Finance & Audit

LOCAL GOVERNMENT ACT 2001

 

PART 11

Local Government Commission

Section 89

Establishment of Local Government Commission.

89.—F108[…]

Annotations

Amendments:

F108
Part 11 (ss. 89-95) deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 60, S.I. No. 214 of 2014.

Section 90
Functions of Commission.

90.—F109[…]

Annotations

Amendments:

F109
Part 11 (ss. 89-95) deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 60, S.I. No. 214 of 2014.

Section 91
Members of Commission.

91.—F110[…]

Annotations

Amendments:

F110
Part 11 (ss. 89-95) deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 60, S.I. No. 214 of 2014.

Section 92
Eligibility and tenure of office of members, etc.

92.—F111[…]

Annotations

Amendments:

F111
Part 11 (ss. 89-95) deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 60, S.I. No. 214 of 2014.

Editorial Notes:

E205
Previous affecting provision: functions transferred and references to “Department of Finance” and “Minister for Finance” in subs. (2) construed (29.07.2011) by Finance (Transfer of Departmental Administration and Ministerial Functions) Order 2011 (S.I. No. 418 of 2011), arts. 2, 3, 5 and sch. 1 part 2, in effect as per art. 1(2); section repealed as per F-note above.

Section 93

Meetings and procedures of Commission.

93.—F112[…]

Annotations

Amendments:

F112
Part 11 (ss. 89-95) deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 60, S.I. No. 214 of 2014.

Section 94
Services to Commission.

94.—F113[…]

Annotations

Amendments:

F113
Part 11 (ss. 89-95) deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 60, S.I. No. 214 of 2014.

Section 95
Submissions to Commission.

95.—F114[…]

Annotations

Amendments:

F114
Part 11 (ss. 89-95) deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 60, S.I. No. 214 of 2014.

PART 12

Financial Procedures and Audit

Chapter 1

Financial Procedures

Section 96

Local financial year.

96.—In this Chapter “local financial year” means a calendar year or such other period as the Minister may by regulations prescribe.

Section 97

The local fund.

97.—(1) Every local authority shall maintain a fund to be known as the local fund which consists of such accounts kept under section 107 as may be necessary.

(2)(a) F115[…]

(b) A reference in any enactment to a county fund, municipal fund or any other fund, which was maintained immediately before the commencement of this provision, shall be read as a reference to a local fund.

(3) There shall be paid into the local fund all money received by or on behalf of a local authority F116[(including by or on behalf of a successor authority in respect of a dissolved body to which the successor authority relates)], other than money received for the purposes of a community fund established under section 109 F117[or a BID fund established under section 129K].

(4) Subject to section 99, there shall be paid out of the local fund the expenses incurred by a local authority in the performance of its functions, other than expenses payable out of a community fund established under section 109 F117[or a BID fund established under section 129K].

(5) A payment shall not be made out of the local fund unless it is authorised in accordance with section 99 or ordered by a court established under the Courts (Establishment and Constitution) Act, 1961.

Annotations

Amendments:

F115
Deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(a), S.I. No. 214 of 2014.

F116
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(b), S.I. No. 214 of 2014.

F117
Inserted (24.04.2007) by Local Government (Business Improvement Districts) Act 2006 (42/2006), s. 3, S.I. No. 165 of 2007.

Section 98

Banking arrangements.

98.—Subject to section 106, a local authority or joint body may enter into such arrangements, including investment arrangements, with such credit institutions authorised to carry on banking business in the State or financial institutions guaranteed by the Minister for Finance, as it deems appropriate, for the prudent management of moneys received by it.

Section 99

Authorisation of payments.

99.—(1) In this section “local authority” includes a joint body.

(2) Payments may be made out of the funds of a local authority on the authorisation of the F118[chief executive] or an employee nominated under subsection (3) and, in each such case, the payments shall be counter-authorised by an employee, other than the F118[chief executive] or first-mentioned employee, nominated under subsection (3).

(3) The manager may for the purposes of subsection (2) by order nominate an employee or employees of a local authority for which the F118[chief executive] is responsible.

Annotations

Amendments:

F118
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 refs. 61, 62, S.I. No. 214 of 2014.

Section 100
County council expenditure: town services.

100.—F119[…]

Annotations

Amendments:

F119
Deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(c), S.I. No. 214 of 2014.

Editorial Notes:

E206
Previous affecting provision: power pursuant to section exercised (13.01.2014) by Local Government (Financial Procedures and Audit) (Amendment) Regulations 2014 (S.I. No. 8 of 2014), in effect as per reg. 2; the only effect of this instrument was to amend S.I. No. 508 of 2002 and on its revocation (below), it ceased to have effect.

E207
Previous affecting provision: power pursuant to section exercised (14.11.2002) by Local Government (Financial Procedures and Audit) Regulations 2002 (S.I. No. 508 of 2002); revoked (1.06.2014) by Local Government (Financial and Audit Procedures) Regulations 2014 (S.I. No. 226 of 2014), reg. 30, in effect as per reg. 2.

Section 101
Expenses of certain town councils.

101.—F120[…]

Annotations

Amendments:

F120
Deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(c), S.I. No. 214 of 2014.

Editorial Notes:

E208
Power pursuant to section exercised (13.01.2014) by Local Government (Financial Procedures and Audit) (Amendment) Regulations 2014 (S.I. No. 8 of 2014), in effect as per reg. 2; the only effect of this instrument was to amend S.I. No. 508 of 2002 and on its revocation (below), it ceased to have effect.

E209
Previous affecting provision: power pursuant to section exercised (14.11.2002) by Local Government (Financial Procedures and Audit) Regulations 2002 (S.I. No. 508 of 2002); revoked (1.06.2014) by Local Government (Financial and Audit Procedures) Regulations 2014 (S.I. No. 226 of 2014), reg. 30, in effect as per reg. 2.

Section 102

Local authority budget.

102.—(1) In this section “local authority” includes a joint body.

(2) In each local financial year, each local authority shall prepare a draft local authority budget setting out for the next local financial year—

(a) the expenditure estimated to be necessary to carry out its functions, and

(b) the income estimated to accrue to it.

F121[(3) The draft local authority budget shall be prepared under the direction of the chief executive in the manner and in the format that may be prescribed by regulations made by the Minister showing the amounts necessary for the functional programmes of the authority.]

(4) The F122[chief executive] shall, as provided for in section 133(4)(a), consult the corporate policy group in the preparation of a draft local authority budget.

F123[(4A)(a) In the case of a county council or a city and county council, the chief executive shall consult the municipal district members for each municipal district in the council’s functional area in the preparation of a draft local authority budget and, for that purpose, a draft budgetary plan for the municipal district shall be prepared under the direction of the chief executive and submitted for consideration by the municipal district members for each municipal district in the manner and in the format that may be prescribed by regulations made by the Minister.

(b) In determining the resources to be made available to each municipal district in the draft budgetary plan, the chief executive shall have regard to—

(i) the needs of, and the resources available or likely to be available to, the local authority, and

(ii) resource needs of each municipal district including, where appropriate, the population of each municipal district.

(c) Following consideration of a draft budgetary plan under paragraph (a), the municipal district members shall by resolution adopt the draft budgetary plan with or without amendment.

(d) The making of amendments under paragraph (b) by the municipal district members is a reserved function.

(e) The chief executive shall take account of any budgetary plan adopted by the municipal district members in preparing the draft local authority budget (in accordance with subsection (2)).]

(5) Any reference in any enactment to an estimate or estimate of expenses of a local authority shall be read as a reference to a local authority budget prepared under this section and adopted under section 103(7).

Annotations

Amendments:

F121
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(d), S.I. No. 214 of 2014.

F122
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 63, S.I. No. 214 of 2014.

F123
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(e), S.I. No. 214 of 2014.

Editorial Notes:

E210
Previous affecting provision: power pursuant to section exercised (13.01.2014) by Local Government (Financial Procedures and Audit) (Amendment) Regulations 2014 (S.I. No. 8 of 2014), in effect as per reg. 2; the only effect of this instrument was to amend S.I. No. 508 of 2002 and on its revocation (below), it ceased to have effect.

E211
Previous affecting provision: power pursuant to section exercised (14.11.2008) by Local Government (Financial Procedures and Audit) Regulations 2002 (Amendment) Order 2008 (S.I. No. 467 of 2008), in effect as per reg. 2; the only effect of this instrument was to amend S.I. No. 508 of 2002 and on its revocation (below), it ceased to have effect.

E212
Previous affecting provision: power pursuant to section exercised (14.11.2002) by Local Government (Financial Procedures and Audit) Regulations 2002 (S.I. No. 508 of 2002); revoked (1.06.2014) by Local Government (Financial and Audit Procedures) Regulations 2014 (S.I. No. 226 of 2014), reg. 30, in effect as per reg. 2.

Section 103

Local authority budget meeting.

103.—(1) In this section “local authority” includes a joint body.

(2) A draft local authority budget prepared in accordance with section 102 shall be considered by the local authority at a meeting (in this Act referred to as a “local authority budget meeting” or budget meeting)—

(a) at which the F124[chief executive] or an employee to whom subsection (3) relates is present,

F125[(b) which is held during the period directed by the Minister, and]

(c) of which not less than 7 days’ notice has been given to every member of the local authority.

(3) Where the F124[chief executive] is unable to be present at a local authority budget meeting or, where it would be inconsistent with the due performance of his or her functions in relation to the local authorities for which he or she is F124[chief executive], to be present at such a meeting, such other employee as may stand nominated for that purpose by the F124[chief executive] shall attend the meeting instead.

(4) Not less than 7 days before the day on which a local authority budget meeting is to be held, the F124[chief executive] shall—

(a) place a copy of the draft local authority budget in the principal offices of the local authority,

(b) send a copy of the draft local authority budget, together with a report outlining the provisions of that draft, to every member of the local authority, and

(c) give public notice of the fact that the draft local authority budget has been prepared and that a copy of it has been placed in the principal offices of the local authority and indicate the place, date and time of the local authority budget meeting.

(5) A copy of a draft local authority budget—

(a) shall be made available at the principal offices of the local authority,

(b) may be inspected by any member of the public during normal opening hours, and

(c) copies may be purchased at a price not exceeding the reasonable cost of reproduction.

(6) The members of a local authority may adjourn a local authority budget meeting from time to time but any such adjournment shall be to a day that is within the period of F124[14 days] beginning on the day on which the local authority budget meeting first begins.

(7) At a local authority budget meeting the local authority—

(a) may by resolution amend the draft local authority budget,

F125[(b) shall by resolution adopt the draft local authority budget with or without amendment, and—

(i) shall—

(I) F126[…]

(II) where appropriate, have regard to the base year adjustment determined in accordance with section 29 of the Local Government Reform Act 2014,

or

(ii) where it is a joint body, shall prepare and by resolution adopt, in accordance with the local authority budget as so adopted, the demand by the joint body whereby the money to meet the expenses of the joint body, in the forthcoming local financial year is to be obtained.]

(8) A copy of a local authority budget as adopted under subsection (7)—

(a) shall be made available at the principal offices of the local authority,

(b) may be inspected by any member of the public during normal opening hours, and

(c) may be purchased at a price not exceeding the reasonable cost of reproduction.

F125[(9) Notwithstanding the other provisions of this section and section 102, a local authority budget may be adopted and the annual rate on valuation determined (including, where appropriate, having regard to the base year adjustment determined in accordance with section 29 of the Local Government Reform Act 2014) in the local financial year to which that budget or that rate applies, where this is in accordance with the period directed by the Minister for holding the local authority budget meeting.]

(10) Where a local authority budget has not been adopted in accordance with this Chapter by a local authority before the beginning of a particular local financial year, it is lawful for the local authority to use money or to incur liability in that local financial year for any particular purpose or functional programme in respect of which money was used or liability was incurred by the local authority in the immediately preceding local financial year.

(11)(a) The amount used or the liability incurred as a consequence of subsection (10) by the local authority shall not exceed one-third of the amount previously used, or of the cost of meeting the liability previously incurred by the local authority in the immediately preceding local financial year.

(b) The Minister may by order vary the fraction referred to in paragraph (a).

