Latest update March 19th, 2024 12:59 AM
Feb 17, 2019 News
The State, more particularly the Minister of Communities, Ronald Bulkan, will have control over the local authorities given that the Local Government Commission, (LGC) effectively shut its doors, this week.
The commissioners were sworn in on October 23, 2017 to have oversight over the local government systems and provide for the autonomy of the systems.
However, from all appearances, the work of the commission has been stymied by lack of funding.
The economic starvation of the LGC is now being described as the brazen authoritarianism being displayed by the Government.
Commenting on the issue, former Attorney General and Minister of Legal Affairs, Anil Nandlall, said the refusal to release money to the Local Government Commission,(LGC) is but yet another manifestation of this authoritarianism.
In his commentary, Nandlall noted that the Local Government Commission is established by Article 78 (A) of the Guyana Constitution and approved unanimously by the Parliament. It is empowered to carry out statutory duties, roles and functions.
Nandlall stressed that the fiscal autonomy is therefore an indispensable component of the LGC’s overarching independence.
“An examination of both the genesis and the nature of the functional responsibilities of this Commission drive one to the inescapable conclusion that it is an independent body that is statutorily and constitutionally autonomous.
“One of its functions is to ensure that the Minister with responsibility for Local Government does not exceed or abuse his authority and mandate.
“If this Commission becomes beholden to this Ministry for its financial sustenance then it loses its independence absolutely.”
This Commission, by the express language of the Local Government Commission Act, is empowered to manage its own finances as approved by the National Assembly.
The Ministry of Local Government has no legal authority whatsoever to manage or exercise any supervisory role over the financial affairs of this Commission.
“Any attempt to do so constitutes a naked interference with the functioning of an independent Constitutional Commission.”
This past week, the LGC closed its doors, with officials of the commission telling reporters that entity was forced to do so since it cannot access funds to pay its staff and bills.
Prior to the closure of the commission, representatives of the agency including former Local Government Minister, Norman Whittaker, condemned the action to with hold the funds.
He noted that the LGC is being treated as a subvention agency and is required inter alia, to write to the Ministry for releases to meet approved expenditures.
According to Whittaker, the issue not only stymies the work of the LGC but also denies Commission staff the benefits to which they are entitled and which is provided for in the Commission‘s Act.
Whittaker cited sections 22, 23, 24 of the Local Government Commission Act 2013, which allows the Commission to, inter alia, (a) employ necessary staff and to determine their remuneration and “other terms and Conditions of employment (b) determine its “own annual budget” for submission to the Minister of Finance and approval of the National Assembly…”
Despite the legal contentions, Minister Bulkan told Kaieteur News that accountability is of paramount importance when it comes to State funds.
He noted that concerns over the LGC spending developed after it was revealed that payments for the staff exceeded the levels approved by the Ministry of Finance at average of 58-150 percent.
“Should the Commission continue to pay that level of emolument; the 2019, budget will not be enough to cover all current expenditure up to December 31, 2019.
This would be in violation of the Fiscal Management and Accountability Act.”
He has been demanding accountability from the Local Government Commission, (LGC) as it relates to expenditures of its 2019 budget.
Bulkan commented on the LGC‘s budgetary expenditure following reports that the staff of the LGC have not yet been paid their January salaries.
“That request was made three weeks ago. The Commission is yet to respond. We have to make sure that the commission is able to meet operational costs.
The payroll for 2019 is approximately $113M or 91 percent of the Commission‘s annual budget.
The Commission is required to submit a cash flow and work programme within 2019 but has not complied with the request.”
“Should the Ministry counter sign to the payroll without this , it will be a breach of the fiscal Management and accountability Act of 2003, Section 30 (1)and the Finance Secretary Circular No.1 (A) dated January 2019 Section 2.3.1,” Bulkan added.
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