Catherine Murphy (Kildare North, Independent)
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Question 221: To ask the Minister for Education and Skills if he will confirm that funding promised from the European Globalisation Fund to support former construction workers had to be returned in June 2012 due to the apparent inability of county enterprise boards to disperse the grants; if so, the amount of money that was returned; if he will confirm that applicants were informed at the time of application that county enterprise boards would only forward funding in cases where the applicant was training or engaging in activities in the same sector in which they previously held employment; if not, if he will propose compensation for these applicants who were approved for funding outside this category in good faith; and if he will make a statement on the matter. [31707/12]

Ciarán Cannon (Galway East, Fine Gael)
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The three European Globalisation Adjustment Fund (EGF) programmes in support of almost 9,000 redundant workers made redundant in subsectors NACE 41 (Construction of Buildings), NACE 43 (Specialised Construction Activities) and NACE 71 (Architectural Services) of the construction industry between 1 July 2009 and 31 March 2010, ended on 9 June 2012. Various service providers are preparing the submission of their claims and as such, the Department does not yet have total expenditures for these programmes. Final reports on these programmes together with statements of certified final expenditure are required to be submitted to the European Commission by 9 December 2012. A full picture of reimbursements will only emerge after that time and no monies have been returned to the EU in the interim.

In relation to the role of the County and City Enterprise Boards (CEBs), this is generally to support manufacturing and internationally traded services in the micro enterprise sector where export earnings can be achieved and where State investment can achieve optimal returns. The criteria under which funding is available from the CEBs is based on factors such as the sector of the economy in which an enterprise is operating or intends to operate, and the size or proposed size of the enterprise. CEBs can assist in the establishment, and/or development, of new and existing enterprises from individuals/sole traders, companies and community groups subject to certain eligibility criteria. In addition, CEBs provide a range of business advice, training and one-to-one mentoring supports.

The CEBs had responsibility for the delivery of the enterprise support element of the EGF programmes for construction industry subsectors NACE 41, 43 and 71. Under these programmes, micro-enterprises could be supported in line with national policy, having due regard to any deadweight or displacement concerns. Under these particular EGF programmes, both financial and non-financial assistance, such as mentoring and training and development services, which was provided to EGF eligible redundant workers seeking to develop and progress business start-ups, was required to support core CEB activities within normal CEB parameters. However, in this context there was no requirement made by the CEB that a business proposal must have been limited to the particular sector or activity in which the worker was employed prior to redundancy.