Kwara Councils Debt Profile: Shelling Fallacies From Facts. By Oyewale Oyelola

Date: 2018-01-15

It's sadden that local government areas in Kwara State are having difficulty paying outstanding salaries and pensions accrued during the period of economic recession that hits Nigeria in 2016 and 2017 due to fall in the global price of oil-the major source of revenue for the country. Kwara State Governor, Alhaji Abdulfatah Ahmed is really pained that thousands of workers in all the sixteen local government areas of the state are having challenge meeting their financial needs as a result of the situation.

However, many critics and opposition in the state of harmony are using the issue of outstanding salaries in Kwara councils to dent the image of the State Government, forgetting that local government is a separate entity and third tier of government according to Nigeria's 1999 Constitution. It's therefore imperative to separate fallacies from facts in order not to mislead innocent populace in the State.

According to details released by National Union of Local Governments Employees (NULGE), Kwara State Chapter, the outstanding salaries and pensions owed by all the 16 councils as at September, 2017 is N5,048,059.163:26k. The detailed analysis shows that the number of month(s) owed by each local government varies as against the generalisation that the councils are owing workers the same months and contrary to false information of alleged 16 months outstanding salaries. NULGE's analysis revealed that Kaiama LG is owing one month while Ilorin East, Ilorin South and Oyun councils are owing 10 months. Workers in Asa, Ifelodun, Moro, Oke-ero, Irepodun and Ilorin West are been owed eight months while Edu, Ekiti, Baruten and Isin LGs are owing 7 months and Offa with Patigi are owing six months.

Another fallacy in the public domain alleges Kwara State Government of diverting councils fund through Joint Accounts Allocation Committee (JAAC). This is blatant lie, JAAC was introduced to create platform for local government leaders to discuss revenue issues and share LGs allocation from Federation Account. Kwara State JAAC comprises representative from each council (Chairman or Supervisory Councillor for finance), State Commissioner for Finance, representative from ministry of local government.

To put the record straight, the monthly JAAC meeting is chair by State Commissioner for Finance who gives report from FAAC and members discuss framework to share their allocation due to each council.

They sometimes make provision for joint projects. The state government do not tamper with local government funds. Governor Ahmed led administration is operating a transparent government by publishing monthly allocation to the State/Councils. In December 2017, all the 16 local government areas received N2.3billion from FAAC.

Furthermore, the monthly wage bill of councils is another issue that needs clarification. The current monthly wage bill is N2.1billion, it comprises salaries of employees, pensions, SUBEB deduction and loan repayment. SUBEB monthly deduction is N900million while the councils are paying N257million monthly repayment of loans from commercial bank in 2015. Therefore, the story of inflated wage bill is mischievous, misleading and false.

Similarly, some people have accused State government of taking over councils revenue collection through KW-IRS. It's far from the truth because Governor Ahmed in his bid to increase revenue of local governments in state introduced Tax Reform. The reform empowered KW-IRS to collect revenue on behalf of the councils and remit amount due for each local government monthly. The Chairman of KW-IRS, Dr. Awodun recently announced that the revenue service collected over N200million for councils in 2017 from 12 out the 18 available revenue lines.

Apart from the aforementioned facts, some critics have also tagged LG executives as puppet to the state governor as they only do the bidding of the governor. This is really laughable because loyalty to State governor doesn't mean local government chairmen can not do things on their own. Its worthy of note that Governor Ahmed during swearing in of newly elected Chairmen/Chairpersons charged them to be creative in order to deliver dividend of democracy to the grassroots.

Recall the innovative and resourceful governor of the state of harmony during the heat of the crisis in 2016 mandated biometric exercise for local government employees, the exercise led to elimination of ghost workers and reduced monthly councils wage bill by N100million.

The state government also introduced Tax reform which empowered Kwara State Internal Revenue Service (KW-IRS) to collect revenue on behalf local governments. KW-IRS presently manages 12 out 18 revenue lines and it has helped increased LG revenue by 100percent.

Moreover, state governors across the country have urged Federal Government to take over full funding of SUBEB, if this is done it will ease the financial burden on local government areas in the state. The plan of Kwara State to take over the funding of Junior Senior Secondary (JSS) would go a long way resolving the outstanding salaries debacle.

It's however imperative for executives of local government in the state to harness their potentials to increase their Internally Generated Revenue by exploiting other revenue lines outside KW-IRS coverage, block leakage and avoid wasteful spending.