(12)(a) Any reference in any enactment to an estimates meeting of a local authority shall be read as a reference to a local authority budget meeting as provided for in this section.

(b) Any reference in any enactment to a rate in the pound or rates in the pound shall be read as a reference to an annual rate on valuation.

Annotations

Amendments:

F124
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 refs. 64-67, S.I. No. 214 of 2014.

F125
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(f)-(h), S.I. No. 214 of 2014.

F126
Repealed (6.11.2023) by Local Government Rates and Other Matters Act 2019 (24/2019), s. 27 and sch. 1 part 1 ref. no. 12, S.I. No. 536 of 2023.

Modifications (not altering text):

C36
Requirements for meeting held under section provided (6.11.2023) by Local Government Rates and Other Matters Act 2019 (24/2019), s. 3, S.I. No. 536 of 2023.

Annual rate on valuation

3. At a local authority budget meeting, held under section 103 of the Act of 2001, to consider a draft local authority budget prepared in accordance with section 102 of that Act, the local authority shall, subject to section 6, by resolution determine, in accordance with the local authority budget adopted under section 103 of the said Act, the annual rate on valuation applicable in the calculation of the amount of the rate under section 4.

Editorial Notes:

E213
Previous affecting provision: power pursuant to section exercised (13.01.2014) by Local Government (Financial Procedures and Audit) (Amendment) Regulations 2014 (S.I. No. 8 of 2014), in effect as per reg. 2; the only effect of this instrument was to amend S.I. No. 508 of 2002 and on its revocation (below), it ceased to have effect.

E214
Previous affecting provision: power pursuant to section exercised (14.11.2008) by Local Government (Financial Procedures and Audit) Regulations 2002 (Amendment) Order 2008 (S.I. No. 467 of 2008), in effect as per reg. 2; the only effect of this instrument was to amend S.I. No. 508 of 2002 and on its revocation (below), it ceased to have effect.

E215
Previous affecting provision: power pursuant to section exercised (14.11.2002) by Local Government (Financial Procedures and Audit) Regulations 2002 (S.I. No. 508 of 2002); revoked (1.06.2014) by Local Government (Financial and Audit Procedures) Regulations 2014 (S.I. No. 226 of 2014), reg. 30, in effect as per reg. 2.

Section 103A
F127[

Schedule of municipal district works

103A.— (1) As soon as may be following the adoption of the local authority budget, a schedule of proposed works of maintenance and repair to be carried out during the financial year in each municipal district shall be prepared under the direction of the chief executive, having regard to the availability of resources, in the manner, format and within the timescale that may be prescribed by regulations made by the Minister.

(2) A schedule prepared for the purposes of subsection (1) shall be considered by the municipal district members concerned and be adopted by resolution, with or without amendment by it, within such time limit and in accordance with such conditions and requirements as may be prescribed by the regulations made by the Minister.

(3) In making an amendment under subsection (2) the municipal district members shall have due regard to the local authority budget adopted in accordance with section 103(9).

(4) If the schedule prepared for the purpose of subsection (1) is not adopted by the municipal district members in accordance with subsection (2) and any regulations made under that subsection, then the local authority concerned shall consider that schedule and by resolution adopt it with or without amendment (having due regard to the local authority budget adopted in accordance with section 103(9)) within such time limit as may be prescribed by the regulations made by the Minister.]

Annotations

Amendments:

F127
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(i), S.I. No. 214 of 2014.

Section 104

Limitation on additional expenditure.

104.—(1) In this section—

“additional expenditure” means the spending of money or the incurring of a liability not provided for in a local authority budget;

“local authority” includes a joint body.

(2) At any time after it has adopted a budget a local authority may, following a proposal under subsection (3) or otherwise, by resolution authorise the incurring of additional expenditure.

(3) Where, as respects any local financial year, the F128[chief executive] is of the opinion that the proper performance of the functions of the local authority concerned requires the incurring of additional expenditure, he or she shall submit to the local authority a proposal for authorisation to the incurring of such additional expenditure.

(4)(a) A local authority may by resolution adopt a scheme authorising the F128[chief executive] to incur additional expenditure without prior authorisation of the local authority under subsection (2); but no such expenditure shall cause the total expenditure provided for in the budget to be exceeded save in such circumstances and subject to such requirements as may be provided for in regulations under subsection (5).

(b) A local authority may, from time to time, by resolution amend a scheme under this subsection or make a new scheme.

(5) The Minister may make regulations for the purposes of subsection (4).

(6) Nothing in this section shall prevent a F128[chief executive] from incurring additional expenditure—

(a) where he or she is of the opinion that such additional expenditure is necessary to avert or minimise a threat to public health, public safety, property or the environment, or

(b) in respect of a particular service or function where additional funding which would substantially offset such additional expenditure is made available to the local authority by the Minister or any other public authority for that service or function.

(7) Where the F128[chief executive] has incurred additional expenditure under subsection (6), or to which a scheme under subsection (4) applies, he or she shall inform—

(a) without delay, the Cathaoirleach of the fact, and

(b) the members of the local authority of the fact at the next practicable meeting of the local authority following the incurring of additional expenditure,

giving details of the additional expenditure and its implications for the local authority budget.

Annotations

Amendments:

F128
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 refs. 68-71, S.I. No. 214 of 2014.

Section 105

Submission of financial statements and reports.

105.—(1) A local authority or a joint body, may by resolution require the preparation and submission to its members of statements of the financial position of the local authority or joint body, as the case may be.

(2) In the case of a F129[local authority], its corporate policy group may, where a resolution has not been passed under subsection (1), require the preparation and submission to it of statements of the financial position of the F129[local authority].

(3) A statement of financial position submitted as a consequence of either subsection (1) or (2) shall contain such detail and shall be prepared and submitted at such intervals as may be specified in—

(a) the resolution of the local authority or joint body, as appropriate, or

(b) the requirement of the corporate policy group.

Annotations

Amendments:

F129
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(j), S.I. No. 214 of 2014.

Section 106

Borrowing and lending of money.

106.—(1) (a) In this section—

“local authority” includes a joint body;

“appropriate Minister” means—

(i) if the relevant borrowing or lending is in respect of matters which relate to the responsibility or interest of only one Minister of the Government other than the Minister, that Minister of the Government,

(ii) if such matters relate to the responsibility or interest of 2 or more Ministers of the Government (none of whom is the Minister), such one of those Ministers of the Government as has the greater or greatest interest in the matters, and

(iii) in all other cases, the Minister.

(b) If in relation to paragraph (ii) of the definition of “appropriate Minister” there is any doubt as to which of 2 or more Ministers of the Government has the greater or greatest interest, the doubt shall be determined by the Minister and the decision of the Minister shall be final.

(2) Subject to subsections (3) and (8) and any regulations made under subsection (5), a local authority may borrow money in any manner which it considers suitable for the effective performance of its functions.

(3)(a) Borrowing by a local authority under this section shall only be with the sanction of the appropriate Minister.

(b) Paragraph (a) does not apply to borrowing which the appropriate Minister may exempt for the purposes of this subsection.

(4) Any application for the sanction of the appropriate Minister under subsection (3)(a) shall be in such format as may from time to time be specified by the appropriate Minister.

F130[(5) The Minister may, after consultation with the Minister for Finance and the Minister for Public Expenditure and Reform, make regulations in relation to borrowing by local authorities.]

(6)(a) A local authority may lend money to another local authority on such terms as to repayment and other matters as it considers proper.

(b) F131[…]

(7) A decision to borrow or lend under this section is a reserved function.

F130[(8) The appropriate Minister may, after consultation with the Minister for Finance and the Minister for Public Expenditure and Reform, sanction borrowing by a local authority in a currency other than the currency of the State.]

(9) Except in accordance with this section, a local authority shall not—

(a) borrow money, or

(b) lend money to another local authority.

Annotations

Amendments:

F130
Substituted (6.07.2011) by Ministers and Secretaries (Amendment) Act 2011 (10/2011), s. 89, commenced as per s. 1(2) and S.I. No. 401 of 2011.

F131
Deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(k), S.I. No. 214 of 2014.

Section 107

Keeping of accounts.

107.—(1) Subject to subsection (2), every local authority or joint body shall each keep all proper and usual accounts of moneys received or spent by it, including an income and expenditure account and a balance sheet.

(2) Every local authority and joint body shall each establish and maintain financial systems, accounts, reporting and record keeping procedures, including the preparation of an annual financial statement, which are consistent with such accounting code of practice, or amendments to it, that the Minister may issue from time to time.

(3) Any accounting code of practice issued by the Minister which is current on the date of the commencement of this provision, shall be deemed to have issued in accordance with this section and be applicable to every local authority and, where appropriate, to every joint body.

Section 108

Consideration of annual financial statement.

108.—(1) In this section, additional expenditure has the meaning given to it by section 104(1).

(2) Every local authority or joint body shall prepare an annual financial statement in accordance with the accounting code of practice issued by the Minister under section 107.

(3) As soon as practicable after the preparation of an annual financial statement, such statement, with a report on it by the F132[chief executive], shall be sent to each member of the local authority or joint body, as the case may be.

(4) Without prejudice to the generality of subsection (3), a report under that subsection shall include details of additional expenditure incurred in the period to which the annual financial statement relates and of authorisations given under section 104.

(5) The annual financial statement shall be considered at the next practicable meeting of the local authority or joint body concerned which is held not less than 7 days after the annual financial statement was sent under subsection (3).

(6) As soon as may be practicable after having been sent under subsection (3), the annual financial statement shall be transmitted to the Minister and the Director of Audit.

Annotations

Amendments:

F132
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 72, S.I. No. 214 of 2014.

Section 109

Community fund.

109.—(1) In this section “community initiative” means any project or programme which in the opinion of the local authority will benefit the local community and includes the provision or improvement of amenity, recreational, cultural or heritage facilities, the protection or enhancement of the environment and programmes to promote social inclusion and community development.

(2) A local authority may by resolution establish a fund (in this section referred to as a “community fund”) for the purposes of supporting community initiatives and may accept contributions to such fund by any voluntary, business or community group, other local authority or public authority or other person and may itself make contributions to such fund.

(3) A community fund shall be separate from the local fund.

(4) (a) The accounts of a community fund shall be accounted for separately and be part of the records and the accounts of the local authority or local authorities which established the fund.

(b) The accounts of a community fund shall contain separate records for contributions in respect of particular community initiatives as the local authority which established it may consider appropriate.

(5) A local authority may enter into an agreement with any person making contributions to the fund as regards the application of money towards a particular community initiative.

(6) A local authority may undertake itself or assist any other person in such fund-raising activities as it considers appropriate for the purposes of a community initiative.

(7) A community fund may be established jointly by resolution of 2 or more local authorities subject to such arrangements as may be agreed by the authorities concerned.

(8) The functions conferred on a local authority by this section or by section 110 shall—

(a) be subject to the exclusion of such matters, and

(b) be exercisable subject to such terms and conditions,

as the Minister may, with the consent of the Minister for Finance, prescribe by regulations.

Annotations

Modifications (not altering text):

C37
Functions transferred and references to “Department of Finance” and “Minister for Finance” in subs. (8) construed (29.07.2011) by Finance (Transfer of Departmental Administration and Ministerial Functions) Order 2011 (S.I. No. 418 of 2011), arts. 2, 3, 5 and sch. 1 part 2, in effect as per art. 1(2).

2. (1) The administration and business in connection with the performance of any functions transferred by this Order are transferred to the Department of Public Expenditure and Reform.

(2) References to the Department of Finance contained in any Act or instrument made thereunder and relating to the administration and business transferred by paragraph (1) shall, on and after the commencement of this Order, be construed as references to the Department of Public Expenditure and Reform.

3. The functions conferred on the Minister for Finance by or under the provisions of —

(a) the enactments specified in Schedule 1, and

(b) the statutory instruments specified in Schedule 2,

are transferred to the Minister for Public Expenditure and Reform.

…

5. References to the Minister for Finance contained in any Act or instrument under an Act and relating to any functions transferred by this Order shall, from the commencement of this Order, be construed as references to the Minister for Public Expenditure and Reform.

