PrintBudget 2009 - Summary
Kilrush Town Council Budget 2009 – Summary
Overview
The budget provides for total expenditure of €1,736,384 in 2009 compared to €1,701,035 in 2008 (a 2.1% increase). Income has been estimated at €887,179 compared to €884,014 in 2008(a 0.5% increase).
It has been a particularly difficult exercise to balance the budget for 2009 with a 6.3% reduction in the Local Government Fund. Insurance Premiums have also been increased by 10%. Notwithstanding this Kilrush Town Council have managed to maintain the existing level of services without having to increase parking charges and by increasing commercial rates by 3% . This increase has been kept to the absolute minimum being mindful of the present difficult economic circumstances.
Factors impacting on the budget include the following :
Loan Requirement
A loan was drawn down in 2005 to fund the deficit on the Council’s revenue account that accrued from previous years. In addition to this, debit balances on the Council’s capital account were funded. These debit balances accrued as a result of works on the upgrading of Henry Street and the Vandeleur Walled Garden project. Consequently, loan repayments in the sum of €85,836 have been provided for in the budget, broken down as follows: Henry Street €13,433, Vandeleur Walled Garden €36,582 and Revenue Deficit €35,821.
Pay Costs
The budget reflects increases in pay costs due to the effect of nationally agreed pay awards as well as increments due to employees of the council whilst at the same time complying with the national directive to achieve a 3% reduction in Payroll outturn from 2008.
Local Government Fund
The Department of the Environment, Heritage and Local Government (DoEHLG) indicated that Kilrush Town Council were being allocated a total of €664,406 under the Local Government Fund for 2009.This represents a 6.3% reduction from the Local Government Fund allocated for 2008.
Rates
A rates cap does not apply for 2009. The budget includes a provision to increase the General Annual Rate on Valuation by 3%. This increase reflects the net increase in the cost base projected for 2009 to sustain the ongoing service level, after allowing for the decrease in the Local Government Fund outlined above.
New Costing Project
In 2008 the format of the Budget changed with the launch of the new costing model by the DoEHLG. The costing model will assist Local Authorities in achieving more effective Value for Money and to demonstrate greater efficiency in the use of resources. The model also assists in demonstrating the transparent cost of services and therefore a clear basis for appropriate charging.
Income and Expenditure Details
Division A – Housing and Building
A provision of €37,000 for the maintenance and repair of local authority housing has been provided for in the budget. come from rents of local authority dwellings is estimated at €320,000.
Kilrush Town Council was successful in obtaining approval from the Department’s new Sustainable Communities Fund . The projects for which funding was approved relate to aspects of the social regeneration programme for John Paul Estate. They are i) youth working ii) parent support working and it is hoped that two Outreach workers and two Community workers will be appointed in early 2009. The sum of €104,000 is provided in Division A, for which there is a contra Dept grant fund income of €93,600.
Division B – Road Transport and Safety
Maintenance of the road and footpath network in the town is funded by way of grant from the DoEHLG. It is estimated that an allocation of €200,000 will be received in 2009, and on this basis, a contra equivalent has been included in expenditure.
It should be noted that the Council’s programme for the improvement of public lighting in 2009 will be provided for in the capital programme. A roads programme to include improvement proposals will be brought before the Council early in 2009 for approval.
Parking fees have not been increased since June 2006. Income from pay parking has been estimated for 2009 at €107,000. It should be noted however that a review of car parking will be carried out during the course of 2009 to investigate the necessity of introducing parking charges in the Place de Plouzane to further improve the traffic management of the town.
Division C – Water Services
Clare County Council took over the water and waste water services on January 1st 2006 by agreement under the Local Government Act 2001. Included in this programme group are income and expenditure elements for Agency Services of €28,668. This represents the costs of the revenue collection of water/wastewater, which is recouped from Clare County Council. Kilrush Town Council’s liability for water and waste water functions are reflected in the overall County Demand.
Division D – Development Management
Kilrush Town Development plan was adopted in March 2008. The cost associated with the review and the production of the new plan, (€15,000) in 2008, is therefore not provided for in the 2009 budget.
It is anticipated that in the current economic climate that the number of planning applications received will significantly reduce hence a reduced provision of €11,200 for planning application fees has been provided for in 2009.
Also included in this programme group is a provision of €28,000 for development and promotion, to fund ongoing marketing and development initiatives and annual subscriptions as well as new initiatives.
As in previous years, support for various projects including the Marine Tourism Project and the St. Patrick’s Day Parade have been provided for. The assistance to community projects has been increased to €5,000 under the relevant grant scheme for 2009.
As part of Kilrush Town Councils three year investment in Christmas lighting a sum of €10,000 has been provided for in the 2009 budget to support the third year of this investment.
Division E – Environmental Services
This programme group provides for a sum of €10,000 for waste disposal in Lisdeen. A provision of €100,000 is provided for street cleaning to ensure that the tidiness of the town is maintained which greatly assisted in Kilrush retaining its gold medal.
Division F – Recreation and Amenity
Employer’s PRSI of €17,000 has been provided for which the Council is liable for as a sponsoring body of two FAS schemes (Job Initiative and Community Employment) and one Pobal scheme at the Vandeleur Centre. The ongoing contribution of these schemes to environmental and community achievements and to tourism development is acknowledged.
2008 saw the town of Kilrush retaining a gold medal in the national Tidy Towns awards. A provision of €4,000 has been provided for the Tidy Towns Committee to mark the continued support of the Council for this very successful community effort.
Division G – Agriculture , Education , Health and Welfare
The cost of running Cappa Harbour for 2009 has been estimated at €4,500. The budget provision will be transferred to meet expenditure as shown in the Council’s capital account.
Division H – Miscellaneous Services
The cost of running the Local Election has been provided for in 2009 at a cost of €16,000.A provision of €11,739 has also been provided for Gratuities for Retiring Councillors.
Appendix 1 – Central Management Charge
Expenditure in this programme group includes items and services which cannot be attributed solely to one programme group. The expenditure incurred is charged back to each of the 8 Divisions on the basis of Cost Drivers.
A provision of €40,000 has been provided for in 2009 for the ‘New Civic Offices Fund’ towards the provision of new Civic Offices as agreed by the members. The provision made is significantly lower than had been expected.
Conclusion
I would like to acknowledge and express my appreciation to the Town Clerk, Town Engineer and the staff of the Council, in particular Colette Costello, for their assistance in the preparation of this budget. I also wish to acknowledge the constructive approach and support of the members in delivery of the 2008 work programmes.
Bernadette Kinsella.
Director of Service and Town Manager.
11th December 2008
Director Of Service & Town Manager.