I am pleased to advise that the KSAMC will be increasing the Divisional Allocation Fund from $10 million to $13 million for each division, and to $13.5 million for rural divisions. This increase was approved by the Finance Committee following careful consideration, and reflects the Council's continued commitment to strengthening service delivery at the community level.

This adjustment is particularly significant as it advances a position that I have long supported, including during my tenure as Minority Leader, when I advocated for increased allocations to divisions to better equip Councillors to address the needs of their constituents.

While the Administration was committed to increasing the DAF, it was necessary to exercise strict fiscal restraint as we worked to address outstanding debts inherited from the previous administration, while simultaneously meeting current financial obligations. One of the challenges we continue to face is to clear the over $205 million in retention payments owed to contractors for works already completed. This amount includes $164 million, which this administration inherited. Nevertheless, through prudent financial management, disciplined expenditure controls, and a deliberate programme of fiscal recovery, the Council is steadily improving its financial position.

The increase in the DAF is therefore a tangible demonstration of that progress and reflects our commitment to strengthening the capacity of Councillors to undertake priority projects and respond more effectively to the needs and concerns of their communities.

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