I welcome the Minister and his officials. The meeting today is to consider the Supplementary Estimate for Vote 35, Arts, Sport and Tourism, referred by the Dáil. I suggest the Minister outline the issues relating to Vote 35 and that we then allow each speaker ten minutes in response. There are a limited number of issues and they are fairly specific. The joint committee will meet later today, with the Minister of State at the Department of Community, Rural and Gaeltacht Affairs, Deputy Noel Ahern, in attendance.
Vote 35 — Arts, Sport and Tourism (Supplementary).
I thank the Chairman and members of the committee for giving me the opportunity to elaborate on the details of the Supplementary Estimate for my Department's Vote for 2006, which is before the committee this morning.
The Supplementary Estimate being sought comprises five main elements: an additional allocation of €3.6 million to subhead B1, which provides funding to Fáilte Ireland; an additional €4.03 million for subhead D3, which provides State support for the Irish Museum of Modern Art, the Chester Beatty Library, and the National Concert Hall; an additional €10 million for subhead D7, through which funding for the Arts Council is provided; an additional €400,000 for subhead D9, through which provision for the general expenses of the National Library of Ireland are made; and an additional €2.3 million for subhead D10, which provides funding to the Irish Film Board. All the subheads to which I have referred are grant-in-aid subheads and, as such, the proposals to allocate additional funding require the specific approval of the Oireachtas.
The Supplementary Estimate is a technical one, to the extent that the additional funding for the five subheads is being provided from savings which will arise this year in my Department's Vote. Consequently, no additional funding is being sought here today. Before dealing with the additional allocations, I will refer briefly to where these savings have arisen.
Savings arise in a number of capital programmes in my Department's 2006 Estimate, specifically in the case of this Supplementary Estimate, subhead C5 and subhead D5. The programmes under these headings are essentially demand-driven in that funds are only released on foot of claims based on matured liabilities incurred by project promoters. This, of course, is a fundamental requirement of Government accounting and ensures that grant payments are made only where eligible grant expenditure is clearly demonstrated. My Department's capital Estimates provisions are based on our best estimate of the likely demand for the drawdown of such grant aid.
While great progress is being made in the delivery of capital facilities across the country with financial support from my Department, nevertheless I think the committee will accept that, where delays occur at individual project level, the Department is in the hands of project promoters in terms of grant payment which, as I have said, cannot be processed until the relevant documentation has been submitted. Delays in the rate of grant drawdown on a number of projects have led to the savings which fund this Supplementary Estimate.
The estimated total saving on the capital subheads is expected to be in the region of €58 million, of which almost €21 million is being carried forward into 2007 in accordance with the conditions of the multi-annual capital investment framework agreed with the Department of Finance, leaving a saving of €37 million. To maintain momentum in other areas of my Department's activities, I have agreed with the Minister for Finance that a significant proportion of these savings should be reallocated to other cultural projects in the current financial year.
Subhead C5, which funds the Exchequer contribution to the cost of the redevelopment of the Lansdowne Road stadium, is estimated to produce savings of some €8 million in 2006. This is as a result of the expenditure, which was profiled at the end of 2005 in the context of the 2006 Estimates, now turning out to be lower than expected, primarily due to the exigencies of the planning process. It was anticipated that the application for planning permission in respect of the new stadium at Lansdowne Road would go through the appeal process in such a manner as to allow funds provided in the subhead for 2006 to be drawn down in respect of preparatory work on the new stadium. As it turns out, the process is taking longer than expected, the planning process is still ongoing and there will be savings in the subhead this year. It is proposed to allocate €3.6 million of these savings to subhead B1, Fáilte Ireland.
The 2006 allocation for subhead D5 of the Department's Vote for cultural infrastructure, provides for funding in respect of the arts and cultural enhancement support scheme, ACCESS, the costs associated with the redevelopment of the National Concert Hall and other cultural infrastructure projects. Fairly significant savings have arisen in the subhead in the context of costs associated with the purchase of the Earlsfort Terrace site to allow for redevelopment of the National Concert Hall. Some €22 million had been provided in the subhead to fund the 2006 cost of the site purchase but this cost is now being met from the Vote of the Office of Public Works.
