Seanad debates

Tuesday, 8 July 2014

Housing (Miscellaneous Provisions) Bill 2014: Committee Stage

 

2:40 pm

Photo of Jan O'SullivanJan O'Sullivan (Limerick City, Labour) | Oireachtas source

The first part of amendment No. 13 proposes to insert a new subsection (1A) into section 44 of the Act of 2009 in what would appear to be an attempt to extend the incremental purchase arrangements for newly-built local authority and approved body houses of Part 3 of the 2009 Act to existing local authority and approved housing bodies. The proposed amendment is unnecessary insofar as it applies to a housing authority as it is already encompassed by the provisions in Part 3 of the Bill underpinning a purchase scheme for existing dwellings along incremental purchase lines.
In respect of extending purchase provisions to encompass existing approved housing bodies, AHBs, stock, under the terms of the various funding schemes under which AHBs make accommodation available, AHBs are the de factoowners of the properties and are required to make them available for social renting for the duration of the mortgage or, as the case may be, the availability agreement. My Department cannot unilaterally make provision for their sale to tenants. Any such decision would have to involve the AHB and have regard to the mortgage on the property.
In July 2013, I introduced a voluntary regulation code for this sector as a precursor to a statutory regulatory framework to support the voluntary sector's long-term growth. In February 2014, I appointed an interim regulatory committee to oversee the implementation of the voluntary code and to advise on the development of statutory regulation. Regulation is an important element in providing the conditions necessary for the growth and development of the sector. Financing that growth is equally important and the question of how best to utilise the existing asset base, including the option of selling existing stock to tenants, is a factor to be considered under this process. The context of this is the work underway in regard to the regulation of the voluntary sector and that the principle of what is proposed in respect of the use of capital moneys accruing to local authorities from sales is already provided for in primary legislation, that is, the Housing Act 2009. It is on this basis that I ask for the amendment to be withdrawn.
Senator Mooney's question relates specifically to the approved housing bodies. The fact that they are the de factoowners of the properties means that they would have to agree to any sale of the property.

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