…

Schedule 1

Enactments

…

Part 2

1922 to 2011 Enactments

Number and Year

Short Title

Provision

(1)

(2)

(3)

…

…

…

No. 37 of 2001

Local Government Act 2001

Sections 66(7), 81(6), 92(2), 109(8), 169(1)(a), 212(3) and 231(1)

…

…

…

Note change of name of Department and Minister to Public Expenditure, National Development Plan Delivery and Reform (1.02.2023) by Public Expenditure and Reform (Alteration of Name of Department and Title of Minister) Order 2023 (S.I. No. 19/2023), in effect as per art. 1(2).

Section 110

Community initiative scheme.

110.—(1) In this section—

“community fund” has the meaning given in section 109(2);

“community initiative” has the meaning given in section 109(1);

“dwelling” includes a part of any premises let as a separate dwelling whether or not the person to whom it is let shares with any other person any accommodation, amenity or facility in connection with it or any other portion of the premises;

“occupier” means a person or persons who occupy the dwelling in question;

“scheme” means a scheme adopted by a local authority under this section and “draft scheme” shall be read accordingly.

(2) Where a local authority considers it appropriate it may, in accordance with this section, by resolution adopt a scheme for the making of an annual contribution by the occupier of each dwelling in the area to which the scheme applies towards particular community initiatives specified in the scheme.

(3) Annual contributions received in accordance with a scheme shall be paid into the community fund.

(4) A community initiative to which a scheme applies may be undertaken by a local community or other group, the local authority, any other person or jointly by any of them.

(5) A scheme shall—

(a) describe the particular initiative or initiatives to which annual contributions under the scheme are to be applied,

(b) provide for a separate record to be kept in the community fund as regards such annual contributions,

(c) specify the amount of the annual contribution to be paid by the occupier and different amounts may be specified for different categories of person as may be specified in the scheme,

(d) provide for the waiver or the remission in whole or in part of the annual contribution in the case of personal hardship, ability to pay or other specified circumstances,

(e) specify the period of years for which the scheme is to operate,

(f) specify the period within which an annual contribution is to be paid,

(g) specify the area to which the scheme applies, and

(h) provide for all such other matters as the local authority may consider necessary to ensure the satisfactory operation of the scheme.

(6) (a) Before adopting a scheme, a local authority shall publish a notice in at least one newspaper circulating in its administrative area indicating that a draft scheme has been prepared.

(b) The notice shall—

(i) describe the community initiative or initiatives and the area in respect of which the scheme would operate,

(ii) state the amount of the proposed annual contribution,

(iii) indicate that a copy of the draft scheme may be inspected at the principal offices of the local authority or at such other locations as may be specified and may be obtained free of charge at such offices or locations, and

(iv) indicate that any person may make submissions or observations in writing to the local authority in relation to the draft scheme on or before a date specified in the notice, and the date shall not be less than one month after the notice is first so published.

(7) (a) A local authority may by resolution decide to hold a plebiscite regarding a draft scheme in that part of its area in respect of which it is proposed to make a scheme.

(b) The Minister may make regulations governing the conduct of plebiscites and matters relating to plebiscites.

(8) A local authority may by resolution, for which at least one-half of the total number of members of the authority vote in favour, adopt a scheme with or without amendment at any time after—

(a) the date specified for the purposes of subsection (6)(b)(iv),

(b) the consideration of any submissions or observations made to it under subsection (6)(b)(iv), and

(c) the consideration of the outcome of any plebiscite held under subsection (7).

(9) (a) Where a scheme has been adopted, the local authority shall in each year in which the scheme operates send to the occupier a notification to pay the annual contribution.

(b) The occupier shall pay to the local authority the annual contribution specified in the notification within the period specified.

(10) Where an annual contribution to be made by the occupier in accordance with a notification to pay has not been paid within the period specified for payment in the notification the local authority may recover such annual contribution from the occupier as a simple contract debt in any court of competent jurisdiction.

(11) A scheme may be made jointly by 2 or more local authorities in respect of an area specified in the scheme which includes part or all of the administrative area of each of the local authorities concerned but a scheme shall not be made in respect of any area which comprises F133[the entire administrative area of a local authority].

(12) A notification to pay shall indicate—

(a) the amount of the annual contribution,

(b) the period within which it is to be paid, and

(c) the community initiative or initiative to which it relates.

(13) A notification to pay may be addressed to any occupier of the dwelling by name, but where the name of the occupier cannot be ascertained by reasonable inquiry, the notification may be addressed to “the occupier” without naming the occupier.

(14) Only one contribution is payable in respect of any dwelling in respect of a particular year.

Annotations

Amendments:

F133
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(l), S.I. No. 214 of 2014.

Section 111

Regulations (Chapter 1).

111.—(1) The Minister may make regulations for any or all of the following matters—

(a) the form of accounts to be kept by local authorities or joint bodies, including the functional programmes to be shown in such accounts and the matters in respect of which separate amounts are to be shown,

(b) the format of a local authority budget or a draft local authority budget,

(c) F134[…]

(d) F134[…]

(e) F134[…]

(f) the serving of a demand by a joint body in respect of its expenses on the relevant F135[local authority] and the format and period of serving that demand,

(g) specifying the periods within which payments made to persons authorised to receive money on behalf of a local authority shall be paid to the authority,

(h) the financial and administrative procedures to apply in relation to gifts received by a local authority,

(i) such other matters as the Minister may consider appropriate in relation to financial management and procedures.

(2) Regulations under this section may make provision in respect of any matter by reference to an accounting code of practice issued under section 107.

Annotations

Amendments:

F134
Deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(m), S.I. No. 214 of 2014.

F135
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(n), S.I. No. 214 of 2014.

Editorial Notes:

E216
Power pursuant to subs. (1)(i) exercised (1.01.2024) by Local Government Rates (Financial Procedures) Regulations 2023 (S.I. No. 696 of 2023), in effect as per reg. 1(2).

E217
Power pursuant to section exercised (31.08.2015) by Local Government (Financial and Audit Procedures) (Amendment) Regulations 2015 (S.I. No. 363 of 2015), in effect as per reg. 2.

E218
Power pursuant to section exercised (1.06.2014) by Local Government (Financial and Audit Procedures) Regulations 2014 (S.I. No. 226 of 2014), in effect as per reg. 2.

E219
Previous affecting provision: power pursuant to section exercised (13.01.2014) by Local Government (Financial Procedures and Audit) (Amendment) Regulations 2014 (S.I. No. 8 of 2014), in effect as per reg. 2; the only effect of this instrument was to amend S.I. No. 508 of 2002 and on its revocation (below), it ceased to have effect.

E220
Previous affecting provision: power pursuant to section exercised (14.11.2008) by Local Government (Financial Procedures and Audit) Regulations 2002 (Amendment) Order 2008 (S.I. No. 467 of 2008), in effect as per reg. 2; the only effect of this instrument was to amend S.I. No. 508 of 2002 and on its revocation (below), it ceased to have effect.

E221
Previous affecting provision: power pursuant to section exercised (14.11.2002) by Local Government (Financial Procedures and Audit) Regulations 2002 (S.I. No. 508 of 2002); revoked (1.06.2014) by Local Government (Financial and Audit Procedures) Regulations 2014 (S.I. No. 226 of 2014), reg. 30, in effect as per reg. 2.

Section 112

Obligations in case of proposal involving illegal payment, deficiency or loss.

112.—(1) Where a proposal is made at a meeting of a local authority or a joint body to do or effect any act, matter or thing—

(a) which constitutes a reserved function or is mentioned in a resolution under section 140, and

(b) in consequence of which an illegal payment is to be made out of the funds of the local authority or joint body, or a deficiency or loss is likely to result in or to such funds,

the F136[chief executive] (or, in his or her absence, such other employee as may be nominated by the F136[chief executive]) shall object and state the grounds of his or her objection, and, if a decision is taken on the proposal, the names of the members present and voting for and against the decision and abstaining from voting on the decision shall be recorded in the minutes of the meeting.

F137[(1A) In stating his or her opinion and preparing the report or special report, as the case may be, in accordance with section 120, the local government auditor shall take account of any objection and decision recorded in accordance with subsection (1).]

(2) F138[…]

Annotations

Amendments:

F136
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 73, S.I. No. 214 of 2014.

F137
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(o), S.I. No. 214 of 2014.

F138
Deleted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 58(p), S.I. No. 214 of 2014.

Section 113
Savers.

113.—(1) Nothing in this Act (including the repeal of any enactment) affects the making, levying, collection or recovery of rates or the liability of a person to pay rates.

(2) Notwithstanding the repeal of the City and County Management (Amendment) Act, 1955, by this Act, section 10A of that Act (as inserted by section 44 of the Local Government Act, 1994) shall continue to apply and have effect and for that purpose—

(a) the reference in subsection (1) of that section to “section 10(4) of this Act” and in subsection (3) of that section to “subsection (4) of section 10” shall both be read as references to section 103(7) of this Act, and

(b) the references in subsections (7) and (8) to “Part IV of the Local Government Act, 1941” shall each be read as a reference to part 21 of this Act.

Chapter 2

Audit

Section 114

Interpretation (Chapter 2).

114.—(1) In this Chapter—

“audit committee” has the meaning given in section 122;

“audited financial statement” has the meaning given in section 120(1);

“audit opinion” has the meaning given in section 120(1);

“auditor’s report” has the meaning given in section 120(1);

“auditor’s special report” has the meaning given in section 120(2);

“local authority or other body” means a local authority, a joint body and any other body standing prescribed by regulations made by the Minister under section 115;

“local government auditor” shall be read in accordance with section 116(1).

(2) Any reference to the Minister in this Chapter shall, in a case where the reference applies to a body prescribed by regulations under section 115 for which another Minister of the Government is responsible, be read as a reference to that Minister.

Section 115

Application (Chapter 2).

115.—(1) This Chapter applies to every local authority and every joint body and their accounts shall be audited by a local government auditor in accordance with the provisions of this Act.

(2) (a) The Minister may by regulations prescribe a body to be a body to which this Chapter also applies.

(b) The Minister shall not make regulations under this subsection in respect of a body for which another Minister of the Government is directly or indirectly responsible unless that Minister consents to those regulations being made.

Annotations

Editorial Notes:

E222
Power pursuant to section exercised (29.07.2015) by Local Government (Prescribed Bodies) Regulations 2015 (S.I. No. 446 of 2015).

E223
Power pursuant to section exercised (18.02.2015) by Local Government Act 1991 (Regional Assemblies) (Establishment) (Amendment) Order 2015 (S.I. No. 62 of 2015).

E224
Power pursuant to section exercised (1.01.2015) by Local Government Act 1991 (Regional Assemblies) (Establishment) Order 2014 (S.I. No. 573 of 2014), in effect as per reg. 3.

E225
Power pursuant to section exercised (25.11.2013) by Local Government (Prescribed Bodies) Regulations 2013 (S.I. No. 457 of 2013).

Section 116

Local Government Audit Service.

116.—(1) There is established on the commencement of this section a service to be known as the Local Government Audit Service and the Minister may appoint to such service such and so many suitably qualified persons, to be known as local government auditors, to carry out or assist in the carrying out of audits of the accounts of local authorities and other bodies.

(2) Local government auditors shall be independent in the exercise of their professional functions.

(3) The Minister may appoint a person (in this Act referred to as the “Director of Audit”) to the Local Government Audit Service to carry out the functions set out in subsection (4).

(4) The functions of the Director of Audit are—

(a) to organise, direct and allocate resources within the Local Government Audit Service,

(b) to assign audits of particular local authorities or other bodies to particular local government auditors,

(c) to provide such advice and assistance as the Minister may from time to time require for the purposes of section 117(1),

(d) to arrange for auditors to certify claims or returns in accordance with section 126,

(e) to direct the Local Government (Value for Money) Unit established by section 14 of the Local Government (Financial Provisions) Act, 1997, and to ensure that the work of the unit is incorporated into local government audit practice,

(f) to report from time to time to the Minister on matters set out in paragraphs (a) to (e) and generally on the performance of the Local Government Audit Service,

(g) to bring proceedings under section 119(4), and

(h) to carry out such other functions as the Minister may from time to time direct.

(5) By virtue of this subsection the Local Government (Value for Money) Unit referred to in subsection (4)(e) forms part of the Local Government Audit Service.

