Farm modernisation grant arrears
Walsh challenged the denial and delay of grants for farmers whose applications were unapproved when building aid was suspended in 1983. Hegarty said qualifying farmers could apply under the revised scheme, acknowledged Government consideration was imminent, but would not pre-empt a decision.
asked the Minister for Agriculture if he will pay all outstanding grants to farmers under the farm modernisation scheme; and if he will make a statement on the matter.
Comment on this
Grants under the farm modernisation scheme are paid as soon as practicable after they mature for payment. There is no backlog of outstanding cases.
Comment on this
There is a backlog of outstanding cases. Is the Minister aware that at least 6,000 farmers were denied grant aid because of the introduction of a prior written approval clause on 9 February 1983? Will he now pay those farmers their due entitlements under the scheme?
Comment on this
Aid for farm buildings and equipment under the scheme was suspended in the budget of 9 February 1983. Applications on hand on 9 February 1983 where approval had not been issued were not further proceeded with. A revised farm modernisation scheme was introduced with effect from 3 January 1984. Farmers whose applications had not been processed when grants for buildings and fixed assets were suspended on 9 February 1983, and who did not proceed with the works during the suspension, qualify for grants under the revised scheme provided the works in question still qualify and provided the farmer remains eligible.
Investment aid under the farm modernisation scheme is paid only on works carried out with the prior written approval of the farm development service. Works undertaken during the suspension of the scheme, where written approval had not issued by 9 February, are therefore not eligible for grant aid. Representations have been made to have all applications lodged with the farm development service on 9 February 1983 processed. At that time it would have cost about £5.5 million. Information is not available as to the number of these farmers who have gone ahead with their projects since 9 February 1983. It is estimated, however, that grants represented by projects undertaken would be of the order of £3 million. The matter is being considered and that is all I can tell the Deputy.
Comment on this
Is the Minister of State aware of two recent statements by the Minister for Agriculture that he was about to make a statement about paying these unfortunate farmers their due entitlements? Has any progress been made in regard to payments for those farmers?
Comment on this
Progress has been made. A submission on the matter will be with the Government shortly.
Comment on this
(Limerick West): Would the Minister confirm a newspaper report that the farmers concerned will be paid prior to 20 June?
Comment on this
Does the Minister agree that some of these farmers have been waiting for two years and three months? Many of them have very heavy overdrafts. Because they got verbal approval they proceeded with work and it is a bit sharp for the Department to bring in a new regulation or to enforce an existing regulation as rigidly as they did in this case.