Stop tampering with council funds, CSOs tell govs

By Steve Oko

Civil Society Organisations (CSOs), have told Governors to stop tampering with council funds.

According to them, “seizure of Local Government council funds by State Governors amounts to financial crime”.

This was contained in a communique issued after a one day training on “Economic Literacy and Budget Accountability for Local Government Stakeholders”, held in Umuahia, Abia State capital.

Participants at the training regretted that despite the landmark Supreme Court judgment granting full financial autonomy to local governments, State Governors had continued to tamper with council funds under the guise of joint allocation.

Arguing that Local Government is the closest tier of government to citizens, and its neglect directly undermines citizens’ perception of democracy, participants demanded immediate stoppage of the abuse of council system in Nigeria.

“The 1999 Constitution and the Joint Accounts Allocation Committee (JAAC) arrangement crippled LGAs, enabling state-level hijack of funds”, they regretted.

The participants affirmed that “restoring the LG system is critical to addressing Nigeria’s socio-economic, political, and security challenges.”

According to them, “effective LGAs will directly contribute to grassroots prosperity, local accountability, and the economic recovery of the Southeast and Nigeria at large.”

The communique read:”The main and effective development centres are functional Local Government system”.

It also insisted that Local Government officers must engage communities inclusively in identifying priorities to avoid conflict and build ownership.

Highlighting budget as a tool for democracy, the communique said that

“for budgets to deliver, they must be realistic, participatory, and transparent, especially under the context of Local Government autonomy.

“Effective local budgeting catalyzes economic recovery, delivers quality education, healthcare, and infrastructure, and creates prosperity at the grassroots.

“Local Government budget is a legal document, and its violation amounts to financial crime”, it read.

It also recommended continuous training as essential tool to equip LG staff with knowledge on budget cycles, circular flow of income, community needs assessments, and accountability tools.

“The 1999 Constitution and the Joint Accounts Allocation Committee (JAAC) arrangement crippled LGAs, enabling state-level hijack of funds”, they regretted.

The participants said that beyond executive orders and court pronouncements, the Federal Government must demonstrate political will to fully restore LG autonomy by quickly amending the constitution to abolish JAAC.

They also recommended that the Independent National Electoral Commission INEC and not State Electoral Commissions should be empowered to conduct LGA elections.

Advocating transparency, the participants said “all LGA budgets should be publicly available and developed through inclusive community processes starting with budget call circulars from the LGAs.”

They argued that”just as the Federal Government shares revenues with states and LGAs, states should also share internally generated revenue with LGAs to boost production.”

Harping the need for public disclosure, the participants demanded that annual financial and audit reports of all LGAs in must be published in line with the Freedom of Information (FOI) Act.

They advocated that LGAs prioritize patronising local contractors, service providers, and professionals to create multiplier effects and strengthen the grassroots economy.

The participants noted some of the steps taken by Gov. Alex Otti of Abia State to develop the state and called for measures to be put in place to guarantee sustenance by successive administrations.

The training was organised by the Nigeria Civil Society Situation Room (Situation Room); and Citizens Centre for Integrated Development and Social Rights (CCIDESOR), with funding support from the Foreign, Commonwealth and Development Office (FCDO) of the United Kingdom.

Participants were drawn from the Nigerian Union of Local Government Employees (NULGE); Planning and Accounts Staff of Local Governments, Civil Society Organizations, Nigeria Labour Congress (NLC); National Youth Council; National Council for Women Societies; community leaders, women’s groups, religious groups, and the media

Some of the signatories to the communique include: the Executive Director of CCIDESOR, Dr Emeka Ononamadu; his CHARS Africa counterpart, Barr. Amaka Biachi;

Comrade Nnanna Nwafor, for Nigeria Civil Society Situation Room; and Chuka Okoye for Abia CSOs.

Others were the Chairman of NYCN, Abia State, Engr. Smith Sylvanus; Abia State Chairman of Open Government Partnership, Priscillia Ogbonna; and Mrs Ijoma Nwokoro for women groups.