Annual Budget 2009 - Roscommon County Council
Annual Budget 2009 - Roscommon County Council
Annual Budget 2009 - Roscommon County Council
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Manager’s Foreword<br />
Sector area where Performance Indicators are measured and reported upon from year to year.<br />
<strong>Roscommon</strong> Co. Co. ranks well and continues to be above average in the majority of the 166<br />
parameters measured.<br />
In mid 2008 the Government imposed further cutbacks for the financial year <strong>2009</strong> on all Departments<br />
including Local Authorities requiring a 3% cut in payroll along with other capital and overall revenue<br />
stream cutbacks. The effect of the 3% cut alone stipulates that <strong>Roscommon</strong> <strong>County</strong> <strong>Council</strong> must<br />
reduce payroll costs by €1 million in <strong>2009</strong> as against the 2008 figure. This will be achieved through<br />
a combination of reductions/non renewals of temporary work contracts and fixed term contracts.<br />
Overtime reductions will be necessary and other payroll payments will also be reduced.<br />
Income/funding for Local Authorities can be classified in to three broad bands relating to the sources<br />
of such funds viz; 1) The Local Government Fund – a Central Government block grant, 2) Proceeds<br />
from the sale of goods and services – rents, water charges, planning fees, etc and 3) Commercial<br />
Rates.<br />
In recent years the Local Government Fund was generally increased in line with inflation or even<br />
higher. <strong>County</strong> <strong>Roscommon</strong> consistently received a funding level from this source below the national<br />
average but this <strong>County</strong> <strong>Council</strong> got on with the job and have consistently managed to live within<br />
targets through good financial controls amongst other things. For <strong>2009</strong> however not only is the Local<br />
Government Fund not keeping pace with the rate of inflation but it is being cut by an average of over<br />
7%. The allocation to Co <strong>Roscommon</strong> is €21,765,459 which represents a 6.6% reduction on the<br />
2008 level and is separate to the payroll cut already mentioned. The value of the shortfall over the<br />
equivalent figure last year is €1,542,541.<br />
These figures are presented prior to any consideration of the ongoing effects of continuing extra<br />
responsibilities, expanded services, new projects, inflation and the effects of increasing levels of<br />
service and ever increasing EU and other standards and obligations such as in the water services<br />
area and in environment.<br />
This year the Government has introduced a new potential stream of funding for Local Authorities in<br />
the form of a €200 charge on non-principal private residences. This will require new legislation and<br />
a new collection regime. It is unclear at the time of writing where the new collection system will be<br />
centred and what level of administrative back-up will be required within the Local Authority. Certainly<br />
there will need to be a major effort and painstaking/forensic trawl to establish ownership and to<br />
determine liabilities. In the long term this new income stream may be a good development for Local<br />
Authorities but the benefits may not be realised in <strong>2009</strong>. Note also that the letter of notification of the<br />
Local Government Fund grant advised ‘Following the introduction of the new charge, the level of<br />
Exchequer contribution to the Fund will be revisited in the context of the revised estimate of<br />
expenditure. Consequently the above provisional General-Purpose Grant Allocation for <strong>2009</strong> will be<br />
revisited and adjusted as appropriate, to take account of income from this charge.’ Given the<br />
projected timing of any new legislation, the set-up time for new systems and the above advice I have<br />
not allowed for any increased income over and above the amount notified in the Local Government<br />
Fund Grant for <strong>2009</strong>.<br />
<strong>Roscommon</strong> <strong>County</strong> <strong>Council</strong> | Comhairle Chontae Ros Comain | Adopted <strong>Budget</strong> <strong>2009</strong> | For year ended 31st December <strong>2009</strong><br />
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