Councillors and local authority officials who accept money for planning favours face fines of up to £100,000 and three years in prison under legislation to be published today by the Minister for the Environment, Mr Dempsey.
The Local Government Bill 2000 sets out for the first time a strict ethics framework for councillors and local authority staff, who will have to make an annual declaration of interests.
The legislation will form part of a new Government strategy aimed at restoring confidence in public life following recent political scandals, the Taoiseach, Mr Ahern, promised last night.
He revealed that as well as the Local Government Bill, the Standards in Public Office Act, to be published in June, will create tax clearance requirements for politicians and senior public servants. The Bill will also provide for the establishment of a body to investigate complaints against officeholders.
Speaking at a meeting of a Fianna Fail cumann in Dublin, the Taoiseach signalled his intention to seek all-party consensus on changing the system of funding political parties and on the establishment of a lobbyists' register.
"Past events that have recently come to light have undermined confidence in politics. We must act and act firmly," he said.
The Local Government Bill is published today as Fianna Fail and Fine Gael continue with separate internal inquiries into allegations at the Flood tribunal that 15 Dublin county councillors accepted money for "assistance" in planning matters in the 1990s.
The political lobbyist, Mr Frank Dunlop, who made the allegations, resumes giving his evidence to the tribunal tomorrow. The new Bill will ban an employee or member of a local authority from "seeking, exacting or accepting" a fee, reward or favour for anything done or not done by virtue of their work or office.