The Progressive Democrats would be prepared to forge alliances at local level with other parties except Sinn Féin, the Tánaiste, Ms Harney, said today.
"Until they stand down their army and end paramilitarism there will be no alliance with Sinn Féin," Ms Harney said.
However she insisted that any local government alliances the PDs would form after the local elections would have to be based on a policy of accountability and value for money.
"Nationally, we spend over €3.7 billion at local government level. It is three times the budget of Enterprise, Trade and Employment and all its agencies; three times what we spend on the Garda Siochána; and more than half what we spend on education in the State.
"It is vital we ensure we are getting value for money for this €3.7 billion," she said.
Dismissing suggestions the PD's would suffer in the local elections because of a protests vote against the Government, the Tánaiste said that opinion polls in local elections were very difficult to read and the country has had outstanding economic success since the PD's have been in government.