Paudge Connolly (Cavan-Monaghan, Independent)
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Question 349: To ask the Minister for Finance the cost to date in 2005 of decentralisation arrangements since the latest proposals were outlined; the projected costs for these proposals and anticipated timescale; the feasibility or otherwise of these proposals; and if he will make a statement on the matter. [35593/05]

Brian Cowen (Laois-Offaly, Fianna Fail)
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When the Government's decentralisation programme was first announced, it was stated that the overall objective would be to ensure that property acquired at a regional level is matched as closely as possible, both in time and in cost terms, by the disposal of property held in the Dublin region, whether held on lease or otherwise. In November 2004 the implementation group prepared a report, which was subsequently published, on the procurement methodology and financial assessment of the property aspects of the programme, including a financial model, based on a property finance study carried out by the Office of Public Works. While the prevailing property market conditions in each area will have a bearing on cost, this model indicates that the break even position on property will be reached in approximately 20 years.

In terms of actual outlay to date, the total amount committed in principle by the OPW on site acquisition costs, excluding VAT, is approximately €35.7 million. Expenditure to date this year is €9.9 million. On the non-property costs of the programme I would point out that the decentralisation programme is implemented on a voluntary basis. As on previous occasions, the payment of removal or relocation expenses will not arise. A study was commissioned by the decentralisation implementation group which provides a model for identifying non-property costs and savings that arise both during the relocation phase and in the context of a post-decentralised civil service. Decentralising organisations have been asked to use this model to make periodic reports identifying non-property costs incurred and savings made both since the programme was announced and in its implementation in the future.

The implementation group made recommendations on the sequencing and timing of moves in its November 2004 and June 2005 reports. These envisage civil service organisations moving at various dates between 2006 and 2009, although some advance moves have already taken place. I am satisfied that good progress continues to be made on this ambitious programme and I look forward to seeing the fruits of this as the programme continues to be rolled out over the next few years.