Written Answers Nos. 696-714
696. Deputy Michelle Mulherin asked the Minister for the Environment, Community and Local Government the position regarding a grant application to Mayo North East Leader Partnership Company Teoranta by an organisation (details supplied) in County Mayo. [46695/13]
Amharc ar fhreagraIn line with the ‘bottom-up’ approach to rural development under the LEADER elements of the Rural Development Programme 2007-2013, there are 35 Local Action Groups (LAGs) contracted, on my Department’s behalf, to deliver the LEADER elements of the Rural Development Programme 2007-2013 (RDP) throughout the country. The LAG for the area referred to in the question is Mayo North East LEADER Partnership (MNELP). The LAGs are the principal decision-makers in relation to the allocation of project funding. Such decisions are made in the context of the local development strategy of the individual groups and in line with the Programme’s Operating Rules and EU regulations.
I understand that MNELP received an application from the promoter in question and is currently reviewing the documentation in order to update current information. Once this review is complete the file will be sent to my Department for final review.
697. Deputy Michelle Mulherin asked the Minister for the Environment, Community and Local Government the position regarding an application to Mayo North East Leader by an organisation (details supplied) in County Mayo; when a decision may be expected; and if he will make a statement on the matter. [46696/13]
Amharc ar fhreagraIn line with the ‘bottom-up’ approach to rural development under the LEADER elements of the Rural Development Programme 2007-2013, there are 35 Local Action Groups (LAGs) contracted, on my Department’s behalf, to deliver the LEADER elements of the Rural Development Programme 2007-2013 (RDP) throughout the country. The LAG for the area referred to in the question is Mayo North East LEADER Partnership (MNELP). The LAGs are the principal decision-makers in relation to the allocation of project funding. Such decisions are made in the context of the local development strategy of the individual groups and in line with the Programme’s Operating Rules and EU regulations.
I understand that MNELP has recently received updated information from the project promoter and expects to submit the project file to my Department for final review very shortly.
698. Deputy Brendan Ryan asked the Minister for the Environment, Community and Local Government the position regarding owners of buy-to-let apartments in Priory Hall; if they will be included in any deal on their mortgage in the near future; and if he will make a statement on the matter. [46720/13]
Amharc ar fhreagraAny arrangements that may be agreed between an individual who owns a buy-to-let apartment at the Priory Hall complex and their mortgage provider is a matter between those parties. I have no function in relation to such matters other than to ensure that the terms of the agreed Priory Hall Resolution Framework, insofar as they apply to owners of buy-to-let apartments, are applied in a fair and consistent manner.
In broad terms, the Framework, as agreed between key stakeholders in October, 2013, provides that:
- the Government, Dublin City Council, the relevant members of the Irish Banking Federation and other stakeholders will work together to secure the successful resolution of the Priory Hall issue
- recognising the exceptional and unique difficulties faced by the home owners in Priory Hall over the last two years, a fair and reasonable solution to their housing needs will be identified as part of the resolution process
- solutions will be devised on a case-by-case basis in accordance with the Framework, taking account of the differing circumstances of each owner occupier in Priory Hall
- an appropriate arrangement will also be put place to recognise the difficulties facing owners of buy-to-let properties in Priory Hall
- the cost burden for resolution of the Priory Hall issue will be shared between the State, Dublin City Council, relevant members of the Irish Banking Federation and other stakeholders as appropriate.
As part of the Framework, Dublin City Council has undertaken to ensure that Priory Hall is refurbished into a desirable, high quality, safe location that will include a mix of social and private residential units in line with current housing policy. During this time the owners of buy-to-let apartments at the complex will have the option of a moratorium on their mortgages while refurbishment takes place on the understanding that repayments will re-commence when refurbishment has been completed.
The Government has established a group, chaired by Dr Martin McAleese, to oversee the effective implementation of all aspects of the agreed Framework. The implementation group includes a representative of buy-to-let owners with a view to ensuring that this category of homeowners at Priory Hall is fully engaged and fairly treated.
699. Deputy Brian Stanley asked the Minister for the Environment, Community and Local Government if the €240 million Exchequer equity investment in Irish Water, to fund water and waste water programmes, will come from moneys raised from the local property tax or from general taxation. [46741/13]
Amharc ar fhreagraIt is proposed that a portion of the financing of Irish Water will be provided in the form of an equity investment. The arrangements under which the investment will be made have not been finalised. However, it is not envisaged that it will be funded through Voted Expenditure or from the Local Government Fund.
