Fergus O'Dowd (Louth, Fine Gael)

A unique partnership is proposed in this Bill. The idea comes from the United States, where it has worked successfully in a number of cities. It has also been used in Canada and the UK and now it is being introduced here. In principle, I favour the proposition that money other than the normal expenditure of a local authority, with the consent of commercial ratepayers, may be used in projects to improve their community. Such projects would include the improvement of signage, the removal of graffiti or even more high profile projects, but I have some serious questions and, in view of the fact that this Bill will be law in an hour, we have been given inadequate time to discuss it. Nonetheless, we are in favour of the Bill in principle.

The Minister's proposal states that the majority of ratepayers, each of them having one vote, will decide whether a bid goes through. My research shows that in the UK, a two-part process exists that is not in this Bill. First, a majority of those voting must vote in favour. Second, the total rateable value of the properties of those voting in favour must be more than that of those voting against. Therefore, an in-built balance exists which is not in this Bill.

The chambers of commerce welcome the Bill and are very much in support of it. They have been anticipating this Bill for more than four years and it is a significant step for the funding of local services. Therefore, I am coming from the point of view of those who want this Bill to work and who favour it in principle. I ask the Minister to examine the situation in the United Kingdom, where there is a second check and balance provision regarding ratepayers. The problem is that communities in Ireland are different from those in the United States and the United Kingdom, where there are many more cities than towns and large centres of population. In places such as Dublin, this could be a very dynamic and useful operation where there are many successful businesses. However, further down the line, we need to be very careful in Cork, Galway, etc, because while a number of people might be doing significant business, others might not. The Minister must ensure that a consensus emerges rather than a dominant group which may have the economic power in this regard.

I acknowledge that what one pays is based on one's rateable valuation. Nonetheless, I want to ensure that the Bill is as inclusive as possible and I ask the Minister to consider raising the bar from a simple majority to perhaps two thirds, which would achieve greater consensus. If there is only a simple majority for the proposal, it might lead to conflict, pressure and so on. I make this point in the context of supporting the Bill in principle while trying to improve it and make it more sustainable. That is an important issue and I would appreciate it if the Minister would consider it on Committee Stage.

The Minister has announced he will insert an amendment, which we will have little time to discuss, about the audit committees of the council. In terms of auditing local authority financing, I presume this applies to all of the business of the council across the board, not just the BID proposals.

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