Seán Fleming (Laois-Offaly, Fianna Fail)
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Question 218: To ask the Minister for the Environment, Community and Local Government if funding will be approved through the partnership company in County Carlow for a project (details supplied) in conjunction with Carlow Town Council; and if he will make a statement on the matter. [40579/11]

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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Funding of €427 million is available under the Rural Development Programme (RDP) 2007-2013 for allocation to qualifying projects up to the end of 2013. There are 35 Local Action Groups (LAGs) contracted, on my Department's behalf, to deliver the RDP throughout the country and these groups are the principal decision-makers in relation to the allocation of project funding. Such decisions are made in the context of the local development strategy of the individual groups and in line with Departmental operating rules and EU regulations.

Projects that request funding of €150,000 or more are required to seek final approval from my Department. The project referred to in the question sought approval for a grant of €200,000. The assessment of higher value projects (projects with a grant approval of €150,000 or more) usually involves detailed consultations between my Department and the relevant LAG. It frequently necessitates the provision of further documentation or clarifications, as was the case for this project. It may also, in some instances, result in modifications to the project proposed to ensure best value for money and compliance with all the necessary regulations, both national and European, governing the activities funded under the programme. These assessments also consider whether the project as proposed addresses the needs of the local community in the best possible way. A full and detailed assessment of all projects is vital. The LEADER activities are co-financed by the European Union at a rate of 55% and, accordingly, come within the remit of a strict regulatory regime which requires that each project must be compliant before any funding is awarded by the LEADER companies.

My Department will continue to work with the relevant LAG to make a full assessment of the eligibility of this project for grant aid of €200.000 and will inform the LAG once all queries have been addressed satisfactorily.