Oireachtas Joint and Select Committees

Thursday, 7 July 2016

Public Accounts Committee

Work Programme

9:00 am

Photo of David CullinaneDavid Cullinane (Waterford, Sinn Fein)
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I have a question on the institutes of technology. My understanding is that a number of institutes have significant deficits. We need to consider this matter, as some of those deficits amount to millions of euro. The Higher Education Authority, HEA, is working with them on putting containment plans in place and so on. Some are involved in the process of becoming technological universities. We must examine more deeply those that are running deficits while being part of such a process.

I received responses from a number of institutes of technology to parliamentary questions that I asked. Some 85% of Waterford Institute of Technology's operating budget goes on pay. Institutes are labour intensive by nature, but 85% is very high compared with other institutes. Various institutes have problems, in that they have deficits while also having very little remaining in their operational budgets after pay. This matter merits further scrutiny by the committee. Historical issues at some institutes have been addressed by the committee, but there may still be a hangover from them. There were issues in Waterford Institute of Technology.

As to the audit accounts, I am concerned about the levels of deficit, how sustainable they are and whether it is sustainable for some institutes to be run on the basis of 85% of their operational budgets being spent on pay.