Seán Fleming (Laois-Offaly, Fianna Fail)
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8. To ask the Minister for Public Expenditure and Reform the measures that will be taken by the Office of Public Works to deal with the consequences of recent flooding; the total budget that will be spent on flood defences in 2014; the cost benefit analysis that his Department applies when deciding on implementation of flood defence projects; and if he will make a statement on the matter. [9441/14]

Seán Fleming (Laois-Offaly, Fianna Fail)
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How does the Minister of State with responsibility for the Office of Public Works, Deputy Brian Hayes, propose to deal with the consequences of recent flooding? Does he consider that the budget allocation for this year is sufficient and has he carried out a cost-benefit analysis based on the information to date? How will he prioritise which projects go ahead first?

Brian Hayes (Dublin South West, Fine Gael)
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On 10 January, the OPW wrote to city and county managers in coastal areas indicating that it will accept applications, under its minor flood mitigation works and coastal protection scheme, for funding to assist with repairs to built flood defences and coastal protection structures which have been damaged by recent storms.

This is a once-off measure to reinstate built coastal defences to their pre-storm condition. Any work for which funding is sought will be carried out by the local authorities concerned. The Government decided on 11 February that funding of up to €70 million in total will be made available to local authorities to assist them with the repairs to damaged infrastructure. Of this total amount, and based on estimates submitted by local authorities, funding of about €20 million will be available to assist with repairs to damaged coastal protection structures this year.

It is also open to local authorities to carry out flood mitigation and coastal protection works using their own resources.

The OPW has been carrying out work to repair damage to the flood defence structures for which it is directly responsible and substantial progress has been made in this regard. The OPW does not provide direct financial assistance to individual property owners or businesses which have experienced flooding. Emergency financial aid and humanitarian assistance is available to households under the humanitarian assistance scheme operated by the Department of Social Protection.

The OPW is taking a number of key measures to deal with flooding generally. One is the progression of its programme of capital investment in major flood relief projects throughout the country. The OPW's budget this year for capital flood relief activities is €45 million and the biggest part of this will be used to progress ongoing and planned flood relief schemes in places such as Fermoy, Bandon and Skibbereen in County Cork, Ennis in County Clare, and the Dodder and Wad rivers in Dublin, as well as Waterford city, Templemore, Claregalway and Bray in County Wicklow.

A large part of the balance of the €45 million allocation will be used to progress other flood risk management work programmes which include the Catchment Flood Risk Assessment and Management (CFRAM) Studies, known as CFRAM.

Additional information not given on the floor of the House.

The CFRAM programme is a core part of the strategy to deal with the most significant areas of flood risk nationally and involves a more sustainable, planned and risk based approach to dealing with flooding problems. Under the CFRAM programme, flood maps for these significant risk areas will be completed by the end of 2014 and flood risk management plans will be produced by 2016. The studies will consider the best possible options, both structural and non-structural, for dealing with the risks on a long-term basis and, when completed, will form the basis for decision-making on capital investment by the Government on long-term flood mitigation infrastructure into the future.

The emergency funding of up to €20 million being made available for repairs to damaged coastal protection infrastructure is additional to the €45 million OPW 2014 capital allocation for flood risk management.

Every major flood defence project either undertaken or funded by the OPW is subjected to a rigorous cost-benefit analysis and only schemes with a positive benefit-to-cost ratio are considered for further progression. Cost benefit is, of course, only one of the factors taken into account when decisions are made to progress schemes as a scheme needs to be environmentally acceptable as well as being acceptable to the general public in the relevant area. Schemes which will be advanced arising out of the CFRAM process will be subjected to a multi-criteria analysis before being progressed. These include technical, economic, social and environmental criteria.

This Government has prioritised investment in flood risk management by allocating some €225 million over the period 2012 to 2016 as part of its infrastructure and capital investment framework. This is a substantial financial commitment in current difficult conditions and underlines the priority the Government attaches to this area.

Éamon Ó Cuív (Galway West, Fianna Fail)
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What moneys have been allocated by the Minister of State's Department? I understand he has a co-ordination role in this with other Departments, including the Department of Transport, Tourism and Sport, the Department of Agriculture, Food and the Marine, and the Department of the Environment, Community and Local Government. What moneys have been allocated to local authorities since the storms at the beginning of January? My understanding is that no money has been allocated. Local authorities have been spending on road works, sea defences, graveyards and piers, yet no hard cash has been allocated to them. Perhaps the Minister of State can outline what hard cash has been allocated to the various local authorities.

