Seanad debates

Wednesday, 13 November 2019

An tOrd Gnó - Order of Business

 

10:30 am

Photo of Victor BoyhanVictor Boyhan (Independent) | Oireachtas source

I share the concerns raised by Senator Ardagh. One will read in today's national newspapers about the struggles and the concerns of Dublin City Council in relation to balancing its books and budgeting for next year and of the dilemma faced by councillors in Dublin City Council and in other councils across the country in relation to their financial affairs for 2020. We are told Dublin City Council councillors face increasing parking charges, tolls and social housing rents and an increase as usual in the commercial rates, which is totally unacceptable in my book. All this is because of the failure of Government. The chief executive, Owen Keegan, said in a circular to the elected members, which I have seen and read in today's newspapers and in yesterday's The Irish Times, that there is a shortfall of money.

There are a number of issues here. I refer to the constant rise in private property management fees and what was an ill-thought out policy of local authorities acquiring private properties, in particular apartments but also small townhouses in gated developments, from private developers. We know that some of these maintenance fees are €2,000, €3,000 and €4,000, which is far in excess of the rental income coming in from these people who are mostly social housing tenants. That is going to continue to be problem and a burden on all local authorities but it is a particular issue of concern for Dublin City Council.

There is also the loss of the rates in respect of Irish Water. There was a commitment that this whole transfer would be neutral and that no local authority would be left short of rates from Irish Water facilities and plants and all the things that go with rates coming into the local authority. That has been reduced despite the Government's commitment in relation to that issue.

This raises the question on where else we will get income. For far too often the commercial sector in towns and cities around this country have been burdened with funding the administration and running local authorities.

There is also the issue of local property tax. We have been waiting for a long time for the Government to outline what it intends to do in relation to local property tax reform. We were told the local property tax was going to give us extra libraries, extra swimming pools, public amenities and public space but that has not happened. The reality is that the LTP was a substitute for the central Government's subvention, so local authorities made no significant gain.

I am looking for a frank, open and honest debate in this House on how we are going to fund local Government in the future.What are the Government's intentions in this regard? We need to hear from it. There has been a public consultation and the report is on the Minister's desk. The last I heard it was to be discussed at Cabinet. As legislators, we need to know what the Government's intentions are regarding the local property tax, which is grossly unfair in many ways as it takes no account of people's capacity or ability to pay. I call on the Leader to facilitate at the earliest possible date, perhaps next week, an open and honest debate on the future of local government funding, rates and the local property tax.

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