Alice-Mary Higgins (Independent) | Oireachtas source

I have a number of amendments in the grouping. I would prefer if my amendment No. 80 were accepted, although I am happy to yield to amendment No. 79, from Senator Boyhan. A number of the amendments in the grouping are related to the question of cost rental. They concern the factoring-in of equity return, which is ultimately an additional cost and one that is unnecessary in the context of cost rental. That is why, with my amendment No. 80, regarding what cost-rental dwellings might be eligible, I have narrowed the definition. Amendment No. 20 seeks to do this as well.

We have talked a great deal about the fiscal opportunity. I have engaged with the Minister over the past year and a half and talked about the window whereby low-cost public financing is available. We are seizing that, but it is important for the record that when we say we should seize the moment in regard to low-cost public financing, we should take steps that will lead to long-term benefit, such as the excellent idea of cost rental. The money can be taken and there can be access to the capital upfront to build something, it will be paid back over a long period and there will be an asset to the State or to an approved housing body at the end.

What we are not saying is that we should use this moment of fiscal opportunity to create future dividends for equity firms. That is the concern of the involvement in this. It is important to recognise that just because financing can be accessed and paid back over a long period now, that will not always be the case. That is why when we talk about good value for money, we want to ensure that in 25 years, the State will be left with an asset it can use to deliver future social public housing. Similarly, in the case of my amendment No. 81, where public land is made available for the purposes of the development of cost-rental dwellings, that public land at the termination of the cost-rental period will revert to public ownership.

The nature of cost rental is such that those who have fronted the money have been paid back for what they have put in. If they are not motivated by profit, it is enough for them to be motivated by being paid back, and there are many provisions and details regarding how they are paid back. If their motivation is equity return, unfortunately from my perspective they get an equity return every year for which they have that investment as well. They do not need to walk away with a property on public land as well at the end of it. That is why amendment No. 81 is so important. The sentiment of my amendments regarding percentages are worded better by the amendment tabled by the Labour Party, so I will not move my amendments in that regard in favour of supporting amendment No. 77, from Senator Moynihan.