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AUGUST 26, 2021 High Court in Umuahia, Abia State capital, has dismissed a certificate (name) forgery suit filed against the spokesman of the House of Representatives, Hon. Benjamin Kalu by Okey Ezeala, who alleged name forgery on his academic certificates. Ezeala, a chieftain of the All Progressives Congress (APC) in the state, filed a case against the legislator, claiming that there was a name discrepancy in his academic certificates. In the court judgement delivered by Justice A.O. Chijioke yesterday, the Judge dismissed the suit against Kalu, describing it as malicious and frivolous. The court said the claimant failed to differentiate or prove his claims of forgery and impersonation against Kalu, adding that the legislator fully complied with the law in his change of name. Speaking to journalists shortly after the judgement, the lead counsel to Kalu, K.C Nwufor (SAN), expressed happiness over the court ruling, saying, however, that his client’s character has been defamed, and that they are preparing to file an action against the claimant and his co-detractors to the tune of N5 billion for defamation. He said: “It is a day for justice, and I am happy that justice has been done. As you can see, this was a frivolous and malicious suit aimed at defaming the clean reputation of one of the best legislators Abia State has ever sent to the National Assembly. It was aimed at denting his reputation as the image-maker and spokesperson of the National Assembly.”
James Kwen August 26, 2021 A Federal High Court sitting in Umuahia, Abia State on Wednesday dismissed a name forgery suit against the Spokesperson of the House of Representatives, Benjamin Kalu (APC, Abia). A member of the All Progressives Congress (APC) in Abia, Okey Ezeala filed a case against Kalu claiming that there was a name discrepancy in his academic certificates and he joined Chima Anyaso, the candidate of the People’s Democratic Party (PDP) who lost to the lawmaker at the 2019 poll. Delivering the judgment, Justice A.O. Chijioke described the suit as malicious and agreed with all the arguments of Kalu’s lead Counsel, K.C. Nwufor (SAN) that the claimant ought to have produced the original bearer of the name which the lawmaker was alleged to have impersonated. The Presiding Judge affirmed that: “The matter is a pre-election matter and therefore, statute barred and frivolous.
He maintained that Benjamin Kalu fully complied with the law in his change of name.
“The claimant failed to differentiate or prove his claims of forgery and impersonation against Rep. Benjamin Kalu,” he said. The court also described as improper and malicious attempts by Anyaso to join the case having exhausted all his rights in the matter, and having lost at the election, election tribunal and court of appeal.
Reacting to the judgment, Kalu said: “As I have always said, God is the God of justice. As a believer in God, I was confident that He would not allow injustice to be meted against me. Also, as a product of the judiciary, I had absolute confidence in the ability of the judiciary to sustain justice, especially when the facts speak so clearly for themselves.” He further said: “I have experienced the competence of the judiciary from the time of the elections, tribunal and court of appeal. So, I was certain that the judiciary would sustain their fairness and gladly they did not disappoint me. I thank my supporters who believed in me, who stood by me and showed great concern during this period.
“It has been a horrible two years, going in and out of court. The idea of this litigation was to distract me from working for the people of Bende; however, I have refused to be distracted. As you can see, I am currently inspecting sites for new projects and several of the completed projects are set to be commissioned soon”.
The Chairman of the House of Representatives Committee on Media and Public Affairs, Hon Benjamin Kalu, has a fresh legal battle to save his seat after over two years in the National Assembly. A chieftain of the All Progressives Congress (APC), Hon Okechukwu Ezeala, filed a suit asking an Umuahia High Court presided over by Justice O.A. Chijioke to sack Kalu over alleged certificate forgery and impersonation. Other defendants in the suit No. HU/265/2020, include the ruling APC, the Independent National Electoral Commission (INEC), and the Speaker, House of Representatives. In the originating summons, the claimant alleged that the primary and secondary school certificates that Kalu, who represents Bende Federal Constituency on the APC platform, had submitted to INEC contained incriminating irregularities as the names on the said certificates are completely different from his current identities. In the affidavit in support of the originating summons, the claimant contended that Benjamin Okezie Kalu did not submit any valid document to prove that he attended primary and secondary schools, because there is no Benjamin Kalu in both the primary and the secondary school certificates he submitted to the INEC. Speaking with journalists in Umuahia, Ezeala said that he was sure of the validity of his claims and that was why he approached the court to remove Hon Kalu having deceived both INEC and voters in his constituency to win an election. He stated that the documents that Kalu submitted to the INEC contained “one school certificate from Wilcox Memorial School, Aba, bearing Okezie and another one bearing Osisiogu Okezie, so the two names, Benjamin and Kalu are very strange names to say the least.” The claimant argued that “if we elected Benjamin Kalu in Bende into the House of Representatives and there is no Benjamin Kalu and neither is there a valid change of name” he cannot retain the mandate by mixing up several names since there was no valid change of name up till university level. He further argued that if the House spokesperson later went and did affidavit for a change of name “it’s an afterthought since he has been using the same name for official documents from time immemorial. “You cannot put something on nothing and it would stand. Bende people know that they elected Benjamin Kalu and then somebody else certificate is in INEC; something is wrong somewhere,” he said. Ezeala, therefore, wants the court to determine if “somebody who does not have a valid school certificate or primary school certificate can contest an election to Bende Federal Constituency and indeed any other constituency across the federation.” He also wants the court “to determine whether Benjamin Okezie Kalu was a valid candidate ab initio” adding that if the answer to the matters raised are not in affirmation of his candidacy, the court should therefore declare that APC had no candidate, ab initio, in the said election from which Kalu derived his mandate.” Ezeala, who served as a member of Nigerian Youth Parliament, senior legislative aide in the National Assembly, member ECOWAS Youth Parliament and candidate of the APC in the 2019 Bende South state constituency poll insisted that Kalu was unqualified to represent Bende federal constituency. Consequently, the claimant prayed the court “to order the INEC to issue Certificate of Return to those that participated in the elections and scored the highest votes” since, according to him, the APC had no candidate in the said election having fielded an unqualified candidate. He stated that he has absolute confidence in the court “to decide whether someone can benefit from his own wrong doing” adding that there is no time bound for a court to hear a forgery case, citing precedents from similar cases the Supreme Court had delivered verdict. There was a mild drama in court when Kalu’s legal team led by Mr. K. I Nwaoffor (SAN), opposed the appearance of Mr. Okey Amaechi, (SAN), to lead the legal team of the claimant, saying that it was “an attempt to change the goal post at the middle of the game.” However Justice Chijipke ruled but expressed gratitude to the court for ruling in his favour to allow both Chief Okey Amaechi (SAN) and Charles Onuchukwu esq to continue with the matter yesterday.
290 likes, 10 comments - officialbenkalu on December 2, 2024: " Today, the House Committee on Constitution Review convened a National Dialogue on Local Government and Constitution Amendment, with focus on the critical issue of local government autonomy.
Local governments, as the closest tier of governance to the people, are crucial in ensuring the delivery of essential services, promoting inclusion, and enhancing democratic participation. However, their current state leaves much to be desired.
I sincerely appreciate the Nigerian Governors’ Forum, Traditional Rulers, Members of the National Assembly, and the Conference of Speakers of State Legislatures for their immense support and contributions so far.
I also thank our development partners, the UK Foreign, Commonwealth & Development Office (FCDO) and the Policy and Legal Advocacy Center (PLAC), as well as all participants who contributed to this important dialogue. Your insights and solutions have laid a solid foundation for meaningful reforms.
Under my leadership, the Committee remains fully committed to ensuring that the review of the 1999 Constitution reflects the public’s interests and expectations. Together, we will strengthen governance at the grassroots and ultimately drive sustainable development in our country.".
