                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          Submission of Corporate Governance Financial and Planning Reviews to the Minister for the Environment, Heritage and Local Government Report of the Executive Board of the Dublin Docklands Development Authority May 2010 1. Introduction The Minister for Environment, Heritage and Local Government wrote to the Authority in August 2009 and requested that a comprehensive review of corporate governance be conducted within the Authority (see Appendix 1). The timeframe for the review was extremely short. Accordingly, the Board decided to commission an evidence-based review of the key business and planning documentary records within the Authority and to focus on the key areas of activity within the Authority. The Minister's letter indicated that the Board's report should include an assessment as to whether a more detailed investigation is warranted on foot of the review's findings. The Board's conclusion on this question is addressed in the last "Concluding Comment" section of this Report. The Executive Board decided to conduct two reviews, one to examine planning issues and one to consider the financial aspects of the Authority. Terms of reference were prepared which are included with each review. The firms of Declan Brassil & Company Limited, Chartered Planning Consultants, and Ray King and Associates, Incorporated Public Accountants, Registered Auditors, were selected to carry out the Planning and Financial reviews respectively Both firms commenced their work in the week beginning 28 September 2009. The Planning Review was completed in December 2009. The Executive Board received a report of the Financial Review in November 2009, and requested that the area of procurement be subjected to further examination. The final version of the Financial Review was completed in January 2010 The Executive Board received a report of the Planning Review in November 2009. Following feedback from the Executive Board, this review was finalised in December 2009. The purpose of this report from the Executive Board of the Dublin Docklands Development Authority is to provide the Executive Board's comments on the two reviews, and in particular to provide a detailed implementation schedule concerning each of the recommendations in the two reviews. 2. Financial Review 1 The findings of this review point to a loose culture in relation to internal systems of financial control. While the Authority has in place a system of internal controls, in some instances it was found that the system was over-ridden at senior management level. In some areas, notably salary increases and the renewal of staff contracts, there was an absence of systems, within authority for transactions resting entirely with the CEO. There was no evidence of oversight of the CEO by his superiors in his execution of these responsibilities, partly because it was found that the CEO did not bring these matters to the Board's attention. In other areas, notably project costs, there were extensive systems for cost control but these systems were not always implemented in practice. In addition, and possibly reflecting its financial successes until 2007, it was identified that value-for-money considerations were largely absent in the work of the Authority. Significant changes in oversight arrangements at Executive Board level and in the composition and management approach of the Senior Management Team took place in 2009 Further changes have arisen from the Authority's straitened financial circumstances and the Government moratorium. These changes have resulted in a major culture change within the Authority. The Executive Board put the external audit and internal audit functions out to tender in late 2009. The external and internal auditors will be asked to focus particularly on the internal control systems within the Authority, which systems are being continually strengthened in the second half of 2009 and 2010. Mr King has made 52 recommendations in his Review. Appendix 2 summarises these recommendations, together with the responses of the Authority to each recommendation, and an implementation timeframe for addressing the recommendations. Table 1 summarises the implementation status of the recommendations. 2 Implementation status No. Recommendations implemented 8 Implementation of recommendations in progress for completion April 2010 40 Implementation of recommendations in progress for completion after April 2010 3 Recommendation not accepted 1 Total recommendations 52 3. Planning Review The Planning Review has found serious weakness across aspects of the planning functions of the Authority in recent years. Under its legislation, the Authority has a planning remit and a development remit. Until the judgement of Ms Justice Finlay Geoghegan in what is referred to as the Mountbrook Case, it appears that the Authority's planning functions were generally subservient to its development and architectural functions and that planning was used to promote development. This philosophy seriously compromised the integrity of the planning function. In the preparation of these reports, information has come to the Executive Board's attention concerning inappropriate planning decisions in the past. Mr Brassil's Review reflects these inappropriate planning decisions. Many of Mr Brassil's findings are commercially sensitive. It appears that key information was withheld from the Executive Board, including on planning issues. The agreement entered into by senior Executives of the Authority without the knowledge or authority of the Executive Board in relation to the Anglo Irish Bank headquarter building is a case in point. Arising from this agreement, Ms Justice Finlay Geoghegan made the following observations during the case: "How does the Authority inform itself about any opposing view to that recommended by its Executive? Is there any reality to that? You have the members of the Authority who are asked to take a decision...And in common sense and practicality, I assume, as in every other organisation, it receives a report from the members of its executive... which it then acts upon. It may ask questions, and should ask questions if the members of the Authority are non-executive people who bring to bear an expertise. But primarily they are relying on their executives who will have carried out the detailed work...Therefore what reality is there if the executives are committed to taking a particular course of action, what reality is there to the Authority taking any differing decision and how do they even inform 3 themselves to go about it?" (Source: Transcript, North Wall Quay Property Holdings Ltd & Sean Dunne vs. Dublin Docklands Development Authority and North Quay Investments Ltd (Liam Carroll's company), Day 3, 24 April 2008, pages 40-41) The judgement of Ms Justice Finlay Geoghegan had a significant effect on the Authority's planning processes and procedures. The Executive Board commissioned a report on its planning processes from Grant Thornton. The recommendations of the Grant Thornton report have been implemented in full by the Authority. The changed culture around planning is reflected in the findings of Mr Brassil s Report. He acknowledges significant improvements such that the issues he found in pre-Finlay Geoghegan Section 25 certificates have now been effectively addressed. The Executive Board believes that all planning decisions of the Authority since the Finlay Geoghegan judgement are fully compliant with the current planning schemes. Mr Brassil has made 88 recommendations in his Report. Appendix 3 summarises these recommendations, together with the responses of the Authority to each recommendation, and an implementation timeframe for addressing the recommendations. Table 2 summarises the implementation status of the recommendations. Table 2: Implementation of the recommendations of the Planning Review Implementation status No. Recommendations implemented 4 Implementation of recommendations in progress for completion April 2010 57 Implementation of recommendations in progress for completion after April 2010 5 Implementation of recommendations for parties other than the Authority 8 Recommendations not accepted 14 Total recommendations 88 4. Challenges facing the Authority The Authority is currently facing a number of very difficult challenges. • The Authority's 26% investment in Becbay Limited has been written down to€nil in its own 2008 financial statements. For as long as Becbay Limited continues in existence, the Authority will suffer interest on its share of Becbay Limited borrowings. This interest 4 bill amounts to approximately €5 million per annum. The Authority is incapable of operating on a break even basis with this annual liability. • One of the Authority's joint venture partners, Mr Bernard McNamara, is suing the Authority, consequent on Mr McNamara being sued by Davy investors in respect of personal guarantees he provided to them concerning his investment in Becbay Limited. The amount involved is circa €100 million. The Authority is robustly defending these legal proceedings. However, the legal costs are expected to be substantial. • The Authority is operating in a very litigious environment and it is possible that the Authority may be subject to other legal challenges in the future. • The Authority has significant receivables which are proving very difficult to collect. At the end of December 2008 the Authority was owed over €8 million in levies. The Authority has recently begun to take more proactive steps in collecting its receivables by taking legal proceedings to recover these monies. • By 31 December 2010, the Authority will have reduced its staffing level from a high of 63 in 2008 to its 2005 staffing level of 26. The current staffing level is 31 as of the 23 r d April 2010 This will fall to 30 on the 8 t h May 2010 However, to ensure the recommendations of the two corporate governance reviews are fully implemented it may be necessary for specialist personnel to be replaced during 2010. These replacements may be recruited through transfers or secondments from existing State Bodies or Government Departments. • The financial outturn for 2010 is dependent on a payment due to the Authority of €20 million in September 2010 • The Authority is currently operating within its borrowing limits of €127 million. However, this limit may come under pressure arising from the issues flagged above. • The financial outlook for the Authority will be extremely challenging for the foreseeable future. Concluding comment The Executive Board is satisfied that the executive of the Authority has a robust plan in place to address with speed the recommendations in these two reports to enhance the internal processes in the Authority to best practice standards. The Executive Board is confident that all information necessary for it to take appropriate decisions is being shared by the executive with the Executive Board. The Executive Board is further confident that all financial transactions are appropriate and are cognisant with value for 5 money principles. Further, since the Finlay-Geoghegan judgment, section 25 planning certificates have only been issued by the Executive Board when all key prescriptive elements of the relevant planning scheme have been complied with. Finally, the Executive Board commissioned Brady Shipman Martin to conduct a review of the draft Poolbeg Planning Scheme. Their draft report is now to hand. No illegalities have been found. However, the draft report finds that the preparation of the Scheme has not to date been carried out in a fair, equitable and transparent manner. While the urban design approach to the Planning Scheme was generally acceptable, significant broader planning issues have been identified. The Executive Board is currently considering how the issues raised might be resolved. In conclusion, except for the Irish Glass Bottle site transaction, the issues raised concerning the Authority's system of internal financial controls in the King Report have been, or are being, addressed (as set out in this report) and require no further investigation. Questions remain, however, in relation to the background to the purchase of the Irish Glass Bottle site. In addition, the Executive Board is of the view that there are unanswered questions concerning evidence that has come to light in the Brassil Report into planning, in particular the rationale for the granting of non-compliant S.25 planning certificates and S.25 planning certificates that represent an inconsistent or inappropriate interpretation of the relevant planning scheme. Further independent investigation would be required to address these questions. 6 Appendix 1 Letter from the Minister requesting Review of Corporate Governance Appendix 2: Recommendations from Financial Review (FRs) by Mr Ray King Recommendations Authority's response FR3.1 FR3.2 Salary increases There should be a document completed by the Executive Director with responsibility for the employee recommending a salary increase and giving the reasons why the employee should receive an increase. There should be a document completed jointly by the Executive Director with responsibility for the employee, and the Human Resources Department, benchmarking the amount of the proposed salary, whether it be benchmarked against other salaries paid by the Dublin Docklands Development Authority, other State Bodies, the Civil Service and the Private Sector, and justifying the choice of benchmarking. Implementation Timeframe/Status There are no salary increases currently. Implemented Employee salaries are being benchmarked against public sector pay scales and are being recalibrated where necessary. Implemented FR3.3 The Chief Executive should have authority to approve salary increases for staff below the level of Executive Director, so long as the amount of the salary increase does not exceed a particular percentage to be decided by the Executive Board. There are no salary increases currently. The revisions to the Authority's governance framework will specify a percentage salary increase limit. Revised governance framework work in progress. FR3.4 4. The Chief Executive should recommend the salary increases for Executive Directors. The documents detailed in recommendations 1 and 2 should also be completed by the Chief Executive for salary increases for Executive Directors. These salary increases should be approved by the Executive Board. There are no salary increases currently. The revisions to the Authority's governance framework will include this recommendation. Revised governance framework work in progress. FR3.5 5. In the case of the Chief Executive the Code of Conduct at 14.2 requires a Remuneration Committee to be established to determine any salary increases for the Chief Executive. Remuneration of the CEO is dealt with by the board or a remuneration sub-committee of the Board, and is approved by the Department of Environment Heritage and Local Government (DoEHLG). In any event, the salary level is determined by the Review Body on Higher Remuneration. Implemented 8 Appendix 2: Recommendations from Financial Review (FRs) by Mr Ray King (continued) Recommendations Authority's response FR3.6 FR3.8 FR4.1 FR4.2 FR4.3 FR4.4 FR4.5 FR4.7 6. Salary reviews should take place on set dates, whether that is the anniversary date of an employee's commencement, which means different dates for every employee, or a set date being the same for every employee. In any event, salary reviews should only take place once every year. The policy adopted on salary increases should be included in the Code of Conduct. Staff contracts Three months before a contract expires, there should be a document completed by the Executive Director with responsibility for the position stating whether the position is still required and, if it is, justifying why. If the Executive Director states that the position is still required, the Executive Director should then complete a document making recommendations, and justifying same, as to the filling of the position, whether that be by the existing employee, another employee or a new employee. The Chief Executive should review R4.1 and R4.2, add his own recommendations, and present the documents to the Board. The Board should then make a decision. In the case of Executive Directors, R4.1 and R4.2 should be completed by the Chief Executive and R4.3 by the Chairman. In the case of the Chief Executive the Code of Conduct at 14.2 requires a Remuneration Committee to be established and this policy should be extended to deal with any contract renewal for the Chief Executive. The policy adopted on contract renewals should be included in the Code of Conduct. There are no salary increases currently. The revisions to the Authority's governance framework and financial procedures will include this recommendation. Implementation Timeframe/Status Revised governance framework work in progress. The revisions to the Authority's governance framework and financial procedures will include these recommendations. Revised governance framework work in progress. All contracts are currently caught by the Government moratorium and are not being renewed. This procedure will be included in the revisions to the Authority's financial procedures. All contracts are currently caught by the Government moratorium and are not being renewed. This procedure will be included in the revisions to the Authority's financial procedures. In future, all contracts to be renewed will be submitted to the Department of Environment Heritage and Local Government (DoEHLG) for approval. This procedure will be included in the revisions to the Authority's financial procedures. Implemented This procedure will be included in the revisions to the Authority's governance framework and financial procedures. This procedure will be included in the revisions to the Authority's governance framework. Revised governance framework work in progress. This procedure will be included in the revisions to the Authority's governance framework. Revised governance framework work in progress. 9 Implemented Implemented Revised governance framework work in progress. Appendix 2: Recommendations from Financial Review (FRs) by Mr Ray King (continued) Recommendations Authority's response FR5.1 FR5.2 FR5.3 FR6.1 FR6.2 Credit cards Cash withdrawals on credit cards should not be allowed. The travel credit card is presently controlled by the Finance Department. The policy of who is entitled to use the travel credit card, and their limit of expenditure, should be reviewed and committed to writing. A policy needs to be prepared and committed to writing, on the level of expenditure allowed on Hotels, Meals, Flights etc. Employee expenses 1. The policy of who is entitled to claim expenses, and their limit of expenditure, should be reviewed and committed to writing. 2. A policy needs to be prepared and committed to writing, on the level of expenditure allowed on Hotels, Meals, Flights etc. Implementation Timeframe/Status Cash withdrawals are no longer permitted on credit cards, effective January 2010. This procedure will be included in the revisions to the Authority's financial procedures. A policy on use of credit cards has been written and will be updated and included in the revisions to the Authority's financial procedures. Implemented No foreign travel or hotel usage is currently taking place in the Authority. The Government travel policy Circular No. 11/1982, as clarified by the Department Office Notice 5_09 and the Department of Finance Guidelines of July 2009 is being implemented. A policy on hotel and travel expenditure reflecting this update will be completed and will be included in the revisions to the Authority's financial procedures. Implemented A policy on employee expenses has been written and will be reviewed and updated with the update included in the revisions to the Authority's financial procedures. No foreign travel or hotel usage is current by taking place in the Authority. The Government travel policy Circular No. 11/1982, as clarified by the Department Office Notice 5_09 and the Department of Finance Guidelines of July 2009 is being implemented. A policy on hotel and travel expenditure will be completed in line with this circular and will be included in the revisions to the Authority's financial procedures. Implemented 10 Implemented Implemented Appendix 2: Recommendations from Financial Review (FRs) by Mr Ray King (continued) Recommendations Authority's response FR9.1 FR9.2 FR9.3 FR9.4 FR9.5 FR9.6 Project Expenditure - Project packs (a) The Project Packs are an excellent form of monthly report which clearly reflects pertinent details of the expenditure on the various projects. The Executive Board needs to decide who should review and approve the Project Packs monthly whether it be the Executive Board itself, the Audit Finance and Risk Committee, the Chief Executive or a combination thereof. Part of that monthly review should be to take action where any project shows expenditure incurred that is greater than the expenditure approved. The Project pack is circulated to the Audit, Finance and Risk Committee and the Chief Executive each month together with detailed management accounts. The Board are provided with a 'Flash report' which from March 2010 will include the key issues summary from the project pack. In all cases the Project Management procedures will be followed to include the generation of the appropriate documents detailing the overspend/new spend, reporting to the Audit, Finance and Risk Committee via the project pack and to the Board. Project Expenditure - Project Approval Documents (a) All project approval documents should be To complete the project approval document signed by the Project Director and the Chief requires the provision of the details behind the Executive before the expenditure is incurred. proposed expenditure which are reviewed by A third signature, being the Finance Director, Finance. The signature of the Finance seems excessive. Director is essential to ensure that this is completed and if completed in a timely manner will not delay key project dates. There should be at least two copies of the Agreed project approval document signed, with one copy being retained in the Finance Department and one copy on the Project File. Project Expenditure - Purchase orders (a) Purchase Orders should be completed for Purchase orders are completed for all project all project expenditure. expenditure, as is required by the Authority's procedures (b) Clearly expenditure should not be allowed The project director has responsibility for to exceed the level of approval for any project. ensuring that project expenditure is managed Accordingly, the Executive Board needs to within approved limits and ensuring that it is confirm which of the employees has not greater than the amount approved. A list responsibility for controlling the level of of projects and their directors will be provided expenditure incurred, and ensuring that it is to the Board to sign-off on the allocation of not greater than the expenditure approved. responsibility for cost control. 11 Implementation Timeframe/Status Implemented Implemented Recommendation not accepted Implemented Implemented A list of projects and their proposed directors will be provided to the Board in May 2010 for approval. Appendix 2: Recommendations from Financial Review (FRs) by Mr Ray King (continued) Recommendations Authority's response FR9.7 FR9.8 FR9.9 By the time the cheque request reaches the Finance Department it is too late to prevent the expenditure as the goods and/or services have already been received, usually in accordance with a Purchase Order. Financial control needs to be exerted at the time the goods and/or services are being ordered and the Purchase Order is being signed. That means that the responsibility in the first instance should be given to the relevant Project Director. (c) When a purchase order is being presented to a Project Director for approval, a document needs to be presented to the Project Director showing both the expenditure approved for the project and the expenditure incurred to date. This document should not simply reflect the total amount of expenditure incurred and compare it with the total expenditure approved. It should analyse the expenditure approved over the appropriate categories and compare that analysis with the actual expenditure incurred over the same categories. For instance, if the expenditure that has been approved covers say construction, quantity surveyor's fees, architect's fees etc., then the expenditure approved in each category and the expenditure incurred each category should be compared. Agreed. Information on project spend together with invoices yet to be approved and outstanding purchase orders is available directly to each project manager through the Authority's Executive Information System (Vision). This will be reviewed in advance of requesting further spend by the Project Manager and Director before sign-off is complete with a hard-copy retained with the purchase order. Information of project spend together with invoices yet to be approved and outstanding purchase orders is available directly to each project manager through the Authority's Executive Information System (Vision) which can generate this in report format. The format of this report will be reviewed to ensure it provides the appropriate information. In advance of approving a purchase order this will be reviewed by the Project Director. The purchase order will be amended to record that this has been completed. The Executive Information System provides details of spend by project and supplier but not by category. This will be rectified from 2010. Similarly the approved spend will be analysed in the same level of detail. This will be a standard template available to all project teams. 