Ivana Bacik (Dublin Bay South, Labour)
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255. To ask the Minister for Public Expenditure and Reform his views on the need to replace or reconstitute an organisation (details supplied); his views on which Department such an organisation should be based; and his plans to promote transparency in Government Departments and agencies. [8739/23]

Paschal Donohoe (Dublin Central, Fine Gael)
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As the Deputy may be aware, my Department previously provided grant funding to Benefacts between the period 2015-2022. The project was funded as a pathfinder initiative in the area of data analytics on the non-profit sector. Benefacts was initially co-funded with philanthropy, however, in recent years the Department had been providing the majority of funding to the entity.

In 2019, the Department received an independent report, which it commissioned to provide analysis of the market for data on the non-profit sector. This report examined, inter alia, issues around the demand for the data concerned; methodologies and technologies used; the potential for direct provision by the State of these services itself, and; the maturity of the market to provide these services efficiently. On foot of this report, a review was undertaken in 2020 which found that the business case for the continued funding of Benefacts by this Department was no longer justified and accordingly the decision was made to terminate funding.

Recognising that other public service bodies - with direct policy involvement in the not-for-profit sector - may have wished to consider whether they had an appreciable business case to continue funding Benefacts, my Department agreed to fund the initiative up to the end of 2021. This provision was made to facilitate relevant public service bodies to consider their position and to assess all options in relation to their respective business needs concerning data on the not-for-profit sector.

In April 2021, my Department reaffirmed its 2020 decision to the parties concerned. Furthermore, in acknowledgment of the impact of Covid-19 on this deliberative process, DPER sanctioned a final three month extension of funding to Benefacts up to the 31st March 2022. Despite affording a total period of approximately 20 months' notice - to allow the identification of another primary funder - no alternative funding source was identified from public service bodies that used Benefacts.

The factors influencing the original decision to terminate funding have not changed materially and, consequently, my Department has no plans to reconstitute Benefacts.

My Department understands that the Department of Rural and Community Development have indicated a willingness to explore the potential digitalisation of the funding process of the not for profit sector, in addition to the database already provided by the Charities Regulator. Issues in relation to any such potential proposal are a matter for the Department of Rural and Community Development.

Finally, in respect of promoting transparency across Government, I wish to advise the Deputy that Ireland has been member of the Open Government Partnership (OGP) since 2014. The OGP is an international initiative to promote the principles of transparency, integrity, accountability and stakeholder participation in support of democracy and inclusive growth. I am pleased to inform the Deputy that, in the coming weeks, my Department will begin consulting with the public on the development of Ireland's fourth Open Government National Action Plan. This Action Plan will be co-created with representatives of Civil Society through Ireland's Open Government Partnership Round Table, which is coordinated by my Department.