Economy

Parliament proposes Ad hoc Committee to reconcile arrears owed DACF

By Eugene Davis

Parliament has recommended an Ad hoc Committee to reconcile arrears owed the District Assemblies Common Fund (DACF).

This was contained in the report of the Committee of the Whole on the proposed formula for the distribution of the District Assemblies Common Fund for 2023.

Parliament before it adjourned on the wee hours of Saturday approved an amount of GHc4.5bn as the Proposed Formula for the Distribution of the District Assemblies Common Fund for 2023.

The report noted “The Committee of the Whole observed inconsistencies in the releases to the DACF for the year 2019 to 2022. It was therefore recommended that an Ad hoc Committee made up of the leadership and members of the committee on Local Government and Rural Development meet with officials of DACF, Controller and Accountant General’s Department and Ministry of Finance to reconcile the arrears owed to the Fund.”

According to the report, an amount of Ghc379m has been allocated for institutional support with 113.85m to cater for National Youth Programme.

An amount of GHc668.62m has been allocated towards National Projects, the allocation comprises; Education Policy Programmes, Special Projects, National Sanitation Support, Construction/Renovation of MMDAs and Other Buildings, and Construction of Courts/Residential Buildings.

Earmarked Projects

The report also reveals that the DACF has allocated an amount of GHc160m in support of the construction, renovation and completion of MMDA offices, Head Office of the Births and Death Registry as well as court buildings and bungalows for the Judiciary. The DACF will also complete the construction of the Local Government Service Training School at Akomadan and the Institute of Local Government Studies at Madina and Tamale in 2023.

It is envisaged that the DACF would in the near future assist Parliament to construct a 50-bed hospital to cater for the health needs of Members and Staff of Parliament

Shortfall in Arrears

The Committee was informed that the Office of the District Assembly Common Fund is owed an amount of GHc6.4bn as a result of non-release of allocations for the years 2019 to 2022. The Committee noted that an amount of GHc1bn and GHc1.5bn representing a shortfall in Common Fund releases for 2020 and 2021 respectively is owed to the Fund.

It was again noted that out of the allocation of GHc3.3bn earmarked for the Fund for the year 2022, the Ministry of Finance has released an amount of GHc1.17bn. However, out of the amount only a paltry sum of GHc300m has been paid to the Office of the District Assemblies Common Fund by the Controller and Accountant General’s Department.

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