Brian O'Shea (Waterford, Labour)
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Question 597: To ask the Minister for the Environment, Heritage and Local Government if it is proposed to address the issue of local authorities which have very low commercial rate bases and which are overly dependent on inadequate central funds; and if he will make a statement on the matter. [24958/07]

John Gormley (Dublin South East, Green Party)
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The unprecedented expansion in the economy in recent years, supported by the Government's economic policies, has resulted in growth in local authorities' commercial rates bases by some 60% in the period 1997–2006. The additional income provided through this growth has assisted local authorities in expanding and improving the services they provide to their customers. The income that each authority generates from commercial rates and from charges for goods and services is taken into account in determining annual general purpose grants from the Local Government Fund. These grants are my Department's contribution towards meeting the cost to local authorities of providing an acceptable level of day to day services for their customers. Some €948m has been allocated in general purpose grants to local authorities in 2007, an increase of 8% over the amount provided in 2006 and an increase of 116% over the level of grant provided in 1999 when the Fund was established. I am satisfied that the general purpose allocations from the Local Government Fund notified to local authorities for 2007, together with the income available to them from other sources, will enable all local authorities to provide an acceptable level of services for their customers.