Homeowners ‘should pay quality of life tax’

HOMEOWNERS should pay a new tax for ‘quality of life’ services according to Kerry County Council.

Stopping short of saying such a tax would mark a return of domestic rates, which were abolished in 1977, the council’s head of finance John O’Connor said an annual householder’s contribution scheme was now necessary.

While the estimated cost per house has not been worked out, the tax would fund improvements to beaches, libraries, street-scapes, cultural projects and playgrounds.

“A key objective for Kerry County Council for any reform of local government funding should be the widening of the base of local income, from whatever source over which it has control,” Mr O’Connor said.

The majority of councillors support his proposals, which are contained in a report to be sent to consultants working on the future funding of local government in Ireland.

Kerry Mayor Ned O’Sullivan said people could not be looking for everything unless they were willing to pay.

“Everyone wants a playground in Ballybunion, but very few want to pay for it. If we want to run our council as a business we must be prepared to charge. We have an opportunity through development levies,” he added.

This year Kerry County Council will spend around €170m, but can only raise 13% of its total income through commercial rates from 2,600 businesses.

Mr O’Connor described this as a very narrow income base. The council was being extended all the time to provide core services, such as roads and water, and money could not be provided for ‘quality of life’ measures.

In the absence of any other source of funding he called for an annual contribution scheme, funded by local householders, for ‘quality of life’ services which would be decided by councillors.

Mr O’Connor also believed everyone should pay full bin collection charges and rents, and inability to pay should be dealt with through the social welfare system.

Kerry county manager Martin Riordan said the council should be prepared to increase fees for planning services, which cost €1.5m per year to provide.

He said the council was facing major increases in water and sewage costs and public demands for most services continued to grow.

“We could decide as a council that we want another service, but we’ve no means to pay for it. There should be a local charge for such services. We need some system of local contribution and can’t keep going back to a low-rates base,” Mr Riordan said.

When FF Cllr Paul O’Donoghue asked what steps were being taken to recover €1.3m due in development levies to the council, he was told by Mr O’Connor the vast majority was owed by individuals in relation to parking.