Dáil debates

Thursday, 29 January 2009

Priority Questions

Community Development.

3:00 pm

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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Question 1: To ask the Minister for Community, Rural and Gaeltacht Affairs the level of funding received to date by the 36 local action groups approved for funding under the Rural Development Programme Ireland 2007-13; the number of local action group projects which have commenced; and if he will make a statement on the matter. [2809/09]

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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The Deputy will be aware that, on 4 November, I announced the local action groups selected to deliver the programme, along with their individual funding allocations. The signing of contracts is under way — indeed, I handled many of them today — and the programme will be open to applications for grant assistance in the near future.

With the signing of contracts, funding to local action groups will commence under the programme shortly. The selection and development of projects and the arrangements for payments to individual project promoters is primarily a matter for the groups. However, I anticipate that project activity will be occurring on the ground in the near future.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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I will ask two or three questions. The Leader programme was to run from 2007 to 2014, but it was announced last year that many office amalgamations did not occur. People were sitting around in rented offices. From where did that funding coming? Did it come from the 2007-13 programme?

Turning to the most important issue, the Minister amalgamated a number of companies, some of which were to bring all of their offices, equipment and resources with them. What has occurred in this regard? Have all of the amalgamated Leader programmes brought their assets with them? It has been brought to my attention that some companies were not prepared to do so despite the fact that many of their assets were provided using taxpayers' money. What is the up-to-date position?

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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Last year, funding was provided by the Exchequer. Eventually, I told companies that, unless the cohesion process was completed, I would withdraw that funding. None of the 2007-13 programme's money was used last year. A new programme is being rolled out, the advantage of which is that, despite starting in 2009, it will still finish in 2013. There could not be a better time for launching a large, positive programme, as it is needed more urgently than ever. I hope it encourages people to consider unexplored possibilities.

On Deputy Ring's second question, we are aware of some companies that will not continue. There was vested ownership-management of the assets that they acquired. It is fair to say that, in most cases, those assets were acquired with some element of State funding. Often, the maintenance of the assets also involved Exchequer funding. We are taking appropriate steps to ensure the State's interests in the assets are protected.

A number of companies do not intend to wind up, but to continue outside the Leader programme. We must ensure the Exchequer's interests in their assets are protected. A process is under way and will be followed to the nth degree to ensure that, as the Deputy will agree, anything paid for by the State is accounted for fully. If staff move, the appropriate assets should transfer with them.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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I will revert to the matter of assets in a later question. Given the Leader programme's value of €425 million, has the Minister conducted a value for money audit of the previous Leader programme to determine whether we learned from any mistakes and whether funds were spent wisely? I hope that such an audit was conducted and that the Minister learned from it. He was correct when he stated that we need the money now more than ever. We must encourage people, particularly those in rural areas, to set up companies that offer employment and to aid them with grants. No public money should be wasted, given its new value in these times.

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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An external pre-report on the new Leader programme report also examined what occurred under previous programmes. Sometimes, I wonder about the worth of so many evaluations. I have yet to see an evaluation that states something is rubbish. The evaluation groups always ask for additional processes.

While I may have the wrong attitude, I am impressed when the ordinary people of an area and not the people promoting the programme tell me that it is delivering on the ground and has made a difference. I am impressed by visible effects. Today, many of those involved in the rural social schemes and RAPID communities visited Dublin. The external evaluators that I rely on in my heart and soul are the ordinary people for whom this is all meant. If they say that a programme makes a difference, I believe them. If they say it is not affecting their lives, I will listen carefully irrespective of how favourable any report that I receive might be. As well as conducting professional reports, it is important we ask a simple question of those living in the areas. If they say a programme does not make a difference, hard, extra analysis is warranted. I do not know whether the Deputy agrees with my homespun approach, but I often find it gives me more truth than many of the thick, professionally produced documents I receive.