Catherine Murphy (Kildare North, Independent)
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To ask the Minister for Environment, Community and Local Government if he wll advise the way in which the proposed transfer of the rent assistance scheme from the Department of Social Protection to his Department in intended to operate; the anticipated timeline of this project; if any local authorities have been selected for a pilot version of the new arrangement; the resources that will be required for the successful operation of the new arangement; if the new arrangement will incorporate RAS application; and if he will make a statement on the matter. [5912/13]

Jan O'Sullivan (Limerick City, Labour)
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In March 2012, the Government approved in principle a joint proposal by the Minister for the Environment, Community and Local Government and the Minister for Social Protection to transfer responsibility for recipients of rent supplement with an established long-term housing need from the Department of Social Protection to local housing authorities. The new service would be provided using a new housing assistance payment or HAP.

It is envisaged that, unlike rent supplement, HAP would be paid on the tenant's behalf directly to the landlord within a stronger regulatory framework, with rental contribution from tenants set by reference to the differential rent for the local authority area. Some of the specific objectives of HAP included the following: to give local authorities greater flexibility to provide assistance to those in need of social housing support; facilitate removal of barriers to return to work for rent supplement recipients under a progressive graduated system; facilitate better regulation of the private rented sector, leading to improved standards of accommodation, better enforcement of levels of registration with the PRTB, and strengthened processes for ensuring tax compliance by landlords; and secure better value for money for the Exchequer in ensuring that rental payments are conditional on adherence to improved standards. The County and City Managers Association, which is represented on the project steering group, provides ongoing advice on the resources required by housing authorities to implement the new housing assistance payment. This input will continue as the detail of the scheme is developed this year.

It is intended that the scheme will be piloted by a number of housing authorities in the second half of this year, subject to the necessary housing and social welfare legislative provisions being in place including in regard to facilitating deduction of rents at source from welfare payments. After the pilot phase is complete, the scheme will be implemented generally, commencing in 2014.

Catherine Murphy (Kildare North, Independent)
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In the first instance, it is very important that a decision is made in a single location as the dual process is causing serious problems. In this regard I fully acept that there are property traps within the rent assistance scheme. However, I note this is the single most prominent issue that arises in my interactions with individuals and I am sure it is the same with most Deputies, particularly in big urban areas. The housing list issue is not universally as bad nationwide as it is, for example, in Dublin, Kildare, Galway or Cork, which are really serious black spots. However, when the new scheme is being piloted, I ask that this take place in areas in which there is such a profile to enable the Department to ascertain what are the flaws in the system. For example, it takes months to process the rental accommodation scheme, RAS, in locations such as Kildare but yet it is very difficult to get landlords to come forward with their properties and-----

Michael Kitt (Galway East, Fianna Fail)
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Thank you Deputy.

Catherine Murphy (Kildare North, Independent)
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-----it is putting them off. I am more then somewhat disappointed that more details on this initiative have not yet emerged. I had hoped that in response to this question, I would have been given a timeline, the number of local authorities that will pilot it, the kind of resources that might be needed and how issues such as the embargo will be overcome. These are the questions on which Members need answers.

Michael Kitt (Galway East, Fianna Fail)
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I call on the Minister of State to reply.

Jan O'Sullivan (Limerick City, Labour)
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First, two legislative items will be necessary to introduce the scheme. One measure must come from the Department of the Environment, Community and Local Government to introduce housing assistance payment, HAP, and the other must come from the Department of Social Protection with particular regard to deductions at source. As for the pilot areas, my Department is considering what would be appropriate pilot areas at present. I take Deputy Murphy's point that the Department should ensure it conducts its pilot schemes in areas in which genuine difficulties exist in order that we establish what are the problems and can learn from the pilots before implementing the full scheme. On her point regarding the lack of details, until the legislation is available and until the work with the County and City Managers Association has been done, this is as much detail as is available. However, more detail will be forthcoming as the year goes on and I will be happy to share it with Deputy Catherine Murphy and other Members of the House. On resources, deduction at source will be a big issue in terms of making it easier for the local authorities but obviously there also are other resource issues.

Catherine Murphy (Kildare North, Independent)
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Will the RAS scheme be included or replaced and what will happen to it? Moreover, it is intended that all or some of those who currently are engaged in processing the rental assistance fund will be transferred to the local authorities? The kind of pressures that people are under in one local authority with which I am familiar is evident to me and there certainly will be a resourcing issue if this initiative is to be dealt with in a manner that produces the kind of results I believe everyone seeks.

Jan O'Sullivan (Limerick City, Labour)
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In response to the question on RAS, it is intended that the HAP will replace the RAS system, albeit not absolutely immediately, as it will be a gradual process. However, it is intended that it will replace the RAS system because the housing assistance payment will be a similar way of paying, with a differential rent-type way for the tenants to pay. In effect, it will duplicate the RAS system and will take over from it. On the question regarding staffing, again this issue is under discussion. I acknowledge the local authorities will be under pressure but issues with regard to staffing have not yet been finalised.