Minutes:
Councillor Paddy O’Rourke proposed that the Budget as presented be adopted. The proposal was seconded by Enda McGloin seconded.
Councillor Des Guckian stated he was opposing the adoption of the Budget as presented stating the budget was inadequate due to the provisions for Homelessness Services, Agriculture, Land drainage and lanes. Councillor Des Guckian stated he was opposing the the 3% rate increase stating town centres are being run down and he referred to the number of local businesses that are closing down.
Councillor Mary Bohan outlined that it is a difficult position for the members to be in. She stated that all members are looking for funding for their communities and she acknowledged the investment in projects throughout the County. She stated that it is important to have match funding in order to enable these projects which improve the County. Councillor Bohan queried what the average increase in rates would be for a shop or pub.
Mr Vincent Dwyer outlined that the vast majority of commercial rate payers are paying less than €3,000 per annum, with the average being approximately €2,000 per annum. A one percent increase on a rates bill of €2,000 is €20.00 per year.
Councillor Mary Bohan outlined that there are many other factors which contribute to businesses closing down including people not supporting their local businesses.
Councillor Justin Warnock outlined that he could not support the 3% rate increase given that the country is still in a pandemic and the impact of that is not yet known. He also referred to the possibility of a trade war between Europe and the UK, and he outlined his view that the rate increase should be deferred for a year.
Councillor Thomas Mulligan acknowledged that the members are concerned for smaller businesses. He stated that some larger businesses have done very well during the pandemic and will be able to meet the increase and he said an increase of €30 on €1,000 will not impact most businesses.
Councillor Finola Armstrong McGuire said that her representations to Leitrim County Council are appeals from communities for more funding for projects. She noted that the Council has been very supportive of Tourism projects. She also expressed thanks for the Business Supports and Rates Waivers schemes that were provided over the past two years. In supporting the rates increase, Councillor Armstroing McGuire said if businesses and town want supports from the Council then they must be prepared to contribute when asked by the Council. Councillor Finola Armstrong McGuire asked people to buy local and support their local businesses.
Councillor Felim Gurn said the timing is wrong and he outlined that a lot of people have left the hospitality sector. Councillor Gurn referred to his own situation and stated that it is unfortunate that there has been no correspondence with businesses regarding this rate increase.
Councillor Padraig Fallon said he has engaged with a number of small indigenous family run businesses who are impacted by costs such as rising inflation, carbon tax, and increased energy prices and many of these businesses now open just 3 or 4 days a week. Cllr Fallon said he is concerned about the timing of this rate increase, and he acknowledged many businesses have outstanding bills and are fearful about remaining open. He acknowledged some businesses can absorb the increase and highlighted the need for businesses to be listened to.
Councillor Des Guckian said he agreed with Councillor Gurn and Councillor Warnock and this will be the “straw that breaks the camel’s back.”
Councillor Ita Reynolds Flynn outlined that as the owner of a small business, she was grateful to have received the recent rates waiver and other business supports. She outlined that it is difficult to agree with the 3% increase in rates, however when she looks at projects in Ballinamore that have been completed and at projects yet to be completed in the area, she has to support her community and support the rates increase.
Councillor Brendan Barry outlined that he understands Leitrim County Council is attempting to generate income in order to attract capital investment funding. He outlined he was in support of calls for a deferral this year. He also referred to the manner in which rates are calculated and stated it is not reflective of what is happening in businesses.
Councillor Enda McGloin said he decided to contest the Local Elections in 2019 because of his ambition for his “town and county”. Councillor Enda McGloin asked what can Leitrim County Council do to enhance the infrastructure to bring more people into the county. Councillor McGloin referred to the 20% match funding that is necessary for projects to happen in the County and he noted that the Government give 80% to drive investment into the county.
Councillor Enda McGloin acknowledged the challenges businesses are facing as he had previously been in business. However, he highlighted the need for the Council to drive investment in the towns and villages in Leitrim. He stated that if the rates increase is deferred to next year, no further applications for projects will come from the Executive and there is a level of expectation for investment. He further outlined that the proposed 3% increase is below the level of inflation and it will allow the investment programme to continue as planned.
Councillor Mary Bohan outlined that valuations are set by the Valuation Office, not the Local Authority.
Councillor Felim Gurn outlined that he had no issue with the need to drive investment in the county, however the timing is wrong and queried if there is an option to consider in six months.
Cathaoirleach, Councillor Paddy O’Rourke outlined that it is a statutory requirement that the Annual Rate on Valuation is decided at the Budget meeting. Councillor Paddy O’Rourke outlined that it did not give him any comfort to see an increase in the rates, but the match funding has to be found and a very progressive list of capital projects have been brought before the members. He noted that 14% of our income comes from rates and it is unfortunate that this increase falls on a small number of businesses. Councillor Paddy O’Rourke raised the question as to how it will be determined which projects will be abandoned if the funding is not made available.
Proposed by Councillor Paddy O’Rourke seconded by Councillor Enda McGloin AND AGREED
“That Leitrim County Council adopts for the financial year ending 31st December 2022, the Budget set out in Tables A and B as amended, and further resolves to determine in accordance with the said Budget the rates set out in Table B to be the Annual Rate on Valuation to be levied for that year for the purposes set out in those Tables.”