Johor local authorities need to spend 40% revenue on development

JOHOR BARU: Local authorities in Johor are required to achieve the key performance index (KPI) by spending 40% of revenue on development, said Mentri Besar Datuk Seri Mohamed Khaled Nordin.

He said he had informed of the KPI at a meeting with all the presidents of local authorities in the state last year.

Khaled said the rationale behind the introduction of KPI was to enable the revenue of local authorities to be used for the implementation of programmes and projects which meet the needs of the community, and help reduce spending on management and operations alone.

"It does not matter how much revenue is gained but if too much is spent on management (operations), it does mean anything if there is no development for the community.

"What more, in areas where residents need a community hall and various other facilities. So, I have asked local authorities to be transparent so that people can judge. If not, we do not know what their revenue is spent on," he told reporters after launching the 2017 Subsidy Assistance Programme for School Bus Fares at the Dewan Taman Cendana, Pasir Gudang, here, today.

Mohamed Khaled said that to his knowledge only one local authority, the Johor Baru Tengah Municipal Council (MPBJT), has achieved the KPI. But overall, all local authorities have already started to increase spending on development, he said. — Bernama