Rents of Local Authority Dwelling Scheme

1. Scope of Scheme
   This scheme will apply with effect from 1 st July 2003.
   
   
2. Differential Rents
   Rents of dwellings let on Differential Rent will be calculated in accordance with Paragraph 4 below, as a proportion of the assessable income of the principal earner, ranging from one-twentieth to one-fifth in accordance with a graded scale, which includes allowances for the principal earner and dependant children, together with a contribution from subsidiary earners in the household. Rents will be based on certified income of the week beginning on 1 st July 2003, and current certificates for subsequent new tenants.
   
   
3. Assessable Incomes
   Assessable income of the principal earner is income from the following sources, assessed in full, but reduced by pay-related social insurance contributions, and any income tax payable on such income. Income tax to be calculated by reference to both payslips, and charts submitted by the Revenue Commissioners. When examining certificates of income, this council takes due account of the appropriate union rate for each tenant's grade of employment.
   
   
   1. Income from employment, including self-employment. Income of any employed person is, in general, the normal weekly rate of remuneration as defined in Section One of the Holidays (Employees) Act, 1973, except that overtime is excluded. All other regular payments in the nature of pay are included.
      
   2. All social insurance and social assistance payments, allowances and pensions, health board allowances and FAS training allowances except the following payments:
      
      • Childrens Allowances, Orphans Allowances, or orphans pensions payable under the Social Welfare (Consolidation) Act, 1981.
      • Scholarships
      • Allowances payable under the Boarding Out of Children Regulations 1954.
      • Allowances for domiciliary care of handicapped children under the Health Act, 1970.
      • Lump sum compensation payments.
      • Disabled Persons Maintenance Allowances.
        
        
   3. Income from pensions of kinds not already included at (b) above. The principal earner is the person (either the tenant or any other person normally resident in the household) who is in receipt of the highest assessable income within the household.
      
      A subsidiary earner is a member of the household, other than the principal earner, who has an income.
      
      
      
4. Calculation of Rent  
   
   
   1. The rents of dwellings let on differential rent will be determined on the basis of the following scales.
      

      Assessable weekly income of principal earner	Principal earners weekly allowance	Rent Fraction
      Up to €127.00	€30.47	1/20
      €127.01-€165.00	€12.70	1/10
      €165.01-€211.00	€10.16	1/8
      €211.01-€216.00	€8.89	1/7
      €216.01-€229.00	€7.62	1/6
      €229.01-€999.99	€6.35	1/5

      The Local Authority can make appropriate adjustments at the marginal points of the scale or bands, so as to avoid an abnormal increase in income in the rent arising from an individual's rent moving marginally from one band to the other.

      In order to comply with this section, the Local Authority should use guidelines taking due account of the percentage increase in income from the previous years rent calculation.
      

   2. In addition to the allowance for principal earner, allowances are being made for dependent children on the basis of €6.35 per child for each of the first six children of 16 years or under, or, who being under 21, is attending a fulltime course of education and is wholly or mainly maintained by the principal earner.
      
      In addition, special allowances are now being introduced for a family of more than six children. This allowance will be given by an actual deduction from the original weekly rent calculation.
      
      
   3. After the rent payable in respect of the principal earner has been determined, one seventh of income of each subsidiary earner which exceeds €38.09 per week will be added, subject to a maximum contribution of €8.88 by each subsidiary earner.
      
      
   4. Rent increases will be subjected to a maximum increase of €6.50 per week, where the circumstances of the tenant have not changed, i.e. where a tenant/principal earner was unemployed under the last assessment, and has now entered employment, the rent is to be calculated in accordance with the scheme, and the maximum increase limit does not apply.
      
      
5. Review of Income of Continuous Basis
   The Tenant should notify the Local Authority immediately of any change in income, or in family circumstances.
   
   
6. Minimum Rent
   The minimum rent of €10.00 per week will apply for the full period of this scheme to all categories, except Old Age Pensioners houses where the minimum will be €6.50 per week.
   
   
7. Maximum Rent
   The weekly maximum rent on each Local Authority dwelling will be €51.00 in all cases except in Old Age Pensioners houses, where the maximum rent will be €25.00 per week.
   
   
8. Hardship Cases
   In exceptional circumstances, where payment of rent calculated under the preceding paragraphs of this scheme would in the opinion of the Housing Authority give rise to hardship, the Housing Authority may, at its discretion, grant a reduction in the rent for the entire duration, or specified period of this particular scheme.
   
   
9. Fixed Rents
   Since the rents of all Local Authority houses owned by Naas Town Council are calculated under the Differential Rents Scheme, this paragraph applies to rents payable by tenants of mobile homes, demountable dwellings and caravans. These rents will be increased by €0.63 per week with effect from the commencement of this scheme. Tenants on fixed rents are offered the option of going on to Differential Rent. This ensures that rent increases will not entail hardship in any case.
   
   
10. Rounding Up and Down
    Where the rents calculated in accordance with the preceding paragraphs, are not multiples of €1.00 they shall be rounded up, or down, to the nearest €0.50.