Seanad debates

Wednesday, 11 May 2022

Nithe i dtosach suíonna - Commencement Matters

Departmental Funding

10:30 am

Photo of Lisa ChambersLisa Chambers (Fianna Fail)
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I welcome the Minister of State. I appreciate the opportunity to get an update on these really important projects. Last year, the Minister for Housing, Local Government and Heritage, Deputy Darragh O'Brien, announced an allocation of a whopping €11 million for Castlebar for two key projects. One is the redevelopment of what we call the historic town core of Castlebar, including an upgrading of the old post office, the mall area and Daly's Hotel. It is really the centrepiece of Castlebar and it is very important, with much history attached to the area. There is over €8 million allocated to that specific project. The second project is very close to my heart and it involves the redevelopment of Castlebar Military Barracks. I started my military career in the FCA in Castlebar Military Barracks many years ago when I was only a teenager. That place in Castlebar town means a lot to people. Many a youngster passed through those gates and came out a much more well-rounded and developed individual heading off into the big world.

These two areas of Castlebar are centrally located and getting that amount of money for redevelopment had the aim, really, of improving the public realm in the area and making it a more attractive place to visit, live, work and invest. Ultimately, it is about benefiting the people of Castlebar and surrounding areas. Castlebar is the county town of Mayo. Anything that benefits Castlebar extends its reach beyond the town to the rest of the county. This is very important work.

This was announced last year and the citizens are asking, correctly, at what stage are these projects. There is much recognition and admiration for the work that Mayo County Council has done in putting together the application. As we all know, funding like this is not allocated without a substantial, worthwhile and well-drafted application from the local authority. In that context, I commend the work of the team in Mayo County Council. Citizens are asking for an update on the work nonetheless. Has money been drawn down or when will that happen? What stage of development are these projects at and when will we see the projects delivered for the people of Castlebar and Mayo?

I ask this in the context of inflation and rising costs of building materials and labour. There is also a difficulty in getting tradespeople, especially when we are looking at restoring old buildings. I think particularly of Castlebar Military Barracks, and a specialist expertise would be required to carry out those types of work to the standard we all expect to see. It would be good to get an update from the Department on the overall project. Does the Minister of State foresee any potential difficulties or challenges? It would be remiss of me not to put on record that if there are to be escalating costs for the local authority, the Department should work with that local authority in Castlebar to try to bridge the gap between what the estimated cost of the work was a number of years ago against a realistic price today. As we all know, whether it is a small garage, house or a significant building project, everybody is feeling that pinch.

I reiterate that these are very important projects for Castlebar and Mayo. That €11 million might not seem like much if we stood in Dublin city centre but in Mayo and its county town of Castlebar, it is a huge amount of money and significant delivery for the town. It is the biggest allocation of funding we have seen in a very long time. I place on record my thanks to the Minister for allocating that funding and for working with the local authority to advance these really important projects.

Photo of Malcolm NoonanMalcolm Noonan (Carlow-Kilkenny, Green Party)
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I support all the Senator's comments on the historic regeneration of Castlebar town under our town centre first policy. It is critical that we support projects like this and it is what the funding is doing. It is a similar case with Castlebar Military Barracks. The Senator had a military career in those barracks. I was born in James Stephens Barracks in Kilkenny and I grew up on the campus there. I am aware of the immense cultural and heritage value of these barracks and what they mean to local communities in particular. I also recognise that Castlebar is the county town of Mayo . I am due to visit the county in the next couple of days. I am looking forward to that because it is a wonderful county.

The urban regeneration and development fund, URDF, is one of four funds established under the National Development Plan 2018-2027. It was launched in 2018, primarily to support the national planning framework's growth enablers for the five cities and other large urban centres. The URDF is providing part-funding for applicant-led projects that will support more compact and sustainable development and enable a greater proportion of residential and mixed-use development to be delivered within the existing built-up footprints of our cities and large towns, while also ensuring that more parts of our urban areas can become attractive and vibrant places in which people choose to live and work, as well as to invest and visit.

In keeping with the aims of the national planning framework and Project Ireland 2040, the URDF demonstrates a new and more tailored approach to the provision of Government support. Over its planned duration up to 2030, URDF support in excess of €2 billion will be targeted in an integrated, dynamic and responsive way to support the regeneration and rejuvenation of our towns and cities. Through the URDF, successful applicants receive targeted integrated support for innovative holistic solutions to the issues that have hindered the regeneration and rejuvenation of our large towns and cities.

