Steve Thomas from the Welsh Local Government Association (WLGA) warns of "worse to come".
The Welsh Local Government Association (WLGA), which represents councils, has been asked to comment.
It is the WLGA view that education is key to reducing poverty and improving Wales' economic potential.
After the announcement WLGA finance spokesman Bob Wellington, of Torfaen, said it was vital that rises were minimsed.
He called on the WLGA to introduce a "living wage" that would "give a fillip to the local economy".
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Anthony Christopher, WLGA's spokesman for highways, infrastructure and transport, said local authorities had worked together to prepare for winter.
The WLGA has already warned that thousands of jobs could go in local government - from schools to emergency services.
However the chief executive of the Welsh Local Government Association (WLGA) welcomed the proposals for a new Local Government Byelaws Bill.
The WLGA welcomed the report and said councils had the ability to give preferential treatment to people who urgently need homes.
"The public sector is the default employer in Wales, " said Steve Thomas, chief executive of the Welsh Local Government Association (WLGA).
But the WLGA said it was "vehemently opposed" to removing education from councils and that recently-introduced changes need time to bed in.
The WLGA recently warned of a "bleak financial climate that will be faced by local councils in Wales potentially up until 2021".
Mr Thomas said the WLGA had not decided on which option it thought was best, but said that no change seemed unlikely.
The WLGA Director of Resources Jon Rae welcomed the report and agreed that the key issues were about "simplifying and rationalising" grant schemes.
The Welsh Local Government Association (WLGA) had said on the eve of the announcement said that "significant" cuts to services may still be unavoidable.
The WLGA chief executive was confident that local authorities would be "very capable" of making bylaws as the risks in doing so were not high.
Cuts to public spending and the state of the economy made it inevitable that bills would go up, said the Welsh Local Government Association (WLGA).
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The Welsh Local Government Association (WLGA) said it was "vehemently opposed" to removing education from councils and that recently-introduced changes need time to bed in.
The funds were welcomed by the Welsh Local Government Association (WLGA).
The WLGA strongly believes that the level of grants in Wales is "unnecessarily high" and that much of the work involved in awarding grants is "repetitious".
Steve Thomas, chief executive of the WLGA, said with cuts in public expenditure councils could not afford to spend huge amounts of money on "unnecessary" FoIs.
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In response to Mr Edwards' comments the WLGA said it and the "vast majority of councils across Wales" does not support the call for local government reorganisation.
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The Public Accounts Committee were continuing with their inquiry into the grants management in Wales and will listen to evidence from the WLGA, on 8 May 2012.
The WLGA said it was now "economically and environmentally essential" that the public make use of recycling services available to them, so less waste is sent to landfill.
In June a report to the Welsh Local Government Association (WLGA) said that much of the extra money that local authorities had received had been spent on day-to-day services.
Meanwhile, the Welsh Local Government Association (WLGA) said the landfill tax increase - which came into force today in England and Wales - will add more financial pressures to councils.
"The current priority for individual local authorities is to focus on those manufacturers that have been supplied by businesses implicated as potential sources of contamination, " said WLGA chief executive Steve Thomas.
The Welsh Local Government Association (WLGA) welcomed the announcement.
John Davies, head of the Welsh Local Government Association (WLGA), said Welsh ministers should ask the UK Government to release some of the 150, 000 tonnes of grit English council have in reserve.
Local authorities will have to enforce the levy, although the Welsh Local Government Association (WLGA), said it was unlikely to be "top of the list of priorities" for trading standards and environmental officers.
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