Dáil Éireann Debate, Thursday - 7 June 2012
16 Deputy Jonathan O’Brien asked the Minister for Jobs, Enterprise and Innovation the financial oversight that he provides to county enterprise boards; and his assessment of the budget process of CEBs. [27333/12]
Amharc ar fhreagraAn annual Exchequer allocation is provided under the Estimates process for the CEBs. The 2012 allocation is €26.4m of which €15m is for the provision of direct grant aid and the provision of training, mentoring and advisory services to micro-enterprises.
Individual CEB allocations are determined by the CEB Central Coordination Unit within Enterprise Ireland (CCU). In determining these allocations a systematic approach is adopted to ensure the maximum degree of objectivity and equity of treatment. Individual allocations are done on the basis of a standard allocation to each CEB (i.e. 70% of the overall grant allocation is divided between 35 CEBs) together with an additional allocation that is determined mainly by population but which, particularly in relation to the allocation for direct grant aid, also takes account of local unemployment trends, capacity to spend, existing commitments and regional considerations.
It is a matter in the first instance for individual CEBs to determine how they will use allocated funds in the most effective manner possible. Some Boards might commit funding as eligible projects present themselves while others might reserve funding until later in the year so as to support eligible projects that emerge at that time. Importantly not all grants approved (or "committed") are drawn down for a variety of company specific reasons.
The CCU works closely with the CEBs throughout the year to monitor the draw downs of funds by CEBs and the level of commitments being entered into. The CCU has advised that it is currently conducting a mid-year review of CEB finances to measure demand to year-end and to identify any situations where a Board might not fully utilise their allocation which could then be re-allocated to another Board.
In addition to this ongoing oversight and monitoring of budget spend it should be noted that within the CEBs all recommendations on whether or not projects should be grant-aided are made by an Evaluation Committee whose membership is external to the Board and executive of the CEB. I would also point out that all CEBs are audited by the Comptroller and Auditor General on an annual basis.
In light of the recent Government Decision to dissolve the CEBs in their current format and to deliver enterprise supports from within the Local Authorities via the new LEOs the existing funding mechanisms will be reviewed as part of that restructuring.