Money and Fiscal Powers Arrangements around the raising, sharing and spending of money are critically important, both politically and economically, for the functioning of federal systems. The truism that money matters applies as much in federal systems as it does in life generally. First, arrangements around who determines and collects taxes and other revenues and who spends them, how, and on what are fundamental to the real division of powers in a federal system. They can significantly alter the apparent legislative powers of the two orders of government. In particular, central governments often use their very strong fiscal powers to influence or control constituent-unit governments in various ways. Second, the way in which money is raised and spend can significantly affect the economic health of a federation.... Assignment of Revenue Powers There are principles for the effective assignment of revenue-raising powers between governments in federations. In practice, however, there is great variation, largely because the constitutional arrangements, histories of revenue raising, and political cultures of countries can be so different... ...Some federations are rich in natural resources, which can provide large revenues or rents, especially from oil, gas, diamonds, and some metals. such resources are typically very unevenly distributed between constituent units, causing tension within the federation. In some cases, the central government owns these resources; in others, it is the constituent-unit government (or, rarely, private landowners): in either case, there can be debates about who collects what revenues from natural resources, how resource revenues should be distributed, and how much the distribution of resource revenue should affect the distribution of other revenues. Natural Resource Revenue in Some Federations ... Central transfers to Constituent units / Local Government ... Fiscal inequality and redistribution .... Federal Spending Power .... Conditionality and Spending Powers in Some Federations ... READ MORE https://www.slideshare.net/slideshow/federations-local-government-money-and-fiscal-powers/273745958
To regulate the exercise by municipalities of their power to impose surcharges on fees for services provided under section 229(l)(a) of the Constitution; to provide for the authorisation of taxes, levies and duties that municipalities may impose under section 229(l)(b) of the Constitution; and to provide for matters connected therewith. Objects of Act 2. The objects of this Act are to— -
(a) promote predictability, certainty and transparency in respect of municipal fiscal powers and functions; -
(b) ensure that municipal fiscal powers and functions are exercised in a manner that will not materially and unreasonably prejudice national economic policies, economic activities across municipal boundaries, or the national mobility of goods, services, capital or labour; -
(c) effectively oversee the exercise of municipal fiscal powers and functions; and -
(d) provide for an appropriate division of fiscal powers and functions where two municipalities have the same fiscal powers and functions with regard to the same area in accordance with section 229(3) of the Constitution, by— -
(i) regulating the exercise by municipalities of their power to impose municipal surcharges on fees for services under section 229(l)(a) of the Constitution; -
(ii) authorising the municipal taxes that municipalities may impose under section 229(1 )(b) of the Constitution; and -
(iii) regulating the exercise by municipalities of their power to impose municipal taxes, if authorised. Application of Act 3. This Act applies to municipal surcharges and municipal taxes referred to in section 229 of the Constitution, other than rates on property regulated in terms of the Local Government: Municipal Property Rates Act, 2004 (Act No. 6 of 2004), and municipal base tariffs regulated under the Local Government: Municipal Finance Management Act, 2003 (Act No. 56 of 2003), the Local Government: Municipal Systems Act, 2000 (Act No. 32 of 2000), or sector legislation. MUNICIPAL TAX Authorisation of municipal tax 4.(1) The Minister may of his or her own accord or on application in terms of section 5 by a municipality, group of municipalities or organised local government authorise a municipal tax. (2) Prior to authorising a municipal tax in terms of subsection (1) the Minister— (a) must consult— (i) the Minister responsible for local government, affected municipalities and organised local government; and (ii) the Commission; and
(b) may consult any other organ of state or interested persons. (3) The Commission must within three months from the date of any consultation referred to in subsection (2)(a)(ii) submit its views on the proposed municipal tax in writing to the Minister. (4) The Minister authorises a municipal tax by prescribing the regulations contemplated in section 6.
Canton, political subdivision in France, Switzerland, and other European countries. In France the canton, a subdivision of the arrondissement, is a territorial division rather than a genuine unit of local government; it is only a convenient administrative subdivision for purposes of elections, tax collection, and the gendarmerie. The cantons were created by a law of Dec. 22, 1789, but their governmental character was taken away by the consular constitution of the year VIII (Dec. 24, 1799). In Switzerland, canton is the name given to each of the 23 states comprising the Swiss Confederation. Three cantons—Unterwalden, Basel, and Appenzell—are subdivided into demicantons, or half cantons, which function as full cantons; thus, there is often reference to 26 states of Switzerland. Each of the cantons and half cantons has its own constitution, legislature, executive, and judiciary. Glarus and Appenzell Inner-Rhodenhave preserved their ancient democratic assemblies (Landsgemeinden), in which all citizens of full age meet annually for the purpose of legislation, taxation, and the election of an annual administrative council and of the members of the cantonal supreme court. In the remaining cantons the legislature (Kantonsrat, Grosser Rat, or Grand Conseil) is composed of representatives chosen by universal suffrage and usually by proportional representation. These councils deal with legislation and all questions not reserved to the federal government. They decide on cantonal taxes and appoint judges as well as cantonal representatives to the federal Ständerat (Council of States) unless the cantonal constitution demands public elections. All cantons have the referendum and the popular initiative, the application of which varies. political science federalism, mode of political organization that unites separate states or other polities within an overarching political system in a way that allows each to maintain its own integrity. Federal systems do this by requiring that basic policies be made and implemented through negotiation in some form, so that all the members can share in making and executing decisions. The political principles that animate federal systems emphasize the primacy of bargaining and negotiated coordination among several power centres; they stress the virtues of dispersed power centres as a means for safeguarding individual and local liberties. The various political systems that call themselves federal differ in many ways. Certain characteristics and principles, however, are common to all truly federal systems. Written constitution First, the federal relationship must be established or confirmed through a perpetual covenant of union, usually embodied in a written constitution that outlines the terms by which power is divided or shared; the constitution can be altered only by extraordinary procedures. These constitutions are distinctive in being not simply compacts between rulers and ruled but involving the people, the general government, and the states constituting the federal union. The constituentstates, moreover, often retain constitution-making rights of their own. Noncentralization Second, the political system itself must reflect the constitution by actually diffusing power among a number of substantially self-sustaining centres. Such a diffusion of power may be termed noncentralization. Noncentralization is a way of ensuring in practice that the authority to participate in exercising political power cannot be taken away from the general or the state governments without common consent. Areal division of power A third element of any federal system is what has been called in the United Statesterritorial democracy. This has two faces: the use of areal divisions to ensure neutrality and equality in the representation of the various groups and interests in the polity and the use of such divisions to secure local autonomy and representation for diversegroups within the same civil society. Territorial neutrality has proved highly useful in societies that are changing, allowing for the representation of new interests in proportion to their strength simply by allowing their supporters to vote in relatively equal territorial units. At the same time, the accommodation of very diverse groups whose differences are fundamental rather than transient by giving them territorial power bases of their own has enhanced the ability of federal systems to function as vehicles of political integration while preserving democratic government. One example of this system may be seen in Canada, which includes a population of French descent, centred in the province of Quebec. Elements maintaining union Modern federal systems generally provide direct lines of communication between the citizenry and all the governments that serve them. The people may and usually do elect representatives to all the governments, and all of them may and usually do administer programs that directly serve the individual citizen. The existence of those direct lines of communication is one of the features distinguishing federations from leagues or confederations. It is usually based on a sense of common nationality binding the constituent polities and people together. In some countries this sense of nationality has been inherited, as in Germany, while in the United States, Argentina, and Australia it had to be at least partly invented. Canada and Switzerland have had to evolve this sense in order to hold together strongly divergent nationality groups. Geographic necessity has played a part in promoting the maintenance of union within federal systems. The Mississippi Valley in the United States, the Alps in Switzerland, the island character of the Australian continent, and the mountains and jungles surrounding Brazil have all been influences promoting unity; so have the pressures for Canadian union arising from that country’s situation on the border of the United States and the pressures upon the German states generated by their neighbours to the east and west. In this connection, the necessity for a common defense against common enemies has stimulated federal union in the first place and acted to maintain it. Elements maintaining noncentralization The constituent polities in a federal system must be fairly equal in population and wealth or else balanced geographically or numerically in their inequalities. In the United States, each geographic section has included both great and small states. In Canada, the ethnic differences between the two largest and richest provinces have prevented them from combining against the others. Swiss federalism has been supported by the existence of groups of cantons of different sizes and religio-linguistic backgrounds. Similar distributions exist in every other successful federal system. A major reason for the failure of federal systems has often been a lack of balance among the constituent polities. In the German federal empire of the late 19th century, Prussia was so dominant that the other states had little opportunity to provide national leadership or even a reasonably strong alternative to the policy of the king and government. During the Soviet era (1917–90/91), the existence of the Russian Soviet Federated Socialist Republic—occupying three-fourths of the area and containing three-fifths of the population—severely limited the possibility of authentic federal relationships in that country even if the communist system had not. Successful federal systems have also been characterized by the permanence of their internal boundaries. Boundary changes may occur, but such changes are made only with the consent of the polities involved and are avoided except in extreme situations. In a few very important cases, noncentralization is given support through the constitutionally guaranteed existence of different systems of law in the constituent polities. In the United States, each state’s legal system stems directly and to a certain extent uniquely from English (and, in one case, French) law, while federal law occupies only an interstitial position binding the systems of the 50 states together. The resulting mixture of laws keeps the administration of justice substantially noncentralized, even in federal courts. In