John McGuinness (Carlow-Kilkenny, Fianna Fail)
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Question 335: To ask the Minister for Justice, Equality and Law Reform the status of an application for a capital grant under the equal opportunities child care programme in the name of the board of management of a centre (details supplied) in County Kilkenny; and if a decision in the case will be expedited. [24474/04]

Michael McDowell (Dublin South East, Progressive Democrats)
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The equal opportunities child care programme 2000-2006 is a seven-year development programme that aims to increase the availability and quality of child care to support parents in employment, education and training. Its progress was commented upon very favourably by the mid-term evaluators of both the regional operational programmes and the National Development Plan 2000-2006. Following the mid-term review, additional funding of approximately €12 million was made available for the child care measures. It brought the total funding available to €449.3 million.

There has been considerable demand from community based groups for capital grant assistance under the programme. Every county has benefited significantly from grants to provide new and enhanced community based child care facilities and to support capital developments in the private child care sector. ADM, on behalf of my Department, is carrying out an extensive review of the programme's capital commitments to date, numbering more than 1,100 and at a value of €114 million, to ensure that all the grant commitments previously entered into will be realised. Projects may be awaiting planning permission or the completion of tender processes before reasonable assurance can be taken that they will proceed. If they do not, the funding set aside can be decommitted and made available to another project. Expenditure under the programme covers the period to the end of 2007 and must take place in a planned manner as must grant approvals to ensure that it can meet its financial commitments at all times.

In addition, my Department recently reviewed the different budget lines under the EOCP, including the capital programme, to ensure that the most effective use is made of all remaining funding in accordance with the programme's objectives. As a result, the total allocation for the capital development of child care under the present programme is now €157 million. At the same time, an extensive review of child care provision has taken place to identify obvious service gaps, the filling of which will be a priority using the remaining capital funding which exceeds €30 million, of which about €25 million is being earmarked for community based not-for-profit child care groups which provide services for young children to support their parents who may be in employment, education and training.

I intend to allocate the remaining capital funding under this strand of the Government's commitment to child care to address the most immediate service gaps. As a result, all the projects in the pipeline on 30 April 2004 were reviewed again by ADM Limited on the basis of geographical need, the range of services being offered, value for money and the capacity of the groups to complete a project before the end of the programme in 2007. Projects that meet the criteria will receive priority funding from the capital funding unallocated at this point.

I have made inquiries and I understand that an application for capital grant assistance was received from this group on 18 June. The application was forwarded to Area Development Management Limited. The company was engaged by my Department, on my behalf, to carry out a thorough assessment against the programme's criteria for grant assistance. Given the relatively recent submission of the project, it will not be considered for funding under the current review process I have outlined above. It will be considered for funding should additional capital resources come available. The allocation of any additional funding which might come available to me will also be allocated on the basis of local need, levels of service being offered and value for money. In the interim, it would be premature of me to comment further on this capital grant application.