asked the Minister for the Environment if he is aware of the shortfall in the budgetary provision which will seriously affect local authorities' finances in 1982; if in view of the time necessary to implement local charges for services, he will move a Supplementary Estimate to provide central funds for local authorities to rectify the estimated shortfall in 1982; and if he will make a statement of the matter.
Ceisteanna—Questions. Oral Answers. - Local Authority Finances.
21.
(Dublin South-East): I am aware that certain decisions of the previous Government would have resulted in shortfalls in the budgetary position of local authorities. Since taking office the Government had made provision for additional funds amounting to almost £73 million for local authority services. I expect to bring an appropriate Supplementary Estimate before the House in due course in relation to the voted portion of the extra money. I am confident that these additional funds will go a long way towards alleviating the financial situation of local authorities.
Am I to take it that the deficit in the current revenue of local authorities will be fully made up as a result of the Government's decision?
(Dublin South-East): What I said could not be taken as a blanket assurance. I said I expected to bring an appropriate Supplementary Estimate before the House in due course in relation to the voted portion of the extra money.
With regard to the deficit that will then remain, is the Minister aware it will take some time to effect legislation to allow local authorities to get local revenue and in view of the lead-in time for 1982, local authorities will not be able to make up the deficit by way of local contribution? In those circumstances would the Minister take steps to effectively reimburse local authorities for the amounts involved?
(Dublin South-East): Each local authority has to be considered on its own merits and I am currently meeting deputations from different local authorities. I repeat that the assurance I have been asked for cannot and will not be given, and it would be totally unrealistic for me to do so. Local authorities, and many other financial institutions, often find themselves in tight liquidity binds. But we have to do our best with the money available to meet the needs of the local authorities.
Is the Minister aware that since central Government took over establishing the allowable rates increases the credit balances of most local authorities have disappeared and a number of them are working on deficit balances? Is he further aware that most local authorities are starved of funds and are not able to keep their established complement of workers and unless extra moneys are provided this year there will be severe redundancies in most local authorities?
(Dublin South-East): Part of the Deputy's question is very alarming. He may not realise that what he said is not the case with all local authorities. I am happy to have this opportunity to refer to the shortfall in the domestic rate grant to which he referred. The previous Government provided £138 million for the grant in relief of domestic rates at which time it was estimated to be £14 million short of what was necessary. Subsequent estimates now show the shortfall to be £12 million. The previous Government's intention was for local authorities to raise the shortfall by new charges for services — £4 million from charges for planning permission and the balance from other charges.
Would the Minister state the difference between the policies established by the last Government and the policy being pursued by his Government?
(Dublin South-East): I think I have done that in my reply.
Not effectively, because there is still a deficit to be met.
I wish to ask a supplementary.
I thought the Deputy was rising on another matter in connection with the Adjournment.
I was waiting to do so at 3.30 p.m., but I wanted to ask a supplementary on Question No. 21. As I am on my feet, I presume I can do so now.
Such presumption does not help the Chair, but you may ask a supplementary question.
Is the Minister of State aware that his Minister informed Dublin Corporation that they would have to raise £2.7 million by additional local taxes? Would he say what taxes should be increased or if he will allow that authority to investigate further the possibility of running a lottery for which the corporation have very advanced plans?
(Dublin South-East): These are separate questions, but I will be happy to answer them——
Deputy Mitchell has got them on the record and I suppose he is happy enough with that.
(Dublin South-East): If the Deputy would put down these questions for reply, I will answer them in this House.
We already have a system of lotteries in this country called byelections.
That may be, but it does not arise under Question No. 21.
Questions Nos. 22 to 26, inclusive, postponed.
27.
asked the Minister for the Environment if, in view of the shortfall in finance available to Dún Laoghaire Corporation to maintain existing services and staff, he will provide the money necessary to do so.
(Dublin South-East): On assuming office I found that, while my predecessor had sanctioned an increase of 15 per cent over 1981 in the level of local authority rates for 1982, he had not made adequate provision in the Department's Estimates to allow for full recoupment to local authorities of the value of rates relieved. I also found that local authorities were being required to meet such statutory demands as were served on them in respect of supplementary social welfare allowances and the maintenance of drainage schemes. Further, local authorities had been instructed they could not in 1982 apply the 40 per cent proceeds from the sales of local authority houses towards their current expenditures as had been allowed the previous year.