To date, there have been two calls for proposals under the URDF with a total of almost €312 million allocated so far in respect of the 87 projects approved under call 1, while in March 2021 URDF funding support of €1.3 billion was announced in respect of a countrywide programme of a further 45 proposals approved under call 2. The 45 proposals approved under call 2 in 2021 build on the existing pipeline of URDF-supported projects launched under call 1. This URDF-supported programme of projects will ultimately contribute significantly to the transformative regeneration and development of our large towns and cities and to the achievement of national planning framework and Project Ireland 2040 objectives.

Under call 2 of the URDF, a total of a little more than €11 million has been provisionally allocated to Mayo County Council for the two projects to which this matter relates. The Castlebar historic core reactivation initiative project was allocated €8.527 million and the Castlebar Military Barracks project was allocated was allocated €2.5 million. The URDF support for the Mayo County Council's projects, as with all other successful URDF proposals, is approved in principle subject to appropriate appraisal, justification and advancement in accordance with the public spending code.

The Department works closely with the successful applicants in respect of project funding but responsibility for the advancement of URDF-supported projects through the various stages of planning, development and completion is, in the first instance, a matter for the sponsoring agency, which in this case is Mayo County Council. All URDF-supported projects must be carefully developed and managed by the sponsoring agency in accordance with the normal conditions and arrangements that apply to public sector-managed projects, including exercising appropriate cost control and delivering projects as approved, and managing its advancement through the various decision stages set out in the public spending code. As part of this public spending code process Mayo County Council has submitted a preliminary business case in respect of each of these two projects and following their evaluation the Department will be in touch with the council on the matter in due course.

Photo of Lisa ChambersLisa Chambers (Fianna Fail)
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I thank the Minister of State for a very comprehensive reply. I will touch again on the stage the projects are at. I acknowledge the Minister of State's comments in that the primary responsibility for advancing this work lies with Mayo County Council. We all accept that and there is absolutely no difficulty there.

Now the council has submitted a preliminary business case, what is the next stage? When does the Minister of State envisage his Department will have evaluated that business case? When will his Department be in touch with the council on the matter? On behalf of the citizens in the area, I am looking to establish an approximate timeline that we can work to, acknowledging that it has been more than a year since this was first announced. People are, understandably, asking questions.

I have a second question. The Minister of State mentioned that the local authority must exercise appropriate cost control. That is exceptionally difficult for any organisation, business or local authority in the current climate. In this reply, will the Minister of State touch on what the Department is doing to deal with inflation and the excessive rise in costs of building materials and labour, which will of course affect the local authority as well? In the interests of the public good, these are the types of projects in respect of which the Department will have to take a more hands-on approach. It appears from the reply that it is currently taking more of a hands-off approach. In dealing directly with rising costs associated with projects like this, the Department will need to get around the table with all its expertise and see how we can assist the local authority in managing escalating costs.

Photo of Malcolm NoonanMalcolm Noonan (Carlow-Kilkenny, Green Party)
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I agree wholeheartedly with the Senator's final comment. It is critical for the Department to engage in such a way.I will revert to the Senator with a response on that. Appropriate cost control is important, given the inflationary pressures, which were mentioned in the previous Commencement matter as well. We are in exceptional times and it requires a high level of engagement between our Department, the local authority and other local authorities on this. We commit to that engagement.

The Senator made a point on trades and traditional skills in respect of the barracks and the historic core. These buildings require a specific set of skills and in many cases there is a deficit in those skills, which we are working to address in developing a national programme for traditional skills, which is an important measure. Bridging the gap and dealing with those escalating costs is something the Department will sit down and work with the local authority on in this specific case.

Photo of Eugene MurphyEugene Murphy (Fianna Fail)
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Gabhaim buíochas leis an Aire Stáit agus leis an Seanadóir. Ba mhaith liom mo bhuíochas a ghabháil leis an bhfoireann agus leis na huiséirí as a gcabhair freisin.

Cuireadh an Seanad ar fionraí ar 11.21 a.m. agus cuireadh tús leis arís ar 11.30 a.m. Sitting suspended at 11.21 a.m. and resumed at 11.30 a.m.