Council nets over €278k surplus with rates collection the best in the country

Meath County Council made a net surplus of over a quarter of a million euro in 2024, the April monthly meeting of the council heard yesterday (Monday).

Members heard that that Meath's commercial rate collection was the best in the country with payment at 97 per cent, while rents were at 89 per cent and housing loans at 92 per cent.

"The €278,326 surplus will have a huge impact on the county," according to Chief Executive, Kieran Keogh. "It is a huge injection into the county. In relation to value for money, rates are 22 per cent of income and our collection rate is top it the country. We should be proud of that. We have a strong relationship with rate payers. We look after them too - we have spent €1.9 million on the business support scheme," he said.

While the discussion was highly positive, a number of councillors expressed concern at the global economic situation and Cllr Nick Killian warned "we could be in recession by Christmas because of the madman in America."

Sheila Harkin, financial management accountant said the 2024 surplus brought the general reserves up to €555,000.

She recalled that in 2005 the council had a deficit of €10.7million and they had been gradually reducing that deficit making a small surplus in 2021 and a surplus every year since.

"It has taken almost 20 years to clear that massive deficit of €10.7 million."

Last year's operational costs were €242.6million and income was €242.8 million and the value of the council's fixed assets stand at €3.1 billion.

Ms Harkin explained that the council's income was made up of €104 million in grants and subsidies which included government funding for roads and housing. The council received €16.9 million in Local Property Tax, €52 million in commercial rates - and €59 million for goods and services, which includes rents, planning and parking fees. The council received €8.9million from other local authorities mainly for homeless services.

The major expenditure included €65 million for payroll, €131 million for operating costs which includes contract payments for road and housing, €7.4 million for administration, €10 million for establishment expenses which include rents and rates, €4.8 million financial expenses and miscellaneous expenses of €2 million. Cllr Gerry O'Connor congratulated the finance team and noted the increased grant supports of €29 million last year.

"We are in a well managed financial position. In this fast changing global situation following the election of the new US president, these results which put us in a strong position to meet the challenges and I hope the government learned from the last financial crisis that local authorities should be supported, rather than being a soft target for future cuts."

Cllr Brian Fitzgerald said the finances of council were extremely well managed. "We had a huge deficit and a huge burden on the council since 2005. We now have a surplus, This didn't happen by accident, it was astute management. Payroll is only 30 per cent of the budget and the collection of rates is an example to every other county."

Cllr Nick Killian said the council was lucky to have such good people in the rates office. "We could be in a recession situation by Christmas. I know the CEO had talked about increasing rates, if our businesses are under attack i would urge caution".

Cllr Sean Drew asked if the cumulative surplus could be set aside into a specific fund to hep when there is a downturn.

Ms Harkin said they were building up reserves in all areas of the capital account to protect against future shocks.