In addition, a number of projects grant-aided under the ACCESS programme are either not proceeding or not proceeding as quickly as anticipated. As with all project managers, the ACCESS project promoters are dependent on the various inputs and sign-offs from a number of critical sources, such as builders, architects, solicitors etc., making the timing of grant draw-down difficult to profile. The result is additional savings of €4 million.
In total, therefore, savings in the region of almost €26 million are likely to arise on subhead D5. Of this, €9 million has already been reallocated to other appropriate arts and cultural development projects and it is proposed that €16.729 million be reallocated by way of the Supplementary Estimate before the committee today.
The following are the details of these proposed additional allocations. I propose an additional allocation of €3.6 million for subhead B1, which provides for the administration and general expenses of Fáilte Ireland. The additional allocation to Fáilte Ireland is required to meet the costs of a programme of complementary events organised around the Ryder Cup 2006, including the enhanced official opening and closing ceremonies that made such a positive impact on international and domestic audiences.
With my approval and with the consent of the Minister for Finance, the programme was agreed between Fáilte Ireland and the European Tour. The aim of these events was to capitalise on the unique opportunities arising from the Ryder Cup with a view to promoting an enduring positive image of Irish tourism. The committee will agree the entire Ryder Cup event was a magnificent success and a showcase of Ireland's ability to blend in a very unique way tourism, culture and sporting endeavour. I have no doubt that many of the dramatic scenes over the days of the event will be replayed over and over again, to the benefit of Irish tourism, particularly golf tourism.
Fáilte Ireland, in conjunction with the PGA European Tour, has commissioned Deloitte & Touche to conduct an economic impact assessment of the Ryder Cup in Ireland and I look forward to the results of the work, which is expected early next year. Although figures for visitors travelling here specifically for the Ryder Cup are not available, CSO figures indicate that Ireland hosted 738,400 overseas visitors in September, an increase of 14% on the corresponding month in 2005, with visitor numbers from North America up by over 19%.
I am proposing the allocation of an additional €4.03 million to subhead D3, through which support is provided to the Irish Museum of Modern Art, the Chester Beatty Library and the National Concert Hall. Of this amount, €3.773 million will be capital funding with the remaining €257,000 by way of current funding.
Of this total, I propose to provide an amount of €2.166 million in capital and €189,000 in current funding to the Irish Museum of Modern Art. The museum is building a fine international reputation under its director, Enrique Juncosa, who is also actively engaged in promoting the museum in Ireland through its educational and outreach programmes. This additional capital funding will enable the museum to acquire important artworks to expand and further enhance the national collection of modern artworks.
Unfortunately, I am unable to inform the committee of the nature of the proposed acquisitions as this might affect their market price. However, the director informs me that these are major Irish artworks. The funding will also facilitate the updating of the museum's exhibition programme, IT and security systems.
The current funding is sought to recompense the museum for facilitating the use of its banqueting facilities by State entities and worthy causes free of direct charge for a limited number of official functions. This additional funding will recognise the great work being done by IMMA and encourage its continued expansion of the national collection, while always maintaining its links with our youth through its educational and outreach programmes.
In the case of the Chester Beatty Library, this Supplementary Estimate provides an additional €600,000 in capital funding to facilitate the provision of exhibition lighting, touch-screens, the purchase of arts education kits for school children and to enhance the institution's outreach programme. The additional funds will assist with the acquisition of library reference books and publications, the upgrading of public facilities, the installation of exhibition environmental controls, scanning images and photography equipment and electronic signage.
Chester Beatty Library is recognised as one of the foremost European centres for Eastern and Islamic studies. The funding will also kick-start the library's digitisation programme and help fund the Codex Exhibition, planning for which is now well advanced. This additional funding will help the library to maintain its reputation in this most important international sphere.
The Supplementary Estimate also provides €1.007 million capital funding and €68,000 current funding to allow the National Concert Hall acquire a new sound system to improve acoustics and upgrade its public facilities and its IT and marketing equipment. This additional finding will ensure that the National Concert Hall continues to attract its audience while the necessary redevelopment work is carried out. The new or upgraded systems will be compatible with the proposed redeveloped National Concert Hall, which includes the retention of the existing hall.
I propose an allocation of €10 million in additional resources for the Arts Council. The Arts Council, An Chomhairle Ealaíon, is an autonomous body, whose role is to stimulate public interest in and promote the knowledge, appreciation and practice of the arts. The council is the Government's principal channel of arts funding and is an advisory body to Government on arts matters, operating under the Arts Acts of 1951, 1973 and 2003. As an advocate for the arts, it commissions and publishes research and information and undertakes a range of development projects, often jointly with other public sector or non-governmental agencies.
