Dáil debates

Thursday, 27 February 2014

Topical Issues

Building Regulations Application

4:55 pm

Photo of Barry CowenBarry Cowen (Laois-Offaly, Fianna Fail)
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Thank you, a Cheann Comhairle, for allowing me to raise this issue, given that the new regulations are due to commence next week.

I recognise the need to have a strong regulatory system to maintain a high quality standard of building for family homes. The experience of hard-pressed residents in Priory Hall and in other developments underlines that. However, the regulatory measures coming into effect on 1 March will penalise own-build home owners who want to build their own family home. One-off homes will be hit with a regulatory framework designed for large-scale developments in major towns and cities. This will dramatically increase costs and has the potential to damage the construction industry at a time when the Government claims it is trying to boost it. There has also been a failure of the Government to communicate the changes, leading to speculation about their impact, further damaging the construction industry. It may well be seen as another anti-rural bias of the Government.

The regulations can essentially be broken down into three broad principles. Anyone wishing to building anything - with the usual exemptions - must, by law, employ what is referred to as an assigned professional, such as an engineer, architect or surveyor, to inspect the property on-site. This assigned professional must inspect the building, and at the end of the procedures, issue a certificate warranting that they have inspected the works and that they comply with the regulations. The professional also warrants that he or she accepts responsibility for the legal liability for the inspection of all works as necessary, to ensure they are neither defective nor contravene any requirements of the second schedule of the building regulations "notwithstanding the responsibilities of other persons or firms in relation to the works". What implications does that have for indemnity insurance? Some would say that some have left the market or are planning to do so because of what does not appear to be a clear delineation between the owner and the inspector. The assigned professional must submit a full set of completed drawings to the building control authority on completion.

There are various problems with these regulations. The cost of the regulations will place a hefty and disproportionate burden on one-off housing. There has been no public information campaign, leading to speculation about the consequences of the changes that may potentially harm the construction sector. What level of resources have been given to local authorities to handle the deluge of information and paperwork that will result from the new system? When we consider the crisis in respect of roads and housing and the fact that development charges have diminished to such an extent that the income does not exist any more and there are recruitment embargoes in local authority planning departments, we should acknowledge the pressure all this will put on the system. Up to 500 architects' practices may well be out of the loop with these inspections, with all the implications this has on that sector.

Perhaps the Minister can respond to those issues, and maybe then I will make suggestions if I do not feel he plans to examine them. Ultimately, I ask him to consider a deferral in the first instance, with a review panel and a targeted approach. It is incumbent on him to consider a deferral for six months, re-engagement with the stakeholders, and to take on board some of the suggestions that have been made to me and to many of the Minister's colleagues.

Photo of Phil HoganPhil Hogan (Carlow-Kilkenny, Fine Gael)
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The new building control amendment regulations will greatly strengthen the arrangements currently in place for the control of building activity by requiring greater accountability in relation to compliance with building regulations in the form of statutory certification of design and construction, the lodgement of compliance documentation, mandatory inspections during construction and validation and registration of certificates. These new regulations are necessary following the widespread instances of failure by owners, designers and builders to comply with their statutory obligations under the Building Control Act 1990 to design and construct buildings in accordance with the building regulations.

Every effort has been made to ensure arrangements are in place for a successful transition to the new building control arrangements from 1 March 2014. Discussions have taken place with all stakeholders for the past two years in respect of implementation. The new online building control management system has been developed to provide a common platform for clear and consistent administration of building control matters across the local authority sector. The local government sector has been involved from the beginning in dealing with these measures. Briefing and guidance on the new system has been provided for local authority staff and representatives of the key construction sector professional bodies, as well as for the Construction Industry Federation in recent weeks. The definitive code of practice for inspecting and certifying buildings and works was circulated to industry stakeholders on 7 February 2014.

Standard forms of contracts used for both private and public sector projects fall to be revised to reflect the new regulatory environment. The Government construction contracts committee and the key construction professional bodies both report strong progress in advancing this work within their respective sectors. The Government has established an oversight group to ensure no unavoidable delays will occur in critical public infrastructure projects at a time when construction activity and employment depends so heavily on public sector investment. Briefing and guidance is available within the Government and within the private sector to deal with contractual challenges and procurement issues that will inevitably arise as change takes place. The above measures are the key supports necessary to ensure the new regulatory arrangements can work well in practice.

The training for professionals has been taking place for the past few months. The Construction Industry Federation, the chartered building surveyors, the chartered quantity surveyors and the local authorities have all welcomed these particular measures. The Royal Institute of Architects of Ireland has been a bit reluctant to come to the table in respect of these matters, and there has been a difference of opinion within its own membership, and I am sure the Deputy alluded to that. In the past ten days, however, I understand that 1,200 architects have been subject to training and are now very familiar with the new contractual obligations and regulations.

