Dáil debates

Tuesday, 17 November 2009

3:00 pm

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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Question 57: To ask the Minister for Community, Rural and Gaeltacht Affairs if the funding available to Údarás na Gaeltachta is sufficient to capture the potential for job creation in gaeltacht areas; the level of funding that has been made available from the Department of Finance to Údarás na Gaeltachta to allow them to assist in job creation in gaeltacht areas; and if he will make a statement on the matter. [41714/09]

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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The funding arrangements for Údarás na Gaeltachta are primarily a matter for my Department, in consultation with the Department of Finance. In 2009, the capital funding being provided by the Exchequer to an tÚdarás amounts to €19.65 million. Furthermore, the organisation is allowed to reinvest any return it receives from sales of assets into its capital programme for job creation purposes. This policy has realised additional resources of over €30 million over recent years.

In addition to the aforementioned sources of funding, an tÚdarás is also administering the enterprise stabilisation fund and the employment subsidy scheme in the Gaeltacht on behalf of Enterprise Ireland. I assure the Deputy that an tÚdarás continues to pursue a vigorous strategy aimed at developing and securing employment in the Gaeltacht. My Department maintains regular contact with the organisation in respect of policy and, in this regard, my officials meet with its senior executives frequently about the management of the funding that is available to the organisation. I am acutely aware of the need to support job maintenance and job creation in the Gaeltacht, especially in the current economic climate, and my Department will continue to work closely with an tÚdarás in this regard.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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There is no doubt that there is an embargo on job creation in Údarás. Last July, the chief executive or a spokesman for Údarás made clear that it had 250 jobs for the Gaeltacht areas but the Department of Finance issued an embargo. Údarás had the money in its budget but was not allowed to spend it. The same embargo was, however, was lifted for the Industrial Development Authority, IDA, and Enterprise Ireland. There is discrimination against Údarás, rural Ireland and jobs in Gaeltacht areas.

Has the Minister asked the Minister for Finance to lift this embargo? Has he spoken to Údarás about the 250 jobs it proposed to create in the Gaeltacht areas which need it? Gaeltacht areas in constituencies represented by Deputy McGinley's, myself and the Minister have lost many jobs. What is the Minister doing about the 250 jobs Údarás will create if it gets approval for grant aid from the Department of Finance which is holding that back?

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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The Deputy should calm down. He is in a very excitable humour today.

Photo of Dinny McGinleyDinny McGinley (Donegal South West, Fine Gael)
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He has good reason to be.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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That is no wonder when I see how the Minister and his colleagues are running the country.

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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The facts of the case are that Údarás was severely extended because of the lack of its own income this year. It is an important principle for me, although I do not know if the Deputy holds the same view, that Údarás should be able to meet its commitments for grant payments and so on as they fall due. That was not the situation in the middle of the year. I am not blaming the Department of Finance. My Department and I told Údarás not to sanction any further grants until we were satisfied that the sanctioning of further grants would not create an impossible burden on Údarás finance. The collapse of its income has put its capital budget under severe strain.

Permission was given in the autumn to approve grants to the amount of €2 million and again in November to the amount of €1.89 million, which is almost €4 million in total. We are asking Údarás to prioritise grants that would have an immediate benefit. I have suggested that small grants be diverted to Meitheal Forbartha na Gaeltachta, MFG, which has a great deal of money that it has not approved, or a great deal of permission that it has not used. This is the sensible way to proceed.

It is very important for Údarás, at a time when money is scarce, not to get involved in forward building but to concentrate on projects that will yield an immediate return in jobs. If a building is needed as part of a particular project it may go ahead with that if jobs will be created immediately. That is the priority. We are working with them month by month to ensure permission is given for programmes from which jobs can be created and products launched. However, each Department must live within its capital envelopes. The control is being exercised by my Department in this regard.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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The Minister can talk all day and night but there is an embargo on jobs in the Údarás. I am disappointed the Minister has not spoken to the Minister for Finance about this matter. How many jobs have been lost because of this embargo? This is discrimination against the Údarás and the Gaeltacht areas because the same embargo that applied to IDA Ireland and Enterprise Ireland was lifted. I demand this embargo against the Údarás be lifted immediately. It is wrong because the Gaeltacht areas badly need jobs and job creation programmes. The Údarás claims it can create jobs but because of the embargo it cannot. Will the Minister speak to the Minister for Finance to have this embargo lifted?

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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It is not normal for a Minister to ask the questions on Question Time but, is this an embargo on the recruitment of staff in the Údarás or an embargo on it approving new projects?

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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The Minister has stopped the Údarás from spending money. The Údarás claims the money is there; the Minister, otherwise. The Údarás claims it can create jobs but the Minister will not allow it to spend money. That is wrong.

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
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The Minister should conclude on the question - rather the answer - instead of drawing more questions upon himself.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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The Minister's problem is that he knows the question but he does not know how to answer it. I am after putting it as simply as I can. I cannot put it any simpler. I want jobs in the Gaeltacht and the Údarás.

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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What I was trying to say, but the Deputy was not listening, was that the Údarás was given permission to approve grants to the value of €2 million in September and a further €1.89 million in November, approximately €4 million in total. We are agreeing with the Údarás on a month-by-month basis on the approval of programmes for job creation within its spending limits. There is no embargo.

Photo of Michael RingMichael Ring (Mayo, Fine Gael)
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All I am asking the Minister to do is to lift the embargo.

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)
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It is not possible to lift something that does not exist.