Written Answers Nos. 218-232
223. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which he has had discussions with his EU colleagues with a view to common strategy in the aftermath of Brexit and Covid-19 with particular reference to the need to maximise opportunities for the domestic economy; and if he will make a statement on the matter. [45872/21]
Amharc ar fhreagraOver the past eighteen months, two issues have dominated the policy landscape, namely the global pandemic, and the UK’s departure from the EU.
In relation to the global pandemic, the European Union has responded with an unprecedented €800 billion recovery package, NextGenerationEU. At the heart of this package is the EU’s Recovery and Resilience Facility.
The National Recovery and Resilience Plan will enable Ireland to access funding under the Recovery and Resilience Facility. The Plan has a total value of €990 million. Its overall objective is to contribute to a sustainable, equitable, green and digital recovery, in a manner that complements and supports the Government’s broader recovery effort. It is aligned with domestic policies, notably the Economic Recovery Plan and the National Development Plan.
On 24 March 2021 the Minister for Finance and I met the European Commissioner for Economy, Paolo Gentiloni, to discuss Ireland’s draft Plan. The draft Plan was submitted to the European Commission on 28 May 2021.
On 16 July 2021 I met Commission President Ursula von der Leyen when she travelled to Dublin to present the Commission’s positive assessment of the Plan to the Taoiseach. On 6 September 2021 I joined the Minister for Finance at a meeting of EU Finance Ministers where Ireland’s Plan received Council approval.
On 21 September 2021 I met Economy Commissioner Paolo Gentiloni to discuss our Plan, and we both took part in an online stakeholder event hosted by the Institute of International and European Affairs.
In relation to the UK’s departure from the EU, the Union has put in place funding for the Member States and sectors most affected through the Brexit Adjustment Reserve. The Reserve has a total value of €5 billion in constant (2018) prices, or €5.47 billion in current prices.
I am pleased to say that Ireland has been allocated €1.065 billion in constant (2018) prices, equivalent to €1.165 billion in current prices. This represents 21% of the total value of the Reserve, the largest allocation for any Member State.
The objective of Reserve is to provide support to counter the adverse economic, social, territorial and, where appropriate, environmental consequences of the withdrawal of the UK from the EU.
In Ireland’s case, the allocation of resources from the Reserve will be aligned with the annual Estimates process. Ireland has already spent a considerable amount on preparing for Brexit, with successive budgets since the UK referendum providing significant supports for business and the agri-food sectors, as well as the infrastructure required at the ports and airport to maintain the flow of east west trade.
In addition, Ireland continues to benefit from Structural Funds under the EU’s Cohesion Policy. I will be travelling to Brussels in November for a meeting of Cohesion Policy Ministers where I will have an opportunity to discuss with colleagues how we can respond to the shared challenges we face.
225. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which any issues arising in the context of FEMPI have been adequately addressed and resolved; and if he will make a statement on the matter. [45874/21]
Amharc ar fhreagraThe process of unwinding the Financial Emergency (FEMPI) legislation commenced under the Lansdowne Road Agreement 2016 – 2018, with the remainder of the process largely completed under the Public Service Stability Agreement 2018 – 2020 (PSSA). This will continue under ‘Building Momentum: A New Public Service Agreement, 2021 – 2022’.
At this point, salary rates up to €150,000, which accounts for 99% of the public service, have been fully restored. Section 20 of the Public Service Pay and Pensions Act 2017 sets out restoration for public servants in with annualised basic salaries above €150,000, which is due on 1 July 2022 and will complete the unwinding of FEMPI in relation to pay.
Each year, under the terms of the FEMPI Act 2013, I am obliged to carry out an annual review of the operation, effectiveness and impact of the FEMPI Acts, having regard to the overall economic conditions in the State and national competitiveness. In this annual review, I am also to consider whether or not any of the provision of the relevant Acts continue to be necessary having regard to the purposes of those Acts, the revenues of the State and State commitments in respect of public service pay and pensions.
The 2021 annual review, a written report of which was laid before the Houses of the Oireachtas on the 25th June 2021, recommended the continuation of the unwinding of the FEMPI measures in line with the provisions enacted in the Public Service Pay and Pensions Act 2017.
226. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which his Department continues to monitor public contracts with a view to achieving optimum value for money while at the same time facilitating an expeditious process leading to increased efficiency; and if he will make a statement on the matter. [45875/21]
Amharc ar fhreagra232. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which the procurement process remains focused on ensuring the elimination of delays that might be associated with consequent higher costs; and if he will make a statement on the matter. [45881/21]
Amharc ar fhreagra233. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the steps taken to speed up the processing of various public contracts while protecting the interests of the taxpayer in all Departments; and if he will make a statement on the matter. [45882/21]
Amharc ar fhreagraI propose to take Questions Nos. 226, 232 and 233 together.
Each individual Accounting Officer is responsible for the monitoring of performance of public contracts under his or her remit and for ensuring that the public procurement function is discharged in line with the standard accounting and procurement rules and procedures efficiently and effectively to deliver maximum value for money for the taxpayer.