Canada, the existence of common-law and civil-law systems side by side has contributed to French-Canadian cultural survival. Federal systems more often provide for modification of national legal codes by the subnational governments to meet special local needs, as in Switzerland. The point has often been made that in a truly federal system the constituent polities must have substantial influence over the formal or informal constitutional-amending process. Since constitutional changes are often made without formal constitutional amendment, the position of the constituent polities must be such that serious changes in the political order can be made only by the decision of dispersed majorities that reflect the areal division of powers. Federal theorists have argued that this is important for popular government as well as for federalism. Noncentralization is also strengthened by giving the constituent polities guaranteed representation in the national legislature and often by giving them a guaranteed role in the national political process. The latter is guaranteed in the written constitutions of the United States and Switzerland. In other systems, such as those of Canada and Latin America, the constituent polities have acquired certain powers of participation, and these have become part of the unwritten constitution. Perhaps the most important single element in the maintenance of federal noncentralization is the existence of a noncentralized party system. Noncentralized parties initially develop out of the constitutional arrangements of the federal compact, but once they have come into existence they tend to be self-perpetuating and to function as decentralizing forces in their own right. The United States and Canada provide examples of the forms that a noncentralized party system may take. In the two-party system of the United States, the parties are actually coalitions of the state parties (which may in turn be dominated by specific local party organizations) and generally function as national units only for the quadrennial presidential elections or for purposes of organizing the national Congress. In Canada, on the other hand, the parliamentary form of government, with its requirements of party responsibility, means that on the national plane considerably more party cohesiveness must be maintained simply in order to gain and hold power. There has been a fragmentation of the parties along regional or provincial lines. The party victorious in national elections is likely to be the one able to expand its provincial electoral bases temporarily to national proportions. Federal nations with less-developed party systems frequently gain some of the same decentralizing effects through what has been called caudillismo—in which power is diffused among strong local leaders operating in the constituent polities. Caudillistic noncentralization has apparently existed also in Nigeria and Malaysia. Elements maintaining the federal principle Several devices found in federal systems serve to maintain the federal principle itself. Two of these are of particular importance. The maintenance of federalism requires that the central government and the constituent polities each have substantially complete governing institutions of their own, with the right to modify those institutions unilaterally within limits set by the compact. Both separate legislative and separate administrative institutions are necessary. The contractual sharing of public responsibilities by all governments in the system appears to be a fundamental characteristic of federalism. Sharing, broadly conceived, includes common involvement in policy making, financing, and administration. Sharing may be formal or informal; in federal systems, it is usually contractual. The contract is used as a legal device to enable governments to engage in joint action while remaining independent entities. Even where there is no formal arrangement, the spirit of federalism tends to infuse a sense of contractual obligation. Federal systems or systems strongly influenced by federal principles have been among the most stable and long-lasting of polities. But the successful operation of federal systems requires a particular kind of political environment, one that is conducive to popular government and has the requisite traditions of political cooperation and self-restraint. Beyond this, federal systems operate best in societies with sufficient homogeneity of fundamental interests to allow a great deal of latitude to local government and to permit reliance upon voluntary collaboration. The use of force to maintain domestic order is even more inimical to the successful maintenance of federal patterns of government than to other forms of popular government. Federal systems are most successful in societies that have the human resources to fill many public offices competently and the material resources to afford a measure of economic waste as part of the price of liberty.
By Festus Ahon ASABA—ASS-OCIATION of Local Governments of Nigeria, ALGON, Delta State chapter, has said it would purchase nomination form for Governor Ifeanyi Okowa in the 2019 governorship election, disclosing that Okowa was their preferred candidate for the election. Addressing newsmen after a closed door meeting of chairmen and vice chairmen of the 25 local government areas of the state at the Ughelli North Local Government Area secretariat, the state Chairman of ALGON, Sir Itiako Ikpokpo, said they also adopted Okowa as the sole gubernatorial candidate of the political leadership of all local governments in the state for the 2019 general election. Ikpokpo said Governor Okowa had in the last three years “steered the ship of governance through its turbulent financial crisis and placed the state on the path of sustainable growth and development. “Local governments in Delta State have continued to enjoy the proactive and invaluable support of Governor Okowa in the maintenance of communal peace and security across all local governments.” He noted that under Okowa’s guidance, “Delta ALGON initiated the most credible staff biometric verification exercise.”
The CLGF/ALGON Seminar on Intergovernmental Relations, Local Governance Finances & Role of the Local Government Association was an important occasion to review inter-governmental Commonwealth countries such as Ghana, South Africa and the UK. It also gave an early opportunity for newly elected council leaders to meet and discuss important policy affecting them and their councils. Like other Commonwealth federal countries the relationship between Local, State and Federal government in Nigeria is a complex one which needs constant review and evolution. this is especially the case as regards the vexed issue of fiscal transfers to ensure local government has the resources to deliver services effectively to the local community in line with its mandate. READ MORE http://www.clgf.org.uk/default/assets/File/Publications/reports/Intergovernmental_relations_local_government_finances_and_role_of_lgas_in_Nigeria_CLGF_ALGON2008.pdf
27/09/2021 4 Mins read “Given that sometimes last year, April to be precise, out of misconceptions, misinformation and little or no knowledge of the ALGON Constitution, some set of Local Government Chairmen decided to factionalize ALGON by creating the so-called Interim Management Committee (IMC) with the claim and argument that Hon. Kolade David Alabi – the substantive (ALGON National President) duly elected is not supposed to occupy the position as ALGON National President.” …. Alerts Security Agencies, Govt. Institutions and the Public to Beware of Fraudsters in the Name of IMC Former spokesperson of the defunct Interim Management Committee (IMC) of the Association of Local Governments of Nigeria (ALGON) and the former Chairman of Ekiti Local Government of Kwara State, Hon. Yinka Dallas has warned of fraudulent persons masquerading as IMC members with unlawful agenda. Hon. Yinka Dallas who gave full details of how members of the defunct IMC were misled into what he described as “a mistake” in a statement on Monday, said they later realised that no provision in ALGON constitution envisaged the formation of the IMC and jettisoned the idea of factionalising ALGON. He urged security agencies, government institutions and media to assist the Association of Local Governments of Nigeria in its war against the “present IMC fraudulent arrangements who are currently using the name of ALGON/IMC which doesn’t exist to defraud the unsuspecting public.” Recalling how the IMC was formed, Hon. Yinka Dallas
said “In view of its exigency and importance to alert the Nigerian populace, including the security agencies on the recent happenings in the Association of Local Governments of Nigeria (ALGON) leadership, this press Statement has indeed become necessary. “Given that sometimes last year, April to be precise, out of misconceptions, misinformation and little or no knowledge of the ALGON Constitution, some set of Local Government Chairmen decided to factionalize ALGON by creating the so-called Interim Management Committee (IMC) with the claim and argument that Hon. Kolade David Alabi – the substantive (ALGON National President) duly elected is not supposed to occupy the position as ALGON National President. “Be that as it may, Hon. Abdullahi Maje, Chairman Suleja Local Government, Niger State was nominated to head the said IMC! “The IMC did not stop at that, we equally went ahead to secure an interim injunction from the Court to stop Hon. Kolade Alabi from parading himself as the ALGON National President!”, Hon. Dallas noted. According to him, “Exactly July 5th 2020, the Federal High Court Abuja turned down our request and denied us an injunction. “At this period, the Governor of Niger State from available report gathered, had instructed Hon. Maje to desist from parading himself as ALGON IMC Chairman and that he must not be part of any move to factionalize ALGON. At that point Hon. Maje withdrew his participation from IMC. “In other not to create vacuum, and to sustain the momentum of such ill-advised desperation, Maje’s (IMC) Deputy was made the chairman in person of Hon. Ropo Ige, the Chairman of Ijero Local Government Area of Ekiti State. “At this point, the stakeholders of the Association, including the ALGON Board of Trustees (BOT) felt concerned and stepped into the matter. At that moment, so many things were made clear to us (The IMC) and ALGON Constitution was also thoroughly made clear to us. “For the sake of the Association and not to create any IMC that is not known to the ALGON Constitution, we all dropped our ego and embraced the authentic and mainstream leadership of Hon. Kolade David Alabi led ALGON”, Hon. Yinka Dallas stated. Looking at matters arising from the misconceptions and ill-intentions, he maintained that “It was sad of recent that we started reading in some online medium as well as from other media organisations of Hon. Maje going around and proclaiming himself as IMC Chairman again!! “The members of the defunct IMC carried out an independent investigation of what could have led to the resurrection of such dead matter and we realised the fact that it was a move to defraud the uninformed Nigerians, Government institutions, the Political class and others”, Hon. Dallas warned. Urging action against the menace, he said that “It is instructive to note that, why we use this medium to call on the general public to be very careful in dealing with the Hon. Maje led non-existent IMC, we equally want the Nigeria Security Agencies, Institutions and it’s ally’s to rise up to the task of curbing this type of menace in our society especially now that they are moving from one Government Institution to another. “Moreover, it will be important to reaffirm to the Nigerian populace that IMC is alien to ALGON Constitution as earlier noted and therefore we will no longer be part of such aberration for the sake of strengthening the Association and securing the future of the Local Governments and Area Councils as well as generations yet unborn. “Finally, we want to appeal to the Nigeria Media establishments, to please while in their bid to sanitize our society with investigative reportage, professional ettiquette and Code of Conduct, we equally urge them to be our mouthpiece in the war against the present IMC fraudulent arrangements who are currently using the name of ALGON/IMC which doesn’t exist to defraud the unsuspecting public”, the statement concluded. Fact check by our correspondent indicates that the splinter group named IMC that broke away from ALGON had nine months ago collapsed and pledged loyalty to the Hon. Kolade David Alabi-led leadership of the Association. The dissident group, after about eight months of rebellion, said they were misled but pledged loyalty to ALGON National President, Hon. Alabi. The defunct IMC members had also in their resolution, which was signed by Hon. Ige Ropo Emmanuel, Hon. Adeagbo Adeniyi, Hon. Dangiye Ubarugu, Hon Emeka Ogelle, Hon. Idi Aminu, Hon. Wasiu Owolabi and Hon. Yinka Dallas Ayeni, pledged loyalty to Hon. Alabi led National Executive Committee (NEC) of ALGON.
