Written answers

Tuesday, 26 February 2008

Department of Finance

Decentralisation Programme

9:00 pm

Photo of Brian O'SheaBrian O'Shea (Waterford, Labour)
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Question 42: To ask the Tánaiste and Minister for Finance if the Government has plans for the review of the programme of decentralisation; and if he will make a statement on the matter. [7726/08]

Photo of Fergus O'DowdFergus O'Dowd (Louth, Fine Gael)
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Question 53: To ask the Tánaiste and Minister for Finance the timetable for the completion of decentralisation of Government Departments; and if he will make a statement on the matter. [7825/08]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 113: To ask the Tánaiste and Minister for Finance the number of civil servants who have been relocated to date under the Government's decentralisation programme; if he will express this as a percentage of the overall original projections; and if he will make a statement on the matter. [8114/08]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 114: To ask the Tánaiste and Minister for Finance the cost of the Government's decentralisation programme to date; if such costs were initially envisaged and provided for when the scheme was first announced; and if he will make a statement on the matter. [8115/08]

Photo of Brian CowenBrian Cowen (Laois-Offaly, Fianna Fail)
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I propose to take Questions Nos. 42, 53, 113 and 114 together.

The Programme for Government states that the Government will continue to move ahead with decentralisation and ensure that no public servant is obliged to accept decentralisation against their wishes and that promotion opportunities remain available.

A progress report by the Decentralisation Implementation Group (DIG) was submitted to me and published on 8th October last. The Group reported that implementation of the civil service element of the Decentralisation Programme is progressing satisfactorily.

Over eleven thousand civil and public servants have applied to relocate under the Programme. Of these, over 6,000 or 55% are currently based in Dublin. The Central Applications Facility (CAF) remains open and continues to receive applications.

At the end of 2007, decentralising organisations had a presence in 33 towns. Approximately four thousand staff had been assigned to decentralising posts and over 2,000 of these are currently in their new locations, while the remainder are being trained in advance of decentralisation to a new location, as soon as accommodation becomes available. Taking account of both posts moved and assignments, 48% of the civil service general service posts have already moved or have staff in place with a commitment to move. The comparable figure for the civil service professional & technical staff is 25% and present indications are that it is in the order of 20% for the State Agency sector.

From the announcement of the Programme in December 2003, the focus has been on detailed planning and organisation of the property, staffing and business aspects. The DIG has considered it essential that all organisations take the necessary time to prepare this groundwork well in order to ensure effective implementation of a programme of this scale and complexity. In short, its focus has not been on how speedily the programme can be achieved but how well. It is important to remember that the programme is not just about moving public services. It fundamentally impacts on the staff in those organisations, on their career choices and their expectations.

Property or sites have been acquired or their acquisition is well advanced in a total of 38 locations. In addition, the OPW have been very efficient in securing suitable advance or temporary accommodation in over 20 locations to facilitate early phasing of business units.

The October DIG report provides an update of the OPW timeframes for the expected completion of permanent accommodation. The OPW conducts a review of the property timeframes for permanent accommodation on an ongoing basis and is keeping these timeframes under review based on its experience to date in relation to property selection and acquisition, brief and design issues, tendering periods, planning issues and contractual arrangements.

I remain confident that the public service will deliver this programme in a considered, sensible and sensitive manner. The Government is anxious to ensure that the momentum of the programme is maintained and developed and in that context Secretaries General of decentralising Departments have been asked to review these timeframes in association with the OPW and the DIG to assess where earlier progress could be made either in relation to permanent accommodation or advance accommodation.

There are, however, a number of challenges remaining, which have been identified by the DIG in its latest report. My Department and the wider management of the public service will continue to work closely with staff representatives to seek appropriate solutions to address the concerns of the professional & technical staff in the civil service and those employed in state agencies, while also ensuring the delivery of the Government programme.

With regard to the State Agencies, the DIG has noted, in its most recent report that the pace of progress in relation to the State Agency part of the programme continues to be slow. It expects that all Agencies should now, at a minimum, have initiated HR recruitment policies to support the programme, have begun to put phased timeframes in place and be actively securing advance and/or permanent accommodation solutions in the decentralised location. It also continues to emphasise the central role of the Board and management in each Agency in driving forward the implementation of the programme.

The Government has always recognised that the State Agency aspect of the programme presents different challenges from that of the Civil Service but is determined to make progress towards the objective of moving all the State Agency posts as announced in December 2003. I anticipate considerable progress on this element of the programme over the lifetime of this Government. With a view to advancing this aspect of the programme, the DIG is currently engaging in a round of meetings with each Agency's CEO and the Secretary General of the parent Department in each case.

The Labour Court recommendation in relation to the dispute between FÁS and SIPTU provides a renewed opportunity for both unions and management to address the relevant issues. My Department has been in contact with the Irish Congress of Trade Unions to establish how progress can be made on this aspect of the Labour Court recommendation and I remain confident that through dialogue and negotiation, progress can be advanced.

The estimated gross cost of the property aspects of the original decentralisation programme was €900m at the outset of the programme (2004 prices). This was based on provision of accommodation for 10,300 staff outside of Dublin.

The overall number of staff for which accommodation is required has increased since the announcement of the programme due to additional bodies and locations being added to the programme, changes to business functions of certain organisations, additional space required for work-sharing staff, planned future expansion etc. and consolidation of certain existing regional offices into new buildings. Based on the costs incurred to date, the OPW anticipates that the direct cost of providing accommodation for this increased number of staff will be contained within the overall envelope.

While the majority of posts have not yet moved from Dublin, the OPW has been able to dispose of property in Dublin being held for future needs because the announcement of the decentralisation programme clarified that most of the future expansion of Civil Service accommodation would not be in central Dublin. Total income from such property disposed of between January 2004 and December 2007 was €387.5m. In addition property valued at €75 million was transferred to the Affordable Homes Partnership. In addition OPW has agreed joint venture redevelopment schemes with a minimum value of circa €125m up to the end of 2007 and further ongoing large property disposals are planned having regard to progress with staff moves.

As expected, non-property costs have been increasing since the beginning of 2007 as more advance accommodation is in place, staff training has increased and actual moves have taken place. At end June 2007, the total non-property costs incurred amount to approximately €9m. This reflects the significant rate of progress across decentralising organisations this year in furthering their implementation arrangements. Figures for the remainder of the year are being collated at present.

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