Oireachtas Joint and Select Committees

Thursday, 9 May 2019

Joint Oireachtas Committee on Housing, Planning and Local Government

Local Government Audit Service: Discussion

Photo of Pat CaseyPat Casey (Wicklow, Fianna Fail) | Oireachtas source

We can give reports to the members. Having served on an audit committee in Wicklow, I confirm that we were always shown the management letter from the auditors. In fairness, it gave one a greater insight into what the thinking behind the report was. It was always a valuable piece of information. Pensions have been mentioned. The cost of pensions is a recurring issue in every budgetary process in every local authority. I have not read the report referred to and I look forward to doing so.

When one looks at the report before the committee, there is not much of concern that is not covered. It covers almost everything from unfunded capital balances to capital projects, loans payable, development contributions and so on. Is there a trend whereby one or two of these issues arise across all local authorities or is each authority unique? Are there specific areas of concern on which the committee should focus? Having gone through 12 Estimates processes - it is in late November since the property tax has come in - I note that we still sit during the last week waiting for the phone call from the Department to say the local government fund will be in or about the same as last year. The huge area that local authorities take a gamble on relates to grants, whether for roads or whatever. We always take a punt on that and think we will get what we got last year or budget for a 5% increase in the hope that we get it. Is that the right way to do business? Is there a more transparent way to deal with that issue?

I have a concern that once again we have kicked the local property tax review down the road. Wicklow is currently going through a rates review for the first time in 40 years. The implications for some businesses are unbelievable. We have not carried out a local property tax review for more than five years and seem to be going the same way in that regard. There are thousands of properties which pay absolutely nothing in property taxes which could help to fund local authorities. Can Ms Larkin give a view on those few items?

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