26 MFómh 2014, 16:33
The Chairman of the Committee of Public Accounts John McGuinness TD has said that the 2013 Annual Report of the Comptroller and Auditor General (C&AG) raises serious questions as to how taxpayers’ money was spent in 2013.
26 September 2014
The PAC is expected to follow up on the Report’s findings in relation to the operation of the Land Aggregation Scheme, social welfare payments, the Farm Assistance Scheme, HSE procurement and the property tax register.
In welcoming today’s publication of the report, Deputy McGuinness says that it will underpin the business of the PAC for the next year. “The Report will now be examined by the PAC over the next year when we will call various Accounting Officers to account in respect of the issues raised by the C&AG.”
The Report outlines a range of areas where State checks and balances are not working, including in relation to the operation of the Land Aggregation Scheme. Deputy McGuinness says: “The PAC will be particularly keen to explore the amount of land that is now covered by what I would call the’ mini-NAMA’ process. We will want to know what exactly is happening with this land, some of which was bought by local authorities at the height of the boom for social housing. When will it be developed? What is the loss facing the Exchequer? We have a huge shortage of housing now and if this land was deemed suitable for housing during the boom, we will want to see development on those lands accelerated.”
Deputy McGuinness says that the PAC will be examining the C&AG’s findings in relation to social welfare fraud. “In the case of social welfare payments, we will be looking at the steps that are being taken to ensure that the level of ineligibility is reduced. We now have the results of the fraud and error surveys which show that there is a 4.6% fraud/error in job seekers allowance and the rent supplement has a fraud/error rate of 6%. There is an additional cost to the State for those who are claiming benefits to which they are not entitled and the PAC will focus on how the Department of Social Protection is tackling this issue.”
Deputy McGuinness believes that the current work of the PAC on the review of Medical Card Eligibility will be useful in examining the C&AG’s criticisms of the Farm Assistance scheme. “While this is much smaller in terms of potential loss, the fact that there are no reviews of eligibility contrasts sharply with the way the HSE are reviewing medical card holders. Again we will want to see how the risk of making payments to someone who is no longer eligible is being managed.”
The HSE’s procurement budget of some €1.6 billion, outlined in Chapter 14 of the Report, will also be the focus of the PAC’s work next year according to the PAC Chairman. “It is clear that the HSE cannot prove that its getting full value for money for the €1.6 billion spend on goods and services as many of these are not going to tender and even when framework contracts are put in place, they are not being used by hospitals and local health offices. This is very basic administration which is leading to a waste of public funds.”
Deputy McGuinness, in welcoming the compliance rate of 97 percent in relation to property tax, nonetheless expects the PAC to examine how the property register is being administered. “We will examine how the Revenue Commissioners are managing the property register, the details available in the register and the extent to which the value of property can be validated. We will also be seeking a progress report on the 474,000 properties where the household charge had not been paid.”
Ends
For further information please contact:
Paul Hand,
Communications Unit,
Houses of the Oireachtas,
Leinster House,
Dublin 2
P: +3531 618 4484
M: +353 87 694 9926
paul.hand@oireachtas.ie
Committee Membership
Deputies:
Áine Collins, Fine Gael
Paul J. Connaughton, Fine Gael
Joe Costello, Labour Party
John Deasy, Fine Gael
Robert Dowds, Labour Party
Seán Fleming, Fianna Fáil
Mary Lou McDonald, Sinn Féin
John McGuinness, Fianna Fáil (Chairman)
Eoghan Murphy, Fine Gael
Derek Nolan, Labour Party
Kieran O’Donnell, Fine Gael
Shane Ross, Independent