Jonathan O'Brien (Cork North Central, Sinn Fein)
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48. To ask the Minister for Public Expenditure and Reform the capital projects to be delayed or deferred in 2019 to 2022 as a result of the cost overruns in the national children’s hospital; when the details of these deferrals will be published; and if he will make a statement on the matter. [10630/19]

Mattie McGrath (Tipperary, Independent)
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77. To ask the Minister for Public Expenditure and Reform if an assessment has been conducted with respect to the implications for capital expenditure projects in view of the cost overruns associated with the new national children’s hospital; and if he will make a statement on the matter. [7366/19]

Paschal Donohoe (Dublin Central, Fine Gael)
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I propose to take Questions Nos. 48 and 77 together.

On 12 February, I published how the €99 million necessary this year for the timely provision of the National Children’s Hospital will be accommodated with a minimum of disruption to the scheduled roll-out of key infrastructure projects under Project Ireland 2040. I also detailed reforms designed to ensure better project management across the whole of government.

In health, the scheduled draw-down of €24 million across both 2019 and 2020 will be amended to facilitate delivering the overall investment programme as set out in Project Ireland 2040. Even with this change, this will still leave a year-on-year increase of 25% in capital investment in the health sector in 2019.

The remaining €75 million will be met by re-scheduling decisions around the A5 motorway, which is a project to which the Government remains completely committed; the re-scheduling of payments in relation to the National Forensic Science Laboratory; advance payment of a sum from the Department of Education and Skills in respect of higher education facilities at the National Children’s Hospital; an updating of the scheduled draw-down of €16 million from the two Project Ireland 2040 funds; re-profiling of payments under certain programmes of investment in the Department of Communications, Climate Action and the Environment; and €3 million from the re-profiling of investment under the flood risk management programme of the Office of Public Works, on which my colleague, the Minister of State, Deputy Canney, has just answered questions - I apologise, I meant to say the Minister of State, Deputy Moran. The spirit of candidness has dissipated and I will be in trouble for the rest of this session.

Kevin Moran (Longford-Westmeath, Independent)
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The Minister will not; me and-----

Paschal Donohoe (Dublin Central, Fine Gael)
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It will also be met by revision of the schedule for the drawdown of funding in the Public Expenditure and Reform and Finance group of Votes, totalling €3 million; and with €2 million through changes to the timing of payments for certain capital works undertaken by the Department of Culture, Heritage and the Gaeltacht. I have also outlined how we need to change processes in the future for projects such as the national children's hospital to reflect all of the issues that developed during the project. I have outlined how we will deal with accruing the €99 million needed for the project this year.

Jonathan O'Brien (Cork North Central, Sinn Fein)
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I acknowledge that even with the cut, there is an increase in the Government's capital spend. The Minister has listed the items, some of which include the rescheduling of payments. I think only two are related to the subject we have just discussed - the flood relief scheme and the re-profiling of payments in the Department of Communications, Energy and Natural Resources. Everything else involves a rescheduling of payments to achieve the sum of €99 million. I am seeking clarity, as is everyone else. No capital projects are being delayed or pushed out as a result of the need to find the €99 million. I am sure the Minister has heard in recent weeks that capital projects in Waterford or Limerick are being delayed as a result. Is he now saying none of them is being delayed as a result of the need to find the €99 million and that any delay is due to external variables related to the planning process, etc?

Paschal Donohoe (Dublin Central, Fine Gael)
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I have always said we will manage the issue primarily through rescheduling and changing payments for projects. I have shared a list with the House and have previously outlined it publicly. The vast majority are related to how we manage payments that we will make for projects. I have said there will be no delays on any major project as a result. I will work with Government colleagues throughout the rest of the year to ensure we end up with a rescheduling of payments without delays on projects, particularly major projects. I am confident that will happen. As is always the case, it is possible as we move through the year that savings will accrue owing to things happening such as those outlined by the Minister of State, Deputy Moran. We normally look at where we stand by the summer. We are simply doing that work far earlier than we have done it before.

Jonathan O'Brien (Cork North Central, Sinn Fein)
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Will the same process need to be undertaken next year to find savings within the Department to meet the ongoing overrun or is this a once-off €99 million in 2019 and that is it? As the Minister knows the overrun on the paediatric hospital is €450 million, leaving another €351 million. Is he saying this process will continue for a number of years or is this the only year? I seek clarity on that.

Paschal Donohoe (Dublin Central, Fine Gael)
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I will be able to provide clarity for the Deputy a little later in the year. As things stand, budget 2020 is a long way away. Decisions on the allocation of capital funding are many months away from being made. The focus of my efforts now is on ensuring the decision we have made on how we will manage the cost of the national children's hospital this year will not affect plans for 2019. I am working to do that and believe we will do it. The Deputy has been very considered and accurate in the issues he has raised with me in recent months. If I had come into the House and said we would increase our capital spending plans for this year by €100 million, the House would have been united in saying I had torn up the plans for budget 2019 a few weeks into it. I will not do that and will deal with decisions on what will happen in 2020 and beyond later in the year.