While Kwarans and residents must play their part by paying their tax promptly, provide useful advices to councils management and engage their representative (councillor) with the aim of bring meaningful development to their communities. Local government employees should increase their productivity by performing their duties effectively.

 

Cloud Tag: What's trending

Click on a word/phrase to read more about it.

Surajudeen Akanbi     Durbar Festival     Tanke Road     GRA     Amuda Musbau     ER-KANG Mining Nigeria Company Limited     Yekeen Alabi     Tsaragi-Share     Abdulfatai Salman Baakini     T And K FOODS     Alabe     Ghali Alaaya     Okanlawon Musa     A.G.F Abdulrasaq     Gobir Organization Foundation     Abdul-Rahoof Bello     Sardauna Of Ilorin     Kazeem Adekanye     International Vocational Centre     Igbaja     Mohammed Yahaya Barki     Riskat Opakunle     Saudat Abdulbaqi     Salake     Shuaib Olarongbe     Sango-UITH Road     Shagari     Federal Allocation     Kwara Coalition Of Business And Professional Associations     Kwara Consultative Forum     Trade Lenda SME Fair     AbdulRazaq Abubakar Jiddah     Bond     Deji Ajani     Ileloke     Sulyman Buhari     Falokun-Oja     Alabi Lawal     Opolo Global Innovation Limited     UTME     Alabere     Lawan     MalHub     KWIRS     Gobir     Mohammed Yisa     Isiaka Gold     Shonga     Chief Imam Of Ilorin     Abioye Bello     Rachael Obisesan     Bayo Mohammed Onimode     Kwara Hotel     Kisira     Tunde Kazeem     Bureau Of Lands     National Party Of Nigeria     Yahaya Muhammad     Kola Adesina     Simon Sayomi     Christian Association Of Nigeria     Ibrahim Akaje     Roseline Oni Aremu     Ayeyemi Sulaiman     Ilorin Talaka Parapo (ITP)     Mamatu Abdullahi     Ramadan     Labaeka     Alao Ayotunde     Post Utme     TIIDELab     Suleiman Rotimi Iliasu     Raymond Olaitan     Sabitiyu Grillo     Salihu Alhaji Musa     Fatima Abolore Jimoh     Asa LGEA School    

Cloud Tag: What's trending

Click on a word/phrase to read more about it.

Saraki     Tanke Flyover Bridge     Ibrahim Issa Jetti     Aro Yahaya     Asa     Gbemisola Oguntimehin     PharmAccess Foundation     John Mayokun Dada     Amoyo     COVID     Dairo Kunle Paul     Valsolar Consortium     Mohammed Abdulahi     Umar Bayo Abdulwahab     Abiodun Oyedepo     Odolaye Aremu     Ado Bayero     Oke-Ogun     Damilola Yusuf Adelodun     Cornelius Adebayo     Ramadan     Charcoal     Abdulquawiy Olododo     AbdulGaniyu Kareem     Ajibike Katibi     2017 Budget     Iponrin     Funmilayo Oniwa     Just Event Online     Ibrahim Mohammed     Mohammed Katsina Ahmed     Taofeek Sanusi     Democracy Day     Abdulkareem Alabi     Esinniobiwa Quareeb     Kubra Kazum     Abdulkarim Adisa     International Aviation College     Abdulmumini Sanni Jawondo     Olatunde Jare     Elections     Sidikat Uthman Ajibola     Kwara Metro Park     Ibrahim Abdulqadir Abikan     Yaman     Olayinka Olaogun     Kwara State Television     Afolayan     Leke Ogungbe     Javed Khan     Abdulrosheed Okiki     Yusuf Ibitokun Sherifat     Federal Neuro-Psychiatric Hospital     SARS     Tanke Road     Haleeman Salman     Aliyu Muyideen     Oloruntoyosi Thomas     Colleges Of Education Academic Staff Union     Salihu Yahaya     Lithium Deposit     Abdulrahman Abdulrasaq     Ubandawaki     Aliyu Adebayo     Dar-Al-Handasah Consultants     Abdulrazaq Adebayo     Sunset Workers     Ayinke Saka     Fatai Adeniyi Garba     Rasheed Jimoh     Playing Host     KWASEIC     Sheikh Ridhwanullah     Kwara     Kayode Ogunlowo     Salman Jawondo     Bello John Olanrewaju