Local Government Minister Dr Surujrattan Rambachan has said out of a figure of $198 million given to the Port-of-Spain City Corporation for recurrent expenditure (refers mainly to expenditure on operations, wages and salaries) 65 per cent was used to pay personnel and 21 per cent went towards goods and services.The minister made the disclosure at a town meeting on local government transformation and modernisation at City Hall, Port-of-Spain, on Tuesday night.
He added: "So about $129 million to $130 million goes to pay for personal expenditure and $44 million for goods and services. So personal expenditures are very high and therefore begs the question about productivity in relation to the amount of money being spent on personnel."If there is a transformation to take place it has to take place in terms of the quality of supervision so you get higher value for money."
In response Port-of-Spain mayor Louis Lee Sing said in his first term of office he was astounded that the personnel cost was "so exceptionally high."He said: "The figures of the expenditure in terms of personal costs are correct and it is something I reported to the burgesses of Port-of-Spain in my first report as mayor. It astounded me that the personal cost in Port-of-Spain was so exceptionally high.
"The majority of it goes to the 2,000 employees in the corporation and a large amount goes in overtime. The overtime is a result of a number of influences which will include using old equipment and having to use the necessary manpower to keep the equipment up and running." Rambachan then asked how was the corporation using the extra money generated from the wrecking of vehicles.
Lee Sing said that was used to do several human resource development initiatives."The corporation has started off on a process of human resource development. We have supervisors who have never been trained in their lives," he added.Asked what was the salary of a councillor Lee Sing said it was $3,000 and he recommended they should be given close to $16,000 a month.
He added: "If somebody cesspit overflows is the councillor, if the pavement has a crack is the councillor. The salaries of councillors should be equivalent to that of MPs because they are deserving of it."The meeting, which drew between 40 to 50 people, addressed other issues, including the city having control over its own budget.
Franco Siu Chong, managing director of Excellent Stores, who raised the issue, said for corporations to function effectively they must be independent of central government.He said: "Any transformation and modernisation of local government must change the revenue base of the corporations. We cannot have monies being raised by the corporations and local bodies going back to central government and the corporations then asking for money from central government.
"The corporations must be in charge of their own revenue. If they collect the property taxes let them be in charge of it and with that revenue they should be able to better the community and let us see development."Using the Brian Lara Promenade as an example, he said its maintenance was funded by subventions by the corporation and voluntary contributions from properties around the promenade.
"This started well but we cannot improve the promenade because it's voluntary contributions. If property taxes are fuelled to improve the promenade it could be the gem of the city," Siu Chong added.