Written answers

Thursday, 5 April 2007

Department of Environment, Heritage and Local Government

Housing Management Companies

5:00 pm

Photo of Mary UptonMary Upton (Dublin South Central, Labour)
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Question 13: To ask the Minister for the Environment, Heritage and Local Government if he will introduce legislation or regulations on management companies and management charges in private housing developments; and if he will make a statement on the matter. [13269/07]

Photo of Fergus O'DowdFergus O'Dowd (Louth, Fine Gael)
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Question 50: To ask the Minister for the Environment, Heritage and Local Government the response from local authorities to his directive in relation to management companies; and if he will make a statement on the matter. [13444/07]

Photo of Catherine MurphyCatherine Murphy (Kildare North, Independent)
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Question 562: To ask the Minister for the Environment, Heritage and Local Government the dialogue he has had with county and city managers regarding the issues surrounding management companies for traditional houses; if there is a general strategy to accelerate taking estates in charge that are subject to management companies; and if he will make a statement on the matter. [13877/07]

Photo of Róisín ShortallRóisín Shortall (Dublin North West, Labour)
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Question 576: To ask the Minister for the Environment, Heritage and Local Government the progress to date in updating legislation to facilitate the regulation of management companies in apartment complexes. [13974/07]

Photo of Noel AhernNoel Ahern (Dublin North West, Fianna Fail)
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I propose to take Questions Nos. 13, 50, 562 and 576 together.

In relation to its responsibilities, my Department has advised planning authorities that they should not attach planning conditions requiring management companies for "traditional" housing estates, except in very exceptional circumstances. My Department understand that this advice is now accepted by all planning authorities. A Working Group chaired by my Department, and involving relevant interests, has been considering issues relating to the taking in charge of developments, including responsibility for the maintenance of certain shared facilities in newer type mixed estates. It is intended that further guidance for planning authorities, based on the Group's deliberations, will be issued shortly.

My Department is not responsible for the wider range of legislation and regulation relevant to management companies in apartment complexes. Such companies, consisting of the owners of dwellings, are generally constituted under the Companies Acts and are required to operate in compliance with company law.

The Director of Corporate Enforcement published a report on the operation of management companies in December 2006, which includes guidance for directors and members on company governance.

I understand also that the Minister for Enterprise, Trade and Employment is considering changes in company law to deal with the specific circumstances of licensing management companies. In addition, a paper on issues relating to property management in multi-unit developments was published by the Law Reform Commission in December 2006: the public consultation is still in progress. Finally, the Department of Justice, Equality and Law Reform is chairing an inter-Departmental committee to consider legislative responses to issues generally relating to property management companies. My Department is represented on this committee and will make every possible contribution to its work.

The Government have already decided that property managing agents will be regulated by the Property Services Regulatory Authority under legislation currently being prepared by the Department of Justice, Equality and Law Reform. Property managing agents are commercial firms engaged by management companies to provide management and maintenance services for which management charges are paid.

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