KINGSTON, Jamaica — Letters of accountability have been issued to the CEOs of all municipal corporations as accounting officers, consistent with the Local Government (Financing and Financial Management) Act, Minister of Local Government and Community Development Desmond McKenzie says.

Making his contribution to the 2020/2021 Sectoral Debate yesterday, McKenzie said some of the local authorities have been in the news recently due to issues surrounding corruption and lack of accountability, and the administration will never support corruption.

“It is important that we highlight the issues but we cannot be selective when we talk about corruption. If the fight against corruption is to mean anything, then there must be honesty when we speak,” McKenzie said.

He said it was recognised that there are gaps in the formal processes of accountability, and tangible efforts are being made to eliminate them, hence the issuing of the letters.

He added that to further strengthen the accountability structures of the municipal corporations, “we sought the support of the Ministry of Finance and the Public Service to establish an audit committee in each of them”.

“This will satisfy the statutory requirement that each local authority should have this committee, in keeping with the Financial Administration and Audit Act. The local authorities have also been instructed to complete all outstanding financial statements by August 31, 2020,” McKenzie said.

He said the ministry is receiving technical assistance for the local authorities to implement accrual accounting based on the International Public Sector Accounting Standard, and this is being done through a grant-funded project by the European Union under the Technical Cooperation Facility.

The main objectives include to eliminate arrears in the local authorities’ financial statements and review the organisational structures of their finance divisions; develop draft procedural manuals and other standard operational guidelines; identify and value the land assets of the local authorities, as well as other assets they possess; and implement a new enterprise resource planning accounting software.