ET Mensah cautions assemblies against privatization of revenue collection

Mr Enoch Teye Mensah, Greater Accra Regional representative on the Council of State has cautioned District Assemblies in the Region to desist from outsourcing its revenue collection to private institutions.

Speaking at the Tema Metropolitan Assembly’s (TMA) first ordinary meeting, Mr E.T. Mensah who was once an Accra Metropolitan Chief Executive said the practice of privatizing revenue collection in the districts must stop.

“It is dangerous to allow private collectors to collect revenue on behalf of the Assembly,” he stressed.

The TMA first ordinary meeting was to consider its authority report for ratification and implementation.

It was in accordance with the provisions of the Local Government Act 936 of 2016, which enjoins District Assemblies to hold ordinary assembly meetings each quarter of the year.

Mr E. T. Mensah said staff of the assembly must rather be well equipped to use innovative means to collect the needed revenue for the Assembly to use for its developmental projects instead of privatizing it.

He stated that an Assembly such as TMA had no excuse to complain of not collecting enough revenue as there were many ways it could increase its internally generated fund by using the right methods.

“There is no way TMA should complain of poverty and inadequate revenue collection,” he added, and advised assembly members to pass a resolution that would compel institutions such as the Ghana Ports and Harbours Authority to pay business operation rates and other bills.

Meanwhile, the TMA in the year 2020 recorded a total of GHC19, 769,309.17 as its Internally Generated Funds (IGF) representing 101.12 per cent over the estimated budget of GHC19, 550,000.00.

Mr Felix Mensah Nii Anang-La, Tema Metropolitan Chief Executive in a situational report informed the assembly members that the TMA’s total receipts stood at GHC33, 420,796.81.

He added that its Inter-governmental transfers for the period was GHC13,651,487.64 constituting 55.85 per cent of the grant estimate of GHC24,444,900.25.

The Assembly’s expenditure for the year 2020, he noted, stood at GHC 34,145,228.55 representing 77.61 per cent over its projected estimate of GHC43, 994,900.25.

The MCE said his outfit was able to implement 98 per cent of the planned activities in its Revenue Improvement Action Plan (RIAP) and attributed the remaining two per cent to delays in the distribution of bills to ratepayers.

Mr Anang-La stated that the period under review, the Assembly organized 16 vigorous revenue mop-up exercises to collect revenues due it.

The ordinary session was attended by Assembly members who deliberated on the recommendations in the authority report.

The Authority Report was generated from the various working sub-committees, when the recommendations are ratified by the house, which is the highest decision-making body of the Assembly, staff then see to its implementations.

The session was attended by Heads of Departments; Mr Yves Nii Noye Hansen, Member of Parliament for Tema Central, Mr Isaac Ashai Odamtten, MP for Tema East among others.

There were other recommendations covering justice and security, environmental health, social development services, ports and harbours development, finance and administration, revenue mobilization and agriculture among others.