Capitol Hill, Monrovia – FrontPageAfrica has gathered that the 54th Legislature will extend its second sitting for two weeks to finalize the scrutiny and approval of the draft national budget for fiscal year 2019/2020.
Report by Gerald C. Koinyeneh, [email protected]
Sources say the lawmakers are also expected to pass into law several “priority bills” submitted by President George Weah at a recent retreat held at the Farmington Hotel in Margibi County.
There have been unconfirmed reports that the Legislature may either extend the 2nd sitting by two weeks – September 1 – 15 – or based on a request by the President as stipulated in the Constitution.
Article 32 (b) of the 1986 Constitution provides that the President shall, on his own initiative or upon receipt of a certificate signed by at least one-fourth of the total membership of each House, and by proclamation, extend a Regular Session of the Legislature beyond the date of adjournment or call a Special or Extraordinary Session of that Body to discuss or act upon matters of national emergency and concern.
The imminent extension comes in the wake of Finance & Development Planning Minister Samuel Tweah’s pronouncement that the government faces an imminent shut down if the Legislature does not authorized the President to continue spending within the unapproved 2019/2020 budget.
Minister Tweah appeared before the plenary of the House of Representatives on Thursday, August 29 and said the government has reached its spending limit.
“I have informed the President, as Minister of Finance that we have reached our limit of spending and we do not have the authority to spend more than 1/12th before the budget is passed,” Tweah said.
“And the President is about to send a communication to the Speaker to authorize further approval for expending public fund and collecting revenues. And this is consistent with section 17 of the Public Financial Management law.”
Minister Tweah said the total money spent from July 1, 2019 is US$47.5 million, amounting to 1/12th of the 2019/2020 budget of US$570 million.
Section 17 of the PFM Act of 2009 states: “In the case where the Legislature is unable to approve the National Budget before the start of the fiscal year, the Minister is authorized to collect revenues and approve expenditures, in line with the proposed budget, up to one twelfth (1/12) of the budget of the previous fiscal year. Expenditure of said (1/12th) by the Minister shall be included in the subsequent financial outturn.
If the budget is not passed and the legislature does not approved additional spending, Tweah warned that the government will shut down.
Said min. Tweah: “I have the legal protection under the PFM law section 17 to do that. It is on that authority that we began doing so. We’ve reached the point where we no longer have that authority again because this is for one time. Only you [the Legislature] can grant authority to do another 1/12 without that authority the government will shut down. We will not authorize a dime for gas to hospital.”
Minister Tweah’s Defense
While on the witness stand before the plenary of the House, Tweah admitted that the Executive has already begun the implementation of the salary harmonization measure.
Under the measure, he revealed that out of 79,000 government’s employees, 9,000 experienced salary cut, 15,000 pay increased and 55,000 were untouched.
He argued that the harmonization is necessary in order to bring about equity to all government workers and to reduce the wage bill, which he said is a precondition to benefiting from US$60 million from development partners including the International Monetary Fund.
“The way money goes into the consolidated account, if you doing other projects that mean you are going to put pressure on salary. So, that share of salary is so large that the government can’t do anything that much.
“So, we need to fix it. And that’s what this whole harmonization is about. It’s about bringing equity to all government’s workers – similar pay for similar skills; it’s just fairness [and] harmonization achieves that goal.”
He revealed that there is currently a spending gap of US$19 million in the current draft budget, and if that money has to be raised, the harmonization is necessary.
“The implication of harmonization is that if we are not able to achieve this, as a precondition for the program, we may miss the program, and the risk of missing the program is that there are US$60 million funding from partners that we are programing predicated on the IMF program.”
Anger, Disagreements on Capitol Hill
Meanwhile, FrontPageAfrica has observed that several lawmakers including members of the ruling Coalition for Democratic Change (CDC) are unhappy with salary harmonization scheme.
Rep. Richard Koon (Montserrado District # 11), speaking in plenary during Tweah’s appearance, said rolling out the harmonization scheme without the Legislature approval was “wrong and illegal”.
“If you are paying [based] on harmonization then there is a case because it is a new program. It is not on the previous budget. We agree that you can spend 1/12th of the previous budget,” Rep koon said.
“Harmonization is a new program and has not been approved yet. So, you cannot pay on the basis of a program that has not been approved. So if you say you pay on harmonization that means we still have serious issues with that.”
Rep. Rustonlyn Suacoco Dennis of Montserrado Co. District #4
Earlier, Rep. Rustonlyn Suacoco Dennis (Montserrado Co. District #4) termed the harmonization scheme as “disrespectful and reckless”.
She added that it was a shame for the government to cut civil servants’ salary instead of increment despite the lingering economic hardship.
“I was shocked to know that he has already implemented the harmonization salary without the consent of the Legislature. And I think it is a complete disrespect to the Legislature. It is reckless and does not reference the rule of law,” she said.
For his part, Rep. Larry Younquoi (Nimba Co. District #8) accused Minister Tweah of arrogating the powers of the Legislature onto the Executive.
“You are reducing the purchasing power of the country. The people’s Representatives are the ones that need to determine the reduction or addition and gauge the impact it will have on the country before allowing it to happen,” said Younqoui.
“Any attempt for you to do it on your won, you have arrogated the role of the Legislature unto yourself – the Executive. And that constitutes either second degree felony.”