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Thursday, 22 Mar 2018

Written Answers Nos 25-41

Flood Prevention Measures

Ceisteanna (25)

Niamh Smyth

Ceist:

25. Deputy Niamh Smyth asked the Minister for Public Expenditure and Reform if the River Erne is being considered for flood relief funding; and if he will make a statement on the matter. [10863/18]

Amharc ar fhreagra

Freagraí scríofa

The core strategy for addressing areas at potentially significant risk from flooding is the Office of Public Works (OPW) Catchment Flood Risk Assessment and Management (CFRAM) Programme. The Programme, which is being undertaken by engineering consultants on behalf of the OPW working in partnership with the local authorities, involves the production of predictive flood mapping for each location, the development of preliminary flood risk management options and the production of Flood Risk Management Plans.

The Local Authorities have responsibility for the maintenance of a number of rivers in the Erne catchment. In addition, the Erne Catchment is being assessed under the Office of Public Work’s in close co-operation with the Rivers section in the Department for Infrastructure, Northern Ireland. This co-operation is part of our respective implementation of the EU Floods Directive and therefore the Erne Catchment in both Ireland and Northern Ireland has been fully assessed as part of the CFRAM Study.

In relation to the Erne Catchment system, CFRAM’s Preliminary Flood Risk Assessment (PFRA) study, carried out in 2011, identified Cavan Town and Ballyconnell in Co. Cavan and Ballybay in Co. Monaghan as Areas of Further Assessment (AFA) and are being assessed as part of the North Western-Neagh Bann CFRAM Study. This included public consultation events held in Spring 2015 on the draft flood maps, Spring 2016 on the preliminary options and Autumn 2016 on the draft plans.

In Cavan Town and Ballybay structural options are proposed in the draft Flood Risk Management Plan; and Ballyconnell has been assessed to have a very low level of flood risk. The Plans also set out other flood risk measures to address the flood risk along the River Erne catchment.

In summer 2017, the OPW finalised all Plans and each Plan was submitted to the Department of Public Expenditure and Reform (D/PER) for an independent review of the environmental assessments. Having now received the outcomes of the independent review of the environmental assessments for the Flood Risk Management Plans, the Commissioners of Public Works are submitting the Flood Risk Management Plans to the Minister for Finance and Public Expenditure and Reform for approval.

Weather Events Response

Ceisteanna (26)

Thomas P. Broughan

Ceist:

26. Deputy Thomas P. Broughan asked the Minister for Public Expenditure and Reform if he has received requests for additional funding from other Departments relating to the cost of Storm Emma and related bad weather events; the estimated cost of same; and if he will make a statement on the matter. [12893/18]

Amharc ar fhreagra

Freagraí scríofa

In its role as the lead Government Department for the response to severe weather events, the Department of Housing, Planning and Local Government has responsibility for coordinating any additional expenditure needs arising from the response.

Funding estimates for the repair of relevant infrastructure is calculated by the relevant Departments in line with their sectoral responsibility.  The Department of Housing, Planning and Local Government is in the process of collating the costs associated with Storm Emma and each Department has been asked to quantify the estimates for economic loss, costs and damage within their sector and to communicate directly with Local Authorities and other relevant agencies regarding funding required for repairs and restoration. In the past, assistance in meeting these costs has been provided through savings identified in the relevant Departments and, in the first instance, this approach will also be followed in this case.  Exceptionally, such as in 2016 following damage to transport infrastructure, funding can be provided by way of Supplementary Estimate. Officials in the Department of Public Expenditure and Reform will of course engage with their counterparts on these cost estimates, once compiled, thus ensuring that adequate resources are made available to cover the costs associated with Storm Emma.

Public Sector Reform Implementation

Ceisteanna (27)

Bernard Durkan

Ceist:

27. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform if he has quantified the extent to which reforms throughout the public sector are likely to yield improved economic performance in 2018; and if he will make a statement on the matter. [11266/18]

Amharc ar fhreagra

Freagraí scríofa

Our Public Service 2020 is the new framework for reform and innovation in the public service which was launched in December 2017. This new phase of public service reform focuses on supporting sustainable, continuous progress across the public service. It aims to build a stronger public service and to deliver better quality services to the Irish public.

