Mr. Paul Clegg:

I am the acting chief executive of the authority. I was appointed in March 2014 and I am on secondment from Dublin City Council. I work with the authority two days per week. I am joined by my colleague Mr. John Crawley, the authority’s financial adviser. We are here to discuss the 2013 annual report and financial statements and to bring the committee up to date on developments in the authority since we last appeared in February 2014.

Last week we submitted a briefing document to the committee, to which we will refer to this morning. This briefing covers an update on the recommendations in the Comptroller and Auditor General's Special Report 77, some details on the authority’s financial position, and a report on the future development of the docklands.

On 31 May 2012, the Minister for the Environment, Community and Local Government announced the Government’s intention to dissolve the authority.

A new council and executive board were appointed in June 2012 to the authority to oversee the transition. The Minister envisaged that the authority would remain in place for a transitional period. During that period the authority is required to wind up existing operations, prepare the transition to new arrangements and make recommendations to the Minister on appropriate structures for the future. These structures should ensure the following: the docklands brand and international marketability as an attractive and prime location for investment; that high-value development is maintained and enhanced; that an appropriate fast-track planning regime remains in place; that the local community and the business sector continue to be involved in the regeneration project; and that job creation is facilitated.

In addition, the board has also considered and made recommendations to the Government on how best to achieve the Minister’s key objectives for the future regeneration of the docklands in a way that the board considers will build on the positive elements of the authority’s legacy in terms of social, physical and economic regeneration. In this regard, following the Government's decision to wind up the authority but to retain an appropriate fast-track planning framework to complete the docklands project, a strategic development zone designation, SDZ, was proposed by the authority and Dublin City Council. The Minister designated the city council as the development agency. On 16 May 2014 the SDZ was approved by An Bord Pleanála and is now effective and operational. Until such time as the authority is dissolved it continues to operate its section 25 planning function alongside the SDZ planning scheme.

The authority’s board, executive and council have proposed the creation of a forum under the auspices of the city council to assist it in the regeneration of the docklands area. The Oireachtas Joint Committee on the Environment, Culture and the Gaeltacht has considered the issue of the wind-up of the authority and in its recently published list of 16 recommendations is supportive of the creation of a consultative forum which we understand will be established on a statutory footing. The authority has worked with the city council on the best operational model to be used going forward. A docklands unit has now been established within the city council and is based in the authority’s offices in Custom House Quay, ensuring that there continues to be a physical presence in the area to oversee the continued regeneration of the docklands.

A series of key objectives and associated risks were identified to implement the Government decision, as reported on in the 2013 annual statements and these are being addressed and resolved, where possible, in advance of dissolution. As regards the current status of the authority, the legal mechanism for the wind-up is through a dissolution Act. The authority has given significant input to the Department on the dissolution Bill which we understand is expected to be dealt with in the Oireachtas legislative programme during the current session. In terms of wind-up of existing activities, the authority followed two key strategies, namely, the sale of assets to deal with remaining liabilities, where feasible, and the transfer of infrastructure to Dublin City Council. In light of what I understand are the complexities in drafting some aspects of the dissolution Bill provisions, a new board was put in place from 1 January 2015. This board is made up of three members from the previous board and five senior executives from the city council.

In summary, since the successful resolution of the Donatex case and the issues surrounding the Irish Glass Bottle site, the finances of the authority have been stabilised from a negative position of nearly €200 million to an expected positive closing position of some millions. This should be seen in the context of a very challenging legal environment. A new fast-track planning mechanism has been put in place to support the delivery of 2,600 housing units and up to 366,000 sq. m of commercial property, which in turn will create up to 23,000 new jobs. In the past week the first planning permission under the new SDZ scheme was granted by Dublin City Council marking the beginning of a new phase in the regeneration of Dublin docklands. A framework for the local communities' continued involvement in the future regeneration of the docklands has been agreed. Regarding the mandate given by the Minister to wind up the authority, I am pleased to report the work is almost complete. My colleague and I are happy to deal with the committee’s queries to the best of our knowledge and ability.