In recent years there has been a strong demand for funding from the Arts Council. The year 2006 has seen the development of a number of policy programmes, bursaries and capital schemes, to which the response has been unprecedented. This increased demand has prompted this Supplementary Estimate. I propose to provide for the Arts Council an additional €7.5 million towards its capital programmes, including a studio refurbishment scheme, Irish traditional music archive and funding for Wexford Festival Opera to assist while the new Wexford Theatre Royal is being constructed. I also propose to provide for the Arts Council an additional €2.5 million in current funding to assist with the implementation of its opera policy, a children's initiative, large festivals funding and the traditional arts.
An additional €400,000 is to be provided for the National Library of Ireland to fund acquisitions. Unfortunately, I am unable to provide details of the proposed acquisitions for fear of affecting the market price but the appropriate announcements will be made when all of the contractual necessities have been put in place.
I propose to allocate €2.3 million in additional resources to the Irish Film Board. In an increasingly competitive international environment, the board continues to effectively discharge its vital role of promoting our indigenous film industry and marketing Ireland as a location for international productions. Arising from the improvements made to the section 481 scheme in the Finance Act 2006 and the increased capital allocation made to the board in 2006, Ireland has been successful in continuing to attract several important television projects to the State this year.
Challenges still exist in attracting significant international projects due to a number of factors, such as the unfavourable exchange rate with the US, new competition from low cost locations and changes to incentive schemes elsewhere. To help address these problems I propose to make an additional €2 million available to the Irish Film Board to allow it to support the film sector through this difficult phase. The additional €300,000 is intended to assist the board in costs associated with its relocation to new premises in Galway, including enhancing its information technology infrastructure and improving accessibility to its clients.
I commend the Supplementary Estimate to the committee.
I welcome the additional funding for various areas and I will go through the subheads. Will the Minister respond to the debate?
Yes.
The Minister pointed out that a cost benefit analysis of the Ryder Cup has not been completed but in September this year the Anderson economic group estimated the event would bring approximately €43 million into the Irish economy, with Fáilte Ireland predicting a figure of approximately €130 million. Will the Minister clarify which estimate is closest to actual worth to Ireland?
I realise we got much international coverage from it and it received significant coverage on American television. There was an increased demand in golf clubs throughout the country but there was no major bonanza for such clubs at that time, perhaps because a certain amount of green fees were booked anyway and there was no further capacity. There did not appear to be a massive influx of people from America to this sector at that time.
The moneys mentioned regarding the Chester Beatty Library, the National Museum and the National Concert Hall are welcome. We all received the recent submission made by the Council of National Cultural Institutions for the national development plan and it is clear that these sums for cultural institutions, while welcome, are merely a drop in the ocean. The National Library, for example, needs an investment of approximately €50 million for storage alone, the National Gallery needs €38 million, the National Archives need €100 million and the National Concert Hall will be seeking approximately €125 million. The sums mentioned today are small compared to the amounts required.
I raised the possibility in the Dáil that the extension to the National Concert Hall could allow the inclusion of the Royal Irish Academy of Music on the site. In his response the Minister, Deputy O'Donoghue, stated he had set up a committee to examine the future of the National Concert Hall and the scheme to be set up to deal with the additional space. Could that group of experts examine the possibility of accommodating the Royal Irish Academy of Music in its plans? The building housing the academy is outdated and its members are working in conditions one might have expected in the 1950s and 1960s.
The Royal Irish Academy of Music is very under-funded yet produces the country's top musicians. There would be synergy between the academy and the National Concert Hall if they were located on the same site because international composers, conductors and musicians regularly attend and perform at the venue and could interact with the young musicians from the academy who could also perform there. This idea makes sense and the Minister should explore it.
As I pointed out in the Dáil, the Arts Council received grant applications from 2,065 groups and individuals but because of its limited budget were able to support only 500 approximately. Imagine the latent talent and unrealised potential waiting to be tapped and find expression that still lies dormant due to a lack of arts funding. The Minister will argue that he has increased funding substantially since he took office, despite a reduction of €5 million in his first year, and we accept this, but it is not enough.
