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Creditors Chase CHASS Over Unpaid Debts...As They Threaten To Close Down Secondary Schools

By Abubakari Seidu Ajarfor || Senior Correspondent
General News Creditors Chase CHASS Over Unpaid Debts...As They Threaten To Close Down Secondary Schools
JUL 23, 2016 LISTEN

The Ghana Education Service (GES) has asked Heads of Assisted Secondary Schools (CHASS) not to go ahead with threats to close down secondary schools if government allegedly failed to pay feeding grants.

“The GES Management wants to remind all heads of second-cycle schools that the authority to reopen and close down any public school lies with only the Minister of Education,” it said.

The Director General of the GES, Mr Jacob Kor, stated this at a press conference in Accra last Thursday in response to the threat by CHASS not to reopen schools for the new academic year unless the government settled outstanding debts owed the schools.

Concerns
According to Mr Kor, the untimely release of subsidies and grants was partly due to the lackadaisical attitude of some heads of senior high schools (SHSs) in terms of submission of data on students.

It said, for instance, that some heads of schools submitted their 2015-2016 first-year admission figures and other data for funds to be released to the GES Headquarters on Thursday, July 14, 2016.

He warned that all heads who delayed in the submission of their data would be queried.

According to him, 16 SHSs were yet to submit their data.

Mr Kor further stated that the management of the GES had received a request from CHASS to increase the prevailing feeding fee from GH¢3.30 per student per day to an appreciable level and gave an assurance that the GES would respond appropriately to that concern at the beginning of the new academic year.

Payments
“In the 2015-2016 academic year, only one term of SHS/TVET subsidy and progressively free SHS is outstanding and are currently being processed for payment,” he said, pointing out that the government was committed, under the Social Intervention Programme (SIP), to paying basic school capitation grant, Basic Education Certificate Examination (bece) and SHS/TVET subsidies.

Concerning the capitation grant, he said GH¢16.5 million had been paid for the third term of the 2014/15 academic year and the first term of the 2015/16 academic year, with the arrears being processed for payment.

Mr Kor also indicated that GH¢17.2 million had been paid for the second term of the 2015/16 academic year and that “only the third term is currently outstanding and is being processed for the payment before the end of the term”.

VAT
Concluding Mr. Kor further noted that on the issue of VAT, he said if second-cycle schools wanted to be exempted from such tax, they would have to request for an amendment to the VAT Law.

“In this world, everybody owes or is indebted and as such the government should not be seen as the only one which owes. Government is not the only panacea to all educational problems,” he said.

CHASS is threatening to close down Senior High Schools (SHS) nationwide for the 2016/2017 academic year following government’s delay in paying subsidies.

CHASS said it is struggling to reconcile with its creditors over accrued debts which is forcing them to close down Senior Secondary Schools (SHS) to avoid the tendency of running into more debts which government is not willing to pay.

Briefing the Press in Accra, President of CHASS, Cecilia Kwakye Coffie and Headmistress of Winneba Senior Secondary School (WINNESEC), appealed to the Minister of Education, G.E.S Council and G.E.S Management to expedite action on the release of government subventions for the reconciliation of its debts.

She expressed worry that students are being fed on credit and Heads of Institution are being harassed by their creditors over debts owed them.

Mrs. Cecilia noted that the absorbed fees for 2nd and 3rd terms for 2015/2016 academic year have not been paid.

She added that the feeding grants for the three (3) Northern Region schools i.e. Northern Volta and Northern Brong Ahafo are also in arrears for 2nd and 3rd terms and this has brought serious problems to schools.

Mrs. Cecilia indicated that some of the pressing challenges includes unpaid absorbed fees and feeding grants, unpaid Ghana Government Scholarships, unpaid Progressively Free Scholarships, inadequate Feeding Fees of Ghc3.30 per student per day for 3 meals, high Electricity, Water and Telephone bills, high expenditure on Sanitation and Fumigation due to bed bugs infestation in schools, non-payment of GOG grant for Administration since 2011 and non-replacement of retired Teaching and Non-Teaching staff.

According to Mrs. Cecilia, the Progressively Free Scholarship for 2nd and 3rd terms of the 2015/2016 academic year has not been paid. The Ghana Government Scholarship to beneficiary students has not been paid for the whole year i.e. 2015/2016 academic year.

“The feeding fee of GHc3.30 per student per day for 3 meals is woefully inadequate. There is a tax component of 17.5% VAT and 3% withholding tax. This has resulted in huge debts in schools,” she stated.

She calls on the government to increase the feeding fee since prices of goods and services have gone up drastically since 2014 when the fees were fixed.

Mrs. Cecilia emphasised that the Utility fees paid are unable to meet the huge electricity and water bills.

“We want the electricity fee to be separated from the water fee and both should be appreciably increased to meet the bills from Electricity Company of Ghana and Ghana Water Company,” she intimated.

According to her, there is high expenditure on sanitation which includes dislodging of solid and liquid waste. Fumigation cost as a result of bed bugs infestation in schools is just too high.

“The sanitation fees are part of the absorbed fees which have not been paid for 2nd and 3rd terms,” Mrs. Cecilia noted.

She added that GOG grant for administration has not been paid since 2011 as well as non-replacement of retired Teaching and Non-Teaching staff.

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