Private project for five schools criticised

Education: The Comptroller and Auditor General, John Purcell, has criticised a lack of communication and clarity in the running…

Education:The Comptroller and Auditor General, John Purcell, has criticised a lack of communication and clarity in the running of five schools in a pilot public-private partnership (PPP) project.

Under PPP schemes, private companies build the schools and maintain them for 25 years in return for fees from the Department of Education.

In 2004, a report by Mr Purcell found that the five schools could be provided more cheaply if the State built them rather than under PPP schemes. In his latest report, he examines how arrangements are working out in practice in the schools.

Enrolment at four of the five schools - in Ballincollig, Clones, Dunmanway and Tubbercurry - is lower than forecast, according to his report. Only in Shannon are the numbers higher than anticipated.

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The report finds that the monthly payments by the department to the PPP company are being correctly calculated and processed.

However, the schools claim maintenance and management services due under their contracts are not being provided.

"That gives rise to the issue of whether the verification procedures currently followed by the department provide adequate assurance regarding the full delivery of contract services for which annual payments exceeding €1.4 million are made."

According to Mr Purcell, there is insufficient communication between the department and the schools on performance issues, as well as a continuing lack of clarity on what is to be provided in schools and what amounts may be payable to them by the PPP company.

"Particular instances where concern was expressed by the principals included the discontinuance of a three-way liaison committee, the low level of usage of the schools by the community, a lack of ventilation preventing the use of pottery kilns, a failure to provide energy management and efficiency reports to assist schools to reduce costs, and an extensive subsidence problem in the grounds of one school."

While schools are entitled to receive half the profits from out of school hours activities, no school has received such a payment.

Separately, the report says that about 750 schools are currently renting prefabs at an annual cost of €24 million.

After members of the Dáil Public Accounts Committee suggested that it might be more economic to buy such buildings, the department has undertaken a review of rental policy.

Paul Cullen

Paul Cullen

Paul Cullen is a former heath editor of The Irish Times.