Brendan Smith urges ring-fenced funding for Local Improvement Scheme
Brendan Smith spoke in the Dáil on 21 Nov 2019 about the Local Improvement Scheme (LIS), pressing the minister to reintroduce a dedicated, ring-fenced funding stream for 2020. He argued current small-scale CLAR allocations and discretionary grant arrangements are inadequate for rural communities and called for a return to the long-standing funding model.
Statutory basis and responsibilities
Section 81 of the Local Government Act 2001 provides the statutory basis for the Local Improvement Scheme. The speech reiterates that maintenance of roads not taken in charge remains the responsibility of relevant landowners, that State assistance can be provided under the LIS, and that any assistance is conditional on a financial contribution from beneficiaries.
Funding history and changes
The Deputy reviewed the funding history: the Department provided ring-fenced LIS funding up to 2012 but stopped dedicated funding during the financial crisis. From 2013 to 2017 local authorities could use a proportion of their discretionary grant for LIS (7% in 2013, rising to 15% from 2014). In September 2017 the Minister for Rural and Community Development reintroduced dedicated funding and, the minister noted, close to €50 million has been allocated to LIS since 2017; the option to allocate a proportion of discretionary grant ceased from 2018.
Deputy's case for ring-fenced 2020 funding
Brendan Smith argued the Local Improvement Scheme is vital for rural parishes where laneways can serve many family homes, enable new homebuilding on family lands, and support emergency services, community facilities and tourist access. He appealed for a specific funding stream in 2020, saying the ring-fenced model had served communities for decades and should be reinstated to support rural regeneration.
Minister's response and coordination issues
The minister acknowledged the funding pressures on public roads and said he was open to discussions with Deputy Ring and Minister Ring about how LIS is implemented. He pointed out two ministers have been funding LIS-related measures and suggested better coordination would be useful, while noting recent interventions have released funds for public roads in his Department.
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Minister, the Local Improvement Scheme is particularly important for our rural communities and all our rural parishes throughout the country. Oftentimes there's a misconception in regard to who the Local Improvement Scheme benefits. In many instances it's not maybe just two family homes, there can be up to a dozen family homes sited along such laneways, roads. Unfortunately, the Taoiseach, as Minister for Transport, abolished the funding stream for the Local Improvement Scheme while he held that office. Now, in the last few years there is some funding, small-scale funding through the CLAR programme, but it's not near adequate. Minister, due to the importance of this particular scheme for rural communities, I would ask you to have a particular funding stream in 2020 for the Local Improvement Scheme, as there was for decades in the past. The Taoiseach took a decision which was forced upon him by financial circumstances. Which he didn't want to take, absolutely no doubt about that. And you'd be aware of the fact that those local schemes are now back in existence, local improvement schemes are back in existence. The maintenance of roads not taken in charge by local authorities is the responsibility of relevant landowners. However, Section 81 of the Local Government Act 2001 provides the statutory basis for the local improvement schemes. Under that scheme, funding can be provided by the Minister for Transport to local authorities for the construction and improvement of non-public roads, that is, roads not taken in charge by local authorities, which meet the very specific criteria set out in the Act. A contribution from the beneficiaries is required in all cases. Section 81 of the Local Government Act 2001 states that assistance by a road authority under the LIS is conditional on a financial contribution by the relevant parties. Section 81 of the Local Government Act also provides that, after consultation with the Minister for Transport and with the consent of the Minister for Finance, another minister may make a grant to a road authority in relation to non-public roads in accordance with the scheme made by that other minister. Therefore, State assistance can be provided under the statutory local improvement scheme, and up to 2012, my Department did provide ring-fence funding for this scheme. However, due to the major cutbacks in roads funding arising from the financial crisis, it was necessary for the Department to stop providing dedicated funding for LIS in 2012, and there was no funding for LIS in that year. After that, from 2013 to 2017, while there was no separate allocation for the Local Improvement Scheme, local authorities could use a proportion of their discretionary grant for the LIS scheme if they chose