I propose to take Questions Nos. 147, 148 and 163 together.
Under the proposed new system of local finance, local authorities will retain 80 per cent of the proceeds of motor tax collected by them in respect of cars and motor cycles. The equalisation fund will be financed by the remaining 20 per cent of the proceeds of the tax on cars and motor cycles, together with 100 per cent of the motor tax proceeds from all other vehicles, and the amounts collected in motor tax offices in respect of driver licensing and other minor items.
My Department is at present collecting precise information from local authorities on income generated from domestic water and sewerage charges in 1996. Pending receipt and analysis of this information, it will not be possible to determine what amounts should be allocated to individual local authorities in 1997 or future years under the new arrangements. The new system will require legislation, which is in the course of preparation. Pending the enactment of this legislation, I will be making interim payments to local authorities in the early months of 1997 by way of a rate support grant provision.