By Trudy Simpson, Staff ReporterBIG HOLES in revenue collection and concerns about the way the Kingston and St. Andrew Corporation spends its money, have prompted members of its Finance Committee to demand an explanation of the KSAC's expenditure accounts.
At Thursday's meeting, the first since the June 19 Local Government elections, councillors voted to set up a subcomittee after queries revealed that the KSAC had spent millions of dollars on bedding and clothing, travel and subsistence, motor vehicle repairs and on legal fees.
Records show that the KSAC is owed more than $6.7 million in unpaid trade licence fees, encroachment, cemetery and car-park fees, places of amusement and inspections fees and parking and animal pound fines.
The sub-comittee is to submit a report before a strategic planning retreat by councillors slated for September.
The committee is to have seven members but disagreement over the political party which should have the majority membership prevented its immediate formation. The Jamaica Labour Party has 22 of the 40 seats in the KSAC with the People's National Party controlling the remaining 18. Selections are to be made outside of Council.
A budget analysis for June 2003 showed that the KSAC spent up to $126,000 on bedding and clothing for most departments and the cemetery it operates. This was $26,000 more than the yearly estimated budget.
Councillors queried travel and subsistence expenditure of more than $593,000 in the City Treasurer's Department; $129,000 in the Internal Audit department; and almost $900,000 spent on legal fees in the Town Clerk's department.
Also, they want a break down on motor vehicle repairs, bus fares (which came to $17,000) and travel and $156,000 in subsistence at the municipal car pound.
In an effort to explain the spending, Lincoln Evans, the City Treasurer, said some costs had increased because the KSAC uses lawyers to battle lawsuits with persons reluctant to comply with its codes and regulations. There have been adjustments in travel and other allowances, he added.
"I don't buy that argument," one councillor responded. "The money that you can get from travelling cannot be that significant."
Mr. Evans also explained that the May Pen cemetery was heavily subsidised.
