Michael D Higgins (Galway West, Labour)
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Question 12: To ask the Minister for Social and Family Affairs the amount spent by his Department on the hiring or use of outside consultants in each year since 2000; if he has satisfied himself that this practice represents good value for money; his plans to review the manner in which contracts are awarded to consultants; and if he will make a statement on the matter. [37207/05]

Séamus Brennan (Dublin South, Fianna Fail)
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My Department engages consultancy expertise under three main headings. In the first instance consultancy is sought for a number of strategic multi-annual programmes aimed at enhancing the delivery of the Department's services. The second type are technical consultancies relating to the ongoing development of information technology systems. The final type is a consultancy assistance in other areas such as policy development, advertising and information.

My Department paid €1.87 million in 2000 for consultancy support. The figures for 2001, 2002, 2003 and 2004 were €3.605 million, €4.704 million, €1.975 million and €2.822 million respectively. The amount to end of September 2005 was €2.209 million.

My Department has comprehensive structures in place to oversee the procurement and management of consultancy support. A Project Governance Committee, comprising members of senior management oversees the prioritisation of projects and the allocation of funds for those projects. Project boards are established in respect of individual projects to ensure that they deliver according to plans and that value for money is achieved.

With regard to the engagement of consultants, I can assure the Deputy that, a rigid procurement process is undertaken in line with EU rules and public sector procurement guidelines. The achievement of value for money is the central criterion throughout the process. Once a preferred bidder has been identified, my Department agrees a contract, which details the scope of the services to be provided by the consultants and the deliverables to be achieved, to reflect value for money. In line with such contracts, payments are made in respect of the services delivered and deliverables to be achieved, provided the deliverables meet the expectations in all respects.

My Department has participated in a capacity building exercise developed by the national public procurement policy unit, NPPPU, of the Department of Finance. It continues to be an active participant of the NPPPU as well as a member of the Government Contracts Committee. Accordingly, it advocates and is an active contributor in creating principles aimed at achieving the highest standards in procurement practices.

The Minister for Finance has approved a policy framework that aims to facilitate a smarter and more professional approach to public procurement by Departments. This policy requires Departments to develop a corporate procurement strategy and procurement plan to set targets to achieve savings, and identify the appropriate structural changes in their organisations.

In line with this approach, my Department has formed a project group charged with developing a corporate procurement strategy. The group is representative of those areas of the Department critically involved in procurement. Central to the role of the group is the aim of achieving a strategy and plan which has value for money as a primary objective.