Annual Budget 2010

Resolution proposed & approved at the Annual Budget Meeting

The Manager has provided for a reduction in the Commercial Rate of 2.9%.

It is proposed that an amount of €1,172,000 which represents 0.9% be reallocated to the spending programmes as follows.

€172,000 to be directed towards the provision of a County Homeless Service, (in addition to the ring-fenced funding resulting from the Councillors pledge on the Travel and Subsistence Fund) and this service to be operational on or before June 30th 2010.

€1m to be allocated to a Council Priority Housing Repair Programme for tenants in the County, to be completed by year end 2010.

This programme to be presented at the first O,P& F meeting in 2010.

“That the Draft South Dublin County Council Budget as presented for the local financial year ending

31st December 2010 be and is hereby amended as hereunder :-

EXP A01 Maintenance and Improvement of LA Housing Units +€1,000,000
EXP A05 Administration of Homeless Service +€172,000

Funded by:

an adjustment to the proposed Annual Rate on Valuation from 0.166 to 0.167 +€745,000
and additional incomes from the Local Government Fund grant +€107,000
and H11 Agency & Recoupable Services +€320,000 (Non-Principal Private Residence charge)

These changes are reflected in the figures and analysis contained in Tables A to F.”

The text of the Manager’s Report is currently being amended to reflect these changes. The updated version with charts will be available shortly.

Manager's Report

To: The Mayor and Members of South Dublin County Council 

Annual Revenue Budget 2010

Introduction

In Circular Fin 11/2009 the Minister for the Environment, Heritage and Local Government prescribed the periods for the holding of the statutory budget meetings of Local Authorities.  The prescribed period for County Councils is 24 November, 2009 to 13 January, 2010.  As the first Budget Meeting is 21 December, 2009 the final day for South Dublin County Council to consider and adopt the budget and determine the rate on valuation is accordingly 10 January, 2010.

The Corporate Policy Group was consulted and advised of the assumptions made in relation to income and expenditure in framing this budget.

Financial Context 

Commercial Rates

There has been a welcome expansion in the commercial rates base in South Dublin during 2009 resulting in increased income projections from commercial rates for 2010.  This increase in the overall valuation base when combined with significant savings has enabled the Council to provide for a 2.9% reduction to the general annual rate on valuation (ARV) in the 2010 Budget.

Local Government Fund

The total LGF General Purpose Grant allocation for 2010 is €24,289,702.  In the budget tables the local government fund grant is shown net of retained pension levy deductions of €3,590,000 and payroll savings announced by central government of €1,276,100 which represents 35% of the overall payroll savings).  The allocation represents a reduction of 1.6% on the 2009 revised allocation.

Non Private Principal Residence (NPPR) Charge

The newly introduced Non Private Principal Residence (NPPR) charge contributed in excess of €1.9m to South Dublin in 2009.  The €200 charge was introduced by the Department of the Environment, Heritage and Local Government under The Local Government (Charges) Act 2009.  The charge is based on self declaration by the owner and includes significant penalties accruing for each month left unpaid.  The charge is collected via a bureau service set up by local authorities to operate as a shared service initiative.  

Managing Resources

This Budget provides for Revenue expenditure of €253.5 million during 2010.  In 2009 the local authority saw reductions in divisional incomes totalling €28.4M including the following areas:

• Housing rents
• Planning fees
• Fire charges
• Property rental
• Domestic refuse charges
• Non domestic water charges

The 2010 Budget reflects the reduced incomes.  Additional provision has also been made for gratuity payments and increased pensions.   The adopted budget for 2009 was €284 million.  Through a series of interventions during 2009 this was revised to €256 million to take account of falling income.

The challenges faced by this Council include the management of all of the assets acquired and constructed over the years.  The current value of assets amounts to €4.1 billion.  It is important that provision is made to protect these assets and continue to provide essential services and expand where possible.

In presenting the Budget for 2009 I made a number of commitments:

• To maintain the frontline and direct service provision as far as possible
• To reduce the cost of management on a progressive basis
• To continue to foster interagency initiatives
• To continue the business process reviews underway in every Department
• To identify areas of waste and take a strategic approach to encourage citizens to reduce wasteful expenditure.

During 2009, in accordance with the instructions contained within Fin 03/2009 the Council monitored expenditure against income on a continuous basis and took appropriate action to reduce expenditure in line with reducing incomes.  This approach enabled this Council to reduce expenditure from €284M to €256M while at the same time keeping the impact on services to a minimum 

The following table reflects the impact of the changes necessary to reduce the budget for 2009 from €284M to €256M.

