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Local Government Service (LGS) REPUBLIC OF GHANA MEDIUM TERM EXPENDITURE FRAMEWORK (MTEF) FOR 2018 - 2021 PROGRAMME BASED BUDGET ESTIMATES FOR 2018 local government service (LGS) For copies of the LGS MTEF PBB Estimates, please contact the Public Relations Office of the Ministry: Ministry of Finance Public Relations Office New Building, Ground Floor, Room 001/ 003 P. O. Box MB 40, Accra – Ghana The LGS MTEF PBB Estimate for 2018 is also available on the internet at: www.mofep.gov.gh Local Government Service Page ii Table of Contents PART A: STRATEGIC OVERVIEW OF THE OFFICE OF THE HEAD OF LOCAL GOVERNMENT SERVICE (OHLGS) .................................................. 4 1. NMTDPF Policy Objectives............................................................................. 4 2. Goal................................................................................................................... 4 3. Core Functions .................................................................................................. 4 4. Policy Outcome Indicators and Targets ........................................................... 5 5. Expenditure Trends........................................................................................... 6 6. Key Achievements for 2017 ............................................................................. 7 PART B: BUDGET PROGRAMME SUMMARY ............................................. 10 PROGRAMME 1: MANAGEMENT AND ADMINISTRATION ........................ 10 PROGRAMME 2: DECENTRALIZATION ........................................................... 20 PROGRAMME 3: REGIONAL SERVICES .......................................................... 23 Local Government Service Page iii 2.6.1 Budget by Chart of Account 6.1 - Programme, Sub-Programme and Natural Account Summary . Entity: 004 - Local Government Service Funding: All Source of Funding Year: 2018|Currency: GH Cedi Version 1 2018 2019 2020 Programmes - Local Government Services(LGS) 104,219,064 111,856,544 111,908,044 00401 - Management and Administration 27,356,873 31,995,336 31,995,336 00401001 - Finance and Administration 26,836,873 31,475,336 31,475,336 21 - Compensation of employees [GFS] 23,556,873 23,556,873 23,556,873 22 - Use of goods and services 1,280,000 2,216,002 2,216,002 31 - Non financial assets 2,000,000 5,702,461 5,702,461 00401002- Human Resource Management 510,000 510,000 510,000 22 - Use of goods and services 510,000 510,000 510,000 00401003- Internal Audit 10,000 10,000 10,000 22 - Use of goods and services 10,000 10,000 10,000 00402 - Decentralisation 75,345,715 78,184,732 78,236,233 00402000- Decentralization 75,345,715 78,184,732 78,236,233 21 - Compensation of employees [GFS] 52,522,043 52,522,043 52,522,043 22 - Use of goods and services 22,823,672 22,863,917 22,915,418 31 - Non financial assets 2,798,772 2,798,772 00403 - P3. Regional Services 1,516,475 1,676,475 1,676,475 00403001- SP3.1 Regional Administration and Coordination 963,000 963,000 963,000 22 - Use of goods and services 963,000 963,000 963,000 00403002- SP3.2 Budgeting, Monitoring and Evaluation 83,480 83,480 83,480 22 - Use of goods and services 83,480 83,480 83,480 00403003- SP3.3 Decentralized Regional Coordination and 469,995 629,995 629,995 Management 22 - Use of goods and services 469,995 469,995 469,995 Page 1 | 2 GIFMIS Budget Module Dec 07, 2017 time:3:45:11 PM 2.6.1 Budget by Chart of Account 6.1 - Programme, Sub-Programme and Natural Account Summary . Entity: 004 - Local Government Service Funding: All Source of Funding Year: 2018|Currency: GH Cedi Version 1 2018 2019 2020 31 - Non financial assets 160,000 160,000 Page 2 | 2 GIFMIS Budget Module Dec 07, 2017 time:3:45:11 PM PART A: STRATEGIC OVERVIEW OF THE OFFICE OF THE HEAD OF LOCAL GOVERNMENT SERVICE (OHLGS) 1. NMTDPF Policy Objectives The NMTDPF contains Five (5) Policy Objectives that are relevant to the Local Government Service for the 2018-2021 fiscal years. These are as follows: Ensure effective implementation of the decentralization policy and programmes, Strengthen policy formulation, development planning and M&E processes for equitable and balanced spatial and socioeconomic development, Improve the policy environment and institutional capacity for effective human capital development, and employment policy management, Improve availability of quality data for policy formulation, analysis and decision- making, and Enhance labour productivity across all sectors 2. Goal To achieve the status of decentralized public administrative system with capacity to support the initiation and implementation of policies and plans for accelerated economic growth, poverty reduction and improved quality of life of the citizenry 3. Core Functions The core functions of the Office of the Head of Local Government Service are to: Provide technical assistance to RCCs and MMDAs to enable them to effectively perform their functions; Conduct organizational and job analysis for RCCs and MMDAs; Conduct management audits for RCCs and MMDAs in order to improve the overall management of the Service; Design and co-ordinate management systems and processes for RCCs and MMDAs; Assist the RCCs and MMDAs in the performance of their functions under Act 462, Act 480, and any other enactment, etc. LOCAL GOVERNMENT SERVICE 4 4. Policy Outcome Indicators and Targets Baseline Latest status Target Outcome Unit of Indicator Measurement Description Year Value Year Value Year Value Policies, % of Programmes and performance 2016 100% (235) 2017 NIL 2020 100% (235) employment agreement issues integrated implemented. and implemented at all levels. Metro Metro= 15/16 Proportion of =9/16 Metro = NIL Municipal=11/ departments 2016 Mun. =6/13 2017 Mun. = NIL 2020 13 District= integrated (by Dist. District= NIL 10/11 types) =4/11 % of Prof=80% professionals (220) Prof.