Dáil Éireann Debate, Thursday - 25 March 2004
8 Dr. Upton asked the Minister for Defence when he expects that the sale of Clancy Barracks will be closed; the total amount involved; if the money has yet been paid over; and if he will make a statement on the matter. [9282/04]
Amharc ar fhreagraAs I stated in my reply to Parliamentary Question No. 13 on 5 February 2004, a contract of sale in respect of Clancy Barracks was exchanged on 22 December 2003 and the relevant legal formalities are progressing with a view to sale closure in March or April 2004. I expect completion to take place in the coming days. The sale price is €25.4 million and following completion, in accordance with normal procedure, the purchase moneys will be remitted to my Department.
Why has there been such an extraordinary delay given that the Minister announced in January 2001 that the barracks was to be sold and the sale was announced in June 2002? Has any money changed hands and, if so, how much? When will the barracks be evacuated by the Army?
Deputy Sherlock knows about complex difficulties with title and these proved to be exacting. Legal matters of that nature must be completed before money is paid over. If the Deputy would like to meet me in the next few days, I could have a cheque in my hand for €25.4 million and we could have at least one night out on that.
That money should help the widows and widowers. How much was spent on the use of private security firms in the barracks?
We have spent €600,000 since the first sale. Part of that will be recouped from Dublin City Council and other bodies that also used part of the premises in that period. It is not unusual to hire security firms to protect a property that is for sale in case damage is done to it that lessens its value. We have saved a considerable amount in security duty allowances for the normal security that would be provided by the Defence Forces and in telephone, electricity and other charges. If we compare one with the other, we have made a significant saving by adopting this practice.
This barracks is in my constituency and it is interesting that the Minister sold land to offshore companies when house prices are so high. How will the Minister pay for future EU military adventures now that he has sold off all his surplus land? The cheque he will get is already committed to the Defence Forces. The Taxing Master will be interested in the offer to buy drinks for Deputies, although I will take the Minister up on it when he gets the cheque.
In 15 minutes, the Deputy has taken two different sides on Defence Forces expenditure. If I had taken his advice, I would have sold the property for €10 million less but I did not. I gave every chance to the local authority to purchase the site and it opted not to do so.
It made an offer and the Minister refused it.
It did and the Deputy would be in worse trouble than he was 20 minutes ago about expenditure on the Defence Forces if I had accepted it.
Give the horse and greyhound racing fund over to the defence budget.
We are doing well and the Deputy cannot deny that.
Offshore companies are doing well out of this.
There are significant sums involved — the Minister said the State will receive €25.4 million for Clancy Barracks. Does this money go straight to the Department of Defence or to the Exchequer? Is it additional to the Department's budget or does it replace money lost through cutbacks last year and the year before that?
When paying for the armoured personnel carriers, the Pilatus PC-9M training aircraft and other equipment, and infrastructural development, I knew there would be a delay in concluding the sales and getting the money. The Department of Finance agreed that I could spend this money and once I received it from the sales, I would pay it back to the Department. The money was spent in advance of receiving it.
