Fiona O'Malley
 
 

Speeches

LANDLORD AND TENANT (GROUND RENTS) BILL 2005

Speech by Fiona O'Malley TD on the LANDLORD AND TENANT (GROUND RENTS) BILL 2005, 19th Mary 2005

I’d like to address two points if I may. Firstly, the urgency of this Bill and second the necessity of what it provides for our industrial development agencies.

One never likes to have to deal with rushed legislation. In general terms, this is not how business is done in this House, and the approach taken today is not done so lightly. The Government and the Minister are to be commended for handling this issue in the manner they have.

There is an urgent need to address a problem that has arisen for our industrial development agencies- IDA Ireland, Shannon Development and Údarás na Gaeltachta. 

A settlement was negotiated on legal advice by IDA Ireland which was notified to the relevant county registrar at a hearing on May 17th.

When this development was brought to the Government’s attention, the Attorney General advised that an amendment be enacted to section 4 of the Landlord and Tenant Act 1978. 

This Acts states that it "shall not bind a Minister of the Government, the Commissioners of Public Works in Ireland or the Irish Land Commission."  The amendment is required to include IDA Ireland, Shannon Development and Údarás Na Gaeltachta among the State authorities not bound by the legislation. That’s the basic motive behind this move today. 

In terms of retrospection, the amendment proposed will not apply where a notice of intention to acquire the fee and land lease from one of the Agencies has been served.  Accordingly, there is a considerable level of urgency in securing an early passage of the amending provision.

 

I know that Minister Cowen described the situation as a “legal lacuna” this morning. Given that this legal void exists, and has been identified - it is of the utmost importance that this legislation is passed, and passed quickly, and it is our duty here in this House to protect the State’s assets from potential nefarious practices. 

The urgency arises from the settlement, notified to the relevant county registrar at a hearing on 17 May.  Subsequently, the matter was only brought to the Cabinet meeting yesterday afternoon. 

At the meeting, it was agreed that time was of the essence on this issue.  I believe that the Minister did make a genuine effort to give a quick indication to Opposition spokespersons on this matter, and the associated urgency.  As was stated during the Order of Business this morning, those Members of the House who have been in Government in the past will surely recognise that on occasion, a matter such as this requires an urgent response from this side of the House, and indeed when it is to protect State assets, all sides must act together in haste.

I commend the Government and Minister for their handling of this issue given the particular circumstances.

On the specific content of the Bill, I’d like to make the following points.

Our industrial development agencies-

IDA Ireland,

Shannon Development                                                   and Údarás na Gaeltachta

each play necessary and valuable roles, in promotion and development, in their respective areas of concern. I’m sure everyone will join me in commending the work they have done over the years. They expect and deserve, the protection of the State.

The settlement I referred to earlier has serious implications for the IDA in relation to the execution of its statutory functions and also in relation to the possible loss of value to the State in any sale of its land assets. There are implications for Shannon Development and Údarás in the operation of their property functions related to their industrial development roles.

We have a duty to safeguard the ability of these valuable Agencies to control the activities on their industrial estates. We must ensure that the State’s assets will be used for the purposes of the Agencies’ industrial development mandates.

Finally, we must not allow these Agencies’ ability to enforce other covenants and requirements to be hampered in any way.

Thus, I welcome this Bill in the House this afternoon.

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