Tension is mounting in Ondo State as council chairmen raise alarm over alleged diversion and control of their monthly allocations by the state government.
Despite the Supreme Court’s landmark July 2024 ruling granting financial autonomy to local governments, the 18 elected council bosses in Ondo State insist they still lack control over their funds.
According to findings, the federal government continues to route allocations into the controversial state-local government joint accounts, rather than directly into council treasuries.
A council chairman, who spoke under condition of anonymity, alleged that they are only permitted to retain ₦4 million monthly, while the bulk of the allocations is handled by the state.
“For instance, in the last FAAC for June, some local governments received ₦644 million, ₦590 million, and ₦405 million. You can verify this on BudgIT. Yet, after deductions and directives, we are left with just ₦4 million to run our councils,” he lamented.
Another chairman explained that the state justifies its control on grounds of managing responsibilities such as primary healthcare, basic education, and funding of the Amotekun security outfit.
The chairmen, however, expressed frustration, saying they have spent six months in office without executing any tangible developmental project, blaming the restrictions on funds.
Meanwhile, the Association for Good Governance Advocacy (AGGA) has urged President Bola Tinubu to enforce the Supreme Court’s ruling and ensure direct disbursement of funds to councils.
In a statement signed by its Coordinator, Mrs. Folakemi Benson, AGGA noted that except Lagos State, “no other state in Nigeria allows local governments to enjoy full financial autonomy,” describing the situation as a major setback to grassroots development.
The group stated:
“Local governments are meant to be the closest tier of governance to the people, delivering essential services like roads, healthcare, education, and sanitation. However, without financial autonomy, they remain crippled.”
AGGA urged the president to “stop state governors from mismanaging council funds” and allow grassroots leaders to deliver on the Renewed Hope Agenda.
COMMISSIONER DENIES ALLEGATIONS
Reacting to the allegations, the Ondo State Commissioner for Local Government and Chieftaincy Affairs, Amidu Takuro, dismissed the claims as false and politically motivated.
He said:
“That is not true. Maybe they can come out openly to speak, because there is no secrecy in this system. The money is in their accounts, and anybody can check. Whatever we are implementing is through their budget provision.”
On the alleged ₦4 million ceiling for councils, Takuro stressed:
“That is not true. That is not true. That is not true. I will check my record, but that claim is unfounded.”
He explained that deductions from allocations are statutory, covering salaries of teachers, council workers, and pensioners through agencies such as SUBEB, the Local Government Service Commission, and the Pension Board.
Takuro highlighted government’s efforts to clear arrears, revealing that gratuities from 2010 to 2013 had been settled, amounting to about ₦3.8 billion.
He added:
“Our vision is to ensure effective and efficient local government administration in Ondo State. Local governments are the closest to the people, and we are committed to making them responsible and responsive.”