(6) (a) A person who is a local government auditor immediately prior to the commencement of this section shall by virtue of this subsection on such commencement stand assigned to the Local Government Audit Service.

(b) Nothing in this subsection shall be read as prejudicing the position of a person referred to in paragraph (a) as a civil servant for the purposes of the Civil Service Regulation Act, 1956.

Section 117

Code of audit practice.

117.—(1) After consideration of the relevant professional auditing standards and following consultation with the Director of Audit, the Minister may issue and amend from time to time a code of audit practice in relation to the conduct of an audit and to such related matters as the Minister may consider appropriate.

(2) Notwithstanding the generality of subsection (1), the code may include provisions as regards the consideration of—

(a) the general financial standing of the audited body,

(b) the adequacy of the audited body’s financial systems,

(c) the adequacy of the audited body’s arrangements for preventing and detecting fraud and corruption,

(d) the adequacy of arrangements by a local authority or other body to secure economy and efficiency in the use of resources and of the systems employed by the local authority or other body concerned for the purposes of enabling it to evaluate the effectiveness of its operations.

(3) (a) In carrying out the audit of a local authority or other body, a local government auditor shall comply with the code of audit practice provided for in subsection (1).

(b) Nothing in this Chapter shall prejudice section 15 of the Local Government (Financial Provisions) Act, 1997.

Section 118

Audit procedure.

118.—(1) The Minister may make regulations setting out the procedures to be followed by a local authority or other body and by a local government auditor in relation to the audit of accounts of the local authority or other body.

(2) Without prejudice to the generality of subsection (1), the regulations may provide for any or all of the following—

(a) giving notice of the time and place for holding the audit;

(b) adjournment of the audit;

(c) public right of inspection of accounts;

(d) amendment or correction of errors in the annual financial statement;

(e) giving any member of the public a right to make an objection to the local government auditor concerning the accounts and the making of decisions on any such objections by the local government auditor;

(f) completion of the audit by the local government auditor;

(g) public notice of audited accounts;

(h) fees or a scale of fees for audit services.

(3) In the course of the audit of accounts of the local authority or other body, the local government auditor shall carry out such audit tests as he or she considers appropriate in order to be satisfied as to—

(a) whether the annual financial statement is prepared in accordance with section 107 or with the accounting requirements otherwise applicable to the body concerned,

(b) whether the annual financial statement presents fairly the financial position of the authority or other body and of its income and expenditure for the period in question,

(c) whether the transactions of the audited body conform with the statutory or other authorisation under which they purport to have been carried out.

Annotations

Editorial Notes:

E226
Power pursuant to section exercised (31.08.2015) by Local Government (Financial and Audit Procedures) (Amendment) Regulations 2015 (S.I. No. 363 of 2015), in effect as per reg. 2.

E227
Power pursuant to section exercised (1.06.2014) by Local Government (Financial and Audit Procedures) Regulations 2014 (S.I. No. 226 of 2014), in effect as per reg. 2.

E228
Power pursuant to section exercised (25.11.2013) by Local Government (Audit Fees) Regulations 2013 (S.I. No. 456 of 2013).

E229
Previous affecting provision: power pursuant to section exercised (13.01.2014) by Local Government (Financial Procedures and Audit) (Amendment) Regulations 2014 (S.I. No. 8 of 2014), in effect as per reg. 2; the only effect of this instrument was to amend S.I. No. 508 of 2002 and on its revocation (below), it ceased to have effect.

E230
Previous affecting provision: power pursuant to section exercised (14.11.2002) by Local Government (Financial Procedures and Audit) Regulations 2002 (S.I. No. 508 of 2002); revoked (1.06.2014) by Local Government (Financial and Audit Procedures) Regulations 2014 (S.I. No. 226 of 2014), reg. 30, in effect as per reg. 2.

Section 119

Right of auditor to inspect documents, obtain information, etc.

119.—(1) For the purposes of this Chapter a local government auditor shall in the course of audit—

(a) be given such office accommodation or other facilities as he or she may reasonably require,

(b) be given access to and allowed to inspect all books, deeds, contracts, accounts, vouchers, receipts, maps, plans, documents, or other data, information, materials or things, as he or she may reasonably require,

(c) be entitled at all reasonable times to enter and inspect any land or premises or structure (other than a dwelling) which is owned, used, controlled or managed by a local authority or other body.

(2) It is the duty of a local authority (its members and employees) or other body to afford every facility and co-operation to a local government auditor including the giving of information which he or she may reasonably request.

(3) Any person who obstructs or impedes or refuses to comply with a request of a local government auditor acting in the exercise of any of the functions conferred on him or her by this section is guilty of an offence and is liable on summary conviction to a fine not exceeding £1,500 or, at the discretion of the court, to imprisonment for a term not exceeding 6 months or to both.

(4) Summary proceedings for an offence under this section may be brought by the Director of Audit.

Annotations

Editorial Notes:

E231
A fine of £1,500 converted (1.01.1999) to €1,904.60. This translates into a class C fine, not greater than €2,500, as provided (4.01.2011) by Fines Act 2010 (8/2010), ss. 3, 6(2) and table ref. no. 1, S.I. No. 662 of 2010.

Section 120

Audit opinion and report.

120.—(1) On completion of the audit of accounts of a local authority or other body, the local government auditor—

(a) shall enter his or her opinion (in this Chapter referred to as an “audit opinion”) in a form consistent with the code of audit practice referred to in section 117 on the relevant annual financial statement (in this Chapter referred to as the “audited financial statement”),

(b) shall send copies of the audited financial statement without delay to the local authority or other body concerned, to the Director of Audit and to the Minister, and

(c) may prepare a report (in this Chapter referred to as an “auditor’s report”) on any matter or matters which come to his or her notice during the course of the audit and such report shall accompany the audited financial statement.

(2) (a) Where the local government auditor considers it appropriate in the public interest to do so, he or she may prepare a report (in this Chapter referred to as an “auditor’s special report”) on any matter or matters which come to his or her notice during the course of the audit before the completion of such audit.

(b) The auditor’s special report shall be sent without delay to the local authority or other body concerned, to the Director of Audit and to the Minister.

(3) An audit opinion, auditor’s report or auditor’s special report shall be addressed to the local authority or other body concerned.

(4) Before the finalisation of an auditor’s report or an auditor’s special report, the local government auditor shall consult with the F139[chief executive] or chief officer of the audited body concerned, as the case may be, in respect of the matters the subject of such report and shall consider and record the comments of the F139[chief executive] or chief officer, as the case may be, which are of material significance to such matters.

Annotations

Amendments:

F139
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 74, S.I. No. 214 of 2014.

Section 121

Consideration of annual financial statement and auditor’s report.

F140[121.—(1) Following receipt by the local authority or joint body (in this section referred to as a “relevant authority”) of the audited financial statement, auditor’s report or auditor’s special report, the chief executive of the relevant authority shall provide that statement or report to the audit committee for consideration at the next practicable meeting of the committee.

(2) The local government auditor who conducted the audit, or who has been appointed in accordance with section 124, shall attend a meeting of the audit committee to present his or her report and clarify such issues as may be necessary in relation to the content of the auditor’s report or special report.

(3) The audit committee shall report to the relevant authority on its consideration of the audited financial statement, auditor’s report or auditor’s special report at the next practicable meeting of the relevant authority following the audit committee’s consideration.

(4) At any time within 3 months of the audited financial statement, auditor’s report or auditor’s special report having been submitted to the relevant authority in accordance with section 120, the local government auditor who carried out the audit may notify the local authority or joint body that he or she wishes to discuss it with that authority.

(5) Following notification under subsection (4), a local government auditor is entitled to attend the next meeting of the relevant authority following the notification to discuss the audited financial statement, auditor’s report or auditor’s special report, as the case may be, or to attend such other meeting of the relevant authority as the local government auditor may specify.

(6) Subject to any guidelines the Minister may issue from time to time, the matters to be discussed by an audit committee or the relevant authority at a meeting during any period when the local government auditor concerned attends shall be limited to matters directly related to the audited financial statement, the auditor’s report or the auditor’s special report, as the case may be.

(7) A local government auditor is entitled to qualified privilege in relation to any statements made by him or her at any meeting that he or she attends under this section in his or her capacity as such an auditor.]

Annotations

Amendments:

F140
Substituted (1.01.2014) by Local Government Reform Act 2014 (1/2014), s. 60, S.I. No. 214 of 2014.

Modifications (not altering text):

C38
Local authority empowered to require attendance of Chairperson at meeting as provided (6.06.2014) by Local Government (Audit Committee) Regulations 2014 (S.I. No. 244 of 2014), reg. 14, in effect as per reg. 2.

Report of the audit committee in accordance with section 121 of the Local Government Act 2001

14. (1) At the request of the local authority, the Chairperson of the audit committee shall attend the meeting of the local authority when the report of the committee made under section 121 (3) of the Local Government Act 2001 (as amended by section 60 of Local Government Act 2014) is being considered.

(2) The purpose of the attendance of the Chairperson at the meeting specified in paragraph (1) shall be to clarify such issues as may be necessary in the audit committee’s report.

Editorial Notes:

E232
Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 75 provides for the substitution of “chief executive” for “manager” in subs. (1). This amendment is obsolete as subs. (1) was substituted by Local Government Reform Act 2014 (1/2014), s. 60, as per F-note above.

E233
Previous affecting provision: subs. (4) inserted by Local Government (Business Improvement Districts) Act 2006 (42/2006), s. 4, not commenced; deleted (1.01.2014) by Local Government Reform Act 2014 (1/2014), s. 5(2) and sch. 1 part 2, S.I. No. 214 of 2014.

Section 122

Audit committee.

F141[122.—(1) A local authority shall establish a committee, to be known as an audit committee, within 3 months of—

(a) the polling day for the election of the incoming members of the local authority or,

(b) where the poll is for any reason countermanded, interrupted or adjourned, the day on which the poll is completed or the fresh poll is held, and from that establishment any audit committee previously established shall cease to exist.

(2) The functions of an audit committee are—

(a) to review financial and budgetary reporting practices and procedures within the local authority that has established it,

(b) to foster the development of best practice in the performance by the local authority of its internal audit function,

(c) to review any audited financial statement, auditor’s report or auditor’s special report in relation to the local authority and assess any actions taken within that authority by its chief executive in response to such a statement or report and to report to that authority on its findings,

(d) to assess and promote efficiency and value for money with respect to the local authority’s performance of its functions, and

(e) to review systems that are operated by the local authority for the management of risks.

(3) The Minister may prescribe by regulations for all or any of the following matters regarding an audit committee:

(a) its membership;

(b) the holding by it of meetings, including the frequency of those meetings and the conduct of them;

(c) the preparation of reports by it and the furnishing of them to other persons;

(d) the performance by it of its functions, whether generally or in particular cases, and the procedures to be followed in relation to that performance;

(e) the provision for privilege to attach to statements made to it or made by members of the committee in their capacity as such members;

(f) such other matters that are incidental to, or consequential on, any of the matters set out in paragraphs (a) to (e).]

Annotations

Amendments:

F141
Substituted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 59, S.I. No. 214 of 2014.

Editorial Notes:

E234
Local Government Reform Act 2014 (1/2014), s. 5(1) and sch. 1 part 1 ref. 76 provides for the substitution of “chief executive” for “manager” in subs. (7). This amendment is obsolete as the section was substituted by Local Government Reform Act 2014 (1/2014), s. 59, as per F-note above.

E235
Previous affecting provision: section substituted by Local Government (Business Improvement Districts) Act 2006 (42/2006), s. 5, not commenced; deleted (1.01.2014) by Local Government Reform Act 2014 (1/2014), s. 5(2) and sch. 1 part 2, S.I. No. 214 of 2014.

Section 123

Extraordinary audit.

123.—(1) The Minister may direct that an extraordinary audit of accounts of a local authority or other body, or of an aspect of those accounts, be carried out by a local government auditor if it appears to the Minister appropriate to do so, by reason of information contained in an auditor’s report or a special auditor’s report or for any other reason.

(2) Sections 117 to 119 apply to the conduct of an extraordinary audit, with any necessary modifications or adaptations.

