The controversy and intrigues that has dogged the year 2019 budget of Lagos state is yet to abate as there seem to be uncertainty as to the whereabout of the Appropriation law passed by the state Assembly on April 29.
As at Friday last week, about two weeks after the passage of the budget by the Lagos State House of Assembly nobody is sure where the budget is.
The budget was passed on April 29 and the usual thing after passage on the floor is for the Clerk of the House to transmit a clean copy of the bill to the governor for assent as directed by the Speaker of the House.
But by Friday last week, two weeks after the budget was passed the governor was yet to sign or assent to the Appropriation law which will authorise the release of funds and commence its implementation.
The non signing of the law by Governor Akinwunmi Ambode has raised speculations in many quarters and among Lagosians as to what is stopping the governor from signing the budget which many believe has suffered unnecessary delays and subjected to unnnecessary controversies.
Speculations are that the Lagos Assembly has refused to pass the instrument to the governor for signature for whatever reasons kown to the lawmakers even after it made the public believe that it has passed the budget.
While others believe that the governor does not want to sign the budget since he has just three weeks to the end of his tenure which means he can not implement a substantial part of the budget in which case he would rather wait for the incoming governor to sign the document since the onus of implementation now falls on him.
However, attempts to find out the true situation and what was really delaying signing of the budget, our correspondent found out that the budget may still be with the Assembly as there is no sign that it has been transmitted to the executive.
When we contacted the Clerk of the House, Mr. Azeez Sanni, he said as a civil servant he can not speak with the press but directed us to the Chief Press Secretary (CPS) to the Speaker or the Chairman of the information committee.
Though the information committee chairman was not available, the CPS, Musbau Razaq promised to get across to us later but several calls to him later for response was not answered.
Not satisfied with the brickwall, we approached the Majority Leader of the House, Hon. Sanai Agunbiade who said that it is an administrative affair and that it is only the Clerk who can throw light on whether the budget has been transmitted to the governor or not.
When told that the Clerk said as a civil servant he can not talk with the press, Agunbiade said what he knows is that the House has passed the budget and other thing left is administrative which only the Clerk can speak on.
On the executive side top government officials including some exco members only agreed to speak on condition of anonymity.
They were emphatic on the fact that the Assembly had not transmitted the budget to the governor, that the Assembly was still holding on to the budget.
One even said that the governor can not sign a law he has not seen, while another said the Assembly was playing politics with the budget.
Yet another said it is a delibrate ploy by the Assembly to prevent the governor from spending from the budget and that they only plan to transmit the budget to the executive only after the new governor is sworn-in.
Political pundits are however surprised that so much politics is being played with the 2019 budget of Lagos State with the dramatis personae not bordered about its consequences on governance and the people of the state.
Tag: Lagos budget
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Lagos 2019 budget yet to be signed two weeks after passage
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Lagos budget: Oshodi transport interchange, bus projects in danger
The recently commissioned world class Oshodi Transport Interchange and high and medium capacity buses for public transportation in Lagos by President Muhammadu Buhari is in danger if what transpired during debate on the report of the Appropriation committee of the Lagos State House of Assembly and subsequent passage of the budget on Monday is anything to go by.
The projects initiated by the outgoing Governor Akinwunmi Ambode’s administration have unresolved issues with the Lagos Assembly which would affect their speedy completion.
In fact the projects were the only issues that came up for mention during the debate of the Appropriation committee report on the 2019 budget at plenary on Monday before the budget was eventually passed.
Part of the recommendation of the committee as contained in the report was that the money budgeted for completion of the projects should be deleted from the 2019 budget, which would have meant stalling or stopping work outright on the projects.
Our investigations into why the House would want to do that to such laudable projects that would bring succour to millions revealed there are issues of non- compliance by the executive to directives of the Assembly concerning the projects.
However, during the brief debate on the committee report at plenary, Chief Whip of the House, Hon. Rotimi Abiru advised that instead of deleting the monies for the projects from the budget, it should be transferred to Special Expenditure fund.
Former Chairman of the Appropriation committee, Hon. Rotimi Olowo, who spoke after Abiru supported the suggestion.
They were the only two people who contributed to the debate and it was the only issue raised before the committee’s report was adopted as a resolution of the House and budget was subsequently passed.
The implication of remitting the monies to the special expenditure fund is the governor cannot assess the money unless he makes recourse to the House.
Our investigations revealed that the lawmakers took this step because, according to them, the two projects are alien or unknown to the House.
