COUNCILLORS have voted to maintain the higher rate of property tax that was introduced last year at a meeting in Letterkenny this afternoon.
At the heated meeting in the Aura Leisure Centre councillors backed the recommendation of the Acting Chief Executive Officer, John McLaughlin to again vary the rate of Local Property Tax (LPT) by increasing it by the maximum 15 per cent. Last year the increase in LPT brought in a further €1.7 million for the Council’s budget.
Independent Councillor Nicholas Crossan put forward the proposal to maintain the tax at this higher rate for another year which was seconded by Cllr Tom Conaghan.
“I know it is hard times for everybody but we were voted to make decisions, not always the easy ones and sometimes the difficult ones,” said Cllr Crossan.
“We have to look at the big picture, for us to get €1.7million there is a small sacrifice to be made. I think it is for the greater good of the public that we should do this.”
Sinn Fein proposed to reduce the LPT back to the baseline rate, the rate in place before last year’s 15 per cent hike. However this motion was defeated.
Speaking on behalf of the party Cllr Marie Therese Gallagher said it was fundamentally wrong to tax people’s homes and said the property tax was not the way to raise the funds needed.
A third proposal by Cllr Micheal Cholm Mac Giolla Easbuig for a 15 per cent reduction in the rate was not put to the floor after Cllr Frank McBrearty said he no longer seconded the motion as he did not want Sinn Fein’s motion to fall.
A vote was taken on Cllr Crossan’s proposal to vary the rate by increasing it by 15 per cent with 20 voting in favour and 12 against.
Acting CEO, John McLaughlin said: “The Council will have a critical role to play in respect of the County’s response to Brexit and in the recovery from the public health COVID emergency. It is very important that the Council is in position to respond to the development needs of the county and to be able to participate and gain the maximum benefits arising from the recovery.
“The decision on the Local Property Tax is a first step towards the making of a budget and work programme for 2021 and it is most important that the Council not worsen its position on the LPT fund and maintain the same level for 2021 as was achieved for 2020. This means holding the amount at the base figure plus the 15% in line with the decision taken last year.”
See Thursday’s Donegal News for full coverage from the meeting.
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