Michael Lowry (Tipperary, Independent)
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4. To ask the Minister for Agriculture, Food and the Marine his views on the current crisis in the greyhound industry which is administered by the Irish Greyhound Board; and if he will make a statement on the matter. [21384/17]

Michael Lowry (Tipperary, Independent)
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I ask the Minister to outline his views and provide a comprehensive statement on the current crisis at the Irish Greyhound Board. For those of us who live in rural Ireland and who are familiar with what has happened, it is very sad to see the level of disunity and rancour that exists. The industry is tearing itself apart and there are no winners in this situation. Everybody loses, in particular the owners and trainers of greyhounds who cannot run them at the high end of the market. Harold's Cross has been a bone of contention. As the Minister is aware, an agreement was concluded with the Department of Education and Skills to purchase Harold's Cross last week. Does the Minister intend to approve the sale of Harold's Cross?

We have not had racing at Shelbourne Park for 12 weeks with the result that owners and trainers have lost prize money in the region of €300,000. As a result of Shelbourne Park not being available, we also have a situation in which trainers are running dogs down the country which is putting pressure on local tracks. I ask the Minister of State to outline his view and the view of the senior Minister and the Government.

Andrew Doyle (Wicklow, Fine Gael)
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Bord na gCon is a commercial State body, established in 1958 under the Greyhound Industry Act 1958 chiefly to control greyhound racing and to improve and develop the greyhound industry. Bord na gCon  has faced very difficult financial challenges in recent years and continues to operate in a difficult financial environment. Through the period of the recession, a significant reduction in commercial income from attendances at stadia, tote receipts and other sources coincided with a reduction in State funding for the sector.  The impact of theses pressures has been  exacerbated by a significant debt burden. The Government has worked to restore State funding to its previous levels, but the challenges of reducing the debt and increasing commercial incomes remain significant. These matters  have been of significant concern for my Department for some time and it was against this background that Indecon Economic Consultants were asked to conduct an objective assessment of the board's activities. Indecon made a number of recommendations to improve the financial position of the board, including measures to reduce costs at loss making tracks, the development of new co-mingling and fixed odds betting opportunities and the development of television rights and other commercial opportunities at stadia. While all of these recommendations are important, Indecon also recommended that the board actively engage in a programme of asset disposals in order to reduce the debt in a meaningful way and in this regard referred to a number of specific assets, including Harold's Cross greyhound racing stadium.

Bord na gCon has been working its way through the Indecon recommendations, but progress on the development of commercial income has been difficult. In particular, a significant burden of debt remains and inhibits the scope for investment in the sector.  Against this background, the board took the difficult decision in February to close Harold's Cross to prepare it for sale, in part because of its very close proximity to the Shelbourne Park stadium.  I understand that on 2 May the board received an offer from the Department of Education and Skills for the purchase of Harold's Cross stadium for the construction of a school or schools and has decided to accept it subject to obtaining the necessary approvals. To respond to one of the Deputy's questions directly, the Minister, Deputy Creed, and I expect to receive a proposal for the sale of the stadium from the board shortly and will give it due consideration it, taking into account the need to develop the sector.

Additional information not given on the floor of the House

There is no doubt that the sector faces a number of significant challenges. It is widely acknowledged that there is a need for improvements in finance, governance and regulation. The Government has restored the Exchequer provision for the sector in recent years and brought forward the heads of a Bill to improve governance, strengthen regulatory controls, modernise sanctions and improve integrity with a view to building a reputation for exceptional regulation in the sector. This is a sector that can make a significant contribution to the rural and urban economy and which enjoys widespread support from many sincere and passionate participants around the country.  If it is to reach its potential, it is essential that it develops a solid financial platform, reduces its debt and builds a reputation for regulatory best practice and integrity.

Michael Lowry (Tipperary, Independent)
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I ask the Minister of State and the Department to re-enter negotiations to provide for an agreement to reopen Shelbourne Park. We need an answer on the Department's position on Harold's Cross. My understanding is that it is being sold, an agreement almost having been reached for moneys in excess of €20 million.

We have been told consistently by the former chairman of the board that it is worth €4 million to €6 million and that it should not be sold because we would not get value for it.

I would like a straight answer from the Minister of State to my next question because there will be no progress until we know where we stand. I have attended several meetings with groups and individuals and a question I am asked all the time is whether the Minister and the Government are considering sacking the board. Will the board be sacked? Do the Minister and the Government have confidence in it to lead and administer the Irish Greyhound Board? This question needs to be answered. Is there confidence in the board? Will it remain in position? If we had answers to these questions, perhaps we might get down to negotiations on the reopening of Harold's Cross greyhound stadium.

Andrew Doyle (Wicklow, Fine Gael)
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Regarding approval, the details have not been sent to the Department, the Minister, Deputy Michael Creed, or me. The approval of the Department of Public Expenditure and Reform must also be obtained. We are not at liberty because the Department of Education and Skills has requested that full details of the sale not be disclosed because of market sensitivities. There has been due process in a transparent way.

Sacking the board is a very simple populist notion. No current member was a member of the board when the decision was taken to develop the new stadium in Limerick, which marked the beginning of the legacy debt. Indecon recommended that the board be strengthened with certain skill levels and that has happened. This is a thankless job and the board has progressed to work down the debt. It is a commercial semi-State company with a duty to manage the greyhound industry. We can play our part with new legislation to try to underpin it, but essentially we have to have confidence in the board to do its job. That is what it is there for. All appointments since 2015 have been made through the independent appointments service. We have not engaged or interfered with it. In line with Indecon's recommendations, those appointed have legal, veterinary, financial and banking skills. People speak about the board, but its membership has changed fundamentally.

Michael Lowry (Tipperary, Independent)
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At the private and public meetings we regularly attended we were told that Harold's Cross greyhound stadium was not worth selling and that it was valued between €4 million and €6 million. Other public representatives and I have been lambasted, but my theory is very simple. The board needs to spend its money. It is servicing a debt and paying an interest bill of €1.15 million. As a consequence, there is no money left for marketing or the promotion of the industry and breeders and trainers are suffering as a result. The debt issue needs to be resolved. The Minister should ask the board for its solutions urgently.

Does the Minister of State have confidence in the board? Will it be sacked or not? We need to know the answer to this question before we can make progress.

Andrew Doyle (Wicklow, Fine Gael)
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The board will not be sacked. It is as simple as that. We have confidence in it. In its strategic investment business plan it envisaged necessary receipts of €12 million from the sale of Harold's Cross greyhound stadium to work down its debt. While, regrettably, I am not at liberty to disclose the actual sale value, it is substantial enough to deal with the debt significantly. The Deputy is dead right; money needs to be put into the industry in prize money, for promotion and marketing and the upgrading of some stadia that are beginning to look a bit dated, in the same way as horse racing stadia. We need to underpin it with new legislation in order to restore confidence. The Deputy made a point in his opening comments about the industry and sector being very divided. I appeal to everybody to avail of the mediation process available to see if we can have racing again in Dublin. It is very important that this happen without delay.