Analysis of Payroll

In recent years we have focused on reducing management costs, changing the role of staff from processing to using inter-connecting data and working with other agencies.  As a result of these strategies the cost of the management team has been reduced by 36% since 2008.  Not withstanding the reduction between 2008 and 2009 of staff numbers from 1,472 to 1,398, a range of new activities have been taken on by this Council.  The payroll cost for 2010 is €69.8M which represents 28% of the revenue budget.

Modernisation and Change

During 2009 we continued to build on the Modernisation Agenda by focusing our activities through teamwork.  As Members are aware, work is divided into three Clusters of the Management Team.

1. Spatial Planning and Infrastructure Delivery Cluster consisting of Planning, Roads, Environment, Housing, Community, Architects, Finance, Development and Parks Departments.
2. Quality of Life and Interagency Agenda Cluster consisting of Environment, Architects, Housing, Community, Law and Planning Departments.
3. Customer Services and Organisational Change Cluster consisting of IT, Human Resources, Finance and Corporate Services Departments

Over the years each budget as presented to the elected members reflects the positive impact of the Modernisation and Change Agenda.  We have managed to radically alter how we do business within existing resources and open up new possibilities for this Council.   In preparing the Budget for 2010 I am very conscious of the challenges ahead for this local authority.  However I believe that this strategic approach will enable this Council’s Elected Members and staff to embrace a leadership role to face the challenges ahead.  The OECD Report makes reference to the National Children’s Implementation Group as a role model of change in public services. This Council is one of four pilots reporting to this Group. This has ensured a collaborative approach with other agencies to take long and short term initiatives for children in our county.  This work will continue and expand in 2010.  We are already developing new inter-agency projects to tackle issues faced by people who find themselves unemployed, through the Intellectual Enterprise Zones Project we are working with FAS, Local Partnerships, South Dublin Chamber, Institute of Technology Tallaght and other groups.

Shifting Resources from Negative to Positive “The Cost of Yesterday”

During 2010 we intend to work on an initiative called “The Cost of Yesterday” to reduce the amount of resources consumed restoring the public realm as a result of the actions of individuals who take no responsibility and cause damage to our environment   We hope to begin the process of empowering communities to assist this Local Authority to re-direct resources from restoring our public realm to enhancing it.

Ownership of Facilities “Spaces for Change”

We will continue to explore ways of using our various buildings and facilities to welcome communities and other agencies to work together in a focused way to change outcomes for all our residents.

Since the adoption of Towards 2016 this Council has embraced the lifecycle approach as set out in the Developmental Welfare State concept.  This requires the public service to focus on Children, People of Working Age, Older People, People with Disabilities and Marginalised Communities.

This interagency approach is focused on achieving measurable outcomes for the next 6 years. These include:

early childhood development and care

improving education outcomes

improving health outcomes

promoting recreation, sport, arts and culture

income support

children and their families

The work of the Children’s Services Committee is influenced by the Childhood Development Initiative (CDI Tallaght). 

Impact of the Economic Change on Individuals

As the economic situation has deteriorated it is quite clear that an interagency approach is needed to help people who find themselves unemployed.

A Live Register update provided to the South Dublin County Development Board showed the total unemployed in South Dublin in January 2008 was 9,453.  At the end of November 2009 the total unemployed had increased to 23,705.  This represents an increase of 150%. 

As indicated this Council has set up a project which has led to the development of Intellectual Enterprise Zones which are creating a direct link with unemployed people.  We intend to use this project to ensure that people who find themselves unemployed are engaged in training that will enhance their employment opportunities.

We intend to identify areas affecting competitiveness and to work with existing businesses with a view to ensuring business survival.  South Dublin County Council is taking the lead role on behalf of the Dublin Regional Authority to tackle this complex problem. 

Local Authority of the Year

South Dublin County Council was named as Local Authority of the Year 2009 at Chambers Ireland’s 6th Annual Excellence in Local Government Awards.  In addition to the overall award South Dublin County Council won joint first in the Sports & Recreation category for Tallaght Stadium and Allotments and the Customer Care category for the Self Service Digital Area, County Library.   There were 10 projects from South Dublin County Council short-listed for the Chambers Ireland Awards 2009 in the following categories:

Arts & Culture

RUA RED Arts Centre
Noise Project

County Development Board

Integrated Economic Strategy

Environmental Services

Social Credits – Reverse Vending
Accessible Recycling Sean Walsh Park

Customer Care

Self Service Digital Area - Libraries
Accessible South Dublin County

Social and Community

Sensory Gardens

Sports and Recreation

Allotments

Political Leadership:

Mayor’s Initiative

As Members will see from previous budgets we have always included the “Mayor’s Initiative”.  This has ensured that the work commenced by individual Mayors is mainstreamed into our day to day activities.