Public Procurement is governed by EU legislation and national rules and guidelines with the aim of promoting an open, competitive and non-discriminatory public procurement regime which delivers best value for money. All Irish public bodies are obliged to spend or invest public funds with care, and to ensure that optimal value for money is obtained in accordance with the Public Spending Code which sets out the rules and procedures to ensure that these standards are upheld across the Irish public service.
The Office of Government Procurement (OGP), an office within my Department, has responsibility for the National Public Procurement Policy Framework (NPPPF) which sets the overarching policy framework for public procurement in Ireland. The NPPPF consists of 5 strands: Legislation (Directives, Regulations); Policy (Circulars, etc.); General Guidelines; the Capital Works Management Framework (CWMF); and detailed technical guidelines, template documents and information notes that issue periodically. This framework enables a consistent approach to public procurement across the public sector to deliver value for money for the taxpayer.
To assist Contracting Authorities in the conduct of procurement procedures, the OGP has published extensive guidance material for contracting authorities including the Public Procurement Guidelines for Goods and Services (the Guidelines) available at: www.gov.ie/en/publication/c23f5-public-procurement-guidelines-for-goods-and-services/ and the Capital Works Management Framework (CWMF) available at: www.gov.ie/en/service/1d443-capital-works-management-framework/#.
The Guidelines outline the various stages of the procurement process from specification, through to selection and award stages, and through to the contract management stage. They provide comprehensive guidance on ensuring the specifications fully and accurately capture the requirement of the goods or services and identify the risks of poor specification and the challenges that this can cause Contracting Authorities when subsequently managing their contracts. The OGP and its sector partners in Health, Education, Local Government and Defence have a range of centralised procurement frameworks and dynamic purchasing systems in place in respect of sixteen categories of common goods and services to minimise administration and to deliver enhanced service levels and value for money promptly and efficiently. Contracting authorities are encouraged to check the Office of Government Procurement website for existing or planned procurement arrangements which may meet their needs.
All public works projects that are delivered under the Exchequer-funded element of the Government's capital plan must be procured in accordance with the provisions laid down in the Capital Works Management Framework (CWMF). The CWMF is mandated by circular and was developed to provide an integrated set of contractual provisions, guidance material, technical templates and procedures, which cover all aspects of the delivery process of a public works project from inception to final project delivery and review to assist contracting authorities in meeting their ongoing procurement requirements. The Public Works Contract is a key component of the CWMF. It is a lump sum, fixed-price contract. Fixed price contracts operate best when tendered on the basis of a comprehensively designed project. A well-defined project enables greater efficiency since it provides the necessary information up front so the contractor can schedule the works and commence early engagement with their sub-contractors on price.
It is a matter for each contracting authority to set the timeframe for responses which they deem appropriate given the nature of the contract, provided they fall within the timeframes as laid down in the Procurement Regulations, where applicable. For tenders above EU Thresholds, minimum time limits are set down in the Procurement Regulations for the different stages of a contact award procedure. The Regulations provide for accelerated procedures in certain circumstances e.g. emergency purposes. For below EU Threshold procurements, sufficient time must be permitted for preparation and submission of responses to allow for genuine competition and for SMEs to participate in the tender process. Contracting authorities are advised to consider the complexity of a contract when setting time limits for receipt of tenders and the Guidelines provide assistance to Contracting Authorities in this regard.
227. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform his plans in respect of public service pay in the future in the context of ensuring fair and equitable recognition throughout the public sector while at the same time protecting structured reform and adequate recognition of need throughout the public sector with particular reference to the lower paid; and if he will make a statement on the matter. [45876/21]
Amharc ar fhreagraBuilding Momentum – A New Public Service Agreement 2021-2022 (hereinafter referred to as the “Agreement”) provides for the following pay adjustments:
- A general round increase in annualised basic salary for all public servants of 1% or €500, whichever is greater, on October 2021.
- The equivalent of a 1% increase in annualised basic salaries to be used as a Sectoral Bargaining Fund, in accordance with Chapter 2 of the Agreement, on 1 February 2022.
- A general round increase in annualised basic salaries for all public servants of 1% or €500, whichever is greater on, 1 October 2022.
These increases in annualised basic salaries are heavily weighted towards those at lower incomes with headline increases of approx. 5% for the lowest paid public servants. These groups will also benefit more from other measures in the Agreement including the overtime rates and premia payment adjustments.
Public servants who are due an amount of pay restoration in 2021 or 2022, under Section 19 and 20 of the Public Service Pay and Pensions Act 2017, respectively, will not receive the general round increase in that year. However, if the amount of restoration due is less than the general round increase, they will be paid the balance on the date of the general round increase.
Currently, public servants with salaries under €150k have been restored to pre-FEMPI levels (as of 1 July 2021). Those earning above €150k are due to be restored by 1 July 2022.
Building Momentum represents a strong commitment to continuing reform in the public service. The provisions that underpin industrial peace are strengthened by the Agreement – an essential ingredient in the recovery of our economy post Covid. Building on the momentum of reform and change exemplified by the public service during this public health emergency, the Agreement allows for on-going co-operation with change and productivity improvements and industrial peace until 2022. It supports structured reform on a sectoral level and sectoral bargaining relates to negotiations within sectors to progress reforms and resolve issues between the parties.
