Catherine Connolly (Galway West, Independent)
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109. To ask the Minister for Education and Skills if he has given permission to Caranua to move premises and incur rental costs; if so, when; the nature of the lease in question; the annual rent to be paid by Caranua; and if he will make a statement on the matter. [24875/17]

Richard Bruton (Dublin Bay North, Fine Gael)
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Caranua is an independent statutory body. While my Department has provided advice and assistance to it in regard to its accommodation requirements, statutory responsibility for the decisions taken in regard to accommodation are a matter for the organisation itself and I have no role in those decision making processes. My Department is not in a position to allocate space in any of its premises in Dublin city centre to Caranua. I understand that the Caranua Board and executive have considered various alternative accommodations and have agreed to a new solution involving a rental payment on the basis that it meets the organisation’s business needs and represents value for money having regard to current market conditions. It is important also that the accommodation available to its staff members is of an appropriate standard.

Caranua currently shares accommodation in a property in central Dublin assigned to my Department by the Office of Public Works (OPW). The OPW is leasing this property from the landlord. I understand that the lease on the property is due to expire at the end of this month – the lease having been extended at the request of OPW from its original expiry date of May 2016. The OPW has secured alternative office accommodation in central Dublin for the occupiers of the current premises and I understand that the move to this new accommodation will take place in the near future. OPW has informed my officials that Caranua will not be a party to the lease on the new premises but that there will be a side letter between it and OPW dealing with any relevant issues. I understand that that is OPW’s normal practice in such matters. I am advised that Caranua’s contribution to the rental cost of the premises will be in the region of €220,000 per annum (plus VAT), together with some €9,000 per annum for parking. I understand also that some fit-out works will also be required on the new premises.

Section 7(7) of Residential Institutions Statutory Fund Act 2012 permits Caranua, from time to time as it considers necessary for the performance of its functions and with the approval of the Minister, to enter into contracts with persons and to engage consultants or advisers and any moneys payable as a result of this must be paid by Caranua out of moneys at their disposal. While Caranua has been in regular contact with my Department regarding its accommodation requirements and the necessity to move, it has not, at this time, submitted a contract in respect of its accommodation for the proposed new premises.

In conclusion, I should point out that Caranua’s costs, including accommodation costs, must be met from the NTMA investment which is funded by religious contributions. This arises from the provision in section 30(1) of the Residential Institutions Statutory Fund Act 2012 which states that the “expenses and other costs incurred by the Agency under this Act shall, subject to the approval of the Board, be charged on the investment account to the benefit of the Agency” . The Department’s legal advice is that Caranua’s costs, including accommodation costs, must be met from the NTMA investment account.