701. Deputy Micheál Martin asked the Minister for the Environment, Community and Local Government if Irish Water will be subject to commercial rates; if so, what the expected liability to be paid in Dublin will be; if this will result in a reduction in the local government charge for those local authorities receiving rates payments; the potential impact on households who are expected to pay the commercial cost of providing water; and if he will make a statement on the matter. [46749/13]
Amharc ar fhreagraLocal authorities are under a statutory obligation to levy rates on any property used for commercial purposes in accordance with the details entered in the valuation lists prepared by the independent Commissioner of Valuation under the Valuation Act 2001. The Commissioner for Valuation has sole responsibility for all valuation matters and the Valuation Act 2001 comes under the aegis of my colleague, the Minister for Public Expenditure and Reform.
The property’s valuation, together with the annual rate on valuation (ARV) decided by the elected members of each local authority in the annual budget, determines the level of rates to be paid. Rates income is a very important contribution to the cost of services provided by local authorities such as roads, public lighting, development control, parks and open spaces. Locally elected members adopt the annual rate on valuation they consider necessary in order to provide the required services.
The Water Services Act 2013 provided for the establishment of Irish Water and enabled the Commission for Energy Regulation (CER) to advise on the regulation of water services. I will shortly be publishing further proposed legislation to give effect to the transfer of water services functions currently with 34 local authorities to Irish Water from 1 January 2014. Part of this transfer will include arrangements for the transfer of assets, including water services infrastructure, to the new public utility from that date.
The proposed legislation will also assign responsibility to Irish Water for the provision of water services and will provide for the establishment of an economic regulator for water services within the CER. While the primary function of the CER will be to protect the interests of customers and to ensure that a consistent and appropriate level of service is provided to them, it will also be responsible for approving the tariffs to be charged by Irish Water. In fulfilling its functions, the CER will have regard to all of the commercial costs incurred by Irish Water, including the payment of commercial rates.
The establishment of Irish Water and its financial relationship with the local government sector will have a considerable impact on local authority financing from 2014. The 2014 Local Government Fund General Purpose Grants will be announced in due course.
702. Deputy Michael McGrath asked the Minister for the Environment, Community and Local Government the position regarding a grant application under the Leader funding programme in respect of an organisation (details supplied) in County Cork; and when the grants will be awarded this year. [46781/13]
Amharc ar fhreagraMy Department issued revised Programme allocations in May 2013 under the LEADER elements of the Rural Development Programme 2007-2013. RDP and Local Development Companies were given until 31 August to allocate any remaining available funding to ensure that all funding is allocated before the end of 2013. My Department has been monitoring the situation with a view to identifying any unallocated or decommitted funding which can be reallocated.
I understand that the project in question is under consideration by Avondhu Blackwater Partnership and, as the LDC is the principal decision maker in relation to project funding, it will be the responsibility of the LDC to determine what projects will be allocated funding should additional funding become available.
703. Deputy Brian Stanley asked the Minister for the Environment, Community and Local Government if he will provide a progress report on phases two and three of the Mountmellick sewage scheme; and the person who will have responsibility for this with the establishment of Uisce Éireann. [46790/13]
Amharc ar fhreagraMountmellick Sewerage Scheme (Phases 2 & 3) is listed in the current Water Services Investment Programme 2010 – 2013 (WSIP) as a scheme to progress through planning.
The scheme aims to improve the wastewater infrastructure to meet the needs of the existing development within the town. Phase 2 will involve the upgrade and expansion of the existing collection network and treatment facilities, while phase 3 will look to the long term ultimate development of Mountmellick including a new sewage collection system to serve undeveloped areas within the town boundary.
Laois County Council is currently reviewing certain elements of the proposal and the outcome of this review will feed into the preliminary report which is currently with my Department.
From 1 January 2014 Irish Water will be responsible for the delivery of water services capital infrastructure and is currently preparing a Capital Investment Plan for 2014 - 2015. I expect that this Plan will provide for the transition of projects currently included in the WSIP.
704. Deputy Charlie McConalogue asked the Minister for the Environment, Community and Local Government the position regarding the possible plans to change the criteria for the buying out of houses for voluntary housing groups (details supplied); and if he will make a statement on the matter. [46878/13]
Amharc ar fhreagraThe Housing (Miscellaneous Provisions) Act, 2009, introduced a new approach to the sale of social housing whereby social housing tenants, including tenants of approved housing bodies, could acquire new local authority houses and existing apartments under the Incremental Purchase Scheme (IPS). The details of this scheme are avail able on my Department’s website, www.environ.ie. There is no provision at present for the purchase of individual houses by tenants of approved housing bodies. My Department has been in consultation with the approved housing body sector regarding the development of an enabling regulatory framework to support the expanded role for the sector as envisaged in the Government’s 2011 Housing Policy Statement. In July 2013 I published Building for the Future, a Voluntary Regulation Code for Approved Housing Bodies in Ireland which has been developed by my Department to provide a framework within which statutory regulation of the AHB sector will be pursued.
