Oireachtas Joint and Select Committees

Thursday, 22 February 2024

Public Accounts Committee

Appropriation Accounts 2022
Vote 33 - Tourism, Culture, Arts, Gaeltacht, Sports and Media
Sport Ireland: Financial Statements 2022
FAI: Matters relating to Governance and Funding

9:30 am

Mr. Feargal ? Coigligh:

Ar dtús, gabhaim buíochas le baill an choiste as ucht cuireadh a thabhairt d'oifigigh an Roinn a bheidh anseo inniu. Fáiltím roimh an deis labhairt leis an gcoiste maidir le Cuntas Leithreasa 2022 don Roinn Turasóireachta, Cultúir, Ealaíon, Gaeltachta, Spóirt agus Meán mar a bhaineann sé le clár D, seirbhísí spóirt agus áineasa.

The Department, in tandem with Sport Ireland, worked to support and underpin the sport sector with effective policy measures and funding throughout 2022. That year saw a return to a relatively normal level of activity across the sporting sector from mid-year onwards, which was a welcome relief from the extensive pandemic restrictions of the previous two years. Notwithstanding this, the impact of the restrictions continued to be felt across the sporting sector and required the ongoing provision of some recovery supports.

Total expenditure under programme D, sports and recreational services, amounted to €212.9 million in 2022, representing an increase of 3% on 2021 expenditure. This figure includes €35 million by way of Supplementary Estimate to Sport Ireland to help alleviate the impact of increased energy costs for sports clubs and organisations, with a view to ensuring that everyone could continue to enjoy the benefits of sport and physical activity over the winter months.

The total allocation to Sport Ireland in 2022 was €147.4 million. Some €40 million of the overall spend in the sport budget related to expenditure under subhead D3, sports capital and equipment programme, which is the primary vehicle for Government support for the development of sports and recreational facilities and the purchase of non-personal sports equipment.

It is notable that the largest ever round of this programme was finalised in 2022 with total funding of over €166.6 million allocated to sports organisations and community groups across the country. In addition, the €12 million allocation from the Dormant Accounts Fund was expended in full on sports measures for the disadvantaged.

From a policy perspective, the sports leadership group, which was established to oversee and drive the implementation of the national sports policy, continued its work, focusing in particular on the Sports Action Plan 2021-2023. A new master plan for the Sport Ireland National Sports Campus was approved by Government in November 2022, providing the framework for the further development of the campus for the next 15 to 20 years.

The Government continues to support the hosting of major sports events in Ireland and to explore further hosting opportunities. In 2022 the Department undertook a public consultation on the hosting of major international sports events. The result of that consultation is feeding into the development of a new major events policy which is due for publication later this year.

The Aer Lingus College Classic series resumed in 2022 when Northwestern played Nebraska in Dublin with an estimated value of €69 million to the Irish economy. Preparations were also progressed for the 2023 game between Notre Dame and Navy, the Europa League Final in 2024 and the hosting of the Ryder Cup in 2027.

Turning now to the matters relating to the FAI, the memorandum of understanding between the Government and the FAI, agreed in January 2020, provided for a package of funding of €5.8 million per annum to the FAI for the period 2020 to 2023 for football development. In addition, a recoupable amount of €7.6338 million was provided to the FAI towards the licence fee payable by the Association for the Aviva Stadium for the years 2020 to 2022.

A further €33.7 million was provided to the FAI in Covid-19 grants between 2020 and 2022 as part of the Government's Covid-19 support for the sports sector. This significant level of funding supported the FAI, its affiliates, League of Ireland teams and over 400 grassroots clubs. A further €1.2 million was provided under the sport energy support scheme in 2022.

The MOU provided for a comprehensive range of reform recommendations, some 163 in total, which the FAI was to implement and embed over the lifetime of the memorandum. Sport Ireland was tasked with monitoring the implementation of those recommendations. On 30 January 2024, the Minister, Deputy Catherine Martin, and the Minister of State, Deputy Thomas Byrne, published a report on the progress made by the FAI on the implementation of the reforms set out in the MOU. The report notes that 159 of the 163 recommendations, or 98%, have been marked as either "Complete" or "Phase 1 Complete".

With regard to the issue relating to the salary of the CEO of the FAI, the MOU stipulates that the remuneration of the CEO would be no greater than the remuneration of officers in the grade of Secretary General. This is identified as MOU condition no. 35. The report of the auditors, KOSI, examining compliance with this condition, commissioned by Sport Ireland, was received in the Department on 5 October 2023 and was subsequently reviewed and considered. On foot of further engagement between the Department and Sport Ireland and the receipt of additional information from the FAI, Sport Ireland confirmed it was adequately assured that MOU condition no. 35 is now fully implemented in the FAI and the associated KOSI audit findings and recommendations have been satisfactorily implemented by the FAI. On this basis, on 30 November 2023, the Department informed Sport Ireland it could release the 2022 and 2023 funding to the FAI, which had previously been delayed.

I wish to confirm that the Department continues its work in supporting, maintaining and developing the sports sector, not forgetting the agencies, local authorities, organisations and clubs and the many participants and volunteers who all actively and regularly engage with the sector. I will be happy to expand on any of these areas or to explore other areas within programme D - sports and recreation services as the committee wishes. Go raibh maith agaibh.