Phil Hogan (Carlow-Kilkenny, Fine Gael)
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We do not propose to accept this amendment on the basis that the word "council" would serve to constitute a separate corporate entity with the same legal rights as a county council. What we are seeking to achieve is an integrated system of administration with devolved functions at a municipal level. We do not want a situation where separate councils would be established in a municipal district area; that flies in the face of what we are trying to achieve. In order to eliminate duplication and administrative overhead, municipal districts will not be involved in budgets and so on to the extent to which town councils have been. We are aiming for a more integrated administrative system with proper devolved functions.

As it stands, town councils account for 70% of all local authorities and 46% of councillors, but are responsible for only 7% of local government activity and 14% of the population. We are all familiar with the arguments that can arise in regard to boundary changes. Through the municipal district system, we will eliminate that type of disagreement at local government level. I am interested in what functions the municipal districts will have, not in more administration.

The Deputy mentioned the budgetary situation in Leixlip. That is worked out every year and, especially in recent years under the troika, with reference to the general Government debt. The county manager and his officials in Kildare, with the approval of the councillors, have no option, unfortunately, other than to make do with a ceiling on the allocation to town councils. As we look forward to more flexibility in these matters from the middle of this month, I expect that town councils, like Leixlip, which have been prudent will be in a position to negotiate a better deal under the new municipal arrangements and in the context of county council budgetary arrangements. I have seen a great deal of activity in town councils recently; in many cases, they are cleaning out the decks financially. It is good that they have been prudent, but they also want the latitude to be able to spend money locally. That will be worked out in a more flexible way, working with the county manager, as part of the budgetary process.