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Buncrana's €700,000 rates
shortfall 15.04.09
Council concerned at
uncollected rates
by Damian Dowds, Inishowen
Independent
MORE THAN half the commercial rates levied by
Buncrana Town Council last year remain uncollected
and there are fears that the council could be forced
to trim back on its services if it cannot secure
more funds it emerged last week.
Last week’s meeting heard that €706,000 in
commercial rates were uncollected in 2008, up from
€393,000 in 2007, a situation Town Clerk Seamus
Canning described as a major cause for concern in a
written report delivered to councillors at last
week’s monthly meeting.
A large proportion of the uncollected rates arose
from the former Fruit of the Loom site at
Ballymacarry, now owned by Rishton Developments.
Fruit of the Loom International paid rates for the
Ballymacarry site until the end of 2007 when it
ceased trading there.
More than €262,000 was levied on the property for
2008, with €29,000 relating to a warehouse written
off. However the balance of €233,000 has been
carried forward to 2009 and Canning reported that
the Council is taking legal advice in respect of the
Ballymacarry site, among other cases.
Rishton developments has sought planning permission
for the demolition and removal of the existing
factory premises and the erection of various
industrial units.
Jansu, owners of the former Fruit of the Loom
premises at the Shorefront, had €155,000 in rates
levied in 2008 but those have not been recovered.
Buncrana Town Council’s commercial rates is among
the lowest of any town in the State and it levied
some €1.3 million in charges in 2008. Councillors
warned that services will suffer if rates are not
collected and paid in full.
Last year, the Department of the Environment granted
an additional €100,000 to Buncrana Town Council
through its local government fund to make up for the
shortfall arising from the closure of Fruit of the
Loom and knock on loss in rates. That additional
funding is due to be paid annually, but council
officials are worried that it may be cut back giving
the poor state of the national finances. |
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