PARISH COUNCILS islandwide have been promised that all the roads under their control will be repaired over the next five years if they give up half their monthly subventions to the Parochial Revenue Fund (PRF) during the next five months.
Robert Montague, state minister with responsibility for local government, labelled the plan "the hope for all roads".
According to Montague, who operates out of the Office of the Prime Minister, the councils are being asked to give up a total of J$306 million from their PRF between June and October, which would be used to match funds received from the Chinese for a massive road rehabilitation project.
The Chinese funds, Montague noted, represent an investment which guarantees US$100 million to be spent on parochial roads over the next five years.
"The mayors have agreed under the Jamaica Infrastructure Develop-ment Programme to pay a commit-ment fee on the loan of US$3.4 million (J$306 million)," Montague said. "The mayors have also agreed that in order to find this commitment fee, which is a normal ordinary business transaction, they will give up 50 per cent of their normal monthly PRF drawdown for five months and the rest would come from the equalisation fund, which is a percentage of the motor vehicle licences (revenue)."
He added: "The US$3.4 million will result in the parish council road network receiving US$100 million over five years, of which US$15 million is going to be made available this year."
Ivan Anderson, chairman of the St Ann Parish Council and mayor of St Ann's Bay, confirmed that the mayors had agreed to the position in principle.
"It has not yet been ratified. We will take it to the council next week because it is something that the minister has asked us to sell to our councillors and we don't know if they will all agree because our PRF would be significantly affected," Anderson said yesterday.
But Colin Fagan, the opposition spokesman on local government, said the local authorities were wary of the minister's offer to share US$15 million of the Chinese loan among the councils.
"The councillors are worried about giving up their monthly subventions for the next four months without any binding commitment from the prime minister, the Cabinet or even a discussion at the level of Parliament," Fagan said.
He contended that parish councils have been burnt by the fuel tax, which was introduced last year to help with the repair and upgrade of infrastructure.
According to Fagan, the parish councils only supported the fuel tax, announced in the 2009-2010 Budget, because they were told funds would be made available to the councils to repair parochial roads.
"Ministers Montague and (Mike) Henry (transport and works minister) must tell us what happened to the gas tax money before the parish councils make any decisions," Fagan argued.
He said his unease rested in the fact that Government had initially said it would be using the fuel tax proceeds as matching funds for the road programme. He said it was now alarming that parish councils were being asked to contribute matching funds.
Anderson said he also anticipated that the issue of the parish council finding matching funds might be of concern to councillors.
China has provided Jamaica with a US$340-million loan which is part of the US$400-million road project being planned by the Government.
daraine.luton@gleanerjm.com