Dáil Éireann díospóireacht -
Thursday, 29 Sep 2005

Vol. 606 No. 2

Adjournment Debate.

Hospital Staff.

Mr. Deenihan

I thank the Ceann Comhairle for allowing me to raise this matter. Cardiovascular disease is the leading cause of death in Ireland. County Kerry has the highest incidence of cardiovascular disease in Ireland. Documentation provided by the CHAIR project organised by the former Southern Health Board clearly demonstrated that cardiovascular patients in County Kerry are under-served compared to patients in Cork.

A cardiologist was appointed six months ago to provide a cardiology service for Kerry patients both in Tralee General Hospital and in the private hospital, the Bon Secours Hospital, Tralee. This improved access considerably for Kerry patients to invasive cardiology facilities, in other words, angiograms. Prior to the appointment 4% of CHAIR admissions to Tralee General Hospital had coronary-angiography as inpatients. After his appointment such admissions increased to 17%. The service for public patients was withdrawn recently due to a lack of funding. This is disappointing as the service provided by the consultant, Dr. Victor Kocka, was proven to be extremely effective and beneficial.

The national cardiovascular strategy report of 2003 recommended a full-time cardiologist for County Kerry as a matter of priority at that time. We still did not get that cardiologist. Currently there is 0.4% of a cardiology post in County Kerry serving a population of 126,000. County Cork which has a population of 420,000 has six cardiologists. I understand Comhairle na nOspidéal is evaluating the case for the appointment of a full-time cardiologist in Kerry.

I appeal to the Minister of State to convey to the Minister my request that a full-time cardiologist be appointed to Tralee General Hospital starting in January 2006. This appointment should also be accompanied by the necessary support staff and adequate funding. Serious consideration should also be given to the provision of invasive cardiology facilities, including coronary angiography, coronary intervention and permanent pacingin Tralee General Hospital. These facilities would be most beneficial for Kerry patients and would provide urgent access and avoid the long journey patients have to endure to avail of this facility in Cork city. I appeal to the Minister of State to represent my case to the Minister as a matter of urgency. For whatever reason Kerry has the highest rate of coronary disease in the country. For example, in the period from 1998 to 2002 of the 25,149 deaths in the Southern Health Board region, counties Kerry and Cork, 10,726, or 43%, were attributed to diseases of the circulatory system and the higher percentage of those was in County Kerry. It makes no sense that County Kerry would be without a single cardiologist. It is unfair to the population of Kerry. Without wishing to exaggerate, I am convinced that fatalities have occurred in the past and will do so in future because of the lack of basic cardiovascular treatment facilities in the county. This is an urgent matter and I thank you, a Cheann Comhairle, for having allowed me to raise it on the Adjournment.

Minister of State at the Department of Enterprise, Trade and Employment (Mr. Killeen)

I have been asked to take this Adjournment matter on behalf of my colleague, the Tánaiste and Minister for Health and Children, Deputy Harney.

I thank Deputy Deenihan for having raised this matter as it provides me with an opportunity to outline the details of the work in progress to address cardiovascular disease in Kerry. The Health Act 2004 provided for the Health Service Executive, which was established on 1 January 2005. Under the Act, the executive has the responsibility to manage and deliver, or arrange to be delivered on its behalf, health and personal social services. This includes responsibility for the provision of services at Kerry General Hospital.

Heart disease is the single biggest killer in Ireland and living with heart disease is an everyday reality for thousands of Irish people and their families. To tackle this disease the Government launched, in 1999, the cardiovascular health strategy "Building Healthier Hearts", which contains 211 evidence-based recommendations.

The overall aims of the strategy are: to reduce the risk factor profile in the general population, to detect those at high risk, to deal effectively with those who have clinical diseases, and to ensure the best survival and quality of life outcome for those recovering from an acute attack.

Since 1999, the Government has committed more than €60 million towards the implementation of the strategy. This funding has supported a wide range of new regional services and initiatives, which have had a measurable impact on the diagnosis and treatment of patients with heart disease.