Initiatives in the past have included:

• Tourism Company
• Ethiopian Friendship Project
• Tallaght City Project
• Anti-Social to Pro-Social Behaviour
• Tackling Unemployment (Intellectual Enterprise Zone)

This year the Mayor indicated his intention to engage with communities through a project called “Empowering Communities through Collaborative Ownership.”

This will provide a forum for communities to develop interventions to address issues affecting their lives.  A process of involvement in developing community assets through social enterprise will also be explored. Community consultation around the “Restorative City” concept will be undertaken.  The initiative will also seek to embrace disengaged communities and those vulnerable to substance abuse, poverty and homelessness.   

In 2009 two successful ‘Town Hall Talks’ which were hosted by An Cosán, South Dublin County Council and the Centre for Progressive Change provided a potential model for use as part of the Mayor’s initiative.

It is also intended to link this work with the innovative Social Credit Scheme referred to in this document. 

Public Realm Transformation

Members have expressed their concern in relation to the presentation of the Public Realm.  It is intended in 2010 to examine ways in which this Council can embark on initiatives to address problem areas in such a way as to reduce the impact on resources in future years.  Proposals will be considered with Elected Members at Area level.  A fund of €1 million has been provided in this budget to enable work to commence.

Activity of Local Authority Membership

In addition to attending Council Meetings, Area meetings, SPCs etc. the elected members of South Dublin County Council attend in excess of 180 meetings and the table below sets out the range of statutory bodies and other committees on which Council Members engage.

Statutory & Other Bodies
Audit Committee
CPLN
Civic Theatre Committee
Clondalkin Drugs Task Force
Dodder Valley Partnership
Dublin Bus Forum
Dublin 12 Drugs Task Force
SDCC Joint Policing Committee
Liffey Valley Advisory Committee
North Clondalkin Rapid Implementation Team
Tallaght West RAPID Area Implementation Team
Tallaght Community Arts Centre
Tallaght Drugs Task Force
SDCC Heritage Forum
South Dublin County Enterprise Board
South Dublin County Tourism Board
Dublin Regional Authority
South Eastern Regional Assembly
Dub Mid-Leinster Regional Health Forum
Meath Foundation at Tallaght Hospital
Regional Drugs Task Force
Dublin Regional Tourism Authority
Association of City and County Councils
Irish Public Bodies Mutual Insurance
Local Authorities Members Association
County Dublin VEC

During 2010 we will continue to enhance supports systems for the elected members such as Members-Net and CMAS.

Corporate Plan

Our new Corporate Plan will be finalised with the Elected Members in early 2010.   We hope to build on the success of the previous plans and provide solutions to the new challenges resulting from the economic downturn. 

Conclusion

I would like to acknowledge the contribution made by former Mayor Corr and thank Mayor Duff and members of the Council for their valuable contribution during 2009. 

The preparation of the Annual Budget is a detailed and demanding task so I would like to thank all of the management team and staff who worked with me on this budget.  I would like to acknowledge the staff members who retired during the year, Tom Doherty, Deputy Manager and Director of Planning, Frank Coffey, Director of Transportation, Pat Smith, Director of Community, Michael Keyes, Head of Human Resources and Adrian O’Gorman, Law Agent.

I would like to thank in particular Clodagh Henehan, Patricia McLoughlin and Sinead Dunne and their staff who managed and co-ordinated the process.

I recommend the adoption of the Budget for 2010 as presented and the determination of the general annual rate on valuation of 0.166.

Joe Horan
County Manager

Table of Expenditure & Income 2010/2009

Divisions	Budget Expenditure 2010	Budget Expenditure 2009	Budget Income 2010	Budget Income 2009
Housing & Building	€51,397,900	€61,881,100	€48,583,500	€55,741,500
Road Transport & Safety	€30,755,100	€33,485,600	€ 6,120,600	€  7,704,200
Water Services	€36,644,800	€41,977,700	€ 7,538,900	€10,813,400
Development Management	€13,429,300	€16,720,800	€ 2,665,000	€  6,202,600
Environmental Services	€66,271,200	€74,611,000	€29,000,500	€40,305,500
Recreation & Amenity	€33,142,800	€38,357,900	€ 5,946,600	€  7,052,100
Agriculture, Education, Health & Welfare	€ 5,638,600	€  5,751,100	€ 4,347,700	€  4,298,400
Miscellaneous Services	€18,273,400	€11,469,500	€  3,735,300	€  3,862,200
Total	€253,553,100	€284,254,700	€107,938,100	€135,979,900

Sources of Expenditure 2009 – 2010

Table of Sources of Expenditure 2009 – 2010

Sources of Income 2009 – 2010

Table of Sources of Income 2009 – 2010

Income and Expenditure 2001 - 2010