Seán Haughey (Dublin North Central, Fianna Fail)

The proposals contained in the strategic plan for the Grangegorman site involve major capital expenditure which requires careful and detailed assessment by my Department and the other Departments involved in the project. This assessment is nearing completion. When it is completed, it is intended to bring the proposals contained in the plan to Government for consideration.

The Grangegorman Development Agency was established in May 2006. Since its establishment, the agency has worked on the preparation of a strategic plan and budget for the proposed development of the Grangegorman site. The agency completed the drafting of the strategic plan and budget in October 2008 and forwarded it to my Department for approval as provided in section 12(h) of the relevant Act. Copies of the plan and budget were also forwarded to the Minister for Health and Children for her consideration. The Grangegorman Development Agency has provided my Department with a clear indication of the overall costs for the development of the site. This has allowed the Department the opportunity to consider fully the costs involved in utilising the majority of the Grangegorman campus to provide for needs of the Dublin Institute of Technology.

Following receipt of the strategic plan, Department officials, in consultation with the Higher Education Authority, commenced an assessment of the proposals. The Department also sought the advice of the National Development Finance Agency on the relevant funding portions of the plan. In March 2009 the agency submitted a revised master plan and budget. The revised plan takes account of the reduced prices that have materialised in the construction sector, as well as revising the estimated value of the DIT's property portfolio to reflect current market trends. The revised plan proposes to deliver the project in phases. The National Development Finance Agency has also been consulted on the revised funding plan. Given the scale of the proposals and in light of the current situation with regard to the public finances, careful consideration will be needed.

While the strategic plan and budget are being considered by the Department, work on the preparation of the strategic development zone planning scheme has been progressed by the agency. The Department of Health and Children and the Health Service Executive are also moving ahead with developing facilities on the site and recently announced that construction will commence this year for the new mental health replacement facilities for the residents and staff of St. Brendan's Hospital in Grangegorman.

See this speech in context