Our Public Service 2020 contains an added focus on evaluation and on the importance of building a reform evaluation culture. The newly established Reform Evaluation Unit will work closely with units within my Department focused on performance budgeting and spending reviews to strengthen the links between expenditure and reform.

Implementation of the framework has begun. There are 18 actions which include new initiatives and actions focused on building on reforms already in place.

As Minister for Finance and Public Expenditure and Reform I must ensure that our fiscal and public expenditure policy is prudent and sustainable. There are a number of budgetary reforms introduced in recent years to guide my decisions on overall fiscal policy in this regard, including fiscal rules, expenditure ceilings and spending reviews. The actions in Our Public Service 2020 will ensure that the focus of the public service is very much on delivery of quality public services, while operating within these prudent limits.

The Irish Government Economic and Evaluation Service (IGEES) which was set up in 2012, leads a programme of evaluation of public service delivery across the public service which allows decision-makers to look at trends, outputs, impact and sustainability of public spending.

Public service reform is continuing to deliver savings and value for money across a range of specific areas such as shared services, procurement reform and property management. While these savings free up expenditure, we need to learn the lessons of the past and spend in a smart and efficient manner. A review of day-to-day Government spending took place before Budget 2018. The 2017 Spending Review was the first in a series of rolling, selective reviews, which will cover the totality of Government spending over a three-year period to 2019. The results of the first year of this new approach are published with the Mid-Year Expenditure Report 2017. Moderate, sustainable, expenditure growth is now planned over the medium-term. However, increasing and competing public service demands will mean managing expenditure, and this is likely to prove challenging. The 2018 Spending Reviews are now underway.

Vacant Properties Data

Ceisteanna (28)

Dara Calleary

Ceist:

28. Deputy Dara Calleary asked the Minister for Public Expenditure and Reform the number of vacant properties in ownership of or under the control of his Department and agencies under the aegis of his Department; the number of properties which are brown field sites that could be used for residential development; the number of properties that are vacant dwellings or properties that could be used for dwellings; and if he will make a statement on the matter. [13126/18]

Amharc ar fhreagra

Freagraí scríofa

The Commissioners of Public Works manage a large and diverse, property portfolio of over 2,500 properties on behalf of the State. Primarily these are commercial properties and range from office accommodation to heritage properties, visitor centres, Garda stations, warehouses, etc. At present, the OPW owns or manages in the region of 96 properties (buildings) and 32 sites (land) – a total of 128 - that are currently vacant.

Vacant Properties (Buildings) Currently there are 96 buildings vacant in the OPW property portfolio. Of these 96 properties, 48 (50%) are Garda stations that were closed under the 2012/2013 policing plans of An Garda Síochána. An interim report from the Policing Authority subsequently identified six of the closed stations for re-opening. A further review is being conducted by An Garda Síochána relating to the remaining stations. The future use of these other, former Garda stations can only be determined once this further review is concluded.

Of the remaining 48 properties that are vacant at present:

- 22 are in the process of being transferred to local authorities or are under consideration for transfer

- 10 are being considered/prepared for disposal

- 1 is under consideration for community use

- 15 are being retained for alternative State use or for strategic purposes

Sites (Land) OPW own 32, currently vacant, sites that range in size from a plot of ground measuring 300 square metres to one site of 31 acres. These sites were acquired over the years for a variety of uses including: customs posts, met stations; sites for the Courts Service or An Garda Síochána. They also include sites acquired for the purposes of the legacy, decentralisation programme for Government Departments/Offices.

A total of 12 of these sites have been identified as being suitable for transfer to relevant State bodies or are being retained for future State development. The future use, or disposal of the remaining 20 is under consideration. As a matter of policy, no property is disposed of on the open market until other State bodies, including the Local Authority sector, are advised of their availability for use. All property use is contingent on the necessary planning permissions being in place. In terms of zoning or re-zoning these sites/land, it is a matter for the relevant local authorities to determine in line with their own Local Area Plans.

Dwellings and Lodges In addition to these properties, there are sundry dwellings or lodges that are intrinsic to the estates of National Parks and Gardens throughout the country and are managed by the Office of Public Works. In general, these dwellings or lodges are allocated to staff where there is a requirement for officials to be present on the ground, for example, Park Rangers, Deer Keepers, security personnel etc. In other cases, they have been licensed for use as Tea Rooms, as part of Visitor Services on Heritage Sites or for use by the Irish Landmark Trust.

