How LG Allocations Are Shared and Managed

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There has been misconception about allocations coming to council areas, as some people copy figures from the Internet without understanding how the system works.

Role of JAAC in Allocation
The State Government does not tamper with local government funds. The Joint Account Allocation Committee (JAAC) was set up to address the gap in administering the local government system. All council chairmen agreed to pool their allocations together, deduct first line charges, and then share the balance.

Support for Traditional Councils
For instance, 5% of the allocation is set aside for traditional councils. Some councils have as many as 25, 12 or 10 traditional rulers with hundreds of chiefs, while others have only one. JAAC ensures fairness in such cases.

First Line Charges on Salaries and Pensions
On salaries and pensions, councils like Ado and Ikere would struggle to pay because of their large workers population . This is why first line charges are deducted centrally before disbursement. These cover local government staff salaries, primary school teachers, primary health workers, political office holders, pensions, gratuities, furnitures & severance allowances,traditional rulers’ emoluments and palace staff salaries including backlog of arrears of salaries, leave bonuses, pension and gratuities.

Sharing Formula for Ekiti West
After these deductions, the share of Ekiti West Local Government is divided into three: 40% for the parent LG, 30% for Okemesi/Ido-Ile LCDA and 30% for Ekameta LCDA.

Project Approval Process
Every project carried out in the LCDA must get the approval of the Governor after it has been passed by the Executive Council (Exco), the Finance and General Purpose Committee (F&GPC) and the Ministry of Local Government Affairs.

Supervision and Oversight
Supervising bodies for projects in the local government include the Project Monitoring Committee from the Governor’s Office, the Fiscal Responsibility Commission, and engineers from the Ministry of Local Government. The House of Assembly also plays an oversight role through its Public Accounts Committee, Local Government and Chieftaincy Committee, and Works Committee.

Auditing and Accountability
The council further has external and internal auditors who carry out periodic checks on the accounts.

Stewardship and Transparency
The council render stewardship accounts in the House of Assembly every six months and also renders at Ekiti West Legislative House.

If all these supervising bodies consistently commend Hon. Ajibade Sunday Owolabi for transparency, it shows he is working diligently to bring development to the council.

Okemesi/Ido–Ile LCDA Media Team