John persuades Failte Ireland to allow council pitch
Deputy John Deasy has reached agreement with Failte Ireland to allow Waterford City and County Council to make a formal presentation — including a full business case — as to why Waterford’s coastline should be included in the Wild Atlantic Way.
The Fine Gael TD held separate meetings in Dublin last week with Failte Ireland chief executive, Shaun Quinn, and CEO of the combined Waterford council, Michael Walsh.
“I’ve been dealing with this for a couple of months now,” Mr Deasy said. “I proposed to Mr Quinn that the local authority be given an opportunity to make a proper pitch as to why Waterford, being on the Atlantic seaboard, should be included in this multi-million euro tourism promotion.
“Michael Walsh has agreed to put the necessary process in train and the next step is to formulate a comprehensive presentation. It will take a few weeks to put together the business plan, which is a critical component of this.
“While there’s no guarantee Waterford’s submission will be successful, at the very least the council will have the chance to make a detailed case for inclusion. It’s up to the officials now to make the best case possible.”
Deputy Deasy stressed that “the inclusion of Waterford will have to make sense in terms of the considerable marketing plan that’s already underway. The concern already raised is that it might dilute the overall concept.”
“We have to be realistic. There are major issues to be overcome if Waterford is to be included. The most obvious problem is that it would have to comprise East Cork’s coastline as well.”
He believes one big advantage Waterford has is the location of the regional airport, which would be an ideal starting point to the tourist route for visitors from the UK and Europe.
“Having this county’s spectacular 147km of coastline as part of the Wild Atlantic Way would also help the marketing of the airport a great deal. It’s very well located and I presume the airport’s access potential will be a key selling point in the presentation the Waterford council makes to Bord Failte.”
“You consistently gave assurances that you would try to bring the ARV to the lowest level in Waterford – the Dungarvan level – and you did that."
Additional rates reliefs have been included in the new Local Government Bill after Minister Phil Hogan accepted proposals by Waterford Fine Gael TD John Deasy and Labour Deputy for Dublin Mid West, Robert Dowds.
The Minister was thanked for taking the thrust of two joint-amendments they put forward and incorporating them into the new legislation as it passed through the Dáil on Wednesday. Deputy Deasy said Mr Hogan had been ‘as good as his word’ when it came to reducing commercial rate levels in Waterford.
The first change the TDs sought and secured was in respect of a planned rates refund mechanism for vacant premises. In taking their arguments on board, the Minister is to give discretion to elected councillors right across the country to allow owner/occupiers who can’t secure tenants a full rates rebate – not a maximum of 50% as the Bill originally proposed (and which is currently applied in Dublin, Cork and Limerick).
Deputy Deasy said: “The Minister accepted there are areas where there is little or no demand for commercial premises. Councillors will now have the authority to tailor vacancy refunds – from 100% down to zero – to best suit the economic circumstances in particular counties or specific municipal districts.
“While I understand how some local authority officials would have seen a need to have a deterrent to people holding onto sites, to have a blanket 50% rebate would have been madness in this economic climate.
“There is a two-tier economy in this country. In some areas, like my own homeplace of Dungarvan, it’s not a matter of choice. In many parts of Ireland owners simply can’t get tenants for commercial premises. And enabling this to be implemented on a district level will allow for the differences between rural and urban areas.”
Work of Waterford Chambers acknowledged in Dáil
The Deputies – who are colleagues on the Dáil Public Accounts Committee – also proposed an amendment dealing with the issue of outstanding rates charges being passed on to new occupiers; something the Minister was anxious about as well.
“He accepted that maintaining the status quo could give rise to an unfair burden on businesses seeking to expand, relocate or start up. In some cases the arrears on a particular premises were holding up the sale,” Mr Deasy said.
“In dealing with and introducing a reasonable variation of our amendment, he is giving city and county managers the authority to write off arrears owed by previous occupiers – meaning property that may otherwise have remained vacant can now be re-let.”
Deputy Deasy said the Minister had lived up to his word in their interactions on commercial rates over the past year. “You consistently gave assurances that you would try to bring the ARV to the lowest level in Waterford – the Dungarvan level – and you did that.
“I’d like to thank you for following through on what you said you would do... I was keeping a close eye on this situation for the past year. But you were consistent with regard to the issue, and it’s turned out to be, in the case of the city, a really excellent result when you consider ratepayers there received a reduction of 20%.”
While county rates were reduced by 5%, some people felt it unfair that the Dungarvan ARV level should remain as is. But “for the most part the feedback I’ve been getting is that they expected it to go up,” Mr Deasy said.
He told Minister Hogan: “I think it’s worth acknowledging the direction that you gave. And everyone’s taking credit for it in Waterford – councillors, officials – but you were consistent”.
This included putting more money into Waterford’s Local Government Fund allocation with a direction that it be used to reduce the rates level locally.
From the floor, Deputy Deasy also said he wanted to acknowledge “the work of Waterford City Chamber of Commerce – Nora Widger and Nick Donnelly – and Dungarvan & West Waterford Chamber of Commerce – Jenny Beresford and Collette Bannon – on this issue.”
Environment Minister Phil Hogan has intimated to John Deasy in the Dáil that business rates could be harmonised “downwards” after Waterford’s local authorities amalgamate next year.
As the new Local Government Bill passed report stage, Deputy Deasy has again argued for changes to be incorporated into the new legislation.
Referring to the harmonisation of rates across councils set to merge in 2014, the Minister suggested to Deputy Deasy that a lowering of rates in Waterford and elsewhere could occur.
“If local authorities are in a position financially to harmonise their rates in one go… we will do so,” the Minister said. “This is about harmonisation of the systems in place downwards, not upwards.
“At the end of the day, it is a matter for the elected members, who have a reserved function on this matter at budget time, to ensure that is the case,” Mr Hogan added.“Any savings that will accrue from the reforms we are undertaking should not impose any additional cost on business.”
Deputy Deasy directly raised the harmonisation issue with Mr Hogan in the Dáil last May, having first addressed it at the Public Accounts Committee a year ago when he pointed to the large variances in annual rateable valuations between the merging councils in Waterford City (€66.22) and County (€69.92), and Dungarvan Town Council (€60.37).
Minister Hogan also indicated he is willing to accept an amendment tabled by the Waterford Fine Gael TD and Dublin Labour deputy Robert Dowds to give discretion to councillors to grant either a full or 50% rebate on rates to owners of vacant business premises. The Bill originally proposed a 50% concession across councils countrywide, “which would be a mistake,” Mr Deasy said.
Another proposal that the Minister is considering is to allow city and county managers waive historical arrears tacked onto a new sale or leasehold.
Mr Hogan agreed with Deputy Dowds at committee stage that incoming businesses shouldn’t be burdened with a legacy debt not of their making, and “I’ve asked the legal people to draft up an appropriate amendment that hits the spirit of what you want.”
A third Deasy/Dowds proposal, namely, a transitional relief scheme that would spread out revaluation increases by rating authorities over three years, is being “constructively” considered by Government officials.