Local Government Act 1998

1 Interpretation.

1.—(1) In this Act, unless the context otherwise requires—

“the Act of 1952” means the Finance (Excise Duties) (Vehicles) Act, 1952;

“the Act of 1994” means the Local Government Act, 1994;

“the Department” means the Department of the Environment and Local Government;

“driver licence duties” means duties imposed by section 4(1A) (inserted by the Finance Act, 1961, and amended by the Finance Act, 1989) of the Act of 1952, and as chargeable, leviable and payable in accordance with that section;

“enactment” includes an instrument made under an enactment;

“functions” includes powers and duties and a reference to the performance of functions includes, with respect to powers and duties, a reference to the exercise of the powers and the carrying out of the duties;

“the Fund” has the meaning assigned to it by section 3;

“local authority” means—

(a) the council of a county,

(b) the corporation of a county or other borough,

(c) the council of an urban district, and

(d) the commissioners of a town;

“the Local Government (Equalisation) Fund” means the fund established by section 4 of the Local Government (Financial Provisions) Act, 1997;

“the Minister” means the Minister for the Environment and Local Government;

“Motor Tax Account” has the meaning assigned to it by the Road Vehicles (Registration and Licensing) Order, 1958 (S.I. No. 15 of 1958);

“motor vehicle tax” means the duty imposed by the Act of 1952 in respect of a licence taken out under section 1 of that Act, and as chargeable, leviable and payable in accordance with the provisions of that Act;

“prescribed” means prescribed by regulations made by the Minister under this Act.

(2) In this Act—

(a) a reference to a section is a reference to a section of this Act unless it is indicated that reference to some other enactment is intended,

(b) a reference to a subsection or paragraph is a reference to a subsection or paragraph of the provision in which the reference occurs unless it is indicated that reference to some other provision is intended,

(c) a reference to any enactment is a reference to that enactment as amended, extended or adapted by or under any subsequent enactment (including this Act).

2 Regulations, orders and directions.

2.—(1) The Minister may make regulations prescribing any matter or thing which is referred to in this Act as prescribed or to be prescribed or for the purpose of enabling any provision of this Act to have full effect.

(2) Without prejudice to any other provision of this Act, a regulation or order under this Act may provide for such incidental, consequential, supplementary or transitional provisions as may appear to the Minister to be appropriate for the purposes of this Act or any regulations or order made thereunder.

(3) If in any respect any difficulty arises in bringing any provision of this Act into operation or in relation to the operation of any such provision, the Minister may by regulations do anything which appears to him or her to be necessary or expedient for the purposes of removing that difficulty, for bringing that provision into operation, or for securing or facilitating its operation, and any such regulations may modify any provision of this Act or any other enactment so far as may be necessary or expedient for the purposes aforesaid but no regulations may be made under this subsection in relation to a provision of this Act after the expiration of 2 years from the commencement of that provision.

(4) Regulations or an order made under this Act may—

(a) apply to local authorities generally or to a specified local authority or local authorities,

(b) contain different provisions in relation to different local authorities.

(5) Every regulation or order under this Act (other than an order under section 8(9) or 15(4)) shall be laid before each House of the Oireachtas as soon as may be after it is made and, if a resolution annulling the regulation or order is passed by either such House within the next 21 days on which that House has sat after the regulation or order has been laid before it, the regulation or order shall be annulled accordingly but without prejudice to the validity of anything previously done thereunder.

(6) The Minister may by order amend or revoke an order under this Act (other than an order under section 8(9) or 15(4) but including an order under this subsection).

(7) The Minister may give a direction for the purpose of anything mentioned in this Act as being the subject of a direction.

(8) The Minister may give a direction amending or revoking a direction given by him or her under this Act (including a direction under this subsection).

(9) A direction given for the purposes of this Act shall be in writing.

3 Local Government Fund.

3.—(1) There shall stand established, on the commencement of this section, a fund which shall be known as the Local Government Fund and is in this Act referred to as “the Fund”.

(2) The Minister shall manage and control the Fund.

(3) The Fund shall consist of such accounts as the Minister may determine.

(4) The said accounts shall be in such form and be prepared in such manner as the Minister may determine.

(5) As soon as may be after the end of each financial year, the Minister shall submit the accounts of the Fund to the Comptroller and Auditor General for audit and the Minister shall cause a copy of an abstract of the accounts as so audited together with a copy of the report of the Comptroller and Auditor General thereon to be laid before each House of the Oireachtas.

(6) The Minister shall cause the Local Government (Equalisation) Fund to be wound up with effect from the commencement of this section and all balances remaining to the credit of that fund immediately before such commencement to be paid into the Fund.

4 Payments into the Fund by Minister.

4.—(1) In this section—

“consumer price index number” means the All Items Consumer Price Index Number compiled by the Central Statistics Office and references to the consumer price index number relevant to any financial year are references to the consumer price index number at such date in that year as is determined by the Minister with the consent of the Minister for Finance;

“current year” means the financial year in which the particular payment into the Fund, under subsection (3), falls to be made.

