AFTER a marathon two day meeting, Limerick City and County Council finally passed its 2016 budget late on Monday evening amid accusations of “party political grandstanding”.
In the end, an agreement between Fianna Fáil and Fine Gael, the two largest party groups on the council, won the day.
The result is an increase in rates of 2.03 per cent, rather than the initial 4.5 per cent suggested, with a rebate scheme of four per cent for small and medium businesses in the city and county.
By far the most contentious issue was the unexpected shortfall of €2.45 million due to a revaluation of rates, which only came to light last week.
On Thursday, it emerged that the government would provide a once-off compensation of €1.19 million.
However, Sinn Féin, the Anti Austerity Alliance and Fianna Fáil called for the payment of the full €2.45 million, arguing that the council had been reassured that the revaluation process would be revenue neutral.
The meeting also saw a number of proposals on how the local authority should spend the €1.19 million consolation prize.
Another divisive issue was the €250,000 reduction in spending for the bin waiver scheme, which will mean that up to 2,000 people on low incomes will no longer be eligible.
Pensioners and people receiving disability allowance will still be able to avail of the scheme, but lone parents, the unemployed and people receiving blind persons and widows’ pensions will be forced to pay for bin collections from next year.
Cllr Frankie Daly (LAB) proposed to increase rates by 2.75 per cent and add an additional €291,000 to the bin waiver scheme budget.
Cllr Cian Prendiville (AAA) submitted a proposal that would see €500,000 in additional funding for the bin waiver scheme.
He argued that the waiver could be preserved for all existing recipients, and even extended into the county, by imposing an increase of two per cent that would only affect the top two per cent of businesses.
However neither proposal received the required level of support.
Cllr Cian Prendiville has now accused Fianna Fáil and Fine Gael of targeting the most vulnerable and protecting the richest.
“Despite our appeals, Fianna Fáil and Fine Gael refused to include our proposal in their budget. In effect they have taken €5 a week off lone parents, widows, blind people, low paid workers and the unemployed in order to protect the top two per cent of big business.
“On top of this, the budget includes an increase in the property tax, and the imposition of that unjust tax on council tenants who don’t even own their home,” he said.
A motion tabled by Sinn Féin councillor Maurice Quinlivan at the regular meeting of the City and County Council, also held on Monday, calling on the government to fully compensate local authorities for the loss in funding was passed unanimously.
Cllr Quinlivan said: “This is very irresponsible and it didn’t happen by accident, it happened after a sustained lobby by a number of profitable large utilities. This decision entails a dramatic cut to our rate base which will have consequences for years.”
