Luke Flanagan (Roscommon-South Leitrim, Independent)
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Question 426: To ask the Minister for the Environment, Community and Local Government the reason the local authorities have a separate auditor namely the Local Government Audit Service; if he will examine if the LGAS is poorly placed to do an impartial audit and assessment of the local authorities in view of the fact that it is being run by the Department of Environment, Community and Local Government which is the very same department which finances the local authorities in the first instance; in the interests of having a more independent auditor for local authorities, and of cost savings to the tax payer, if he will consider combining the LGAS with the Comptroller and Auditor General; and if he will make a statement on the matter. [32366/12]

Phil Hogan (Carlow-Kilkenny, Fine Gael)
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The Local Government Audit Service carries out audits of the accounts of local authorities, whose funding is obtained from a number of sources including Government grants provided by a number of Departments, the provision of goods and services, commercial rates and the household charge. Section 116 of the Local Government Act 2001 provides that "local government auditors shall be independent in the exercise of their professional functions", and I am satisfied that the audits are carried out with impartiality. Notwithstanding this, and in accordance with the Public Service Reform Plan policy on rationalisation of State agencies, a Local Government Audit Service/Office of the Comptroller and Auditor General Critical Review Group has been established to undertake a critical review of the proposal to merge the Local Government Audit Service into the Office of the Comptroller & Auditor General. I expect that completion of the review will be expedited.