Auditors criticise Cork City Council overtime levels and spending on electric vehicles and 'robot trees'

The report by the Local Government Audit Service shows almost two-thirds of the council’s 1,500 staff were in receipt of overtime and other allowances in 2020.

Government auditors have expressed concern at the level of overtime and various allowances paid to staff in Cork City Council.

The report by the Local Government Audit Service shows almost two-thirds of the council’s 1,500 staff were in receipt of overtime and other allowances in 2020.

A total of 994 staff earned €11.87m in such payments, with 247 council employees receiving over €20,000 each in overtime and allowances that year.

The auditors have called on Cork City Council to set out a specific timeframe for concluding a review of overtime pay and allowances as well as local pay rates.

The financial watchdog for local government said the council should implement an action plan and seek approval from the Department of Housing, Planning and Local Government for local rates and allowances where necessary.

In response to the auditors, the council’s chief executive, Ann Doherty, said its review of allowances had resulted in the discontinuation of several payments and the schedule of allowances payable to staff was being updated.

Ms Doherty said appropriate approval for the payment of allowances would be sought from the department “where necessary.” 

Auditors also criticised the lack of a documented business case by Cork City Council for its acquisition of 74 electric vehicles in 2020.

They said the council had not assessed the corporate needs, costings and measurable targets for acquiring the vehicles prior to signing a supply services contract for their use for a period of up to five years.

“Although over a year has passed since the council commenced hire of these vehicles, a formal assessment has not been conducted by management of the original assumptions and estimates made to allow an assessment of value for money,” the report stated.

In reply, Ms Doherty noted the auditor’s comments but pointed out that the EVs had replaced existing fleet vehicles that were hired under a contract that had come to an end.

“These new electric vehicles are consistent with the council’s strategy to reduce carbon emissions,” said Ms Doherty.

She said a formal value for money assessment had been planned which was scheduled to start at the end of last year.

The council was similarly criticised for the lack of any value of money assessment conducted in advance over the expenditure of €404,000 in October 2020 on five robot trees which were installed as part of the council’s strategy to tackle air pollution in Cork.

The five, four-metre tall “city trees”, which were fully funded by the National Transport Authority, were installed on St Patrick’s Street and the Grand Parade in August 2021.

The street furniture, which uses Internet of Things technology, filters harmful pollutants from the air.

The council said a procurement competition was not held for the acquisition of the “city trees” as they represented a new technology and a unique product provided by a sole supplier.

Ms Doherty said it had not been possible to complete a full, traditional value for money assessment prior to deploying the “city trees” “given the constraints of piloting new technology.” 

The audit report showed Cork City Council recorded a net surplus of €35,187 for 2020 after €12.4m was transferred to reserves.

Ms Doherty said the council’s financial performance, notwithstanding the challenges which arose during 2020 due to the pandemic, was “very satisfactory.” 

The audit also revealed that just €163,000 was paid out of €3.2m due to the council in 2020 in relation to 95 properties on its Derelict Sites Register.

It noted few property owners pay their annual levy and outstanding amounts are not cleared until the property is sold.

Similarly, only €22,000 out of €505,000 deemed due by the council was collected in relation to properties listed on its Vacant Sites register.

Ms Doherty s said the council would continue to actively pursue monies due in respect of the levy for vacant sites.