Dáil Éireann debate -
Thursday, 19 Nov 1998

Vol. 497 No. 1

Written Answers. - Local Government Funding.

Eamon Gilmore

Question:

25 Mr. Gilmore asked the Minister for the Environment and Local Government the basis on which allocations have been made to local authorities in respect of the local government fund for 1999; and if he will make a statement on the matter. [24095/98]

Minister for the Environment and Local Government (Mr. Dempsey)

The 1999 allocations for general purposes from the Local Government Fund have primarily been based on 1997 and 1998 allocations from the Local Government (Equalisation) Fund. Allocations for non-national roads will be made later.

My general approach in the 1999 allocations was to increase the final 1998 allocations by 3 per cent and to augment these by including a contribution to known costs arising for local authorities under various headings in 1999. The 1999 baseline amounts were also increased to take full account of changes in the treatment of the proceeds of pre-1993 house sales schemes which will arise in 1999; these proceeds will be fully available for capital purposes from 1 January 1999.

The allocations in recent years have included an initial and preliminary attempt at equalisation. A pilot study into the needs and resources of local authorities is at present being conducted by Galway County Council in conjunction with my Department. It is intended that this study, which is planned for completion in mid-1999, will produce a model that will be capable of application to all local authorities and will provide a more objective distribution of available resources.