As regards tackling cardiovascular disease, the Department of Health and Children has been advised by the Health Service Executive's southern area that investment in the development of cardiology services has taken place in all service areas across the region in Cork and Kerry under the cardiovascular health strategy. Cardiovascular disease accounts for 46% of all deaths in Cork and Kerry.

In line with priorities identified in the Southern Health Board's cardiovascular health strategy five-year action plan, published in June 2000, Kerry General Hospital received in excess of €500,000 over the first three years of the strategy to develop cardiology-related services in the hospital. This has resulted in the appointment of 11.5 technical and administrative staff for the hospital.

The strengthening of its infrastructure has enabled Kerry General Hospital to develop a cardiac rehabilitation service and a cardiac non-invasive diagnostic service, as well as extending its telemetry service in cardiac care units, extending its resuscitation-training programme and providing for ongoing staff training. It has also ensured that essential cardiac equipment was procured for the cardiology services at the hospital.

I am advised that the priority for the region, as identified in the interim report of the joint working group on cardiology manpower is the appointment of a full-time consultant cardiologist at Kerry General Hospital.

In April 2004, €350,000 was allocated under the strategy to support the consultant post in Kerry cardiac rehabilitation services and a first responder programme in the region. Subsequently, €160,000 was allocated in 2004 to begin the process of establishing the consultant cardiology service in Kerry with a full year allocation of €476,000 in 2005. This funding has allowed the HSE southern area to appoint a cardiac technician, nurse and clerical support, as well as providing non-pay costs for such services as angiograms and angioplasts.

A consultant cardiologist was appointed in 2005 in a partnership arrangement between Kerry General Hospital and the Bon Secours Hospital, Tralee. The principal appointment is with the Bon Secours Hospital in Tralee and involves a temporary sessional arrangement with Kerry General Hospital enabling the consultant to work in partnership with Kerry General Hospital in developing specialist cardiology services. Weekly sessions are divided on the following basis: Bon Secours Hospital, Tralee, seven sessions and Kerry General Hospital, four sessions.

I am advised that an application has been forwarded to NHO/Comhairle to seek funding for a full-time consultant cardiologist post for Kerry General Hospital. I am confident that Kerry General Hospital will continue to provide high quality services to the people of Kerry.

Job Losses.

Mr. McGinley

Go raibh maith agat, a Cheann Comhairle, as deis a thabhairt dom an cheist seo a thógáil. I also acknowledge the presence of the Minister of State at the Department of Enterprise, Trade and Employment, Deputy Treacy, who will respond to the debate. It is certainly better than having a Minister or a Minister of State here who has nothing to do with that Department.

The bombshell announcement by Hospira of Donegal town on 23 August last is still sending shock waves throughout the entire county. This was the latest in a savage litany of such job loss announcements in Donegal over the past five years that have brought the total of industrial job losses in the county to more than 7,000. Our industrial base has been virtually wiped out, leaving the county with the highest unemployment rate in the country, at more than four 4 times the national average.

Prior to the Hospira announcement the vast majority of job losses in the county were in the textile sector. Names such as Fruit of the Loom, Comer Yarns, Herdsman's, Nena Models and, more recently, Clubman Omega come to mind. The textile and clothing industry in Donegal — with a few honourable exceptions, such as Magee and Company of Donegal town and Sioen Protective Clothing in my own parish of Gweedore — has vanished off the employment map.

We were conditioned into accepting that the loss of these traditional type jobs was inevitable and were transferring to low-cost economies. However, Hospira, a pharmaceutical company involved in the production of health care products, was looked upon as the industry of the future, a virtual flagship for the county. The 560 workers were confident of their future. Such modern type industries require the skills and training of an educated work force, or so we were told. However, we now realise that even such modern industries are not immune to closure. The Hospira jobs are not being lost. They are simply being transferred to Costa Rica and the Dominican Republic in Central America.

