Oireachtas Joint and Select Committees

Thursday, 8 March 2018

Public Accounts Committee

2016 Annual Report of the Comptroller and Auditor General and Appropriation Accounts
Chapter 8: Central Government Funding of Local Authorities
Local Government Fund Financial Statement 2016
Special Report No. 97 of the Comptroller and Auditor General on the Administration and Collection of Motor Taxes

9:00 am

Photo of David CullinaneDavid Cullinane (Waterford, Sinn Fein) | Oireachtas source

I have one more question. It might be helpful to move this issue on if Mr. McCarthy could write a note for the committee. I ask specifically when the equalisation process came in, where the funding went to and what counties benefited. I would also like a breakdown of the per capitaspend for each of those local authorities. That is where we will see whether those local authorities are getting the support they need or whether they are still being disadvantaged. If the witness could come back to us with a note on that, perhaps we could follow up.

I want to make a broader point on the disjointed nature of funding. The reason I spoke to the three chief executive officers, Mr. McCarthy and Mr. Doyle is to get a sense of whether we are empowering local government to develop towns and cities. I am from Waterford. Many of the big developments that took place in Waterford recently were actually driven by local authorities. However, all of the chief executive officers I spoke to said local government funding mechanisms can frustrate and hold back reaching the potential that cities have and making decisions that have to be made in real time. It can take two or three years, for example, from applying for funding to actually getting it.

Some local authority chief executives have to take risks. Sometimes, they spend money on the basis that they might or might not get money. Mr. Doyle will be familiar with the example of the Waterford Greenway. Everybody now says it is a fantastic project, which it is, and everybody wants to take credit for it. However, Waterford City and County Councils was left holding the baby with the cost. It invested in the Greenway at significant risk to the Council. It was left with a significant shortfall between the cost of the Greenway and what it got from the Department of Housing, Planning and Local Government because in the end the level of funding the Council hoped for did not materialise.

Similar examples could be given. I am not sure if Mr. McCarthy is aware of the Carrickphierish project in Waterford. A new neighbourhood is being developed. The chief executive officer told me the difficulty and frustration he had having go to all of the various different Departments and agencies. They were all working in silos, and not to the project he was working to. They ended up with a neighbourhood without a library and without proper services because of the disjointed nature of the funding.

Mr. McCarthy raised issues from an accounting perspective in respect of trying to understand how it all works. It has an impact on the ability of local authorities to deliver projects. Sometimes initiatives have to be taken in real time. If they are not, then opportunities are lost. I would like Mr. Doyle to answer the question in respect of the Waterford Greenway, because it is still a sore point for those in the local authority who took a risk. I ask Mr. McCarthy to address the example I gave of the Carrickphierish project in Waterford, but also more generally because the convoluted system of funding can and does impede, hamper and hold back vision in local government. I will leave it there and come back later. I know that was a long contribution but I felt it needed to be made.

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