Paddy McHugh (Galway East, Independent)
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I thank the Ceann Comhairle for allowing me to raise this very important matter this evening. My purpose in doing so is to establish the situation regarding lands in the ownership of the HSE in Tuam, Portumna and Ballinasloe, County Galway. The lands in Tuam were purchased more than three years ago by the old Western Health Board at the behest of the then Minister for Health and Children, Deputy Martin, for the construction of a 60-bed community hospital with x-ray facilities, a primary care unit, an ambulance base and other ancillary medical facilities. Although a planning brief was submitted to the Minister in 2002, nothing has happened on the project since then, despite a firm undertaking given in 2002 by no less a person than the Taoiseach. This commitment was given on his own behalf and on behalf of the then Minister, Deputy Martin, the local Fianna Fáil public representatives and the local Fianna Fáil organisation.

It now appears that the lands which were purchased for the construction of a community hospital are being assessed to establish how many housing units could be built there under the Sustaining Progress affordable housing initiative. What is the status of this latest madcap idea for the site? Is the proposal to build houses here serious? If so, the community hospital for Tuam is dead. What are the Government's plans for those lands? Is the Government about to sell the lands?

A specific project is proposed for the HSE lands in Portumna, which requires the full amount of those lands in order to be viable. South East Galway Integrated Rural Development Limited, in association with South East Galway Housing Association working in conjunction with Galway County Council, the Heritage Council, Galway Rural Development, Galway County Association for the Mentally Handicapped, east Galway mental health services and others, have formulated a €24 million project for those lands which involves the restoration of old workhouse buildings and the construction of social and private housing. Plans for the project were greatly advanced even to the extent of agreement having been reached to transfer ownership from the HSE to South East Galway IRD and South East Galway Housing Association. It appears that consideration is being given to utilising two acres of those lands under the Sustaining Progress affordable housing initiative.

If the sale of those lands proceeds it will render this community project unviable and will leave the old buildings as a blot on the Portumna landscape for the foreseeable future. What are the plans for the Portumna HSE lands? Will part of the lands be sold or will the lands in their entirety be transferred to the South East Galway IRD and South East Galway Housing Association so that they can proceed with the valuable work in which they are engaged.

The issue regarding the lands in Ballinasloe may not be as critical as with the lands in Tuam and Portumna as no specific project is planned for those lands requiring the use of all the lands under the control of the HSE. However, the western region of the HSE has a requirement for land in Ballinasloe. That requirement needs to be comprehensively established before further consideration is given to the sale of any of the Ballinasloe lands. If after a full appraisal of the needs it is found that some of the Ballinasloe lands are surplus to requirements, consideration should be given to selling part of the land, provided the proceeds are reinvested in Ballinasloe. What is going on with regard to the lands in Tuam, Portumna and Ballinasloe? Is it the case that one arm of the State does not know what the other is planning or is the Tuam health campus project being abandoned, the Portumna community project being torpedoed and the future of health projects in Ballinasloe being put in jeopardy? Is it the case that the Galway lands are being used to fund inner city Dublin social housing?

Seán Power (Kildare South, Fianna Fail)
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I am taking the Adjournment on behalf of my colleague, the Tánaiste and Minister for Health and Children, Deputy Harney. I thank the Deputy for raising this matter as it provides me with an opportunity to provide the House with an update on the situation.

While considerable progress has been made in recent years in increasing overall housing supply, the demand for housing remains high, particularly in major urban areas. Against this background, the parties to the pay agreement, Sustaining Progress, proposed a new initiative aimed at further enhancing the supply of affordable housing, with the objective of significantly increasing the supply of such houses.

The Government is therefore strongly committed to the ambition of delivering the affordable housing initiative and other arrangements under the Planning and Development Acts. It is envisaged that housing provided under the initiative will be aimed at those who in the past would have expected to purchase a house from their own resources but who find that they are unable to do so in the current housing market.

With regard to the specific issues raised by the Deputy, the Health Service Executive western area has been advised of the Government decision to release State lands in the health sector for affordable housing under Sustaining Progress. The executive has identified a number of sites for consideration for inclusion in this initiative. It is engaged in a process of reviewing the implications of the initiative on these sites for planned health services development. This review will be completed shortly.

I understand that the executive will communicate its views shortly to the parties concerned, including the Department of Health and Children and the Department of the Environment, Heritage and Local Government. It is not intended that the affordable housing initiative would have a negative impact on planned developments in the health sector. The Health Service Executive will strive at all times to strike a balance with regard to individual proposals to satisfy in the most realistic way possible both its own objectives and those of the initiative.