Delta State Oil Producing Areas Development Commission Law

DELTA STATE OIL PRODUCING AREAS DEVELOPMENT COMMISSION LAW

1. Citation and commencement. This Law may be cited as the Delta State Oil Producing Areas Development Commission Law, 2006, and shall come into force on the 1st day of August, 2006.

2. Interpretation. In this Law, unless the context otherwise requires - "Auditor-General of the State" means Auditor-General of Delta State; "Chairman" means the Chairman of the Commission; "Commission" means the Delta State Oil Producing Areas Development Commission established by section 3 of this Law; "Governor" means the Executive Governor of Delta State; "House" means the Delta State House of Assembly; "member" means a member of the Commission and it includes the Chairman; "oil producing areas" means oil and gas producing communities in the State; "Secretary" means the Secretary of the Commission; "State" means Delta State of Nigeria.

3. Establishment and composition of the Commission. (1) There is hereby established a body to be known as the Delta State Oil Producing Areas Development Commission (in this Law referred to as "the Commission"). (2) The Commission shall - (a) be a body corporate with perpetual succession and common seal; and (b) sue and be sued in its corporate name.

4. Composition of the Commission. The Commission shall consist of - (i) the Chairman; (ii) eight representatives of the oil producing areas in the State, at least two per Senatorial District; (iii) two ex officio members namely - (a) representative of the Ministry of Finance; and (b) representative of the Ministry of Economic Planning.

5. Qualification of members. Members of the Commission other than the ex officio members shall be indigenes of the Oil Producing Areas of the State.

6. Secretariat. (1) The Commission shall have its head office at Warri. (2) There shall be an area office in each of the local government areas of the oil producing areas.

7. Appointment and tenure of office. (1) The Chairman and other members of the Commission shall be appointed by the Governor subject to the confirmation of the House and the appointment shall be based on production quantum. (2) The Chairman shall be the chief executive of the Commission and shall hold office for a single tenure of three years. (3) The members of the Commission shall hold office for a single tenure of three years. (4) All ex officio members of the Commission shall hold office during their tenure of office in their various ministries.

8. Remuneration. There shall be paid to the Chairman and every member of the Commission such remunerations, salary and allowances as are obtainable in commissions of equal status in the State.

9. Supervision and control. The Commission shall in the performance of its functions under this Law be subject to the directions, control and supervision of the Governor.

10. Schedule. The supplementary provisions contained in the Schedule to this Law shall have effect with respect to the proceedings of the Commission and the other matters contained therein.

11. Cessation of membership. The office of the Chairman or a member of the Commission shall become vacant if - (i) he resigns his membership by notice in writing to the Governor and that member shall on the date of receipt of the notice by the Governor cease to be a member; (ii) he is adjudged or declared bankrupt under any law in force in any part of Nigeria; (iii) under any law in force in Nigeria, he is adjudged to be a lunatic or otherwise declared to be of unsound mind; (iv) he has absented himself from three consecutive meetings of the Commission without a just cause; (v) he is otherwise disqualified by any law in force in the State; and (vi) he is removed from office by the Governor subject to the approval of the House.

12. Dissolution of the Commission. The Governor shall have powers to dissolve the Commission subject to the Approval of the House by simple majority or upon a resolution of two-thirds majority of members of the House.

13. Functions of the Commission. The Commission shall - (i) receive and administer exclusively the fifty percent of the thirteen percent Oil Derivation Fund accruing to the Delta State Government for - (a) the rehabilitation and development of oil producing areas in the State, and (b) other development projects as may be determined from time to time by the Commission; (ii) liaise with the relevant Federal Government and State Government authorities and oil prospecting and producing companies on the control and effective methods of tackling the problems of coastal erosion, oil pollution, spillages and other ecological/environmental problems in the oil producing areas of the State; (iii) ensure fair and equitable distribution of developmental projects in the oil producing areas of the State; (iv) ensure the judicious utilisation of the fund accruing to the Commission; (v) enlighten the communities in the oil producing areas of the State on the functions, policies and activities of the Commission; (vi) execute such other works and projects, and perform such other functions which in the opinion of the Commission are necessary for the sustainable development of the oil producing areas of the State.

14. Powers of the Commission. The Commission shall have powers to - (i) manage and supervise the affairs of the Commission; (ii) enter into contract as may be necessary or expedient for the discharge of its functions and ensure the efficient performance of the functions of the Commission in accordance with government financial regulations; (iii) establish and maintain such number of departments as it may deem fit for the effective discharge of its functions; (iv) pay the staff of the Commission such remuneration and allowances as appropriate; (v) make rules and regulations for carrying out the functions of the Commission; and (vi) do such other things as are necessary and expedient for the efficient performance of the functions of the Commission.

15. Appointment and functions of Secretary. (1) (a) There shall be a Secretary of the Commission who shall be appointed by the Governor of the State. (b) The Secretary shall be a university graduate of at least ten years experience or its equivalent. (2) The Secretary shall - (a) be the accounting officer of the Commission; (b) subject to the general direction of the Commission, have disciplinary control over the staff of the Commission; (c) carry out the day-to-day activities subject to the general direction of the Commission; (d) carry out such other duties as may be directed from time to time by the Chairman.

16. Appointment of staff and allowances. (1) (a) The Commission shall have power to employ directly such number of staff as it may require; or second from any civil or public department of the State such number of employees to assist the Commission in the discharge of any of its functions under this Law. (b) Pay to persons so employed such salaries and allowances as it may determine from time to time, provided that such salaries and allowances are not less than what obtains in the Public Service of the State. (2) Persons employed by the Commission shall in respect of their service in the Commission be entitled to pensions, gratuities and other retirement benefits as obtains in the Public Service of the State. (3) Nothing in subsections (1) and (2) of this section shall prevent the appointment of a person to any office on terms and conditions which preclude the grant of pensions and gratuity in respect of that office.

