7 million, which includes a bad debt write-off of €327,000 and a reduction in the bad debt provision of €5.008 million. PAC Members will want to explore further details on how the write off and the reduction in this provision arose, and the numbers of debtors involved. We will examine how the DDDA’s is dealing with non-performing debtors and the likelihood that further bad debts will be recovered.”
C&AG concerns around DDDA procurement; the impact of the granting of planning permission for the Strategic Development Zone, and staff redundancy, redeployment and pension costs will also be raised.
The meeting commences tomorrow Thursday 26 March at 10 am in Committee Room 1, LH 2000 and can be followed live here.
Committee proceedings can also be viewed on the move, through the Houses of the Oireachtas Smartphone App, available for Apple and Android devices.
Ends
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Committee Membership
Deputies:
Áine Collins, Fine Gael
Paul J. Connaughton, Fine Gael
Joe Costello, Labour Party
John Deasy, Fine Gael
Robert Dowds, Labour Party
Seán Fleming, Fianna Fáil
Mary Lou McDonald, Sinn Féin
John McGuinness, Fianna Fáil (Chairman)
Gabrielle McFadden, Fine Gael
Derek Nolan, Labour Party
Patrick O’Donovan, Fine Gael
John Perry, Fine Gael
Shane Ross, Independent