A source in the House, who craved anonymity, said: “The Oshodi transport interchange and bus projects as captured in the budget are unknown to the House; the two projects are not really known to this House because they were not budgeted for in the previous budgets”.
Our source further revealed although the governor made request for them during the 2018 budget re-ordering when the House demanded for more information on the projects from the Executive there was no response.
“So what the House did in the last budget, there were some expenditures that we put under special expenditure fund because we needed more information on these projects which was not given to us when we were working on the budget and this two projects fall into that category.
“The reason for keeping them in special expenditure is that whenever the governor wants to assess the money he will make recourse to the House so that whatever we need to know will be explained to us.
“But despite the fact that we gave that order from 2018 budget, the executive was spending that money without making recourse to the House and that is why the House is saying the projects are not known to it.”
It is these same projects that the executive is making request for further funding in the 2019 budget which the House has declined.
“The reason for declining the request is because of the previous instruction that we gave which they did not comply with.”
A lawmaker, who also craved anonymity, said his colleagues agreed at their parliamentary meeting to move the funds to Special Expenditure for two reasons.
Firstly, deleting them completely from the budget will affect the total size of the budget which was ready for passage and would result to further delay in trying to reconcile the budget with the new reality.
And secondly, “now a new government is coming in, Ambode is going, taking the expenditure for the two items to the special expenditure fund means that the new administration can still assess the monies and continue with the projects once it makes recourse to the Assembly for approval.”
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Breaking: Finally, Ambode presents N852.31b budget to Assembly
The much -awaited 2019 budget for Lagos State was finally presented and laid before the Assembly by Governor Akinwunmi Ambode on Tuesday.
The low- key ceremony was devoid of all the fanfare that usually accompanied budget presentation in the state.
Read Also: Lagos APC elders settle Ambode, House of Assembly rift
Ambode said a total budget size of N852.31b was meant to consolidate on the economic achievements of the administration in the past three and half years.
Recurrent Expenditure is N389.56 while Capital Expenditure of the year stands at N462.47.
Details shortly…
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Lagos budget: Executive, legislators meet to find common ground
The face-off between Governor Akinwunmi Ambode and the Lagos State House of Assembly over the 2019 budget of the state may soon be resolved as efforts have commenced by both parties to find a common ground for the impasse.
Sequel to this, an assembly committee headed by the Majority Leader, Sanai Agunbiade, met the executive team led by the Deputy Governor, Idiat Adebule, at the Assembly premises, on Friday for a meeting to resolve the on-going crisis between the executive and the legislature amicably.
Other members of the committee are Moshood Oshun, Dayo Saka Fafunmi, Lanre Ogunyemi, Mojisola Lasbat Miranda
The State House of Assembly had recently given Governor Ambode, a seven-day ultimatum, to appear before it and answer to allegations of misconduct and infractions in relation to the 2018 and the 2019 budgets.
The House has also warned, that, if the infractions on the budget continues, the House would be forced to impeach the governor.
The threat, however, led to a massive protest by supporters of the governor, to the assembly complex, on Thursday, calling on the lawmakers to shelve the impeachment plan and let Ambode be.
The committee, it was learnt, met with some commissioners on Thursday.
“Our people have also met with the deputy governor over the current friction. The meeting is just to find an amicable ground.
“We know the executive arm actually committed the infractions, but for the interest of the state and to keep it safe ahead of the election, we have to look for a soft landing for them,” the source said on Friday afternoon.
It was learnt that the outcome of the meeting may be deliberated at a parliamentary session when the lawmakers reconvene.
The lawmakers alleged, that, the governor had started spending the 2019 budget, which is yet to be presented to the House as demanded by the constitution, while accusing the governor of spending outside the 2018 budget, without recourse to the House.
Meanwhile, the APC governorship candidate for the 2019 elections, Babajide Sanwo-Olu, and his running mate, Dr. Obafemi Hamzat, have said the push for realisation of special status for Lagos is non-negotiable.
They said they would support restructuring, that, will grant financial autonomy to Lagos as a former federal capital of Nigeria and economic nerve centre of the country.
Sanwo-Olu said Lagos remains the highest source of non-oil revenue accruing to the Federal Government, pointing out that it was time for the state to earn its fair share of the revenue generated within its jurisdiction.
The APC candidate and his running mate made the assertion during a meeting with the Friends’ Club, an elite social group, comprising senior citizens and professionals. The club members posed various questions to the candidates.
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Lagos budget scales second reading
The Lagos State House of Assembly yesterday at plenary committed the 2016 budget estimates to the Committee on Economic Planning and Budget after the second reading.
