Public housing initiative and BC(A)R SI.9

by bregs blog admin team

240x160_janosullivan

Minister Jan O’Sullivan yesterday launched a 2 year local authority housing initiative. Link here:

http://www.environ.ie/en/DevelopmentHousing/Housing/News/MainBody,36901,en.htm

Minister O’Sullivan has to be commended for being pro-active on ghost estates and other issues in the housing sector. This recent initiative was somewhat co-incidental with a post we did the same day noting possible costs for SI.9 on her Department. We estimated the cost of SI.9 for professional fees and defensive specifications could be as much as €70m for an average Government capital public housing spend per annum. Based on lower Government spending for 2012 period this could be the cost of SI.9 on public housing for a two year period. We are aware that any Government over-runs will be required to be taken out of department annual budgets, so any costs for SI.9 may result in projects abandoned.

This initiative puts in human terms the possible cost of BC(A)R SI.9 for this sector alone. Based on reduced Government spending for the 2012 period; the administrative costs associated with SI9 could fully absorb the construction budget proposed yesterday by the Minister. BC(A)R SI.9 could cost 450 families their homes over a two year period. We wondered yesterday have Departments other than Health and Education realised the implications on budgets and timescales of Building Control (Amendment) Regulation (SI.9 of 2014).

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extract from announcement:

O’Sullivan Launches €68m Local Authority Construction Initiative

11/03/14

Minister for Housing and Planning, Jan O’Sullivan, TD, today (11th March 2014) launched a two year €68m local authority home building initiative.  The investment represents the first return to new mainstream local authority house building since the finance crisis began.

Speaking in Darndale in Dublin 17 at the launch of the programme Minister O’Sullivan stated, “Increasing both public and private housing supply is a priority for the Government.  For the first time in many years I am pleased to announce the restart of a local authority mainstream house building programme.”

Over the next two years €68m will be invested across the country to build new social homes for families in need of housing.  Here in Darndale €7.9m will be invested in Buttercup Park to build 35 new homes and improve the area for the residents.”

“The €68m initiative will see some 449 new homes built across the country in the next two years.  It an important investment but, with a very strong demand for social housing, I am of the view that more resources need to be invested in social housing over the coming years to expand supply.”

“At present we are delivering approximately 5,000 new social homes each year through a variety of avenues including regeneration, direct construction, leasing and the securing of NAMA units.  We are also supporting the not for profit housing sector as it expands its amount of social homes.  This mix of supply from a range of sources is important to meet social housing demand.

“This €68m investment is just one of a number of Government-backed initiatives that are launching in 2014 and will provide high quality homes for families.  These include:

• A €15m fund to bring back into use vacant local authority houses

• A €35m investment over 2014 and 2015 for housing for people with a disability, people without a home and the elderly

• A €30m investment in 2014 to improve the energy efficiency of  local authority housing

• A €10m fund to kick start resolution on the remaining unfinished housing developments.

These are valuable programmes.  Not only will they provide new or better housing for people, they will also create and sustain hundreds of jobs in the construction and green energy sectors.”

Ends.

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