The National Association of Local Government of Nigeria has provided Comprehensive Health Centres to the 774 Local Government Areas in the country. The Honourable Commissioner for Local Government Affairs, Alhaji Ibrahim Mijinyawa, has received twenty-one generators and hospital equipment. Receiving the items on behalf of the Commissioner, the Permanent Secretary of the Ministry, Alhaji Sule Yahaya, applauded the efforts of the local government chairmen, adding that the gesture would go a long way in reducing the hardship being faced by the citizens. While presenting the equipment, the consultant, Mr. Rimanyang Yabkwa Usman, revealed that seven hundred and seventy-four (774) comprehensive health centers have been provided in all the local government areas of Nigeria in order to give the masses access to health facilities within their reach. He explained that the health centers have the capacity to accommodate eight patients, urging them to maintain the facilities. By JOY DIAMOND LEKA
EFCC TASKS ALGON CHIEFS ON DUE PROCESS The Executive Chairman, Economic and Financial Crimes Commission, Abdulrasheed Bawa has stressed the imperatives of due process in the conduct of government business to ensure that the nation gets value from its resources. He stated this at a recent one- day capacity building programme on the Consequences of By-passing Due Process in Executing Government Business for members of the Association of Local Government of Nigeria {ALGON} in Enugu. The EFCC Boss who spoke through the Commander, Enugu Zonal Command, ACE I Aliyu Nuhu Naibi apprised the grassroots leaders of the consequences of by-passing due process in executing government business. Describing procurement process as one of the most important cycles of government business, Naibi noted that the government loses when contracts are inflated because officials had been compromised through bribery either in form of cash, gifts, etc. To enhance transparency in the public procurement process, he advocated for more internal control measures and oversight. “It is pertinent to let you know that Local Government Development is critical to the overall national development therefore we must get it right at the local level for us to succeed at the National Level”, he said.
Media & Publicity
15/05/2023
August 4, 2024 - by Bayo Agboola Elected local government chairmen in Oyo state are contemplating opting out of the association of Local Government of Nigeria (ALGON) to form a new association. The chairmen, according to reliably sources reportedly resolved into moving out of ALGON at a closed door meeting Saturday night. It was gathered that the chairmen at the closed door meeting unanimously declared their unalloyed support for Governor Seyi Makinde. The communique at the end of the closed door meeting stated that the chairmen stated their support for Gov Makinde was as a result of his exemplary leadership and unrivalled achievements since his assumption of office. In the communique signed by all the 33 local government chairmen they said the decision to operate under a new association was made as a result of the need to protect and provide for the people in their various local government areas. The chairmen stated that the intended association of the local government executive chairmen will be registered under the relevant laws of the Federal Republic of Nigeria. “At the general meeting of All the Local Government Councils of Oyo state, held on Saturday 3rd August, 2024 at Ibadan, it was voluntarily agreed and resolved as Follows: “That in order to inter alia protect the interest of our people, we should forthwith form an umbrella association,” it said. The communique added, ” Such organisation will be registered under the relevant laws of the Federal Republic of Nigeria and its membership shall be institutional-represented by the chairmen of respective local government councils. “That the association shall remain committed to the democratic ideas of the system of local government as enshrined in the 1999 constitution of the Federal Republic of Nigeria (as amended). It stressed, “Furthermore the association shall ensure the delivery of the real development in local councils in the overall interest of our people at the local level.”
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Reading Time: 3 mins read A High Court sitting in Abia State, on Wednesday, dismissed the suit on forgery of academic certificates levelled against the Chairman, House of Representatives on Media and Public Affairs, Hon. Benjamin Kalu which was instituted by Mr Okey Ezeala. It would be recalled that the petitioner had filed a case against the legislator claiming that there was a name discrepancy in his academic certificates. In the same vein, a candidate of the Peoples Democratic Party (PDP), Mr Chima Anyaso who lost in the last election against the legislator made a failed attempt to join the suit earlier. In a court judgement delivered by Justice A. O. Chijioke at the High Court in Umuahia, the judge dismissed the suit against Hon. Benjamin Kalu describing it as malicious. Justice Chijioke agreed with all the arguments of Hon. Benjamin Kalu’s lead Counsel, K.C Nwufor, affirming that: “The matter is a pre-election matter and therefore statute-barred and frivolous.” Justice Chijioke affirmed that Hon. Benjamin Kalu fully complied with the law in his change of name, maintained that the claimant failed to differentiate or prove his claims of forgery and impersonation against Hon. Benjamin Kalu. The court also agreed with K.C Nwufor, that the claimant ought to have produced the original bearer of the name which Hon. Kalu was alleged to have impersonated. Addressing Chima Anyaso’s attempt to join the suit as a co-claimant against Hon. Benjamin Kalu, the Court described it as improper and malicious considering that Chima Anyaso had exhausted all his rights in this matter having lost at the election, election tribunal and court of appeal. In the 90 minutes long judgment, the court also stated that the suit against the legislator appeared to be a case of “the hand of Esau and the voice of Jacob.” Thus, confirming the statements made by the Senior Legislative Aide to Hon. Benjamin Kalu some days ago alleging that Chima Anyaso masterminded and funded this frivolous suit against Hon. Kalu in order to distract him from fulfilling his mandate. Upon dismissing the case, the court also awarded costs against the claimant. Hon. Kalu said: “I have always said, God is the God of justice. As a believer in God, I was confident that He would not allow injustice to be meted against me. Also, as a product of the judiciary, I had absolute confidence in the ability of the judiciary to sustain justice especially when the facts speak so clearly for themselves. “I have experienced the competence of the judiciary from the time of the elections, tribunal and court of appeal. So, I was certain that the judiciary would sustain their fairness and gladly they did not disappoint me. I thank my supporters who believed in me, who stood by me and showed great concern during this period. “It has been a horrible two years, going in and out of court. The idea of this litigation was to distract me from working for the people of Bende, however, I have refused to be distracted. As you can see I am currently inspecting sites for new projects and several of the completed projects are set to be commissioned soon.” In an interview with our correspondents, K.C Nwufor, the lead counsel to Hon. Kalu responded that all the issues raised by him were fully upheld by the court while none of the issues raised by the claimant survived,” he added. “It is a day for justice and I am happy that justice has been done. As you can see, this was a frivolous and malicious suit aimed at defaming the clean reputation of one of the best legislators Abia state has ever sent to Abuja. “It was aimed at denting his reputation as the image-maker and spokesperson of the National Assembly; a man who resisted every attempt to blackmail him in this matter. “The character of our client has been defamed and so as we speak, we are preparing to file an action against the claimant and his co-detractors to the tune of N5 billion for defamation of the character of our client and the institution that he represents.”
