Dublin City Council is threatening legal action against builders for unpaid development levies totalling over €33 million.
The council's annual financial statement for 2010 shows that only €19m was received last year, while a further €104m is being paid on a phased basis.
Under the scheme introduced in 2004, builders are required to make a contribution to the cost of public infrastructure as part of planning permission for developments.
The council's head of finance, Kathy Quinn, says unpaid debts will be reviewed 'continuously' with developers facing site inspections and possible enforcement actions.
But the report found that income from commercial rates, which pays for one third of the council's day-to-day expenditure, performed 'robustly' despite the economic situation.
It raised €282m last year with a bad debt provision of just over €42m.
Overall, the report found that the council's finances have improved following a cut of almost 40% in capital expenditure.
This consists mainly of projects in housing, water and the assignment of development contributions and was reduced by a total €291.4m.
In its annual financial statement, the council announced that its bank position at the end of 2010 with a credit balance of €77.9m.
The report states that payroll costs take up just under 50% of day-to-day expenditure but savings had been achieved through controls on overtime and recruitment.