N22bn Spent on Overhead by State House Triggers Accountability Debate

The N22bn overhead expenditure by the State House has drawn public scrutiny, with calls for increased transparency and detailed breakdowns of government spending.

On Tuesday, the State House management revealed that its overhead expenses totaled N22.62 billion, distributed across seven cost centers.

These encompass the State House Headquarters, State House Operations for both the President and Vice President, Office of the Chief of Staff, Office of the Chief Security Officer to the President, State House Medical Centre, as well as the Lagos Liaison Office.

Olufunso Adebiyi, the Permanent Secretary of the State House, disclosed this information during a visit by the House of Representatives Committee on Special Duties to oversee activities at the data center situated in Abuja’s Presidential Villa.

Mr. Abiodun Oladunjoye, the State House Director of Information and Public Relations, announced in a Tuesday statement titled “State House to Achieve Full Digitisation by November 2024,” according to the Permanent Secretary during a tour of the Data Centre with representatives.

In his presentation on the implementation of the 2023/2024 budget, the Permanent Secretary emphasized that by 2024, capital projects in the State House had reached a 43 percent completion rate while overhead expenditure saw an impressive success rate of 99 percent.

“As of August 31, 2024, we’ve received N15.08bn from the allocated funds. Of this amount, we have spent a total of N14.9bn during the fiscal year, leaving an outstanding balance of N14.5bn. This reflects an impressive performance rate of 99%,” he stated.

Regarding capital expenditure, Adebiyi mentioned that N51.3 billion was allocated for 2024. From this amount, N22 billion has been spent so far, leaving a remaining balance of N29.3 billion and indicating an implementation rate of 43 percent.

The Permanent Secretary praised the Committee members for approving an increased budget allocation to the State House in the 2024 appropriation, especially considering the significant demands from various cost centers during this challenging fiscal year.

“This has significantly improved our performance as a vital part of the government, particularly in terms of staff welfare and numerous capital projects. These include renovating the President’s residential quarters at Aguda House, computerizing and digitalizing the State House, constructing an office complex, replacing operational vehicles, among other initiatives,” he stated.

The chief accounting officer went on to present the performance of both the 2023 budget and supplementary budget.

He revealed that N1.65 billion was allocated for personnel costs in 2023, with the entire amount being utilized except for a remaining balance of N439,433.66.

In 2023, N8.29 billion was allocated for overhead expenses, with an actual expenditure of N8.27 billion. This resulted in a remaining balance of N14.5 million, reflecting a budget implementation rate of 99.82 percent.

The Permanent Secretary stated that for the total capital expenditure in 2023, N11.2 billion was approved and N10.9 billion was spent, achieving an overall performance rate of 98 percent.

Adebiyi also stated that the State House plans to fully digitize its operations by November 2024.

He believes that completing the computerization and digitization process will improve efficiency, security, and the smooth functioning of essential administrative tasks at the State House.

The visit, headed by Hon. Kabir Tukura, Chairman of the House Committee on Special Duties, was an integral part of the legislators’ mandated oversight to evaluate how well the 2023 and 2024 budgets for the State House are being executed.

Adebiyi also updated the lawmakers about the current renovations at Dodan Barracks in Lagos, which was once the seat of government.

He mentioned that the renovations are anticipated to be finished by year’s end.

Adebiyi invited the legislators to conduct an on-the-spot assessment of the barracks, highlighting that funding for this project and other initiatives at the Lagos Liaison Office were obtained from both the 2023 supplementary budget and the 2024 budget.

In his speech, Tukura conveyed contentment with the ongoing digital transformation and praised the State House for its dedication to budgetary discipline and modernization of government services.

“The 2024 budget process is still underway, and I would say that everything has been progressing well so far. Nearly 98 percent of the releases have been made and utilized, which is quite commendable.”

“There are no gaps, as the 2023 budget has been finalized. After members posed their questions and we listened to the Permanent Secretary’s responses, we’re confident in their performance,” he stated.