Donegal County Council has been told its allocation from the Local Government Fund is to be cut by 13% to reflect the number of people in the county who haven't paid the Household Charge.
A letter from the Department of the Environment and Local Government circulated to members today says the initial grant of just under 31 million euro is being cut by just over 4 million euro, based on a 47% level of compliance with the charge.
The letter says the level of funding will be revisited in the fourth quarter to reflect changes, including progress on securing more Household Charge payments in the coming months.
In the meantime, the letter concludes, the council should "re-forecast" its expenditure plans for the rest of the year to ensure a balanced budget.
Fianna Fail Councillor Ciaran Brogan says its a huge blow just days after Donegal was virtually ignored in
the stimulus package.
He says FG/Lab councillors must push their party colleagues to have this reversed:
Former Fine Gael Councillor, Independent Terence Slowey says we should know the implications of the funding cut shortly: