Seán Fleming (Laois-Offaly, Fianna Fail)
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I find it extraordinary that, while almost €1.2 billion in taxpayers' money goes straight from the Department to the Higher Education Authority, there was no formal written memorandum of understanding between the two organisations. Some of the issues pertaining to the third level colleges arose in the 2010 audit.

Consider the position in which we found ourselves early this year. Obviously, the Department was fully aware of what was coming through the system prior to the special report of the Comptroller and Auditor General being produced by way of the annual audit and concerns being expressed. The officials will understand why people would be concerned. Did the Department just wash its hands of the money the minute it wrote the cheque for €1.2 billion if it had no memorandum of understanding? I am not suggesting there was anything untoward but I find it unacceptable that a Department, including its Accounting Officer, would hand over €1.2 billion of taxpayers' money to any organisation, be it another State body or otherwise, without a formal written memorandum of understanding outlining who is responsible and the roles and obligations of each party. Is this normal? Perhaps the Comptroller and Auditor General might advise us whether there would be a memorandum of understanding between the Department of Transport, Tourism and Sport and the NRA, for example? I refer to bodies that receive massive sums of taxpayers' money without even a formal agreement in place. I ask the delegates to comment on that.