asked the Minister for Local Government if a local authority is entitled to take into account at its annual estimates meeting a figure or amount for over-estimation where there has been a pattern of substantial over-estimation for a number of years in that local authority; and, if not, whether he proposes to introduce the necessary legislation to enable this to be done.
Ceisteanna—Questions. Oral Answers. - Over-estimation by Local Authorities.
13.
A rating authority has power, when adopting the Annual Estimate of Expenses, to make whatever provision they consider necessary in respect of the several purposes specified in the estimate of expenses. I do not consider that any amending legislation in the matter is called for.
Deputy Carroll's question related specifically to the question of making an allowance for over-estimation. If I heard the Minister aright, his reply referred only to matters for which a local authority may estimate. I think, with respect, it does not deal with the problem to which Deputy Carroll has referred.
This question, having come from Deputy Carroll, presumably applies to what appears to be fairly long-standing practice in regard to Dublin Corporation finances, that is, that there is a carry-over from year to year which is used in the early part of the financial year, when funds are rather low and are only slowly coming in, in order that overdraft charges may be obviated. The end product of following this line of thought at the moment would be that we would direct Dublin Corporation to liquidate their reserve which they have usefully used in this way in the past and so show a fairly substantial reduction in rates for one particular year, but adding to the rate the following year by having increased overdraft charges at high rates of interest clapped on top of the rate that normally would arise. I would say, also, that in so far as the internal methods of operating their finances are concerned, Dublin Corporation or any other local authority, to my mind, from examination of this matter, have not transgressed any law that exists, nor do I see any need for bringing in a law which would put them out of court. This is a matter in which they have fairly wide control and I have no reason to believe that that control should be narrowed.