12 Implementation Timeframe/Status To be completed by May 2010. Enhancement to existing system is in progress and roll out to all staff members of new procedure will be in May 2010. To be completed by May 2010. Enhancement to existing system is in progress and roll out to all staff members of new procedure will be in May 2010. Implemented Appendix 2: Recommendations from Financial Review (FRs) by Mr Ray King (continued) Recommendations Authority's response FR9.10 FR9.11 FR9.12 FR9.13 This document should be prepared by the Project Manager, approved by the Project Director and finally retained on the Project File. (d) Clearly, the Project Director cannot sign a Purchase Order that increases expenditure on a project beyond the expenditure level approved. Accordingly, the presentation of such a Purchase Order to the Project Director should automatically instigate an investigation into the project and the expenditure both approved and incurred. If necessary, this investigation could result in the preparation of the relevant documentation to increase the level of expenditure approval, whether that is a project approval document or a paper to the Executive Board. (e) The Executive Board might give consideration to deciding that Purchase Orders over a certain value need to be signed by both the Project Director and the Chief Executive. A hard copy of this document will be kept with the Purchase order and retained on the Project file. Implementation Timeframe/Status Implemented The Project director is required to generate a Project Change document in this case. Details of spend to date versus previous amounts approved will be attached with explanation of the overruns/new line items identified and reported to the Audit, Finance and Risk committee and the Board. Implemented In line with the project procedures at the Authority a Project Change Document will be required in this case and reported via the Monthly Project Pack to the Audit, Finance and Risk Committee and via the Flash report to the Board with a Board paper prepared if required. See below. Implemented 13 Implemented Thresholds will be reviewed in revised governance framework work. Appendix 2: Recommendations from Financial Review (FRs) by Mr Ray King (continued) Recommendations Authority's response FR9.14 FR9.15 FR9.16 As project approval documents for expenditure between €30,000 and €260,000 presently are meant to be signed by the Project Director, the Finance Director and the Chief Executive, it seems only logical that Purchase Orders over €30,000 and up to €260,000 should be signed by at least the Project Director and the Chief Executive. For consistency, whatever the signing requirements are for project approval documents, whether that is two or three signatures, should be repeated for Purchase Orders. (f) At present, if over €260,000 is to be spent on a project a paper has to be prepared for the Executive Board and the expenditure has to be approved by the Executive Board. It seems logical, therefore, that a Purchase Order for more than €260,000 should not only be approved by the Project Director and the Chief Executive but also be approved by the Executive Board. The project approval document is designed to obtain approval for expenditure to a number of suppliers each of which is procured through the generation of the individual purchase order. All purchase orders are routed through finance for approval. In line with the current Board sign-off any purchase order for an amount in excess of €50,000 will be brought to the Board for approval effective February 2010. For amounts above €30,000 but below €50,000 the project director, finance director and Chief Executive will sign-off. Implementation Timeframe/Status Implemented From 2010 finance will check that the proposed spend is within Board approved amounts before processing any purchase order. The Project accountant will review this for all projects prior to completion of the project pack. Implemented In addition Business planning will be carried out each quarter to review key timelines for each project and identify any delays/amendments to projects that could impact on the level of spend. As with FR9.14 Implemented As with FR9.14 Implemented 14 Implemented Appendix 2: Recommendations from Financial Review (FRs) by Mr Ray King (continued) Recommendations Authority's response FR10.1 FR9.20 Project Files - Filing System There should be a universal file system for certain basic information on each project. That makes sense in any organisation but is particularly relevant at present where staff are, and will be, leaving the Dublin Docklands Development Authority, leaving the staff remaining to take over projects. The universal file system should contain standard sections for a number of aspects of any project. The Authority uses Microsoft SharePoint to store relevant documentation by project and to have a central location for all documentation that supports the project management procedures. However, currently all project documents are not always loaded to the system. In addition system improvements are required to improve its functionality. Therefore the system is currently supplemented by both soft and hard-copy files maintained by each project manager/director. A full review of project filing will be conducted in 2010 to ensure consistency of filing for all projects. Microsoft SharePoint is designed to be a standardised format and to support the Authority's project management procedures. Not all projects follow the filing methodology within SharePoint. This will be reviewed as part of an overall review of project filing in 2010. Implementation Timeframe/Status May 2010 - review of current filing and identification of weaknesses with SharePoint and in particular standard filing layout. June 2010 - develop plan to correct weaknesses July 2010 - ensure that all issues have been addresses and that all project filing is managed in a consistent manner. May 2010 - review of current filing and identification of weaknesses with SharePoint and in particular standard filing layout. June 2010 - develop plan to correct weaknesses July 2010 - ensure that all issues have been addresses and that all project filing is managed in a consistent manner. 15 Appendix 2: Recommendations from Financial Review (FRs) by Mr Ray King (continued) Recommendations Authority's response FR10.2 FR11.1 FR11.2 In the first instance the Project Managers and Project Directors would be best placed to decide the kind of information and documentation that should be included in a universal file system, as they are the people who would be using the files most regularly. However, it seems to me that the following documents would be amongst those that would be relevant: (i) Original Budget (ii) Project approval documents completed for Project (iii) Papers submitted to the Executive Board (iv) Copies of Purchase Orders issued on Project (v) Continuous summary of expenditure approved and expenditure incurred (vi) Tender Forms issued (vii) Tender Appraisal Forms (viii) Successful Tenders (ix) Schedule of Unsuccessful Tenders Purchase Orders - General (a) Purchase Orders should be completed for all expenditure where goods and/or services are supplied to the Dublin Docklands Development Authority, other than utilities. (b) The Executive Board might give consideration to deciding that Purchase Orders over a certain value need to be signed by both the Project Director and the Chief Executive. The design and layout of SharePoint was built around the project needs of the organisation. The system will capture each of the documents identified but there are a number of exceptions to how projects are filed within SharePoint that will need to be corrected. Project filing at the Authority will be reviewed early in 2010 to ensure all of the items listed and any others required are captured in a consistent way for all projects. Implementation Timeframe/Status May 2010 - review of current filing and identification of weaknesses with SharePoint and in particular standard filing layout. June 2010 - develop plan to correct weaknesses July 2010 - ensure that all issues have been addresses and that all project filing is managed in a consistent manner. Purchase orders are being completed for all expenditure (other than utilities), as is required by the Authority's procedures Implemented The Board terms of reference will ensure that authorisation limits will be applied consistently across the Authority, to include authorisation limits for project expenditure, other expenditure, purchase orders, and cheque signing limits. Implemented Thresholds will be reviewed in revised governance framework work. 16 Appendix 2: Recommendations from Financial Review (FRs) by Mr Ray King (continued) Recommendations Authority's response FR11.3 As project approval documents for expenditure between €30,000 and €260,000 presently are meant to be signed by the Project Director, the Finance Director and the Chief Executive, it seems only logical that Purchase Orders over €30,000 and up to €260,000 should be signed by at least the Project Director and the Chief Executive. FR11.4 For consistency, whatever the signing requirements are for project approval documents, whether that is two or three signatures, should be repeated for Purchase Orders. (c) At present, if over €260,000 is to be spent on a project a paper has to be prepared for the Executive Board and the expenditure has to be approved by the Executive Board. It seems logical, therefore, that a Purchase Order for more than €260,000 should not only be approved by the Project Director and the Chief Executive but also be approved by the Executive Board. FR11.5 FR11.6 All non-project spend is identified and analysed during the annual budget. Purchase orders are raised for all items (except utilities). From 2010 finance will check that the proposed spend is within Board approved amounts before processing any purchase order and any individual purchase orders in excess of €50,000 (the current Board threshold) brought to the Board for approval. Purchase orders for expenditure of between €30,000 and €50,000 will be signed-off by the Project Director, the Finance Director and the Chief Executive. As with FR11.3 Implementation Timeframe/Status Implemented Implemented As with FR11.3 Implemented As with FR11.3 Implemented 17 Appendix 2: Recommendations from Financial Review (FRs) by Mr Ray King (continued) Recommendations Authority's response FR11.7 FR11.8 FR11.9 Purchase Orders - Legal Costs (a) At present, Purchase Orders are not issued for Legal Costs. The logic is that it is usually not possible to quantify the total cost of the legal services to be provided, such as with Court proceedings. However, substantial legal costs have been incurred by the Dublin Docklands Development Authority during 2008 and 2009 and it is, therefore, important that a system of control is implemented. Purchase orders should be completed for all Legal Costs detailing the tasks to be undertaken, the hourly charge out rates to be applied by the Solicitors and the frequency of invoicing. (b) Details of charge out rates of the major firms of solicitors have already been obtained by the Company so this information is readily available. Naturally, if these rates are changed by the solicitors involved they will have to notify this fact to the Dublin Docklands Development Authority and a fresh Purchase Order will have to be issued. (c) With regard to frequency of invoicing, the Purchase Order could provide for invoicing periodically say every month or quarter. Alternatively, invoicing could take place based on the build up of fees, say every time they reach €20,000, €30,000 or €50,000. Such regular invoicing will enable the Dublin Docklands Development Authority to monitor legal costs as they are incurred. Implementation Timeframe/Status Legal and Finance currently meet each month to determine the scale of the legal accrual. A report summarising the position to date and the expected outturn will be provided as part of the management accounts from March 2010 and a purchase order will be drawn-up and approved as payment falls due. In advance of payment a Board paper will be prepared on the proposed payment of legal fees from Feb 2010. Implemented This will be captured as part of the monthly review of legal actions and costs between finance and legal and an amending purchase order raised from Feb 2010. Implemented All legal firms acting for the Authority will be encouraged to progress bill rather than wait until completion of work. This will be followed up at the monthly review between finance and legal from Feb 2010. Implemented 18 Appendix 2: Recommendations from Financial Review (FRs) by Mr Ray King (continued) Recommendations Authority's response FR11.10 FR11.11 FR11.12 FR11.13 FR11.14 Procure ment (d) An indication should also be obtained from the Solicitors as to the possible level of fees, whether that is under €30,000, between €30,000 and €260,000 or over €260,000. This will determine who should approve the Purchase Order, whether it is the Project Director alone, where the fees are likely to be less than €30,000, the Project Director and the Chief Executive, where the fees are likely to be between €30,000 and €260,000, or the Executive Board, where the fees are likely to be more than €260,000. 3. Cheque Requests (a) Requests for cheques should only be made were a Purchase Order has been issued and an invoice received. The exception to this will be in the case of utilities, where only an invoice will have been received. (b) In the first instance, the invoice received should be approved by the Project Director who issued the Purchase Order. In the case of utilities, the Director of Finance should request the cheque. (c) Where the cheque request is for more than €30,000 it should also be approved by the Chief Executive. (d) Where the cheque request is for more than €260,000 it should also be approved by the Executive Board or one of the Directors nominated by the Executive Board. Keep all relevant records which will demonstrate compliance with the Public Procurement Guidelines by the Dublin Docklands Development Authority in respect of Non Project Expenditure. As with FR11.7 Implementation Timeframe/Status Implemented Cheque requisitions are only raised where there is a purchase order and an invoice. The revisions to the Authority's governance framework and financial procedures will include this recommendation. Agreed - this will be reflected in amended financial procedures. Implemented All cheques for more than €30,000 will be approved and co-signed by the Chief Executive. For cost control purposes, the Board reduced the expenditure authorisation limits to €50,000 in May 2009. Currently, a board member signs cheques for amounts exceeding €50,000. These authorisation limits will be reviewed as part of the revisions to the governance framework of the Authority. All records of the Authority currently being kept in a methodical accessible manner such that a review of procurement would be possible on all current projects. Implemented 19 Implemented Implemented Implemented. Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited Recommendations PR1 PR2 Role and Function The Department of Environment Heritage and Local Government (DoEHLG) establish annual reporting requirements including an agreed set of key indicators, and institute a formal review process on a regular basis. It may also be appropriate for the Minister in making appointments to the Board to consider the skills mix appropriate to the statutory functions required of the Board. PR3 A formal procedure be instituted to ensure that Dublin City Council (DCC) is presented with an opportunity to comment on Section 25 applications and that these comments are taken into account by the Executive Board in adjudicating on such applications. PR4 Instigate formal liaison meetings between DDDA and DCC planning teams to ensure effective management of areas of shared responsibility such as development levies and enforcement. PR5 The planning functions covering both adjudication and forward planning and plan monitoring should operate as a separate Planning Team within the Authority with a direct reporting line to the Chief Executive, to assist the necessary separation from the Authority's property and development role. Authority's response Implementation Timeframes This is a matter for the Department of Environment Heritage and Local Government (DoEHLG) DoEHLG to determine Skills mix is a factor in determining Board membership is a matter for the Minister. Rotation of Board members may be appropriate as the replacement of the full Board at a point in time may result in a loss of institutional knowledge at board level. Senior management of both DDDA and DCC have agreed to set up a formal procedure for interaction to address all planning issues relating to both authorities on a regular basis. Dublin City Council Planning Department is circulated with Section 25 applications at referrals stage. Dublin City Council Roads and Water Divisions are circulated with Section 25 applications at referral stage as deemed appropriate by the DDDA planning team. All responses are incorporated into the DDDA planner's assessment. Such meetings have been instigated by the Acting CEO. Also consider including 'development management' in shared responsibility. Minister to determine, as board vacancies arise Will impact positively on planning team functions. 20 Preliminary meetings between the DDDA and DCC have been conducted. A formal procedure, frequency and a schedule of meetings is to be agreed between DCC and the DDDA. Preliminary meetings between the DDDA and DCC have been conducted. A formal procedure, frequency and a schedule of meetings is to be agreed between DCC and the DDDA. Implemented Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited PR5a PR6 PR7 PR8 PR9 PR10 Recommendations Authority's response Within the Planning Team, a Senior Planner should be delegated responsibility for protecting the integrity of the adjudicative function on the basis of a bi-annual monitoring and reporting procedure. The legal function of the Authority be separated from the property function to ensure that the planning team is able to access legal advice on the proper application of its planning powers in the light of the Finlay Geoghegan Judgement and any changes in legislation or regulation which may be required. The function of Secretary be separated from the property function. The appointment of a dedicated Secretary or Administrative Officer be considered, to report between the Executive and Board; and to support the Board in the carrying out of its functions. The role of the planning administrator to be maintained at least until such time as an IT based system is in place to support the processing of Section 25 applications; and a quality and risk management culture is embedded in the leadership and day to day operations of the planning team. Enforcement powers under the Planning Acts should remain the responsibility of Dublin City Council in the Docklands area. A senior planner has been delegated responsibility to protect the integrity of the adjudicative function. Monitoring requirements are to be established with the DoEHLG. Consultation Consider the provision of formal 'pre-draft' Masterplan consultation. Submissions in this regard should only be considered where they relate to strategic issues which are generic to the strategic direction of the Masterplan. Implementation Timeframes Part implemented. Ongoing. On the recent retirement of the Secretary/Director of Property, all legal matters are being handled by the Authority's solicitor. Implemented On the recent retirement of the Secretary/Director of Property, a member of the Authority's staff has been appointed on a dedicated basis to the position of Acting Secretary Implemented The role of planning administrator is being maintained. Following recent changes in the Executive of the Authority, there has been a significant change in culture including a quality and risk management culture, in the leadership and day to day operations of the planning team and throughout the Authority. Agreed. However the practicalities of enforcement action being the priority of a separate organisation need to be discussed and procedures need to be put in place for the benefit of both DCC and the DDDA. Implementation of a significant culture change is in progress. The next Masterplan is due in 2013. Defining a submission as strategic or otherwise may be problematic. Criteria would have to be prepared to triage submissions. Review of Master Plan to begin 2011. 21 DoEHLG / DCC to determine in discussion with the Authority This may require a change to legislation or for the scope/terms of pre-draft consultation to be set out in regulations. DoEHLG to determine if there are any legislative changes required. To be implemented in advance of the commencement of at the time of the next Masterplan in 2013. Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited PR11 PR12 Recommendations Authority's response Adoption of a formal procedure for reporting on submissions to the Council and Board. A report setting out the principal issues identified in submissions and the Executive's recommendations on how those issues are addressed in the draft Masterplan, should be prepared for formal consideration by the Council in advance of a draft Masterplan going on public display. In the event of a review of the 1997 Act and parallel planning legislation, consideration to be afforded to enhancing the status of the both the Masterplan and Planning Schemes as documents to which DCC and An Bord Pleanala must have regard in the event of an application or appeal to those respective authorities. The next Masterplan is due in 2013. It is noted that this is the process post public display. PR13 Introduction of a Design Brief stage to the Planning Scheme process. The procedure around the Design Brief could be undertaken as a protocol or under Statutory Instrument with the following steps: PR13a The preparation of a new Planning Scheme or an amendment to an existing scheme is approved by the Board. This is a matter for the Department of Environment Heritage and Local Government (DoEHLG). This brings into question the efficacy of the dual planning mandate i.e. the Section 25 certification process under the Authority's legislation or a planning application to DCC under the Planning Acts. Review of the legislation should be undertaken to ascertain the merit of abolishing the alternative consent process, as the integrity of the Planning Scheme can be compromised by incremental planning permission within the planning scheme area. This procedure should be undertaken as a matter of protocol. The need for regulations will be discussed with DoEHLG This is currently the practice. 22 Implementation Timeframes This may require a change to legislation or for the scope/terms of pre-draft consultation to be set out in regulations. DoEHLG to determine if there are any legislative changes required. To be implemented in advance of the commencement of at the time of the next Masterplan in 2013. DoEHLG to determine To be implemented for all new planning schemes and amendments to existing planning schemes. Necessary legislative change to be advised by the DoEHLG. Implemented Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited Recommendations Authority's response PR13b A draft Design Brief is prepared which clearly sets out the following: the strategic planning, urban design, architectural and infrastructural reasons for the proposed scheme/amendment; a statement of appropriate objectives relating to the foregoing reasons; the broad parameters around urban form, density, height, public space, and architecture; options and alternatives available in respect of the urban form criteria which are relevant to meeting the stated objectives. PR13c The Design Brief is considered by the Council of the Docklands Authority. Recommendations by the Council and the Executive of the Authority Response to those recommendations are set out in a Report which is furnished to the Board. The Board must have regard to the recommendations of the Council. The Authority recommends the implementation of the preparation of a draft Design Brief. The brief needs to be more holistic to include additionally mixed use, transportation, community gain / community infrastructure etc. The design brief needs to be informed by an analysis of the success of the previous planning schemes, current spatial policy and other relevant national policy (e.g. transport, ports, energy, climate, etc), observation and initial survey work on the ground, etc.. The brief should be framed bottom up and top down for a balanced framework. The Authority agrees the recommendation suggested. However, the Steering Group may fulfil this function. The composition of the Steering Group may make this recommendation redundant. PR13d Agreed. However, the Steering Group may fulfil this function. The composition of the Steering Group may make this recommendation redundant. PR13e The Board directs the Executive to amend/complete the Design Brief as considered appropriate. Agreed PR13f The approved Design Brief is furnished to the Minister. The Minister can modify the Design Brief and give mandatory instructions to the Authority. PR13g The Design Brief is placed on public display and recommendations and the Executive's response are furnished to the Board. The Department of the Environment Heritage and Local Government, representing the Minister, should be included as a member of the Steering Group. This would reduce any time delay while ensuring the Minister and Departments involvement in the design brief process. As it is proposed to put in place a representative Steering Group to agree the design brief and as the Draft Planning Scheme must go on public 23 Implementation Timeframes To be implemented for all new planning schemes and amendments to existing planning schemes. Necessary legislative change to be advised by the DoEHLG. To be implemented for all new planning schemes and amendments to existing planning schemes. Necessary legislative change to be advised by the DoEHLG. To be implemented for all new planning schemes and amendments to existing planning schemes. Necessary legislative change to be advised by the DoEHLG. To be implemented for all new planning schemes and amendments to existing planning schemes. Necessary legislative change to be advised by the DoEHLG. DoEHLG to determine. This may require changes to the Authority's legislation. Recommendation not accepted display within the terms and conditions of the Act for a statutory consultation period, the Authority does not agree with this suggestion. 24 Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited Recommendations Authority's response PR13h Following consideration of the Executive's Report and amendment/approval of the Design Brief, the Board instructs the Executive to proceed to drafting the Scheme/Amendment. Agreed PR14 A representative Steering Group to be set up at the commencement of the Planning Scheme/Amendment making process. The Steering Group would include representatives from the DDDA Executive, DDDA Council, Dublin City Council Planning Department, Dublin City Council Infrastructure Department, Dublin Transportation Authority and Dublin Regional Authority. PR15 Consider, possibly as part of amending legislation, some provision for granting a certificate which is not compliant with the development control standards set out in the Planning Scheme but by reason of some exceptional circumstance not envisaged at the time of the preparation of the scheme is otherwise compliant with the overall objectives of the scheme, the objectives of the Authority and the proper planning and sustainable development of the area. The decision to proceed to consideration of such an application should be made by the Board in advance of the lodgement of the application. Specified criteria relating to exceptional circumstances should be set out in Regulations which the Board must be satisfied are met in advance of lodgement of an application. The Authority believes that there is a case to be made for including the Department of the Environment Heritage and Local Government on this proposed Steering Group, though the implications of this for the subsequent Ministerial decision making process on planning schemes needs to be considered. Formation of the Steering Group should be at an early stage in the process. The Steering group should also include representative residents in the area, business community, political representatives This is similar to the "material contravention" provisions under the Planning Acts. This is a matter for the Department of Environment Heritage and Local Government. An alternative to this approach may be a mechanism whereby the planning scheme may be varied, with limited timeframe and public consultation, to allow for some unforeseen circumstance. This would be preferable to PR15, which may undermine the integrity of the scheme if abused. PR15a PR15b The Authority supports an alterative approach as outlined in the response to recommendation PR15. This procedure would equally apply to variation of the Scheme. The Authority supports an alterative approach as outlined in the response to recommendation PR15. This procedure would equally apply to variation of the Scheme. 