David Stanton (Cork East, Fine Gael)
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Question 40: To ask the Minister for Finance further to Parliamentary Questions Nos. 97 and 98 of 28 June 2011, the number of staff employed in the Valuation Office; the reason for the slow progress of the revaluation process; the specific options under review by the commissioner to accelerate the delivery of same; and if he will make a statement on the matter. [18564/11]

David Stanton (Cork East, Fine Gael)
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Question 41: To ask the Minister for Finance further to Parliamentary Questions Nos. 97 and 98 of 28 June 2011, if his attention has been drawn to the impact of the delays in the revaluation programme on businesses across the country; and if he will make a statement on the matter. [18563/11]

Michael Noonan (Limerick City, Fine Gael)
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I propose to take Questions Nos. 40 and 41 together.

There are currently 144 staff employed in the Valuation Office which is a statutory Office headed by the Commissioner of Valuation. The Commissioner is responsible for all valuation matters under the Valuation Act 2001. I should point out that the Commissioner is independent under the Act and that I, as Minister for Finance, have no function in decisions in this regard.

As I explained in response to recent Questions, the revaluation programme began in November 2005 in the South Dublin County Council area where it was completed in 2007. It has since been completed in the Fingal County Council area in 2009 and in Dún Laoghaire – Rathdown in 2010. The revaluation of the Dublin City Council area was commenced in May this year having been postponed for well over a year because of the volatility and conditions in the property market. The Dublin City part of the programme will entail the valuation of approximately 25,000 properties and the new list will be published in 2013.

It is intended to roll out the revaluation programme to other local authority areas shortly and preparatory work has already taken place in relation to the Waterford local authority areas and Limerick City.

Following the completion of the Dublin City revaluation, approaching 50% of the national valuation base, in terms of monetary values, will have been completed. This represents some 26% of the national total in terms of the number of properties to be valued.

As you will appreciate, the revaluation programme is a major project in nature and scale, all the more so, given that such a nationwide exercise has not been undertaken since the mid-1800s and it has required new systems and processes to be developed and tested. However, notwithstanding the improvements that have been made, it is the case that the programme is taking considerably longer than expected. I understand from the Commissioner of Valuation that the specific options he is examining with a view to speeding up the work are outsourcing, introduction of a system of self-assessment or updating the values on existing lists through a system of indexation based on market analysis. All of these options raise issues that require detailed examination which is ongoing. No decision has yet been made.

I should point out also that the purpose of revaluation is to bring more equity, fairness and transparency into the local authority rating system. Revaluation will lead to a redistribution of the commercial rates burden between businesses depending on the relative shift of rental values between locations and categories of properties. Even though property values have fallen generally not every ratepayer will gain from revaluation – there will be losers as well as winners. It depends on how the rental value of each property changes relative to other property values and sectors.

As I mentioned previously, my Departmental officials are reviewing various provisions of the Valuation Act with a view to achieving greater efficiencies, including streamlining the appeals process.