DACF To Publish Shares of Each Assembly

The Administrator of the District Assemblies Common Fund (DACF), Irene Naa Torshie-Addo has disclosed that his outfit will soon publish details of how much each Metropolitan, Municipal and District Assembly (MMDA) gets as their share of the Common Fund especially for the upkeep of Persons with Disability (PWDs).

According to her, PWDs across the country have variously complained that assemblies do not release their monies to them hence the decision to empower them economically.

She was however quick to add that there is now a paradigm shift from just sharing physical cash to the PWDs to real economic empowerment.

She disclosed that her outfit is currently undertaking a headcount of all Persons with Disability in the various Districts across the country with their specific economic empowerment needs and once that is complete, they will be resourced to become economically self dependent.

This she said will resolve the challenge of just sharing money which is sometimes used for in sustaining ventures by the beneficiaries.

Speaking to members of the Parliamentary Press Corps (PPC) just after the House approves the Committee of the Whole report the Ghc1.8 billion proposed Formula for the Sharing of the District Assemblies’ Common Fund for the year 2018, Madam Naa Torshie-Addo decried the phenomenon where people who are over sixty years of age still register themselves as PWDs.

She explained that it is only PWDs who falls within the age bracket of 18 and 60 years who qualify to register for the exercise.

The former Member of Parliament for Team West advised PWDs who are above sixty to register under the Livelihood Empowerment Against Poverty (LEAP) programme for support.

The Common Fund Administrator who reiterated President Akufo-Addo’s commitment to the welfare of the less privileged members in the society said the new paradigm shift is aimed at empowering beneficiary PWDs through the provision of startup tools, equipment among others in their areas of economic interest to enable them to become self reliant.

$20 m District Development Fund

The District Assembly Common Fund has set aside US$20m in this year’s Formula for the management and disbursement of the District Development Fund (DDF) as counterpart funding.

The report of the Committee of the Whole noted that, for 2018, DACF is expected to manage and disburse the DDF, the Donor Partner Support to the Metropolitan Municipal and District Assemblies which in the past, the Ministry of Finance either delayed or was unable to make funds available for the counterpart funding support and this stalled disbursement of funds from the donors to the DDF.

The decision to allow the DACF manage and disburse the DDF according to the report is part of the Responsiveness Factor component of the DACF and to strengthen the performance based grant for improved service delivery as well as incorporate the achievements of the DDF into the DACF Responsiveness Factor.

Contributing to the motion for the adoption on the Proposed Formula for the Sharing of the District Assemblies’ Common Fund for the year, the Administrator for the DACF, told Parliament that the main strategy is to use the District Performance Assessment Tool (DPAT), which is a common assessment tool to evaluate all MMDAs and the result used to allocate and distribute the DACF RFG due to all the Assemblies.

The Administrator stated that managing the DDF will help improve disbursement of the DDF as funds will be made available as counterpart funding support.

The annual allocation to the DACF in 2018 as contained in the Appropriation (No.2) Act, 2017 (Act 951) is GH₵1.8billion. The total allocation was based on 5percent of projected national tax revenue for 2018.

In developing the Formula, the Administrator was guided by the ‘Basic Needs’ approach to development with the following indicators: Health Service, Education Service, Water Coverage and Tarred Roads Coverage.

Under this approach, MMDAs with more facilities/services receive less in order to bridge the development gap between the Assemblies.

The proposed Formula also took into account other factors such as: Responsiveness –

improvement in revenue generation and collection, Budget implementation status; Service Pressure and Equality.

A total of 38 new Assemblies have been established bringing the total number of MMDAs to benefit from the Fund in 2018 to 254, the report captured.

The Administrator indicated that the new Assemblies will have to depend on the data of their parent Assemblies, for their share of the Fund.

Capping of Earmarked Funds

The report of the ‘Committee of the Whole’ on the Proposed Formula for the Sharing of the District Assemblies’ Common Fund for the year 2018, also indicated that the capping of

earmarked funds as provided for by the Earmarked Funds Capping and Realignment Act,2017 (Act 947) has drastically reduced funds that should accrue to the DACF.

For instance prior to the enactment of Act 947, 7.5percent of total tax revenue was earmarked for the DACF. This implies that the estimated amount for the Fund for the year 2018 will have been about 2.71billion (based on 7.5percent of total tax revenue for 2018).

However, due to the provisions of Act 947 which capped the total allocation to the Fund at 5percent, the total amount due the Fund for 2018 is GH₵1.8billion.

It was noted that having capped the amount due the Fund to 5percent, the Budget Statement of

the Government for 2018 Fiscal Year made further allocations from the 5percent due the Fund to finance other Projects and Programmes.

This implied that total amount available to the Administrator to disburse to the Assemblies is GH₵788m.

The Committee was of the view that the amount left for the Fund to disburse to the various MMDAs is woefully inadequate.

The shortfall will seriously impair the planned activities of the MMDAs who needed these funds to complete the numerous projects being undertaken by the Assemblies.

By: Christian Kpesese/ thePublisher