=NIL Prof=60% (60 Management as against non- 2016 2017 SP =NIL 2020 SP =40% (40) and productivity professionals SP=20% Total = NIL Total=500 levels improved recruited (55) Total = 275 Level of compliance with financial 2016 95% 2017 95% 2020 98% accounting procedures % of staff (cumulative) equipped with skills in Local 2016 10% 2017 12% 2020 30% Capacity of staff Government at all levels Administratio improved. n Proportion of class (cumulative) equipped with 2016 15/28 2017 17/28 2020 26/28 professional skills LOCAL GOVERNMENT SERVICE 5 5. Expenditure Trends The Office of the Head of Local Government Service was allocated goods & services budget of GH¢1,050,000.00 and GH¢ 1,300,000.00 for 2016 and 2017 financial years respectively. The total expenditure for 2016 as at the end of the year stood at GH¢ 405,049.88 leaving a difference of GH¢ 644,950.12 representing 61.42%. However, the amount expended as at 30th June, 2016 was GH¢ 187,508.79 with a difference of GH¢ 862491.21 which represents 82.14%. The details of the 2016 GoG budget and releases are indicated below. BUDGET ESTIMATES 2016 1. GOODS & SERVICES = GH¢ 1,050,000.00 2. ASSETS = GH¢ 0.00 TOTAL OF (1 & 2) = GH¢ 1,050,000.00 ACTUAL RELEASES AS AT 30TH JUNE, 2016 1. GOODS & SERVICES = GH¢ 181,000.00 2. ASSETS = 0.00 TOTAL OF (1 & 2) = GH¢ 181,000.00 For the same period in 2017, the details are indicated below. BUDGET ESTIMATES 2017 3. GOODS & SERVICES = GH¢ 1,300,000.00 4. ASSETS = GH¢ 2,000,000.00 TOTAL OF (3 & 4) = GH¢ 3,300,000.00 RELEASES ACTUAL AS AT 30TH JUNE, 2017 3. GOODS & SERVICES = GH¢ 120,865.50 4. ASSETS = GH¢ 0.00 TOTAL OF (3 & 4) = GH¢ 120,865.50 The analysis above shows an increase in the budgeted ceilings for 2017. The difference between the 2016 and 2017 budget ceiling stood at GH¢250,000.00 which represents 23% increase. Although there was an increase in the budget ceiling for year 2017, the expenditure incurred as at 30th June, 2017 was against 3rd quarter 2016 releases. With respect to compensation of employees, in 2016 out of budgeted amount of GH¢ 1,813,810.00 which includes compensation related allowances, an amount of GH¢ 1,333,315.27 was expended (excluding compensation related allowances). In 2017, the total budget for compensation is GH¢ 1,851,825.00 which also includes compensation related allowances. Expenditure as at 30th June 2017, stood at GH¢ 840,254.34 representing 46% of the compensation budget. LOCAL GOVERNMENT SERVICE 6 In the medium term the Service will focus on improving infrastructural development, train existing and new staff at all levels to improve service delivery. 6. Key Achievements for 2017 The following are the achievements for the Service as at June, 2015 through the implementation of projects and programme; A management retreat was organized to enable the new Head of Service meet Regional Coordinating Directors and Senior Management of the OHLGS to review the implementation of 2016 activities at all levels of the Service. This was followed by familiarization tours to all the 10 regions where meetings were organised and discussions held with heads of departments and units of RCCs and MMDAs. It also offered the new head the opportunity to appreciate the challenges of administrative decentralization. The OHLGS reviewed the key areas and indicators of the Performance Management Contracts (PMC) for OHLGS, RCCs and MMDAs to inform the implementation of the 2018 contracts. Meanwhile, monitoring and verification of the implementation of the 2016 PMC for the 10 RCCs and 216 MMDAs have been undertaken and reports submitted. The 2016 Annual Evaluation reports on the Performance Management Contracts are in the process of being published. In March 2017, the service of a Transaction Advisor was procured for the construction of the OHLGS office complex. The contract was signed and the consultant has since submitted an inception report. LGS – HRMIS data from the three levels was consolidated and refresher training was organised for IT staff in all the 10 RCCs and 216 MMDAs. Current staffing list for the Local Government Service was updated with data from MMDAs and RCCs. The Service continued the setting up of departments and the development of operational manual completed for the Waste Management Department and those of Environmental Health Sanitation Unit (EHSU) and the Urban Roads Department (URD) are in draft.
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