Brendan Daly (Fianna Fail)

I welcome this legislation and thank the Minister of State at the Department of Health and Children, Deputy Seán Power, for the interest he has shown in caring for the elderly since his appointment to the office. The Minister had the opportunity to see some of the work relating to this issue in various institutions on a visit to County Clare. He would have been made aware of the dissatisfaction many people felt about this episode.

In a climate of financial buoyancy it is perhaps understandable that we have forgotten that during the period referred to by Senator Bannon many health boards were under severe financial pressure and had overspent on their budgets. At the time the Government made strenuous efforts to deal with overspending by the health boards and there was an outcry from the public. The Government had to do so, however, to deal with the financial crisis in which it found itself. I was in the Government from 1987 to 1989 and I am aware of the problems that were experienced in trying to bring the country's finances under control. It is easy to talk about the success of the health boards today but they ran up huge debts back then and it was in this light that severe restrictions were introduced in order to get them back in shape financially.

I recall requests from public representatives in many constituencies seeking the abolition of the health boards. They wanted the system to return to the control of the local authorities, where the changes were made in the 1970s. Many people felt there was insufficient local democracy in the health boards. Regardless, a situation developed wherein people were charged for services for which they should not have been charged. I will not go through that area again, it has been debated here previously.

It is important that we now press ahead with the legislation. I received refund application forms from the HSE during the week for people who contacted me and feel entitled to refunds for some of the payments they made. I recall the small hospital in Kilrush being closed circa 1987 because of the financial constraints on the health board at the time. A committee of local people got together, and with some small assistance from the national lottery, reopened the 21-bed institution and got it back on course again. They now have 55 patients in that hospital, which is run as a charitable organisation by local people, and are looking to extend the facility.

When those efforts were being made by the local voluntary committee to reopen the institution, there was substantial public response and an enormous voluntary effort provided to enable the get the hospital on the way. Televisions were provided by local people, a painting committee painted the entire institution from top to bottom, the building was modernised and with a very small donation by the national lottery, it has been providing a service for people who would not otherwise have been able to avail of such a service.

People are entitled to their refunds, but they might think seriously now about making donations to various institutions which have provided a very good service over the years. They are still finding things difficult and we all know the great cost these days of providing attention for an elderly person in one of the private or public institutions. Perhaps when the refunds are made, many people entitled to refunds might consider making donations towards the continuation of institutions in their own localities, similar to the hospital in Kilrush. We have many such institutions in County Clare which are dependent on some assistance from the national lottery or from the Department of Health and Children, but which are also greatly reliant on local voluntary efforts, church gate and door to door collections and fund-raising events such as walks, to support the installation of various equipment. When the refunds are made, perhaps some encouragement might be given to people, by tax incentives or otherwise, to make donations to these institutions which would help them to continue providing services at great cost, and provide extra accommodation which will need to be provided, especially in some of the western areas where there will be a continuing need for more beds. Difficulties will arise again. We are currently in a healthy financial position but it might not always be that way, and since we are in such a position, those who benefit from this legislation might consider making some charitable donations towards those institutions to enable them continue the work they are undertaking.