Renewed calls on HSE to refund over €300k to Offaly Hospice

Renewed calls have been made on the Health Service Executive (HSE) to refund more than €300,000 to Offaly Hospice Foundation, as councillors voiced frustration at what they described as continued delays and a lack of clarity on the issue.

The matter was raised at the monthly meeting of Offaly County Council on Monday, following a formal response from the HSE which confirmed that no decision has yet been made regarding the refund of €312,000 in costs incurred by the charity.

In its written reply, issued after a council motion calling for the refund, the HSE acknowledged the “significant efforts” of Offaly Hospice Foundation in progressing plans for a hospice facility in Tullamore.

This included fundraising activities and expenditure on design proposals for an earlier proposed site at the Midlands Regional Hospital.

The HSE confirmed that a meeting took place with representatives of the Foundation on March 12, 2026, during which the charity outlined its engagement with the executive and detailed the costs incurred.

It said documentation, including correspondence which Offaly Hospice said encouraged it to proceed with design work, is currently under review.

“Any determination in relation to the matters raised, including the issue of expenditure incurred, will be informed by a review of the documentation and the governance arrangements that applied at the relevant time,” the statement read.

“Accordingly, no decision has been made at this stage regarding the refund of monies.”

The HSE added that it remains committed to ongoing engagement with Offaly Hospice Foundation and to the development of palliative care services across the Midlands.

However, councillors expressed strong dissatisfaction with the response, arguing that commitments to repay the money had already been made.

Cllr Fergus McDonnell said it would be “understating it” to say he was disappointed, pointing out that Offaly Hospice volunteers have been working for over 30 years to support services in the county.

He said the original hospice project at the hospital site had been supported by the HSE and deemed feasible at a meeting in October 2021. However, plans changed when an alternative site was later proposed, by which point the charity had already spent €312,000.

According to Professor Humphrey O’Connor, chairman of Offaly Hospice Foundation, the HSE offered to repay those costs at a meeting on April 19, 2023, with that commitment subsequently confirmed in emails.

“It’s been two years since they promised to repay that,” Cllr McDonnell said. “For them now to say it is ‘being considered’ boggles the mind. There’s very little faith that it will be paid.”

Other councillors echoed those concerns, stressing the impact the funds could have if returned to the charity.

Cllr Sean O’Brien noted that the proposed hospice at Arden Lane will not be operational for several years, arguing that the money could instead be used immediately to support families in Offaly.

“That money belongs to Offaly Hospice to provide services that the HSE are not providing currently in Offaly,” he said.

Cllr Ollie Bryant added that the sum would “go a long way to helping families that need it,” emphasising that it had been raised through community efforts.

“That money was raised by volunteers. They need to honour the commitment they made,” he said.

Cathaoirleach Cllr John Leahy also raised the prospect of the dispute escalating further, questioning whether the matter could ultimately lead to legal action and additional costs.

“We have the minutes of the meeting which have gone uncontested. Will it go on to legal action, where further costs will be incurred?” he asked.

Council members agreed to continue applying pressure, including writing to HSE CEO Anne O’Connor and Minister for Health Jennifer Carroll MacNeill to seek a resolution.

The controversy centres on expenditure incurred by Offaly Hospice Foundation on plans for the original hospital site in Tullamore, which had been offered by the HSE for development before the project direction changed.

The HSE has now indicated that the matter remains under review.