The loss of the Hospira jobs will have devastating economic and social consequences for south-west Donegal, an area already suffering from economic depression from the crisis in the fishing industry. The main breadwinners for hundreds of families are being consigned to the already bulging ranks of the unemployed, with little or no immediate prospects of finding alternative employment in their own county. Many have huge financial and family commitments. Mortgages are outstanding and families have to be educated.

The fall-out is not confined to those immediately losing their jobs in Hospira. It will have a knock on effect on every business and service industry in the area, including hotels, restaurants, cafés, hairdressers and crèches. Every single service will suffer from the impact.

The management of Hospira had the highest praise for the skills and the commitment of the workforce. The closure is not a reflection on their loyalty or dedication. Instead, the finger of blame has been pointed directly at the Government's failure to control costs for manufacturers. Many of these costs are imposed directly by the Government in the form of stealth taxes. Others arise where the Government has a direct influence, such as the high cost of energy, insurance, PRSI payments and exorbitant commercial rates.

When the news broke we had the usual chorus of sympathy and promises from Ministers, saying that "every effort must be made" and "we must harness all the agencies". The old time-worn scripts were just being recycled and regurgitated. We have heard it so often before. Empty promises and pious platitudes are no longer sufficient. They do not put bread on the table.

A new departure is required. We do not need yet another task force or the commissioning of a further report. The special status of the county must be recognised. An extraordinary situation requires extraordinary measures. Incentives must be offered to industries willing to locate in County Donegal. This can be done in many ways, such as tax incentives and rates concessions. Access and communications must be further improved.

In spite of the industrial body blows in recent years, County Donegal has so much to offer — an attractive and pleasant environment, excellent educational facilities, a skilled and educated workforce, excellent housing at reasonable prices and the absence of traffic jams, to name but a few attractions.

With proper marketing, promotion and commitment, jobs can be attracted to the county. Our citizens only wish to live and work in their own environment. It is the responsibility of the Government to deliver these jobs. We are often told of the numbers of jobs created in the past seven years and I do not dispute the figures, which are probably accurate. However, very few of these have been created in County Donegal. We have lost more than 7,000 jobs in the period and fewer than 1,000 jobs have been created to replace these losses. In future the Government will not be judged on what it promises but on the number of jobs provided for the thousands of unemployed throughout the county. I ask for the commitment of the Minister of State and his colleagues. I hope that in his response he will hold out some hope for the thousands who have lost their jobs and the many who never had jobs in Donegal.

Mr. Killeen

I thank the Deputy for raising this matter. The announcement by the company that it is to close its Donegal facility is most disappointing and particularly devastating for the workers and families directly affected. The role of FÁS, the State training agency, will be particularly important in assisting those who are to lose their jobs. FÁS has already been in contact with the company and will provide advice and training opportunities for the Hospira workforce. The agency will make its full range of services available to the workers, which will include top level agreement with the company on responsibilities and actions; intensive interviews, individually and/or in groups, with affected workers that will outline the range of supports and services available; preparation of a skills analysis report by FÁS based on identified workers' needs and local opportunities; referral by FÁS of affected workers to jobs, training courses or other options; establishment by FÁS of special or customised training courses where necessary; and ongoing support and action to keep redundant workers in touch with the labour market.

In addition, Enterprise Ireland is also providing information and support for those who might wish to start their own businesses. IDA Ireland is also in discussion with the company regarding the possible future use of the facility in Donegal town. The full support of the Donegal County Enterprise Board is also being made available.

The Deputy will be aware that there have been significant job announcements in Donegal recently, with more than 210 new jobs announced last week by Zeus Industrial Products and PowerBoard. These projects being supported by IDA Ireland and Enterprise Ireland, respectively, are in addition to 423 jobs which the Minister for Enterprise, Trade and Employment announced earlier this year for the north-west region. The State development agencies, IDA Ireland, Enterprise Ireland, FÁS and the county enterprise boards, under his auspices, are fully committed to supporting and promoting job creation and job retention in Donegal.