Published on August 25, 2021 A Federal High Court sitting in Umuahia has dismissed a suit filed against the Spokesperson of the House of Representatives, Benjamin Kalu over allegations of forgery. One Okey Ezeala had filed a suit against the rep member, alleging name forgery on his academic certifications, he had claimed there was a name discrepancy in the certificates of the legislator. Recall that Chima Anyaso, the candidate of the PDP who lost in the last election against the legislator made a failed attempt to join the suit earlier. But a court judgement delivered by Justice A.O. Chijioke at the High Court in Umuahia, the judge dismissed the suit against Rep. Benjamin Kalu describing it as malicious. Agreeing to all the arguments of Rep. Benjamin Kalu’s lead Counsel, K.C Nwufor SAN, Justice Chijioke said the matter is a pre-election matter and therefore, statute-barred and frivolous. ”Rep. Benjamin Kalu fully complied with the law in his change of name. ”The claimant failed to differentiate or prove his claims of forgery and impersonation against Rep. Benjamin Kalu,” he said. The Judge while agreeing with K.C Nwufor, SAN, said the claimant ought to have produced the original bearer of the name which Rep. Kalu was alleged to have impersonated. Addressing Chima Anyaso’s attempt to join the suit as a co-claimant against Rep. Benjamin Kalu, the court described it as improper and malicious considering that Chima Anyaso had exhausted all his rights in the matter having lost the election, election tribunal and court of appeal. In the 1-hour 30-minute long judgment, the court also stated that the suit against the legislator appeared to be a case of “the hand of Esau and the voice of Jacob”. Thus, confirming the statements made by the Senior Legislative Aide to Rep. Benjamin Kalu some days ago alleging that Chima Anyaso masterminded and funded the frivolous suit against Rep. Kalu to distract him. Upon dismissing the case, the court also awarded costs against the Claimant. Attempts by our correspondents to speak to Chima Anyaso failed as he was nowhere to be found after the judgement was delivered, DAILY POST reports. Rep. Kalu when contacted on the judgement said, ‘As I have always said, God is the God of justice. As a believer in God, I was confident that He would not allow injustice to be meted against me. Also, as a product of the judiciary, I had absolute confidence in the ability of the judiciary to sustain justice especially when the facts speak so clearly for themselves’ ‘I have experienced the competence of the judiciary from the time of the elections, tribunal and court of appeal. So, I was certain that the judiciary would sustain their fairness and gladly they did not disappoint me. I thank my supporters who believed in me, who stood by me and showed great concern during this period. A Federal High Court sitting in Umuahia has dismissed a suit filed against the Spokesperson of the House of Representatives, Benjamin Kalu over allegations of forgery. One Okey Ezeala had filed a suit against the rep member, alleging name forgery on his academic certifications, he had claimed there was a name discrepancy in the certificates of the legislator. Recall that Chima Anyaso, the candidate of the PDP who lost in the last election against the legislator made a failed attempt to join the suit earlier. But a court judgement delivered by Justice A.O. Chijioke at the High Court in Umuahia, the judge dismissed the suit against Rep. Benjamin Kalu describing it as malicious. Agreeing to all the arguments of Rep. Benjamin Kalu’s lead Counsel, K.C Nwufor SAN, Justice Chijioke said the matter is a pre-election matter and therefore, statute-barred and frivolous. ”Rep. Benjamin Kalu fully complied with the law in his change of name. ”The claimant failed to differentiate or prove his claims of forgery and impersonation against Rep. Benjamin Kalu,” he said. The Judge while agreeing with K.C Nwufor, SAN, said the claimant ought to have produced the original bearer of the name which Rep. Kalu was alleged to have impersonated. Addressing Chima Anyaso’s attempt to join the suit as a co-claimant against Rep. Benjamin Kalu, the court described it as improper and malicious considering that Chima Anyaso had exhausted all his rights in the matter having lost the election, election tribunal and court of appeal. In the 1-hour 30-minute long judgment, the court also stated that the suit against the legislator appeared to be a case of “the hand of Esau and the voice of Jacob”. Thus, confirming the statements made by the Senior Legislative Aide to Rep. Benjamin Kalu some days ago alleging that Chima Anyaso masterminded and funded the frivolous suit against Rep. Kalu to distract him. Upon dismissing the case, the court also awarded costs against the Claimant. Attempts by our correspondents to speak to Chima Anyaso failed as he was nowhere to be found after the judgement was delivered, DAILY POST reports. Rep. Kalu when contacted on the judgement said, ‘As I have always said, God is the God of justice. As a believer in God, I was confident that He would not allow injustice to be meted against me. Also, as a product of the judiciary, I had absolute confidence in the ability of the judiciary to sustain justice especially when the facts speak so clearly for themselves’ ‘I have experienced the competence of the judiciary from the time of the elections, tribunal and court of appeal. So, I was certain that the judiciary would sustain their fairness and gladly they did not disappoint me. I thank my supporters who believed in me, who stood by me and showed great concern during this period. ‘It has been a horrible two years, going in and out of court. The idea of this litigation was to distract me from working for the people of Bende, however, I have refused to be distracted”.
In an interview with our correspondents, K.C Nwufor SAN, the lead counsel to Rep. Kalu, said all issues raised by him were fully upheld by the Court while none of the issues raised by the claimant survived. He added: “It is a day for justice and I am happy that justice has been done. As you can see, this was a frivolous and malicious suit aimed at defaming the clean reputation of one of the best legislators Abia state has ever sent to Abuja. It was aimed at denting his reputation as the image-maker and spokesperson of the National Assembly; a man who resisted every attempt to blackmail him in this matter”.
August 3, 2021 A High Court sitting in Umuahia has adjourned till Wednesday the 4th of of August 2021 in a case bothering on primary and secondary schools certificate forgery brought against the Member representing Bende Federal Constituency, Hon. Benjamin Kalu by an APC chieftain, Hon. Okey Ezeala. Addressing journalists in Umuahia after the court adjourned today, the claimant Hon. Okey Ezeala who once represented Abia north in Nigerian Youth Parliament Abuja while in the National Assembly as a Senior Legislative Aide, Member ECOWAS youth parliament and candidate of the APC in the 2019 Bende South State Constituency elections, revealed that the substantive case borders on name irregularities in credentials Mr. Benjamin Kalu submitted to INEC, contrary to the constitutional requirements of a citizen before participating in elections into the National Assembly, which he explained include First School leaving or its equivalent. He maintained that “I want to state here in agreement with my affidavit and in my originating summons before the high court, that Benjamin Okezie Kalu did not submit any valid document to prove that he attended primary school, that he attended secondary school, because there is no Benjamin Kalu in the purported primary school certificate he submitted to INEC and there is no Benjamin Kalu in the purported secondary school certificate he submitted to INEC. If there is anything there, it is one school certificate from Wilcox Memorial School, Aba, bearing Ụmụnna Okezie and another one bearing Osisiogu Okezie, so the two names, Benjamin and Kalu are very strange names to say the least.” He further emphasized that “if we elected Benjamin Kalu in Bende into the House of Representatives and there is no Benjamin Kalu and neither is there a valid change of name, emphasis on the word VALID because one cannot mix up several names up till the University, you now go to do affidavit for a change of name whereas the same name you are doing affidavit to change, you have been using it for official documents from time immemorial – that’s an afterthought. You cannot put something on nothing and it would stand. Bende people know that they elected Benjamin Kalu and then somebody else’s certificate is in INEC, something is wrong somewhere.” Hon. Okey Ezeala disclosed that his prayers “is for the court to determine whether somebody who does not have a valid school certificate or primary school certificate can contest an election to Bende Federal constituency and indeed any other constituency across the federation. “Secondly that the court should determine whether Benjamin Okezie Kalu was a valid candidate abinitio” adding that if the answer to the matters raised are not in affirmation, the court is therefore requested to declare that APC had no candidate abinitio in that election and consequently order INEC to issue Certificate of Return to those that participated in the elections and scored the highest votes. According to him, he has absolute trust in the court to decide whether someone can benefit on his wrong doing, adding that, there are precedents as ruled by the Supreme Court in several matters, where a particular party loses out in toto, moreover giving the fact that it is a forgery case that has no time bounds for determination. Also, the claimant informed journalists that counsel to Ben Kalu, K. I Nwaoffor (SAN) and his team have hitterto opposed the appearance of his counsel, Chief Okey Amaechi, (SAN) which he described as an attempt to change the goal post at the middle of the game” but expressed gratitude to the court for ruling in his favour to allow both Chief Okey Amaechi (SAN) and Charles Onuchukwu esq to continue with the matter. Hon. Ezeala however expressed optimism that the court would rule in his favour, saying that it would serve as deterrent to others. Lending her voice, one of the members of the claimant’s counsels and lawyer with Chief Okey Amaechi (SAN) , Maureen Onosike said “There was an opposition from the other party that we cannot come in to represent the claimant because there is no change of counsel and the learned silk argued that there is no need for change of application that we are simply joining the already existing counsel representing the claimant and the court ruled in our favour”. She said “the learned silk has justified his claim by enlisting Charles Onuchukwu as one of the lawyers he is appearing with, so he overruled them stating that there is no need for a change of counsel.” The lawyer disclosed that the court has adjourned the case till Wednesday this week and expressed hope that justice would prevail at the end of the day.