Brian Hayes (Dublin South West, Fine Gael)
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Substantial works have already begun, as the Deputy knows. Local authorities are already spending and have been told to keep on doing so, so that we can recoup the money for them after they have spent it. That has been the clear indication we have given to local authorities since the initial storm damage in the first few days of this year. The Government's assessment, based on local authority estimates, is that up to €70 million may well be required this year. We have a variety of schemes operated through my own Department, as well as the Departments referred to by the Deputy, whereby local authorities can apply for funds.

As regards the figure of €20 million allocated for flood defences, I will take the Deputy's own county of Galway as an example. According to the Galway county manager, we reckon that €1.25 million will be required for Galway city and county's flood defences this year. In that case therefore Galway city and county will apply to us under the minor works scheme. I have already told this House that I want those schemes turned around within ten days of hitting our desk in the Office of Public Works. That is what is currently happening. The moneys are already being sent to local authorities, but they must apply to us as is normally the case.

Éamon Ó Cuív (Galway West, Fianna Fail)
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They applied to the Minister of State's Department in the beginning of January.

Brian Hayes (Dublin South West, Fine Gael)
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No, they did not.

Éamon Ó Cuív (Galway West, Fianna Fail)
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The Minister of State says he told them to keep spending, but we know what will happen. They will send in the bills and the Minister of State will say, "Hang on a second, we did not agree to that particular project". They need a specific allocation of money. In discussions I have had with Galway County Council, officials made if clear that they require an actual commitment of cash. In other words, they want approval letters, rather than being told "You keep spending it, and you'll be all right". That is what is happening at the moment, but it is about time the Minister of State put his money where his mouth is. He should put the money on the table for local authorities. It is not a large amount of money because they will be slow enough spending it, but it is a huge exposure. I have been told that Galway County Council is out of money. It has used up every kitty to try to do emergency work because it has received no money yet from the Government for roads, piers or coastal defences.

Brian Hayes (Dublin South West, Fine Gael)
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I have to reply.

Michael Kitt (Galway East, Fianna Fail)
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I call Deputy McDonald for a brief question.

Mary Lou McDonald (Dublin Central, Sinn Fein)
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I know the Minister of State wants to answer that question.

Brian Hayes (Dublin South West, Fine Gael)
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I do but the Deputy will not let me.

Mary Lou McDonald (Dublin Central, Sinn Fein)
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Will the Minister of State comment on the issue of insurance for homes affected by floods? Obviously, homes and communities affected in the most recent storms are of primary concern. Equally, however, as a Dubliner, the Minister of State will be aware of many communities - some of them in my constituency - that have been repeatedly flooded. It is not because they are on the coast - they are in the inner city - but because of the inadequate drainage system presided over by Dublin City Council.

I know the Minister of State has had discussions with the insurance industry. Can he, therefore, tell us briefly what progress has been made in that regard?

Brian Hayes (Dublin South West, Fine Gael)
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I hope to be in a position to make a public announcement about a new memorandum of understanding between the Office of Public Works and the Insurance Federation.

That memorandum will relate to their understanding of what will be the position when we have concluded works on capital schemes and, in view of the funding we have invested, the fact that they will have a responsibility for reinsuring the communities involved. I hope to be in a position to make the announcement in respect of this matter in the next six weeks or so. I assure the Deputy that there is no lack of effort on the part of the staff of the OPW in respect of this matter. I hope the insurance industry will sign up to the memorandum to which I refer and accept its responsibility in respect of this matter, particularly in light of the significant amount of funding - some €250 million - that will be provided to the OPW over a five-year period in order that it might proceed with flood prevention schemes throughout the country.

I wish to reply to the rather long-winded question posed by my colleague from Galway West. He knows - because I already told him - but, for whatever reason, he does not want to accept-----

Brendan Howlin (Wexford, Labour)
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It is a political reason.

Brian Hayes (Dublin South West, Fine Gael)
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Obviously. In any event, the Deputy is aware that the Government has allocated €70 million in respect of this particular crisis. Local authorities apply to us in respect of existing schemes. We normally spend approximately €3.5 million on the minor works scheme. This year we will spend multiples of that. When the €3.5 million to which I refer is spent, we will obtain a Supplementary Estimate from the Minister, Deputy Howlin. That could happen in March, May or October and it will be based on the applications from local authorities. I do not want the nonsensical charge made by Deputy Ó Cuív to remain unanswered. We have spoken to the engineers and county managers on a daily basis and told them to get on with the task. We do not want any bickering or bureaucracy in this instance. They should spend the money and then recoup it from us. This has already happened in some instances. The Deputy might not want, for his own propaganda purposes, to accept it but we are getting on with the task of fixing flood defences. That needs to be done and it is our priority.