Written answers

Tuesday, 10 October 2006

Department of Environment, Heritage and Local Government

Housing Management Companies

9:00 pm

Photo of Olivia MitchellOlivia Mitchell (Dublin South, Fine Gael)
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Question 580: To ask the Minister for the Environment, Heritage and Local Government the action he will take to ensure the recommendations of the National Consumer Association in respect of management companies are enacted; and if he will make a statement on the matter. [32106/06]

Photo of Noel AhernNoel Ahern (Dublin North West, Fianna Fail)
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I refer to reply to Questions Nos. 1514, 1515, 1516, and 1551 of 27 September 2006.

The National Consumer Agency Report in relation to management fees and service charges was published on 4 October. The report is welcome and its production is timely as there are a number of ongoing developments taking place in this complex area involving a number of different Government Departments and agencies as indicated in the above reply.

Two recommendations of the report are stated to be for action by my Department.

Recommendation 12 is that the contract between the developer and the management company to convey the title of the buildings and common areas to the management company should include a contractual obligation on the developer to attend to the management company's snag list, prepared by an independent architect/surveyor and that this should be implemented by means of an amendment to planning legislation. I do not consider that planning legislation is an appropriate vehicle for implementing this recommendation measure. The regulation of the contract to convey title to property is a conveyancing matter.

Recommendation 25 refers to the completion of developments in accordance with the terms of the planning permissions and makes reference to section 35 of the Planning and Development Act 2000. As I have stated above, planning authorities already have substantial enforcement powers and duties under the legislation. Section 35 of the 2000 Act provides that planning authorities may refuse to grant planning permission, subject to the consent of the High Court, to any developer who has seriously failed to comply with a previous planning permission: the Planning and Development (Strategic Infrastructure) Act 2006, which was enacted on 16 July 2006 effectively reversed the burden of proof here – the planning authority will now be empowered to refuse permission in such a case and the developer will have to go to the High Court if he wishes to apply to have this decision overturned. I intend to commence the relevant section of the 2006 Act very shortly.

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