Mr. Tadhg Daly:

Essentially, each individual nursing home negotiates an individual price. Based on feedback from our members, we argue that it is done on a take it or leave it basis. I am sure that members of this committee and other Deputies will have received representations on this model. Existing nursing homes have a deed of agreement that runs for a defined period, perhaps one, two or three years, at which point it comes up for renegotiation. In the case of a new nursing home, it would have to contact the NTPF and enter negotiations. It highlights what we see as a lack of sophistication in the model. Sometimes it is based on the average county rate, irrespective of the service provided.