Written answers

Tuesday, 14 May 2013

Department of Education and Skills

Schools Building Projects Expenditure

Photo of Brian StanleyBrian Stanley (Laois-Offaly, Sinn Fein)
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273. To ask the Minister for Education and Skills the cost to the Exchequer and public funds to build and operate, using a public private partnership, the two post primary schools at Borris Road, Portlaoise, County Laois, including the payments that were to be made when the schools were completed in 2010 and the monthly payments that were to be paid for the duration of the contract. [22720/13]

Photo of Ruairi QuinnRuairi Quinn (Dublin South East, Labour)
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The schools to which the Deputy refers were delivered as part of a Bundle of 4 schools that were provided through a Public Private Partnership (PPP) progamme. The remaining 2 schools were delivered in Co. Offaly. As the entire Programme or Bundle - referred to as Bundle 1 - constitutes a single contract with the PPP provider, the Deputy will appreciate that it is not possible to disaggregate the individual details of all payments in respect of each school. To the extent that it is possible to do so, this has been done.

The ongoing unitary charges are a monthly payment due to the PPP Operator for the design, build, finance and operating costs of the schools. Since taking possession of the Bundle 1 of schools in 2010 the Department has paid a total of €21.8m to the PPP Operator in respect of the unitary charges. The target expiry date of the unitary charges for Bundle 1 is 2035. The current value of the unitary charge is €0.76m per month. The charge is subject to indexation annually which occurs generally in September. Where appropriate, deductions are made monthly for under performance or service malfunction issues from the monthly unitary charges. Where these issues arise they are examined in conjunction with the schools' management authorities. Post completion of the Bundle in 2010, a VAT liability specific to the Portlaoise schools of €4.588m presented and was paid together with ICT development grants to the schools to the value of €627,070. A balance of costs specific to the 2 Portlaoise amounted to just over €32,000 and relate to minor miscellaneous works also arose and was paid. A total of just over €1m was paid in respect of approved variations that arose for the entire Bundle 1 of schools which it is not possible to disaggregate costs between the 4 schools.

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