The Nigerian Senate has called on the Federal Government to reconstitute the Federation Account Allocation Committee (FAAC) to include representatives from Local Government Councils and Area Councils of the Federal Capital Territory (FCT).
This resolution followed a motion presented by Senator Isah Jibrin (APC-Kogi) on behalf of Deputy Senate President Jibrin Barau, during plenary on Tuesday. The motion was titled: “The urgent need to alter the composition of FAAC by including representatives of Local Governments and Area Councils.”
The Senate highlighted that the 1999 Constitution recognizes Local Government Councils as the third tier of government and therefore, they should have a direct role in decisions involving the allocation of funds from the Federation Account.
Senator Jibrin cited a recent Supreme Court ruling which clarified that states do not have ownership over funds meant for local governments and that such funds should be paid directly to them.
“The Supreme Court has confirmed that paying LGCs through states has failed and that they should receive their allocations directly,” he said.
He also noted that the current composition of FAAC, based on the 1981 Allocation of Revenue Act, only includes representatives of the federal and state governments, which contradicts the Constitution’s provisions.
The Senate urged that each state nominate a representative from its Local Government Councils to ensure fair and direct participation in FAAC, aligning with the Supreme Court’s 2024 ruling.
In a related development, the Senate also passed for second reading a bill to establish the Federal University of Technology and Vocational Studies, Yaba, Lagos. The bill, sponsored by Senate Leader Opeyemi Bamidele, has been referred to the Senate Committee on Tertiary Institutions and TETFund for further action.