What Is Fiscal Policy? Fiscal policy refers to the use of government spending and tax policies to influence economic conditions, especially macroeconomic conditions. These include aggregate demand for goods and services, employment, inflation, and economic growth. During a recession, the government may lower tax rates or increase spending to encourage demand and spur economic activity. Conversely, to combat inflation, it may raise rates or cut spending to cool down the economy. Fiscal policy is often contrasted with monetary policy, which is enacted by central bankers and not elected government officials. KEY TAKEAWAYS - Fiscal policy refers to the use of government spending and tax policies to influence economic conditions.
- Fiscal policy is largely based on ideas from British economist John Maynard Keynes.
- Keynes argued that governments could stabilize the business cycle and regulate economic output rather than let markets right themselves alone.
- An expansionary fiscal policy lowers tax rates or increases spending to increase aggregate demand and fuel economic growth.
- A contractionary fiscal policy raises rates or cuts spending to prevent or reduce inflation.
Understanding Fiscal Policy U.S. fiscal policy is largely based on the ideas of British economist John Maynard Keynes (1883-1946). He argued that economic recessions are due to a deficiency in the consumer spending and business investment components of aggregate demand. Keynes believed that governments could stabilize the business cycle and regulate economic output by adjusting spending and tax policies to make up for the shortfalls of the private sector.1 His theories were developed in response to the Great Depression, which defied classical economics' assumptions that economic swings were self-correcting. Keynes' ideas were highly influential and led to the New Deal in the U.S., which involved massive spending on public works projects and social welfare programs. In Keynesian economics, aggregate demand or spending is what drives the performance and growth of the economy. Aggregate demand is made up of consumer spending, business investment spending, net government spending, and net exports. Variable Private Sector Behavior According to Keynesian economists, the private sector components of aggregate demand are too variable and too dependent on psychological and emotional factors to maintain sustained growth in the economy.1 Pessimism, fear, and uncertainty among consumers and businesses can lead to economic recessions and depressions. What's more, excessive public sector exuberance during good times can lead to an overheated economy and inflation. However, Keynesians believe that government taxation and spending can be managed rationally and used to counteract the excesses and deficiencies of private sector consumption and investment spending in order to stabilize the economy.1 Corrective Government Fiscal Action When private sector spending decreases, the government can spend more or tax less in order to directly increase aggregate demand. When the private sector is overly optimistic and spends too much, too quickly on consumption and new investment projects, the government can spend less or tax more in order to decrease aggregate demand. This means that to help stabilize the economy, the government should run large budget deficits during economic downturns and run budget surpluses when the economy is growing. These are known as expansionary or contractionary fiscal policies, respectively. Fiscal Policy Example During the Great Depression of the 1930s, U.S. unemployment rose to 25% and millions stood in bread lines for food. The misery seemed endless. President Franklin D. Roosevelt decided to put an expansionary fiscal policy to work. He launched his New Deal soon after taking office. It created new government agencies, the WPAjobs program, and the Social Security program, which exists to this day. These spending efforts, combined with his continued expansionary policy spending during World War II, pulled the country out of the Depression. Types of Fiscal Policies Expansionary Policy and Tools To illustrate how the government can use fiscal policy to affect the economy, consider an economy that's experiencing a recession. The government might issue tax stimulus rebates to increase aggregate demand and fuel economic growth. The logic behind this approach is that when people pay lower taxes, they have more money to spend or invest, which fuels higher demand. That demand leads firms to hire more, decreasing unemployment, and causing fierce competition for labor. In turn, this serves to raise wages and provide consumers with more income to spend and invest. It's a virtuous cycle or positive feedback loop. Alternately, rather than lowering taxes, the government may seek economic expansion by increasing spending (without corresponding tax increases). Building more highways, for example, could increase employment, pushing up demand and growth. Expansionary fiscal policy is usually characterized by deficit spending. Deficit spending occurs when government expenditures exceed receipts from taxes and other sources. In practice, deficit spending tends to result from a combination of tax cuts and higher spending. Contractionary Policy and Tools In the face of mounting inflation and other expansionary symptoms, a government can pursue contractionary fiscal policy, perhaps even to the extent of inducing a brief recession in order to restore balance to the economic cycle. The government does this by increasing taxes, reducing public spending, and cutting public sector pay or jobs. Where expansionary fiscal policy involves spending deficits, contractionary fiscal policy is characterized by budget surpluses. This policy is rarely used, however, as it is hugely unpopular politically. Public policymakers thus face differing incentives relating to whether to engage in expansionary or contractionary fiscal policy. Therefore, the preferred tool for reining in unsustainable growth is usually a contractionary monetary policy. Monetary policy involves the Federal Reserve raising interest rates and restraining the supply of money and credit in order to rein in inflation. The two major fiscal policy tools that the U.S. government uses to influence the nation's economic activity are tax rates and government spending. Downside of Expansionary Policy Mounting deficits are among the complaints lodged against expansionary fiscal policy. Critics complain that a flood of government red ink can weigh on growth and eventually create the need for damaging austerity. Many economists simply dispute the effectiveness of expansionary fiscal policies. They argue that government spending too easily crowds outinvestment by the private sector. Expansionary policy is also popular—to a dangerous degree, say some economists. Fiscal stimulus is politically difficult to reverse. Whether it has the desired macroeconomic effects or not, voters like low taxes and public spending. Due to the political incentives faced by policymakers, there tends to be a consistent bias toward engaging in more-or-less constant deficit spending that can be in part rationalized as good for the economy. Eventually, economic expansion can get out of hand. Rising wages lead to inflation and asset bubbles begin to form. High inflation and the risk of widespread defaults when debt bubbles burst can badly damage the economy. This risk, in turn, leads governments (or their central banks) to reverse course and attempt to contract the economy. Fiscal Policy vs. Monetary Policy Fiscal policy is the responsibility of the government. It involves spurring or slowing economic activity using taxes and government spending. Monetary policy is the domain of the U.S. Federal Reserve Board and refers to actions taken to increase or decrease liquidity through the nation's money supply. According to the Federal Reserve Board, these actions are intended to "promote maximum employment, stable prices, and moderate long-term interest rates—the economic goals the Congress has instructed the Federal Reserve to pursue."3 The monetary policy tools that the Fed uses to increase or decrease liquidity (and affect consumer spending and borrowing) include:4 Who Handles Fiscal Policy? In the United States, fiscal policy is directed by both the executive and legislative branches. In the executive branch, the President is advised by both the Secretary of the Treasury and the Council of Economic Advisers. In the legislative branch, the U.S. Congress authorizes taxes, passes laws, and appropriations spending for any fiscal policy measures through its power of the purse. This process involves participation, deliberation, and approval from both the House of Representatives and the Senate. What Are the Main Tools of Fiscal Policy? Fiscal policy tools are used by governments to influence the economy. These primarily include changes to levels of taxation and government spending. To stimulate growth, taxes are lowered and spending is increased. This often involves borrowing by issuing government debt. To cool down an overheating economy, taxes may be raised and spending decreased. How Does Fiscal Policy Affect People? Often, the effects of fiscal policy aren't felt equally by everyone. Depending on the political orientations and goals of the policymakers, a tax cut could affect only the middle class, which is typically the largest economic group. In times of economic decline and rising taxation, this same group may have to pay more taxes than the wealthier upper class. Similarly, when a government decides to adjust its spending, its policy may affect only a specific group of people. A decision to build a new bridge, for example, will give work and more income to hundreds of construction workers. A decision to spend money on building a new space shuttle, on the other hand, benefits only a small, specialized pool of experts and firms, which would not do much to increase aggregate employment levels. Should the Government Be Getting Involved With the Economy? One of the biggest obstacles facing policymakers is deciding how much direct involvement the government should have in the economy and individuals' economic lives. Indeed, there have been various degrees of interference by the government over the history of the United States. For the most part, it is accepted that a certain degree of government involvement is necessary to sustain a vibrant economy, on which the economic well-being of the population depends. The Bottom Line Fiscal policy is directed by the U.S. government with the goal of maintaining a healthy economy. The tools used to promote beneficial economic activity are adjustments to tax rates and government spending. When economic activity slows or deteriorates, the government may try to improve it by reducing taxes or increasing its spending on various government programs. When the economy is overly active and inflation threatens, it may increase taxes or reduce spending. However, neither is palatable to politicians seeking to stay in office. Thus, at such times, the government looks to the Fed to take monetary policy action to reduce inflation.
