Martin Heydon (Kildare South, Fine Gael)
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173. To ask the Minister for Environment, Community and Local Government the progress being made in reviewing shared services agreements at local authority level to generate further efficiencies at local government level; his plans regarding the grouping together of councils; if this will be done on a geographical basis or by sector; and if he will make a statement on the matter. [8848/14]

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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Shared services have been identified in the Local Government Efficiency Review and the Public Service Reform Plans as an important opportunity to make further savings in administrative costs, through streamlining and improving service delivery without impacting on front line services. To drive the reform agenda, and in particular shared service initiatives, in the local government sector, a dedicated Programme Management Office (PMO) has been established which reports to a high-level Oversight Group. Overall, 31 operational areas are being examined for potential as a shared service or other collaborative approach that may provide efficiencies. The PMO has adopted a comprehensive methodology for the development and evaluation of projects including gathering and analysing baseline data, business case preparation and peer review of business cases.

Payroll/Superannuation, Building Control, Treasury Management, Procurement and Accounts Payable have been prioritised in the shared services programme in the short to medium term and the programme is being progressed using a lead authority model. Following a competitive bidding process in 2013, Laois County Council was selected to provide Shared Payroll and Superannuation services on behalf of all local authorities and has established a shared services centre for that purpose in Portlaoise. This shared service commenced in January 2014 and all local authorities will transition to it in waves in the period to 2016. The Treasury Management shared services project is at the early stages of implementation, with Cork County Council as the lead local authority. In relation to procurement, the local authority sector is working closely with the Office of Government Procurement to deliver significant savings over the coming years.