Seán Fleming (Laois, Fianna Fail)
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239. To ask the Minister for Housing, Planning, and Local Government the level of funding provided for the enhanced long-term social housing leasing scheme in 2018; the amount expected to be provided for the scheme in 2019; the position regarding the invitation for bids and expressions of interest for the scheme; when a decision will be made; the number of housing units expected to be completed and inhabited in 2018; and if he will make a statement on the matter. [23991/18]

Eoghan Murphy (Dublin Bay South, Fine Gael)
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A range of housing options are necessary to ensure a supply of accommodation to meet different types of social housing need. Harnessing the off-balance sheet potential of private investment in social housing is an important objective of the Government and the social housing targets set out in Rebuilding Ireland over the period to 2021 reflect the ambition in that regard.

Of the 50,000 social housing homes to be delivered under Rebuilding Ireland, 10,000 are targeted to be leased by local authorities and Approved Housing Bodies (AHBs) under leasing arrangements from a range of different sources, including 3,500 homes targeted using the Repair and Lease Scheme (RLS), and 6,500 homes using a combination of the existing social housing leasing arrangements, and the new Enhanced Leasing Scheme. All homes delivered under leasing arrangements will be funded under my Department’s Social Housing Current Expenditure Programme (SHCEP).  Exchequer funding for SHCEP in 2018 is €115m – an increase of €31m over 2017. It is intended that up to 2,000 units will be leased by Local Authorities in 2018 through the range of leasing schemes in place.

The new Enhanced Leasing Scheme has been developed by my Department, together with the National Development Finance Agency (NDFA), the Housing Agency and local authorities, in order to harness the potential of private sector interest in social housing delivery in a new set of long-term leasing arrangements, in a manner designed to leverage off-balance sheet funding opportunities in accordance with Rebuilding Ireland objectives. The Scheme is targeted at new build or new to the market properties to be delivered at scale and will complement the existing long-term leasing arrangements, which will continue to be available.  

The scheme will be governed by my Department and operated by local authorities. The Housing Agency will manage and administer the scheme on behalf of my Department and will act as a national co-ordinator.  The rollout of this scheme will result in no additional costs to the Exchequer, with costs being met from existing budgetary allocations for Rebuilding Ireland.

A call for proposals was launched on 31 January 2018 and the Housing Agency accepted submissions from interested parties until 12 April 2018. All proposals are subject to a range of criteria as set out in the “Calls for Proposals for Enhanced Long Term Social Housing Leasing Scheme” and the proposals will be assessed and marked in accordance with the terms set out therein. This document sets out the various assessment stages and the expected minimum associated timeframes (Appendix 4). The Call for Proposals is available on the Housing Agency website at the following link: www.housingagency.ie/News/Current-News/Enhanced-Long-Term-Social-Housing-Leasing-Scheme.aspx.

I understand from the Housing Agency that of the 33 submissions received: 3 are proceeding to Independent Valuation; 12 are currently awaiting further information from the proposers; 14 are not proceeding due to failure to meet with the minimum requirements of the scheme; and 4 are not proceeding due to being invalid submissions / failure of suitability test.

The total number of units proposed and delivery dates are still being worked through as part of the assessment process and will be the subject of an agreement between the individual Local Authorities and proposers.

Further information with respect to the numbers and locations of the units proposed for leasing under the Scheme will be available when the individual proposals have been assessed, marked and accepted in accordance with the terms and methodology set out in the Calls for Proposals document.