Oireachtas Joint and Select Committees

Wednesday, 21 September 2016

Joint Oireachtas Committee on Housing, Planning and Local Government

Estimates for Public Services 2016: Vote 34 - Housing, Planning and Local Government

9:30 am

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael) | Oireachtas source

Local authorities are not on their own and there is ongoing conversation between the finance team in my Department and the financial teams within local authorities. They meet almost on a monthly basis and there is a structure for discussion around that. Nothing should be coming as a surprise here. Some local authorities have real financial difficulties, although I will not name them publicly. There are two with real difficulties and they have signed off on a financial plan to get them out of that difficulty over time. We are helping them do that. As it is coming close to a time for a decision, others are arguing they are in difficulty because of a shortfall and they must be helped. One must be clear. We do not want to get into political decision making around budgets so the councils that shout loudest get bailed out by a ministerial decision.

This requires proper, professional financial management within local authorities and interaction with the Department so the authorities can be as certain as possible as to what is likely to come down the line. We need to work out together how we can get everybody through the budgetary process. That is what we are trying to do. As I stated, a small number of local authorities have genuine historical difficulties with which we need to try to help them.

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