In conjunction with the development of this framework my Department will examine a range of issues around the long-term financing of the sector. One issue to be considered is how to best use the equity accrued in the approved housing body stock to leverage additional new supply; the sale of existing stock to tenants is one of a range of options in this regard.
705. Deputy Sandra McLellan asked the Minister for the Environment, Community and Local Government the options available to community based companies (details supplied) who due to numerous cuts in funding are no longer in a position to fund a part-time project co-ordinator currently funded by South East Cork Area Development; if he will identify other sources of funding that can be accessed and applied for to ensure the retention of this position in 2014; and if he will make a statement on the matter. [46901/13]
Amharc ar fhreagraSouth East Cork Area Development Limited (SECAD), which is a local development company, has for many years worked in partnership with the community group referred to and has supported its operations through the placement with it of Rural Social Scheme and Tús participants, and by utilising its centre as a focal point for training and support services in Youghal, which is a RAPID (Revitalising Areas by Planning, Investment and Development) designated town.
My Department does not provide funding for the post referred to in the Question under the Local and Community Development Programme or any other programme. However, SECAD may be able to advise the Board of Management of the Community Group in question on potential sources of alternative funding.
707. Deputy Kevin Humphreys asked the Minister for the Environment, Community and Local Government the expected expenditure by Irish Water in 2013, broken down by administration, salaries, capital expenditure and the water metering programme; and if he will make a statement on the matter. [46918/13]
Amharc ar fhreagra708. Deputy Kevin Humphreys asked the Minister for the Environment, Community and Local Government if he or any officials in his Department sign off on an expenditure plan for Irish Water in 2013 and 2014; if his Department provides any oversight on this expenditure before it occurs; and if he will make a statement on the matter. [46919/13]
Amharc ar fhreagra709. Deputy Kevin Humphreys asked the Minister for the Environment, Community and Local Government the funding model for Irish Water in 2013 and in 2014; the sources of revenue thus far; and if he will make a statement on the matter. [46920/13]
Amharc ar fhreagra710. Deputy Kevin Humphreys asked the Minister for the Environment, Community and Local Government the amount that has been spent by Irish Water on consultancy services in 2013; if he will indicate the companies or persons involved; and if he will make a statement on the matter. [46921/13]
Amharc ar fhreagraI propose to take Questions Nos. 707 to 710, inclusive, together.
The Water Services Act 2013 which provided for the establishment of Irish Water as a subsidiary of Bórd Gáis Éireann to be formed and registered under the Companies Act also provides for the normal governance arrangements for a commercial State body in relation to its financial sustainability. This includes ministerial consents for borrowing and the entering into capital commitments by the subsidiary, as well as obligations for copies of the accounts of the subsidiary to be laid before each House of the Oireachtas.
Further proposed legislation will provide for t he transfer of water services functions to Irish Water from local authorities, which will address matters such as the preparation of water services strategic plans to be signed off by the Minister This proposed legislation will also provide for the establishment of an economic regulator for water services within the Commission for Energy Regulation (CER). While the primary function of the CER will be to protect the interests of customers and to ensure that a consistent and appropriate level of service is provided to them, it will also be responsible for approving the tariffs to be charged by Irish Water. In fulfilling its functions, the CER will have regard, inter alia, to the need to ensure that there is an efficient system for the provision of water services and the need to promote the conservation of water.
Consequently, following passage of this legislation, a new funding model will be in place to meet both capital and operational costs of the new entity. Irish Water’s costs in the coming years will be funded through a mix of revenue from the domestic and non-domestic sector, third party finance (such as the Ireland Strategic Investment Fund, EIB, bank lending and capital markets facilities) and State support which may be in the form of both equity and subvention.
Bórd Gáis has put in place appropriate programme management arrangements to establish Irish Water, to prepare for the transfer of assets, liabilities and functions from local authorities from 1 January 2014, provide for customer service and billing and implement the domestic water metering programme. Expenditure on this programme, including details of consultancy costs, is a matter for Bórd Gáis/Irish Water and these costs are not being funded from the Exchequer. The National Pensions Reserve Fund has provided a bridging loan facility to Irish Water to meet the costs arising to the end of 2013. This includes the initial stages of the domestic water metering programme, the full cost of which is €539m excluding VAT. The ministerial consents required under the Water Services Act and the Memorandum and Articles of Association of Irish Water were provided to Bord Gáis and Irish Water in relation to this expenditure and borrowing.