When one sees how money is spent in various Departments it becomes clear that the arts are seriously under-funded compared with the situation in other countries so I welcome the extra funding announced today but believe more could be provided. A press release from the chairperson of the Arts Council stated that organisation needs €120 million next year but it is only to receive €80 million and much of the extra money is already committed to the Abbey Theatre, the new touring initiative and the traditional arts programme. There will be little enough money for existing beneficiaries to expand programmes and new applicants might be disappointed again.
Arts funding tends to focus on Dublin because it is where most of the artists and cultural institutions are located. I was pleased to be on the National Economic and Social Council committee and its new report will point out that to achieve cultural inclusion it is necessary to spend money on relevant projects and facilities throughout the country. Funding should ensure facilities are kept open and are properly managed and in this regard the Arts Council is seriously under-resourced.
Regarding the Irish Film Board, despite the Minister's efforts, including setting up an Irish film ambassador in Los Angeles, the outlook for the film industry here is not altogether positive. Investment in the region of €100 million is necessary to attract major, international films and the cap for investment here, though increased, stands at €35 million. Apparently there are no major films promised for Ireland next year because other locations have become more competitive and offer superior incentives. They studied the Irish model and have matched and improved on the enticements we have on offer. Almost every state in America offers good incentives and even California has made improvements in this regard to keep films at home. Around the world places like India, eastern Europe, our neighbours the UK and so on have become highly competitive. A figure of €2.3 million for the Irish Film Board will not achieve a great deal in terms of major film production here. Hopefully the cap will be raised in today's budget with a statement on the extension of section 481 beyond 2008 because those planning major films are projecting forward to 2009 and 2010 and need certainty.
The Ryder Cup was a great event but did not see a much political inclusion for the poor politicians of the Opposition as we were not invited to any events except the one in Dublin Castle. I was not available as I was tied up with a football team in Kerry but people like Deputy Allen, who signed the first contract to bring the event to Ireland in 1998, were not invited. One would not want to be sensitive but major events like that should see some political inclusion, for all our talk of cultural inclusion. There is nothing wrong with inviting Opposition politicians to such events as they would not gain an advantage on the Government as a result and would not undermine the Minister. I say this for future reference and it is only right that it be done, though it may not fall under the aegis of the Department. It is only right that it should be done.
There is a major issue with an athlete who was brought before the doping committee. While he was subsequently cleared, he incurred a huge amount of expense in doing so. If someone had accused me of using illicit substances when I was playing football, I would have gone to all extremes to clear my name. If it costs an innocent athlete money to clear his or her name, the athlete should be entitled to some assistance with the medical and other fees incurred. Whether one is an athlete or a politician, one's reputation is all that one has. The State should provide assistance if one's name is cleared — after all, it was an arm of the State that pursued him. While I agree with the strict anti-doping procedure, athletes proven innocent should get some help for defending themselves.
On a point of information, it was not only Opposition Members who were not invited to the Ryder Cup. The Chair was not invited to anything other than the Dublin Castle event.
I have no comment to make on invitations to the Ryder Cup.
As the Minister pointed out, this is a technical Supplementary Estimate that is being funded by savings in his Department. The ACCESS project gave rise to some of these savings. What ACCESS projects are incomplete? Is there an overall reason for these projects running into problems or is it simply a routine delay?
Until we have the benefit of the Deloitte & Touche economic assessment on the impact of the Ryder Cup, we are not in the best position to judge its effect. I accept the point that many of the good effects are difficult to measure. As has been pointed out, the ongoing television replays of Ryder Cup action continue to promote Ireland and the facilities on offer at the K Club. I take it this is simply tidying up after the event. I assume an agreement was made with the Minister for Finance to provide the money and the opening and closing ceremonies benefited from it.
The Minister spoke about the promotion of the Irish Museum of Modern Art through its educational and outreach programmes. Members are supportive of such programmes. However, I would like an indication of the extent of these programmes and how they operate. To what extent do they operate outside the capital? Do these programmes reach into all parts of the country? The market price issue arises with the acquisition of artworks. We do not know what it is buying, but I am sure it will buy wisely and well and enhance the national collection.
Has any effective progress been made on the redevelopment of the National Concert Hall? Representatives of the National Concert Hall made an impressive presentation to the committee and I particularly welcomed its outreach and educational programmes. The organisation is reaching out to share the arts with all communities, including disadvantaged ones.
