Micheál Martin (Cork South Central, Fianna Fail)

I thank the Deputy for the opportunity to speak on this important matter.

The provision of health centres to meet the needs of local communities within its functional area is a matter for the relevant health board or the Eastern Regional Health Authority. In the case of Ballymun that responsibility rests with the Eastern Regional Health Authority and the Northern Area Health Board.

The authority has advised me that discussions involving the former Eastern Health Board and Dublin Corporation, regarding the provision of a new primary care centre with associated administration offices in Ballymun, date back to 1996. It was agreed by both these bodies that the health board should provide services from a central civic amenity building which was to be the centrepiece of the redevelopment of Ballymun town centre.

Ballymun Regeneration Limited, a wholly-owned subsidiary of Dublin City Council, established for the purpose of advancing the regeneration of the area in conjunction with the former Eastern Health Board, developed a brief for the civic centre which included provision for a primary care centre and the community care area 7 headquarters. I am further advised that following its establishment, the Northern Area Health Board, NAHB, continued to liaise with Ballymun Regeneration Limited on this project.

While the NAHB agreed in principle to become a major sub-tenant, it did so on the basis that it was made clear to Ballymun Regeneration Limited that its participation was subject to necessary approvals from the Eastern Regional Health Authority and the Department of Health and Children, and the making available of funds for the project.

The ERHA has confirmed that the construction stage of the development was completed in February 2003. The Northern Area Health Board's share of the floor space in the civic amenity building is approximately 60% of the total. The authority has further advised that the NAHB intends to acquire its share of the building on a lease-purchase basis over a 14-year period, at an annual cost of €4.02 million. The fit out of the NAHB's portion of the building, that is, building works, electrical, plumbing, painting and decoration, floor finishes, etc., has been estimated at €6.35 million and the provision of furniture and fittings has an additional estimated price tag of €2.8 million. It would take approximately eight months to complete the fit out.

The latest estimates provided by the ERHA would indicate a total funding requirement of in excess of €60 million for the provision of the facilities. The authority has advised that the proposed financing arrangement over the 14-year period will mean that the NAHB or its successors will own the relevant portion of the building after this period.

All health boards and agencies are required to follow the Department's guidance documentation for capital projects, together with national and EU capital procurement procedures. The availability of overall funding requirements is also a necessary prerequisite in informing decisions regarding proposals from health boards to proceed with capital developments. It is normal in the first instance for the health agency involved to submit to the Department project details for agreement such as assessment of need, option appraisal, design brief, cost estimates and cashflow projections.

The NAHB proceeded with this project with neither the involvement nor approval of the Department of Health and Children. The Department has requested information and requires clarifications from the ERHA and the NAHB on various aspects of this project, in particular those relating to the overall scope of the project, funding, procurement procedures and value for money. When this information is received the Department will complete its evaluation of the project in conjunction with the ERHA and area health board.

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