At present, there are approx. 20 of these properties currently vacant around the country that are in poor condition and not habitable from a health and safety or security viewpoint. Additional information on the status of these properties was provided in a written Parliamentary Question answered by my colleague, Minister of State Kevin ‘Boxer’ Moran on Tuesday, 14 November, 2017.

Properties available for social housing The provision of social/affordable and emergency residential accommodation is a function that rests with the local authorities and the Department of Housing, Planning and Local Government. Properties owned or managed by the OPW are primarily commercial offices, Garda stations, warehouses or others that are not suited to residential use. The OPW however has actively engaged with that Department in providing information on any non-operational, vacant properties or sites in its ownership. The Department of Housing, Planning and Local Government then assesses those properties or sites in terms of what might be suitable for residential use.

The OPW periodically reviews its own portfolio to ensure that any void or vacant properties are correctly categorised. As a matter of course, the OPW provides information on its non-operational properties and sites to the relevant authorities/housing agencies, for assessment. In the past 2 years this process has identified a number of properties as being feasible for adaption for residential use. These include:

- 8 residential units in Dublin City Centre that were transferred to Dublin City Council for use by the Peter McVerry Trust

- A property in Crumlin, Dublin that is now licensed to Dublin City Council for use as a Family Hub

- A property in the North inner city, Dublin that is in the process of being transferred to Dublin City Council for use by the Peter McVerry Trust

A further 15 properties are currently being considered in terms of their potential for investment and adaptation for social housing. These include:

- 7 properties and 1 site that are under consideration by Cork County Council

- 5 properties that are under consideration by Tipperary County Council

- 3 properties that are under consideration by Limerick City & County Council.

Aside from the above, the OPW has regular engagement with local authorities and other State bodies to identify other State uses for any surplus properties or sites, in advance of any decision to sell on the open market. This procedure is consistent with the Protocols for the Transfer and Sharing of State Property Assets that issued from my Department in 2015.

Public Procurement Regulations

Ceisteanna (29)

Richard Boyd Barrett

Ceist:

29. Deputy Richard Boyd Barrett asked the Minister for Public Expenditure and Reform his plans to review all areas of public expenditure with regard to public procurement or grant aid which have employment implications to ensure that employment generated from such expenditure is quality employment and that such funding is not used to underpin precarious forms of employment; and if he will make a statement on the matter. [13007/18]

Amharc ar fhreagra

Freagraí scríofa

Public procurement is the acquisition, whether under formal contract or not, of works, goods and services by public bodies. National rules governing public procurement must comply with the relevant EU, WTO and national legal requirements and obligations. Under EU law, public contracts above a certain value must be advertised EU-wide and awarded to the most competitive tender in an open and objective process. The aim of European and national rules is to promote an open, competitive and non-discriminatory public procurement regime which delivers best value for money.

Directive 2014/24/EU dealing with the public procurement of goods, services and works was transposed into Irish law by way of S.I. No. 284/2016. This requires tenderers to comply with applicable obligations in the fields of environmental, social and labour law that apply at the place where the works are carried out or the services provided that have been established by European Union law, national law, collective agreements or by international labour law. The requirement features in key aspects of the new rules at relevant stages in the procurement process, i.e. when applying the discretionary exclusion grounds, when deciding whether to award a contract to the most economically advantageous tenderer, when assessing abnormally low tenders and, where appropriate, in relation to subcontracting. Contracting authorities must also take appropriate measures to ensure contract performance is in accordance with these obligations.

These requirements are reflected in the current Office of Government Procurement template documents for goods and services which have been developed in conjunction with the Office of the Attorney General and the Chief State Solicitor’s Office. These can be viewed on the OGP website at http://ogp.gov.ie/templates-2/. They are also reflected in public works contracts which require a contractor to certify compliance with employment law, to maintain records of all those employed on the site, regardless of whether they are employees of the contractor or their subcontractors, and the hours worked by them. Where requested, the contractor must also provide details of the payments made to those employed on the site. Where the contractor fails to comply with their obligations under the contract or employment law, deductions may be made from payments due under the contract until the situation is rectified.

