Departmental Expenditure.

Dáil Éireann Debate, Thursday - 28 April 2005

Thursday, 28 April 2005

Ceisteanna (159, 160, 161, 162)

David Stanton

Ceist:

159 Mr. Stanton asked the Minister for Social and Family Affairs the nature of the standard or routine reports relating to the expenditure on benefits that are produced by the accounting systems of his Department each month; the reports produced by or derived from these systems which are brought to his attention; and if he will make a statement on the matter. [13765/05]

David Stanton

Ceist:

161 Mr. Stanton asked the Minister for Social and Family Affairs the amounts under each benefits heading in the appendix in his Department’s Vote for 2005 (details supplied), together with the amounts expended under each such heading to 31 March 2005 or such other date as he can conveniently provide; the amounts his Department had estimated at the beginning of 2005 which have been spent to such date under each benefits heading; the reason for the variances under each heading; his forecast of whether, for each benefit heading, the amounts estimated are likely to be exceeded or underspent for the full 2005 year in view of the experience gained in the year to date; and if he will make a statement on the matter. [13767/05]

David Stanton

Ceist:

162 Mr. Stanton asked the Minister for Social and Family Affairs the amounts under each subhead in his Department’s Vote for 2005, together with the amounts expended under each such subhead to 31 March 2005 or such other date as he can conveniently provide; the amounts his Department had estimated at the beginning of 2005 would have been spent to such date under each subhead; the reason for the variances under each subhead; his forecast of whether, for each subhead, the amounts estimated are likely to be exceeded or underspent for the full 2005 year in view of the experience gained in the year to date; and if he will make a statement on the matter. [13768/05]

Freagraí scríofa

Minister for Social and Family Affairs (Mr. Brennan)

It is proposed to take Questions Nos. 159, 161 and 162 together.

In accordance with Government policy in regard to control and management of expenditure, I submit expenditure management reports to Government every second month outlining expenditure incurred in the year to date and projected end-year position for both my Department's Vote 38 and the social insurance fund, SIF. My Department submits reports each month to the Department of Finance comprising income and expenditure tables and qualitative assessments as to likely end-year outturns, for both Vote 38 and the SIF. The amounts drawn from the Exchequer in respect of Vote 38 are also specified. In addition, my Department carries out a detailed review on a quarterly basis of administrative expenditure with a view to monitoring any deviations and initiating any necessary corrective action.

A finance committee, comprising representatives of senior management, assesses the expenditure position based on the monthly expenditure and other reports and any concerns arising from this are brought to my attention. The estimates and expenditure information requested by the Deputy in regard to each subhead of my Department's Vote and each benefit heading in the SIF appendix is set out in the attached tabular statements. The statements show the position as at the end of February. Full expenditure returns for the month of March are not yet available.

The expenditure variances at the end of February are within the margin of error inherent in the monthly budgeting, or profiling, process. They are attributed to a combination of factors, including the timing of encashment of orders and drafts at post offices, which cannot be predicted accurately. In this regard, payments at post offices account for about 60% of the Department's programme expenditure. Additionally, timing differences as between profile assumptions and actual payments arise from time to time, particularly in regard to administration expenditure.

My Department is not, at this stage, forecasting any end year variances on Vote 38 or SIF expenditure. It is too early in the year to confidently predict outturns on what are very sizeable allocations driven almost entirely by demand led schemes.

