Brendan Kenneally (Waterford, Fianna Fail)
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Question 316: To ask the Minister for Arts, Sport and Tourism the reason there is a delay in having money granted to a group (details supplied) in view of the fact that the work is completed and the delay in having the money drawn down is causing financial hardship to the voluntary group concerned; and if he will make a statement on the matter. [45277/08]

Martin Cullen (Waterford, Fianna Fail)
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A grant of €40,000 was provisionally allocated to the project in question under the 2007 Sports Capital Programme, bringing the total allocated to the club under the Programme since 2004 to €175,000. The grant allocation was subject to the terms and conditions of the Programme, which includes the execution of a deed of covenant and charge and, where appropriate, a priority agreement.

A deed of covenant and charge provides, inter alia, for a refund of the grant in the event of the facility not continuing to be used for the purpose for which the grant was allocated. Priority agreements are used to ensure that, where the club or organisation has debts to lending institutions or other organisations including local authorities, the Minister's investment and any other debts are listed in order of rank or priority.

The Department's legal adviser, the Chief State Solicitor's Office — CSSO — deals with the grantee's solicitor in ensuring that these issues are satisfactorily resolved before grants can be paid. The current position is that as the club in question has received support from a number of agencies the CSSO is seeking to finalise a Priority Agreement that fully takes account of the various interests.