The Senate has yesterday Okayed 15% of states Consolidated Revenue Fund as a source of funding to foot the bill of the newly created zonal development commissions by member state. This is coming on the heel of consideration and adoption of the report of the senate committee on Special Duties on the bill establishing the commission. Prior to this the lawmakers were divided on how the development commission shall be funded before coming up with the idea.
During consideration of a clause-by-clause of the South-south Development commission Bill 2024 that served as the spring-board for other development commission, there was disagreement among the lawmakers.
The disagreement sprang up the idea of the 15% of statutory allocation from member states to be remitted for funding the commissions suggested by the senate committee on special duties.
During the debate, several lawmakers, including Yahaya Abdullahi (PDP, Kebbi North), Wasiu Eshinlokun (APC, Lagos East), and Seriake Dickson (PDP, Bayelsa West), voiced concerns over the proposed funding model.
Abdullahi warned that the provision could lead to legal challenges from state governments, as no state would willingly allow its statutory allocation to be reduced.
Abdullahi insisted saying that “Mr. President, distinguished colleagues, the 15 per cent of statutory allocations of member states recommended for funding their zonal development commissions would be litigated against by some state governments,”
Interjecting, the Deputy Senate President, Barau Jibrin said the 15 per cent allocation would not involve a direct deduction from the states’ funds.
Instead, he said, “Mr President, distinguished colleagues, the 15 per cent of statutory allocation of member states, recommended for funding of zonal development commissions by the Federal Government, is not about deduction at all.
“What is recommended as contained in the report presented to us by the committee on special duties and being considered by the Senate now is that 15 per cent of statutory allocation of member states in a zonal development commission would, by way of calculation by the Federal Government, used to fund the commission from the Consolidated Revenue Fund.
“Each state has a monthly statutory allocation, 15 per cent of which, as contained in this report being considered, will be calculated by the Federal Government and removed from the Consolidated Revenue Fund for funding of their development commission.”
Meanwhile, the senate president, Godswill Akpabio explained that “We don’t need to debate whether 15 per cent of statutory allocations from member states in a commission would be deducted,” Akpabio said, citing Section 162(4) of the 1999 Constitution, which grants the National Assembly the authority to appropriate funds from either the Consolidated Revenue Fund or the Federation Account.
“Fifteen per cent of the statutory allocation has been recommended by the Senate and, by extension, the National Assembly, for funding these zonal development commissions. Anyone who wishes to challenge that in court is free to do so,” he added.
Later, Akpabio called for a voice vote where majority voted in favour of the provision.
Accordingly, the Senate president applauded his colleagues for their effort in seeing the bill for the development commission through.
He noted that these commissions would provide a foundation for the newly created Ministry of Regional Development.
The bills passed include the South-South Development Commission Establishment Bill 2024, the North West Development Commission Act (Amendment) Bill 2024, and the South-East Development Commission Act (Amendment) Bill 2024.
Meanwhile, the South West and the North Central Development commission Bill 2024 respectively were earlier passed.