It is the responsibility of each contracting authority to ensure that tenderers comply with all the requirements of the public procurement process. I would also point out that under Section 19 of the Comptroller and Auditor General (Amendment) Act, 1993 an Accounting Officer is required to give evidence to the Public Accounts Committee regarding: the regularity and propriety of the transactions recorded or required to be recorded in any account subject to audit by the Comptroller and Auditor General which he/she or the Department concerned is required by or under statute to prepare; the economy and efficiency of the Department in the use of its resources; and the systems, procedures and practices employed by the Department for the purpose of evaluating the effectiveness of its operations.

Finally, employment law and its enforcement, in both public and private contracts, is a matter for the relevant State authorities, including the Workplace Relations Commission, the Department of Business, Enterprise and Innovation and the Department of Employment Affairs and Social Protection.

Public Sector Pay

Ceisteanna (30)

Joan Burton

Ceist:

30. Deputy Joan Burton asked the Minister for Public Expenditure and Reform his plans to provide for pay restoration for persons working for publicly funded organisations that took pay cuts during the economic crisis; his views on whether staff should have their salaries restored on a parallel basis to civil servants; and if he will make a statement on the matter. [10868/18]

Amharc ar fhreagra

Freagraí scríofa

At the outset let me say, as I have previously stated in this House on this matter, that the commitment, dedication and hard work of these organisations in the Community and Voluntary sector is very much appreciated. These organisations deliver a wide array of much needed support services at community level to a very varied range of users on a day to day basis throughout the year.

The Deputy is aware however that such organisations are private sector concerns in respect of which my Department has not actual corporate responsibility or direct involvement. The staff of such organisations, which may exceed 100,000 in number, are not public servants and as such did not, for example, fall within the application of the FEMPI legislation involving as it did the reduction in pay and increase in pension contribution for public servants. It is correspondingly the case that current public service pay policy does not extend to such organisations.

It will be appreciated that such entities are accordingly self governing and accountable for the management of their own internal financial resources. While it is the case that certain or indeed, in some cases, all of these financial resources may come from government funding it remains the position that decisions on pay expenditure issues arising in such entities are matters that are determined at the discretion of the management authorities of each of the organisations concerned. The issue of pay is just one important challenge within a complex mix of other challenges and demands that the individual organisations concerned are required to decide upon and manage.

Having regard therefore to these circumstances it is a matter for each of these private sector organisations to resolve the financial challenges that they may face in accordance with the financial resources available to them, whatever the source may be of such funding arrangements. If organisations have made changes in payment to their staff during the period of FEMPI cuts taking place for public servants then it is a matter on which those organisations should engage with their staff. The individuals who work in these organisations are not employees of the State and these are therefore not matters for outside parties including my Department to become involved in.

Employment Rights

Ceisteanna (31)

Richard Boyd Barrett

Ceist:

31. Deputy Richard Boyd Barrett asked the Minister for Public Expenditure and Reform the measures he plans to put in place to combat precarious employment in projects or services in which public money is being spent; and if he will make a statement on the matter. [13008/18]

Amharc ar fhreagra

Freagraí scríofa

Public procurement is the acquisition, whether under formal contract or not, of works, supplies and services by public bodies.  National rules governing public procurement must comply with the relevant EU, WTO and national legal requirements and obligations.  Under EU law, public contracts above a certain value must be advertised EU-wide and awarded to the most competitive tender in an open and objective process. The aim of European and national rules is to promote an open, competitive and non-discriminatory public procurement regime which delivers best value for money.

In this regard, public procurement rules include provisions that allow Member States to require a contractor to comply with EU and National legislation on the protection of labour rights. As a consequence public procurement procedures require applicants to meet certain standards when applying for public contracts and applicants are required to make declarations in relation to their financial standing, their legal standing and in relation to payment of taxes and social contributions.  They must also be compliant with relevant labour law. These requirements are set out in the template documents used in tendering for goods and services which have been developed by the Office of Government Procurement in conjunction with the Office of the Attorney General and the Chief State Solicitor’s Office.   In relation to public works, contract conditions require the contractor to certify compliance with employment law, to maintain records of all those employed on the site, regardless of whether they are employees of the contractor or their subcontractors, and the hours worked by them.  Where requested, the contractor must also provide details of the payments made to those employed on the site. Where the contractor fails to comply with their obligations under the contract or employment law, deductions may be made from payments due under the contract until the situation is rectified.