The Municipal Fiscal Powers and Functions Act (Act 12 of 2007) gives effect to sections 229(1)(b) and 229(2) of the Constitution and is one of the final building blocks in the creation of a regulatory framework to coordinate macro- economic tax policy objectives across all three spheres of government. The Act took effect on 7 September 2007. In 2003, the Provincial Tax Regulation Process Act was enacted, setting out the framework for provincial taxes; the Municipal Fiscal Powers and Functions Act sets out a similar framework for local government. Purpose of the Act The Municipal Fiscal Powers and Functions Act (the Act) aims to promote predictability, certainty and transparency in respect of municipal fiscal powers and functions and to ensure that these powers and functions are exercised in a manner that will not materially and unreasonably prejudice national economic policies, economic activities across municipal boundaries, or the national mobility of goods, services, capital or labour. The Act regulates municipal taxes and surcharges referred to in section 229 of the Constitution, other than property rates (which are regulated by the Municipal Property Rates Act). The Act does not list or identify specific taxes which municipalities may enact. Responsibility for initiating a tax proposal rests with municipalities and organised local government (SALGA); they may propose any tax not prohibited by the Constitution. The Act further provides for the process and procedure necessary for the authorisation of taxes, levies and duties that municipalities may impose under section 229(1)(b) of the Constitution in a way that allows for the evaluation of applications for consistency with national economic policy and other constitutional requirements. It also regulates the exercise by municipalities of their power to impose surcharges on fees for services under section 229(1)(a) by empowering the Minister of Finance to prescribe norms and standards. Although the importance of surcharges as a funding source to assist municipalities in meeting their expenditure obligations, especially for poverty alleviation and social and economic development, is acknowledged, these surcharges do increase the tax burden on consumers. It is therefore important to regulate the imposition of surcharges to ensure: -
the reasonableness of the overall tax burden on consumers (who are also subject to provincial and national taxes); and -
that surcharges on fees for services do not materially and unreasonably prejudice national economic policies, economic activities across municipal boundaries, or the national mobility of goods, services, capital or labour. -
The Municipal Fiscal Powers and Functions Act is one of the final building blocks in the creation of a regulatory framework to coordinate the macro-economic tax policy objectives across all three spheres of government. -
The Act aims to promote predictability, certainty and transparency in respect of municipal fiscal powers and functions. -
It seeks to ensure that these powers and functions are exercised in a manner that will not materially and unreasonably prejudice national economic policies and economic activities across municipal boundaries. -
Municipalities must ensure that any existing taxes and surcharges comply with the requirements of the Act within two years. -
The Minister of Finance will announce a ong- term replacement for the RSC and JSB levies in the 2008 or 2009 budget. Who is affected by the Act? The Act has a direct impact and places various responsibilities on all municipalities. It also has indirect or ad hoc implications for other local government stakeholders, such as SALGA, the Financial and Fiscal Commission and sector departments regulating municipal services, such as the Department of Minerals and Energy, the Department of Water Affairs and Forestry, and the Department of Environmental Affairs and Tourism. For example, the National Electricity Regulator will need to review its current regulatory processes to exclude the surcharge component which currently forms part of the electricity reticulation tariff – that is, the tariff should only regulate the ‘base tariff’, as soon as regulations are issued to prescribe norms and surcharges on electricity reticulation services. What are the immediate implications for municipalities? If municipalities are considering the introduction of any new municipal tax, they must comply with the process prescribed in section 5 of the Act. In respect of existing municipal taxes, they must put in place a process to identify all taxes currently levied or imposed, after which they must apply for the continued imposition of the tax in terms of section 12 of the Act. In respect of surcharges, municipalities must ensure that surcharges on municipal services are affordable and reasonable, are set through a transparent process and are disclosed in accordance with section 75A of the Municipal Systems Act. Once the norms and standards for surcharges have been prescribed, municipalities must also comply with them. When can a new municipal tax be introduced? A municipality, group of municipalities, SALGA and/or the Minister of Finance (on his/her own accord) may apply for the introduction of a new municipal tax in terms of section 5 of the Act. A municipality may introduce a new municipal tax only after the Minister of Finance has: -
notified the municipality, group of municipalities or SALGA and the minister responsible for local government, in writing, of his/her approval of the proposed municipal tax; and -
prescribed regulations regarding the imposition and administration of a municipal tax or taxes. The regulations will, among other things, determine the date from which the municipal tax may be imposed (the commencement date must coincide with the start of a municipal financial year), the collecting agent of the tax and any limitations placed on it. What about existing municipal taxes? All existing municipal taxes will be subjected to a verification process to determine whether they may be continued or should lapse. Municipalities must, by no later than 7 September 2009, apply to the Minister of Finance for the authorisation of any taxes imposed by them prior to the commencement of the Act on 7 September 2007, except for a regional establishment levy or regional services levy imposed under the Regional Services Council Act (Act 109 of 1985) or the KwaZulu and Natal Joint Services Act (Act 84 of 1990). An existing tax will lapse on 6 September 2009 if a municipality fails to apply for its authorisation or six months after the Minister of Finance has notified the municipality that an application is not approved. What about surcharges? With regard to surcharges, although municipalities can continue to levy current surcharges on municipal services as In general a tax (‘levy’ and ‘duty’ have the same meaning) is a government charge which is not in return for a specific benefit. There is not necessarily a direct relationship between the tax payable and the benefits provided by government. Taxes are taken into general revenue and used for general purposes. The taxpayer receives no specific service in return for the payment of tax, but rather a set of general services such as municipal roads, street lighting and the like. Taxes may be contrasted with fees or user charges. For fees and user charges there is a direct link between the amount paid and the benefit provided. What is a municipal surcharge? A surcharge on a municipal service is a charge levied by a municipality in addition to the fee or tariff charged for the provision of the service. A surcharge is thus an indirect tax, as it is a payment in addition to the normal charge. Surcharges generated from trading services, such as water and electricity reticulation, are usually used by municipalities for the funding or subsidising of other essential municipal activities where limited or no charges are levied. budgeted for, municipalities will have to reassess current practices as and when the regulations are made. In the interim, municipalities have been urged by the Treasury to ensure that surcharges on fees are affordable to all categories of users of all municipal services. The Minister of Finance may prescribe compulsory national norms and standards for imposing municipal surcharges. The norms and standards may differentiate between different kinds of municipalities, types and levels of municipal services, categories of users, debtors and customers, consumption levels and geographic areas. The norms and standards may also determine: -
maximum municipal surcharges that may be imposed; -
the basis and intervals for increasing municipal surcharges; and -
matters that must be assessed and considered by municipalities in imposing municipal surcharges on fees.
Municipalities must comply with any norms and standards prescribed by the Minister of Finance when imposing a surcharge on fees for services. Municipalities must, as part of their budget preparation process, annually review any municipal surcharges and comply with the Municipal Systems Act relating to the manner in which fees, charges or tariffs are levied and how a resolution in that respect must be made known. The Minister of Finance may, where practicalities impede strict compliance with norms and standards, or on application by a municipality, group of municipalities or SALGA, or of his/her own accord, exempt a municipality from complying with any norms and standards for a period and on the conditions determined in that notice. Replacement of the RSC and JSB levies Any permanent replacement(s) for the regional services council (RSC) and joint services board (JSB) levies will be dealt with in terms of the Act. Various medium- to long-term options to replace these levies were proposed in a discussion document by the National Treasury in December 2005. Replacement options, as listed in the discussion document and identified through the consultation process, are currently being evaluated in terms of the intergovernmental fiscal and taxation framework as well as the fiscal framework for local government so as to ensure that any replacement option will have limited negative economic impact, provide adequate revenue at acceptable rates and be easy to administer. The intention is for the Minister of Finance to announce long-term replacement options for the RSC and JSB levies as part of the 2008, or possibly 2009, budget. This is an adapted version of MFPFA Circular No. 1: Introduction to the Municipal Fiscal Powers and Functions Act No. 12 of 2007, issued by the National Treasury. Many thanks to Ms Wendy Fanoe (wendy.fanoe@treasury.gov.za) for her kind assistance in this regard.