25 Implementation Timeframes To be implemented for all new planning schemes and amendments to existing planning schemes. Necessary legislative change to be advised by the DoEHLG. DoEHLG to determine DoEHLG to determine Recommendation not accepted at this point in time subject to determination of recommendation PR15 by DoEHLG Recommendation not accepted at this point in time subject to determination of recommendation PR15 by DoEHLG Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited PR15c PR15d PR15e Recommendations Authority's response Proposals would be presented to the Executive in pre-planning meetings in sufficient detail to allow the Executive to prepare an informed recommendation to the Board as to whether to proceed to further consideration of the lodgement of an application. This decision would rest with the Board. In the event that the Board agreed to consider an application, this decision would be notified to the prospective applicant subject to the qualification that it is strictly without prejudice to any decision the Board may subsequently make on an application. Upon lodgement of an application, the Executive would make a recommendation to the Board. The Authority supports an alterative approach as outlined in the response to recommendation PR15. This procedure would equally apply to variation of the Scheme. PR15f Should the Board decide refuse to issue a certificate, this decision and the reasons therefore would be notified to the applicant. PR15g If the Board decided in principle to issue a certificate, it would send notification of this effect to the Minister and Dublin City Council. PR15h In parallel it would publish a notice in a national daily newspaper indicating its decision in principle and inviting submissions from third parties. Having considered all submissions the Board would issue its final decision. PR15i Implementation Timeframes Recommendation not accepted The Authority supports an alterative approach as outlined in the response to recommendation PR15. This procedure would equally apply to variation of the Scheme. Recommendation not accepted The Authority supports an alterative approach as outlined in the response to recommendation PR15. This procedure would equally apply to variation of the Scheme. The Authority supports an alterative approach as outlined in the response to recommendation PR15. This procedure would equally apply to variation of the Scheme. The Authority supports an alterative approach as outlined in the response to recommendation PR15. This procedure would equally apply to variation of the Scheme. The Authority supports an alterative approach as outlined in the response to recommendation PR15. This procedure would equally apply to variation of the Scheme. The Authority supports an alterative approach as outlined in the response to recommendation PR15. Final decision would be certification or rejection subsequent to assessment against the varied Planning Scheme. Recommendation not accepted 26 Recommendation not accepted Recommendation not accepted Recommendation not accepted Recommendation not accepted Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited Recommendations PR16a PR16b PR16c PR16d PR16e Certificate Determination Review of procedure associated with application documentation: The description of development to be checked by the validating officer to ensure that a detailed and accurate description of the proposed development is provided stating the height of buildings (number of storeys), the overall floor space proposed, and a breakdown of the proposed uses and residential units, if applicable. Upon confirmation of the description of development, which will coincide with the issue of a DD reference number; and after preliminary checks have been carried out, the applicant will erect a site notice reflecting the final and correct wording of the description of development. In instances where an application for a minor amendment to a previously certified development is submitted, the description of development shall clearly state the relevant DD reference number of the certificate to be amended, the description of the development as previously certified and clearly stating that the application is for an amendment whereby the proposed amendment is described in detail (see also recommendation in terms of amendment applications). All drawings received should be date stamped together with a stamped DD reference number unique to each application. Should the original or subsequently submitted drawings be amended in any way, a fresh set of application drawings shall be submitted and clearly stamped 'Amended' together with a date stamp and a stamp showing the unique DD case reference number. One full set of the originally submitted drawings shall be retained on file and stamped 'Superseded'. Authority's response Implementation Timeframes Agreed. Include mix of use. State if a protected structure. Implemented Validation by DDDA must include GIS registration of the site outline, which will check if lands have previous site history. IT and GIS system to be implemented by June 2010 as per recommendation PR33. Agreed. The DD reference number must be displayed prominently, as this is the means by which a member of the public may distinguish between initial and subsequent notices on an applicant site. Implemented Agreed. In further discussions with Declan Brassil and Company the term 'amendment' to be replaced with the term 'varied'. Implemented Agreed. All A3 and A4 documents material should be scanned and maintained in an electronic archive. Agreed Implemented 27 Implemented Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited PR16f PR16g PR17 PR18a PR18b Recommendations Authority's response Upon the issue of a Section 25 certificate, one full set of approved drawings shall be retained on file and be clearly stamped 'Approved' together with the corresponding date that the certificate was issued. Section 25 Certificates, as issued should clearly reference the list of approved drawings accompanying the certificate. That the Authority has regard to the attached guidance note on validating applications. Review of procedures associated with the submission of Additional Information Having regard to the objectives of the Section 25 process to expedite decision making and to certify compliant proposals, the Grant Thornton recommendation is endorsed that Additional or Further Information requests should not be entertained by the Authority where a proposal is clearly non-compliant with the relevant Planning Scheme. Non-compliant proposals should be returned with a letter stating the reasons of noncompliance and inviting the applicant to withdraw the application and submit a fresh application addressing the deemed reasons for non-compliance. In the event that the applicant refuses to withdraw the application (by confirmation in writing), the application shall be registered and processed in an identical manner to other applications, as suggested by Grant Thornton resulting in noncertification following consideration by the Board. However, such applications should be fast tracked to enable an early Board determination in order to avoid time delays resulting from applicant's seeking to amend schemes subsequent to their confirmation of non-withdrawal of a proposal. Agreed Implementation Timeframes Implemented Agreed Implemented Agreed, and as per Appendix 1 of the Grant Thornton Report Agreed. The prioritisation of pre-application discussions should minimise clarification requirements after validation. Implemented Agreed. Non-compliant applications where the applicant refuses to withdraw the application should be brought to the Board's attention but should not be prioritised over compliant applications. Implemented 28 Implemented Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited PR18c PR19a Recommendations Authority's response The Board are recommended to consider extending delegated powers to the Executive officers to confirm non-certification to the applicant without formal consideration by the Board; provided that a delegated report by the Planning Officer is signed off by the relevant manager and director; prior to the issue of a notification of decision not to certify the proposed development and stating the reasons for same. Such applications together with delegated reports should be subsequently circulated to the Board for information purposes. Planner's Reports should be prepared according to a standardised template, which includes the following: o Heading stating whether it is a 'Delegated Report', report to the Sub-Committee and relevant date of Committee meeting or a Report to the Board and the date of the Board meeting where the report will be considered. o Reports, whether delegated, sub-committee or for the Board's consideration should be checked and signed by the relevant line manager with final sign-off required by the Director. Copies of signed reports shall then be included and circulated to members of the sub-committee and Board prior to relevant meetings. o Layout of a standard report template should provide for a detailed description of development in table format stating proposed floor space areas against each use proposed together with a column of the applicable levy rates and calculations. In the current climate the Authority would not recommend the extension of current executive powers to confirm non-certification to an Applicant without formal consideration by the Board. Implementation Timeframes For re-examination in January 2011 Agreed. Note the comments on PR38 apply. The template for the delegated report is to be finalised subject to PR 18c. Implemented Not applicable if referring to recommended delegated powers. All other recommendations agreed. Minor applications should be delegated for sign off to the senior planner. Final sign off is currently completed by the senior planner. Implemented in part. Agreed. Implemented 29 Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited PR19b PR20a Recommendations Authority's response o Standard report templates should provide for a summary of relevant Planning Scheme standards applicable to the proposal and a section setting out relevant planning history where the subject application relates to a wider / comprehensive redevelopment proposal. In order to allow feedback from third party consultees to be properly considered by the Board, as reflected in Planner's Reports it is suggested that the current 10 day consultation period be extended to 21 days (commencing upon the date of erection of the site notice, which should coincide with formal letters of consultation being sent to other consultees, such as DCC). No formal consideration of a proposal shall either be undertaken by the sub-committee or the Board prior to the expiration of the 21 day consultation period. Procedures pertaining to applications for amendments to previously permitted development. The Board adopts criteria whereby an application is determined as an amendment application. Such applications should genuinely be of a minor nature, which would not require consultation and would not materially alter the previously certified scheme. Such applications could typically be amendments to the design and appearance of a building - for example a change in fenestration pattern or materials / finishes or pedestrian access arrangements. Agreed. Implementation Timeframes Implemented The Authority disagrees with this recommendation as it would severely impact on the Authority's fast track planning facility. The current policy of the 10 day consultation period has worked extremely well since its implementation. However this is an item which should be kept under review. It is assume the 21 days include weekends and that the total consultation period is 3 weeks rather than the 10 working days as is. Recommendation not accepted To be kept under review. The Authority recommends that at this point this recommendation is not implemented. Public consultation is considered appropriate for all Section 25 applications. Recommendation not accepted To be kept under review. 30 Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited PR20b PR20c PR20d PR20e PR20f PR21 Recommendations Authority's response Any application which seeks to increase the volume or height of a previously certified scheme should be subjected to full scrutiny against the provisions of the Planning Scheme and be subjected to full consultation procedures. Such applications should also include change of use applications where the proposed change of use relates to a floor space in excess of 100sq.m. Applications for amendment that would result in a volumetric increase in building envelope or a change of use of floor space in excess of 100sq.m shall not be described in the description of development as an 'amendment application' but shall be described and considered as a fresh Section 25 application. Applications for 'minor amendments', as described above, shall make reference to the DD reference number of the parent certificate and shall provide a detailed description of the proposed amendment along with the description of the certified development. Plans / Drawings submitted for amendment applications shall include a copy of the final certified drawings of the scheme they seek to amend with the proposed changes clearly marked / indicated on the new plans/drawings for ease of comparison. The Board might want to consider extending delegated powers to the Executive to deal with such applications for minor amendment meeting the suggested criterion above in order to fast-track decision making. Support for the recommendation of Grant Thornton that the Board should consider delegating powers to the sub-committee of the Board or Senior Executive Officers to make decisions on such applications which are of a minor and/or non-contentious nature, including applications for signage and minor changes of use. Agreed Implementation Timeframes Implemented Agreed. Perhaps the wording 'modification' / 'variation' may be used in the description and extent of development rather than a full description of that previously certified. Implemented Agreed. A brief outline of the certified parent development would be sufficient in the description and extent of development. Implemented Agreed Implemented The Authority recommends that at this point this recommendation is not implemented. Recommendation not accepted To be kept under review. The Authority recommends that at this point this recommendation is not implemented. Recommendation not accepted To be kept under review. 31 Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited Recommendations PR22 PR23 PR24 PR25a Prohibit the practice whereby planning conditions are attached to Certificates to: o seek to render a non-compliant scheme, compliant with the Planning Scheme; and/or, o seek to transfer or link compliance of one or more elements of a scheme onto a subsequent phase of development for which a formal application had not been lodged; and o Seek compliance with the Planning Scheme in a manner whereby individual sites are linked together that does not form part of the same planning unit, albeit that such sites are in the same ownership. A Section 25 Certificate should make explicit reference to the plans/ drawings numbers certified and refers to the date of the Board meeting where the decision was made to certify a development. A Section 25 Certificate should expressly state that the scheme as proposed and considered by the Board is compliant with the relevant Planning Scheme in operation at the date of making the decision. Compliance Issues: That a separate procedure is adopted whereby applications for compliance are treated as standalone applications through the allocation of a unique reference number that will link the compliance application with the relevant certificate and condition for compliance. Example - compliance with Condition 13 attached to Certificate Reference DD167 be allocated a unique reference number CDD167.C13. Authority's response Implementation Timeframes Practice has ceased. Such conditions have not been used since the Finlay Geoghegan judgement. This practice has ceased. Such conditions have not been used since the Finlay Geoghegan judgement. Implemented The Finlay Geoghegan judgement made it clear that applicant sites must be judged in and of themselves. Practice has ceased. Implemented Agreed Implemented Agreed Implemented Agreed To be implemented, with effect from April 2010. 32 Implemented Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited Recommendations Authority's response PR25b That a separate, parallel compliance register be established and linked to the planning register file. PR25c Upon compliance of all relevant conditions that the applicant applies for a compliance certificate to the DDDA requesting confirmation of compliance with all relevant conditions. PR25d That the DDDA issue such a Compliance Certificate only in the event that it is satisfied that all relevant conditions have been complied with and that a copy of the compliance certificate is put on file and distributed to the applicant and other relevant bodies, such as DCC in the same fashion as a Section 25 Certificate. In the case that the DDDA is not satisfied that compliance with all conditions has been achieved it shall issue a letter stating the reasons for non-compliance and withholding a Certificate of Compliance together with an invitation to the applicant to submit outstanding items by listing any outstanding conditions. A copy of this letter shall also be put on file and provided to the applicant. That the Board extend delegated powers to the executive to determine applications for compliance at sub-committee level. Agreed. A conditions and associated compliance register has been created. This is updated upon certification of a development and receipt of compliance submissions. The register should integrate with the Section 25 system as part of the IT upgrade. This matter is currently under review by the Authority so as to ensure best practice is achieved. Issuing compliance certificates could expose the Authority to additional legal risks. The Authority's understands that it is not the practice of other planning authorities to issue compliance certificates. The planning team is to retain the current practice of issuing partial opinions of compliance at appropriate stages, in accordance with the development construction program and in line with the requirements of the conditions until such time as a study of best practice elsewhere in connection with the issue of opinions of compliance is concluded. Agreed, subject to the comments at PR25c. PR25e PR25f Implementation Timeframes Implemented in part. IT upgrade scheduled for June 2010. Implementation ongoing. Implementation ongoing. Agreed, subject to the comments at PR25c. Non compliance should be advertised on the Authority website. Implementation ongoing. IT upgrade scheduled for June 2010. Agreed. In reference to compliance submissions requiring Board's approval. Other submissions to be agreed with planning team of the DDDA. Implementation ongoing. 33 PR26 PR26a PR26b Sub-Committee and Board Meeting requirements: Minutes of Board and Sub-Committee meetings should be placed on the planning file. The number of applications to be considered at any one meeting should be regulated / capped in order to focus efforts. Minor applications could be delegated for decision making, as set out above to ease workload. Agreed Cover sheet and extract of minute relevant to certificate only. To be implemented, with immediate effect from April 2010. The Authority while agreeing with this recommendation still requires time to finalise criteria for its full and proper implementation. At this point in time the recommendation referring to delegated powers is not recommended but will be kept under review. Refer to recommendation PR 18c. Time frame for completion by May 2010 subject to delegate powers being finalised. 34 Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited Recommendations Authority's response PR26c Members of relevant Committee / Board carry out site visits on large/complex applications prior to meeting - at least the Chair of the Planning Sub-committee and two other members, which can be on a rota basis. Agreed. The Planning Team is to draft a policy paper, which will afford Board Members site visits in exceptional circumstances, to development sites, for large or complex Section 25 applications. These site visits will be at the discretion of the Board Members. Site visits are primarily the responsibility of the Executive. PR26d The presenting Planning Officer should provide a 3-5 minute presentation on each agenda item prior to discussion, which will inform discussion and decision making. Relevant Planning Scheme policies should be highlighted and included in presentation and reports. A Statutory Instrument by which certain procedures are provided with a legislative basis should be considered by the Board for recommendation to the Minister. Regulations could specifically address procedures and timeframes for validation of Section 25 applications; further information and additional information requests; public consultation and consultation with statutory consultees; reporting procedures to the Board and its SubCommittee; certification; and post-certification compliance. That protocol be agreed to ensure the consistent and reasonable interpretation of Planning Schemes which avoids inconsistent and/or overly liberal interpretations of ambiguous references within the Planning Scheme. The Board should endorse a more prescriptive interpretation of Planning Scheme standards and provisions in terms of permissible building heights, plot ratio's, land use mix, residential mix, social and affordable housing, car parking provision, etc. Agreed Implemented Agreed Implemented This is a matter for the Department of Environment Heritage and Local Government (DoEHLG) DoEHLG to determine. Agreed. An interpretation of one provision of the planning scheme should not compromise the overall integrity of the planning scheme. Time frame for completion by May 2010 PR26e PR27 PR28 35 Implementation Timeframes Implementation ongoing. Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited Recommendations Authority's response PR29 That the Board considers a review of Planning Schemes whereby potentially ambiguous provisions within Planning Schemes are identified (for example plot ratio calculation, references to building heights, land use mix, etc.) are formally reviewed and subjected to ministerial approval. Such a review could provide an appropriate opportunity to revisit issues of planning importance and the overall strategy and future direction for the Planning Scheme areas against progress to date. For instance the issue on land use mix (60/40 ratio) and appropriate plot ratios might be revisited in light of implemented schemes and a survey of floor space and ratio's achieved to date. Agreed. Specific to reviews of existing planning schemes and planning scheme amendments. PR30 The role of the Design Review Panel should be limited to large and complex applications or sites which include landmark buildings. IT System The adoption of standard practices in order to enhance the transparency of the plan making and development control functions of the Authority and to enhance public participation and consultation strategies. To allow electronically submitted third party submissions at the various public consultation phases of the plan making process. To publish a list of third party observations received, together with a Planner's Report and recommendations to the Board addressing the same. To publish relevant minutes of the Board setting out plan making decisions and recommendations to the executive together with Ministerial Guidance received and proposed modifications to the plan / scheme. The role of Design Review Panels is at present under review by the Authority On-going Agreed. This recommendation needs to be fleshed out in terms of national and international best practice and the status of our existing legislation. Time frame for completion by June 2010 Agreed Implemented. Agreed policy as of February 2010. Agreed Implemented. Agreed policy as of February 2010. Agreed Implemented. Agreed policy as of February 2010. PR31 PR31a PR31b PR31c 36 Implementation Timeframes On-going Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited Recommendations Authority's response To publish all relevant information submitted on Section 25 applications on the website, including plans/ drawings and supporting information, requests for additional information and responses. This information is currently available but is protected to authorised users and password holders. To allow interactivity between the Authority's GIS-database (see recommendation above) whereby interested parties can view a map based planning history for the area. To allow the submission of electronic third party observations on applications and to make available all received third party observations online. To publish minutes of Board meetings and decisions of the Board online. Agreed PR32 Consider a review of compliance with conditions relating to the delivery of Social and Affordable housing. PR33 Develop a GIS database of applications, that would aid in identifying relevant certificates and planning histories for a site, and that could potentially be linked to DCC's database. Undertake an upgrade to the system would allow the calculation of the consultation period automatically, which could also provide a prompt to planner's at key stages to chase comments from consultees prior to the finalisation of Planning Reports. Undertake an upgrade to the system to make provision for the automatic calculation of the full range of levies applicable within the Docklands, without the need for manual manipulation. Agreed. This review should form part of the statutory annual report. A monthly Key Performance Indicate is now being maintained in respect of Social and Affordable housing certified and delivered. Agreed PR31d PR31e PR31f PR31g PR34 PR35 Implementation Timeframes Time frame for completion by May 2010 Agreed, IT and GIS update required. Time frame for completion by June 2010 Agreed, IT and GIS update required. Time frame for completion by June 2010 Agreed, subject to the need to redact commercially sensitive matters. It would be the Board's intention to keep the extent of redacting to a minimum. Time frame for completion by May 2010. Ongoing DDDA web site designed to accommodate corporate governance information. Time frame for completion by May 2010 Time frame for completion by June 2010 Agreed Time frame for completion by June 2010 Agreed Time frame for completion by June 2010 37 Appendix 3: Recommendations from Planning Review (PRs) by Declan Brassil & Company Limited PR36 PR37 PR38 Recommendations Authority's response Investigate the possibility of upgrading the planning software to allow interactive information sharing between accounts information and planning, which would enhance certainty over correct levy calculations and collection at the appropriate phases of development. Undertake an upgrade to the system to allow functionality to create and save electronic advisory memorandums following consideration by the sub-committee and Board meetings. Such a function should also make provision for prompts when a final Certificate is generated on the system to act as a reminder for conditions to be added, amended or deleted prior to the signing and sealing of the final Certificate. Upgrade the system software to allow various stages of the planner's report to be saved on the system at key stages. The system should ideally be set up to make a distinction between reports to the sub-committee and reports to the Board and final versions of a report (in accordance with recommendations from the Board) whereby information contained on advisory memo's are incorporated when prompted to do so and in order to generate a Certificate for signing and sealing. ADDITIONAL RECOMMENDATIONS STAFFING Agreed Implementation Timeframes Time frame for completion by June 2010 Agreed Time frame for completion by June 2010 Agreed. It is noted that there is only one version of the Planner's Report, which is distinguished from the preparation stage reports (draft reports) by the signature of the planning officer and the senior planner. The planner's report is presented to the Planning Sub-Committee and all subsequent changes recommended by the Planning Sub-Committee and the Board are captured in advisory memorandum. Time frame for completion by June 2010 Under review. Written procedures in relation to the recruitment and appointment of planning staff to be put in place, including the composition of the interview panel, qualifications, work experience, term of employment, contractual arrangements etc. See also recommendations PR5 and PR8. Time frame for completion by May 2010. 