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Local Authorities in Ireland in red by overspending on projects totalling €540m

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  • 12-03-2014 1:21pm
    #1
    dublinman1990
    Registered Users Posts: 8,300 ✭✭✭


    This is has come up from the Indo this morning.

    http://www.independent.ie/irish-news/councils-spend-half-a-billion-on-projects-theyre-unable-to-afford-30084089.html

    How did our councils overspend €540 million euro on their "projects" with no funding at all is difficult to understand at all levels of thinking. And 20 of the 34 local authorities in this country are now technically insolvent. WTH is going on here????:eek::eek::eek:

    I know that this news is going to put more undue pressure from local constituents to pay charges like the LPT, HC and Water charges. But for them including myself to pay these charges to cover loans and overdrafts from banks really is sickening to find out.

    Think about it folks. Over €6 billion was spent on projects in 2008 to a huge drop to about €1.3 billion in 2012.

    And than it talks about special "acting up" allowances for council staff without any remit from the Dept of Environment. Will the gravy train ever stop for council officials at this level of obscene madness at all? Pfft....The answers from all the councils would be a resounding no.

    These are just my opinions on it folks. But really on a story like this, it did need to be put there in the open on how councils here in Ireland cannot balance their books.


Comments

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    #2
    woodoo
    Closed Accounts Posts: 5,219 ✭✭✭woodoo


    The old view was if they had money they needed to spend it or else they wouldn't get the same the following year.


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    #3
    Larbre34
    Registered Users Posts: 23,796 ✭✭✭✭Larbre34


    Ive supplied reports to a few of the CoCos around the Country and know what it is to be in a payment relationship with them

    The Councils act as 'client' on infrastructure schemes with the funding coming from various Govt depts. As client, they are the ones who are parties to the contracts attached to the projects. When central Govt turned off the funding streams, the Councils were left holding the baby, i.e. they still had contractual obligations and payments to make. Your own citation of the spending proves the point. The hole in the finances is those obligations, as it would be more costly still to renegue on the contracts and be taken to court for non-performance. You could call the current problem the lesser of two evils.


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    #4
    RandomName2
    Registered Users Posts: 5,565 ✭✭✭RandomName2


    Sure the second Dun Laoighre library alone is costing €165 million.


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    #5
    Fratton Fred
    Closed Accounts Posts: 26,567 ✭✭✭✭Fratton Fred


    RandomName2 wrote: »
    Sure the second Dun Laoighre library alone is costing €165 million.

    I believe it is €35m, but it is a complete vanity project for the council.

    It will be a good facility for the town, but it is a town that desperately needs money spent on roads and pavements.


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    #6
    RandomName2
    Registered Users Posts: 5,565 ✭✭✭RandomName2


    Fratton Fred wrote: »
    I believe it is €35m, but it is a complete vanity project for the council.

    Thankfully you.. seem to be correct. The couple of sources I've seen made vague pronouncements making it seem that €35m was part of the cost with €165 being the total expenditure - I think that the €165 figure may be DRCoCo total expenditure including the building
    Fratton Fred wrote: »
    It will be a good facility for the town, but it is a town that desperately needs money spent on roads and pavements.

    While the council stresses the "cultural centre" aspect of this thing, that has the smell of art-fartery about it. How exactly do you define a cultural centre? A coffee shop and auditorium? Hmm...

    As for the library aspect - there's already a library in Dun Laoighre. So superfluous is this that they are going to be closing down the Carnegie library. They are as yet unsure what they are going to do with the vacant space.

    The poor road infrastructure has been a chronic ailment of the town - it only really has one decent road - and that was cobbled, then pedestrianised, then made buses-only, then one-way, then uncobbled. Sigh. It is much easier to get to, let's-say Dundrum, by car; the net effect of which been a significant impact on the long-term viability of businesses in the Dun Laoighre region.


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