Dáil debates

Tuesday, 21 February 2017

Public Services and Procurement (Social Value) Bill 2017: Second Stage [Private Members]

 

8:45 pm

Photo of Dara CallearyDara Calleary (Mayo, Fianna Fail) | Oireachtas source

I commend Deputies Frank O'Rourke, Darragh O'Brien and Marc MacSharry for bringing forward this Bill and the work they have done.

In 2017, a presentation was made to the then Joint Committee on Enterprise, Trade and Employment by the Irish printing sector about the application of the rules at that time and one of the examples given was that the Fáilte Ireland brochures for 2008 were to be printed in Holland because of the manner in which the contract was advertised and awarded. The then Chairman of the committee, Deputy Willie Penrose, is not normally shocked, but the shock on him that day led us to drive that as an issue on the committee.

In fairness, the Office of Government Procurement, OGP has brought much more organisation and focus to the matter. However, just when I thought we might be getting out of the mess, Mayo County Council issued a circular at the end of last autumn to every operative on its staff stating that they could not buy anything from any shop in Mayo and they had to go to a preferred supplier in County Roscommon. They could not even buy a shovel, a piece of equipment or a biro. It had to come from the preferred supplier. What are the rate payers in Mayo, who pay the bills to keep Mayo County Council but cannot get a slice of the action, to make of that? That is the only action available in many rural economies at present. As bigger companies choose not to locate, we have to look at other sources of business. Procurement, which, as Deputy Declan Breathnach stated, could involve schools, local authorities or Government offices, is the only business in town and businesses in that town are being excluded because of the current way we conduct it.

There is so much detachment from the theory and wish of the Government in regard to policy and the reality. I do not refer to the Minister of State but rather the permanent government. This is one of the clearest examples where the wish is that procurement is used for small businesses but the practical reality is as I outlined, where companies are increasingly being excluded.

The comments of Deputy Marc MacSharry have reminded me of another point. Previously, school contracts, including various construction contracts, were awarded, but it was a complete race to the bottom in getting the proper price. Subsequently, we found that schools were coming back to us to lobby for extra money for add-ons and jobs which had not been done. In several cases, a large number of construction companies had made bids that were far too low. Companies went to the wall and contracts for projects were torn asunder.

We need to be serious. The Minister of State has referred to theories and plans for rural development. I must find out where the plans were printed. We have had plans for small business and everything else. At least, this measure is at practical. We can bring this Bill forward. We can take the ball and run with it. We can make it work in a way similar to measures that work in Scotland and Denmark. Let us put social contracts in place and allow Government procurement to become an enabler of a proper sustainable rural economy with rural suppliers. What must it be like for someone like Deputy Declan Breathnach, formerly a school principal, to have to go around to look for sponsorship? When it comes to giving business as a school principal, they are restricted because of some silly Government rules.

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