Jack Chambers (Dublin West, Fianna Fail)
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348. To ask the Minister for Social Protection the detail of the proposed changes to the structure and function of the Money Advice and Budgeting Service; the reason this restructuring is being undertaken; the way this restructuring benefits clients of the service; the research that was undertaken that supports the proposed changes; and if he will make a statement on the matter. [16183/17]

Leo Varadkar (Dublin West, Fine Gael)
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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 15 February 2017, to restructure the governance arrangements of these services. The decision was communicated by the Board of CIB to all CIS and MABS Boards and to all staff on the same day.

The decision comes after a lengthy and extensive analysis of options for organisational restructure of CIB’s service delivery partners, including detailed consultation with all stakeholders on the need for a more streamlined governance model. This process followed in the wake of a feasibility study, conducted as part of the implementation of CIB’s Strategic Plan 2012 – 2015.

The restructured governance arrangements are being implemented at local company board level only. The decision taken reduces 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 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. There will be no disruption to CIS and MABS services for those who use them.

The valuable work carried out by the employees and volunteers working in CIS services and the employees of MABS services will continue as heretofore. 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. The changes 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 service, and the remaining €0.1m to MABS central supports).

Following on from the Board’s February decision, 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 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.