Brendan Howlin (Wexford, Labour)
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Question 105: To ask the Minister for Health and Children the basis on which voluntary management childcare groups who have been approved capital funds in excess of €300,000 are required to execute a legal mortgage in favour of the Office of the Minister for Children; and if she will make a statement on the matter. [4453/08]

Brendan Smith (Cavan-Monaghan, Fianna Fail)
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Capital grants are available to providers of community childcare facilities under the National Childcare Investment Programme 2006 which is part of the National Development Plan 2007 — 2013. The Deputy will be aware that all public expenditure is subject to strict accounting rules and requirements in order to safeguard public investment.

In relation to community childcare facilities a number of specific requirements have been included in the contractual conditions where capital grants are in excess of €200,000. One of these requirements is that the facility developed as a result of the grant aid will continue to be used for childcare purposes for a specified period of time. To further safeguard the public investment it is also considered appropriate to underpin the contractual requirements with a legal mortgage for the duration of the period specified for childcare use. The mortgage ensures that the asset which is grant aided by the State cannot be disposed of, or assigned for personal use, without the consent or agreement of my Office.