(3) Sections 120 to 122 apply to a report resulting from an extraordinary audit.

Annotations

Editorial Notes:

E236
Extraordinary audit held in pursuance of section deemed complete on signature of relevant audit report (1.06.2014) by Local Government (Financial and Audit Procedures) Regulations 2014 (S.I. No. 226 of 2014), reg. 19, in effect as per reg. 2.

Section 124

Re-assignment of audit.

124.—(1) Where the local government auditor who conducted or is conducting an audit dies, retires, resigns or is otherwise not available, the Director of Audit may assign another local government auditor to be the local government auditor for the audit.

(2) At any attendance by a local government auditor assigned under subsection (1) at any meeting of a local authority or joint body he or she shall be deemed to have conducted the audit.

Section 125

Audit fees.

125.—(1) The Minister may from time to time prescribe by regulations a fee or scale of fees in respect of the audits of accounts which are required to be audited in accordance with this Act.

(2) A local authority or other body shall pay to the Minister such amount as determined in accordance with such regulations made under this section.

Annotations

Editorial Notes:

E237
Power pursuant to section exercised (30.09.2015) by Local Government (Audit Fees) Regulations 2015 (S.I. No. 447 of 2015).

E238
Power pursuant to section exercised (10.03.2015) by Local Government (Audit Fees) Regulations 2015 (S.I. No. 109 of 2015).

E239
Previous affecting provision: power pursuant to section exercised (19.11.2003) by Local Government (Audit Fees) Regulations 2003 (S.I. No. 622 of 2003); revoked (10.03.2015) by Local Government (Audit Fees) Regulations 2015 (S.I. No. 109 of 2015), reg. 5.

Section 126

Certification of claims, returns, etc.

126.—If required by the Minister, the Director of Audit shall make arrangements for local government auditors to certify claims or returns, or any class of claims or returns, in respect of grants, subsidies or other money due to a local authority or other body by a department of State, public authority or other local authority.

PART 12A

National Oversight and Audit Commission

Section 126A

Interpretation (Part 12A)

126A.— In this Part—

“appropriate Minister” means any Minister of the Government (other than the Minister)—

(a) on whom functions stand conferred, or

(b) who has general responsibility,

in respect of or in connection with the matter in question;

“Commission” means the National Oversight and Audit Commission established under this Part;

“local authority” includes a joint body and a joint committee;

“local government body” means—

(a) a local authority,

(b) a regional assembly,

(c) any trust or other body (whether corporate or unincorporated) over which one or more local authorities or regional assemblies, or both, exercise actual or effective control whether directly or indirectly through nominees (however described) or otherwise,

and includes any trust or other body, or a class of trust or other body, to which a determination under section 126L(3) relates;

“report”, in relation to a report of the Commission other than its annual report, means a report or information under section 126C(1)(i) or a report under section 126D.]

Annotations

Amendments:

F142
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 61(1), S.I. No. 214 of 2014.

Section 126B
F143[

Establishment of Commission

126B.— (1) The Minister shall by order establish a body to be known as the National Oversight and Audit Commission (in this Part referred to as the “Commission”) to perform the functions assigned to it by this Part.

(2) The Commission and its members are independent in the performance of their functions.]

Annotations

Amendments:

F143
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 61(1), S.I. No. 214 of 2014.

Editorial Notes:

E240
Power pursuant to subs. (1) exercised (1.07.2014) by National Oversight and Audit Commission (Establishment) Order 2014 (S.I. No. 297 of 2014).

Section 126C
F144[

Functions of Commission

126C.—(1) The functions of the Commission are as follows:

(a) to scrutinise the performance of any local government body against or in comparison with any indicative matter (in this Part referred to as “relevant indicators”) that—

(i) the Commission considers it appropriate to refer to (which shall include indicative matters relating to customer service), or

(ii) the Minister may prescribe by regulations for the purpose of this paragraph;

(b) to scrutinise the financial performance, including in relation to value for money, of any local government body, in respect of the financial resources available to it;

(c) to support the development and enhancement of best practice in the performance by local government bodies of their respective functions;

(d) to monitor and evaluate adherence to any agreement in the nature of a service level agreement entered into by one or more local government bodies, whether or not all parties to such an agreement are local government bodies;

(e) to oversee how national policy in relation to local government is implemented by local government bodies;

(f) to monitor and evaluate the implementation of public service reform (including enhanced efficiencies) by local government bodies either generally or in respect of any local government body or class of such bodies;

(g) to monitor the adequacy of the corporate plan prepared—

(i) by a regional assembly pursuant to section 43 (as amended by the Local Government Reform Act 2014) of the Local Government Act 1991, and

(ii) by a council pursuant to section 134,

and to evaluate implementation of such plans either generally or in respect of any local government body or class of such bodies;

(h) to take such steps as are appropriate under its other functions for the purposes of any request under section 126D and to furnish reports or other information in relation to that request to the Minister or the appropriate Minister, as the case may be;

(i) in addition to reports or other information furnished under section 126D and to its annual reports under section 126K, to prepare on its own initiative such other reports or information on matters relating to its functions as the Commission considers appropriate.

(2) The Commission has power to do anything that appears to it to be requisite, advantageous or incidental to, or to facilitate, the performance of its functions, including the making of arrangements by agreement with any person or body to assist the Commission in the proper discharge of any of its functions.

(3)(a) The Minister may, with the consent of the Minister for Public Expenditure and Reform, by order confer on the Commission such additional functions connected with the functions for the time being of the Commission as the Minister determines, subject to such conditions (if any) as may be specified in the order.

(b) An order under paragraph (a) may contain such incidental, supplementary and additional provisions as may, in the opinion of the Minister, be necessary to give full effect to the order.]

Annotations

Amendments:

F144
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 61(1), S.I. No. 214 of 2014.

Section 126D
F145[

Reports to Minister or appropriate Minister

126D.— (1) The Minister or an appropriate Minister may in writing request the Commission to prepare a report on any matter to which the functions of the Commission relate in respect of any aspect of local government specified by the Minister or the appropriate Minister, as the case may be, in respect of which he or she performs functions or has general responsibilities.

(2) A request under subsection (1) shall relate to one or more local government bodies specified in the request or to a class of such bodies so specified.

(3) Where a request has been made under subsection (1) the Commission shall, to the extent that its functions permit, comply with the request and have regard to such considerations or matters in preparing its report as are specified in the request.

(4)(a) Where the Commission considers it appropriate in the circumstances, the Commission may, following consultation with the regional assembly or regional assemblies concerned, require it or them to prepare and submit for the Commission’s consideration a draft of any such report.

(b) A draft report prepared and submitted to the Commission under paragraph (a) may be amended by it as it sees fit and any such report, whether amended or not, that has been adopted by the Commission and is subsequently submitted by the Commission to the Minister or the appropriate Minister, as the case may be, shall for the purposes of subsection (1) be deemed to be a report prepared by the Commission.

(c) Without prejudice to the Commission’s duty to prepare a report when requested under subsection (1), a draft report prepared and submitted to the Commission under paragraph (a) —

(i) may be submitted by the Commission to the Minister or the appropriate Minister, as the case may be, without being adopted by the Commission under paragraph (b), and

(ii) any such report so submitted by the Commission shall be accompanied by a note stating that it has not been adopted and giving the reasons why it has not been adopted.

(5) A report of the Commission to the Minister or the appropriate Minister under this section shall—

(a) be in writing,

(b) where appropriate, include the responses by the local government body to which the report relates to queries from the Commission,

(c) include the recommendations of the Commission in relation to the matters which are the subject of the report, and

(d) include recommendations in relation to such ancillary or related matters (including financial matters) as the Commission may consider appropriate or as the Minister or the appropriate Minister may specify in a request under subsection (1).

(6)(a) The Minister or the appropriate Minister shall furnish a copy of a report provided to him or her by the Commission under this section to—

(i) each local government body that is the subject matter of the report,

(ii) in the case of a local government body other than a local authority or a regional assembly, to each local authority or regional assembly that exercises actual or effective control within the meaning of “local government body” in section 126A,

(iii) the Joint Committee of the Houses of the Oireachtas to which has been assigned the role of examining matters relating to local government, and

(iv) any other Joint Committee of the Houses of the Oireachtas which has general responsibility in respect of or connected with the matters to which the report relates.

(b) Where a report has been furnished under paragraph (a), the Minister or the appropriate Minister shall advise the Commission accordingly and the Commission shall, as soon as practicable thereafter, cause the report to be published.

(7) Within 28 days of receipt of a report pursuant to subsection (6) in respect of a local authority for which he or she is chief executive, or in respect of any local government body over which the local authority exercises actual or effective control, the chief executive shall present to the council an implementation plan setting out the steps to be taken in relation to that report.

(8) The adoption of an implementation plan referred to in subsection (7), other than any part of such plan that exercises or would seek to exercise functions in relation to the employees of the local authority or employees of any local government body over which the local authority exercises actual or effective control, shall be a reserved function.

(9) A local authority or regional assembly which is the subject of a report, or is an authority or assembly that exercises actual or effective control over a local government body which is the subject of a report, published under this section shall, in its annual report, include reference to the steps taken in relation to that report during the period to which the annual report relates.]

Annotations

Amendments:

F145
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 61(1), S.I. No. 214 of 2014.

Section 126E
F146[

Requests for information, etc., made to local government body, etc.

126E.— (1) It is the duty of every local government body—

(a) to have due regard to a request made to it by the Commission for any information, document or thing, which in the opinion of the Commission is relevant to assist the Commission in the performance of its functions, and

(b) subject to subsections (2) and (3), to comply with all such requests so made.

(2) Where proceedings are instituted by the Commission—

(a) against a local government body for breach of duty under this section, and

(b) for the purposes of seeking compliance with the request concerned or a specified part of that request,

it shall be a valid defence for the local government body to show that the request made by the Commission, or so much of the request in respect of which the proceedings relate, was materially disproportionate to what was required to achieve the intended result of the request or that part of the request to which the proceedings relate.

(3) Nothing in this section shall be read as requiring the disclosure of confidential information, the disclosure of which would be in breach of non-disclosure obligations provided for by law or the disclosure of commercially sensitive information.]

Annotations

Amendments:

F146
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 61(1), S.I. No. 214 of 2014.

Section 126F
F147[

Requests for information, etc., made to certain public authorities

126F.— A public authority to which section 126E does not apply shall have due regard to a request made to it by the Commission for any information, document or thing, which in the opinion of the Commission is relevant to assist the Commission in the performance of its functions, and to use its best endeavours to facilitate such a request.]

Annotations

Amendments:

F147
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 61(1), S.I. No. 214 of 2014.

Section 126G
F148[

Submissions to Commission

126G.—(1) The Commission may give public notice of its intention to prepare a report (in this section referred to as a “proposed report”) to which section 126C(1)(i) or 126D relates.

(2) The public notice referred to in subsection (1), which shall be published in a newspaper circulating in the area to which the subject matter of the proposed report relates, shall indicate that—

(a) any person may make a submission to the Commission in relation to the subject matter of the proposed report in a manner and within the period as is specified in that notice, and

(b) submissions received by the Commission within the period specified in that notice may be made available for public inspection.

(3) The Commission shall consider any submissions made to it in accordance with the public notice or made by a local government body under this section or otherwise.

(4) Submissions received by the Commission under this section may be made available by them for public inspection—

(a) at such time and place and under such conditions as may be specified by the Commission and for that purpose may be made available by the Commission on its internet website, and

(b) where not published by the Commission on its internet website, the Commission shall permit a copy of such submissions or of extracts from them to be taken on payment of a fee which shall not exceed the reasonable cost of copying the submissions.]

Annotations

Amendments:

F148
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 61(1), S.I. No. 214 of 2014.

Section 126H
F149[

Members of Commission

126H.— (1) Subject to subsection (4) and section 126I(7), the Commission consists of not more than 9 but not less than 6 members, one of whom shall be the chairperson of the Commission.

(2) The chairperson of the Commission shall be appointed by the Minister.