I note that an additional €2.5 million in current funding is to assist with the implementation of the Arts Council's opera policy and children's initiative. What is the children's initiative? The large festivals funding is of local interest to me. Is there any prospect that, at long last, the Waterford International Festival of Light Opera will get funding under this subheading? It is a large festival.
I also note the moneys allocated for acquisitions by the National Library. It is understandable that we are not being advised of the material that is being sought. I am also seeking clarification regarding the film industry funding. The Minister previously said that the unfavourable exchange rate, competition from new low cost locations and changes to incentive schemes elsewhere are causing problems for Ireland as a location for major film projects. How will this €2 million support the sector through this difficult phase? I do not see how the difficulties with the US dollar exchange rate can be effectively addressed. How will the funding be used to make us more competitive vis-à-vis the new low cost competitors? Like the section 481 scheme, I assume that incentives offered elsewhere are essentially financial measures that could be introduced here by the Minister for Finance. I wish continuing success to all the institutions involved in the sector.
I welcome the Minister, Deputy O'Donoghue, to our committee. He is the best Minister we ever had and everyone on the committee knows it. People who live near to where the Minister lives know the advantage of having a man like him in the job. They can sit back, relax and take it easy, knowing the Minister will do all the work. Never has so much money gone into arts, sport and tourism. Never has a greater commitment been given to these sectors than that given by the Minister. He should keep up the good work. His record speaks for itself and there is no need for anyone, not even me, to say anything about it. The arts, sport and tourism are important and the Minister recognises that fact.
I did not intend to comment on the Ryder Cup but, since it has been raised, I will now do so. At the time of the competition, all golf clubs in the country were busy and most politicians should have been in their constituencies entertaining the visitors who travelled here. Longford was overwhelmed with the number of visitors who came to play in the golf clubs in the county and in Westmeath. A great number of them had not been here before. We were on the world stage. This event was serious business. It was broadcast to every country in the world and people were viewing and talking about Ireland. We were the conversation piece of people in every bar, restaurant, hotel and private house in the world. Everyone was talking about the beauty of Ireland, our great country, fantastic golf courses and congratulating us on our great victory.
As for being invited here, there and everywhere, I thought politicians did not need to be invited to go anywhere because most of them I know turn up, regardless of whether they are invited, and some who are invited do not turn up.
One could only get within 15 miles of the K Club.
I am tempted to answer Deputy Kelly's comment but I will not.
The Chairman at least could have been invited.
I was there but I bought a ticket.
I must congratulate one of my constituents. If Members ever want to go to the K Club, they should let me know, as one of my constituents is involved there.
Fair play to him.
We are back to the point of not needing an invitation. I have a number of questions for the Minister. Deputy Deenihan spoke about the Royal Irish Academy linking in with the extension of the National Concert Hall. I am not aware of any recent comment about the status of the Performing Arts Centre and whether it is to be linked to the National Concert Hall development or whether there are any thoughts on that. With the major development of the National Concert Hall, to which Deputy Deenihan referred, it is important to have a concentration of supporting mechanisms for people who not only perform but receive tuition in the one location. It is an opportunity that should not be missed.
I welcome the increase in funding for the Arts Council but is there no mechanism whereby more money could be allocated for current spending, especially given that people have submitted applications which have been processed and such projects will probably be ably run? I appreciate that part of their problem is trying to ensure the money allocated is spent at the end of the year. Given that the Arts Council has spent considerable time assessing applications throughout year, if it has been allocated more money for current spending, it probably could also spend it and the benefits of such funding would reach many individuals.
When one notes that more than €3 million has been allocated to Fáilte Ireland for administration costs, one would like such funding to extend beyond administration and benefit people, be they musicians or artists, in the form of support for projects on which they have spent considerable time submitting applications and awaiting approval. I accept that the increase in funding for the Arts Council is welcome and that considerable capital expenditure is necessary.
