The Arts Council of Ireland has been accused of breaching public spending rules, failing to follow governance procedures, and potentially violating EU procurement regulations in connection with a failed computer project that resulted in a loss of at least €5.3 million. Ministers expressed outrage over the revelations, describing the incident as a 'massive waste of money'. The project, initiated in 2019 to consolidate five existing systems, was ultimately scrapped last year after encountering technical difficulties.
The Arts Council breached the public spending code, did not follow governance rules for State bodies and probably contravened EU procurement procedures in its dealings with a failed computer project which led to a loss of at least €5.3 million, the Cabinet has been told.
Mr Harris is said to have told Cabinet the revelations came on the heels of the RTÉ scandal, while Mr O’Donovan was “scathing” of the Arts Council and of his own department. A Cabinet source said the Government believed it was facing a “significant” issue – with Ministers understood to have discussed how it was a bigger version of the Oireachtas bike shed controversy.
Mr O’Donovan and Mr Chambers said the cost of the project had not been adequately or properly estimated, nor was a final estimate given as required under the public spending code. “These actions likely contravene public procurement procedures. Additionally, exceeding prescribed contract value limits without re-tendering also breaches EU procurement rules on substantial modifications to contracts,” Mr Chambers told Cabinet.
ARTS COUNCIL PUBLIC SPENDING GOVERNANCE PROCUREMENT IRELAND
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