Written answers

Tuesday, 16 December 2014

Department of Education and Skills

Education and Training Boards Funding

Photo of Jonathan O'BrienJonathan O'Brien (Cork North Central, Sinn Fein)
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557. To ask the Minister for Education and Skills the education and training boards currently in receipt of overdraft facilities and their value; the education and training boards which have notified her or her Department of their intention to apply for overdraft facilities; the stage at which these processes are currently; and her plans to address the deficits in funds of the education and training boards in question. [47818/14]

Photo of Jan O'SullivanJan O'Sullivan (Limerick City, Labour)
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Section 49 of the Education and Training Boards Act, 2013, confers a power of borrowing on an Education and Training Board (ETB), subject to the submission of a proposal to the Board, and if approved in principle by the Board, to the Minister for Education and Skills for consent.

My Department has issued Circular 0066/2014 to ETB, concerning the procedures to be followed where an ETB wishes to borrow. A copy of the circular is attached for the Deputy's information.

Overdraft facilities should be avoided except for limited periods to meet short term cash-flow situations. They are not to be used for capital expenditure and cannot be used to extend an ETB's expenditure and commitments over and above the amounts authorised by my Department. In the current year thirteen of the sixteen ETBs have sought and obtained approval for borrowing from my Department. The value of the facility which will be required for one of these (Kilkenny Carlow ETB) is still being determined. The remaining ETBs and the limits to which they have sought consent to borrow are as follows:

ETB'sAmount
Cavan and Monaghan ETB €1,975,000
Cork ETB€1,245,874
Donegal ETB€1,500,000
Dublin and Dun Laoghaire ETB€5,000,000
Galway and Roscommon ETB€2,000,000
Kerry ETB€1,000,000
Laois and Offaly ETB€3,300,000
Longford Westmeath ETB€1,000,000
Louth and Meath ETB€5,000,000
Mayo, Sligo and Leitrim Tipperary ETB€2,000,000
Tipperary ETB€2,000,000
Waterford and Wexford ETB€3,000,000


The requests received have been precautionary in nature and designed to anticipate cash flow problems which may be experienced by the ETB. The Department is not presently aware of any ETB that has had to avail of this facility.



BOO – Airgeadas agus Pearsanra RiaracháinETB Financial and Administrative Personnel
An Roinn Oideachais agus Scileanna Department of Education and Skills
Cor na MadadhCornamaddy
Baile Átha Luain Athlone
Co. na hIarmhíCo. Westmeath


Circular 0066/2014

To the Chief Executives and Chairpersons of Education and Training Boards

Procedures for Borrowing by Education and Training Boards

The power to borrow money is a reserved function of an ETB Board. Section 49 of the Education and Training Boards Act 2013 sets out the procedures to be followed, which are summarised as follows:

1. The Chief Executive prepares and submits a proposal in writing to the Board that the Board should borrow for the purposes of carrying out the board’s functions.

2. The Board considers the proposal and then, if it is decided in principle that the proposal should be accepted, seeks the consent of the Minister for Education and Skills.

3. Once the consent of the Minister has been obtained, the Board may accept the Chief Executive’s proposal and borrow in order to carry out the functions of the board

Accordingly, two meetings of the Board will be necessary; one to first consider the proposal and, if it is decided in principle that the proposal should be accepted, a second to accept the proposal, having obtained the consent of the Minister. This Circular should be read in conjunction with Section 49 of the Act. This circular can be accessed on the Department of Education and Skills web page: www.education.ie. Any queries regarding this circular letter should be addressed to ETB Financial and Administrative Personnel Section (Tel: 09064 83769, Fax: 09064 84058, Email: financialetb@education.gov.ie).



Matthew Ryan

Principal Officer

Schools Division

August 2014

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