Vol. 475 No. 4
61 Mr. Cullen asked the Minister for the Environment whether any shortfall in local Government funding in 1997 due to the changes in the structure of funding will include the differences in motor taxation, the rate support grant and local service charges foregone in 1997. [4005/97]
72 Mr. Bell asked the Minister for the Environment the effect, if any, the elimination of service charges will have on the operation of the fire services at urban or county council level; and if he will make a statement on the matter. [4121/97]
149 Mr. Callely asked the Minister for the Environment if he has satisfied himself that all local authorities are in a position to ensure an adequate and satisfactory level of services; the submissions, if any, he received from local authorities on the subject; and if he will make a statement on the matter. [4936/97]
I propose to take Questions Nos. 61, 72 and 149 together.
The new funding system, with its inbuilt buoyancy, will adequately provide for the expenditure needs of local authorities, now and in the future. A key component of the new arrangements is an equalisation system. Local authorities will retain 80 per cent of the proceeds of motor tax on cars and motor cycles and contribute all other motor tax revenues to the equalisation fund. In 1997, this fund will be used in the first instance to ensure that the income lost through the abolition of domestic water and sewerage charges and the rate support grant is made good to each local authority. The balance remaining will be allocated equitably among local authorities all of which will benefit.
The only charges being abolished as part of the new funding system are those for domestic water and domestic sewerage services. The powers of local authorities to charge for other services, including their powers under section 35 of the Fire Services Act, 1981, to charge for fire call outs, are not affected under the new arrangements. The increased level of funding and buoyancy of the new system should ensure that, not only will there be no detrimental impact on the fire service, but that local authorities will be enabled to improve the quality of their services generally, including the fire service.
