Mayo chief executive seeks approval for €219.6m. budget

Mayo County Council is seeking approval for a budget of €219.6 million next year.

It represents an increase of €6.1 million, bringing the total increase in revenue spend over the last five years since 2021 to €60.4 million.

An increase in rates is not being sought to cover the additional cost.

The authority's chief executive Kevin Kelly explained: "While this increase in spend is very welcome much of it takes the form of specific grants or financial provisions for specified purposes which doesn’t provide for much needed local discretion.

"The councillors decision on the LPT variation in July has ensured that our funding from LPT remains constant in 2026 but the rejection of the proposal to vary the local adjustment factor by 15% has impacted negatively on our ambition to undertake various additional actions.

"The rates revaluation process removes any discrepancies or differences in valuation that may have existed between similar businesses which are now treated in the same way.

"In particular variations may have arisen where businesses have not been valued or revalued for several decades.

"Likewise, where properties have premises where there is vacancy or non-use on an ongoing basis, this should now be captured within the new valuation and existing vacancy adjustments no longer apply other than in accordance with statutory provisions.

"Any further properties where commercial operations have ceased should be listed for re-valuation.

"Contained in the budget is an increase in the commercial rates valuations arising from the valuation or review of existing or extended businesses and this has delivered an additional €0.37 million in 2026 which relates mostly to additional windfarm development.

"The budget for 2026 has been produced on the assumption that central Government support will be available to offset some of the increased costs of the National Pay Agreement and the National Agreement on the Retained Fire Services and therefore these additional costs are included in the budget at a net additional cost of €0.84 million

"The main changes agreed in respect of the retained fire service were new pay scales and guaranteed pay (including drill hours , promoting community fire safety, attendance at incidents and a revised retainer), attendance requirement revised to attending alerts on 24 weeks in the year on a week on/ week off basis which also allows attendance during rostered off periods, extended premium hours, increased staffing including a minimum crew of 12 in every station and the provision of a dress uniform.

"In 2023 the budget provision for operating the fire service was €5.43 million before increasing in 2025 to €8.448 million and in 2026 the Fire Service budget provision has increased to €9.6 million.

"The financial implications of the move of Water Services to Uisce Eireann continue to evolve and with the recoupment of both pension costs and Central Management Charge capped at 2022 levels there will be a reduction in income from this source of approximately €384,000 in 2026.

"There are a number of significant issues to be addressed at national level before the cessation of the transition period in December 2026 in order to ensure that the transition does not impact negatively on the finances of Mayo County Council.

"Councillors have been circulated with the Councils Strategic Workforce Plan 2025 – 2030 which outlines an additional staffing requirement over this period of 235, of which 201 are dependent on Mayo County Council funding and at an additional annual cost of €13.5 million

"While it is obvious that this level of change is beyond our current financial capacity it is incumbent on us to start addressing this additional staffing requirement, but the financial capacity does not currently exist to make any significant advancement in 2026."

Mr. Kelly said the budget maintains the provision of €400,000 introduced in 2025 to enable the elected members, together with municipal district staff, to address smaller work items within their areas, on a priority basis, including works to car parks, line marking, signage provision, speed ramps and other works and and this will be split across the four municipal districts based on population.

He confirmed there will be no increase in parking charges next year.

Mr. Kelly added: "The preparation of the draft annual budget has been challenging and there are many areas of need that we are unable to address at this time.

"But the proposed expenditure of €219.6 million, together with our capital programme spend, represents a very considerable investment of monies in the development of the county and the delivery of services throughout the county."

The council's opening budget meeting takes place next Thursday.

*Published under the Local Democracy Reporting Scheme.