Overall, the management of a tendering process for a public contract is a matter for each contracting authority.  It is the responsibility of each contracting authority to ensure that tenderers comply with all the requirements of the public procurement process.     Accounting Officers of Government Departments and Offices are responsible under Public Financial Procedures for the safeguarding of public funds and property under their control; for the regularity and propriety of all the transactions in each Appropriation Account bearing their signatures; and for the efficiency and economy of administration of their Department/Office.

Finally, employment law and its enforcement, in both public and private contracts, is a matter for the relevant State authorities, including the Workplace Relations Commission, the Department of Business, Enterprise and Innovation and the Department of Employment Affairs and Social Protection.

Gender Proofing of Policies

Ceisteanna (32)

Thomas P. Broughan

Ceist:

32. Deputy Thomas P. Broughan asked the Minister for Public Expenditure and Reform the way in which the work of his Department on gender quality budgeting will be monitored and inputted into the final programme for the budget; and if he will make a statement on the matter. [10467/18]

Amharc ar fhreagra

Freagraí scríofa

The ongoing work in my Department regarding equality and gender budgeting flows from the Programme for a Partnership Government commitment to develop the process of budget and policy proofing as a means of advancing equality, reducing poverty and strengthening economic and social rights. This is also a commitment within the National Strategy for Women and Girls 2017-2020.

In line with the international best practice in this area, the intention is to ensure that an equality perspective is integrated within the budgetary process rather than being a separate process.

There is currently a pilot cycle of equality budgeting which focuses on a number of diverse expenditure programmes already in existence across a range of Departments.  The Departments participating in the pilot conducted an assessment of the chosen policy areas with a view to defining high level equality objectives and performance indicators for the policies in question. These objectives and performance indicators were outlined in the 2018 Revised Estimates Volume (REV), which was published in December last year. The 2017 Public Service Performance Report, which is currently in preparation, will contain an update on the progress and steps that are being taken by these Departments to work towards realising their objectives. 

An expert advisory group is also currently being established which will provide advice on the most effective way to advance the initiative. Alongside this we will also continue to work supporting Departments to develop the skills necessary to successfully equality proof policies.

Equality budgeting forms part of the broader expenditure management framework that is focussed on efficient, effective, sustainable and impactful public spending. This has guided our approach to the Spending Review process, that over a three year period is looking to examine the totality of day to day Government spending.  The approach being adopted with the equality budgeting initiative flows from this approach, where we look at existing spending programmes from the equality perspective, rather than just having a focus on the incremental budgetary changes. Building the equality budgeting metrics into the REV, with subsequent reporting on delivery in the Public Service Performance Report will support both ex ante and ex post assessment from an equality perspective.   

Question No. 33 answered with Question No. 8.

Public Procurement Regulations

Ceisteanna (34)

Mick Wallace

Ceist:

34. Deputy Mick Wallace asked the Minister for Public Expenditure and Reform his views on the number of contracts awarded without competitive procurement as outlined in the latest annual 40/2002 circular; his plans to address this non-competitive procurement; if each Department and office has created a central register of all contracts which records key data including whether or not a competitive process was used as recommended by the Comptroller and Auditor General in 2012; and if he will make a statement on the matter. [11315/18]

Amharc ar fhreagra

Freagraí scríofa

Public Procurement is governed by EU and National rules. The aim of these rules is to promote an open, competitive and non-discriminatory public procurement regime which delivers best value for money.   It is a basic principle of public procurement that competitive tendering should be used other than in justifiably exceptional circumstances. 

Under Department of Finance Circular 40/02, Accounting Officers of Government Departments and Offices are required to complete and submit an Annual Report (signed off by the Accounting Officer) to the Comptroller and Auditor General in relation to contracts in excess of €25,000 (exclusive of VAT) that were awarded without a competitive process by 31 March of the following year.

The justification for using non-competitive procurement is a matter for each contracting authority.  Individual Accounting Officers in their 40/02 returns certify that the appropriate national and EU procedures were followed and that contract prices were fair and reasonable and represented best value for money.  

The Office of Government Procurement (OGP) formulates and develops public procurement policy and promotes best practice.  The OGP supports compliance by putting in place compliant procurement solutions, publishing guidelines and template documentation and proactive engagement with Government Departments and Offices including our sourcing partners in the Health, Education, Defence and Local Government Sectors through the Procurement Executive.   However, individual public bodies remain accountable for their actions.