My Department has committed to funding of almost €0.7m, to Irish Water in 2013 to fund the cost of a pilot study in relation to Phase 2 of the Metering Programme which is targeted at metering those properties that were not meterable in the Phase 1 Programme. Expenditure incurred directly by Irish Water is a matter for that organisation and I have asked them to liaise directly with the Deputy.
The Exchequer proposes a direct equity investment of €240m towards the capital funding of Irish Water in 2014. This will support projects to be included in Irish Water’s Capital Investment Plan and will ensure that the entity is in a position to take on the water services investment programmes of the 34 water services authorities, including some 80 projects currently in progress. Irish Water will also finance some of its costs and the liabilities transferred from local authorities through borrowings in 2014.
The establishment of Irish Water and its financial relationship with the local government sector will have a considerable impact on local authority financing from 2014. Work is also underway on the funding model for Irish Water’s operational costs, to ensure that it can fund the Service Level Agreements being put in place with local authorities for the delivery of water services in 2014. Irish Water is working with local authorities to finalise the 2014 budgets associated with the proposed service level agreements. In parallel with this process, the Department has sought the advice of the Commission for Energy Regulation in relation to anticipated new operational costs associated with new functions for the entity which are likely to arise in 2014. The outcome of these processes will determine the overall funding requirement of Irish Water in 2014 from the Exchequer, borrowing and charges.
711. Deputy Kevin Humphreys asked the Minister for the Environment, Community and Local Government the number of staff who have been directly hired by Irish Water to date in 2013; the number that have directly transferred from local authorities; if he will provide a breakdown of the number of staff earning €70,000 or more, €80,000 or more, €90,000 or more, the number paid €100,000 or more, the number paid €125,000 or more, the number paid €150,000 or more; and if he will make a statement on the matter. [46922/13]
Amharc ar fhreagra712. Deputy Kevin Humphreys asked the Minister for the Environment, Community and Local Government the number of staff in Irish Water who have been provided with a car; the level of management at which one receives a car; the type of car to which they are entitled; and if he will make a statement on the matter. [46923/13]
Amharc ar fhreagra713. Deputy Kevin Humphreys asked the Minister for the Environment, Community and Local Government the fringe benefits, other than salary, health insurance or other perks that staff in Irish Water received; and if he will make a statement on the matter. [46924/13]
Amharc ar fhreagra714. Deputy Kevin Humphreys asked the Minister for the Environment, Community and Local Government the number of staff that have transferred to Irish Water from local authorities; the number from other public sector positions; of these, the number that now earn more than they did under their previous terms and conditions; and if he will make a statement on the matter. [46925/13]
Amharc ar fhreagraI propose to take Questions Nos. 711 to 714, inclusive, together.
The Water Services Act 2013 provided for the establishment of Irish Water as a subsidiary of Bord Gáis Éireann to be formed and registered under the Companies Act. In line with the Code of Practice for the corporate governance of State bodies, the determination of the remuneration of the senior management of commercial State bodies, with the exception of the Chief Executive, is a matter for the Board of the body and not one in which I have a statutory remit.
The Managing Director of Irish Water was appointed by the Board of Bord Gáis Éireann, and his remuneration package was approved by me, with the consent of the Minister for Public Expenditure and Reform and following consultation with the Minister for Communications, Energy and Natural Resources. The gross salary payable to the Managing Director of Irish Water is €200,000 per annum. In accordance with his approved Contract of Employment, the Managing Director of Irish Water is afforded the use of a company car on terms determined by the Company. He is also eligible to participate in any company benefit schemes as may be available to him and in his case the only one applicable is health insurance.
A fundamental underpinning of the water reform programme is to ensure that the skills and experience built up over many years in local authorities are put to best use for the long-term benefit of the customer and that there is no negative impact on service to customers during the transition. It is intended, therefore, that the legislation to transfer statutory responsibility for water services to Irish Water will provide for local authorities to act as agents for Irish Water with this relationship being expressed through Service Level Agreements. The majority of the existing staff will remain employees of local authorities working under such arrangements from 1 January 2014.
Irish Water is currently recruiting to build up the internal capabilities required within the organisation. It was agreed by the Steering Group for the Water Sector Reform programme that, to ensure skills within the sector were fully availed of in building up the new organisation, competitions for positions in asset management, capital delivery and operations would be restricted to staff in the partner organisations i.e. Bord Gáis Éireann, local authorities and my Department in the first instance. Open competitions are held for all other positions and details of these are available on Irish Water’s website www.water.ie.
