COMHAIRLE CONTAE ÁTHA CLIATH THEAS
SOUTH DUBLIN COUNTY COUNCIL

South Dublin County Council Crest

MEETING OF SOUTH DUBLIN COUNTY COUNCIL

Monday, February 09, 2015

QUESTION NO. 11

QUESTION: Councillor D. Looney

To ask the Chief Executive, in respect of the Council's decision to promote and advance a policy of participatory budgeting, to outline the work undertaken to date to seek to introduce an element of this policy into the Council's Budget, and the plans to incorporate participatory budgeting in the 2016 Budget process?

REPLY:

It was agreed by the members at the January 2014 Council meeting to examine the introduction of an element of participatory budgeting in formulating its 2015 Budget and that a report should be brought to a future meeting of Organisation, Procedure and Finance Committee for consideration.  A report on Participatory Budgeting was noted at the March 2014 meeting of the Organisation, Procedure and Finance Committee. The report noted that "in accordance with section 103 of the Local Government Act 2001 the adoption of the annual budget is a reserved function of the members of a local authority. In addition section 102 of the Local Government Act 2001 provides that the manager shall consult with the corporate policy group in the preparation of the draft local authority budget. A decision which may influence future budgets should be cognisant of these statutory provisions and of the affect of any changes to the current budgetary process on the new council which is likely to require additional time for budgetary debate arising from the increased number of members following the local elections in 2014".

The Minister for the Environment, Community and Local Government issued the following additional guidance in 2014 relating to the budget process:

The regulations and related circular provides an enhanced role for the Corporate Policy Group in the preliminary phases of preparation of the budget (in particular noting the CPG role in setting of overall parameters, identification of issues to be addressed and approaches to be taken). Circular Fin. 11/2014 prescribes the reporting format of the preliminary estimate of capital and current income and expenditure to be returned following the completion of the Budget Strategy phase.

A Local Property Tax variation process is progressed alongside the budget strategy and once decided by the members it forms a key part of strategy and influences the draft budget. Circular Fin. 08/2014 provided guidance to local authorities following the publication of S.I. No. 296 of 2014 Local Property tax (Local Adjustment Factor) Regulations. The circular provides further guidance on the Public Consultation Process outlined in Part 3 of S.I. No. 296.

The adoption of the annual budget is a reserved function of the members of a local authority and the 2014 changes have enhanced role of the Corporate Policy Group and the members in setting parameters for the budget.  The budget strategy and the LPT variation process must be completed by 30th September and following this the members meet on a date scheduled between 1st and 24th November to consider the draft budget. The time available to develop the budget strategy into a detailed draft budget is further restricted as the draft budget must be circulated not less than seven days before the annual budget meeting. 

The decisions about the content and allocation of resources within the budget are reserved powers of the members of the council so the implementation of a participatory process in advance of these decisions would be premature and might be misleading for communities.  A participative budget is based on a layered system of consultation and community participation in financial planning.  The process is driven from local to district to area (to county) consultation and prioritisation and the limited time between completion of the budget strategy and the prescribed budget period does not allow adequate time to deliver a participatory budget process.     Section 50 of the Local Government Reform Act 2014 provides that service delivery plans, consistent with the provisions in the budget, must be prepared following the adoption of a budget by the members.  The preparation of operational work programmes could be considered as an alternative means to achieve participation in community budgeting decisions.