(2) The Minister shall, out of moneys provided by the Oireachtas, pay into the Fund in the financial year, 1999, £270,000,000.

(3) The Minister shall, out of moneys provided by the Oireachtas, pay into the Fund in the financial year, 2000, and each subsequent financial year thereafter such an amount as he or she determines, with the consent of the Minister for Finance, in relation to the year concerned and, in making any such determination, the Minister shall have regard, in particular, to each of the matters specified in subsection (4):

Provided that the amount so determined shall in no case be less than an amount equal to the amount specified in subsection (2) multiplied by the figure specified in subsection (5).

(4) The matters mentioned in subsection (3) are any changes in the functions of local authorities or in the amounts of their expenses in performing those functions that may have occurred—

(a) in case the current year is the financial year, 2000, in the financial years, 1998 and 1999,

(b) in any other case, in the financial year preceding the current year,

or that are likely to occur in the current year.

(5) The figure mentioned in the proviso to subsection (3) is the quotient, rounded up to 3 decimal places, obtained by dividing the consumer price index number relevant to the financial year preceding the current year by the consumer price index number relevant to the financial year, 1998.

(6) Any moneys that the Minister receives, in each financial year, other than moneys from the Fund or moneys provided by the Oireachtas, in connection with the collection of motor vehicle tax, including in connection with the provision of information from records established and maintained under section 60 of the Finance Act, 1993 (as amended by section 86 of the Finance Act, 1994) shall be paid into the Fund by the Minister.

5 Payments into the Fund by local authorities.

5.—(1) In this section—

“miscellaneous fees and duties” means—

(a) duties imposed by section 21 of the Finance (No. 2) Act, 1992;

(b) fees payable under the European Communities (Vehicle Testing) Regulations, 1991 (S.I. No. 356 of 1991);

(c) fees payable under the Road Traffic (Licensing of Trailers and Semi-Trailers) Regulations, 1982 (S.I. No. 35 of 1982);

(d) fees payable to a local authority under the Road Traffic (Public Service Vehicles) Regulations, 1963 (S.I. No. 191 of 1963);

(e) any other fees which prior to the commencement of section 5 of the Local Government (Financial Provisions) Act, 1997, were payable into a Motor Tax Account; and

(f) such fees or other moneys as may be prescribed for the purposes of this definition;

“relevant arrangement” means—

(a) an agreement entered into under section 59 of the Local Government Act, 1955;

(b) a scheme made pursuant to the Dublin (Preparations for Reorganisation) Regulations, 1993 (S.I. No. 52 of 1993); or

(c) arrangements made pursuant to Article 5 of the Local Government (Reorganisation) Act, 1985, (County Borough of Galway) Order, 1985 (S.I. No. 426 of 1985).

(2) Notwithstanding anything contained in any other enactment, there shall be paid into the Fund by each local authority the amount of motor vehicle tax, driver licence duties and miscellaneous fees and duties collected by it in each local financial year.

(3) Any amounts required to be paid into the Fund by this section shall be so paid in such manner and at such times as are specified in a direction given by the Minister for the purposes of this section.

(4) A reference in this section to the collection by a local authority of an amount of any tax, fee or duty includes a reference to an amount of any such tax, fee or duty collected by it, under a relevant arrangement, on behalf of another local authority.

(5) A reference in this section to an amount of any tax, fee or duty shall be construed as a reference to the amount of the tax, fee or duty concerned after there has been deducted therefrom any amount under and in accordance with section 7.

6 Payments out of the Fund generally.

6.—(1) Whenever and so often as the Minister considers that it is appropriate that such a payment be made in respect of expenses incurred or to be incurred by one or more local authorities in performing its or their functions generally, the Minister may pay out of the Fund to that local authority or those local authorities such an amount of moneys as he or she determines for the purposes of defraying, in whole or in part, the expenses incurred or to be incurred by it or them in performing those functions.

(2) The Minister may as respects an amount of moneys paid by him or her out of the Fund under subsection (1) require the local authority or local authorities concerned to apply the amount or a part thereof in a specified manner in respect of the performance by that local authority or those local authorities of its or their functions in relation to—

(a) public roads, other than national roads within the meaning of the Roads Act, 1993,

(b) the carrying out of works under the Local Government (Roads and Drainage) Act, 1968, or

(c) such other matters as the Minister may, from time to time, determine in writing,

and the local authority or local authorities shall comply with such a requirement.

(3) The Minister shall cause to be laid before each House of the Oireachtas a copy of any determination under subsection (2)(c) as soon as may be after the determination is made.

(4) The Minister may from time to time pay out of the Fund an amount of moneys equal to the expenses incurred by him or her in taking from time to time steps (which the Minister is hereby empowered to take)—

(a) to promote or secure the making of improvements in the quality of services provided by local authorities, or

(b) to encourage local authorities to perform their functions in a more economical, efficient and effective manner.

