Paul McGrath (Westmeath, Fine Gael)
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Question 338: To ask the Minister for Finance the funding which has been transferred from tourism projects to child care projects in the Border midland western area in each of the past five years. [5105/06]

Brian Cowen (Laois-Offaly, Fianna Fail)
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The European Regional Development Funds, commitment of €4.36 million for the tourism measure for 2005 was the only reallocation made to the faster spending child care measure within the BMW operational programme. This action was necessary to minimise the risk of loss of these funds by the application of the automatic decommitment rules for Structural Funds set out in Article 31 of Regulation EC 1260/1999, the so-called N+2 rule.

The action to reallocate the ERDF commitment was taken by the BMW regional assembly, as managing authority of the programme, with the agreement of the programme monitoring committee and my Department in fulfilment of its obligations to avoid any possible loss of Structural Funds. The action was taken following detailed consideration of the levels of project approvals and expenditure patterns under the Tourism measure of the BMW operational programme.

The transfer of ERDF from the tourism measures should not impact on tourism related projects funded under the BMW regional operation programme and the Minister for Arts, Sport and Tourism has indicated that he will make available Exchequer funds from the Vote of his Department to ensure that, notwithstanding the reallocation of the ERDF commitment, the same level of investment in the region's tourism product can be supported.