38 Review of DDDA Planning Structure and Functions Appendix A APPENDIX A: DDDA BRIEF AND CORRESPONDENCE FROM THE DOEHLG COMMISSIONING THE REVIEW Draft specification for an independent review of the function and structure of Dublin Docklands Authority Planning powers: The Dublin Docklands Development Authority (DDDA) wishes to conduct a comprehensive review of the Authority's Planning Function to include a review of planning structure, decisions, policies and procedures. A draft of the review will be required by the end of the first week in October. A review of the Section 25 application process was undertaken by Grant Thornton Consultants in association with Tom Philip & Associates, Planning Consultants, immediate to the Judgement of Finlay-Geoghan in Autumn 2008. The recommendations arising from this review were adopted by the Board of the Authority in February 2009. The Authority would now like to review these procedures in the context of a full planning audit. The following framework shall form a guide to review subject to the methodology of the review being agreed by the Board of the Authority. Methodology may include the following audit: • • • • • • • Planning outcomes over the last 10 years reviewed in light of the Judgement, (Section 25 Certifications) The decision making process on Section 25 applications including the role of precedent in arriving at a positive recommendation Reporting relationships The vires of conditions attached to Section 25 certificates Time scales for Section 25 adjudication Stakeholders and third party input in Planning Scheme preparation and Section 25 applications Interview all planning staff past and present and ascertain their views and concerns Review of Grant Thornton procedures document 1. A Legislative Review of the planning powers of the Authority as provided for in the dedicated Docklands Act and as amended. This review should consider the efficacy of the introduction of planning regulations, which would regulate the planning powers of the Authority. 2. Planning Structure and Function Review. a. Planning Structure (and the separation of powers): i. A review of planning structure to include the internal and external relationships of the Planning team, for example the relationship between the adjudicative role of the planning team and the preparation of Planning Schemes and the relationship between the planning team and the development remit of the Authority. Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions ii. iii. iv. v. Appendix A The administrative function in terms of document management and planning procedure administration and the role of this function within the planning team The relationship between the finance team and the planning team in terms of contribution levy calculation and collection The relationship between the legal team and the planning team and the demarcation of legal and planning issues Relationship between the DOE and the Authority and the relationship between DCC and the Authority b. Planning Function: i. A review of the Master Plan and Planning Scheme preparation ii. Implementation of the Planning Scheme; a review of the Section 25 adjudicative function of the Authority iii. Equity in the preparation and implementation, (section 25), of the Planning Schemes and Master Plan for all participants, for example section 25 applicants and equitable outcomes iv. The position of IT in the operation of the planning function and a review of the existing planning IT system Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix A Correspondence from the DoEHLG Comhshaol. Oidhreacht ogus Rialtas Aitiuil Environment. Heritage and Local Government 17 August 2009 Ms Niamh Brennan, Chairperson, Dublin Docklands Development Authority, 52-55 Sir John Rogerson's Quay, Dublin 2. Dear Chairperson, The Department wrote to the Authority on 25 June 2009, setting out the new provisions contained in the updated Code of Practice for the Governance of State Bodies In the letter, the Board was asked to submit a report to the Department providing confirmation of the Authority's compliance with the provisions of the Code at an early date The Minister and the Minister for Finance have recently received correspondence both from the Chairman of the Public Accounts Committee (PAC) and from the Clerk to the Joint Committee on Environment, Heritage and Local Government. The Environment Committee was seeking an independent assessment by the Comptroller and Auditor General (C&AG) of the Authority's accounts for the last 5 years and the PAC specifically sought the inclusion of the Authority within the remit of the C&AG given, inter alia, concerns publicly expressed in relation to standards of corporate governance in the Authority. The Minister believes that the excellent work undertaken in the social and economic regeneration of the Docklands area must be pursued in an open and transparent way that has the confidence of local communities, other stakeholders and the general public. He is. therefore, of the view that a comprehensive review of corporate governance should be undertaken immediately within the Authority with a view to a report being submitted to him no later than early October. This report should include the Board's assessment as to whether a more detailed investigation is warranted on foot of the review's findings Finally, the Minister wishes to thank you and the Board for the very significant personal commitment of time and effort to the work of the Authority, which is a priority project for the City and the State, and to assure you of his continued support in the challenging period ahead Yours sincerely, David Walsh Principal Planning System and Spatial Policy An Romn ComlKhaoil. Oidhreachta agus Rialtais Aitiuil. Teach an Chustaim. Baile Atha Chart) 1 Department of the Environment. Heritage and local Government. Custom House. Dublin 1 Tel 3S3 I 888 2000 LoCall: 1890 20 20 21 Fax: 353 1 888 2888 Web: www environ « Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions APPENDIX B: LIST OF PERSONS CONSULTED DDDA Board Members Mr Mark Griffin, Assistant Secretary, Water & Planning Division, DoEHLG and DDDA Board Member1 Ms Niamh O'Sullivan, DDDA Board Member DoEHLG Mr John Martin, Principal Planning Advisor, Spatial Planning Unit, DoEHLG DDDA Executive Mr John McLoughlin, Director of Architecture (current) Mr Terry Durney, Director of Planning and Technical Services (past) Mr Anthony Abbott King, Senior Planner (current) Mr Cameron Rush, Executive Planner (current) Mr Brian Keaney, Senior Planner (past) Mr Jerry Barnes, Chief Planner (past) Mr Hugh McCann, Planning Administrator (current) Mr David Higgins, Director of Finance (current) Mr Pat Boland, Finance Manager/Project Accountant, (current) Mr Niall Mulcahy, Director of Property/Legal (current) DDDA Council Ms Deirdre Scully, Irish Planning Institute (by telephone) Ms Fionnuala Rogerson, RIAI (by telephone) Ms Betty Ashe, Saint Andrews Resource Centre (by telephone) Mr Seanie Lambe, Inner City Organisations Network (by telephone) 1 Mr Griffin was accompanied by Mr Barry Quinlan Declan Brassil & Company Ltd Ref: 09/075 Appendix Review of DDDA Planning Structure and Functions Mr Charlie Murphy, Irish Nautical Trust (by telephone) Mr Gerry Fay, North Wall Community Association (by telephone) Declan Brassil & Company Ltd Ref: 09/075 Appendix Review of DDDA Planning Structure and Functions I APPENDIX C: CURRENT AND PROPOSED PLANNING STRUCTURE (ORGANOGRAM) Figure C1: Current Planning Structure Declan Brassil & Company Ltd. Ref: 09/075 Appendix C Review of DDDA Planning Structure and Functions Figure C2: I Proposed Planning Structure Source: Working Draft Organisation Structure, Dublin Docklands Development Authority. Declan Brassil & Company Ltd. Ref: 09/075 Appendix C Review of DDDA Planning Structure and Functions Appendix APPENDIX D: OVERVIEW OF THE ACTION AREA PLANS Introduction Action Area Plans are a mechanism used by Planning Authorities to outline a planning framework for the design and layout of a developing area, with regard to local physical, social and economic conditions. An Action Area Plan (AAP) is not a statutory document, unless adopted into the relevant County/City Development Plan. An AAP is primarily intended to function as a co-ordinating tool to provide guidance to stakeholders in setting the appropriate context for individual planning applications within the Plan area where there may be a number of different developers involved and where individual site development is required to have regard to the wider County/City Development Plan strategic objectives. The Dublin Docklands Masterplan identifies a number of land parcels within the Docklands area where Action Area Plans are appropriate in order to guide their future development. There are four Action Area Plans which have been produced to guide the development of: • Ringsend AAP (No Date provided) • East Wall AAP (2004) • City Quay and Westland Row AAP (No Date provided) • Church Road and East Wall AAP (No Date provided) The above AAP's provide limited development standard guidance, reflecting the non-statutory status of such plans. Development control standards are more appropriately taken from the Masterplans and Area Planning Schemes. The principal provisions of each AAP are summarised below. Ringsend AAP This plan area may be identified as the Ringsend/lrishtown village centre and the River Dodder area as it flows through the Dublin Docklands area. Provisions of Ringsend AAP: • Provisions for road realignment at Cambridge Road and Thorncastle Street (at section nearest Bridge Street) and general road improvements to Cambridge Road, Thorncastle Street, Irishtown Road, Ringsend Park, the Grand Canal area and the Dodder pathways. • Investigation of lands in Bremen Road area for the provision of Social Housing (estimated 50 units yield). • Basic design standards, including three storeys plus attic standard for site on Cambridge Road. • Plan area lies within a zone of archaeological interest and regard is required to DCC policies. Declan Brassil & Company Ltd Ref: 09/075 1 Review of DDDA Planning Structure and Functions Appendix East Wall AAP The Plan area comprises lands located to the east of the Royal Canal, between East Wall Road and Sheriff Street Upper, of some 39.8 hectares in extent. Provisions of East Wail AAP • Social Infrastructure - provision of including redevelopment of East Wall Community Centre. • Traffic and Movement - Create an Environmental Traffic Cell, Church road to form central spine movement route. • Mixed uses - Seek provision of mixed-use development in area to achieve sustainable environment integrated living, working, shopping, leisure & community activities. • Building Heights - to generally hold to maximum heights illustrated in Figure 5.11. Proposed schemes will have to comply with control standards and guidelines outlined in the City Development Plan. The North Lotts Planning Scheme allows for five storeys of commercial (plus one set-back storey) or six storeys of residential (plus two set-back storeys). Nine storey heights permitted at junction of East Road & Sheriff St. Upper. • Land use Mix - ensure overall land use mix of 30% commercial (in particular enterprise & small business units) & 70% residential in all new building. However, the East Wall Road is more commercial in nature & higher % of commercial uses will be sought along frontage. • Residential density - not in excess of net density of 150 units per hectare. • Residential mix - mix of unit sizes in residential development in large scale schemes (> 20 units) of minimum 30% family sized units (at minimum of 80sqm). • Residential Open Space - Provision of 8sqm per bed space of open space for new residential development • Individual development sites - proposals for six development sites provided (Wiggins Teape, Print Works, Church Road, East Wall Community Centre, St. Mary's Road North, East Road/Ravensdale Road and Abercorn Road/Church Street East. City Quay and Westland Row AAP The area of this plan is strategically located within walking distance of the inner city and public transport linkages. The northern fringe of the area is defined by the Campshires and the River Liffey and beyond it, on the opposite bank, is the International Financial Services Centre and the ongoing development of the North Docklands. Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix Provisions of City Quay and Westland Row AAP Four precincts are identified within the Plan area, comprising existing residential precincts, Office Precinct, Mixed Use Precincts and the quayside. Generic development advice is given for each precinct. Within these precincts the provision of safe and active streets, focal spaces, the retention of historic fabric and building heights (general maximum building heights for area identified at 4-6 storeys) and landmarks are provided. Two key development sites are identified: • Tara Street Station - potential to develop a landmark building at a height appropriate to the prominent quay location and existing office development on Tara Street. • Pearse Station/Trinity College - mixed use development providing for educational facilities, residential use & offices, with building heights responsive to established heights on Pearse Street and Westland Row. General development standards are also provided to include: • Parking standards to be consistent with DTO Strategy • Where plot ratio of 2.5 or more permitted, parking provision should not be increased to reflect increased densities. • Mobility Management plan required for all development sites above 0.2 hectares • Propose traffic • Link Street provision - North-South link (Westland Row to Lombard Street East) and East-West link (Townsend Street/Hanover Street East and Sandwith St. Upper & Lower). • Provision of Focal Spaces - at Townsend Street/Hanover Street, Erne Street Upper/Hogan Place pocket park, Lombard Street East pocket park and the Campshires. management measures to reduce pedestrian/vehicle conflict; Church Road and East Wall AAP This primary purpose of this plan is to secure the improvement of the main street of East Wall Village (Church Street). Accordingly, the provisions of the AAP are limited in nature, with an emphasis on street improvements, aesthetic improvement of private property, the encouragement of street activity and improved traffic. The following design concepts are promoted: • Reinforce linear quality of street linking to elements along it • Improve quality of surfaces and furniture on street • Use compatible finishes & elements • Provide boundary to street • Emphasise local landmarks/business and social points Remove visual clutter of wirescape Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix APPENDIX E: OVERVIEW OF THE GRAND CANAL DOCK PLANNING SCHEME Introduction to the Grand Canal Dock Planning Scheme The Grand Canal Dock area comprises the lands framing the inner and outer basins of the Grand Canal Dock, covering 38.2 hectares and including 9 hectares relating to water bodies (inner and outer basins). A large proportion of the area fronts either onto the River Liffey, the basins or the River Dodder. The area has been divided into 9 specific development zones with specific characteristics, ownership patterns, and development potentials. Objectives of the Masterplan for the Planning Scheme Area The Planning Policy Framework that informed the preparation of the Grand Canal Dock Planning Scheme was the Dublin Docklands Area Masterplan 1997. The overall objective set by the Masterplan for the area was to seek the development of a new city quarter which responds to the potential of the water bodies and the proximity to the city centre, to seek the social, economic and physical regeneration of these lands, with particular regard to the former Dublin gas production site, and to allocate 60% of the area for residential purposes. Lands within this area benefit of a predominantly Zone 14 Land Use Zoning Objective, the purpose of which is ' To seek the social, economic and physical development or rejuvenation of an area with mixed use of which residential and Zone 6 (enterprise and employment creation) would be the predominant land uses'. The remainder of lands located within the area are mainly subject to a Z2 Land Use Zoning Objective To protect, provide and improve residential amenities'. The only Conservation areas identified in the Masterplan within the area are those specifically related to the water bodies, namely the inner and outer basins, the River Liffey and the Dodder). These areas include the immediate areas fronting the rivers and docks, where protected structures are located. It is noted that the Campshires and Grand Canal Dock waterfront are designated as linear parks under the Amenity Objectives of the Masterplan 2003. C. Procedural Aspects of the Planning Scheme In November 1998, the Dublin Docklands Development Authority commissioned the preparation of a development Framework for the Grand Canal Dock area. It was intended that this Framework would form the basis for a draft Area Action Plan and/or ultimately a Planning Scheme for the area. The Masterplan 1997 advocated the designation of the area as a Section 25 Area. However, the DDDA felt that it was considered inappropriate to pursue this until the remediation process was cleared through the normal planning and waste management licence process. A consultation process with Dublin City Council and other significant interested parties such as Duchas, CIE (major landowner), Dublin Port and Community interests took place in 1999 and 2000. On the 8 th of March 2000, the Minister for the Environment and Local Government specified by Order the Grand Canal Dock area as an area for which the Authority may prepare a Planning Scheme. The Final version was approved by the Planning Sub-Committee in May 2000 and was available for inspection by the public from the 12th of June to the 7 th of July. The submissions received (33) were reviewed, and the draft document was changed and adapted in the light of the submissions (33 variations). The Planning Scheme and related EIS were finalised by the Authority on the 25th of July 2000, submitted to the Minister on the 31s1 of August 2000 and approved by the Minister on the 21st of December 2000, subject to 6 no. Declan Brassil & Company Ltd Ref: 09/075 1 Review of DDDA Planning Structure and Functions Appendix modifications relating to housing strategy and social housing, childcare facilities, Seveso sites, archaeology, building height on the Thorncastle Street fagade of zone 9, and the provisions of the Dublin City Development Plan regarding the design of high buildings The Authority finalised a Draft version of an Amending Planning Scheme in mid-2005. The amendments related to Area 4 as described in the GCDPS2000, an area of 1.90ha bounded by Sir John Rogerson's Quay, Britain Quay, Green Street East and Benson Street. A consultation process took place and 28 no. submissions were received and reviewed. The Draft was subsequently revised and presented to the Board Council. On the 12th of January 2006, the DDDA finalised an amended Planning Scheme and EIS (the amendment relating to), which were referred to the Minister on the 10th of March 2006 and approved by the Minister on the 26th of June 2006, subject to No. 3 modifications relating to residential amenity (daylight, sunlight and shadow projections to be submitted as part of Section 25 applications for residential development, requirements regarding urban design and the clear articulation of semi-public and private spaces where they directly abut public streets, and a minor amendment regarding the location of the new urban space. Provisions of the Grand Canal Planning Scheme, 2000 This section outlines all relevant provisions of the Grand Canal Dock Planning Scheme (as set out by policies, additional written statements or diagrams) that may inform the preparation and assessment of any development proposals in the area. Use Mix Paragraph 3.2 states that an overall mix of 40% commercial and 60% residential will be promoted. Policy 4.10.1 states that the Authority will allocate land use in the mixed fashion shown in Diagram 6 and as articulated in paragraphs 4.1 to 4.9. Diagram 6 shows the proportionate emphasis on land use, with the light blue being predominantly residential and the darkest blue being predominantly commercial offices. Policy 4.10.2 states that the Authority will ensure that a land use mix of 40% commercial and 60% residential based on land area is achieved overall within the Area. There is a prior assumption that this ratio will be met on all sites above 0.2 hectares (0.5 acres). Variations on that ratio may be considered subject to an absolute minimum of 40% residential and 30% commercial with 30% variable where a development: (i) contributes to the enhancement of the area through the provision of public open space; or (ii) provides social and affordable housing in excess of the authority's minimum requirement; or (iii) provides other elements which can be clearly demonstrated to advance the social economic and physical policies of the Masterplan; and where significant falling demand for either particular use can be independently demonstrated. Paragraph 4.1 states that small sites, i.e. those below 0.2 hectares, may be exclusively devoted to a single use, provided the use at ground floor enlivens the street. Density Policy 3.3.4 states that the Authority will apply density standards in line with those indicated in the Dublin City Development Plan, 1999 but ensuring that residential development does not exceed a net density of 247 units per hectare unless it can be clearly demonstrated that good orientation and suitable private open space standards are achieved. This paragraph further states that plot ratios should fall within the indicative range outlined in the Dublin City Development Plan 1999 of 2.5 and 3.1 with higher plot ratios being open for consideration adjoining major public Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix transport termini (in this case, Grand Canal Dock Station). Architects I designers of buildings adjacent to protected structures will be required to demonstrate that their designs are sufficiently respectful of such structures, for example by reducing their heights and/or increasing setbacks, which may involve a reduced plot ratio. Building Height Policy 5.5.10 requires building heights not to exceed the maximum heights shown in Diagrams 11 to 19 inclusive (Diagram 11 being the most relevant regarding Building Heights). It should be noted that the heights are expressed as main parapet heights. The Authority will consider architectural features standing above the main height limitation provided they contribute to the architectural design qualities of the building. It will also consider additional height within the body of a site provided it does not impact on the civic design qualities of the streets and spaces as articulated by the dimensional criteria set out in this chapter. Regarding building heights, additional statements (paragraph 5.3) further detail the provisions of the Planning Scheme, based on specific locations. There are also specific additional provisions regarding landmark buildings, as follows: • The high landmark building shown situated at the junction of Sir John Rogerson's Quay and Britain Quay shall not exceed 60 metres in height above pavement level. • That shown located close to Grand Canal Dock Station shall not exceed 50 metres in height above pavement level. • A suitable slenderness ratio shall be adopted in both cases to create an image of a tall slender building. The slenderness ratio shall not be less than 4:1 in the case of a building having an integrated three dimensional form or 2:1 in the case of a building with a dis-aggregated three dimensional form. As indicated in paragraph 4.9.3 the design of a tall building adjacent to the Grand Canal Dock Station will present a difficult design challenge in view of the proximity of both low rise and the protected structures. Urban Structure, Grain & Building Line Policy 5.5.6 states that the Authority will retain but also develop the original orthogonal road layout characteristic of the area to create a block structure and urban grain as shown in Diagrams 9 and 10. It is noted that Diagram 10 is particularly relevant with regard to interconnectivity and permeability. Policy 5.5.11 requires buildings to conform to the building lines established for the streets and spaces as shown on diagrams 9 to 19 inclusive. Residential Amenity Space Provision The Planning Scheme sets that 8m2 per bed space of private or semi-private open space should be provided (including balconies, roof gardens and courtyards). Social & Affordable Housing Policy 4.10.3 requires the provision of 20% of each typology (size and nature) of new residential units to be social and/or affordable accommodation. Paragraph 4.3 further states that 'twenty percent of each typology (size and nature of units) of residential development should be social / affordable housing. It should not be possible to differentiate social/affordable housing from private by design quality'. Landmark Buildings Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix Policy 5.5.14 seeks the development of landmark buildings in the location shown in Diagrams 11 and 19 (EIS to be provided as part of any Section 5 Application for such a building as per paragraph 5.3.5). It is indicated in the Planning Scheme that the asterisk symbol in Diagram 11 does not indicate a precise location for a high landmark building but shows the general location considered suitable for such a building. Additional requirements regarding slenderness ratio are set out in the Planning Scheme. Glossary & Relevant Definitions Appendix 4 attached to the Planning Scheme sets out relevant elements of definition that may assist the assessment of any development proposals, as follows: Gross Density is defined as the total number of residential units per hectare or acre on a site, but inclusive of half the width of the surrounding or adjoining public roads and public open space Net density is defined as the total number of residential units per hectare or acre on an individual site. Plot Ratio is defined as the expression of the relationship between the area of a site and the total gross floor area