Minister to review use of Equalisation Fund
LOCAL Government and Community Development Minister Desmond McKenzie says he will be reviewing the use of the Equalisation Fund by the parish vouncils.
The minister explained that this will be done to find creative ways to maximise the use of the money.
The Equalisation Fund was created in 1997 and is financed by 10 per cent of the money collected islandwide from property taxes. All 13 parish councils as well as the Portmore Municipal Council are allocated a percentage of the fund to carry out critical infrastructural work in their various divisions. McKenzie, who was speaking at a recent meeting with secretary managers of the councils at the Hagley Park Road offices of the ministry, said there has to be a change in how the fund is utilised, and he is determined to lead from the front in the exercise.
“It can’t be just all about cleaning gullies, drains and chopping trees. There must be meaningful ways in which we can use the fund that will contribute to your revenue… building something that you can either rent or do something with it that can give a fair return,” he told the council managers.
The minister stressed that it was incumbent on them to take a “new look”, as the dedicated source of revenue that is received should assist in the generation of more revenue. That is the only way the councils will be able to meet their obligations, he added.
“We still owe the JPS $3.7 billion for street lights and garbage can’t be collected in an effective way, because we don’t have the trucks. Where we can improve our capacity to earn revenue we have to do it,” he emphasised.
Parish councils, the minister said, will have to demonstrate their ability to survive in this new dispensation of governance and the delivery of service to the people.