The tax will yield over €1.2 million for community services next year..

No rise in Local Property Tax for 2021

The Local Property Tax in Tipperary will stay at the same level in 2021 after councillors this week supported Tipperary Co Council CEO Joe MacGrath's call to leave the demand unchanged.
A vote at the September meeting of the council resulted in councillors agreeing to maintain the 10% LPT increase introduced last year by a margin of 22 votes to 17. It means Tipperary householders will not have to pay anything more in 2021 while the tax will yield over €1.2 million for community services next year.
The 10% voted on last year equated to an average increase of 36 cent per week per household.
Those opposed to the CEO's call claimed the tax would be a further burden on people already struggling financially; they believed the financial shortfall should be made up by borrowing.


ALLOCATING FUNDS
Head of Finance Liam McCarthy outlined the situation facing the council, on which councillors had been briefed at a workshop held earlier this month. He said half of the additional €1.2 million generated by the LPT would be allocated between Tipperary's five municipal districts. In the Nenagh district, LPT funding was used for roads projects in Newtown, Ballina and Cloughjordan, as well as lighting and festivals like Nenagh 800 - all of which would similarly benefit in 2021, Mr McCarthy said.
The other half of the €1.2 million would be divided between community leisure centres and arts centres in Nenagh, Roscrea, Thurles, Clonmel, Carrick-on-Suir and Tipperary town.
Mr MacGrath wanted to clarify that householders would pay exactly the same LPT as in the current year, and that the additional revenue would not be used to plug the council's own shortcomings.
“Every cent is invested back into local projects, local facilities, local events. It doesn't go into administration or overheads,” Mr MacGrath said. 
He warned that if the councillors did not agree to maintain the tax, their decision would impact on the allocation to community groups and services in 2021.
“We are facing a difficult year. This is the only method by which we can fund these services,” he said. “There is no Plan B, councillors.”

The CEO spoke of the difficulties facing local leisure and arts centres and said €265,000 would be allocated to the Nenagh, Clonmel and Tipp town leisure centres. 
“I need this money to keep those pools open next year,” Mr MacGrath told the meeting.

LEISURE AND ARTS CENTRES
A further €337,000 would be spread between the leisure centres in Roscrea, Thurles and Carrick-on-Suir, as well as Nenagh Arts Centre, South Tipperary Arts Centre, and the Excel and Canon Hayes Centre in Tipp town.
Mr MacGrath also clarified that council tenants do not pay Local Property Tax. Seeking the councillors’ support, he said the long-term benefits of the tax would far outweigh the short-term difficulties. 
Cllr David Dunne (SF) spoke against the proposal and said he was “very annoyed at the way in which the debate has been framed”. He called for the Tipperary LPT to be reduced by 10% back to the base it was at last year. 
Cllr Dunne said many of those who use the council’s leisure centres and other facilities would be impacted upon by the tax. “When the bankers were going mad, the ordinary working people paid for it. Now we’re in a pandemic and we’re asking working people to pay for it as well,” Cllr Dunne exclaimed.
He said there was never a better time for the council to borrow the money needed to rectify the situation. “In bad times you borrow, in good times you save.”
In support, Cllr Pat English (WUAG) said the council should be looking to central Government for the required funding. He recalled people being told that the LPT increase of 10% for 2020 was a “once-off”.
In reply, Mr MacGrath pointed out that Tipperary receives €16 million from the national LPT equalisation fund, more than any other local authority in the country, because what is raised in Tipperary is not sufficient to support the county. He said the additional funding is needed now more than ever because of the pandemic.
“I have to call it as I see it,” Mr MacGrath said. “I don’t want to be here next year trying to see how these facilities are funded.”
With 39 of the 40 elected councillors present, the matter was put to a vote and the maintained tax was agreed to by a margin of five votes.