Thank you very much, Mr Speaker.
Mr Speaker, it is a known fact that, the District Assemblies' Common Fund is the single most important source of funding for the Assemblies to bring development to the doorsteps of the people.
It is becoming so worrying that the only funding which is available for the Assemblies to undertake developmental
projects are not being seen the way we want to see them.
On page five of the Committee's Report, “Utilisation”, if you look at the various sectors, we have Economic Ventures, Social Services, Administration, Environment and Constituency Labour. Administration alone takes about 51 per cent of the amount transferred to the District Assemblies and, in my view, it is not good enough.
District Assemblies are supposed to generate funds internally -- Internally Generated Funds (IGF), and these funds are supposed to be used to run the day- to-day administration of the Assemblies.
Mr Speaker, if 50 per cent of the Common Fund, which as my Hon Colleague Member from Bekwai said, is deducted at source and the little that is transferred to the Assemblies, 51 per cent of that amount is also used for administration --
Mr Speaker, what is left for the district to use to develop the social and the economic ventures in the Assemblies?
Mr Speaker, on page 9, paragraph 6.10 of the Report, the Committee made a recommendation that;
“Though these programmes are useful and laudable, the use of Common Fund to carry out these activities has worsened the already precarious financial situation of the Assemblies”.
Mr Speaker, this were referred to on page 4, paragraph 3.4 4 of the Report. Which is -- Priority Intervention Programmes (PIPs).
Mr Speaker, after making all these deductions, the amount that is left to be transferred to the District Assemblies are a little above 50 per cent. It means that, not much of the 7.5 per cent which has
been allocated to the District Assemblies for development is transferred to the Assemblies.
Mr Speaker, there is one item which is not here, but I would like to bring the House's attention to that. It is the District Development Fund. (DDF).
Mr Speaker, for the past two years or so, Government is supposed to contribute 30 per cent to the Fund, which is the cunterpart funding. Government has decided for the past two to three years to take that amount from the Common Fund.
The DDF is a performance-based assessment tool and so, districts which do not qualify for this DDF do not benefit from the Fund. If Government is supposed to contribute 30 per cent as a counterpart funding and it is taking that money from the Common Fund before disbursing it to the Distr ict Assemblies, then what happens to those districts which do not qualify?
We believe at the Committee level that this is not good at all. We hope that this year, when the formula is brought to Parliament, we would not want to see this. This is because we would fight against it and would not allow this to happen again. It is something that we all have to be very serious with.
The last time we took the 2013 Annual Report of the DACF, the Hon Minister for Local Government and Rural Development was here and we were much concerned about it.
This year, we hope that this would be taken care of by other sources and not by the Common Fund.
Mr Speaker, this is my humble submission to the House.
Question put and Motion agreed to