Pádraic McCormack (Galway West, Fine Gael)
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Question 561: To ask the Minister for the Environment, Heritage and Local Government the position regarding social housing through long-term leasing in rented accommodation; the level at which the leasing arrangements will be set; if the person occupying the house will still remain on the housing waiting list, when the properties are advertised; and if he will make a statement on the matter. [6133/10]

Michael Finneran (Roscommon-South Leitrim, Fianna Fail)
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The intention of the Social Housing Leasing Initiative is to widen the range of supply options available to authorities to meet housing need and to maximise the level of social housing that can be delivered from within available public resources. Under the initiative housing authorities and approved housing bodies can procure properties on long term leases of 10 to 20 years in order to meet housing need.

The procedure for allocating units acquired under the leasing initiative will be the standard allocations procedure used for the letting of any local authority housing - the local authority's 'Scheme of Letting Priorities.' The only exception to this will be where an approved housing body has agreed with the local authority to let the properties via a choice based lettings model. In these cases the approved body will advertise the leased properties to eligible households once the lease agreement has been finalised and signed. Households accommodated under the leasing arrangements, as with any social housing, will be deemed to have had their housing need met and therefore households will not remain on the local authority housing waiting lists. Notwithstanding this, households will be able to apply to transfer to alternative local authority properties, including housing provided for the Incremental Purchase Scheme.

In relation to the cost or level of payment that is allowed for under the leasing initiative, the cost to a local authority of a leased unit is determined by a variety of factors, including type and size, location and the average rent of properties in the area. The primary focus in negotiating leasing costs is the delivery of value for money and I expect that authorities should be able to secure leasing costs of at least 20% below market value. This reflects the element of risk, such as the vacancies and management and maintenance responsibilities, being transferred to the housing authority. The property owner will remain responsible for any structural matters.