Under the Department of Public Expenditure and Reform Circular 10/14, contracting authorities are required to advertise all contracts for supplies and services with an estimated value of €25,000 (exclusive of VAT) and upwards on www.etenders.gov.ie

I can confirm that the Department of Public Expenditure and Reform supports the 2012 recommendation of the Comptroller and Auditor General that every Government Department and Office should create a register of all contracts which records key data, including whether or not a competitive process was used. I would also point that both of my Departments and the OGP maintain such registers.

Coastal Protection

Ceisteanna (35)

Clare Daly

Ceist:

35. Deputy Clare Daly asked the Minister for Public Expenditure and Reform the intervention which will be made to prevent further coastal damage at Portrane and to develop a long term plan to ensure the safety of the homes in the area that are currently in danger due to damage to the dunes further to the recent visit by the Minister of State with responsibility for the Office of Public Works to the Burrow, Portrane; and if he will make a statement on the matter. [11308/18]

Amharc ar fhreagra

Freagraí scríofa

As you are aware I visited Portrane on 26 January of this year and met with Fingal County Council officials, including the Chief Executive, local representatives and members of the community to discuss this matter.

I fully appreciate the serious concerns of the local people and I and the OPW are working with the Council to assist it in finding a proper long term solution to the problems at Portrane.

However in relation to coastal protection/erosion generally, it is a matter for local authorities to identify and prioritise the issues along their coastlines. It is the responsibility of Fingal County Council to assess the local erosion problems in Portrane and to develop and implement a management plan to address the erosion issues there.

On 16 March 2018, my officials met with Fingal County Council where this issue was discussed. The OPW will co-operate with and assist Fingal County Council and if a viable solution is identified the local authority may undertake works using their own resources or, if necessary, apply for funding to my Office under the OPW Minor Flood Mitigation Works and Coastal Protection Scheme.

National Development Plan

Ceisteanna (36)

Dara Calleary

Ceist:

36. Deputy Dara Calleary asked the Minister for Public Expenditure and Reform the GDP growth forecasts for each year up to 2027 upon which the national development plan is based; if these growth forecasts account for Brexit as outlined by both the ESRI report and the Copenhagen report on Brexit; the amount of available fiscal space for 2019, 2020 and 2021 which has been used up from the national development plan; if the Exchequer borrowing requirement will be raised as a result of the national development plan; if IFAC has been consulted specifically in relation to the borrowing requirements; and if he will make a statement on the matter. [13125/18]

Amharc ar fhreagra

Freagraí scríofa

Macroeconomic projections adopted in the Plan for the period 2018-2021 are detailed in Annex 3 of the Economic and Fiscal Outlook for Budget 2018. As set out in the NDP, a potential growth rate of 2% in volume terms is assumed over the period 2022 to 2027. This potential growth rate aligns with the most recent long-term growth projection from the European Commission for Ireland for the 2020s while being lower than the OECD long-term projection of almost 3% for that period.

The prudent approach taken to the macro-economic and public capital investment framework in the plan is confirmed in terms of Ireland’s historic growth performance averaging about 4½% over the whole of the period from 1966 – 2017. The 2% real growth assumption for 2022 to 2027 is supplemented with the conventional assumption that inflation will average 2% in line with the upper limit of the ECB’s inflation target yielding a 4% nominal growth projection over the period.

The projections used for the National Development Plan are appropriately prudent and conservative in light of the research carried out by the ESRI and Copenhagen Economics on Brexit. According to the Copenhagen Economics study, the more recent of these reports, in a scenario of a European Economic Area (EEA) agreement with the U.K. potential growth in the period 2030 is projected to be reduced to an annual average of 2%. Similarly, a hard Brexit is projected to reduce potential growth in the period to 2030 to an annual average of 1.7%. The baseline in that report is 2.2% growth in GDP per annum.

This is compared to the 2% projection underlying the NDP. Furthermore, the Copenhagen Economics study does not take account of the impact of the very substantial public capital programme contained in the NDP on the supply side of the economy and productivity – the key driver of long-term economic growth.

