·         Consideration of Local Property Tax Variation in accordance with provisions of Section 20 of the Finance (Local Property tax) Act 2012

Mr. Martin Lydon, Director of Services presented the Chief Executive’s report to the Members on the Local Property Tax (Local Adjustment Factor) 2020:

He advised the Members in making a decision to vary or maintain the level of LPT, they must take into account the following and make a decision by 30^th September:

·         An estimation of income and expenditure for the coming year

·         The current financial position of the Council

·         The financial effect of a variation to the LPT rate and

·         Feedback from public consultation

He outlined the following:

·         The budgetary position for 2020 shows a shortfall of €1.4m with pressures of €2.585m including funding roads from own resources, filling of vacant posts and pay increases, reinstatement of GMA and reduced NPPR, expenditure on public lighting efficiency, match funding for village schemes, fund for purchase of derelict sites and reduced FSAI income offset to a certain extent by removal of maximum rent cap, reduction in loan payments and reduced insurance premium

·         In 2018 the Council recorded a revenue surplus of €189k

·         The Department have notified the Council of the 2020 allocation of €10.2m from the Local Property Tax Fund which is the same as 2016 – 2019 and included a net equalisation of €7m

·         The value of each 1% variance is €40.1k with 15% yielding €601k. The annual cost to the property owner will vary from €13.50 to €33.57 for 92% of the houses in Roscommon

·         No submissions were received from the public consultation process

·         The recommendation is for an increase of 15% in order to ensure a progressive budget and the need for additional funding in a climate where the current LPT fund is adequate to cover the costs of services provided.

The Members debated the proposal as follows:

·         The Corporate Policy Group agreed with the Chief Executives recommendation on the understanding that 5% would be ring fenced for vital local services

·         Important to not fall behind in improving services for the county

·         We cannot collect enough money locally to provide services and need equalisation fund

·         It is important to avail of all the funding available under the many different scheme including rural and urban regeneration, outdoor recreation town and village renewal etc. and we have to lever match funding

·         Why is funding not provided from Central Government?

·         This is not a good time to raise tax when Brexit is in the offing in the next month.

·         What is the position if the properties are revalued in 2020?

·         We have to reinstate the Municipal fund under new guidelines

·         We are not getting our share of the Motor tax funding and we need to send a message to Government

·         The increase is reasonable and if we do not agree to an increase locally, we cannot go to Government for more funding

·         No-one wants to increase the tax but at this stage it is a necessity just to stand still.

·         We do not want to be in a position of not being able to give grants to community groups etc.  ...  view the full minutes text for item 128