of the building(s). It is determined by the following equation: gross floor area of the building(s) / site area = plot ratio. Site Area is defined as including land that lies within the curtilage of the related buildings 4.3.2.3 Grand Canal Dock Amending Planning Scheme 2006 A. Introduction to the Grand Canal Dock Amending Scheme 2006 This section is based on the review of draft and final versions of the Amending Planning Scheme, and the detailed review of the minutes of Board Meetings pertaining to the preparation process of the Planning Scheme. Context of Amendment The amended Planning Scheme relates to Area 4 as described in the Grand Canal Planning Scheme 2000, an area of 1,90ha bounded by Sir John Rogerson's Quay, Britain Quay, Green Street East and Benson Street. There are two landowners in the area including the Authority. The Amending Planning Scheme sets the planning context of the amendment, as follows: • The prominent location of the site will ensure that any significant development of the site will be high profile in nature. The potential for marking the area with a landmark/higher building has been recognised in the current Planning Scheme. The Masterplan identifies a larger legibility objective for this landmark building, acting with other planned high buildings in the Docklands (Docklands North Lotts/Point Square and Grand Canal Docks) as a significant and visual point of reference. Locally, the landmark building will need to provide legibility and position, while its scale should be such that it remains part of the surrounding urban fabric. The final development outcome will need to consider relationships with the planned development on the opposite sides of the water bodies, • Permission was granted for a mixed use development of the site in 2002 (4 smaller, orthogonal blocks and a landmark tower measuring 95m on the corner of Sir Rogerson's Quay and Britain Quay). The permission was never implemented, following the Authority's decision in February 2002 not to cede the portion of land controlled by the Authority to the Applicant. A competition was subsequently launched in Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix 2002 for the design of a landmark tower (the U2 Tower) and studio. The winning entry proposed a 60m tower, with studio at top levels and an associated plinth building. • Significant adjoining and adjacent developments have been certified in accordance with the Planning Scheme which significantly contributed to the positive evolution of the area. Status and Purpose of Amendment The specific purpose of the Planning Scheme Amendment is to recognise the existing and changed development context in the area; acknowledge the significant potential of this strategic and prominent site, and provide more detailed guidance for its planning and development. The Planning Scheme states that unless explicitly so stated, the existing policies and provisions of the Grand Canal Dock Planning Scheme, 2000, remain in effect. Additional policies and provisions have been included, reflecting other updated policies which post-date the original Planning Scheme. Specific Objectives of the Masterplan 2003 for the area The Campshires is Zone 9 To preserve, provide and improve recreational amenity and open space' and the zoning for the remainder of the area is Zone 14 To seek the social, economic and physical regeneration of an area with mixed use of which residential and zone 6 would be the predominant use'; the Water body is covered by Zone 11 To protect and improve canal, costal and river amenities'). Notably, the guidelines identify potential for permeability in new developments and the importance of proportionate building scale and height to spaces. A Dodder bridge is included in the transport objectives. The Masterplan requires this bridge to be public transport, pedestrian and cycle only. B. Provision of the Amending Planning Scheme 2006 Land Use & Use Mix Diagram 2 shows the proportionate emphasis on land use with the light blue being 'predominantly' residential and the darkest blue being 'predominantly' commercial offices. The Planning Scheme further states that the principle of mixed development applies throughout the Amendment area. Diagram 2 also identifies specific locations for Hotel and Cultural uses. Density and Plot Ratio In this regard, the Planning Scheme states as follows: • Plot ratios should fall within the indicative range outlined in the Dublin City Council Development Plan, 2005, and subject to the provisions of Paragraph 15.4.0 of the Development Plan. Comment: It is assumed that the maximum net residential density of 247 units/ha still applies. Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix Building Heights Diagram 5 prescribes maximum numbers of storeys for both commercial and residential developments (depending on options regarding urban structure) with building heights ranging between 5-8 storeys for commercial developments and 6-9 storeys for residential developments. Diagram 5 also identifies several sites for 1 storey commercial buildings, one site for the development of a High Landmark building, and indicates where set back top floors are to be provided. Regarding the landmark building, the amending Planning Scheme states that the main element of the landmark tower should not exceed 100 metres in height to the shoulder above existing street level. The shoulder is the top of the front wall of the building, excluding any parapet. Accommodation above this level must be well set back and consistent with architectural and service elements. Such elements will be permitted subject to an overall building height not exceeding 120metres above existing street level. Specific Requirement for the Landmark Tower - Slenderness Ratio The overall slenderness ratio for the tower will not be less than 4:1. The footprint will need to have regard to the need for public access to the waterfront. The ground floor of the tower should present active uses to surrounding spaces. The architectural design of the tower should show clear consideration of the base, shaft and capital elements. Urban Structure, Massing & Grain The Planning Scheme stresses that a variation to the orthogonal block pattern of the Planning Scheme is appropriate to the area under amendment to articulate the end of the peninsula and facilitate an intensification of activities at a new focal point and public realm. A new diagonal street will traverse the main site connecting the new square at Benson Street and the proposed new urban space and landmark building at the corner of Sir John Rogerson's Quay and Britain Quay. The acceptable general variations on block structure are shown in the accompanying plans and sections. This refers to Diagram 3, where two different options are shown. Additional statements regarding this urban structure stress the following elements: • The block structure will optimise block size and will allow for a series of north-south linear blocks at offsets to give maximum light penetration and vista to the waterfront. • Penetrated by the diagonal route, the blocks will clearly distinguish between public and private space, All block frontages will be required to front public spaces and streets. • The principal frontages to Sir John Rogerson's Quay and Britain Quay will present a larger grain and scale of development, reflecting their prominence and position. In addition to the layout illustrated in Diagrams 3 and 5, the Authority will consider acceptable the closure of one or more of the blocks fronting onto Sir John Rogerson's Quay. • The scale of development to the proposed new urban square will reflect the scale of the space and the need to maximise sunlight and daylight. • The scale of buildings fronting the new streets within the site will be modest, to reflect an intimate human scale that is appropriate to living, residential streets. Building massing will be placed principally along the perimeters of the new blocks, providing for continuous street and space frontage and enclosed private/shared amenity spaces within. Residential Use Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix The written statement stresses that 'residential should be focused on Green Street and Benson Street' and that 'residential should also form an important part of mixed use development to Sir John Rogerson's Quay and Britain Quay'. Additional relevant requirements may be outlined as follows: • 25% of units to be family sized (85 m2 min); • Dual Aspect required except in appropriate circumstances (e.g. difficult corner locations) where single aspect units may be considered (no single aspect north facing units); • 8m2 of private & semi-private open space per bed space required. The Authority will be prepared to reduce this requirement for the residential component of the landmark tower if it can be demonstrated that by the applicant that there is sufficient public open space. • The Authority will require all section 25 applications for residential development (except in the case of south-facing elevations or where directly opposing windows are more than 22 metres apart) to be accompanied by daylight, sunlight and shadow projections to demonstrate that reasonable standards of residential amenity can be achieved. • Residential Amenity: the Planning Scheme states that Paragraph 15.9.2 & 15.9.3 of the Dublin City Development Plan 2005-2011 or any other applicable Ministerial guidelines to apply. Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix APPENDIX F: OVERVIEW OF THE CUSTOM HOUSE PLANNING SCHEME The Customs House Docks area comprises 29.85 hectares situated on the north side of the River Liffey (extending from the Matt Talbot Bridge to the intersection of North Wall Quay and Guild Street) to include the Custom House Docks site, the An Post sorting office and Connolly Station, the former National Sports Centre site and the Sheriff Street flats site and extends to the centre line of the river. Lands within this area and fronting to the quayside are predominately zoned in accordance with land use zoning objective Z5, the purpose of which is To consolidate and facilitate the development of the central area, and to identify, reinforce and strengthen and protect its civic design character and dignity'. The remainder of the Planning Scheme lands are predominately zoned for residential uses in accordance with Zoning Objective Z1, which seeks: To protect, provide and improve residential amenities'. The Planning Scheme was made by the Customs House Docks Development Authority (CHDDA) on the 17th November 1994 and submitted to the Minister on the 19th December 1994. The scheme was approved on the 16th February 1995 by the Minister subject to 4 modifications. On the 2nd April 1998, the CHDDA made an amended Planning Scheme, which was referred to the Minister on the 6th April 1998. On the 26th August 1998 the Minister approved the Scheme, with no modifications. The 1994 Planning Scheme does not provide quantitative guidance with regard to development standards or mix of uses required within the Scheme area. Broad statements are provided in respect of the following objectives and standards: • To encourage mixed use development with emphasis on the IFSC and residential use as a catalyst in developing other uses. • Density - to develop the various sites at a 'reasonably high density appropriate to an area which lies on the fringe or, and forms part of, the natural extension of the City Centre and appropriate to a location close to major public transport nodes'. The Amended 1998 Scheme provides a maximum density for all new residential developments at 160 units per hectare (65 units per acre) gross. Residential density permitted of up to 50 units per acre, and 70 units per hectare at the An Post site. • Plot Ratio - a maximum of 1:2.5 for undeveloped areas (such as Spine Block and National Sports Centre area where zoned for offices or city centre activities, with a maximum site coverage of 80%. In the case of the An Post building the existing plot ratio of 1:2.5 and site coverage of 87.5% is the maximum permissible. No plot ratio or site coverage standards are prescribed for Connolly Station, rather the Planning Scheme relies on proposals for maximum heights and building lines to determine built form. Six character areas identified with the Scheme area. Development control standards are applied to each, with no overarching quantitative guidance for the entire Scheme area. Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix Principal Provisions of the 1998 Amended Planning Scheme The amendment to the 1994 Planning Scheme relates to the area described in the 1994 Planning Scheme and specifically the area of land assigned to cater for the continued development of the financial sector, lands for a major national institution and community training workshop lands. The stated purpose of the Planning Scheme Amendment is: • To amend density standards for new residential developments; • To facilitate further office development within the financial services lands of the Customs House Docks area; • To obviate the need for a major national institution and community training workshop; and • To outline revised building heights allowable and the creation of an Environmental Traffic Cell (ETC) The principal amendments to the Scheme are summarised as follows: • An area of designated residential land, (0.48 ha) is identified for office use to cater for the continued development of services of, for, in support of, or ancillary to the financial sector of the economy. • Sections 3.02 and 3.03 of the amended Planning Scheme exclude the requirement for a major national institution or Community Training Workshop within the Scheme area. • Section 2.01 provides that the maximum permissible density for all new residential developments at 160 units per hectare (65 units per acre) gross. The Gross area for density purposes is taken to include the curtilage plus the area to the centre of adjoining roads, subject to a maximum of 7 metres of road width. • Section 4.01 reiterates the requirement that building heights and street lines conform to those illustrated in Map 5 of the 1994 Planning Scheme. In the assessment of development proposals the Authority will consider, where the overall urban design intent is maintained, marginal departures from the main parapet heights (to a maximum of two metres), where the floor-to-floor heights of particular uses might demand higher than normal heights. • Section 5.01 provides details of the creation of an Environmental Traffic Cell with access from Guild Street via Mayor Street. Map 10 'Revised Traffic Circulation' provides illustrative details. Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions I Appendix G APPENDIX G: PLANNING SCHEME PROCEDURAL CHECKLIST ITEMS 2.0 2.1 REVIEW OF PLANNING SCHEME CONTENT, REQUIREMENTS & STANDARDS Context Planning Context List of Planning Policy Docs referred to in the Planning scheme Physical Context Identification of sub-areas (development areas / character areas) Identification of Conservation Issues Identification of Specificities (Water body etc.) Urban Analysis Movement & Access Services & Utilities 2.2 DATA Prescriptions, Key Standards & Requirements Declan Brassil & Company Ltd. Ref: 09/075 Summary e.g. identification of Character Areas, Gateway Sites, Existing Landmarks, Nodes, Sunny Aspects, Frontage Issues, Views Summary e.g. identification of existing and potential bus corridors / luas / rail + walking distances Summary e.g. Electricity, Gas, Gas depot, Water Distribution, Main sewers, Preferred Outfall Route, Pipeline Gauge COMMENT / DETAILS COMPLIANCE Review of DDDA Planning Structure and Functions I Appendix G Our assessment should address the following: Does the Section 25 complies with this? (summary of conclusions to be included into the Section 25 Review Checklist in Section 2.0 Would it be possible to set a Compliance Checklist based on the Requirements of the Planning Scheme (i.e. is the Planning Scheme clear enough to do so? Interpretation? Reasonable Person's point of view) Is it possible to undertake a reasonable assessment of any S25 based on the requirements of the Planning scheme? Etc. 2.2.1 2.2.2 2.2.3 Nature and Extent of Proposed Development General Principles Policies Other Statements which may inform assessment/interpretation Distribution and Location of Uses General Principles Policies Other Statements which may inform assessment/interpretation Overall Design including maximum heights and external finishes General Principles Declan Brassil & Company Ltd. Ref: 09/075 Review of DDDA Planning Structure and Functions 2.2.4 2.2.5 2.2.6 2.2.7 Appendix G Policies Other Statements which may inform assessment/interpretation Development of Amenities and conservation of architectural heritage and other features General Principles Policies Other Statements which may inform assessment/interpretation Transportation including Roads layout, provision of parking spaces and traffic management General Principles Policies Other Statements which may inform assessment/interpretation Infrastructure and remediation General Principles Policies Other Statements which may inform assessment/interpretation Appendices List of Documents attached Useful definitions? Status of the Glossary? Glossary Declan Brassil & Company Ltd. Ref: 09/075 L Review of DDDA Planning Structure and Functions Appendix H APPENDIX H: SECTION 25 ASSESSMENT CHECKLIST DDJOOT ITEMS Etc. U KEY O A U 1.1 111 Application 1 C « n M C 4 t t D i u i l i 8 Description Name of Appioant 1.1 2 Dale of Aopfcaton 11 3 Date of Daemon is tha DOOA -applicant or/ant vantura. ate it Nat jre ft Description of D»v«(opm«nl as submitted and recorded on to 1 t 5 S*AfM Und/CoinmMaf/nMrtMtf OMfefManfim PWMO BijAOng NllpfNS Efc rany other raftvanf etamenfs to be assessed a g a u r the r M t w n r Pla/Mng Scfwma/ ^ n m n g Scfivm A / t i 1 1 6 Masterplan Appfccatte 1 1 7 Ratotec S » Certificates i.i e Consutaiions & Srte History 1.1 4 Vecara oi obsv.auons Etaann. ate) by Statutory Boovs (DCC. DTO. RPA. DuV* Pert, lamrod Status ol Daemon'' From the i w « oi tha Ha. a MMhonty. Provmon of Opan ipaca Fnannai agrammnt. atC y <28 7 Any reference to Vie agreement on to*1 Other Conditions' 129 129 1 12 9! 2.0 Notification of Oeoaton Notification of Dacwon issued to T h r d Party'' • DaM Notification of D a o s « n .sauad to other Bodas? (DCC. RPA. etc ) - DaM DEVELOPMENT WITH PLANNING SCHEME D B C i assassment of toe oomphanca of the proposed development oath (Mastorptan ft) Ptarvwg Scheme 21 16 D E T A I L S O f F I L E H I S T O R Y ft P R O C E S S j.i 311 Pre-Application Stage Pre-plarvung Discussions 312 Mmutas avatoibla (Data of meetings ft Discussions) Declan Brassil & Company Ltd Ref: 09/075 ADOTTIOMAL D A T A / C O M M E N T S Review of DDDA Planning Structure and Functions 3.2 Application Package 321 Content of Application Package DBCL Comments on Documentation Is then a report /statement submitted by the Apfficant stressing the compbance 0 / the proposed development with the Planning Scheme including any reference to Plot Ratio Budding heights, etc (statement, calculation interpretation)}? 322 Does it pve details regarding Sooai & Affordable Housmg (nature location, dWnDubon. agreement)7 3.3 331 Any reference to a Valuation Process? On when Bas s'' Records on h e 7 3.4 Public Consultation or Other Consultations 3.4.1 Formal Tfwd Party Consultation / Observation Planning Notices'' 34 1 1 3412 Comments on Pubic Notices7 3 4 1.3 TNrd Party Observations7 Response to TNrfl Party Ooearvabons7 3414 inform* Thed Party C o n u U i o r / Observation (Any vtormst obeervetion^corretponoence from f i r t party relating to tie proposed 342 development on tie?) 3.5 Additional Information or U n s o l i c i t e d AJ. 351 Any Request 7 Timeframe 4 Content 352 Any Additional infarmabon (requested of m o A d e d ) submitted7 Tmeframe ft Content Planner's Report ft Assessment 3.6 361 Timeframe for compleaon at report 362 Datey 365 O e c k e d b y / C o n n e r S*gned Oy issues w e d in draft ' final version of assessment incfcjdviQ eomplance ' non comptarce. social ft aftordabto housing ptol ratio calculation. DUttng rwght. proviscn 366 367 Detato of Assessment 367 1 la tfere a condudmg statement m me Planner's report for ooncfcjdmg that tne proposed! development is compfcant witn the ^ a m r g Scheme 7 7 36 7 2 is there a checfcM of what the proposed scheme should need to comply with 7 (interpretation of the Planning Scheme 36 7 3 368 361.1 Is there an assessment of the proposed development against the provisions requrements of the Ptwang Scheme1" Conmtency win accepted 1 best practice'' Reasonable nterpretatton /appdeaton 0/ Scheme iraaaonaO* person's peopeefve not a lawyer is there any References made m the Planner* s report to (he totowmg Comments from statutory Bodies (DCC. OTO. RPA. etc) References to timeframe of recepborweatment 7 PW raoo cacuietxxi 7 3662 Apptcabon to OCC tor same or part of the site 1 Status of D e a i o n ? Any recommendations made Dy the Design Review Group 7 3663 36S CondAons proposed I attached to the Banner's report Are the commons attached to ttm Plannert repon on a separate page* Are the eondtbm attached to the Ptennefs report dHerent, In nature, to those aftached to the Certficafe7 It Yes. ctftoencM oentHed 36.91 Ate the conotons attached to the Banners report as reflected 369 3 r the Planner's assessment 3.7 371 Executive 37 1 1 Minutes evanaae on file 7 Level 3712 Dates of Meetings. Timeframe. Process staye 37 13 Comments Dy Planner 1 Executive idiscusscn) ft Modifications 10 the report 372 Sub Committee 372 1 Minutes avaiaote on M a 7 Level 3722 372 3 Sub-Committee Recommendations 3724 Quorum 7 /Vote 373 Board 3731 Minutes avanatxe on Ma 7 7 Level 3 7 32 Comments trqm Board ft Modifications to ihe report 3733 Board's directions Quorum 7 Vote 7 3734 4.0 Poet Certificate Process (Compliance, correspondence) 4 1 Compliance 42 Correspondence I Minutes of Meetings 5.0 Declan Brassil & Company Ltd Ref: 09/075 Appendix Review of DDDA Planning Structure and Functions Appendix APPENDIX I: EXCERPT, SECTION 6.2 OF THE GRANT THORNTON REPORT. 6.2 "As is" process The map for the "as is" process, as it existed at the outset of the review, based on material supplied by the DDDA is included as Appendix I. In summary, the Section 25 Certification process may be divided into three distinct stages, namely: the stage from receipt of an application to registration; the consultation and planning report stage; and finally the presentations and Board decision stage. In light of the recent High Court judgement and as part of this process review we recommend another stage be added at the beginning of the process, namely a Pre-application stage. Our proposals and recommendations in respect of this stage are outlined below. 6.2.1 Pre-application stage and requirements for applications Prior to the new process, there were some pre-application meetings with potential applicants. Where meetings had been held with potential or intending applicants, they were carried out in an informal manner, and we found no minutes recording such meetings. Any records that may have been kept were not included in the requirements for the "public file" relating to applications. Recommendations that we make in respect of the pre-application stage of the Section 25 process are as follows: Pre-application meetings • That a process for pre-application meetings be established and that a formal minute of such meetings be recorded and kept on file. Meeting should be arranged in advance and held at the DDDA offices. • The parties should acknowledge at the outset of the meeting that any views or opinions expressed are non-binding on the DDDA, as any decision on approval is reserved for the Board. A checklist should be used by the planner during the course of the pre-application meeting to guide the meeting. • Concise and accurate minutes of all pre-application meetings should be prepared, using the standard checklist/template, and the minutes shall he circulated to all parties attending the meeting. This checklist should be completed while the meeting takes place. The checklist should then be photocopied when the meeting is finished and initialled by all attendees. (The purpose of this is to minimise the potential for any subsequent dispute as to what may have been said at any such meeting). • N o undertaking should be made by the DDDA Planner(s) except that any applications will be considered, but that decisions are reserved for the Board only. 6.2.2 Receipt and Registration of applications In this stage of the Section 25 Certification process, the following steps occured, as described in the material provided by the DDDA: • An application was received, either by post or by delivery, and receipt of the application is recorded on a manual ledger; • Details of the application, such as the location of the proposed development, persons making the application, building details etc., were recorded on the Section 25 IT system; • A "hard copy" file was set up, and the documentation relating to the application entered on the file; • The documents were date stamped and forwarded to Mapping; Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix • The Docklands area map was updated with details of the proposed development; • The file was returned to Planning, and the application was then validated; • If the validation was positive, an acknowledgement letter was sent to the applicant, and the application was deemed to be registered; • If the validation could not be completed, the applicant was requested to submit any missing documentation, and on receipt of same, the application was then validated, and an acknowledgement letter issued. • The process of validation consists of comparing the documents submitted as part of the application with a checklist which describes the requirements of an application. Validation means that the documentation relating to each requirement has been supplied as part of the application. Validation does not make any judgement on the quality or technical merit of the documentation, merely that the documentation has been submitted per the application requirements. Registration was a term used within the DDDA to indicate that an application has been submitted, and all the documentary requirements have been fulfilled, at least nominally. Registration means that the application can be submitted for consideration by the planners. Six copies of each application were requested by the DDDA. Following registration, the copies were assigned as follows: A working copy used by the DDDA during its evaluation and assessment; 1. A backup copy to (1) above; 2. A full copy of the application for forwarding to the Dublin City Council Planning Department; 3. A full copy of the application for submission to the Dublin City Council Roads Department; 4. A full copy of the planning application for submission to the Dublin City Council Water and Drainage Department; and 5. A full copy of the application to be forwarded to a conservation specialist. 6. Additional copies may be forwarded to other referral agencies depending on the nature of the individual application. Each of these bodies was requested, in writing, to consider the application that has been made, and to forward any observations or comments in respect of the planning application to the DDDA within a two week period. Following receipt of any observations from these parties, and following consideration of the planning application, the Planner assessed the application and prepared a Planner's Report for submission to a sub-committee of the Board. The process that we have described is relatively simple and straightforward, and if an application is complete, then the time span from receipt of the application to registration can be very short indeed; typically less than one day. From our discussions with the planning department staff, where certain documentation may be missing, it is generally a matter of one or two days before any omissions have been addressed by applicants. In summary, it appears that the initial stage in the Section 25 process is, by and large, completed relatively quickly, and without significant difficulty. Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix We make the following recommendations for the stage covering the period from receipt of applications to registration: Application documentation requirement • We recommend that the DDDA should add a requirement to their application procedure, whereby the applicant will submit a full copy of the application on a CD-ROM, including all drawings, plans, and such like. The purpose of this is to calculate the third party- consultation process described later while ensuring the integrity of the planning file. Preliminary checking • We recommend the preparation of two checklists which should be completed by the DDDA when an application has been received. The first checklist should be used to verify the requirements of the application in terms of the documents and plans to he submitted. The second checklist should allow for a high level review of the compliance of the application with the requirements of the relevant Planning Scheme. This latter checklist relates to matters such as building height; residential to commercial ratio; plot ratio and such matters. In the event that an application is incomplete in respect of the documentation submitted or is clearly not compliant with the relevant Planning Scheme, then the application in full should be returned to the applicant together with copies of the completed checklists which will provide the reasons why the application is not being accepted at this stage. The applicant should be advised that they are free to re-submit their applications at any time in the future, but that future applications will be checked and that any further applications made that are either incomplete or non-compliant or both will be returned. Site Notice • In light of the High Court Judgement, requiring the DDDA to afford landowners whose property rights may be affected the opportunity to make submissions on applications for Section 25 Certificates, we recommend that applicants should be required to place a notice of their intention to make an application for a section 25 certificate on the relevant site. This is to facilitate the process of third party submissions. Our comments and recommendations in respect of third party submissions will be addressed later in this chapter. • Applicants should be required to place a notice of their application for a Section 25 certificate on the relevant site in a manner similar to the existing requirement specified by local authorities, though with different requirements as to the time and timing of the notice. We recommend that the requirements for this notice in terms of size should be similar to that used by planning authorities elsewhere in Ireland. We suggest that the notice should contain the name of the applicant; a succinct description of the proposed development; together with the statement that an application is being made to the DDDA for a Section 25 certificate in respect of the development. The objective of the Site Notice process is to take account of the content of the High Court judgement and to provide adjacent property owners whose property rights may be affected the opportunity to become aware of the application and to make their views, comments or observations known. In our view, it is essential that such property owners should be advised by public notice of a Section 25 Certificate application, and particularly if it is desired to maintain a time efficient process. The site notice requirement must be viewed in the context of the time within which affected parties are required to submit their views comments or observations. Registration and setting up of file Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix • We note that according to the process, the interface with Mapping currently occurs prior to the application being validated, and prior to the application being registered. We question whether it is appropriate that this interface should occur prior to registration. We recommend that Mapping should be involved immediately after registration of the application. • When a paper file (the public file) is set up, a hard copy checklist for the various stages in the planning process is attached to the inside front cover of the blue file. Consideration could be given to this checklist being system based, i.e. that details of the progress of an application should be maintained or retained on the IT system only. While such a system-based checklist is possible in theory, in practice it may be seen to be of limited use within the Planning department. However, we believe that it would be possible that a system-based checklist could be used to generate management information on the performance and processing of the planning department, and such a system-based checklist may be considered. This will ensure the accuracy of information available for inspection. • We recommend that registered applications be also notified to the public by way of the DDDA website. We recommend that consideration be given to providing a facility that allows third parties to register on the website and to receive notification automatically of any planning applications. 6.2.3 Process from Registration to the Planner's Report At the outset of the review, this stage commenced with an acknowledgement letter in respect of the planning application being sent by the Secretary of the DDDA to the applicant. Where necessary, following review of the material submitted, requests for additional information were directed to the persons making the application; Where an application is complete, or when the additional information had been received, the Planner carried out his/her assessment, and the Planner's Report, including recommendation in respect of the decision to be made, and recommendations in respect of conditions were prepared and formalised in the Planner's Report; The Planner's Report, in final form, was prepared for circulation to a sub committee of the Board. Normally this stage of the process took place over a period of the order of three weeks, depending on the scale and quantity of materials received, or on the scale of the planning application. However, no provision was made for the receipt of observations from affected third parties because the relevant legislation does not specify such a process. However, in light of the High Court Judgement referred to above, and in line with similar procedures in the normal planning process, we propose the following in respect of third party observations and submissions: Third party observations and submissions • Third parties whose property rights may be affected should be able to provide observations and/or objections in respect of a Section 25 application received by the DDDA. To facilitate this, a site notice has been recommended and registered applications should be published on the DDDA website, together with summary details of the application as per the current Section 25 IT system input. It should be specified that any third party observations should be received within 10 working days from the day after the date of registration. • Any third party submission received during the 10 working day submission period should be receipted, acknowledged, filed in hard copy on the public file, and should also be recorded on the Section 25 IT Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix system. The details to be recorded in respect of any submissions should be the date as recorded on the submission, the name and address of the person or persons making the submission, together with a description of the submission in terms of whether it is a letter, a report, together with a description in terms of the number of pages contained in the submission. • A listing of submissions made in relation to any application, together with copies of each of the submissions, should be sent to the applicant at the end of the 10 working day submission period. The applicant should be advised that he or she has 10 working days in which to respond to any of these submissions. • If necessary, following review of the material submitted, requests from the DDDA planners for additional information should also be directed to the persons making the application at this stage. The requests for additional information should be at the discretion of the planner. • In their responses to third party observations/submissions and the DDDA request for information, applicants may either (a) leave their application unchanged, (b) modify' their applications, supporting any such proposed modifications with revised drawings where necessary, or (c) withdraw their applications. Any modifications should be submitted within the 10 day working period. Where an application is either left unchanged or modified, the planner should proceed to complete his/her report and make recommendation(s) to the Board. Should a material change occur due to modification the application is brought to the Board. At the discretion of the Board the applicant may be asked to resubmit the application and begin the Section 25 process again. In the case of a withdrawal, the third parties that made observations should be so advised. The website should also be updated to reflect the withdrawal. The timescale for third party consultation is considerably shorter than that provided for in local authority planning procedures. However, those procedures do not have the context of Planning Schemes to guide the planning applications. In our view, property owners have the opportunity to make their views known in respect of the planning scheme during that process. It is our view that any relevant observations should be capable of being prepared and submitted within a ten working day period. Preparation of the Planners' Reports • While this potential response of the applicant may contain some material that will be taken into consideration by the planners in preparing their report and drawing up their recommendation to the Board, nonetheless we consider that the planners should be able to commence a drafting of their report at this juncture. • We recommend that the list of observations maintained on the IT system should be included as an appendix to the Planner's Report and that a copy of all valid third party observations should be provided with the Planner's Report to the Sub-committee and to the Board. • The applications received are allocated to different Planners on the basis of the scale and/or complexity of the application together with the experience of the relevant staff member. However, there is no formal recording of how, or to whom individual applications are allocated for consideration. We consider that it should be possible to record this allocation on the planning IT system. We recognise that the Planning Department is a relatively small unit, and as such, we expect, and understand, that there is considerable inter-team working and consultation. While such consultation should naturally take place, it should be clear which staff member is responsible for ensuring the processing of particular applications. Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix • In our discussions with staff, we were advised that the support provided by the planning IT system at the Planner's Report stage is not user friendly, can be unreliable, and does not enjoy the confidence of the staff involved. We will address these issues in conjunction with other IT issues at a later stage in this chapter. 6.2.4 Presentations and Board decision The current process is as follows: the Planner's Report, containing recommendations and any conditions, both standard and non-standard, is circulated to the planning Sub-committee of the Board of the DDDA. Following consideration and possible amendment, the application and the Planner's Report together with the recommendation of the Sub-committee is then forwarded to the Board and a decision, either to approve the Section 25 application or to reject it is made. The steps in this process as per the DDDA manual are as follows: • The Planner's Report is circulated to the planning sub-committee of the Board prior to the committee's monthly meeting; • The Planner makes a presentation to the sub-committee in respect of the application and the basis for the Planner's Report; • The Sub-committee considers the application and may request that the Planner's Report be extended and/or amended, such as by the addition of further explanation on particular aspects of the Planner's assessment, or the addition of any particular conditions; • The recommendations of the Sub-committee are then attached to the Planner's Report; • The Planner's Report together with the Sub-committee recommendations, is circulated to the members of the Board at least four days prior to the Board meeting; • A member of the Sub-committee presents the application and the recommendations to the Board, and following consideration, the Board issues a decision either for the approval or rejection of the application; the Board may amend the conditions attached in the Planner's Report, or may add new conditions as it sees fit; • In the case of a Board decision to approve an application, the process for the issuance of a certificate is initiated; • In the case where an application is rejected by the Board, the applicant is notified in writing of the decision within one week of the Board decision. In overall terms, this stage in the overall process is typically carried out within a two week period. Items and issues of note in respect of this stage of the Section 25 process are as follows: • The role of the planning Sub-committee of the Board does not appear to have been formalised to the extent that its roles, responsibilities and powers arc clearly defined and are unambiguous. We understand from our discussions, that the functioning of the Sub-committee has developed over time: initially the Sub-committee met immediately prior to the Board, but this evolved into the current practicc whereby the Sub-committee meets approximately one week before the Board meeting; Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix • We note that the recording of Sub-committee amendments is done by way of a memo attached to the Planner's Report. From this, we deduce that the Sub-committee is not amending or changing the Planner's Report, but adding requests for additional information by way of clarification or recommending some additional conditions or amendments to the conditions proposed by the Planner. However, we deduce that the Planner's Report remains a Planner's Report and that it is not modified by the Sub-committee; • We note that following the Board decision to approve an application, that the process of issuance of a certificate is initiated. We have queried as to whether the decision made by the Board is effective in a legal sense when it has been made by the Board, or does it require the adoption of the minutes of that meeting of the Board in order for the decision to have legal standing. We are advised that the decision of the Board is sufficient for the granting of a certificate to have legal status, and that it is not necessary for the Board minutes to be approved in order that a decision to grant or reject has legal standing. We do note that this means that where approval has been agreed by the Board, that a certificate can be issued in a relatively short period of time whereas if a certificate could not be issued prior to the acceptance of the Board minutes, then a substantial delay, possibly of the order of eight weeks at particular times of the year, might occur. However, on issuance, certificates should be dated for the day which they are issued, not the date of the relevant Board meeting. • In our discussions we have found that, due to limitations within the planning IT system, there is an issue in respect of how amendments made by the Board in respect of conditions are recorded. We are advised that when the certificate that is being issued is being drawn up on the supporting IT system, the process within the IT system is that the certificate takes the conditions as they are recorded in the panel's report. However, in the event of the Board amending a condition or inserting a new condition, under this process the certificate would take only the conditions attached to the Planner's Report as presented to the Sub-committee. Consequently, in order to ensure that the correct decisions as determined by the Board are picked up in the certificate, a new version of the Planner's Report is prepared, which includes the conditions as determined by the Board. In this case, the IT system now contains a Planner's Report, which is the one Submitted to the Sub-committee, and also a Planner's Report which is identical save for changes or amendments to the conditions as decided to the Board. This in mrn leads to some inconsistency among staff members as regards what is the proper Planner's Report as per the Section 25 IT system; • This also leads to some inconsistency over what materials are retained on the hard copy file, which is referred to as the "public file" and which is available for public inspection. It will be important to have systems in place to ensure that both the hardcopy and soft copy files are consistent and accurate. Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix APPENDIX J: VALIDATION OF SECTION 25 APPLICATIONS - GUIDANCE FOR DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Introduction This guidance note seeks to support and drive a quicker, more predictable and efficient planning service. Validation represents a decision by the DDDA on a Section 25 Application as to whether the submitted information. With the application is sufficient to allow the Authority to reach an informed decision. This guidance is aimed to support the use of the standard application form. It outlines and provides guidance on the information that should be supplied with Section 25 applications. Information Supporting Applications Different types and scale of application will require different levels of information and supporting documentation to be submitted. In all cases the requirements will be specified by the DDDA. This information is divided into a 'Standard List' that will apply in all cases and 'Additional Items' that may be required in certain circumstances. The Standard List Section 25 Applications for certification are required to be accompanied by a completed DDDA standard application form and a signed and dated declaration of compliance as adopted by the DDDA. Such an application shall also be accompanied by the following plans I drawings: • A location plan - All applications must include copies of a location plan based on an up-to-date map. This should be at a scale of 1:1250 or 1:2500. Plans should wherever possible show at least two named roads and surrounding buildings. The properties shown should be numbered or named to ensure that the exact location of the application site is clear. The application site should be edged clearly with a red line. It should include all land necessary to carry out the proposed development - for example, land required for access to the site from a public highway, visibility splays, landscaping, car parking and open areas around buildings. A blue line should be drawn around any other land owned by the applicant, close to or adjoining the application site. • Site and Other Plans - Copies of the site plan should be submitted, drawn at a scale of 1:500 or 1:200 and should accurately show: a) the direction of North; b) the proposed development in relation to the site boundaries and other existing buildings on the site, with written dimensions including those to the boundaries; c) all the buildings, roads and footpaths on land adjoining the site including access arrangements; d) all public rights of way crossing or adjoining the site; e) the position of all trees on the site, and those on adjacent land that could influence or be affected by the development; Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions f) Appendix the extent and type of any hard surfacing; and g) boundary treatment including walls or fencing where this is proposed. In addition other plans should be submitted and may include: • Block plan of the site (e.g. at a scale of 1:100 or 1:200) showing any site boundaries Copies of plans should show: any site boundaries; the type and height of boundary treatment (e.g. walls, fences etc); the position of any building or structure on the other side of such boundaries. • Existing and proposed elevations (e.g. at a scale of 1:50 or 1:100) These should be drawn to a scale of 1:50 or 1:100 and show clearly the proposed works in relation to what is already there. All sides of the proposal must be shown and these should indicate, where possible, the proposed building materials and the style, materials and finish of windows and doors. Blank elevations must also be included; if only to show that this is in fact the case. Where a proposed elevation adjoins another building or is in close proximity, the drawings should clearly show the relationship between the buildings, and detail the positions of the openings on each property. • Existing and proposed floor plans (e.g. at a scale of 1:50 or 1:100) These should be drawn to a scale of 1:50 or 1:100 and should explain the proposal in detail. Where existing buildings or walls are to be demolished these should be clearly shown. The drawings submitted should show details of the existing building(s) as well as those for the proposed development. New buildings should also be shown in context with adjacent buildings (including property numbers where applicable). • Existing and proposed site sections and finished floor and site levels (e.g. at a scale of 1:50 or 1:100) Such plans drawn at a scale of 1:50 or 1:100 should show a cross section(s) through the proposed building(s). In all cases where a proposal involves a change in ground levels (including OD levels), illustrative drawings should be submitted to show both existing and finished levels to include details of foundations and eaves and how encroachment onto adjoining land is to be avoided. Full information should also be submitted to demonstrate how proposed buildings relate to existing site levels and neighbouring development. Such plans should show existing site levels and finished floor levels (with levels related to a fixed datum point off site) and also show the proposals in relation to adjoining buildings. This will be required for all applications involving new buildings. Levels should also be taken into account in the formulation of design and access statements. • Roof plans (e.g. at a scale of 1:50 or 1:100) A roof plan is used to show the shape of the roof and is typically drawn at a scale smaller than the scale used for the floor plans. Details such as the roofing material and their location are typically specified on the roof plan. • Design and Access Statements A Design and Access Statement must accompany all applications, unless it is an application for a 'minor amendment' to a previously certified scheme. Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix A Design and Access Statement is a short report accompanying and supporting a Section 25 application that should seek to explain and justify the proposal in a structured way. The level of detail required in a Design and Access Statement will depend on the scale and complexity of the application, and the length of the statement will vary accordingly. The Design and Access Statement should cover both the design principles and concepts that have been applied to the proposed development and how issues relating to access to the development have been dealt whilst demonstrating compliance with the Planning Scheme. Applications involving protected structures will also be required to be accompanied by a Design and Access Statement. In particular, such a statement should address: i. the special architectural or historic interest of the building; ii. the particular physical features of the building that justify its designation as a protected structure; and iii. the building's setting. 