(3) Each member of the Commission shall hold office for a period which the Minister shall determine, not exceeding 5 years from the date of appointment to the office and shall include—

(a) one or more persons having knowledge or experience of local government affairs,

(b) one or more persons having knowledge or experience in finance, audit, evaluation or project assessment,

(c) one or more persons having knowledge or experience in business, commerce, administration, corporate governance or community development,

(d) one or more persons having knowledge or experience in the statutory or voluntary bodies dealing with consumer issues, and

(e) one or more than one person who is an officer of the Minister.

(4) The members of the Commission may include—

(a) one but no more than one person who is an employee of a local authority, and

(b) one but no more than one person who is a member of a local authority,

but shall not include a person who is a member of a regional assembly.

(5) Any member of the Commission who, subsequent to appointment to the Commission, becomes an employee of a local authority, member of a local authority or member of a regional assembly shall, for the purposes of subsection (4) and section 126I(5) (d), in writing inform the Minister and the chairperson of the Commission accordingly.

(6) A member of the Commission shall not take part in the preparation or a decision to adopt or not adopt a report under section 126C(1)(i) or section 126D in respect of a local authority or regional assembly if he or she is, or was at the material time, an employee or elected member of that authority or assembly, as the case may be.

(7) The Minister, to the extent practicable, shall endeavour to ensure that there is an equitable balance between men and women in the membership of the Commission.]

Annotations

Amendments:

F149
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 61(1), S.I. No. 214 of 2014.

Section 126I
F150[

Eligibility and tenure of office of members, etc.

126I.—(1) A person appointed to be a member of the Commission holds office as such member for such period, terms and conditions as may be specified by the Minister at the time of his or her appointment.

(2) The chairperson and any other member of the Commission may be paid, out of moneys at the disposal of the Minister, such remuneration (if any) and allowances for expenses incurred by the member as the Minister, with the consent of the Minister for Public Expenditure and Reform, may determine.

(3)(a) A person is disqualified from becoming a member of the Commission if he or she is—

(i) a member of either House of the Oireachtas, or

(ii) a member of the European Parliament.

(b) A person ceases to be a member of the Commission if he or she—

(i) is nominated as a member of Seanad Éireann,

(ii) is elected as a member of either House of the Oireachtas or as a member of the European Parliament,

(iii) is regarded under Part XIII of the Second Schedule to the European Parliament Elections Act 1997, as having been elected to the European Parliament to fill a vacancy,

(iv) becomes a member of a regional assembly, or

(v) fails to attend at 6 consecutive meetings of the Commission where—

(I) in the case of a member other than the chairperson, the chairperson is of the opinion that the absence is not due to an acceptable reason such as illness or force majeure,

(II) in the case of the chairperson, a majority of the Commission is of the opinion that the absence is not due to an acceptable reason such as illness or force majeure.

(4) A member of the Commission, including the chairperson, may at any time resign from office by letter addressed to the Minister and the resignation takes effect from the date of receipt of the letter by the Minister.

(5) The Minister may remove from office any member of the Commission (including the chairperson) if, in the opinion of the Minister—

(a) that person has become incapable through ill-health of effectively performing the duties of the office,

(b) the member has committed stated misbehaviour,

(c) the member has a conflict of interest of such significance that, in the opinion of the Minister, the member should cease to hold office, or

(d) the removal of the member appears to the Minister to be necessary or desirable—

(i) for the effective performance by the Commission of its functions, or

(ii) to comply with the requirements of section 126H(4).

(6) A person may not be the chairperson of the Commission or, except in the case of an appointment to which section 126H(3)(e) relates, a member of the Commission for more than 2 consecutive terms of office but is otherwise eligible for re-appointment to be a member of the Commission.

(7)(a) Notwithstanding section 126H(1), the Minister, as required, may by order under this subsection increase the number of members of the Commission to not more than 12 members where, in the opinion of the Minister, it is necessary taking account of the volume of business coming before the Commission and the need to ensure the effective and efficient discharge by the Commission of its functions, but any such increase is for such temporary period as shall be specified in the order and shall not exceed 2 years from the date of the commencement of the order.

(b) Upon expiry of an order under paragraph (a), the Minister may make a further order in accordance with the provisions of that paragraph.

(8) A person shall be disqualified from holding and shall cease to hold office as a member of the Commission if he or she—

(a) is an undischarged bankrupt,

(b) is convicted on indictment of an offence, or is convicted outside the State of an offence consisting of acts or omissions which would constitute an offence triable on indictment if done or made in the State,

(c) is convicted of an offence involving fraud or dishonesty, or

(d) has a declaration under section 150 of the Companies Act 1990 made against him or her or is subject or is deemed to be subject to a disqualification order by virtue of Part VII of that Act.]

Annotations

Amendments:

F150
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 61(1), S.I. No. 214 of 2014.

Editorial Notes:

E241
Power pursuant to section exercised (21.08.2023) by National Oversight and Audit Commission (Number of Members) Order 2023 (S.I. No. 428 of 2023).

E242
Power pursuant to subs. (7) exercised (22.10.2018) by National Oversight and Audit Commission (Number of Members) Order 2018 (S.I. No. 442 of 2018).

E243
Power pursuant to subs. (7) exercised (19.10.2016) by National Oversight and Audit Commission (Number of Members) Order 2016 (S.I. No. 536 of 2016).

E244
Previous affecting provision: power pursuant to subs. (7) exercised (1.07.2014 to 1.07.2016) by National Oversight and Audit Commission (Number of Members) Order 2014 (S.I. No. 298 of 2014).

Section 126J
F151[

Meetings and procedures of Commission

126J.—(1) The Commission shall hold such and so many meetings as may be necessary for the performance of its functions.

(2) The chairperson of a meeting of the Commission shall be—

(a) the chairperson of the Commission if present, or

(b) if and so long as the chairperson of the Commission is not present or if the office of chairperson is vacant, the members of the Commission who are present shall choose one of their number to be chairperson of the meeting.

(3) At a meeting of the Commission—

(a) subject to paragraph (c), each member of the Commission present has one vote,

(b) every question at a meeting of the Commission shall be determined by consensus, but where in the opinion of the chairperson or other person presiding consensus is not possible, the question shall be determined by a majority of the votes of the members present and voting on the question, and

(c) in the case of an equal division of votes in circumstances to which paragraph (b) relates, the chairperson of the meeting has a second or casting vote.

(4) Subject to such standing orders as the Commission may make under subsection (5) regarding a quorum, the Commission may act notwithstanding one or more vacancies in its membership.

(5) The Commission shall regulate, by standing orders or otherwise, the procedure and business of the Commission, including the keeping of a record of its meetings and of decisions taken.

(6)(a) The Commission has an absolute discretion to hold an oral hearing in relation to any matter in respect of which functions are conferred on it by this Part and the hearing may be conducted by—

(i) one or more members of the Commission,

(ii) one or more members of the Commission, together with one or more other persons appointed by the Commission for that purpose, or

(iii) one or more other persons appointed by the Commission for that purpose.

(b) The persons (including any members of the Commission) conducting an oral hearing under paragraph (a) shall make a report in writing on the hearing to the Commission and shall include in the report such recommendations as are considered appropriate with respect to the subject of the report.

(c) The Commission shall consider a report made to it under paragraph (b) before deciding on the recommendations that it will make in its report.

(7) Where the number of members of the Commission has been increased by order under section 126I(7)(a), any function of the Commission may be exercised by a division of the Commission comprising of at least 4 of its members and meetings and decisions of any such division are, for all purposes, meetings and decisions of the Commission.]

Annotations

Amendments:

F151
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 61(1), S.I. No. 214 of 2014.

Section 126K
F152[

Governance of Commission

126K.—(1) Not later than the 30th day of April in each year, the Commission shall prepare and submit to the Minister a report (in this section referred to as the “annual report of the Commission”) in relation to the performance of its functions during the preceding year and shall, as soon as may be, furnish a copy of that report to such other persons as it may consider appropriate.

(2) An annual report of the Commission shall include the following in respect of the year to which it relates:

(a) particulars of the policies, programmes, services and other activities undertaken by the Commission;

(b) such particulars as may be required by a provision of any other enactment;

(c) such other particulars (including financial statements) as the Commission may determine to be appropriate to include in the report or as may be directed by the Minister;

(d) the total number of meetings of the Commission held during that year and, in respect of each member of the Commission—

(i) number of meetings of the Commission attended by the member during that year, and

(ii) the number of such meetings so held while a member of the Commission.]

Annotations

Amendments:

F152
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 61(1), S.I. No. 214 of 2014.

Section 126L
F153[

Regulations and determinations (Part 12A)

126L.—(1) The Minister may by regulations prescribe any matter of procedure as regards the appointment and operation of the Commission or the carrying out of its functions.

(2) Without prejudice to the generality of subsection (1), regulations under this section may provide for any of the following:

(a) the conduct of any oral hearing held by the Commission under section 126J(6), the procedures at such a hearing, the representation of a local authority or regional assembly at such a hearing or the attendance of persons at such a hearing;

(b) for the purposes of section 126C(1)(f), identifying or clarifying matters relating to public sector reform by local government bodies;

(c) prescribing relevant indicators for the purposes of section 126C(1)(a).

(3)(a) Where—

(i) any doubt, dispute or question arises or, in the opinion of the Minister, is likely to arise as to whether a trust or other body or a class of such trust or other body is or is not a trust or other body or a class thereof to which paragraph (c) of the definition of “local government body” applies, and

(ii) the Minister is of the opinion that such trust, other body or class is one to which the said paragraph (c) applies,

then the Minister shall determine the matter accordingly and shall communicate his or her determination in writing to the Commission and to the local authorities and regional assemblies concerned.

(b) The Minister shall not make a determination under paragraph (a) in respect of a trust or other body, or of a class of trusts or other bodies, for which another Minister of the Government is directly or indirectly responsible unless that other Minister consents to that determination being made and every communication for the purposes of that paragraph shall disclose any such consent.]

Annotations

Amendments:

F153
Inserted (1.06.2014) by Local Government Reform Act 2014 (1/2014), s. 61(1), S.I. No. 214 of 2014.

PART 8

Financial Procedures, Audit and Oversight

Chapter 1

Financial Procedures and Audit

Section 58
Amendment to Chapter 1 (financial procedures) of Part 12 of Principal Act

58. Chapter 1 of Part 12 of the Principal Act is amended—

(a) in section 97 by deleting subsection (2) (a),

(b) in section 97 by inserting in subsection (3) “(including by or on behalf of a successor authority in respect of a dissolved body to which the successor authority relates)” after “all money received by or on behalf of a local authority”,

(c) by deleting sections 100 and 101,

(d) in section 102 by substituting the following for subsection (3):

“(3) The draft local authority budget shall be prepared under the direction of the chief executive in the manner and in the format that may be prescribed by regulations made by the Minister showing the amounts necessary for the functional programmes of the authority.”,

(e) in section 102 by inserting the following after subsection (4):

“(4A) (a) In the case of a county council or a city and county council, the chief executive shall consult the municipal district members for each municipal district in the council’s functional area in the preparation of a draft local authority budget and, for that purpose, a draft budgetary plan for the municipal district shall be prepared under the direction of the chief executive and submitted for consideration by the municipal district members for each municipal district in the manner and in the format that may be prescribed by regulations made by the Minister.

(b) In determining the resources to be made available to each municipal district in the draft budgetary plan, the chief executive shall have regard to—

(i) the needs of, and the resources available or likely to be available to, the local authority, and

(ii) resource needs of each municipal district including, where appropriate, the population of each municipal district.

(c) Following consideration of a draft budgetary plan under paragraph (a), the municipal district members shall by resolution adopt the draft budgetary plan with or without amendment.

(d) The making of amendments under paragraph (b) by the municipal district members is a reserved function.

