Minutes:
Mr Vincent Dwyer informed the members that, with their consent, items 3 and 4 on the agenda would be taken concurrently.
Mr. Vincent Dwyer, Head of Finance, Water, Environment, Climate Action and Emergency Services provided an overview of the report on additional expenditure incurred by Leitrim County Council in 2020.
Mr. Vincent Dwyer advised members that Leitrim County Council has continued to implement a programme of monitoring and reviewing expenditure to ensure that budgetary limits are not exceeded and he advised Members as follows:-
• The effect of such tight budgetary management and control has resulted in a surplus of €2,994 in 2020 thereby reducing the cumulative revenue deficit of €256,122. Total revenue expenditure by Leitrim County Council in 2020 was €53,934,075 while the total capital expenditure by Leitrim County Council in 2020 was €22,568,982.
• The Covid 19 pandemic created significant uncertainty regarding financial management of all Local Authorities particularly in the context of loss on income from Commercial Rates, goods and services and increased Covid-19 associated costs.
• In mid-2020 the Government announced a commercial rates waiver for 6 months which was further extended to 9 months with the Government reimbursing the commercial rates applicable to occupied properties subject to certain exclusions.
• In 2020, 793 rates payers availed of the rates waiver for 9 months which amounted to €1.7 million. Through the Restart Grant, including various top ups grants, 800 payments were made to the value of €4.2 million, to businesses in the county between May and December.
• At the time of the adoption of the Budget 2020 the roads allocation for 2021 was not known, and as is the practice over many years Leitrim County Council applied the 2020 Roads Allocation as part of the budgetary process. In 2020 over expenditure of €396,601 occurred under the Roads Transportation & Safety budget heading attributable to additional overheads arising from the increased roadworks programme, coupled with the additional overheads arising from Covid-19, decreased car parking income and increased energy costs associated with public lighting.
• The over expenditure of €74,083 in Water Services is mainly attributable to increased costs in the administration of the Rural Water Programme and the timing of Irish Water recoupments.
• Over Expenditure of €886,603 under the development management heading is attributable to the rollout of the Restart Grant Programme within County Leitrim, coupled with the increased expenditure by the LEO office to support local businesses during the Covid-19 pandemic.
Councillor Felim Gurn queried if there will be any restart grants introduced this year.
Councillor Finola Armstrong McGuire thanked the Council for all the help, supports and rates waiver provided to ratepayers during 2020.
Councillor Des Guckian stated it was a pity that item 3 and item 4 were not discussed separately. He queried if there are any penalties to be imposed in regard to the Carrick-on-Shannon Public Realm project. He noted that the Annual Financial Statement as presented is unaudited and expressed his disappointment that this has not been audited at this stage.
In reply to queries raised - Mr Vincent Dwyer advised that the Local Authority have not to date, been notified of restart grants applicable in 2021. Mr Dwyer acknowledged the work of the LEO office who have provided a significant level of support to businesses during the Covid pandemic, and this will be continued in 2021.
Mr Vincent Dwyer outlined that the financial reports presented to the members relate to the Revenue account. The Carrick on Shannon-on-Shannon Public Realm works are funded through the Capital account. He stated that delays in projects of this scope are not uncommon and issues will be resolved with the contractor.
Mr Vincent Dwyer clarified that the Local Authority is legally obliged to present the unaudited report to the Members and informed the members that the Local Government Audit will commence in July and the final report will be presented to the Members at either the September or November meeting.
On the PROPOSAL of Cllr. Caillian Ellis
SECONDED by Cllr. Finola Armstrong McGuire
It was AGREED to approve the additional expenditure incurred by Leitrim County Council in the performance of its functions in 2020 in accordance with the provisions of Section 108(4) of the Local Government Act, 2001.