HB 324: National Social Security and Welfare Board Bill, 2015

Bill Analysis:

SHORT TITLE

National Social Security and Welfare Board Bill, 2015

OBJECTIVE OF THE BILL

The Bill seeks to establish a National Social Security and Welfare Board and to vest it with the responsibility to administer and control welfare benefits in respect of citizens

NUMBER OF CLAUSES/PARTS

The Bill has 40 clauses, including interpretation.

IMPLICATIONS

If the Bill is passed into law: -

• A body known as the National Social Security and Welfare Board (“the Board), which shall have the functions and powers to sue and be sued in its corporate name shall be established;
• There shall be an executive body known as the Governing Council for the National Social Security Board, established to manage and superintend the affairs of the Board.

GENERAL PROVISIONS OF THE BILL

1. Powers and Functions of the National Social Security & Welfare Board

A major function of the Board shall be to control and administer benefits, incentives or compensate or assist the following disadvantaged persons – children, women, physically challenged, unemployed, indigent, senior citizens not below 65years.

Other functions include support to abused or neglected children or children engaged in forced labor and maternal support to women with children (Clause 4).

The Board shall have powers to determine beneficiaries of social security benefits, administer and monitor benefits, formulate policies, undertake studies, make recommendations and implement the most effective methods for providing social and health insurance plans for citizens (Clause 5).

2. Establishment and Composition of Governing Council: -

The Head Office of the Governing Council shall be in Abuja and shall establish in each state capital, a branch office of the Board (Clause 6). The Council shall consist of a chairman, an executive secretary and representatives from several ministries including Ministries of Health and Finance, and the National Bureau of Statistics (Clause 7).

3. Appointment of Council Members: -

Clause 8 provides that the President shall appoint the Chairman and members, subject to the confirmation of the Senate. Membership of the Council shall be part-time, while the Executive Secretary shall be on a full-time basis.

4. Tenure of Council Membership: -  

The Chairman and members of the Council shall each hold office for a term of 4 years and may be re-appointed for another 4 years and no more (Clause 10). Members shall cease to hold office if any of the occurrences listed under Clause 11(a) – (g) happen.

When a member ceases to hold office before his term ends, another person representing the same interest shall be appointed as member to replace him. The President may remove a member if he is satisfied that it is in the interest of the Board or the public to do so.

5. Remuneration of Members: -

The Revenue Mobilization Allocation and Fiscal Commission shall determine allowances and expenses to be paid to members of the Council (Clause 14).  

6. Powers of the Council: -

Clause 15 (a) – (d) provide for the powers of the Council. The powers include managing and superintending the affairs of the Board, making rules and regulation for the proper functioning of the Board. In addition, the Board shall have the power to enter into negotiations, agreement and contractual relationship such as may be necessary for the discharge of the functions of the Board.

7. Staffing of the Board: -

The staff shall consist of the Executive Secretary, a Secretary and other employees, as may be expedient and necessary for the proper efficient performance of the functions of the Board. The Executive Secretary shall be the Chief Executive and accounting officer of the Board and may be appointed for a term of 5 years, renewable for another 5 years and no more (Clause 18). The Executive Secretary may resign his appointment by a written notice under his hand delivered to the President (Clause 21).

8. Departments of the Board: -

There shall be established at the head office of the Board, 4 departments, namely – Finance and Personnel Management; Planning, Research and Statistics; Monitoring and Evaluation, and Legal Services (Clause 25).

9. Establishment of a Fund: -

Clause 27 provides for the establishment of a fund to which all monies accruing to it shall be paid into. The fund shall be used to defray the expenditure of the Board. Clause 27(2) provides that not less than 5% of the Consolidated Revenue of the Federation shall be remitted to the fund, along with 5% of statutory subventions from each of the State Government. Other sources of the fund include social security tax, grants, revenue, loans, etc.

10. Sale of Stamps: -

The Director of the Federal Board of Internal Revenue shall furnish to the post master-general without pre-payment, a suitable quantity of stamps, coupons, books, tickets or other devices prescribed by the Director for the collection or payment of any tax imposed by the Bill (Clause 28)

11. Budgetary Estimates: -

The Council shall no later than September 30 of each year, submit to the National Assembly, through the Ministry, an estimate of the projected expenditure of the Board during the next succeeding year and shall include a copy of the auditor’s report.

12. Audit and Accounts: -

The Auditor-General of the Federation shall inspect and audit the accounts of the financial transactions of the Board; inspect its records and draw the attention of the ministry, any irregularity discerned by the inspectors and auditors.

The Auditor-General is entitled at all reasonable times, to a full and free access to all accounts (Clause 33).

13. Legal Proceedings: -

The provision of the Public Officers’ Protection Act shall apply in relation to any suit instituted against any officer or employee of the Board in his capacity as such. A notice shall be served the Board at least a month ahead of any lawsuit by the intending plaintiff or his agent (Clause 35).

A notice, summons or other documents required or authorized to be served upon the Board under the provisions of this Bill (which signed into law) or any other law, may be served by delivering it to the Executive Secretary at the head office of the Board.

14. Execution of Court Processes: -

No execution or attachment of processes shall be issued against the Board without the consent of the Attorney General of the Federation (Clause 36). Any sum of money awarded against the Board shall be paid from the general reserve fund of the Board.

15. Penalty: -

Whoever makes any false statement as to any material fact in respect of any payment under this Bill (when signed into law), knowing the statement to be false, commits an offence and is liable on conviction to a fine not exceeding 50,000 or imprisonment of not more than 4 years

16. Power of the Minister: -

The Minister may make regulations generally for the purpose of carrying out or giving effect to the provisions of the Bill.

ANY SIMILAR EXISTING BILL

The National Social Security and Welfare Board Bill was consolidated with similar Bills on October 4, 2016. The similar Bills are National Council for Widows, Dependent Children & Orphans (Est. Special Provision) Bill sponsored by Hon. Ayuba Mohammed Bello (HB 124); National Welfare Trust Fund and Management Commission Bill, 2015 sponsored by Hon. Rita Orji (HB 126); Orphanage Bill, 2015 sponsored by Hon. Abiodun Dada Awoleye (HB 183).

CONCLUDING ISSUES

The Bill seeks to establish a National Social Security Welfare Board to administer benefits and assistance to enhance the welfare or citizens, especially disadvantaged persons, particularly children, women, the handicapped and other indigent members of the public.

Nigeria’s current economic situation has impoverished so many families and the unrest in the Northeastern region has displaced so many as well. An effective social protection strategy is greatly needed and a body like National Social Security and Welfare Board, being proposed by the Bill to manage the administration of benefits and assistance to the vulnerable groups shall be a welcome development in Nigeria. The consolidated Bill needs to be passed as soon as possible in other to address this huge challenge. 

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