MPs Going Into Elections Without Acquittal Reports

 

MPs FAIL TO ACCOUNT 2021 PSIP, DSIP 

 

The Chamber of the National Parliament.

With elections two weeks away, every Member of Parliament has been busy.

Busy tying up loose ends, finishing up, and cleaning out their offices, most, maybe for the last time.

But for many, their preparations to defend their seats and seek re-elections may be more challenging from within their offices than from their challengers.

It seems that in their haste to walk out of Waigani for their home electorates, they have left a paper trail to the DIRD office.

DIRD stands for Department of Implementation and Rural Development. 

It doesn't read so well for many because the DIRD deals with public funds in the form of (PSIP) provincial service Improvement Program funding and (DSIP) District Services Improvement Program.

Imbonggu MP Pila Niniga happily applauding the opening of Imbonggu police station which was funded under his DSIP. The post was opened by Police Commissioner David Manning.

According to DIRD secretary Aihi Vaki, MPs have failed to acquit their 2021 PSIP and DSIP funds.

This is against the rule of law that governs the use of this public funds. It goes against good governance practices and accountability and the integrity of public office.

DSIP as we all know is K10m per year per district. Although some districts, mainly those whose MPs are in Opposition, receive less than what is expected. 

Nevertheless, they are still expected to acquit whatever public funds they receive. 

Governors receive PNG K5m for each district in their provinces. In the case of Morobe, the would be 9 districts x K5m equals to K45M per year.

Manus would be the lowest, K5m, although, provinces rarely receive the maximum amount each year, unless of course, you remain a loyal government supporter.

Opposition MPs. Their DSIP comes in dribs and drabs.

According to DIRD acting secretary Aihi Vaki more than 90 percent of the current 111 Members of Parliament (MP) are going into elections in four weeks time without submitting their 2021 Service Improvement Program (SIP) grants acquittal report.

The Department revealed this when calling on the MPs to submit their 2017 to 2021 PSIP and DSIP Acquittal Reports before the Issue of Writs next month.

Mr Vaki said yesterday that all outstanding acquittal reports should be submitted before the writs are issued.

DIRD is mandated to co-ordinate, supervise, monitor and manage programs and grants under the DSIP including the Constitutional Grants and all MPs should submit all outstanding 2017-2021 SIP acquittal reports.

He said some provinces and districts had managed to furnish their reports while many were yet to provide as the country prepares for the upcoming National General Elections.

DIRD acting secretary Aihi Vaki.

“The chairpersons of the District Development Authorities and Joint Provincial and Budget Priority Committees can be partly blamed for the delays, however, total control mechanism in-terms of SIP implementation, assets and records management responsibility rests with the provincial and district administrators and district finance managers as the trusted custodians of the government systems and procedures at the sub-national levels,” he said.

“The grave concern is that when the current Members of Parliament loses the election and new MPs elected then the question is who takes the total responsibility and accountability of SIP expenditure reports.

“When new MPs are sworn in and in most cases the administrators and finance managers are displaced so as the SIP records. This is one of the policy challenges in the 5-year political cycle.”

Mr Vaki also highlighted that violating of the Administrative Guidelines and Financial Instruction by not complying to them as guidelines in management of these development funds as per the Administrative Guidelines (AG) under Section 4.5 would result in denial of funds for the succeeding year.

He said; “Disbursement of SIP funds shall be strictly upon the receipt of previous year’s expenditure on physical implementation & progressive status and financial reports (acquittals) and availability of funds.”

Prime Minister James Marape.

Mr Vaki said it was also stated under Section 4.6 that SIP funds shall not be disbursed by DIRD to provinces, districts, LLGs and wards unless the preceding year’s reports were submitted, appraised and certified by SIP Interagency Clearance Committee (SCC) which is made up of DIRD, Department of Finance, Department of National Planning and Monitoring and Department of Treasury. 

The Secretary said MPs who failed to comply with Administrative Guidelines and Financial Instructions for expenditure of the PSIP and DSIP funds shall be dealt with in accordance with the provisions of the Leadership Code (refer to section 27 of the Constitution on the Leadership Code of the Ombudsman Commission and other relevant laws as applicable).

Further, under section 10.2 of the AG and Financial Instructions it says that; “In the event of non-compliance of procurement procedures, accounting and reporting requirements as per section 102, 112 and 113 of Public Finance Management Act (PFMA) 1995 and Monitoring & Responsibility Act 2016, the Secretary of Finance in consultation with the Secretary of DIRD and relevant agencies, shall suspend section 32 powers of the Provincial Administrator, District Administrator or CEO of DDA and LLG manager and other delegated officers, for a particular province(s), district(s) and LLG(s).

“SIP is a rolling program therefore flexibility clause is stipulated in the guidelines to allowing acquittals to be done with no hurry, only when funds are received and are fully exhausted.”

He further added that some provinces and districts faced challenges in terms of logistics due to geographical isolation and remoteness, however, these should not be an excuse in implementing SIP. 

Locals build Manam High School which was funded under DSIP and LLG funding in Madang Province.