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Local Authority Funding

Dáil Éireann Debate, Tuesday - 26 November 2013

Tuesday, 26 November 2013

Ceisteanna (480)

Charles Flanagan

Ceist:

480. Deputy Charles Flanagan asked the Minister for the Environment, Community and Local Government his plans to direct all local authorities to implement the business and retail incentive scheme to ensure that retailers and businesses are provided with incentives to locate to town centres; and if he will make a statement on the matter. [50690/13]

Amharc ar fhreagra

Freagraí scríofa

Part 9 of the Local Government Act 2001 provides that the functions of local authorities include providing grants, loans guarantees or other financial aid to promote the interests of the local community, including economic interests.  As the adoption of the budget is a reserved function, setting money aside from within the local authority’s budget for a grant scheme would also be a reserved function. Given the current pressure on local authority income, it may not be financially viable for some local authorities to offer the incentives in question without unduly affecting the delivery of other services.

The cost of administration of a scheme, such as the Business and Retail Incentive Scheme, would also need to be considered, including the merit of administering any such incentives through an existing financial support mechanism rather than creating a new mechanism (with consequential overheads) in the local authority system. My Department issued updated guidance to local authorities earlier in 2013 on the issue of development contributions which requires, inter alia, that development contribution schemes include reduced or waived development contribution rates for developments in town centres to support town centre development. The guidelines have been issued under section 28 of the Planning and Development Acts 2000 – 2012, and, accordingly, planning authorities and An Bord Pleanála are required to have regard to them in performance of their functions under the Planning Acts.

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