In addition to recent job announcements, this commitment is also evidenced by ongoing development and support by the agencies for a number of business parks and enterprise centres in Donegal. These include the completion of the IDA Letterkenny Business Park; the provision of a 25,000 sq. ft. advance office building at Windyhall; the completion of site development work at Ballyshannon for a new facility, and at Buncrana, where IDA Ireland is working with a local developer to provide new manufacturing and office buildings; support for nine community enterprise centres in Donegal by Enterprise Ireland; support for the expansion of the Letterkenny Institute of Technology business development centre; and the development of a marine biotechnology centre at Letterkenny IT.

I recognise that Donegal has experienced significant job losses in recent years, particularly in traditional sectors such as textiles and clothing. Since his appointment, the Minister for Enterprise, Trade and Employment, Deputy Martin, has visited Donegal twice and has met many groups and companies on these visits to discuss both difficulties and positive developments in the county. His colleagues in Government also recognise the particular difficulties in Donegal and in that context will be working together to assist in improving the overall environment to increase the attractiveness of Donegal as a location for enterprises.

Pre-School Services.

Mr. F. McGrath

I thank the Ceann Comhairle for the opportunity to address the House on this important issue. I am delighted the Minister of State is present to listen to this sensible proposal. I hope the Government will provide funding for a very worthwhile pre-school education project. Preparing for Life is a plan to enable children to be ready for school. Fewer than half the children living in disadvantaged communities are ready for school at four and five years. A poor start at school stacks up problems later in childhood and into adulthood.

Several Government initiatives focus on enabling children to be better prepared for life. A group working on the north side of Dublin has prepared an excellent plan to make the most of existing resources and increase the proportion of children ready for school. The plan seeks to turn good intentions into practical ideas, which, if proved to be successful, could be implemented in other parts of the country.

The plan has many unique aspects. It seeks to address the needs of children at each stage of development from conception to the day they go to school. It works with parents as children grow up showing how improvements in children's well-being eases stress on families. Moreover rather than claiming that it has the answer, rigorous evaluation will be an integral part of the plan. The people involved aim to discover which of their ideas work before recommending that they be taken up elsewhere. The plan also sets out the way in which the preparing for life group set about finding new ways of getting more children born into three very disadvantaged communities better prepared for school each year. The plans also connect not only to improve the well-being of children in the area but also to demonstrate possible courses of action for other disadvantaged communities in Ireland and elsewhere in Europe.

Approximately 7,000 people live in these communities and the proportion of children aged 14 or less is twice that of Ireland as a whole and the number of children under one year is also elevated. Approximately 70% of the families live in houses rented or being purchased from the local authority, which is up to three times higher than the national average. While unemployment has reduced by approximately 45% in the past five years, approximately one in nine adults are still out of work. Drug dealing, safe play areas for children, clubs for teenagers and tackling so-called joy-riding are among the primary concerns for parents in the community.

Only 12% of the children in this area continue to third level, which is less than a quarter of the national average. To make matters worse more than two fifths of children leave school by their 15th birthday compared with less than one fifth nationally. Problems with heating, damp, fixtures and fittings are experienced in 56% of the houses. More than 55% of the children do not go to bed before 8 p.m. Some 26% of the children displayed significant problems with conduct before starting school. One in five children has major health and eating difficulties. Some 31% of children starting school last year had missed ten or more days by the end of March.

Sadly 52% of the children in these communities were not ready for primary school when they commenced. School readiness is the critical stepping-stone to well being in childhood and into adulthood. There is strong evidence that this lack of readiness contributes to significant behaviour problems in school, which tends to de-motivate teachers and adversely affects other pupils. Lack of readiness greatly disadvantages children's learning resulting in them frequently arriving at secondary school with significant reading, writing and attention deficits. By this pathway problems in the first few months of primary school eventually contribute to higher levels of school dropout which in turn leads to lower levels of university attendance and lower income levels among children born into disadvantaged areas.