FOREWORD Nigeria’s National Development Plan (NDP), 2021 – 2015 is a medium-term blueprint designed to unlock the country’s potentials in all sectors of the economy for a sustainable, holistic and inclusive national development, developed by the different facet of the Private Sector, Sub-national Government, Civil Society Organization (CSO) and facilitated by the Federal Government of Nigeria. This was deliberately done for inclusiveness, participation and citizen engagement to ensure no one is left behind. The Plan is a successor to the Economic Recovery and Growth Plan (ERGP), 2017-2020, which elapsed in December 2020. The vision of the NDP, 2021-2025 is consistent with the pursuit of socio-economic transformation of our country as envisioned in the long-term aspiration of Nigeria, encapsulated in the Nigeria Agenda 2050. The Plan also builds on the achievements and lessons learned during the implementation of the ERGP. The NDP 2021-2025, adopted an integrated and multi-sectoral development approach. The approach recognises the multi-faceted and interlinked nature of sustainable development, which calls for interventions to be tackled simultaneously through a coordinated approach to implementing development programmes. To achieve this, the Plan is guided by four strategic objectives, namely; establishing a strong foundation for a concentric diversified economy; investment in critical physical, financial, science and innovation infrastructure; building a solid framework and enhance capacities to strengthen security and ensure good governance; and enabling a vibrant, educated and healthy populace. During the Plan period, government will focus on sectors with great potentials to generate jobs for our people and with multiplier effects on other sectors. We will continue to invest in critical infrastructure such as Power and alternative energy, Rail, Roads, and Housing and ensure macroeconomic stability, enhance business and investment environment, and improve the living conditions of Nigerians. By 2025, the effective implementation of the Plan is expected to achieve average economic growth of 4.6 percent. Cumulatively it would have lifted 35 million people out of poverty and created 21 million full-time jobs. It would have also raised revenue to GDP ratio to 15 percent as well as improve health and education of the population. To attain the objectives of the Plan, a total of N348.1 trillion investment commitment is required. The Government (Federal, States and LGAs) investment is expected to be N49.7 trillion, while the balance of N298.3 trillion will be funded by the private sector. A strong partnership between the public and private sectors is, therefore, imperative for successful delivery of the Plan outcomes. Government will also put in place a robust implementation framework that promotes performance and accountability. In this regard, the development Plan Implementation Unit and the National Monitoring and Evaluation system will be strengthened for assessment and tracking of government policies and programmes. To deliver on the laudable initiatives contained in the Plan, concerted efforts and commitment of all stakeholders are required. I, therefore, enjoin all Nigerians to fully take ownership of this Plan and participate actively in its implementation to enable us realize Nigeria of our dream. H.E. Muhammadu Buhari, GCFR
President and Commander-In-Chief of the Armed Forces Federal Republic of Nigeria
By Chuks Akunna Abuja — In a move aimed at keeping the 36 state governors in check, as well as provide a veritable political platform to seek re-election, should the governors make good their threat to dissolve local councils next month, the Association of Local Governments of Nigeria (ALGON) yesterday in Abuja floated a new political association. Christened Grassroots Movement of Nigeria (GMN), ALGON justified the association as necessary in the light of what it said was the "unfolding political drama" on the tenure of elected local government officials in the 774 Local councils nationwide. https://allafrica.com/stories/200203130037.html
By Joseph Aimienmwona Lagos — When chairmen of the 774 local government councils throughout the federation decided to form the Association of Local Government Chairmen of Nigeria (ALGON), the expectations of the people at the grassroots were indeed, high. These expectations were heightened against the background that the people believed that for the first time in the political history of the nation, a genuine attempt to carry along the common man has been made through the collective efforts of their elected council chairmen.
Recent reports indicate that the Association of Local Government of Nigeria (ALGON) is advocating for the autonomy of the Local Government in Nigeria as a panacea to the dereliction of local government in the country. According to the report, the ALGON chairman, Kaduna state branch, Akuso Danjuma, at the National Executive Council (NEC) meeting in Abuja stated that the association in working hard to ensure there is autonomy of the local Government as enshrined in the constitution...READ MORE https://archive.businessday.ng/editorial/article/instituting-a-veritable-lg-system-in-nigeria/
Nigeria Union local government Employees (NULGE) ABUJA- IN a bid to stop harassment and multiple taxation on commuters on the national highways, the leadership of the All Local Government of Nigeria, ALGON and the National Union of Local Government Employees, NULGE, have launched what they called ‘Operation Wipe-out Touts on Nigeria Highways in 2020. The launch of the new ALGON-NULGE Certificate attracted Controllers of Mobile Adverts from all over the country in Abuja, the Federal Capital Territory. Speaking at the occasion, President of the Joint Mobile Sanitation Agency of Nigeria, JMSAN, Godwin Dukeson said that the new certification was to sanitize and harmonize the operations of all agents. Dickson explained that the certificate was a brainchild of the collaboration between ALGON and JMOSAN occasioned by the displeasure and the charge by the National Assembly to ALGON since March 2017 urging her to curtail the excesses as well as put a stop to the molestation, extortion and multiple taxation of commuters on the nation’s highways. He said the position could not take effect until recently when a new leadership of ALGON emerged, because of some internal leadership crisis. According to him, ”The Association of Local Governments of Nigeria has requested the partnership of JMSON to help fight the multiple taxation being imposed on members of the public by Local Government Agents. ”The partnership will take effect from January, 2020.” Dukeson said that the new leadership of ALGON gave JMOSAN the mandate to sanitize the activities of Mobile Adverts’ operators to ensure that no other agency or agent collects government revenue. He added that with effect from January 2020, anyone caught with any Certificate other than the new ALGON-NULGE Certificate will be penalized. It will be recalled that the public outcry on the unholy activities of some Mobile Adverts’ Agents on Nigerian highways got to the National Assembly and a immediate directive was issued from the federal legislature to ALGON in March 2017. This is expected to bring a relief to commuters from January 2020 as touts and all manner of unscrupulous elements who mount roadblocks on the highways posing as revenue collectors for local government will cease to be. In attendance at the meeting were the leadership of JMOSAN President, Mr. Godwin Dukeson, Secretary, Alhaji Aminu Yunusa, BoT Chairman, Chief Nnamdi Ogbogbo; NULGE Executive, Chief Nicholas Ekwo and ALGON leadership representative, Comrade Venatius Okafor. Also in attendance were local government agents from Lagos, Kano, Kogi, Akwa Ibom, Rivers, Kaduna, Niger, Delta, Nasarawa, Enugu, Anambra, Imo among others.
ALGON The Association of Local Government of Nigeria (ALGON), Rivers State chapter, has raised a red flag over the deteriorating situation of the #EndBadGovernance protest in the state. In a scathing press briefing, ALGON denounced the escalating violence, lawlessness, and chaos that have characterised the protest, and condemned Governor Siminalayi Fubara’s inaction, while accusing him of complicity. The 33 local council chairmen in Oyo State have dumped the Association of Local Government of Nigeria (ALGON) over the Supreme Court’s judgment granting financial autonomy to councils across the country. The Taraba state branch of the Association of Local Government of Nigeria (ALGON), has called on the people of the state, especially those in Jalingo, the state capital, to reconsider the forthcoming protest in light of the significant efforts made by the state governor, Dr. Agbu Kefas. The National Chairman of the Association of Local Government of Nigeria (ALGON), Hon. Aminu Muazu Maifata, has said that local governments cannot afford to pay N62,000 as minimum wage. Justice Inyang Ekwo of the Federal High Court, Abuja, has fixed April 30 to decide who is the authentic national chairman of the Association of Local Government of Nigeria (ALGON). • State governments hijack funds, functions of local councils
• Stakeholders seek scrap of joint account and allocation committee
• ‘Why opposition parties are non-existent in grassroots’
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