In comparison to 2018, capital expenditure will increase by 25% in 2019, 35% in 2020 and 38% in 2021. Updated calculations of fiscal space will be published in the Summer Economic Statement 2018 following the publication by the European Commission of the required inputs to the calculation in conjunction with its Spring Economic Forecast.

The Deputy may wish to note that the Economic and Fiscal Outlook published by the Department of Finance at Budget-time last year projected that Ireland will move from a small General Government Deficit as a share of GDP to a General Government Surplus approaching 1 per cent of GDP by 2021, inclusive of the projected infrastructure spending in the National Development Plan.

It is also important to state that this approach is fully in line with the fiscal rules. While my Department did not consult with the IFAC in relation to the National Development Plan, my Department did note IFAC's broad support for the Government's proposed approach to increased public capital investment, in its November 2017 Fiscal Assessment Report.

Question No. 37 answered with Question No. 11.

EU Funding

Ceisteanna (38)

Brendan Smith

Ceist:

38. Deputy Brendan Smith asked the Minister for Public Expenditure and Reform the outcome of discussions to date with the European Commission on the availability of cohesion funds post 2020; and if he will make a statement on the matter. [11328/18]

Amharc ar fhreagra

Freagraí scríofa

The Commission is expected to bring forward its proposals for the Multiannual Financial Framework in May 2018. This will set out the limits for the budget of the European Union post 2020 and proposals in relation to the different areas of EU activity, including Cohesion funding.

Without prejudice to the Commission proposals, or the negotiations that will follow, it is likely that there will be considerable budgetary pressures, not least because of the financial implications arising from Brexit, coupled with competition for funding to meet new EU objectives in areas such as migration, security and defence, climate change and digital transformation. 

The Deputy should be aware that the Government agreed a position paper on the MFF on 18 February. This paper notes that “in the next MFF, it will be important to ensure appropriate levels of spending on the traditional priorities such as agriculture and cohesion programmes.”

In addition, my Department also published a position paper on Cohesion Policy post 2020 in November 2017.  While this paper highlights the value placed by Ireland on Cohesion policy as an investment tool, it also raises issues which need to be addressed in the next round: the urgent need to simplify the unnecessary regulatory complexity surrounding the management of the EU Funded Programmes; the need for a common set of regulations across funds in order to leverage synergies; the need for increased flexibility to allow Member States target investment at areas of most relevance to them and the need for “proportionality” i.e. that Member States with a strong track-record of successfully implementing previous rounds of funding and who also provide co-financing, will only have to report on outcomes or results to the Commission.

My Department provided a comprehensive brief on the above matters to the Joint Oireachtas Committee on Finance, Public Expenditure and Reform and Taoiseach earlier this month. We will continue to brief the Committee periodically, in the normal manner.

Expenditure Reviews

Ceisteanna (39)

Thomas P. Broughan

Ceist:

39. Deputy Thomas P. Broughan asked the Minister for Public Expenditure and Reform his views on the European Commission's post-programme surveillance report for autumn 2017 on public expenditure policy; and if he will make a statement on the matter. [12895/18]

Amharc ar fhreagra

Freagraí scríofa

The European Commission's post-programme surveillance report addresses a number of issues in the area of public expenditure policy.

In the area of capital spending the report notes that public investment continues to recover while addressing key infrastructure bottlenecks, with the additional capital allocated following the mid-term review of the Capital Investment Plan bringing capital expenditure to 2.3% of GDP in 2021, from an average of 1.9% over 2013-2016.

The National Development Plan, published last month, will see public capital investment in Ireland increase from relatively low levels following the recession to being among the highest in the EU by 2021 and this will be sustained over the entire remaining period of the plan. The average capital investment in the EU over the last twenty years was in the region of 3% of national income. Under the National Development Plan it is projected that public capital investment will reach 3.8% of national income (GNI*) in 2021 and 4% by 2024.

As noted in the report, work is underway by my Department to enhance the quality, efficiency and effectiveness of current expenditure through the ongoing Spending Review process. The 2017 Spending Review was the first in a series of rolling, selective reviews, which will cover the totality of Government spending over a three year period to 2019. This process allows for the systematic examination of existing spending programmes to assess their effectiveness in meeting policy objectives and to identify the scope for re-prioritising expenditure to meet Government expenditure priorities.