(5) The Minister may from time to time pay out of the Fund such an amount of moneys as he or she determines for the purposes of defraying, in whole or in part, the expenses incurred by him or her, on or after the 1st day of January, 1998, in connection with the collection of motor vehicle tax, including in connection with the provision of information from records established and maintained under section 60 of the Finance Act, 1993 (as amended by section 86 of the Finance Act, 1994).

(6) Any amount of moneys paid out of the Fund under subsection (4) or (5) shall be paid into, or disposed of for the benefit of, the Exchequer in such manner as the Minister, with the consent of the Minister for Finance, may determine.

(7) The Minister may establish a committee to advise the Minister with respect to the performance by him or her of the functions under subsection (1) or (4) and a committee so established may advise the Minister accordingly.

(8) Such a committee shall include such and so many officers or members of local authorities as the Minister shall determine for the purposes of this subsection, and may also include such other persons as the Minister determines for that purpose and whom he or she considers otherwise possess qualifications or experience that make them suitable for appointment as such members.

7 Deduction by local authority of expenses from amounts of motor vehicle tax and other fees and duties.

7.—(1) A local authority may, for the purposes of defraying, in whole or in part, the expenses incurred by it in collecting the tax, duty or fee concerned, deduct from any amount of motor vehicle tax, driver licence duties or miscellaneous fees and duties (within the meaning of section 5) collected by it in a local financial year such an amount (if any) as is specified in, or determined in accordance with, a direction given by the Minister for the purposes of this subsection.

(2) A direction referred to in subsection (1) may provide that the amount concerned shall be determined in accordance with a specified formula or specified procedures.

8 Amendment of Act of 1952 and Finance (No. 2) Act, 1992.

8.—(1) In this section—

“appointed day” means the day appointed under subsection (9) with respect to the relevant licence;

“the substituted Part I” shall be construed in accordance with subsection (2).

(2) The Act of 1952 is hereby amended by the substitution of the Part set out in the Schedule to this Act for Part I of the Schedule to the Act of 1952, and the said Part, as so substituted, is referred to hereafter in this section as “the substituted Part I”.

(3) The said amendment shall have effect on and from the days mentioned specified in subsections (4) and (5) as respects the rates of duty and licences concerned.

(4) Subject to subsection (5), the rates of duty specified in the column of the substituted Part I headed with the letter “A” shall apply as respects licences taken out under section 1 of the Act of 1952 for periods beginning on or after the appointed day.

(5) The rates of duty specified in the column of the substituted Part I headed with the letter “B” shall apply as respects licences taken out under section 1 of the Act of 1952 for periods beginning on or after the 1st day of January, 1999.

(6) Part II of the Schedule to the Act of 1952 is hereby amended—

(a) in paragraph 5(a)(i)—

(i) as respects licences taken out under section 1 of that Act for periods beginning on or after the appointed day, by the substitution of “£11” for “£10”,

(ii) as respects licences taken out under the said section 1 for periods beginning on or after the 1st day of January, 1999, by the substitution of “£12” for “£10”,

(b) in paragraph 5(a)(ii)—

(i) as respects licences taken out under section 1 of that Act for periods beginning on or after the appointed day, by the substitution of “£26” for “£25”,

(ii) as respects licences taken out under the said section 1 for periods beginning on or after the 1st day of January, 1999, by the substitution of “£27” for “£25”.

(7) Section 20 of the Finance (No. 2) Act, 1992, is hereby amended—

(a) in subsection (1), by the substitution of the following subparagraphs for subparagraph (ii) of paragraph (b) (inserted by the Local Government (Financial Provisions) Act, 1997):

“(ii) a vehicle referred to in section 143(1) of the Act of 1992, or

(iii) a vehicle that is being used in a public place solely for the purposes of—

(I) bringing it to the premises of an authorised tester for the purpose of the carrying out of a test in respect of it (in accordance with an appointment made with that tester for the carrying out of such a test at a particular time on a particular date),

(II) bringing it away from the premises of an authorised tester after the test referred to in clause (I) has been completed or, if circumstances preventing the carrying out or completion of that test arise, bringing it away from those premises on those circumstances arising,

(III) bringing it to a premises for the purpose of the carrying out by a person of repair work in respect of it (in accordance with an appointment made with that person for such work to be carried out at a particular time on a particular date): provided that an appointment has been made with an authorised tester for the carrying out of a test in respect of the vehicle subsequent to the said repair work being completed, or

(IV) bringing it away from the premises referred to in clause (III) after the repair work referred to in that clause has been completed or, if circumstances preventing the carrying out or completion of that work arise, bringing it away from those premises on those circumstances arising.”,

and

(b) by the insertion of the following subsections after subsection (1):

“(1A) In subsection (1)—

‘authorised tester’ means a person appointed, in accordance with the provisions of the relevant regulations concerned providing for such appointments to be made, to carry out the tests on vehicles that are required to be carried out by those regulations;

‘relevant regulations’ means regulations that are made by the Minister from time to time under any enactment and which require the carrying out of tests in respect of vehicles, and which are specified in those regulations to be relevant regulations for the purposes of subsection (1)(b)(iii);