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Thursday, April 15, 2010

Senate, House Disagree On FCT Budget

 There is disagreement between the Senate and the House of Representatives over the appropriate expenditure profile for the 2010 budget for the Federal Capital Territory (FCT) Abuja.

The development has brought fears that the budget may stay longer in the National Assembly resulting in apprehensions that release of funds to contractors for project might be held up.

The disagreement is on the actual size of the capital budget and overhead cost in the budget.

While the Senate is working on a N347.8 billion budget with a capital vote of N278.193 billion for developmental projects, the House has already passed a higher N362.3 billion with an elevated capital vote of N293.206 billion.

Also the House has passed a total of N39.590 billion for personnel cost and N29.528 billion for overheads while the Senate is considering a total of N36.183 billion for personnel and N33.427 billion for overheads.

If Senate goes ahead to pass the budget proposal before it, the final passage of the appropriation for the FCT may be delayed as both chambers will have to go for a joint conference committee to harmonize the budget.

There are fears that the process might be delayed as indications are rife that the House may not bulge on its position on its version which made more provision for capital development than that of the Senate.

The House is said to be uncomfortable with the N33.4 billion overhead provision preferred by the Senate as against its N29.5 billion.

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