Reference was made to funding being crucial for the Irish Film Board to attract people to Ireland, yet our theatres experience difficulties in attracting foreign artists, especially for not for profit or community type ventures, in that they are still being hit with the payment of VAT in respect of them. Could an injection of funding have been made for theatres throughout the country at the end of the year to make up for their having to use some of grant moneys earlier in the year to pay VAT in respect of foreign artists? This issue is pertinent in my region in that if people come to Derry or Belfast and want to perform in Letterkenny, instead of the critical mass issue that applies in performing for a week in a region in different centres, there is a disincentive to their benefiting from economies of scale in having people in a region perform in different places because there is a Border and the theatres must pay VAT in respect of foreign artists. I sound like Scrooge but I believe the more money that can benefit the people involved in arts, sports and tourism the better. Having said that, I congratulate the Minister on another successful year.
I thank all the Members for their contributions. With regard to storage at the national cultural institutions, we are in dialogue with the Office of Public Works and the various national cultural institutions about providing high-quality off-site storage for these institutions. An estimate of our requirements for additional storage space is being compiled and the OPW is committed to identifying a common off-site storage facility.
The Ryder Cup was enormously successful. Based on the experience of past tournaments and updating figures for inflation etc., it has been estimated that the economic benefit of the event to Ireland was of the order of €130 million. That does not take into account the spin-off which should accrue in subsequent years. I understand that the Deloitte & Touche report has not yet been completed but preliminary indications from the work being done suggest that the €130 million estimate could be close to the mark. This relates only to the foreign revenue benefits and does not take account of any domestic impact.
I referred in my speech to the clear reference in the Central Statistics Office figures to a bounce in visitor numbers in September when US visitors were up by almost 20%. There is no doubt that the reason for this was the Ryder Cup. It is estimated that anything up to 90,000 of the figure I mentioned for September, which was in the order of 738,000, were here directly as a result of the Ryder Cup. Therefore, I was not surprised to hear Deputy Kelly mention that golf courses in the vicinity of his constituency did really well during the Ryder Cup. I accept he was correct about that. The lasting impact of the hosting of that event will be enormously positive. As Members know, we have more than 400 affiliated golf courses and 40% of the world's championship links courses. We are now involved in promoting golf in Ireland on the back of the Ryder Cup and such promotion should be enormously successful.
Golf as a niche market has been identified as an idea which we should pursue to a far greater extent than ever before and it is the intention of the tourism State agencies to do precisely that. Visitors were highly impressed with the organisation and staging of the Ryder Cup. Despite all the doom and gloom, the experience was positively commented upon by all visitors. The very gracious captain of the American team, Tom Lehman, said that the Ryder Cup in Ireland was the best ever.
With regard to the question of arts spending outside Dublin, Deputy Deenihan suggested that arts funding is too Dublin oriented. I have taken steps to support arts facilities outside Dublin in my re-allocation of savings in the current financial year. Much of the €25 million additional funding will be spent outside Dublin. The ACCESS II scheme, which we advertised in recent times and in respect of which 150 applications have been received in the Department, will be targeted at arts centres outside Dublin.
With regard to the film industry, there is a great deal of competition internationally to attract film production. It is a known fact that the Chancellor of the Exchequer in Britain, Gordon Brown, has amended the incentive in Britain and such incentive is a major attractor of film productions to Britain at this time. However, it must be said that our section 481 relief is competitive. The cap has been raised to €35 million. In general terms, it has been particularly successful in attracting TV productions. It must be remembered that Ireland's relief is unique in the sense that we alone offer tax relief for TV productions. Of course, there is no way I can guarantee that we will always be attractive to big budget films. It is not a case of throwing money at them, which can only lead to a bidding war wherein one incentive is adjusted to match and exceed another. That would result in a game of leap-frog or a Dutch auction. In future we may have to be clever and targeted. Funding incentives have their part and we have been generous in this regard. However, we must also watch our costs, deliver maximum flexibility and focus on niche markets where we have strengths and advantages, such as certain types of TV production. In the past, this approach has always borne fruit.
I note that the Irish Film Board has identified certain productions it believes it can attract if a suitable financial package is put in place. If successfully attracted to Ireland, these productions could sustain the essential personnel and infrastructure within the Irish film business through this difficult period. Towards this end it has sought a special additional allocation of €2 million from the Department in 2006. If it is successfully utilised, it can be effective in attracting TV productions in particular. In 2005, we provided a similar sum of €1.5 million, which resulted in attracting two TV drama projects, namely, "The Tudors" and "Murphy's Law", and a feature film "Becoming Jane".
