The Committee on Local Government Autonomy, established by the Federal Government, has concluded its deliberations and signed a technical document affirming local government independence, which will soon be transmitted to President Bola Tinubu.
Hakeem Ambali, the National President of the National Union of Local Government Employees (NULGE), disclosed this development in an interview with Punch on Tuesday.
The Federal Government initially addressed local government autonomy in May, when the Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi, filed a lawsuit challenging state governors’ authority to control federal allocations meant for Local Government Areas (LGAs).
The suit also sought to prohibit governors from dissolving elected local councils and replacing them with caretaker committees.
“The constitution mandates a democratically elected local government system, leaving no room for alternate structures imposed by state governors,” the AGF argued in the suit, emphasizing the need for financial independence for LGAs.
On July 11, 2024, the Supreme Court delivered a landmark judgment affirming financial autonomy for the 774 LGAs nationwide.
The seven-member panel, led by Justice Garba Lawal, ruled that it was “illegal and unconstitutional for governors to manage or withhold local government funds,” declaring the governors’ control of these funds a violation of constitutional mandates.
The court further directed the Accountant-General of the Federation to ensure that LG allocations are paid directly to LGA accounts, marking a significant step towards financial autonomy.
Following this decision, the Federal Government, on August 20, instituted a 10-member inter-ministerial committee to ensure the implementation of the Supreme Court’s ruling.
The committee’s technical document, now finalized, will soon reach President Tinubu’s desk, outlining the practical steps for enforcing local government autonomy.
The committee members include the Minister of Finance & Coordinating Minister of the Economy, Wale Edun; Attorney-General of the Federation & Minister of Justice, Lateef Fagbemi SAN; Minister of Budget & Economic Planning, Abubakar Bagudu; Accountant-General of the Federation; Oluwatoyin Madein and the Governor of the Central Bank of Nigeria, Olayemi Cardoso.
Others are the Permanent Secretary, Federal Ministry of Finance, Mrs Lydia Jafiya, the Chairman, Revenue Mobilisation Allocation & Fiscal Commission, Mohammed Shehu, and representatives of state governors and the local governments.
The committee’s primary goal is to ensure that local governments are granted full autonomy, allowing them to function effectively without interference from state governments.
Speaking to Punch on Tuesday, Ambali said, “The committee has held its final meeting and we have signed the technical document which will be transmitted to Mr President so by November end. It is expected that states will receive their allocations from FAAC. Also, I can tell you that the President is eager to receive that document. The committee worked within the time frame that was provided.”