Written answers

Tuesday, 21 February 2017

Department of Social Protection

Money Advice and Budgeting Service Administration

Photo of Willie PenroseWillie Penrose (Longford-Westmeath, Labour)
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54. To ask the Minister for Social Protection if he will be proceeding with plans to abolish the local boards of 51 Money Advice and Budgeting Service, MABS, companies and 42 citizens information services. [8424/17]

Photo of Willie PenroseWillie Penrose (Longford-Westmeath, Labour)
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65. To ask the Minister for Social Protection the projected costs for the new regional governance structure he plans to introduce for local MABS and citizens information services; and the current costs of the present local structure. [8425/17]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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I propose to take Questions Nos. 54 and 65 together.

At the outset it is important to note that The Citizens Information Board (CIB) assures me that there will be no job losses, no closure of services, no change to service delivery locations and no change to the terms and conditions of serving staff during the lifetime of the restructuring programme. Most importantly, there will be no disruption to CIS and MABS services for those who use them.

The Citizens Information Board (CIB), which has statutory responsibility for the Money Advice and Budgeting Service (MABS) and the Citizens Information Services (CIS), decided on 15th February 2017, to restructure the governance arrangements of these services.

The decision comes after a lengthy and extensive analysis of options and a detailed consultation period with all stakeholders on the need for a more streamlined governance model. The decision was communicated by the Board to all CIS and MABS Boards and to all staff on 15th February 2017.

Under the new governance arrangements, the number of individual local CIS and MABS company boards will reduce from ninety three (93) to sixteen (16). The new regional board structure will comprise eight (8) CIS boards and eight (8) MABS boards.

The restructured governance arrangements are being implemented at local company board level only. The forthcoming changes in the service delivery partner company governance structure will bring the CIS and MABS organisations more into line with modern public service governance guidelines and requirements where significant State funding is involved.

A more streamlined governance structure will result in a more targeted use of valuable staff resources, re-directed to increased front line service delivery, made possible by reduction in the current significant administrative burden associated with maintaining ninety three (93) individual companies nationwide.

In 2017, CIB is set to receive State funding of €54 million, of which €15 million is allocated to CIS services, and €24 million is allocated to the network of MABS services.

Following on from the decision of the Board, a Restructuring Implementation Group is being set up to examine all aspects of implementing the new sixteen (16) board model. This work will include examination of the establishment costs of the new structure and the potential for future savings derived from the reduction in the administrative burden associated with ninety three (93) individual local companies. Current costs are an aggregate of the costs incurred by each of the ninety three (93) local companies on items such as audit fees, profession fees (including legal services), payroll administration and board of director expenses. While cost is not the driver of the restructuring project, some efficiencies are likely to result from moving to a reduced sixteen (16) company model. The main aim of the project is to improve existing governance arrangements and optimise the benefits from operating a more modern, streamlined and customer focused service delivery model.

I hope this clarifies the matter for the Deputy.

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