Vote 38

Social and Family Affairs
	2005 Estimate	Spend end-February	Budget end-February	Variance end-February
	€	€	€	€
ADMINISTRATION
A1. Salaries, Wages and Allowances	175,119	26,800	25,978	+822
A2. Travel and Subsistence	4,577	439	615	-175
A3. Incidental Expenses	10,178	476	712	-236
A4. Postal and Telecommunications Services	14,505	1,381	1,917	-536
A5. Office Machinery and other Office Supplies	14,164	679	1,488	-809
A6. Office Premises Expenses	6,000	436	719	-283
A7. Consultancy Services	8,000	380	999	-619
A8. Payments for Agency Services	61,426	10,855	12,131	-1,276
A9. Information Society — REACH	10,462	1,073	1,288	-214
A10. Information Society — Modernisation of the Civil Service Registration Service	1,764	14	14	—
Sub-Total	306,195	42,534	45,861	-3,327
SOCIAL ASSISTANCE
B. Old-Age Pension (Non-Contributory)	627,900	99,979	102,580	-2,601
C. Blind Pension	16,900	2,634	2,748	-114
D. Child Benefit	1,915,700	291,833	296,490	-4,657
E. Unemployment Assistance	690,000	102,347	102,029	+319
F. Farm Assist	63,600	10,656	10,493	+163
G. Employment Support Services	107,543	19,233	18,776	+457
H. Pre-Retirement Allowance	105,800	15,747	16,056	-309
I. One-Parent Family Payment	769,700	111,592	112,083	-491
J. Widows and Orphans Pension (Non-Contributory)	132,600	20,288	20,818	-530
K. Social Assistance Allowances	11,500	1,772	1,775	-3
L. Family Income Supplement	73,800	11,077	11,821	-744
M. Carers Allowance	212,200	31,673	31,985	-312
N. Supplementary Welfare Allowances	702,400	102,616	104,951	-2,335
O. Disability Allowance	636,200	94,018	98,884	-4,866
P. Respite Care Grant	36,000	—	—	—
Q. Free Schemes	204,092	37,829	40,111	-2,283
R. Money Advice and Budgeting Service	13,620	5,717	5,497	+220
S. Family Support Agency	24,466	1,351	2,268	-916
T.1 Combat Poverty Agency	4,236	501	443	58
T.2 Social Exclusion Programme	123	—	—	—
U. Comhairle	20,917	4,500	4,500	—
V. Miscellaneous Services	15,033	4,127	3,712	+415
Gross Total	6,690,525	1,012,024	1,033,881	-21,857
Deduct:
W. Appropriations-in-Aid	156,573	-26,697	-26,726	+29
Net Total	6,533,952	985,327	1,007,155	-21,828

Appendix to Vote 38

Social Insurance Fund
	2005 Estimate	Spend end-February	Budget end-February	Variance end-February
	€	€	€	€
EXPENDITURE
BENEFITS:
Disability Benefit	521,200	84,397	81,576	+2,821
Invalidity Pension	534,900	79,293	79,765	-472
Occupational Injuries Benefits	89,600	13,724	13,768	- 44
Maternity Benefit	137,100	19,410	19,908	-498
Health and Safety Benefit	184	33	30	+3
Adoptive Benefit	680	113	106	+7
Treatment Benefits	80,300	9,640	10,216	-576
Old Age (Contributory) Pension	1,110,900	170,770	173,793	-3,023
Retirement Pension	1,067,700	158,283	160,147	-1,864
Unemployment Benefit	463,600	70,247	70,866	-619
Widows’ and Orphans’ (Contributory) Pensions	980,000	148,579	150,053	-1,474
Widowed Parent Grant	3,186	514	530	- 16
Deserted Wife’s Benefit	91,800	14,140	14,075	+65
Carer’s Benefit	8,000	1,175	1,171	+5
Bereavement Grant	13,500	1,995	2,250	-255
Free Schemes	183,828	33,343	35,119	-1,776
Redundancy and Insolvency Payments	150,500	10,053	25,082	-15,029
Administration	211,603	27,052	26,950	+102
Total Benefits	5,648,581	842,762	865,405	-22,644

David Stanton

Ceist:

160 Mr. Stanton asked the Minister for Social and Family Affairs the amounts expended in each of the past ten years on software packages, consultancy services and hardware, including maintenance charges, to manage the accounts of his Department; the number of officials engaged in preparing, managing and analysing the accounts centrally; and if he will make a statement on the matter. [13766/05]

Minister for Social and Family Affairs (Mr. Brennan)

The amounts expended specifically on software packages, consultancy services and hardware, including maintenance charges, to manage my Department's accounts, are only available in respect of the years from 1998 inclusive. The total amounts in each of these years are as follows: 1998 —€33,164; 1999 —€49,419; 2000 —€82,700; 2001 —€245,454; 2002 —€369,831; 2003 —€202,609; 2004 —€106,370. The increased costs in 2001 and subsequent years were due to necessary upgrades of the financial management system which required new hardware and consultancy services.

My Department's accounting system requirements necessarily reflect the substantial scale and complexity of its business. Underlying an expected expenditure of more than €12.2 billion in 2005 are almost one million individual payments each week as well as half a million monthly payments each month. These are made through a range of different payment instruments. The Department's voted funds and the social insurance fund must be separately accounted for with details of each of the schemes involved. Detailed accounting for all administrative expenditure is also necessary, including that related to about 4,800 staff.

The accounts are prepared and managed by the accounts branch of my Department, which comprises 83 staff. Reports extracted from the accounts are regularly analysed by various officials across the Department for budgetary and wider management purposes.

Questions Nos. 161 and 162 answered with Question No. 159.