to do so. The allowable proportion of discretionary grant was 7 percent in 2013 and was increased to 15 percent from 2014 onwards. The reason this approach was taken was that it was considered that councils were best placed to decide whether to concentrate the limited grant funding available on public roads or to operate a local improvement scheme for non-public roads. In September 2017, my colleague, the Minister for Rural and Community Development, reintroduced dedicated funding for the Local Improvement Scheme and is continuing to fund the scheme. In light of the significant funding being put into LIS by that Department, and the pressing need to direct resources into maintaining and renewing public roads, it was decided that the option of allocating a proportion of the discretionary grant to LIS would no longer apply from 2018. I am open to discussions with Deputy Ring on this. Minister, I would very much like if the Ring Fence funding could be allocated to each local authority. You talk about the Council being in a position to use the discretionary funding. We know the non-national road budget has been cut back over the years, and the county road network, the region road network, takes priority, and that's understandable. Minister, if we are talking about rural regeneration, we're talking about encouraging people to live in rural communities. One of the basic requirements is that people have a road to their home up to an adequate standard. We are now depriving people of the opportunity to build new homes on sites that can be given to them by parents or by siblings. It's a great investment in rural communities. Minister, I would appeal to you to reintroduce that Ring Fence funding that was available through bad financial times and through better financial times through the decades. That funding was in place, and I would appeal to you to put it back in place again. It would benefit so many communities, so many individuals. And it's essential also for service providers and for people providing emergency services. And in many instances, these roads lead to community facilities and lead to tourist attractions as well. Thank you. One minute. Yeah, I understand what the Deputy is looking for. Well, what I'd say is this. We probably have a situation which wasn't envisaged some years ago, that it became the practice of another minister to do this. But I'm open to discussions with Minister Ring in relation to the LASs and how they are being implemented. I do have to be conscious of the fact that funding for public roads is still below the level needed to achieve steady state. And it's the case that close to 50 million has been allocated by the Department of Rural and Community Development to LASs since 2017. We do, as the Deputy will know, we are still funding CISs. But the fact that there are two ministers in a position to fund LASs probably would make it useful if we coordinated on this and two ministers weren't actually distributing money in this way. And what it has done, it's of no comfort to the Deputy here, but the intervention of Minister Ring has, of course, released funds for public roads in my department, which is which public roads are benefiting from. Minister, I would very much welcome the funding, no matter what department it comes from, but we need a multiple of what's been allocated at present. In my own county of Cavern, there's a 10-year waiting list. In my neighbouring county of Monaghan, there's an 8-year waiting list. There are people living along laneways and roads where emergency services would not be able to access those homes in the case of emergencies happening. So, Minister, I would appeal to you to ensure that there's a multiple in funding provided in 2020 for what there has been provided over the past few years. Minister, final response, please. Yeah, they haven't gone away. You know, in fact, they've been revived. Since 2017, the Department of Rural and Community Development has amounted quite a lot of funds to LIS. I'll just read them out to you. In 2017, it was 17,539,000. In 2018, it was 20,800,000. In 2019, so far, it's 10 million. That's 48 million. So, that's fairly substantial amounts are being – and the 2019 isn't even over yet. So, that is very substantial amounts are being given to LIS. Yes, I think what the deputy is saying is not enough, and he doesn't care from which department it comes. I don't particularly care from which department it comes either, actually, I must say. And I think it's a – particularly, it's a worthy scheme, and I understand what the deputy is saying. But it would be wrong to suggest or to conclude from what he's saying that somehow these have been abolished. They haven't been, as you know, distributed by my department, but they have been distributed by another department. And what I reiterate is this, that we do have an anomaly here. I'm very happy, and I will promise to talk to Minister Ring about these and to see that there's a coordinated approach to this. It's not been a good day.
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