Mattie McGrath (Tipperary, Independent)
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1228. To ask the Minister for Rural and Community Development the contract his Department has in place with Pobal; the services Pobal provides on behalf of his Department; if the contract was awarded following a tendering process; the fees paid to Pobal; and if he will make a statement on the matter. [13945/19]

Michael Ring (Mayo, Fine Gael)
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Pobal is a not-for-profit company that manages programmes on behalf of the Irish Government and the EU. The Company operates under the aegis of my Department, which has an oversight and governance role. The governance arrangements are set out in an Oversight Agreement with programme specific Performance Delivery Agreements in place for each individual programme that Pobal operates.

Advice obtained from the Office of the Attorney General states that, due to the nature of its work, which is exclusively on behalf of the State, Pobal is exempt from the requirements of the EU Procurement Directive. Accordingly, the services provided by Pobal on behalf of Government Departments in the management and operation of state funded programmes are not subject to a tendering process. Pobal are, however, subject to audit on an annual basis by the Comptroller and Auditor General.

Pobal manages or supports the delivery of programmes on behalf of a range of different Government Departments. In relation to my own Department, Pobal supports the delivery of the Social Inclusion and Community Activation Programme (SICAP), Scheme to Support National Organisations, Seniors Alert Scheme, Dormant Accounts Fund, Community Service Programme and LEADER. The Service fees paid by my Department to Pobal for programme management amounted to €7 million in 2018. The fee for each programme is agreed based on the level of service from Pobal involved in the specific programme to be delivered.