Leitrim County Manager, Jackie Maguire, has warned public representatives that the Council is facing “extreme financial difficulties” in 2013 as a result of cuts to Government allocations and to revenue generated through rates and other charges locally.
Speaking at Monday’s Council meeting following angry exchanges by councillors frustrated by restrictions to road repairs budgets, Ms Maguire said that this situation was expected to worsen next year.
Ms Maguire pointed out that funding for the Council had been cut by €291,000 in the third quarter of 2012 due to the lower than expected number of Household Charges collected nationwide.
Although the Council has escaped further cuts in the final quarter of the year, the County Manager said that there was no possibility of funding being recovered for Quarter 3 unless all outstanding Household Charge payments were made nationally.
“The reality is that there are now local authorities in neighbouring areas which are heading on the way to a situation where they are no longer viable,” she said.
“Leitrim County Council sources 86 percent of its funding from Central Government and this funding is expected to face further cuts in 2013.”
Added to this, Ms Maguire said that the Council was also facing a serious reduction in the income generated through rates, water and other charges which make up the remaining 14 percent of annual funding.
“We’ll be in quite a significant deficit at the end of this year. Our funding is diminishing day by day and the situation will not improve next year,” she warned.