Though the lawmakers debated the budget they, however, worried about financing the budget.
Gbolahan Yishawu (Eti-Osa II) said: “I am excited by this budget. It would bring massive investment in infrastructure to the people. The government will be able to do a lot with this budget.”
Dayo Fafunmi (APC-Ifako/Ijaiye I) said the budget would address major issues confronting residents. “This budget is ambitious, it is meant to deal with issue confronting us as a state but how do we finance this budget?”
Bisi Yusuff (Alimosho I) urged the executive to adhere strictly to the budget estimates.
Jude Idimogu (Oshodi Isolo II) said:” Whatever happens to the crude oil price, Lagos State can finance the budget. “I want to urge the House to perform its oversight functions very well to enhance fulfillment and success of the budget.”
The Speake, Mudashiru Obasa said that the budget would enhance massive infrastructural development. He said, “It is a budget of the people. I think with the approval of the House, Lagosians will have cause to smile. The budget focuses on capital projects, we should support the executive.”
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Lagos budget to focus on job, wealth creation
The Lagos State government has said its 2016 budget will deepen the goals of job creation, poverty eradication and wealth creation. It also put the half year performance of the current budget at 63 percent. The Permanent Secretary, Ministry of Economic Planning and Budget, Mr. Kadri Abayomi made this known yesterday at the 2016 Budget Consultative Forum organised by the ministry at Adeyemi Bero auditorium, Ikeja, Lagos.
He said the forum, which had in attendance the Oba of Lagos, Oba Riliwanu Osuolale Akiolu, executive secretaries of several local government councils, traders, professional bodies and Non-Government Organisations (NGO), was meant to further entrench the present government’s commitment to participatory governance.The Permanent Secretary said the forum was organised to promote citizens’ participation in budget preparation, update stakeholders on the half-year performance of the 2015 budget and obtain inputs, contributions and opinion on the 2016 budget process. He said the priority areas in the 2016 budget will be security, economy, infrastructure, healthcare, social welfare, good governance, justice and sports, adding that sectoral allocation in the budget will reflect government priority areas as illustrated in the Lagos State Development Plan 2012-2025, manifesto.
Abayomi said the priority of Governor Akinwunmi Ambode will be on reducing expenditure on governance as well as prepare the state for Sustainable Development Goals (SGDs) as Millennium Development Goals (MDGs) winds up.
The 2016 budget fiscal strategy, he added, is to entrench sustainablegovernment expenditure through the adoption of more accurate revenue estimates and the continued realistic growth in internally generated revenues, taxes and non-tax revenues by deepening the tax base and tax net; ensure sustainable fiscal balance with appropriate level of public sector borrowing and acceptable aggregate public debt; to put the Oracle System to optimum use and block leakages and wastages.
He said: “2016 budget will also sustain the capital / recurrent ratio within the acceptable range of 60-52: 40-48, focus on government key priority areas, employ Budget Profiling System (BPS) for better cash management, lay emphasis on maintenance of public assets, effective management of parastatals agencies and departments in order to reduce their dependence on state’s finances and deepen the goals of job creation, poverty eradication and wealth creation.”
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Pensioners, workers’ benefits covered in Lagos budget
Lagos State provided for pension payments and retirement benefits of workers in this year’s budget, the Commissioner for Establishments, Training and Pension, Mrs Florence Oguntuase, has said.
She told reporters in Lagos that the budgetary provision would ensure that pensioners and workers did not suffer before they access their pensions. It will also ensure that the state did not default in payment.
She said there are 34, 000 pensioners in the state, adding that all of them have been adequately provided for. She, however, said some parastatals that have not been able to present full documentation of their pensioners may have to wait a little more to get paid.
She scolded the affected parastatals for not living up to expectations in terms of documentation, noting that the pre-retirement trainings and input by the Lagos State Pension Commission will end the problem.
She urged would-be retirees to be prepared for retirement by been prudent in the management of their resources.
“The budget that is being set aside consists of both the salaries of the workers as well as pensioners. We have made adequate provisions in the annual budget out of which we will pay salaries as well as pension.
“Over all we have about 34,000 pensioners throughout the state and all of them have been adequately provided for. Before now, Lagos State has never defaulted in paying its workers’ salaries, or pensions and we will never default,” she said.
The Lagos State House of Assembly approved a budget of N489. 690 billion for the 2014 fiscal year out of which N234.6 billion is for recurrent expenditure.