(e) The chief executive shall take account of any budgetary plan adopted by the municipal district members in preparing the draft local authority budget (in accordance with subsection (2)).”,

(f) in section 103 by substituting the following for subsection (2) (b):

“(b) which is held during the period directed by the Minister, and”,

(g) in section 103 by substituting the following for subsection (7) (b):

“(b) shall by resolution adopt the draft local authority budget with or without amendment, and—

(i) shall—

(I) subject to section 10 of the Local Government (Financial Provisions) Act 1978, by resolution determine in accordance with the local authority budget as so adopted, the annual rate on valuation to be levied, and

(II) where appropriate, have regard to the base year adjustment determined in accordance with section 29 of the Local Government Reform Act 2014,

or

(ii) where it is a joint body, shall prepare and by resolution adopt, in accordance with the local authority budget as so adopted, the demand by the joint body whereby the money to meet the expenses of the joint body, in the forthcoming local financial year is to be obtained.”,

(h) in section 103 by substituting the following for subsection (9):

“(9) Notwithstanding the other provisions of this section and section 102, a local authority budget may be adopted and the annual rate on valuation determined (including, where appropriate, having regard to the base year adjustment determined in accordance with section 29 of the Local Government Reform Act 2014) in the local financial year to which that budget or that rate applies, where this is in accordance with the period directed by the Minister for holding the local authority budget meeting.”,

(i) by inserting the following new section after section 103:

“Schedule of municipal district works

103A. (1) As soon as may be following the adoption of the local authority budget, a schedule of proposed works of maintenance and repair to be carried out during the financial year in each municipal district shall be prepared under the direction of the chief executive, having regard to the availability of resources, in the manner, format and within the timescale that may be prescribed by regulations made by the Minister.

(2) A schedule prepared for the purposes of subsection (1) shall be considered by the municipal district members concerned and be adopted by resolution, with or without amendment by it, within such time limit and in accordance with such conditions and requirements as may be prescribed by the regulations made by the Minister.

(3) In making an amendment under subsection (2) the municipal district members shall have due regard to the local authority budget adopted in accordance with section 103(9).

(4) If the schedule prepared for the purpose of subsection (1) is not adopted by the municipal district members in accordance with subsection (2) and any regulations made under that subsection, then the local authority concerned shall consider that schedule and by resolution adopt it with or without amendment (having due regard to the local authority budget adopted in accordance with section 103(9) ) within such time limit as may be prescribed by the regulations made by the Minister.”,

(j) in section 105 by substituting in subsection (2) “local authority” for “county council or city council” in both places where it occurs,

(k) in section 106 by deleting paragraph (6) (b),

(l) in section 110 by substituting in subsection (11) “the entire administrative area of a local authority” for “an entire county or city”,

(m) in section 111 by deleting paragraphs (c), (d) and (e) of subsection (1),

(n) in section 111 by substituting “local authority” for “county council or city council” in subsection (1) (f),

(o) in section 112 by inserting the following after subsection (1):

“(1A) In stating his or her opinion and preparing the report or special report, as the case may be, in accordance with section 120, the local government auditor shall take account of any objection and decision recorded in accordance with subsection (1).”,

and

(p) in section 112 by deleting subsection (2).

Section 59
Audit committee

59. The Principal Act is amended by substituting the following for section 122:

“122. (1) A local authority shall establish a committee, to be known as an audit committee, within 3 months of—

(a) the polling day for the election of the incoming members of the local authority or,

(b) where the poll is for any reason countermanded, interrupted or adjourned, the day on which the poll is completed or the fresh poll is held, and from that establishment any audit committee previously established shall cease to exist.

(2) The functions of an audit committee are—

(a) to review financial and budgetary reporting practices and procedures within the local authority that has established it,

(b) to foster the development of best practice in the performance by the local authority of its internal audit function,

(c) to review any audited financial statement, auditor’s report or auditor’s special report in relation to the local authority and assess any actions taken within that authority by its chief executive in response to such a statement or report and to report to that authority on its findings,

(d) to assess and promote efficiency and value for money with respect to the local authority’s performance of its functions, and

(e) to review systems that are operated by the local authority for the management of risks.

(3) The Minister may prescribe by regulations for all or any of the following matters regarding an audit committee:

(a) its membership;

(b) the holding by it of meetings, including the frequency of those meetings and the conduct of them;

(c) the preparation of reports by it and the furnishing of them to other persons;

(d) the performance by it of its functions, whether generally or in particular cases, and the procedures to be followed in relation to that performance;

(e) the provision for privilege to attach to statements made to it or made by members of the committee in their capacity as such members;

(f) such other matters that are incidental to, or consequential on, any of the matters set out in paragraphs (a) to (e).”.

Annotations

Editorial Notes:

E18
Power pursuant to section exercised (6.06.2014) by Local Government (Audit Committee) Regulations 2014 (S.I. No. 244 of 2014, in effect as per reg. 2. In so far as this section contains no subs. (3), it does not appear to enable the making of regulations. These regulations are also made under s. 4 of this Act.

Section 60

Consideration of annual financial statement and auditor’s report

60. The Principal Act is amended by substituting the following for section 121:

“121. (1) Following receipt by the local authority or joint body (in this section referred to as a ‘relevant authority’) of the audited financial statement, auditor’s report or auditor’s special report, the chief executive of the relevant authority shall provide that statement or report to the audit committee for consideration at the next practicable meeting of the committee.

(2) The local government auditor who conducted the audit, or who has been appointed in accordance with section 124, shall attend a meeting of the audit committee to present his or her report and clarify such issues as may be necessary in relation to the content of the auditor’s report or special report.

(3) The audit committee shall report to the relevant authority on its consideration of the audited financial statement, auditor’s report or auditor’s special report at the next practicable meeting of the relevant authority following the audit committee’s consideration.

(4) At any time within 3 months of the audited financial statement, auditor’s report or auditor’s special report having been submitted to the relevant authority in accordance with section 120, the local government auditor who carried out the audit may notify the local authority or joint body that he or she wishes to discuss it with that authority.

(5) Following notification under subsection (4), a local government auditor is entitled to attend the next meeting of the relevant authority following the notification to discuss the audited financial statement, auditor’s report or auditor’s special report, as the case may be, or to attend such other meeting of the relevant authority as the local government auditor may specify.

(6) Subject to any guidelines the Minister may issue from time to time, the matters to be discussed by an audit committee or the relevant authority at a meeting during any period when the local government auditor concerned attends shall be limited to matters directly related to the audited financial statement, the auditor’s report or the auditor’s special report, as the case may be.

(7) A local government auditor is entitled to qualified privilege in relation to any statements made by him or her at any meeting that he or she attends under this section in his or her capacity as such an auditor.”.

Chapter 2

National Oversight and Audit Commission

Section 61

National Oversight and Audit Commission

61. (1) The Principal Act is amended by inserting the following Part after Part 12:

“PART 12A

National Oversight and Audit Commission

Interpretation (Part 12A)

126A. In this Part—

‘appropriate Minister’ means any Minister of the Government (other than the Minister)—

(a) on whom functions stand conferred, or

(b) who has general responsibility,

in respect of or in connection with the matter in question;

‘Commission’ means the National Oversight and Audit Commission established under this Part;

‘local authority’ includes a joint body and a joint committee;

‘local government body’ means—

(a) a local authority,

(b) a regional assembly,

(c) any trust or other body (whether corporate or unincorporated) over which one or more local authorities or regional assemblies, or both, exercise actual or effective control whether directly or indirectly through nominees (however described) or otherwise,

and includes any trust or other body, or a class of trust or other body, to which a determination under section 126L(3) relates;

‘report’, in relation to a report of the Commission other than its annual report, means a report or information under section 126C(1) (i) or a report under section 126D.

Establishment of Commission

126B. (1) The Minister shall by order establish a body to be known as the National Oversight and Audit Commission (in this Part referred to as the ‘Commission’) to perform the functions assigned to it by this Part.

(2) The Commission and its members are independent in the performance of their functions.

Functions of Commission

126C. (1) The functions of the Commission are as follows:

(a) to scrutinise the performance of any local government body against or in comparison with any indicative matter (in this Part referred to as ‘relevant indicators’) that—

(i) the Commission considers it appropriate to refer to (which shall include indicative matters relating to customer service), or

(ii) the Minister may prescribe by regulations for the purpose of this paragraph;

(b) to scrutinise the financial performance, including in relation to value for money, of any local government body, in respect of the financial resources available to it;

(c) to support the development and enhancement of best practice in the performance by local government bodies of their respective functions;

(d) to monitor and evaluate adherence to any agreement in the nature of a service level agreement entered into by one or more local government bodies, whether or not all parties to such an agreement are local government bodies;

(e) to oversee how national policy in relation to local government is implemented by local government bodies;

(f) to monitor and evaluate the implementation of public service reform (including enhanced efficiencies) by local government bodies either generally or in respect of any local government body or class of such bodies;

(g) to monitor the adequacy of the corporate plan prepared—

(i) by a regional assembly pursuant to section 43 (as amended by the Local Government Reform Act 2014) of the Local Government Act 1991, and

(ii) by a council pursuant to section 134,

and to evaluate implementation of such plans either generally or in respect of any local government body or class of such bodies;

(h) to take such steps as are appropriate under its other functions for the purposes of any request under section 126D and to furnish reports or other information in relation to that request to the Minister or the appropriate Minister, as the case may be;

(i) in addition to reports or other information furnished under section 126D and to its annual reports under section 126K, to prepare on its own initiative such other reports or information on matters relating to its functions as the Commission considers appropriate.

(2) The Commission has power to do anything that appears to it to be requisite, advantageous or incidental to, or to facilitate, the performance of its functions, including the making of arrangements by agreement with any person or body to assist the Commission in the proper discharge of any of its functions.

(3) (a) The Minister may, with the consent of the Minister for Public Expenditure and Reform, by order confer on the Commission such additional functions connected with the functions for the time being of the Commission as the Minister determines, subject to such conditions (if any) as may be specified in the order.

(b) An order under paragraph (a) may contain such incidental, supplementary and additional provisions as may, in the opinion of the Minister, be necessary to give full effect to the order.

Reports to Minister or appropriate Minister

126D. (1) The Minister or an appropriate Minister may in writing request the Commission to prepare a report on any matter to which the functions of the Commission relate in respect of any aspect of local government specified by the Minister or the appropriate Minister, as the case may be, in respect of which he or she performs functions or has general responsibilities.

(2) A request under subsection (1) shall relate to one or more local government bodies specified in the request or to a class of such bodies so specified.

(3) Where a request has been made under subsection (1) the Commission shall, to the extent that its functions permit, comply with the request and have regard to such considerations or matters in preparing its report as are specified in the request.

(4) (a) Where the Commission considers it appropriate in the circumstances, the Commission may, following consultation with the regional assembly or regional assemblies concerned, require it or them to prepare and submit for the Commission’s consideration a draft of any such report.

(b) A draft report prepared and submitted to the Commission under paragraph (a) may be amended by it as it sees fit and any such report, whether amended or not, that has been adopted by the Commission and is subsequently submitted by the Commission to the Minister or the appropriate Minister, as the case may be, shall for the purposes of subsection (1) be deemed to be a report prepared by the Commission.

(c) Without prejudice to the Commission’s duty to prepare a report when requested under subsection (1), a draft report prepared and submitted to the Commission under paragraph (a) —

(i) may be submitted by the Commission to the Minister or the appropriate Minister, as the case may be, without being adopted by the Commission under paragraph (b), and

(ii) any such report so submitted by the Commission shall be accompanied by a note stating that it has not been adopted and giving the reasons why it has not been adopted.

(5) A report of the Commission to the Minister or the appropriate Minister under this section shall—

(a) be in writing,

(b) where appropriate, include the responses by the local government body to which the report relates to queries from the Commission,

(c) include the recommendations of the Commission in relation to the matters which are the subject of the report, and

(d) include recommendations in relation to such ancillary or related matters (including financial matters) as the Commission may consider appropriate or as the Minister or the appropriate Minister may specify in a request under subsection (1).

(6) (a) The Minister or the appropriate Minister shall furnish a copy of a report provided to him or her by the Commission under this section to—

(i) each local government body that is the subject matter of the report,

(ii) in the case of a local government body other than a local authority or a regional assembly, to each local authority or regional assembly that exercises actual or effective control within the meaning of ‘local government body’ in section 126A,

(iii) the Joint Committee of the Houses of the Oireachtas to which has been assigned the role of examining matters relating to local government, and

(iv) any other Joint Committee of the Houses of the Oireachtas which has general responsibility in respect of or connected with the matters to which the report relates.

(b) Where a report has been furnished under paragraph (a), the Minister or the appropriate Minister shall advise the Commission accordingly and the Commission shall, as soon as practicable thereafter, cause the report to be published.