I urge the Minister of State to consider the proposals of this worthwhile group. I commend and thank those directly involved, including Noel Kelly and the northside partnership team for their excellent work. While this plan is about children, education and quality of life, it is also about preventing children from becoming at risk later in life. It will assist in preventing them getting involved in drugs and ending up in our prisons. Above all the plan is about creating a positive future for disadvantaged children. I urge the Minister of State to listen to the proposal when it comes on stream in coming weeks.

Mr. Killeen

Tréaslaím leis an Teachta as an samhradh iontach a bhí aige ar an chlár teilifíse — chaith mé féin agus mo chlann cupla vóta ar a shon.

Mr. F. McGrath

Go raibh maith agat.

Mr. Killeen

I welcome the opportunity to outline the Government's approach to promoting greater social inclusion by prioritising investment in education in disadvantaged areas. The wide variety of measures in place at local level throughout the country for tackling educational disadvantage range from pre-school interventions, supports for tackling children's literacy problems, reduced pupil teacher ratios, increased capitation grants and measures to tackle early school leaving and strengthen ties between the school, the family and the community. In addition, there are interventions in support of youth and in providing second chance education for young people and adults.

Under the new action plan for educational inclusion launched by the Minister for Education and Science last May, further investment is being targeted at young people at risk to help them to make the most of the educational opportunities available to them. The DEIS, delivering equality of opportunity in schools, plan provides for a standardised system for identifying levels of disadvantage and a new integrated school support programme which will bring together and build upon a number of existing interventions for schools with a concentrated level of disadvantage. Approximately 600 primary schools, comprising 300 urban-town and 300 rural and 150 second level schools will be included in the school support programme. The new action plan will be introduced on a phased basis, starting in the current school year, and will involve an additional annual investment of €40 million on full implementation. It will also involve the provision of some 300 additional posts across the education system.

A key underlying principle of DEIS is that of early intervention, including assisting children who are having difficulty learning to read and write at an early stage before the problem becomes entrenched. Key measures to be implemented on a phased basis over the next five years include targeted early childhood education provision for 150 urban-town school communities allowing increased access to literacy and numeracy support initiatives and extended availability of home-school-community liaison and school completion programme services. The 150 urban-town primary schools with the highest concentrations of disadvantage will be targeted to benefit from maximum class sizes of 20:1 in junior classes and 24:1 in senior classes. Rural primary schools participating in the new school support programme will be targeted to benefit from access to a teacher or co-ordinator serving a cluster of schools. Measures will be implemented to enhance student attendance, educational progression, retention and attainment. Measures will be put in place to support the recruitment and retention of principals and teaching staff in schools serving disadvantaged communities. Professional development for principals, teachers and other personnel in schools participating in the SSP will be enhanced.

The action plan will also focus on greater integration of services and improved co-operation and partnership working both within the education sector itself and between the Department of Education and Science and all other relevant Departments and agencies at both national and local level. Priorities will include seeking to expand and develop areas of mutual co-operation with other Departments and agencies on, for example, early childhood education and care, nutrition and health, and literacy and numeracy. The involvement of students, parents, local communities and agencies operating at local level will be an important dimension of the overall planning process for schools in the new school support programme.

Also central to the success of the action plan will be an increased emphasis on planning at school and school cluster level, target setting and measurement of progress and outcomes to ensure that the increased investment is matched by an improvement in educational outcomes for the children and young people concerned. I am confident that the extra supports being put in place will make a real difference to the lives of young people in disadvantaged areas.

With regard to the Preparing for Life proposal that the Deputy asked about, I have been informed by the Minister for Education and Science that her Department's regional office service met the education co-ordinator of the northside partnership on a number of occasions and has provided advice on the development of the proposal. I understand that the proposal is intended to address the needs of children at each stage of their development to better prepare them for school, and that it involves mentoring and group training for parents to improve their skills, esteem and aspirations for their children. The proposers intend that the project will result in improved physical and psychological health and better educational outcomes for children at key stages in their development to the point of reception in school. I understand that the proposal will shortly be presented formally to the Department and that at that stage, it will be assessed in terms of how it can fit in with the Department's overall programmes to address educational disadvantage.