'Additional Items' that may be required The list below comprises the range of additional information which the DDDA may require before validating an application. Given the generic nature of the list below, it is recommended that the Board adopt specific local lists that are tailored to the types of applications received. The Board might wish to supplement its published lists with guidance setting out thresholds and criteria for information to help applicants to decide whether a particular document needs to be submitted with the application in their particular case. Affordable housing statement Where the Planning Scheme requires the provision of affordable housing, the DDDA may require information concerning both the social and affordable housing and any market housing. For example, the numbers of residential units, the mix of units with numbers of habitable rooms and/or bedrooms, or the floor space of habitable areas of residential units, plans showing the location of units and their number of habitable rooms and/or bedrooms, and/or the floor space of the units. If different levels or types of affordability or tenure are proposed for different units this should be clearly and fully explained. The affordable housing statement should also include details of any consultations with DCC and Housing Association(s) acting as partners in the development. Daylight/Sunlight Assessment In circumstances where there is a potential adverse impact upon the current levels of sunlight/daylight enjoyed by adjoining properties or building(s), including associated gardens or amenity space then applications may also need to be accompanied by a daylight/sunlight assessment. Where a proposed building is likely to overshadow nearby or proposed public spaces and/or private or public open spaces, a Daylight I Sunlight assessment in accordance with the BRE guidelines on daylight assessments will be compulsory. Foul Sewage and Utilities Assessment All new buildings need separate connections to foul and storm water sewers. If an application proposes to connect a development to the existing drainage system then details of the existing system should be shown on Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix the application drawing(s). It should be noted that in most circumstances surface water is not permitted to be connected to the public foul sewers. Where the development involves the disposal of trade waste or the disposal of foul sewage effluent other than to the public sewer, then a fuller foul drainage assessment will be required including details of the method of storage, treatment and disposal. A foul drainage assessment should include a full assessment of the site, its location and suitability for storing, transporting and treating sewage. Where connection to the mains sewer is not practical, then the foul/non-mains drainage assessment will be required to demonstrate why the development cannot connect to the public mains sewer system and show that the alternative means of disposal are satisfactory. If the proposed development results in any changes/replacement to the existing system or the creation of a new system, scale plans of the new foul drainage arrangements will also need to be provided. This will include a location plan, cross sections/elevations and specification. Drainage details that will achieve Building Regulations Approval will be required. If connection to any of the above requires crossing land that is not in the applicant's ownership, other than on a public highway, then notice may need to be served on the owners of that land. An application should indicate how the development connects to existing utility infrastructure systems. Most new development requires connection to existing utility services, including electricity and gas supplies, telecommunications and water supply, and also needs connection to foul and surface water drainage and disposal Two planning issues arise; firstly, whether the existing services and infrastructure have sufficient capacity to accommodate the supply/service demands which would arise from the completed development, and secondly, whether the provision of services on site would give rise to any environmental impacts, for example, excavations in the vicinity of trees or archaeological remains. The applicant should demonstrate: a) that, following consultation with the service provider, the availability of utility services has been examined and that the proposals would not result in undue stress on the delivery of those services to the wider community; b) that proposals incorporate any utility company requirements for substations, telecommunications equipment or similar structures; c) that service routes have been planned to avoid as far as possible the potential for damage to trees and archaeological remains; d) where the development impinges on existing infrastructure the provisions for relocating or protecting that infrastructure have been agreed with the service provider. Heritage Statement (including Historical, archaeological features and Protected Structures I Monuments) The scope and degree of detail necessary in a Heritage Statement will vary according to the particular circumstances of each application. Applicants are advised to discuss proposals with either a planning officer or a conservation officer before any application is made. The following is a guide to the sort of information that may be required for different types of application. For applications involving internal or external alterations or extensions of protected structures, a written statement that includes a schedule of works to the protected structure(s), an analysis of the significance of archaeology, history and character of the building/structure, the principles of and justification for the proposed works and their Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix impact on the special character of the protected structure, its setting and the setting of adjacent I nearby protected structures may be required. A structural survey may be required in support of such applications. For all applications involving the disturbance of ground within an Area of Archaeological Potential as defined in the Dublin City Development Plan or in other areas in the case of a major development proposal or significant infrastructure works, an applicant may need to commission an assessment of existing archaeological information and submit the results as part of the Heritage Statement, Land Contamination Assessment Applications may also need to be accompanied by a land contamination assessment which should include an extended assessment of contamination. Sufficient information should be required to determine the existence or otherwise of contamination, its nature and the risks it may pose and whether these can be satisfactorily reduced to an acceptable level. Where contamination is known or suspected or the proposed use would be particularly vulnerable, the applicant should provide such information with the application as is necessary to determine whether the proposed development can proceed. Landscaping details Applications may be accompanied by landscaping (hard and soft) details and include proposals for long term maintenance and landscape management. There should be reference to landscaping and detailed landscaping proposals which follow from the design concept in the Design and Access Statement. Existing trees and other vegetation should, where practicable, be retained in new developments and protected during the construction of the development. Lighting Assessment Proposals involving the provision of publicly accessible developments, in the vicinity of residential property, a listed building or a conservation area, where external lighting would be provided or made necessary by the development, should be required to be accompanied by details of external lighting and the proposed hours when the lighting would be switched on. These details shall include a layout plan with beam orientation and a schedule of the equipment in the design. Noise Assessment Applications for developments that raise issues of disturbance by noise to the occupants of nearby existing buildings, and for developments that are considered to be noise sensitive and which are close to existing sources of noise should be supported by a noise assessment prepared by a suitably qualified acoustician. Open Space Assessment Application proposals should be accompanied by plans showing any areas of existing or proposed open space within or adjoining the application site. Parking Provision Applications may be required to provide details of existing and proposed parking provision. These details could also be shown on a site layout plan. Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Appendix Photographs and Photomontages These provide useful background information and can help to show how large developments can be satisfactorily integrated within the street scene. Photographs should be provided if the proposal involves the demolition of an existing building or development affecting a conservation area or protected structure(s). Planning Statement of Compliance A planning statement identifies the context and need for a proposed development and includes an assessment of how the proposed development accords with the relevant Planning Scheme and should include details of preapplication discussions and how the proposal address any issues raised prior to the application submission, including details of any community consultation undertaken prior to submission. Alternatively, a separate statement on community involvement may also be appropriate. Site Waste Management Plan Proposed new development should be supported by a site waste management plans. This is intended to encourage the identification of the volume and type of material to be demolished and/or excavated, opportunities for the reuse and recovery of materials and to demonstrate how off-site disposal of waste will be minimised and managed. Structural Survey A structural survey may be required in support of an application if the proposal involves substantial demolition, conversion or alterations I extension of existing buildings, including protected structures. Transport Assessment Transport Assessment (TA) should be submitted as part of any planning application where the proposed development has significant transport implications. The coverage and detail of the TA should reflect the scale of the development and the extent of the transport implications of the proposal. For smaller schemes the TA should simply outline the transport aspects of the application, while for major proposals, the TA should illustrate accessibility to the site by all modes of transport, and the likely modal split of journeys to and from the site. It should also give details of proposed measures to improve access by public transport, walking and cycling, to reduce the need for parking associated with the proposal, and to mitigate transport impacts. Tree survey I Arboriculture implications Where there are trees within the application site, or on land adjacent to it that could influence or be affected by the development (including street trees), information will be required on which trees are to be retained and on the means of protecting these trees during construction works. This information should be prepared by a qualified arborculturist. Ventilation/Extraction Statement Details of the position and design of air conditioning, ventilation and extraction equipment, including odour abatement techniques and acoustic noise characteristics, will be required to accompany all applications for the use of premises for purposes such as restaurants and cafes - use for the sale of food and drink for consumption on the premises, drinking establishments, hot food takeaways - use for the sale of hot food for consumption off the premises and general commercial uses. This information (excluding odour abatement techniques unless specifically required) will also be required for significant retail, business, industrial or leisure or other similar developments where substantial ventilation or extraction equipment is proposed to be installed. Declan Brassil & Company Ltd Ref: 09/075 Review of DDDA Planning Structure and Functions Declan Brassil & Company Ltd Ref: 09/075 Appendix RAY KING & ASSOCIATES Incorporated Public Accountants Registered Auditors 5 Bridge Court, City Gate, St Augustine Street, Dublin 8 Telephone: 01 679 1017 and 01 679 8960 Fax: 01 679 8960 E-Mail: ravkinufcvravkinu.ie and ravking@ireland.com Website: www.ravking.ie DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function - Particularly Procurement and Payroll 1 February 2010 DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function - Particularly Procurement and Payroll CONTENTS 1. Introduction 2. Salary System 3. Salary Increases 4. Contract Renewals 5. Credit Cards 6. Employee Expenses 7. Joint Venture - Becbay Limited 8. Guarantees - Becbay Limited 9. Project Expenditure - Approval 10. Project Files 11. Cheque Payments - Approval 12. Public Procurement Guidelines - Competitive Process 13. Project Expenditure - Public Procurement Guidelines 14. Non Project Expenditure - Public Procurement Guidelines 15. Dublin City Council - Site Subsidy Payments Appendix A - Terms of Reference This report is provided for the information of the Dublin Docklands Development Authority only. The report may not be quoted or referred to without the prior written consent of Ray King & Associates. Ray King & Associates accept no responsibility to any third party in relation to the contents of the report. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function - Particularly Procurement and Payroll INTRODUCTION 1.1 Terms of Reference Substantial funds are expended by the Dublin Docklands Development Authority and my task was to review the finance function in place to approve, authorise and control this expenditure particularly procurement and payroll. Appendix A details the Terms of Reference 1.2 Directors and Employees Formal meetings were held with a number of the present directors and employees of the Dublin Docklands Development Authority including: Professor Niamh Brennan - Chairman Niall Coveney - Director and Chairman of Audit Finance and Risk Committee Gerry Kelly - Chief Executive - Acting Neil Mulcahy - Company Secretary and Director of Property David Higgins - Director of Finance John McLaughlin - Director of Architecture and Planning Loretta Lambkin - Director of Marketing and Arts Olivia O'Connor - Finance Manager Pat Boland - Project Accountant Kay O'Sullivan - Senior Finance Admin & Wages Hugh McCann - Planning Admin Officer Susan Cogan - Manager Architecture and Planning Tom Armstrong - Project Manager Angus Denvir - Senior Architect Joseph O'Sullivan - Senior Architect Chris Garde - Executive Planner Olivia O'Connor - Finance Manager Caroline Buttar - HR Generalist No meetings, formal or otherwise, were held with any former directors or employees. 1.3 Cooperation All of the directors and employees of the Dublin Docklands Development Authority that my staff and I had dealings with were extremely friendly and very helpful and I would like to express my gratitude to them for their cooperation 1.4 Legal Interpretation and Opinion Some of the documentation reviewed in preparing this report consists of legal agreements Neither I, nor any of my staff, are qualified as either a solicitor or barrister. Accordingly, interpretations and opinions expressed are clearly given by a "layman". DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function - Particularly Procurement and Payroll SALARY SYSTEM 2.1 Tasks Undertaken I reviewed the operation of the salary system for 2009. 2.2 Findings Human Resourse Caroline Buttar is notified by the relevant managers of any salary adjustments to be made for their respective staff for any particular period. Salary adjustments can consist of such items as Maternity Leave, Paternity Leave, Reduced Hours etc. This information is e-mailed to the Finance Department. The Finance Department then completes a schedule showing the individual adjustments made during that pay period. The Finance Department then processes the wages using a Sage Payroll Package. A reconciliation is also prepared reconciling the gross wages for the previous pay period with the gross wages for the current pay period and showing the adjustments that have been made. A separate member of staff then reviews the salaries for that pay period. The Director of Finance then approves the salaries for that pay period. 2.4 Recommendations In my view, the salary system works well. Accordingly, I have no recommendations to make. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function — Particularly Procurement and Payroll SALARY INCREASES 3.1 Tasks Undertaken I reviewed the system in place for giving employees salary increases. This also involved increases in car allowances and overtime allowances. 3.2 Findings In the case of the "Towards 2016 Partnership Agreement" increases, there are detailed letters on the personnel files explaining the salary increases. In virtually every other case there is very little information or documentation. In general, there is one page showing the salary increase which has been approved usually by the Chief Executive of the Dublin Docklands Development Authority. This page on occasions contains a phrase or sentence explaining the reason for the increase in salary or car allowance but on other occasions contains no such information. Under Section 34 (2) (b) Dublin Docklands Development Act 1997, the Dublin Docklands Development Authority can engage employees to "be employed on such other terms and conditions as the Authority, with the consent of the Minister and the Minister for Finance, may deternune." The personnel files do not contain any documentary evidence that the Minister has consented to any salary increases, or has received any notification of same. When you see the detailed documentation and information that appears on the Personnel Files when a new employee is engaged, the lack of information and documentation for increases in salary and car allowances is remarkable. 3.3 Recommendations 1. There should be a document completed by the Executive Director with responsibility for the employee recommending a salary increase and giving the reasons why the employee should receive an increase. 2. There should be a document completed jointly by the Executive Director with responsibility for the employee, and the Human Resources Department, benchmarking the amount of the proposed salary, whether it be benchmarked against other salaries paid by the Dublin Docklands Development Authority, other State Bodies, the Civil Service and the Private Sector, and justifying the choice of benchmarking. 3. The Chief Executive should have authority to approve salary increases for staff below the level of Executive Director, so long as the amount of the salary increase does not exceed a particular percentage to be decided by the Executive Board. 4. The Chief Executive should recommend the salary increases for Executive Directors. The documents detailed in recommendations 1 and 2 should also be completed by the Chief Executive for salary increases for Executive Directors. These salary increases should be approved by the Executive Board. 5. In the case of the Chief Executive the Code of Conduct at 14.2 requires a Remuneration Committee to be established to determine any salary increases for the Chief Executive. 6. Salary reviews should take place on set dates, whether that is the anniversary date of an employee's commencement, which means different dates for every employee, or a set date being the same for every employee. In any event, salary reviews should only take place once every year. 7. Naturally, all matters relating to salary reviews at Dublin Docklands Development Authority are subject to the Dublin Docklands Development Authority Act 1997, Government policies, mandates and decisions. 8. The policy adopted on salary increases should be included in the Code of Conduct. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function — Particularly Procurement and Payroll CONTRACT RENEWALS 4.1 Tasks Undertaken I reviewed the system in place for giving employees contract renewals and extensions. 4.2 Findings The only documentation that appears on Personnel Files in respect of contract renewals and extensions is the new contract itself. Under Section 34 (1) Dublin Docklands Development Act 1997, the Dublin Docklands Development Authority may appoint "such and so many persons to be employees of the Authority as it, subject to the consent of the Minister and the Minister for Finance as to number and classes of such employees, from time to time thinks proper " The personnel files do not contain any evidence that the Minister has consented to any contract extension or renewal, or has received any notification of same. On 27 March 2009 the Government announced the " Implementation of Moratorium on Recruitment and Promotions in the Public Service". However, one contract was renewed on 13 April 2009. There was no evidence on the relevant personnel file that permission for this renewal was obtained under the terms of the moratorium. When you see the documentation and information that appears on the Personnel Files when a new employee is engaged, the lack of information and documentation for contract renewals and extensions is remarkable. 4.3 Recommendations 1. Three months before a contract expires, there should be a document completed by the Executive Director with responsibility for the position stating whether the position is still required and, if it is, justifying why. 2. If the Executive Director states that the position is still required, the Executive Director should then complete a document making recommendations, and justifying same, as to the filling of the position, whether that be by the existing employee, another employee or a new employee. 3. The Chief Executive should review items 1 and 2, add his own recommendations, and present the documents to the Board. The Board should then make a decision. 4. In the case of Executive Directors, items 1 and 2 should be completed by the Chief Executive and item 3 by the Chairman. 5. In the case of the Chief Executive the Code of Conduct at 14.2 requires a Remuneration Committee to be established and this policy should be extended to deal with any contract renewal for the Chief Executive. 6. Naturally, all matters relating to contracts and employment positions at Dublin Docklands Development Authority are subject to the Dublin Docklands Development Authority Act 1997, Government policies, mandates and decisions. 7. The policy adopted on contract renewals should be included in the Code of Conduct. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function — Particularly Procurement and Payroll CREDIT CARDS 5.1 Tasks Undertaken 1 reviewed the statements and supporting documents for the three credit cards for 2008 and 2009. 5.2 Findings The vast majority of expenditure is vouched and approved. There were only a few exceptions. All cash withdrawals, which tended to be foreign currency, were vouched and reconciled. 5.3 Recommendations 1. Cash withdrawals should not be allowed. 2. The travel credit card is presently controlled by the Finance Department. The policy of who is entitled to use the travel credit card, and their limit of expenditure, should be reviewed and committed to writing. 3. A policy needs to be prepared and committed to writing, on the level of expenditure allowed on Hotels, Meals, Flights etc. 4. Naturally, all matters relating to employee expenses at Dublin Docklands Development Authority are subject to the Dublin Docklands Development Authority Act 1997, Government policies, mandates and decisions. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function — Particularly Procurement and Payroll EMPLOYEE EXPENSES 6.1 Tasks Undertaken 1 reviewed the employee expense claims and supporting documents for 2008 and 2009. 6.2 Findings The vast majority of expenditure is vouched and approved. There were only a few exceptions. 6.3 Recommendations 1. The policy of who is entitled to claim expenses, and their limit of expenditure, should be reviewed and committed to writing. 2. A policy needs to be prepared and committed to writing, on the level of expenditure allowed on Hotels, Meals, Flights etc. 3. Naturally, all matters relating to employee expenses at Dublin Docklands Development Authority are subject to the Dublin Docklands Development Authority Act 1997, Government policies, mandates and decisions. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function - Particularly Procurement and Payroll JOINT VENTURE - BECBAY LIMITED 7.1 Background The Executive Board made a number of decisions in October 2006 which lead to them entering into a Joint Venture for the purchase of the former Irish Glass Bottle site. Becbay Limited was incorporated for the purposes of this Joint Venture, with the Dublin Docklands Development Authority acquiring 26% of Becbay Limited. Before entering into this Joint Venture the Executive Board obtained legal advice from A & L Goodbody and tax advice from Price Waterhouse Coopers. Dublin Docklands Development Authority did not obtain a professional valuation of the site at the time of the Joint Venture. A paper presented to the Board on 3 October 2009 did, however, refer to an informal valuation. A draft of a valuation prepared in November 2006 for the financial institutions by CB Richard Ellis Gunne exists, although it is not clear whether this is the final document. A further valuation was prepared by the same company in January 2008. The Executive Board initially entered into a Heads of Agreement, a Subscription Agreement and subsequently a Shareholder's Agreement with the Joint Venture Partners. Dublin Docklands Development Authority initially invested €32,808,546 in Becbay Limited, by way of Shares and Loan Stock 7.2 Purchase Price The initial cost of the transaction was €426,800,487 as follows: Details Pure hase Price Stamp € 411,987,00 0 Dutv 12,458,487 Profes sional Fees 2,355,000 Total 426,800,4 87 7.3 Initial Investment The initial investment in the joint venture was as follows: The balance of the funds necessary were obtained by Becbay Limited borrowing money from Anglo Irish Bank Corporation pic 7.4 Limitation of Exposure Clause 4.2 of the Heads of Agreement states: " the total recourse to the DDDA under any loans to JVCO, guarantees or on any account whatsoever in respect of the acquisition of the Company or otherwise shall not in aggregate exceed €35 million " Clause 2.3 of the Shareholders Agreement states: "DDDA's Liability: Notwithstanding any other provision of this Agreement and the Subscription Agreement to the contrary. the parties hereto hereby expressly agree and acknowledge that the total aggregate liability of the DDDA to the other parties hereto, and to all third parties; 2.3.2 in relation to the acquisition of the Target and/or the operation of the Company shall not exceed €35,000,000 in aggregate." Clearly the intention of the Dublin Docklands Development Authority was to limit its exposure to €35m and that was agreed to by its Joint Venture partners as they signed both the Heads of Agreement and the Shareholder's Agreement. However, both the Heads of Agreement and the Shareholder's Agreement were only agreements between the Joint Venture partners and are, therefore, not binding on any other party, whether that is Anglo Irish Bank Corporation pic or any supplier. 7.5 Interest Clause 2.1.7 of the Shareholder's Agreement states: "Each of the Investors agrees and acknowledges that they will, for so long as they, or any member of their Shareholder Group holds shares, for the first two years following Completion, fund their pro rata portion of the interest charged by the Banks on the Debt Financing." Clause 2.1.8 of the Shareholder's Agreement states: "Each of the Investors agrees and acknowledges that the arrangement fee for the Debt Financing, being €4,750,000, shall be treated and paid as part of the Debt Financing of the company." Accordingly, the Dublin Docklands Development Authority agreed to loan funds to Becbay Limited to pay 26% of the interest payable to Anglo Irish Bank Corporation pic during the first two years on the "Debt Financing" and that "Debt Financing" included not only interest on the initial loan but also any interest on the arrangement fee. 7.6 Conflict The loan from Anglo Irish Bank Corporation pic to Becbay Limited was initially €293m and the projected annual interest on this loan was approximately € 16m. Accordingly, it was clear at the commencement of this Joint Venture that the funds to be loaned to Becbay Ltd by the Dublin Docklands Development Authority for its interest contribution over the first two years was approximately €4m a year or €8m in total. It was obvious, therefore, that the amount invested in and/or loaned to Becbay Limited by the Dublin Docklands Development Authority over thefirst two years was going to exceed €40m, being an initial €32.8m and subsequent loans to meet interest payments of approximately €8m. In fact the total amount invested in and loaned to Becbay Ltd as at 31 December 2008 is approximately €47m, although I understand that this amount has been reduced during 2009. 7.7 Conclusion One conclusion is that the wording of the Shareholder's Agreement is incorrect and that the limit of €35m in Clause 2.3 was not intended to include loans to Becbay Limited for interest for the first two years under Clause 2.1.7 An alternative conclusion is that the Dublin Docklands Development Authority, having invested €32.8m in Becbay Limited at the commencement of the Joint Venture, should have restricted further loans to Becbay Limited to a further €2.2m. If this conclusion is correct then: (a) The additional €12m or so, bringing the investment up to €47m, should not have been loaned by the Dublin Docklands Development Authority to Becbay Limited. (b) If Becbay Limited was not in a position to pay the full amount of interest to Anglo Irish Bank Corporation pic, as a result of this limitation of loans received from the Dublin Docklands Development Authority, then Anglo Irish Bank Corporation pic could have called in the guarantee given by the Dublin Docklands Development Authority. Only the people involved in the decision making or negotiations involved in this Joint Venture can state which of the two conclusions is correct. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function - Particularly Procurement and Payroll GUARANTEES - BECBAY LIMITED 8.1 Background As part of the financing of Becbay Limited, the Joint Venture partners agreed to provide guarantees to Anglo Irish Bank Corporation pic. 8.2 Dublin Docklands Development Authority Guarantee 9 November 2006 Clause 2.1 states: "Maxinwm liability of the Guarantor hereunder in respect of: i. h. principal amounts due by Borrower under the Facility Letter shall be €26,000,000; and. interest due by the Borrower under the Facility Letter shall be equal to 26% of such interest." 8.3 Dublin Docklands Development Authority Guarantee 29 January 2007 This replaced the guarantee given on 9 November 2006 and clause 2.1 states: "Maximum liability of the Guarantor hereunder in respect of: i ii- principal amounts due by Borrower under the Facility Agreement shall be €26,000,000; and interest due by the Borrower under the Facility Agreement shall be equal to 26% of such interest." This guarantee did not change the exposure of the Dublin Docklands Development Authority. 8.4 Dublin Docklands Development Authority Guarantee 27 March 2009 This guarantee replaced the guarantee given on 29 January- 2007 and clause 2.1 states: "Maximum liability of the Guarantor hereunder in respect of i. ii- principal amounts due by Borrower under the Facility Agreement shall be €29,123,000; and interest due by the Borrower under the Facility Agreement shall be equal to 26% of such interest." Clause 2.2 states: "... Guarantor hereby irrevocably and unconditionally agrees... that it will pay or cause to be paid to the Borrower... an amount equal to 26%of the amount of such Cost Overrun..." The Facility Agreement between Becbay Limited and Anglo Irish Bank Corporation defines "Cost Overrun" as "...any cost, expense or liability incurred,or to be incurred or suffered,in connection with the Works to the extent that such cost, expense or liability is not or cannot be funded from the proceeds of drawdown under Facility" This guarantee did extend the exposure of the Dublin Docklands Development Authority in two ways: (a) The principal amount guaranteed increased from €26,000,000 to €29,123,000. (b) 26% of any Cost Overrun was guaranteed. 8.5 Conclusions (a) There is no financial limit on the amount of interest guaranteed. (b) There is no financial limit on the amount of the cost overrun guaranteed. (c) The partners in the Joint Venture agreed in the Shareholders Agreement to loan money to Becbay Limited to pay interest on the "Debt Financing" over the first two years. If one of the other joint Venture partners failed to provide such loans to Becbay Limited, there would have been a greater amount of interest outstanding. Accordingly, the 26% guaranteed by the Dublin Docklands Development Authority could have been a greater amount, and could have included, in effect, interest that was the responsibility of one of the other Joint Venture partners. However, the Dublin Docklands Development Authority had two Directors on the board of Becbay Limited. These two Directors clearly provided a protection to the Dublin Docklands Development Authority, as they would have been aware immediately if this situation had arisen. Thus steps could then have been taken by the Dublin Docklands Development Authority to minimise any such exposure. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function - Particularly Procurement and Payroll PROJECT EXPENDITURE - APPROVAL 9.1 Tasks Undertaken I reviewed details of the expenditure on the various projects that were undertaken during 2008 and 2009 and how that expenditure had been approved, authorised and managed. 9.2 System in Place The Dublin Docklands Development Authority prepares an annual budget and this budget is approved by the Executive Board. This budget will include provisions for expenditure for various projects. Once a project has been included in the budget it is given a project number and approval to spend up to €30,000. This initial expenditure is basically to fund a feasibility study. Expenditure approval can be increased from €30,000 up to a maximum of €260,000 if a Project Approval Document "PAD" is completed. The PAD is required to be signed by the Project Director, Director of Finance and the Chief Executive. If further expenditure is to take place a paper must be brought to the Executive Board for further approval. At that stage the Executive Board approves a specific amount of expenditure, which may or may not be the amount detailed in the paper presented to the Executive Board. A detailed Project Pack is prepared on a monthly basis by the Finance Department recording the position on each of the projects. Amongst other information the Project Pack shows the level of expenditure approved, whether it is €30,000, €260,000 or a higher amount, and the actual expenditure incurred to that date. The Project Pack does not give a breakdown of the expenditure but simply shows the total approved and incurred 9.3 Findings In the case of 16 of the projects reviewed total expenditure incurred has exceeded the total expenditure approved at some time during 2008 and 2009. Of those 16, in 6 projects retrospective approval was subsequently obtained for expenditure already incurred. In only 9 projects were PADs available and in the case of 3 of those projects only one signature appeared on the PADs instead of the required 3 signatures. If the Project Packs show that the total expenditure incurred is less than the total expenditure approved it does not necessarily mean that the expenditure is within the correct approval limits. For instance, the expenditure incurred on one category, say quantity surveyor's fees, could exceed the expenditure approved for quantity surveyor's fees even though the total expenditure incurred for the project is less than the total expenditure approved. It was suggested to me that in the case of a number of projects it was always known and agreed that the expenditure could take place and that the absence of the correct paperwork to approve the expenditure was an oversight which should have been rectified. However, any financial system which allows expenditure without the completion of the correct paperwork does not provide sufficient financial control. 9.4 Recommendations 1. Project Packs (a) The Project Packs are an excellent form of monthly report which clearly reflect pertinent details of the expenditure on the various projects. The Executive Board needs to decide who should review and approve the Project Packs monthly whether it be the Executive Board itself, the Audit Finance and Risk Committee, the Chief Executive or a combination thereof Part of that monthly review should be to take action where any project shows expenditure incurred that is greater than the expenditure approved. 2. Project Approval Documents (a) All PADs should be signed by the Project Director and the Chief Executive before the expenditure is incurred. A third signature, being the Finance Director, seems excessive. There should be at least two copies of the PAD signed, with one copy being retained in the Finance Department and one copy on the Project File. 3. Purchase Orders (a) Purchase Orders should be completed for all project expenditure (b) Clearly expenditure should not be allowed to exceed the level of approval for any project. Accordingly, the Executive Board needs to confirm which of the employees has responsibility for controlling the level of expenditure incurred, and ensuring that it is not greater than the expenditure approved. By the time the cheque request reaches the Finance Department it is too late to prevent the expenditure as the goods and/or services have already been received, usually in accordance with a Purchase Order Financial control needs to be exerted at the time the goods and/or services are being ordered and the Purchase Order is being signed. That means that the responsibility in thefirst instance should be given to the relevant Project Director. (c) When a Purchase Order is being presented to a Project Director for approval, a document needs to be presented to the Project Director showing both the expenditure approved for the project and the expenditure incurred to date. This document should not simply reflect the total amount of expenditure incurred and compare it with the total expenditure approved. It should analyse the expenditure approved over the appropriate categories and compare that analysis with the actual expenditure incurred over the same categories. For instance, if the expenditure that has been approved covers say construction, quantity surveyor's fees, architect's fees etc., then the expenditure approved in each category and the expenditure incurred each category should be compared. This document should be prepared by the Project Manager, approved by the Project Director and finally retained on the Project File. (d) Clearly, the Project Director cannot sign a Purchase Order that increases expenditure on a project beyond the expenditure level approved. Accordingly, the presentation of such a Purchase Order to the Project Director should automatically instigate an investigation into the project and the expenditure both approved and incurred. If necessary, this investigation could result in the preparation of the relevant documentation to increase the level of expenditure approval, whether that is a PAD or a paper to the Executive Board. (e) The Executive Board might give consideration to deciding that Purchase Orders over a certain value need to be signed by both the Project Director and the Chief Executive. As PADs for expenditure between €30,000 and €260,000 presently are meant to be signed by the Project Director, the Finance Director and the Chief Executive, it seems only logical that Purchase Orders over €30,000 and up to €260,000 should be signed by at least the Project Director and the Chief Executive. For consistency, whatever the signing requirements are for PADs, whether that is two or three signatures, should be repeated for Purchase Orders. (f) At present, if over €260,000 is to be spent on a project a paper has to be prepared for the Executive Board and the expenditure has to be approved by the Executive Board. It seems logical, therefore, that a Purchase Order for more than €260,000 should not only be approved by the Project Director and the Chief Executive but also be approved by the Executive Board. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function - Particularly Procurement and Payroll PROJECT FILES 10.1 Tasks Undertaken I reviewed the projectfiles for the various projects that were undertaken during 2008 and 2009. 10.2 System in Place There does not seem to be a uniform system of project files in operation Each Project Manager maintains their own system whether it is electronic, paper or a combination of same. 10.3 Findings Where a Project Manager had been in charge of a project from the commencement they knew well the history and status of the project and where to find a copy of a particular document, either electronically or on paper. However, in the case of a number of projects, the current Project Manager was not the Project Manager from the commencement of the project, either because of a change of structure or the departure of staff. In those cases, the knowledge of the current Project Manager, either about the history of the project or particular documents, was notfirst hand and, therefore, not always as detailed, which is very understandable. 10.4 Recommendations 1. Filing System (a) There should be a universal file system for certain basic information on each project. That makes sense in any organisation but is particularly relevant at present where staff are, and will be, leaving the Dublin Docklands Development Authority, leaving the staff remaining to take over projects. (b) The universal file system should contain standard sections for a number of aspects of any project. In the first instance the Project Managers and Project Directors would be best placed to decide the kind of information and documentation that should be included in a universal file system, as they are the people who would be using the files most regularly. However, it seems to me that the following documents would be amongst those that would be relevant; (i) Original Budget (ii) PADs completed for Project (iii) Papers submitted to the Executive Board (iv) Copies of Purchase Orders issued on Project (v) Continuous summary of expenditure approved and expenditure incurred (vi) Tender Forms issued (vii) Tender Appraisal Forms (viii) Successful Tenders (ix) Schedule of Unsuccessful Tenders DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function — Particularly Procurement and Payroll CHEQUE PAYMENTS - APPROVAL 11.1 Tasks Undertaken I reviewed the major cheque payments, and their supporting documentation, issued during 2008 and 2009. All manual cheques of €10,000 and over were reviewed. All computer cheques of €50,000 and over were reviewed. In addition the computer cheques between €25,000 and €49,999 were reviewed. Some, but not all, of these cheques were reviewed. 11.2 System in Place The system has changed over 2008 and 2009. A Purchase Order system was brought in 2008, initially for expenditure by the Social Regeneration Section and then by the other Sections. Now Purchase Orders should be completed for all expenditure except for legal costs, utilities and facilities. From February 2009, all Purchase Orders over €5,000 were to be approved by a Director. However, since July 2009 all Purchase Orders are to be approved by a Director. 11.3 Findings In the case of the manual cheques of €10,000 and over, there were only four payments where documentation could not be found. Although most cheques were approved and authorised by separate employees, there were a number of payments that only had one or the other and some of those payments were large. There were no Purchase Orders in place. In the case of computer cheques of €50,000 and over there was always supporting documentation available, being invoices on most occasions. However, there was not always a Purchase Order in place. All payment documentation was approved and authorised by separate employees. However, there were a large number of employees who were involved in approving payments. In the case of computer cheques between €25,000 and €49,999 which were reviewed, there was always supporting documentation, being invoices. However, there was not always a Purchase Order in place. All payment documentation was approved and authorised by separate employees. However, there were a large number of employees who were involved in approving payments. 11.4 Recommendations 1. Purchase Orders - General (a) Purchase Orders should be completed for all expenditure where goods and/or services are supplied to the Dublin Docklands Development Authority, other than utilities. (b) The Executive Board might give consideration to deciding that Purchase Orders over a certain value need to be signed by both the Project Director and the Chief Executive. As PADs for expenditure between €30,000 and €260,000 presently are meant to be signed by the Project Director, the Finance Director and the Chief Executive, it seems only logical that Purchase Orders over €30,000 and up to €260,000 should be signed by at least the Project Director and the Chief Executive. For consistency, whatever the signing requirements are for PADs, whether that is two or three signatures, should be repeated for Purchase Orders. (c) At present, if over €260,000 is to be spent on a project a paper has to be prepared for the Executive Board and the expenditure has to be approved by the Executive Board. It seems logical, therefore, that a Purchase Order for more than €260,000 should not only be approved by the Project Director and the Chief Executive but also be approved by the Executive Board. 2. Purchase Orders - Legal Costs (a) At present, Purchase Orders are not issued for Legal Costs. The logic is that it is usually not possible to quantify the total cost of the legal services to be provided, such as with Court proceedings. However, substantial legal costs have been incurred by the Dublin Docklands Development Authority during 2008 and 2009 and it is, therefore, important that a system of control is implemented. Purchase orders should be completed for all Legal Costs detailing the tasks to be undertaken, the hourly charge out rates to be applied by the Solicitors and the frequency of invoicing. (b) Details of charge out rates of the major firms of solicitors have already been obtained by the Company so this information is readily available. Naturally, if these rates are changed by the solicitors involved they will have to notify this fact to the Dublin Docklands Development Authority and a fresh Purchase Order will have to be issued. (c) With regard to frequency of invoicing, the Purchase Order could provide for invoicing periodically say every month or quarter. Alternatively, invoicing could take place based on the build up of fees, say every time they reach €20,000, €30,000 or €50,000. Such regular invoicing will enable the Dublin Docklands Development Authority to monitor legal costs as they are incurred (d) An indication should also be obtained from the Solicitors as to the possible level of fees, whether that is under €30,000, between €30,000 and €260,000 or over €260,000. This will determine who should approve the Purchase Order, whether it is the Project Director alone, where the fees are likely to be less than €30,000, the Project Director and the Chief Executive, where the fees are likely to be between €30,000 and €260,000, or the Executive Board, where the fees are likely to be more than €260,000. (e) All of these measures will give the Dublin Docklands Development Authority a measure of control, and a greater amount of information, on the legal costs being incurred. 3. Cheque Requests (a) Requests for cheques should only be made were a Purchase Order has been issued and an invoice received. The exception to this will be in the case of utilities, where only an invoice will have been received. (b) In the first instance, the invoice received should be approved by the Project Director who issued the Purchase Order. In the case of utilities, the Director of Finance should request the cheque (c) Where the cheque request is for more than €30,000 it should also be approved by the Chief Executive. (d) Where the cheque request is for more than €260,000 it should also be approved by the Executive Board or one of the Directors nominated by the Executive Board. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function — Particularly Procurement and Payroll PUBLIC PROCUREMENT GUIDELINES - COMPETITIVE PROCESS 12.1 Key Principles The "Public Procurement Guidelines - Competitive Process" state a number of key principles including: "the public procurement function is discharged honestly, fairly, and in a manner that secures best value for public money" "a competitive process carried out in an open, objective and transparent manner can achieve best value for money in public procurement" "Essential principles to be observed in conducting the procurement function include nondiscrimination, equal treatment, transparency, mutual recognition, proportionality, freedom to provide services and freedom of establishment." 12.2 Public Procurement - Type of Service The Public Procurement Guidelines - Competitive Process divides services in to Priority Services and Non-Priority Services. Priority services, which are subject to the full scope of EU procurement Directives, include: Maintenance Financial Services Accounting and Auditing Advertising Non-priority services, which are not subject to the full scope of the EU procurement Directives include: Rail Transport Services Legal Services Personnel Placement Investigation and Security Services 12.3 Contracts Under €5,000 When a supply or service is less than €5,000 it may be purchased on the basis of verbal quotes from one or more competitive suppliers. There is no requirement to advertise or prepare tender documents for such supplies or services. The lowest or most suitable quote should be chosen. 12.4 Contracts between €5,000 and €50,000 When a supply or service is between €5,000 and €50,000, specifications can be sent via fax or e-mail to at least three suppliers or service providers. The contract can also be advertised on etenders.gov.ie or any other relevant media, although this is not mandatory. The offers should be evaluated using a scoring system and the most suitable selected. The unsuccessful bidders should be notified of the outcome. 12.5 Contracts over €50,000 When a supply or service is over €50,000, tender documentation must be drawn up. The contract should then be 1. Advertised on etenders.gov.ie, or other appropriate media, and/or 2. At least five suitable tenderers should be invited to submit a tender. The tenders should then be evaluated, based on either price or MEAT (Most Economically Advantageous Tender). If the basis is MEAT, then a scoring system should be used. The unsuccessful bidders should be notified of the outcome. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function — Particularly Procurement and Payroll PROJECT EXPENDITURE - PUBLIC PROCUREMENT GUIDELINES 13.1 Tasks Undertaken I reviewed the project files for the various projects that were undertaken during 2008 and 2009. In total there were 24 projects. Files were presented in the case of 22 of the projects. Of those 22 projects, there was little or no expenditure in the case of 2 projects, and feasibility expenditure in the case of 5 projects. That left 15 projects to be reviewed. 13.2 Contracts under €5,000 Docklands North Lotts, reflected 5 contracts under €5,000, ranging in value from €1,600 to €3,750. There was no evidence on the files of any written tenders or quotations for these contracts. However, under the Public Procurement Guidelines such contracts can be awarded on the basis of a verbal quotation. Accordingly, there is no evidence of a breach of the Public Procurement Guidelines. 13.3 Contracts between €5,000 and €50,000 22 contracts were reviewed and in the case of 20 of the contracts the procurement complied with the Public Procurement Guidelines. Docklands North Lotts, reflected 10 of these contracts which were direct appointments for one off specialist services. In the case of Custom House Landscaping there was no documentation available in respect of one contract of €7,275. In the case of BJ Marine JV there was no documentation available in respect of one contract of €6,833. 13.4 Contracts over €50,000 37 contracts were reviewed and in the case of 36 of the contracts the procurement process complied with the Public Procurement Guidelines. In the case of Custom House Landscaping there was no documentation available in respect of one contract of €75,000. 13.5 Conclusion The results detailed in this report show that the Dublin Docklands Development Authority has complied with the Public Procurement Guidelines for contracts awarded on projects during 2008 and 2009. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function — Particularly Procurement and Payroll NON PROJECT EXPENDITURE - PUBLIC PROCUREMENT GUIDELINES 14.1 Tasks Undertaken 1 reviewed the documentation available in respect of payments made to 16 organisations during 2008 and 2009. 14.2 Documentation Unfortunately, substantial documentation was not available for review. It may well be that if the documentation exists, and could be located, there would be evidence of compliance with the Public Procurement Guidelines. 14.3 Conclusion The absence of so much documentation makes it impossible to determine whether the Dublin Docklands Development Authority has complied with the Public Procurement Guidelines for non project expenditure during 2008 and 2009. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function - Particularly Procurement and Payroll DUBLIN CITY COUNCIL - SITE SUBSIDY PAYMENTS 15.1 Tasks Undertaken I reviewed the documentation in respect of five Site Subsidy Payments made by the Department of the Environment, Heritage and Local Government to Dublin Docklands Development Authority via Dublin City Council between March 2007 and June 2008. 15.2 Site Subsidy Payments Between March 2007 and June 2008 five payments were made to Dublin Docklands Development Authority. The payments were made by Dublin City Council who in turn had received the funding for same from the Department of the Environment, Heritage and Local Government. Site subsidies were payable in respect of 108 units of affordable housing, with the site subsidy being €50,000 in respect of each unit. Site subsidies, therefore, totalled €5,400,000. The 108 units of affordable housing were in the following locations: 15.3 Overpayment The actual payments made by Dublin City Council totalled €5,450,800 as follows: This was an overpayment of €50,800. A cheque for €50,000 was issued by Dublin Dockland Development Authority to Dublin City Council in November 2007, which reduced the overpayment to €800. 15.4 Payees The payees on the cheques issued by Dublin City Council were as follows: Donal Barron endorsed, in favour of Dublin Docklands Development Authority, each of the three cheques made out to him and all three were lodged to the bank account of Dublin Docklands Development Authority. The cheques issued by Dublin City Council were computer generated, rather than hand written, and consisted of one page containing a remittance advice and a detachable cheque. In the case of the first three payments the remittance advices were addressed to: Donal Barron Dublin Docklands Development Authority Custom House Quay, Docklands Dublin 1 The three cheques were made payable to Donal Barron. In the case of the final two payments the remittance advices were addressed to: Dublin Docklands Development Authority Custom House Quay Dublin 1 The two cheques were made payable to Dublin Docklands Development Authority 15.5 Conclusion It would appear that when the computer generates the cheque it makes it payable to the name shown on the first line of the account. When the account was first set up by Dublin City Council the first line was "Donal Barron" and the first three cheques were made payable to Donal Barron. Dublin City Council then amended the account and the first line was then "Dublin Docklands Development Authority" and thefinal two cheques were made payable to Dublin Docklands Development Authority. Although Dublin City Council clearly showed the wrong payee on thefirst three cheques, the cheques were lodged to the bank account of Dublin Docklands Development Authority. DUBLIN DOCKLANDS DEVELOPMENT AUTHORITY Report on Finance Function - Particularly Procurement and Payroll APPENDIX A - TERMS OF REFERENCE Draft Specification for an Independent Review of the Functions and Structure of the Dublin Docklands Development Authority Finance Functions and in particular the Procurement and Payroll Operations The Dublin Docklands Development Authority wishes to conduct a comprehensive review of the Authority's Finance function in particular the Procurement and Payroll operations. A draft of the review will be submitted by end first week of October 2009. The Authority has since its establishment developed and implemented a series of Practices and Procedures to manage its financial affairs. The purpose of this proposed review is to carry out a critical analysis of these Practices and Procedures and their implementation measured against the most up to date proper Administrative and Public Law Standards. Where the Review identifies areas of concerns the successful tenderer will be expected to provide conclusions and recommendations as to any changes necessary to meet the most rigorous modern day Financial Practices and Procedures to Proper Administrative and Public Law Standards.