Brian Lenihan Jnr (Dublin West, Fianna Fail)
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It is important at the outset to distinguish between the functions of management agents and property management companies. Management agents undertake property-related services under contract for the property management companies which comprise the residents in multi-unit developments. The management fee is normally set by the company and is used to fund the activities undertaken on its behalf by the management agent.

Because they provide property services, management agents will, together with auctioneers and estate agents, be covered by the licensing system to be operated by the National Property Services Regulatory Authority. In December last, the Government approved the drafting of legislation to establish this Authority and it is currently being drafted in the Office of the Parliamentary Counsel.

The position in relation to property management companies is that the Law Reform Commission published a Consultation Paper on Multi-Unit Developments in December last year. The Paper outlines the broad range of issues arising in relation to the governance and operation of such developments and makes it clear that action to address the problems arising in this area will be required across several policy fields, including the planning and development code, company law, consumer protection law and the development of regulatory structures.

In recognition of the cross-cutting nature of many of the issues identified by the Law Reform Commission in its Paper, a high-level interdepartmental committee has been established to assist in the development of a coherent and comprehensive response to these issues. A key task of this committee is to identify the legislative and administrative actions to be taken and to determine a timescale for implementation. In particular, the committee will have regard to the definitive recommendations for legislative reforms which, following a lengthy consultation process, will be set out in the Law Reform Commission's forthcoming Report on Multi-Unit Developments. It is expected that the Report will be published later this year.