Brian Cowen
Ceist:2 Mr. Cowen asked the Minister for Agriculture, Food and Forestry the source of the proposal to provide a separate accounting officer for his Department; and the counter-proposals, if any, he made in this respect. [10705/96]
Ceisteanna—Questions. Oral Answers. - CAP Funding.
Hugh Byrne
Ceist:32 Mr. H. Byrne asked the Minister for Agriculture, Food and Forestry when a separate accounting officer will be appointed to administer CAP funding who will be responsible to the Minister for Finance. [10619/96]
John Ellis
Ceist:37 Mr. Ellis asked the Minister for Agriculture, Food and Forestry the reason it was necessary to reduce the responsibilities of the Secretary of his Department and establish a separate executive agency with responsibility for payments to farmers from the CAP with its own separate accounting officer who will be responsible to the Minister for Finance. [10620/96]
I propose to take Questions Nos. 2, 32 and 37 together.
Arising out of the Strategic Management Initiative, a decision in principle was taken in mid-1995 to reorganise the Department. The main focus of this reorganisation was to be the clearer separation of the policy and executive functions, while maintaining the necessary relationships between these two roles, with the aim of ensuring the efficient delivery of services and effective policy formation. I took the decision on reorganisation on the basis of a proposal by the Secretary of the Department, following its approval by the Department's management committee. In particular, the proposal involved the establishment of a number of operationally independent executive units within the Department.
A reorganisation group was established in September 1995 to work out the specific options for reorganisation and the detailed implications, in terms of structures and resources, of such options. The group consists of senior departmental officials, an official from the Department of Finance and is assisted by an external consultant.
The Government decision of 12 March to establish an executive unit for CAP payments was one part of a package of measures which I proposed to Government designed to achieve improved accountability and the protection of the financial interests of the EU and national resources. This package also took account of the work of the Recoveries Group established by Government to examine the recoverability of the EU beef disallowances, on which a decision was then in prospect. The Government decided that, in line with the decisions in principle already taken in regard to the reorganisation of the Department, an executive unit for FEOGA payments, such as an intervention and export refund payments, would be established, with its own accounting officer who would be recruited by open competition. The head of this and other units will be appointed by the Minister for Agriculture, Food and Forestry. As will be the case of the FEOGA unit, where the unit heads are to be accounting officers, they will be designated as such by the Minister for Finance. This is the case in respect of all accounting officers, including Secretaries of Departments.
I should make it clear that the executive unit or units to be established will be integral parts of my Department. The unit heads will not be responsible to the Minister for Finance, but, as appropriate, to me as Minister and to the Secretary of the Department. The head of unit or units will form part of the Department's management committee which is chaired by the Secretary. The Secretary will, of course, remain accounting officer for the Department.
Since the Government decision in March, further work has continued on the detailed organisational aspects of establishing an executive unit for FEOGA payments, as well as other executive units. Based on that work, I expect that the management committee will make detailed proposals to me on departmental reorganisation within the next two months.
Is the Minister suggesting that recent newspaper reports that a separate accounting officer will be appointed who will be answerable to the Department of Finance are incorrect?
I am not sure what the newspaper reports suggested, but a separate executive unit will be set up, most likely in Johnstown Castle, as part of the reorganisation of the Department in Wexford. It will cover the principal European payments, intervention payments, FEOGA payments, export refunds and the head of that unit will be an accounting officer who will report directly to the Committee of Public Accounts, as do other accounting officers.
I took it from the Minister's reply that such an accounting officer would be answerable to the main accounting officer, the Secretary of the Department. Is it the case that the accounting officer is answerable to the Department of Finance? It was reported that would be the arrangement.
We understand the Strategic Management Initiative provides for the separation of policy and executive functions. Did the proposal the Minister brought to Government have the support of the total management team in his Department?
As far as I know, yes. I do not attend management committee meetings.
Did the proposal emanate from that source?
I want to give credit to the senior management unit of the Department. They have been the primary initiators of all the reorganisation of the Department. As this is my first time to work with civil servants, I have been amazed that the impetus for reform has come from themselves.
As to the Deputy's first question, there will be two accounting officers. In the management of the Department, however, the accounting officer will be like the other assistant secretaries and will attend the management committee of the Department under the chairmanship of the secretary of the Department. The second accounting officer will be akin to an assistant or deputy secretary.
Will the Minister confirm that, as recognised in the beef tribunal report by the chairman of the tribunal, one of the praiseworthy aspects of the Department was that the FEOGA grants section had worked well and that only about 0.3 per cent was sought to be recovered by the European Commission? The Department was operating under a huge workload imposed upon it as a result of increased intervention stocks etc. Will he confirm that any changes in organisation do not reflect on the competence displayed by the Department heretofore in respect of the proper payment of grants?
I am very happy to have the opportunity to confirm the satisfaction of the chairman of the beef tribunal but also my personal satisfaction as Minister with the accounting officer and with the FEOGA section. This year between market-related supports and direct income aids about £1.6 billion of EU money is being administered. It is very important that we are seen to be as vigilant in looking after European money as we are in looking after our own.