Monday, 29 July 2013

Financial autonomy for LGs?



They are against financial autonomy for Local Governments. If you ask them if they have been spending LG money, they would answer no. Then why won't you support autonomy for LGs? Alright, why do we even call that tier 'government' if the LGs are not autonomous? Is it not better to just refer to them as Local Administrations or Local Development units? That way, we would not be deluding ourselves with the claim that we have a 3rd tier of government. 


The demand for financial autonomy for local governments is one contentious issue that is being constantly subjected to debate and on which divergent views have always been expressed.  This must have prompted the two chambers of the National  Assembly to include the issue on the list of further amendments being proposed to the constitution.  While the proposal has been rejected by the Senate  -  because it could not get the endorsement of two-thirds of its total membership  -  the decision of the House of Representatives is being awaited.  If it is endorsed by the House, it has to scale the hurdle of harmonisation by the two chambers and get the approval of 24 of the 36 states of the federation.
What has been couched as financial autonomy is simply the right for local governments to have direct access to funds from the central purse.  Not a few ex-local government officials have blamed their inability to meet their people’s needs during their tenure on paucity of funds which resulted from the diversion of their allocations to other purposes by their governors.  And what has been generally accepted as the only solution to the problem is  financial autonomy which will establish a direct linkage between the Federal Government and the local authorities.
It should not be lost on all concerned that such an arrangement, which will bypass state governments, has certain implications and gives rise to a number of questions in a federal set-up.  So much has been said against the excessive powers of the Federal Government and so much has been written about the need to devolve powers from the centre to the constituent units.  These and other demands are in the spirit of return to true federalism which is expected to accellerate the pace of development at the different levels of government.
The control governors have over funds is one major source of the power they exercise over local governments.  It is improper and unfortunate that this power is being abused.  The problem that will arise from direct allocation of funds from the federation account to the local administrators is that this power will be tranferred to the Federal Government.  Will the Federal Government then begin to oversee the conduct of government business at the local level?  Will there be a Ministry of Local Government at the federal level?  Will that not be an addition to the  size of an already bloated Federal Government which needs to be pruned back?  Will that not extend the frontiers of federal powers which, according to popular demand, should be rolled back?
Local government administration in Nigeria is better known for non-performance and unfathomable corruption.  The general impression is that local government officials share among themselves whatever remains of their allocations after paying salaries.  If they have made any impact anywhere, it is minimal.  The experience of the second republic can be easily recalled.  In many, if not in most of the 19 states of that period, the payment of teachers’ salaries by the local governments was always a problem.  This led to prolonged strikes which caused extensive disruption of education at the primary school level.  This is why the Nigeria Union of Teachers is now calling on the National Assembly  to remove the administration of primary schools from the jurisdiction of local authorities.  The teachers’ request  stems from the fear that financial autonomy for local governments will herald another season of hardship for them. This is why they are now requesting that primary school education be entrusted to either the federal or state governments should the autonomy be granted.  Will it not make nonsense of the principle of federalism for the Federal Government to oversee primary school education? How workable will it be to ask states to take charge of primary schools  under such a situation?  It will amount to responsibility without authority.
Financial autonomy for local governments  and a probable repeat of the second republic experience should not be allowed to happen.   A direct linkage between the centre and local governments will provide ample  opportunity for a mean or desperate president to undermine an opposition or perceived-to-be-unfriendly governor.  The unsavoury experience of the Second Republic must have informed the creation of a joint state/local government account in the present constitution.  The disappointing performance of local government administrators in the last 20 years of civilian rule casts serious doubts on their ability to function efficiently and responsibly if granted financial autonomy.  The National Assembly should enact a legislation criminalising the diversion of LG funds by state governors, thus checking the diversion of local government funds for other purposes by the governors.  Direct supervision of local administration by the Federal Government is an option that should not be contemplated.
The centre should not be further strengthened; the states shoud not be further weakened and local governments should not operate without control.     

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