Government urged to develop a clear allocation formula for funds under PDM
Members of Parliament have urged government to develop a clear equitable allocation formula for funds under the Parish Development Model (PDM).
MPs want clear strategy that takes into consideration different demographic, geographical and socio-economic dynamics.
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According to Parliament’s Committee on Public Service and Local Government, the criteria for allocation of the funds is not based on equity and may not be helpful to some parishes.
"Government proposes to give parishes the same amount of money regardless of the variations in demographics and geographical size including unique needs of the various parishes and different poverty levels," reads the committee report in part.
The report was presented to the House by committee chairperson, Godfrey Onzima.
The report is premised on the implementation of the PDM in the financial year 2021/2022.
The committee found that there is selective focus on pillar three of PDM on financial inclusion through the parish revolving fund, at the expense of the six other pillars.
The report cited pillar five on mindset change that has not been prioritised, which it observed, would prepare citizens and clarify upcoming concerns before funds are disbursed.
Onzima said: "Government should develop a comprehensive policy framework that sets and links PDM objectives to specific implementation modalities and targeted outputs and outcomes."
Onzima said the committee received submissions from chief administrative officers of Amuru, Hoima, Kamuli, Gomba and Gulu.
He said that the alleged case of misuse of PDM funds by district local governments was an isolated case in Amuru district.
Onzima said Amuru District Local Government accounting officer did not follow instructions of the secretary to the treasury, to repurpose Shs75.1 million meant for gadgets and tools towards the Parish Revolving Fund.
The State Minister for Finance, Amos Lugoloobi, said the parish development management information system has been designed to track daily transactions in the PDM SACCOs.
"If the system is effectively used, the tool will provide full accountability and traceability for the Parish Revolving Funds," Lugoloobi said.
