Minister turns the tables on development groups in €18m LEADER row
Environment Minister Phil Hogan has launched an astonishing attack on local development companies in County Galway for ‘dragging their heels’ on applying for LEADER funding.
Minister Hogan this week slammed development companies for drawing down only a percentage of the available funding – he claims if they don’t get a move on, the money cannot be re-allocated and will be lost.
Minister Hogan has recently been criticised for cuts to the budgets of community development groups that apply for and dispense the LEADER grants, particularly in Connemara. But the Minister is attempting to turn the argument on its head and is bluntly blaming the development companies for the loss of any funding due to tardy applications.
He said he is “perplexed” with local development companies for not drawing down funds and that it was “unacceptable” that possibly up to €18 million could be lost, unless applications aren’t submitted.
In a statement, the Minister pointed out recent figures that suggest that while Forum Connemara have allocated most of their €7.7 million budget, only approximately €2 million or 26% has been paid out so far and Galway Rural Development LTD have paid out only €4.8 million or 40% of their €12m budget.
He urged them to ensure that all of the money is fully committed and spent before the end of the programme.
“The poor performance of some local development companies (LDCs) has unfortunately been a feature of the LEADER programme. Last year only 60% of the funding I provided for LEADER was actually spent and this meant that €39m allocated was not drawn down for projects that I’m aware are badly in need of funding. How can this be the case – I’m perplexed,” he said.
For full story see this week’s Connacht Tribune.