Concerns that the new regulations prevent a self-build situation are unfounded. I notice that on four occasions this week, misinformation was provided on Mr. Duffy's programme, in spite of the fact that the Department of the Environment, Community and Local Government has been providing the appropriate information, which he refuses to read out. These allegations on cost are unfounded, although all house builders and owners must comply with the regulations. An owner who intends to self-build - known as direct labour - will, as before, assume legal responsibility for ensuring the building or works concerned are compliant and he will be required, as builder, to sign the undertaking by the builder and the certificate of compliance on completion.

As local authorities and industry move to full implementation next week, the Department will continue to work with all parties to ensure they understand their obligations and the steps necessary to meet them. These changes are essential to deal with the disgraceful legacy issues we have seen with Priory Hall, unfinished estates and the supply of pyritic material.

Photo of Barry CowenBarry Cowen (Laois-Offaly, Fianna Fail)
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I agree with the Minister's final statement. A strengthening of regulations is required to maintain and confirm that a high quality standard of building is put in place. Notwithstanding the fact the Minister said he will not agree to a deferral, I ask him again to consider a specified term of three to six months before this comes into effect. Would he also consider putting a review panel in place to monitor the new regulations thereafter? This will assure us it will not have a detrimental effect on rural Ireland and on the elements of the industry that find themselves outside the loop in respect of their ability to carry out inspections. Will he make a committed effort to launch a public information campaign to allow us to be sure the public is well aware of the implications of the changes?

Would the Minister consider a national building inspectorate? There could be targeted inspections, a system of licensing or registration of builders, and information on builders shared among the relevant authorities, with full prosecutions of any designers or contractors who are negligent in their duties. An open register of inspections and prosecutions and reports of inspections could be made public.

The Minister acknowledged that developers should lodge a bond with the local authority. This should be a mandatory rather than discretionary requirement, as is currently the case. The bond should not be returned until such time as the council is satisfied that the development is complete and meets the required standards. Under the current process, it may be too late when the council initiates proceedings.

I ask the Minister to give serious consideration to the four or five proposals I have made before proceeding as intended on 1 March. We must not misconstrue or misrepresent some of the comments we have heard on the public airwaves and elsewhere in the past week or two. Many members of the public honestly believe there are means and methods to strengthen the process the Minister proposes to enable us to stand over them. We need certainty that the system will not fail to achieve the objectives set for it, as it did in the past with detrimental results.

5:05 pm

Photo of Phil HoganPhil Hogan (Carlow-Kilkenny, Fine Gael)
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I do not know for how long or how often people have been refusing to listen and acknowledge that we are proceeding with new building regulations on 1 March 2014. The new regulations have been the subject of consultation with all of the people involved in the construction industry for the past two years. I am prepared to establish an oversight group, as suggested by Deputy Cowen, to monitor the implementation of the regulations. I concur with him that the implementation of a new regime inevitably gives rise to teething problems. Nevertheless, comprehensive consultation documents have been published, including a document strengthening the building control system, a document to inform public consultation on the draft Building Control (Amendment) Regulations 2012, which sets out the context in which the reforms will operate and their regulatory impact for building owners and industry stakeholders. This document remains available on the Department's website.

The arrangements being introduced for the control of building activity may result in some additional costs. Certification will be required if one proposes to build to a higher quality design or have a risk-based inspection system. It is not expected that single houses in rural areas will require many inspections. However, inspections will be required for blocks of apartments and commercial developments, as we know from the past. The costs will be modest compared to the outcome.

A register of builders will be established on a voluntary basis in 2014 and will be made statutory in 2015. I am proceeding with this measure, with which the Construction Industry Federation agrees.

Owners and developers who are worried about these matters, for example, draughtsmen, who tend to work in rural communities, will be able to proceed as present on a direct build basis. They will, however, be required to have an architect, building surveyor or chartered surveyor sign off the job to certify it has been done properly. This requirement has always been in place but was not always complied with. If individuals who do a good job want to register with the professional bodies, I appeal to them to do so. I have commissioned a report from the chairman of the architects admissions board, Mr. Garrett Fennell, to examine how to make it easier to register with the professional bodies. I will immediately implement Mr. Fennell's recommendations to enable people to become the assigned certifiers in respect of the regulations.

I assure Deputy Cowen that all of the nonsense on RTE this week is absolute misinformation to the extent that it is being claimed that the cost of building a house by direct labour in a rural area will increase by as much as €50,000. Additional compliance should cost between €1,000 and €3,000, depending on market forces and where the best deal can be secured. I encourage small business professionals, such as draughtsmen, to register with the professional bodies in order that they can act as assigned certifiers. I will careful monitor the position to ensure the regulations are implemented fairly.