I thank the Deputy for giving me the opportunity to outline just some of the work that is being done in the area of tackling educational disadvantage at present and our plans to extend this further.

Planning Issues.

Ms C. Murphy

I welcome the opportunity to air this issue which, if not addressed, will become a nightmare for many new home owners. Until recently, if a developer was constructing a housing estate, the developer held the responsibility of keeping that estate properly maintained until the local authority took it into charge. With the advent of apartment building, local authorities began to insert a clause in the planning permission insisting that purchasers sign up as members of management companies. The clause has now been extended by many local authorities to house-only developments or mixed developments of apartments and houses. Instead of the developer carrying the cost of the maintenance, the home owners must now take responsibility for the maintenance of sewers, water mains, paths, roads, open spaces, public lighting and even having to pay the ESB for the public lights within the estate. The fees for home owners generally range between €300 to €1,200 but can rise higher.

As the clause is inserted in the planning permission, it appears in the contract of sale, so if one does not pay the fee, one cannot close the sale. I will quote a typical example of the clause in a planning permission, this one relating to a house-only development:

A management company shall be set up in order to manage the communal activities of the development. Prior to the commencement of the development, details of the management company shall be submitted to the planning authority for approval, and with particular emphasis on the provision of sanitary services. Each individual property owner shall be party to the management company agreement and this agreement shall be registered as a burden on the individual property folios in the Land Registry upon the sale of each unit.

Accordingly, the management company becomes a lien on the property so that the property cannot be sold until the fee is fully paid. The management company is initially set up by the developer. I have come across one case, which I believe is the norm, where the developer who set up a property company registered it to the development office and had directors related to the developer.

When the last house is constructed, the developer engages a management agency and the home owners become the management company. The developer says goodbye and the home owners then assume responsibility for just about every aspect of the management of their estate. Instead of organising Christmas parties for their kids or cutting grass and so on, they are ensuring that the sewers are working, that the bulbs are replaced in the street lighting, and they are considering which neighbours to take to court for not having paid their fees. This is not the way to build social capital. Subject to the estate being in a satisfactory condition after a number of years, in reasonably good condition, the council will take the estate in charge. It will not take it in charge if there are problems.

Unfortunately, over the years, I as a councillor have witnessed short cuts being taken by unscrupulous developers. That can seriously increase the length of time before a council will take an estate into charge, if it does so at all. I am aware of some estates which are 30 years old and still not under council charge.

Most new home owners to whom I have spoken found out about the management company obligation on the day they were closing their sales. Many told me that their solicitors had brushed the clause aside as though it were standard. Failure to pay the fee would result in the purchase falling through and the loss of a non-refundable deposit. In some cases that can run to thousands of euro.

The cheques, which in some instances are made out directly to the builder, go directly to the management company set up by the builder. Is is only some months or years later, when the residents ask what they are paying for, that they discover a difficulty. They are starting to put pressure on the management company to finish the estate and discover they may as well put pressure on the builders because they are the same people involved.

I can understand the need for a management company in the case of apartment blocks with shared areas of responsibility. However, the lack of legislation has left many buyers open to additional financial exposure. An article written by Susan Mitchell was published in The Sunday Business Post on 26 June last. She quoted Michael Noonan, who had established the Institute of Residential Management Companies. He told her of a development where the insurance company took the view that the development was being mismanaged. The management company had no sinking fund or money in its account to meet any liability that could arise. It owed the ESB €45,000 and the ESB came out to cut off the power supply.

That is one example of what can happen. The Northside People newspaper reported on thousands of homes in Tyrrelstown, near Blanchardstown, which were affected by a biological contamination of their water supply. Residents who contacted Fingal County Council were referred to a management company. In the end, the council had to bail out the people, but it was a private management company which had the responsibility for the upkeep of those people’s water system.

