Written answers

Tuesday, 21 March 2017

Department of Social Protection

Money Advice and Budgeting Service

Photo of Mattie McGrathMattie McGrath (Tipperary, Independent)
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546. To ask the Minister for Social Protection his plans in place to centralise the operation of the Money Advice and Budgeting Service and the Citizens Information Service; the reason for this change; his views on concerns in relation to such a merger over fears that a number of offices will close; and if he will make a statement on the matter. [13779/17]

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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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.

It is worth clarifying that the new governance arrangements are not aimed at centralising the services provided by CIS and MABS. The decision taken will simply reduce the number of individual local CIS and MABS company boards from ninety three (93) to sixteen (16). A new regional board structure will be put in place which will comprise eight (8) CIS boards and eight (8) MABS boards.

The restructured governance arrangements being implemented at local company board level only will bring the CIS and MABS organisations more into line with modern public service governance guidelines and requirements where significant State funding is involved. In 2017, CIB is set to receive State funding of €54 million, of which €15 million is allocated to CIS services (including €13.1 million to the 42 local Citizens Information Services, €1.2 million to Citizens Information Phone services and, the balance, €0.7 million to central and other supports), and €24.6 million is allocated to the network of MABS services (including €15.4 million to the 51 local MABS, €0.3m to National Traveller MABS, €2.0 million to MABS National Development Company, €3.3million to the MABS Dedicated Mortgage Arrears initiative, €3.5 million to the Abhaile Scheme and the remainder €0.1m to MABS central supports).

A more streamlined governance structure will result in a more targeted use of valuable staff resources, redirected 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.

Following on from the decision of the Board, a Restructuring Implementation Group is being set up by CIB 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, professional 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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