I note the concerns expressed in the report with regards to some in-year overruns in certain Government departments. Managing the delivery of public services within budgetary allocations is a key responsibility of every Department and Minister and it is very important that public services are delivered within the agreed allocations. While some additional voted funding was allocated to certain Departments last year, the report notes that overall spending remained within the 2017 target.

Departmental Contracts Data

Ceisteanna (40)

Mick Wallace

Ceist:

40. Deputy Mick Wallace asked the Minister for Public Expenditure and Reform if his Department will consider publishing on a yearly basis all submissions received under circular 40/2002 which requires Departments and certain State bodies to prepare and submit an annual statement regarding contracts awarded that exceed €25,000 in value, exclusive of VAT, without a competitive process; and if he will make a statement on the matter. [11314/18]

Amharc ar fhreagra

Freagraí scríofa

Public Procurement is governed by EU and National rules. The aim of these rules is to promote an open, competitive and non-discriminatory public procurement regime which delivers best value for money.  It is a basic principle of public procurement that competitive tendering should be used other than in justifiably exceptional circumstances.   The current procurement rules recognise that there can be legitimate reasons for awarding contracts without the use of a competitive process, such as extreme emergencies or unforeseeable circumstances.  

Under national procurement rules, Department of Finance Circular 40/02 requires Government Departments and Offices to submit an annual report to the Office of the Comptroller and Auditor General for contracts above €25,000 (exclusive of VAT) awarded without a competitive process by 31 March of the following year.  These reports are copied to the Policy Unit of the Office of Government Procurement for information.  Circular 40/02 states that all contracts awarded without a competitive process should be subject to an internal review, preferably by the Internal Audit Unit or alternatively by an appropriate senior officer who is not part of the procurement process. Individual Accounting Officers are responsible for ensuring that their public procurement function are discharged in line with the standard accounting and procurement rules and procedures and that contract prices are fair and reasonable and represent best value for money.

In relation to the suggestion that the Department of Public Expenditure and Reform should consider publication of the 40/02 submissions on a yearly basis, I would point out that details of non-competitive tenders are already available and on the public record in the Appropriation Accounts published annually by the Comptroller and Auditor General.  Therefore, I do not consider it appropriate for my Department or the Office of Government Procurement to cut across this function.   Individual contracting authorities are responsible for establishing arrangements for ensuring the proper conduct of their affairs, including conformance to standards of good governance and accountability with regard to procurement. 

Finally, the OGP supports compliance by putting in place compliant procurement solutions, publishing guidelines and template documentation and proactive engagement with Government Departments and Offices including our sourcing partners in the Health, Education, Defence and Local Government Sectors through the Procurement Executive.

EU Funding

Ceisteanna (41)

Joan Burton

Ceist:

41. Deputy Joan Burton asked the Minister for Public Expenditure and Reform the cost of preparing the National Development Plan 2018-2027; the cost in terms of advisers or consultants in preparation of the plan; the persons and firms involved in this regard; the amount by public agencies; and the estimated and actual costs. [11005/18]

Amharc ar fhreagra

Freagraí scríofa

The Government launched the National Development Plan (NDP) 2018 - 2027 following a special Cabinet meeting at the Institute of Technology in Sligo on 16 February. The NDP comprises an investment programme of €116 billion, of which €91 billion relates to Exchequer capital investment and the balance of €25 billion is State-backed investment by commercial State Owned Enterprises and other State bodies.

Officials from my Department worked on the NDP in consultation with colleagues in each of the other Government Departments, along with agencies and State bodies under their aegis, all of whom contributed to the development of the NDP over recent months.

In terms of the cost of advisors or consultants in preparation of the NDP, my Department employed a company called Creative Limited, who secured the contract to design and prepare artwork for the publication. The full cost associated with the design work amounted to €4,692.45 inclusive of VAT.

To facilitate the number of copies of the NDP required in time for the launch in Sligo on 16 February it was necessary to augment our in-house printing capabilities and outsource some of the printing requirements. The contract for the additional printing at such short notice was placed through MG Creative Limited and cost €2,290.26 inclusive of VAT.

In addition to the aforementioned costs, we have an obligation under the Official Languages Act 2003, to provide an Irish version of the NDP. The tender for translating the document is currently being progressed by the Office of Government Procurement. The cost of this service is not currently available.

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