Richard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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41. To ask the Minister for Environment, Community and Local Government further to Parliamentary Question No. 732 of 6 October 2015, if the information has been compiled and if the data represents value for money; and if he will make a statement on the matter. [44133/15]

Paudie Coffey (Waterford, Fine Gael)
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The information is being compiled and will be provided to the Deputy shortly. The Rental Accommodation Scheme (RAS), Social Housing Current Expenditure Programme (SHCEP) and Housing Assistance Payment (HAP) are key delivery programmes under the Social Housing Strategy.

In the case of RAS, the Scheme was established with the dual purpose of eliminating long-term dependence on the Supplementary Welfare Allowance rent supplementation scheme and enhancing the capacity of local authorities to respond to long-term housing need. Under the Scheme, value for money can be viewed in a number of ways and can reflect both direct and indirect financial costs and benefits. The cost of the Scheme is determined by the on-going cost of meeting contractual commitments with property owners. Local authorities, in negotiating contracts with property owners, seek to maximise a discount on market rent. The funding to support the cost of RAS is made available through the redirection of resources from the Department of Social Protection. Monies are provided on an Exchequer neutral basis to meet the cost of persons transferring from rent supplement to RAS.

In relation to the Social Housing Current Expenditure Programme (SHCEP), units provided in long-term leased arrangements are subject to formal, professional valuation procedures to agree rents payable, and for the most part require Departmental approval. In respect of proposals examined by the Department, an average discount of 20% below market rent is being achieved. In addition, regular rent reviews are specified in each agreement.

The Housing Assistance Payment Scheme (HAP) scheme, which is currently being rolled out on a pilot basis, has been designed with the intention of providing efficiencies to both tenants and landlords, and value for money for the Exchequer. As well as removing a barrier to employment, by allowing recipients to remain in the scheme if they gain full-time employment, the HAP scheme improves regulation of the rented accommodation being supported and it provides certainty for landlords as regards their rental income. Under the HAP scheme, eligible households source their own accommodation in the private rented sector, payments are made electronically directly to the landlord on behalf of the tenant, and the tenancy agreement is between the HAP recipient and the private landlord. In order to test HAP processes and provide efficiencies, Limerick City and County Council are currently providing a transactional shared service on behalf of all HAP local authorities on an interim basis. This shared service structure ensures greater consistency of processes, and resource efficiencies, by managing all HAP tenants and landlords through one Financial Management System. The operation of the pilot has facilitated a better understanding of the business and operational requirements, including identifying areas where efficiencies can be gained.

While my Department keeps its housing delivery mechanisms under regular review, I am satisfied that the RAS, SHCEP and HAP schemes represent good value for money for the Exchequer.