Terence Flanagan (Dublin North East, Fine Gael)

I welcome this Bill, which commits the Government to reforming the system of local government while maintaining an efficient service for local communities. It is crucial that communities continue to have access to adequate services in these lean times. The Government has made clear its desire to reform the local government sector. We have committed to reorganising local government structures to give communities more decision making on what happens locally.

Given the size of councils and the number of councillors involved it is clear that a significant amount of money can be saved in this area. This Bill will decrease the number agencies and bodies which are at present under the aegis of the Department of the Environment, Community and Local Government from 21 to 12. It is being introduced on foot of the recommendations of the local government efficiency review group, which set out 106 recommendations for cost efficiencies and savings. If all the recommendations were implemented the combined savings would be €500 million. The Minister for the Environment, Community and Local Government has established a review group on the implementation of the recommendations and it is expected that sizeable savings can be achieved in shared services and procurement. The Minister for Public Expenditure and Reform is satisfied that progress is being made in these areas.

Local authorities have become leaner through a reduction of 6,600 in staff numbers since 2008 and a new financial management system has been introduced. The Croke Park agreement has played a role in the transformation of work practices and the public services reform programme has achieved combined savings of €162 million.

The Government is committed to giving councillors more say in what happens in their local areas and rewarding efficiency and local initiatives with ring-fenced money. We want to give communities more control over education and transport at regional and county levels. Policy reorientation will be considered in due course.

It is important that the level of service for the public does not deteriorate. We need to achieve more with a lot less and through this Bill the Government is trying to reform local government to provide greater efficiencies for the public.

See this speech in context