House C'ttee Accuses RMAFC of Operating Illegal Revenue Formula

The House of Representatives Ad-hoc Committee investigating data collection processes, maintenance and usage by the Revenue Mobilization Allocation and Fiscal Commission (RMAFC) has declared the existing template for revenue sharing among the tiers of government as illegal.

Chairman of the committee, Mark Terseer Gbillah (APC, Benue) described the existing sharing formula as unconstitutional during an interactive session with the management of the commission led by its acting chairman, Mr. Shettima Umar Abba Gana.

He added that parliament will resist such development.

According to him, the existing revenue allocation formula in the country is illegal and unconstitutional as it has not been laid before the National Assembly for approval.

Abba Gana had told the lawmakers that the review of the sharing formula among all tiers of government was often effected periodically.

According to him, the sharing proposals are usually drawn and sent to the presidency, which will in turn forward same to the National Assembly for approval.

But, the committee demand to know if the presidency had transmitted the template to the National Assembly for vetting.

The acting chairman said though the agency had sent proposals to the presidency, he could not ascertain if same had been sent to the lawmakers for approval.

The committee said the formula couldn't have been sent to parliament without their knowledge and therefore, declared its operation as illegal.

Gbillah said: "What this means is that the current revenue allocation formula is illegal and unconstitutional because it is not backed by law.

"If it is true that you got it across to the president, then it should have been here by now.

"You should confirm to us who submitted the allocation formula proposal to the National Assembly, at what stage and time."

The committee further noted that the existing method of data collection for revenue sharing formula was archaic and outdated, assuring that it would do everything within its powers to make the commission's operations ICT-compliant.

Gbillah expressed concern that the RMAFC had no means of conducting independent research on each state of the federation with a viewing to arriving at an accurate template for revenue formula.

He told THISDAY that instead, the agency had all along relied on whatever information was provided by respective states.

He said the faulty template could have short-changed many states because the formula is not evidence-based.

He noted that Abba Gana couldn't defend the allegations, leading credence to the Committee's concerns.

A public hearing is expected to take place on the issue, according to the lawmaker.