Oireachtas Joint and Select Committees

Tuesday, 22 July 2014

Joint Oireachtas Committee on Health and Children

Section 38 and Section 39 Agencies: Health Service Executive

12:50 pm

Mr. Barry O'Brien:

All I can say in reply to the Deputy is that we are left with the challenge where the internal audit report stated that there was a complete non-standardised approach prior to the HSE coming into being in 2005. Since the HSE came into being we have been in pursuit of standardisation. Equally, it is fair to say that we have been absolutely unequivocal in our determination to pursue full compliance. The internal review group of which I was a member - as was Ms McGuinness - recommended the cessation of all the allowances but, clearly, one has to have due regard for legal advice which states that if there is a legal contract in place and one seeks to alter the contract and one pursues that through the legal route and one is likely to lose, it is not prudent to spend taxpayers' money in that way. Given that the HSE is the funder of the section 38 organisations, we have stated clearly in our advice to those organisations that in reaching compliance they need to mitigate and minimise the risk. We will deal with them on a case-by-case basis. We are in pursuit of the minimal of full compliance.

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