Oireachtas Joint and Select Committees

Thursday, 5 March 2015

Public Accounts Committee

Procurement Issues: Small Firms Association and Irish Schools Arts Supply Federation

10:00 am

Ms Patricia Callan:

I want to add to that. The critical element is data. The absence of data is problematic for all of us. In particular, it is noticeable that this was one of the major tasks placed upon the Office of Government Procurement when it was established. We do not know what type of contracts are involved, how much they are worth, who is getting them and so forth. Until we have all of that information, it is impossible for any of us to give the committee the answers. In terms of good governance and the public accounts, it is essential that we get those data.

We would go further in terms of the economic assessment of the price piece in saying that we have to work out the consequences. One of the consequences of eliminating the supply chain is that 1,600 more people will be on the live register at a cost of €20,000 per person. In terms of the overall economic impact of the decision to save X amount in a contract, the State costs itself money because, in the round, it will end up paying out more money. This is not just about one office or Department. There has to be a whole-of-Government approach to assessing the impact on jobs.

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