4th January 2008 - New Water Charges - School Still Cash Starved
Principals disappointed that basic funding issue not addressed
In a statement issued this evening, the Irish Primary Principals' Network expressed disappointment at the Government's announcement on water charges.
"IPPN is bitterly disappointed that the Government has now decided to formally introduce water charges for schools. While the Taoiseach's intervention before Christmas gave some hope to cash-starved schools, this latest decision deliberately ignores the day-to-day funding crisis that exists at primary level. This action will strengthen IPPN's resolve to force the Government to acknowledge and address the real issue that schools simply do not have enough money to cover day-to-day running costs." said Seán Cottrell, Director of IPPN.
This is a significant precedent in that the Government is now formally introducing a new charge on schools without any corresponding increase in the capitation grant to cover this new charge. In fact, one-quarter of the increase given to schools in the budget is now being clawed back by these charges.
The rate of increase in the new flat rate water charges is significant. €3.00 to €3.50 to €4.00 from 2007 to 2009. This is an increase of 16% in 2008 and 33% in 2009 over 2007.
"No matter what the final arrangement is, it will have to be funded by the exchequer either by direct transfer from DES to local authorities or by increased funding to schools. These payments are inefficient. Schools will have to pay an additional 21% in VAT and will also have to bear the additional costs of administration of payments - as will local authorities." said Mr. Cottrell.
Ippn pointed out that schools will now have to pay two years charges in one year - 2007 and 2008.
In addition, this year, schools will also have to pay bills for professional costs incurred in making application for the Summer Works Scheme last September which was axed by the Government in December. These charges range from €800 to €1500 on average.
The current capitation grant provides 88c per child per day to cover heating oil, electricity, insurance, cleaning, security, maintenance etc. This represents roughly half the level of funding provided to second level schools for the same costs.
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