James Sowole in Abeokuta
The Ogun State government has warned local government administrators to desist from collecting unwholesome revenues from investors operating in their local government areas under the guise of raising Internally Generated Revenue (IGR).
The Commissioner for Finance and Chief Economic Adviser to the Governor, Mr. Dapo Okubadejo, gave the warning, at a meeting with the chairmen and representatives of the 20 Local Government councils, held in Abeokuta.
Okubadejo, explained that such practice promotes unhealthy investor relations and amounts, in some cases to double taxation which he said affects the State’s Ease of Doing Business index ranking.
The commissioner specifically, stated that revenue items such as tenement rates and others have been harmonised and taken care of by the Land Use and Amenities Charge (LUAC
However, the commissioner, called for the cooperation and support of the third tier of government in a bid to shore up the IGR of the state towards achieving its revenue target for the year.
This was just as the state government reiterated that it would not undermine the autonomy of the local government administration.
Okubadejo, who noted that the monthly allocation from the federal government to local governments in the state, was grossly insufficient to meet their financial obligations, disclosed that the Governor Dapo Abiodun-led administration has always augmented the allocation every month, for even spread of dividends of democracy to all the nooks and crannies of the state.
He said, “You cannot achieve world-class governance without recognising the powers and financial autonomy of the local government as enshrined in our constitution. That is why we introduced the monthly Joint Account Allocation Committee meeting to discuss the financial status and relationship between the state and local government. This emphasises the transparency and accountability of this administration.
“It is also to show to all our local government stakeholders that the money that is coming from the Federal Government in their favour is not spent by the state government at all.”
Also speaking at the meeting, the Commissioner for Local Government and Chieftaincy Affairs, Hon. Afolabi Afuape, lauded the state government for organising the meeting, saying such an interface would further engender a symbiotic relationship between the two arms of government.