I have been able to reverse this last decision completely as a result of which about £7 million is being restored to the revenue accounts of all local authorities. I have had the statutory demands limited to an 18 per cent increase, thus relieving local authorities of a liability for a further £2.9 million. The benefit to Dún Laoghaire Corporation of these two decisions by me is £310,000. I have also given the corporation grants totalling £123,000 for roads and environment works. The present Government's budget also provided extra allocations totalling almost £14 million for other local authority services. Dún Laoghaire Corporation's requirements will of course be considered in the allocation of these moneys.
I wish to give notice of my intention to raise on the Adjournment the subject matter of my Private Notice Question to the Minister for Education which was disallowed.
Perhaps the Deputy might elaborate on the subject matter of this question.
To ask the Minister for Education if he has redefined the inner city of Dublin east of O'Connell Street on the north side and if he will allocate funds.
The Chair will communicate with the Deputy.
Would the Minister consider allocating extra money to Dún Laoghaire Corporation, namely £56,000, to keep open Blackrock and Dún Laoghaire baths?
(Dublin South-East): I do not want to say that I regard that to be a separate question but I am compelled——
It is a straight question.
As one would expect from a new Deputy.
(Dublin South-East): Absolutely. However, I find it impossible to give an assurance of that kind. The assurance which I will give Deputy Cosgrave is that I will have that matter examined.
In the light of the Minister's reply, I understand that a proposal has been made to transfer money already allocated for traffic lights to the opening and maintenance of both Blackrock and Dún Laoghaire baths and that it would need ministerial sanction to transfer this money, amounting to £50,000. Arising out of a meeting last night, it was hoped that ministerial approval would be forthcoming. Would the Minister be prepared to sanction this transfer of money?
(Dublin South-East): I could not give such an assurance, but as I have already told the Deputy, I will certainly look into the matter. I just could not give an assurance on transfers of money. However, it does not follow that this would not happen.
Deputy Quinn for a final supplementary question, please.
If the proposal were made to the Minister, would he be prepared to consider it favourably?
(Dublin South-East): I am considering the question and I will communicate with the Deputy.
Deputy Quinn for a final supplementary question, please.
Would the Minister not agree, from all his experience in local government, that this kind of nonsense should stop? If Dún Laoghaire wants to spend £1,000 on the maintenance of their public baths instead of having traffic lights, they should have the power within the local authority system to do so and the Minister's sanction should be automatic. It should be the responsibility of the local authority and not that of some bureaucrat in the Custom House.
(Dublin South-East): I do not share Deputy Quinn's view that this is nonsense or agree with his remarks about bureaucrats in the Custom House. Deputy Cosgrave, obviously out of concern, asked me if money could be sanctioned. In reply I told him, to the best of my ability, that I could give him that assurance. If Deputy Quinn interprets that to be nonsense or a bureacratic tangle, obviously that is the Deputy's interpretation. I have the experience which the Deputy suggests, as he does himself, on local authorities and I will do the best I can to expedite the matter on behalf of Deputy Cosgrave.
Would the Minister not agree that if we are to have a system of local government which is local and governmental, that authority, on a day like this and in weather like this, should be able to decide that money already there should be switched from providing traffic lights to the maintenance of the baths? Otherwise we do not have a system of local democracy at all.
That would be a question for resolution at another time and not for resolution at Question Time.
The Minister is responsible for urban affairs. He is being asked to sanction the transfer of money that is already there.
(Dublin South-East): With respect, I consider I have answered the Deputy's question.
So does the Chair. With the permission of the House, I move on to indicate — yes, Deputy Cosgrave?
Will the Minister give a commitment that at least Dún Laoghaire Corporation will get a fair crack of the whip in relation to moneys being allocated, in view of the millions being allocated to other parts of Dublin? Certainly an extra few thousand pounds should be allocated to Dún Laoghaire, so that people can at least go swimming.
With respect, Dún Laoghaire has had a fair crack of the whip in respect of that matter now. I will move on to the next question.
Question No. 28 postponed.