What should be done? I contacted several local authorities to find out how this situation has arisen. I also contacted the Department of the Environment, Heritage and Local Government. No one seems to be able to point me towards a guideline, clause or a section in legislation which triggered off this change in practice. The Department of the Environment, Heritage and Local Government must immediately consult the local authorities to end the practice of insisting on this clause in house-only or mixed developments on the housing component, and must regulate for the apartment aspect. The Law Society also needs to insist that solicitors properly appraise their clients to ensure clients do not leave themselves open to substantial risk.

Minister of State at the Department of the Environment, Heritage and Local Government (Mr. N. Ahern)

I thank the Deputy for raising this matter. A new provision was included in the Planning and Development Act 2000 — section 34(4) — enabling local authorities to add a condition to a planning permission relating to maintenance or management of a proposed development, including the appointment of a person or body to carry implement it. The primary objective of this measure was to give a legal certainty to the existing practice of planning authorities requiring the establishment of management companies. This helps to ensure good and prudent management of estates following their completion.

It must be emphasised that the provisions in question do not detract from the primary responsibility of developers to finish developments. Planning authorities have extensive powers under the 2000 Act to make developers finish estates in a satisfactory manner in accordance with the planning permission. In addition, local authorities can now be required to take in charge the public services for residential development when requested to do so. It is important to note, however, that taking in charge relates to the public infrastructure like roads, sewers and so on. Management companies have a very different remit. They deal with the on-going maintenance and management of the private elements of housing developments, such as looking after the green areas, landscaping and maintaining community amenities and so on. This is ultimately the responsibility of the property owners, just as any house owner has to take responsibility for maintenance of his or her house. The general issues that management companies must administer on an on-going basis would never have been the responsibility of the local authority. The existence of a management company, controlled by the home owners, is critically important in the case of apartments, which need arrangements to deal with common facilities or structures. I note the Deputy agrees with this point.

In Ireland, the shared legal responsibility is provided for at present through a requirement, when apartments are sold, that the owners become members of a management company for the complex. Other conditions are also put on the sale of properties, for example, the payment of charges to cover ongoing maintenance of the communal parts of the building and a sinking fund to cover future costs. Apartment complex management companies are generally constituted as companies under the Companies Acts. The members are the owners of the apartments. The operation of these companies, their memorandum and articles of association, the employment of any property manager or management entity, then becomes a matter for the apartment owners. Recent problems have arisen in regard to the management of apartment complexes, such as the adequacy of maintenance and cost of service charges. In many cases, these relate to managing agents contracted by the management company.

A Law Reform Commission working group is currently drafting a report on the law in regard to management of apartment complexes and other multi-unit developments. I understand it has already suggested certain changes in the application of company law to management companies for multi-unit developments to the Company Law Review Group which operates under the aegis of the Department of Enterprise, Trade and Employment. Where the Law Reform Commission report identifies any change in the legislative framework to enable management arrangements to operate more effectively, these will be considered by the Government.

I accept there is much concern about management companies. I hope the Law Reform Commission comes up with answers in its report. I will discuss with the Deputy the points raised by her in regard to house-only estates. However, it was always the case that the footpaths or roads in some private estates were not up to standard despite the estates being deemed to have a management company. I do not know whether this is still the case but I accept that many people are walking into similar situations with their eyes closed.

In many cases, residents do not exercise their rights. When an estate is finished the residents are the management company. However, while they could remain in full control of many aspects of maintaining the property and are entitled to set standards at an annual general meeting, they often hand over responsibility to a management agent. I will check some of the points made by the Deputy with regard to house-only estates if she will provide me with the names of the estates. It may be that the services were not up to standard.

I accept this is an issue of major concern. We eagerly await the report of the Law Reform Commission.

The Dáil adjourned at 5.25 p.m. until 2.30 p.m. on Tuesday, 4 October 2005.