The question of the performing arts was raised by the Chairman. The performing arts academy was originally not within my Department's remit, but that of the Department of Education and Science. I am anxious to progress this matter but my focus has been on getting approval for the new National Concert Hall, the new Abbey Theatre and the new Wexford opera building, as well as the needs of the major national cultural institutions, to which I have already referred. At the appropriate time I will re-examine the proposal to establish a performing arts academy with particular reference to the needs of the Royal Irish Academy of Music, to which both the Chairman and Deputy Deenihan have referred.
As to whether or not it will be possible for the Royal Irish Academy of Music to be accommodated in the new National Concert Hall, the project steering committee met for the first time this week. Its next meeting is planned for early January when it will be discussing the accommodation arrangements for the new National Concert Hall, which have been drawn up by the board of the concert hall. A draft accommodation proposal has been put to them and, as I told Deputy Deenihan in the Dáil, the steering group is the appropriate body to discuss whether or not it will be possible to accommodate the Royal Irish Academy of Music there.
Will they consider that proposal?
We can ask them to do so. We will bring the Deputy's views on the matter to the attention of the steering group and ask them to consider the matter.
As regards the question of foreign artists and VAT, the difficulty with making payments to theatres or groups who are bringing in performing artists from abroad is that one is creating a precedent whereby one is giving a grant to pay tax. In turn, that can be an incentive not to worry about tax in the future because it will be discharged by the Exchequer. There is a difficulty with that proposal. Apparently, the Minister for Finance has a problem with amending this particular law due to a European directive. I have raised this issue with the Minister for Finance on a number of occasions but, unfortunately, there appears to be some difficulty concerning a European directive which is tying him down.
That is the reason I raised the matter. There may be a difficulty in resolving the question, but there is also a difficulty in that it may impede future development.
Yes.
Therefore, if money is given out in the form of a grant and some of it comes back as VAT, the whole value of the grant is not there in the first place. That must be offset at the end of the year by an extra injection of cash that again comes back as an injection.
It is not something I would rule out but the whole principle of grant aiding any organisation to pay its taxes is a bit of a problem.
I understand that but I am just stating the reality out there.
We grant aid for capital developments and current funding, but the idea of grant aiding to pay taxes is a problem. I am not ruling it out but it is anomalous.
With regard to people being invited to the Ryder Cup, I am all for politicians being invited to the Ryder Cup. It is important for everybody to realise that many of the official visits surrounding the Ryder Cup, including the opening and closing ceremonies, were organised and controlled by the European golf tour. As I recall, the only event that was organised directly by the Department was the State reception. The invitations to that event came under my control, but invitations to the event itself did not come under my control. In any event, the rule concerning any invitation that came was that the tickets had to be paid for. In so far as it was possible to organise that for anybody who asked, we did try to do so but the tickets had to be paid for. There was not much we could do about that.
I was not referring to myself because I could not have been there but, in 1997, Deputy Allen was involved in signing the initial contract for the Ryder Cup. As a matter of courtesy, he could have been recognised.
There was a Fáilte Ireland tent.
In so far as there was one, the Ryder Cup contract was signed by Deputy McDaid.
The former Minister of State, Deputy Allen, has said publicly that at the end of his ministerial term he signed some protocol.
We are getting away from the Supplementary Estimate.
I do not know what he signed.
Deputy Allen was there.
I know that Deputy McDaid actually signed the document.
In all fairness, Deputy Allen was there right at the start of the process.
I am not denying that Deputy Allen was there.
Remarks should be addressed through the Chair. Deputy Deenihan's point has been well made.
I just wanted to clarify that Deputy Allen was involved in it. The Minister's officials may not think so, but he was involved.
My officials have not said a word to me about it. I do not know what they think about it and I do not even know if they were there at the time. I am just telling the Deputy, from my own knowledge, that Deputy McDaid signed the document which led to the Ryder Cup coming to Ireland. I know that for a fact.
Deputy Allen initiated the whole thing.
Coming back to the Supplementary Estimate, is it agreed?
Although the Minister may not wish to answer it, I raised the question of doping procedures.
It is not strictly relevant to the Supplementary Estimate.
The sub judice rule must apply to the particular case mentioned by Deputy Deenihan. He is aware that we signed the Copenhagen declaration on foot of which we established rules. These rules are being treated as a model of best practice in many countries where drugs and sport are concerned.