Oireachtas Joint and Select Committees

Wednesday, 8 October 2014

Joint Oireachtas Committee on Agriculture, Food and the Marine

General Scheme of Horse Racing Ireland (Amendment) Bill 2014: (Resumed) Department of Agriculture, Food and the Marine

11:25 am

Mr. Brendan Gleeson:

That is fine; the Deputy has a point. In fact, the streamlining provided for in the Bill should result in reducing the overall cost of administering the horse racing industry. It could well allow scope for a further reduction in charges to participants in horse racing, which would be a desirable outcome. However, these are matters for HRI, not the Department. It is a day-to-day operational matter, but the framework laid down in the general scheme should allow for a reduction in administrative costs which could certainly manifest itself in reduced charges to the industry.

Deputy Thomas Pringle asked about the financing and the protections for the integrity function and the independence of the integrity function. I have already spoken about the general checks and balances in terms of the composition of boards and so forth. However, there is a unique feature in this legislation. When the RRB negotiates its budget with HRI and if there is a fundamental disagreement on the budget, the legislation provides for an arbitration procedure. That is a very unusual provision. In any other circumstance I would almost say it is inappropriate, but it is included specifically in recognition of the need for absolute independence in terms of integrity. First, there is a representative board which obviously has a say in the negotiation of budgets. There are three RRB people on the board, three ministerial nominees and representatives from across the spectrum of interests in horse racing. There is also the specific arbitration clause which has always been there. If there is a disagreement between RRB and HRI in the budgetary negotiations at the start of the year, an arbitrator can be called in. That provision has always been included, but it has never been invoked. It is inevitable and probably appropriate that there will be tension between two negotiating bodies when budgets are being negotiated. That is to be expected and probably a sign of a healthy process, but we have this arbitration provision. It has never been used, but it is still in place.

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