(7) Within 28 days of receipt of a report pursuant to subsection (6) in respect of a local authority for which he or she is chief executive, or in respect of any local government body over which the local authority exercises actual or effective control, the chief executive shall present to the council an implementation plan setting out the steps to be taken in relation to that report.

(8) The adoption of an implementation plan referred to in subsection (7), other than any part of such plan that exercises or would seek to exercise functions in relation to the employees of the local authority or employees of any local government body over which the local authority exercises actual or effective control, shall be a reserved function.

(9) A local authority or regional assembly which is the subject of a report, or is an authority or assembly that exercises actual or effective control over a local government body which is the subject of a report, published under this section shall, in its annual report, include reference to the steps taken in relation to that report during the period to which the annual report relates.

Requests for information, etc., made to local government body, etc.

126E. (1) It is the duty of every local government body—

(a) to have due regard to a request made to it by the Commission for any information, document or thing, which in the opinion of the Commission is relevant to assist the Commission in the performance of its functions, and

(b) subject to subsections (2) and (3), to comply with all such requests so made.

(2) Where proceedings are instituted by the Commission—

(a) against a local government body for breach of duty under this section, and

(b) for the purposes of seeking compliance with the request concerned or a specified part of that request,

it shall be a valid defence for the local government body to show that the request made by the Commission, or so much of the request in respect of which the proceedings relate, was materially disproportionate to what was required to achieve the intended result of the request or that part of the request to which the proceedings relate.

(3) Nothing in this section shall be read as requiring the disclosure of confidential information, the disclosure of which would be in breach of non-disclosure obligations provided for by law or the disclosure of commercially sensitive information.

Requests for information, etc., made to certain public authorities

126F. A public authority to which section 126E does not apply shall have due regard to a request made to it by the Commission for any information, document or thing, which in the opinion of the Commission is relevant to assist the Commission in the performance of its functions, and to use its best endeavours to facilitate such a request.

Submissions to Commission

126G. (1) The Commission may give public notice of its intention to prepare a report (in this section referred to as a ‘proposed report’) to which section 126C(1) (i) or 126D relates.

(2) The public notice referred to in subsection (1), which shall be published in a newspaper circulating in the area to which the subject matter of the proposed report relates, shall indicate that—

(a) any person may make a submission to the Commission in relation to the subject matter of the proposed report in a manner and within the period as is specified in that notice, and

(b) submissions received by the Commission within the period specified in that notice may be made available for public inspection.

(3) The Commission shall consider any submissions made to it in accordance with the public notice or made by a local government body under this section or otherwise.

(4) Submissions received by the Commission under this section may be made available by them for public inspection—

(a) at such time and place and under such conditions as may be specified by the Commission and for that purpose may be made available by the Commission on its internet website, and

(b) where not published by the Commission on its internet website, the Commission shall permit a copy of such submissions or of extracts from them to be taken on payment of a fee which shall not exceed the reasonable cost of copying the submissions.

Members of Commission

126H. (1) Subject to subsection (4) and section 126I(7), the Commission consists of not more than 9 but not less than 6 members, one of whom shall be the chairperson of the Commission.

(2) The chairperson of the Commission shall be appointed by the Minister.

(3) Each member of the Commission shall hold office for a period which the Minister shall determine, not exceeding 5 years from the date of appointment to the office and shall include—

(a) one or more persons having knowledge or experience of local government affairs,

(b) one or more persons having knowledge or experience in finance, audit, evaluation or project assessment,

(c) one or more persons having knowledge or experience in business, commerce, administration, corporate governance or community development,

(d) one or more persons having knowledge or experience in the statutory or voluntary bodies dealing with consumer issues, and

(e) one or more than one person who is an officer of the Minister.

(4) The members of the Commission may include—

(a) one but no more than one person who is an employee of a local authority, and

(b) one but no more than one person who is a member of a local authority,

but shall not include a person who is a member of a regional assembly.

(5) Any member of the Commission who, subsequent to appointment to the Commission, becomes an employee of a local authority, member of a local authority or member of a regional assembly shall, for the purposes of subsection (4) and section 126I(5) (d), in writing inform the Minister and the chairperson of the Commission accordingly.

(6) A member of the Commission shall not take part in the preparation or a decision to adopt or not adopt a report under section 126C(1) (i) or section 126D in respect of a local authority or regional assembly if he or she is, or was at the material time, an employee or elected member of that authority or assembly, as the case may be.

(7) The Minister, to the extent practicable, shall endeavour to ensure that there is an equitable balance between men and women in the membership of the Commission.

Eligibility and tenure of office of members, etc.

126I. (1) A person appointed to be a member of the Commission holds office as such member for such period, terms and conditions as may be specified by the Minister at the time of his or her appointment.

(2) The chairperson and any other member of the Commission may be paid, out of moneys at the disposal of the Minister, such remuneration (if any) and allowances for expenses incurred by the member as the Minister, with the consent of the Minister for Public Expenditure and Reform, may determine.

(3) (a) A person is disqualified from becoming a member of the Commission if he or she is—

(i) a member of either House of the Oireachtas, or

(ii) a member of the European Parliament.

(b) A person ceases to be a member of the Commission if he or she—

(i) is nominated as a member of Seanad Éireann,

(ii) is elected as a member of either House of the Oireachtas or as a member of the European Parliament,

(iii) is regarded under Part XIII of the Second Schedule to the European Parliament Elections Act 1997, as having been elected to the European Parliament to fill a vacancy,

(iv) becomes a member of a regional assembly, or

(v) fails to attend at 6 consecutive meetings of the Commission where—

(I) in the case of a member other than the chairperson, the chairperson is of the opinion that the absence is not due to an acceptable reason such as illness or force majeure,

(II) in the case of the chairperson, a majority of the Commission is of the opinion that the absence is not due to an acceptable reason such as illness or force majeure.

(4) A member of the Commission, including the chairperson, may at any time resign from office by letter addressed to the Minister and the resignation takes effect from the date of receipt of the letter by the Minister.

(5) The Minister may remove from office any member of the Commission (including the chairperson) if, in the opinion of the Minister—

(a) that person has become incapable through ill-health of effectively performing the duties of the office,

(b) the member has committed stated misbehaviour,

(c) the member has a conflict of interest of such significance that, in the opinion of the Minister, the member should cease to hold office, or

(d) the removal of the member appears to the Minister to be necessary or desirable—

(i) for the effective performance by the Commission of its functions, or

(ii) to comply with the requirements of section 126H(4).

(6) A person may not be the chairperson of the Commission or, except in the case of an appointment to which section 126H(3)(e) relates, a member of the Commission for more than 2 consecutive terms of office but is otherwise eligible for re-appointment to be a member of the Commission.

(7) (a) Notwithstanding section 126H(1), the Minister, as required, may by order under this subsection increase the number of members of the Commission to not more than 12 members where, in the opinion of the Minister, it is necessary taking account of the volume of business coming before the Commission and the need to ensure the effective and efficient discharge by the Commission of its functions, but any such increase is for such temporary period as shall be specified in the order and shall not exceed 2 years from the date of the commencement of the order.

(b) Upon expiry of an order under paragraph (a), the Minister may make a further order in accordance with the provisions of that paragraph.

(8) A person shall be disqualified from holding and shall cease to hold office as a member of the Commission if he or she—

(a) is an undischarged bankrupt,

(b) is convicted on indictment of an offence, or is convicted outside the State of an offence consisting of acts or omissions which would constitute an offence triable on indictment if done or made in the State,

(c) is convicted of an offence involving fraud or dishonesty, or

(d) has a declaration under section 150 of the Companies Act 1990 made against him or her or is subject or is deemed to be subject to a disqualification order by virtue of Part VII of that Act.

Meetings and procedures of Commission

126J. (1) The Commission shall hold such and so many meetings as may be necessary for the performance of its functions.

(2) The chairperson of a meeting of the Commission shall be—

(a) the chairperson of the Commission if present, or

(b) if and so long as the chairperson of the Commission is not present or if the office of chairperson is vacant, the members of the Commission who are present shall choose one of their number to be chairperson of the meeting.

(3) At a meeting of the Commission—

(a) subject to paragraph (c), each member of the Commission present has one vote,

(b) every question at a meeting of the Commission shall be determined by consensus, but where in the opinion of the chairperson or other person presiding consensus is not possible, the question shall be determined by a majority of the votes of the members present and voting on the question, and

(c) in the case of an equal division of votes in circumstances to which paragraph (b) relates, the chairperson of the meeting has a second or casting vote.

(4) Subject to such standing orders as the Commission may make under subsection (5) regarding a quorum, the Commission may act notwithstanding one or more vacancies in its membership.

(5) The Commission shall regulate, by standing orders or otherwise, the procedure and business of the Commission, including the keeping of a record of its meetings and of decisions taken.

(6) (a) The Commission has an absolute discretion to hold an oral hearing in relation to any matter in respect of which functions are conferred on it by this Part and the hearing may be conducted by—

(i) one or more members of the Commission,

(ii) one or more members of the Commission, together with one or more other persons appointed by the Commission for that purpose, or

(iii) one or more other persons appointed by the Commission for that purpose.

(b) The persons (including any members of the Commission) conducting an oral hearing under paragraph (a) shall make a report in writing on the hearing to the Commission and shall include in the report such recommendations as are considered appropriate with respect to the subject of the report.

(c) The Commission shall consider a report made to it under paragraph (b) before deciding on the recommendations that it will make in its report.

(7) Where the number of members of the Commission has been increased by order under section 126I(7)(a), any function of the Commission may be exercised by a division of the Commission comprising of at least 4 of its members and meetings and decisions of any such division are, for all purposes, meetings and decisions of the Commission.

Governance of Commission

126K. (1) Not later than the 30th day of April in each year, the Commission shall prepare and submit to the Minister a report (in this section referred to as the ‘annual report of the Commission’) in relation to the performance of its functions during the preceding year and shall, as soon as may be, furnish a copy of that report to such other persons as it may consider appropriate.

(2) An annual report of the Commission shall include the following in respect of the year to which it relates:

(a) particulars of the policies, programmes, services and other activities undertaken by the Commission;

(b) such particulars as may be required by a provision of any other enactment;

(c) such other particulars (including financial statements) as the Commission may determine to be appropriate to include in the report or as may be directed by the Minister;

(d) the total number of meetings of the Commission held during that year and, in respect of each member of the Commission—

(i) number of meetings of the Commission attended by the member during that year, and

(ii) the number of such meetings so held while a member of the Commission.

Regulations and determinations (Part 12A)

126L. (1) The Minister may by regulations prescribe any matter of procedure as regards the appointment and operation of the Commission or the carrying out of its functions.

(2) Without prejudice to the generality of subsection (1), regulations under this section may provide for any of the following:

(a) the conduct of any oral hearing held by the Commission under section 126J(6), the procedures at such a hearing, the representation of a local authority or regional assembly at such a hearing or the attendance of persons at such a hearing;

(b) for the purposes of section 126C(1)(f), identifying or clarifying matters relating to public sector reform by local government bodies;

(c) prescribing relevant indicators for the purposes of section 126C(1)(a).

(3) (a) Where—

(i) any doubt, dispute or question arises or, in the opinion of the Minister, is likely to arise as to whether a trust or other body or a class of such trust or other body is or is not a trust or other body or a class thereof to which paragraph (c) of the definition of ‘local government body’ applies, and

(ii) the Minister is of the opinion that such trust, other body or class is one to which the said paragraph (c) applies,

then the Minister shall determine the matter accordingly and shall communicate his or her determination in writing to the Commission and to the local authorities and regional assemblies concerned.

(b) The Minister shall not make a determination under paragraph (a) in respect of a trust or other body, or of a class of trusts or other bodies, for which another Minister of the Government is directly or indirectly responsible unless that other Minister consents to that determination being made and every communication for the purposes of that paragraph shall disclose any such consent.”.

(2) Section 221(2) (b) of the Principal Act is amended in the manner set out in Part 1 of Schedule 1.

(3) Paragraph 1(2) of the First Schedule to the Freedom of Information Act 1997 is amended by inserting “the National Oversight and Audit Commission”.