17. Funds and accounts. (1) The sources of funds of the Commission shall be - (a) fifty percent of the thirteen percent Oil Derivation Fund or any other percentage approved accruing to the Delta State Government from the Federation Account; (b) any other source of fund accruable to it under any law in force in the State; (c) all other assets that may from time to time accrue to the Commission. (2) The Commission may with the approval of the Governor accept gifts, donations, grants, land and any other testamentary disposition on such terms and conditions as may be specified provided that such terms and conditions are not onerous and/or in conflict with the effective performance of the functions of the Commission. (3) The funds shall be managed in accordance with the rules made by the Commission subject to the financial regulations applicable in the Public Service of the State and without prejudice to the generality of the power to make rules under this section, the rules shall in particular contain provision: (a) specifying the manner in which the assets of the Commission are to be held; and regulating the mode of payment into and out of the funds; and (b) requiring the keeping of proper account and records for the purpose of the funds. (4) The Secretary to the Commission shall before each financial year prepare estimates of recurrent and capital expenditure, and when approved by the Commission, shall forward them to the Governor who in turn will present same to the House for scrutiny and approval. (5) The Secretary to the Commission shall keep proper accounts and records in relation thereto. (6) The Commission shall prepare and submit a quarterly report on the activities and administration of the Commission to the Governor. (7) The Accounts of the Commission shall be audited annually by the Auditor General of the State and audited report shall be submitted to the House not later than 30th June of the succeeding year.

18. Expenditure of the Commission. The Commission may from time to time apply the proceeds of the funds established pursuant to section 16 of this Law to - (i) the cost of administration of the Commission; (ii) the payment of salaries, fees and remunerations, allowances, pensions and gratuities to members and, employees of the Commission; (iii) the payment for contracts, including mobilisation, fluctuation, variations, legal fees and cost on contract administration; (iv) the payment for purchases; (v) undertake such other activities as are connected with all or any of the functions of the Commission under this Law; and (vi) undertake the execution of projects for the benefit of the oil producing areas and communities for distribution on the basis of production quota.

19. Borrowing power. The Commission may with the consent of the Governor subject to the ratification of the House, borrow on such terms and conditions such sums of money as the Commission may require in the exercise of the functions conferred on it under this Law.

20. Limitation of action against the Commission. (1) Notwithstanding the provision of any other law, no cause of action shall be instituted against the Commission, or any member of the Commission or any employee of the Commission in respect of any duty performed or any authority exercised or any alleged neglect or default in the performance of any duty or exercise of any authority, in any Court, unless such action is commenced within three months next after the act, neglect or default complained of is caused. In the case of a continuous damage or injury such action shall lie within three months from the abatement of such damage or injury. (2) No suit shall be commenced against the Commission before the expiration of a period of one month after written notice of intention to commence the suits shall have been served upon the Commission by the intending plaintiff or his agent, and notice shall clearly and explicitly state the cause of action, the particulars of the claims, the name and place of abode of the intending plaintiff(s) and the relief which he claims.

21. Service of summons. The Notice referred to in section 19 (2) of this Law and any summons, notice or any other documents required or authorised to be served upon the Commission under the same provisions of this Law or any other enactment or law may be served by delivering the to the Chairman or the Secretary of the Commission or by sending it by registered post addressed to the Secretary at the head office of the Commission.

22. Restriction on execution against the property of the Commission. In any action or suit against the Commission, no execution or attachment or process in the nature thereof shall be issued against the Commission and any sum of money which may by the judgment of the court be awarded against the Commission shall subject to any direction given by the court where notice of appeal has not been given by the Commission, be paid from the General Reserve Fund of the Commission.

23. Indemnity of member of the Commission and employees, of the Commission. Every member of the Commission, agent, auditor or employee, for the time being shall be indemnified out of the assets of the Commission against any liability incurred by him in defending the Commission in any proceedings whether civil or criminal, if such proceedings are brought against him in his capacity as such member, agent, Auditor or employee aforesaid.

24. Offices and premise of the Commission. For the purpose of providing necessary offices and premises for the performance of its functions under this Law, the Commission may subject to the Land Use Act - (a) purchase or take on lease any interest in land or other property; and/or (b) construct offices and premises and equip and maintain same; and (c) sell or lease out any office or premises held by it. DELTA STATE OIL PRODUCING AREAS DEVELOPMENT COMMISSION LAW SCHEDULE [Section 10] Supplementary Provisions Relating to the Commission

1. Meetings The Commission shall meet for the conduct of its business at such time as it may determine.

2. Notice of meetings (a) whenever it is summoned by the Chairman; and (b) if the Chairman is required to do so by notice given to him by not less than three members.

3. Regulation and standing orders The Commission shall have power to regulate its proceedings and make standing orders for that purpose and subject to any Standing orders made pursuant to section 4 of this Schedule, may function notwithstanding - (a) any vacancy in its membership or the absence of any member; (b) any defect in the appointment of a member; or (c) that a person not entitled to do so took part in its proceedings.

4. Quorum The quorum at any meeting of the Commission shall be a simple majority of the members.

5. Co-opted persons Where standing orders made under section 2 of this Schedule provide for the Commission to co-opt persons who are not members of the Commission, such persons may attend meetings of the Commission and advise it on any matter referred to them by the Commission but shall not count towards a quorum and shall not be entitled to vote at any meeting of the Commission.

6. Presiding officer at meetings At any meeting of the Commission, the Chairman shall preside but if he is absent, the members present at the meeting shall appoint a member among themselves to preside at the meeting.

7. Committees (1) The Commission may appoint one or more committees to advise it on the exercise of its functions under this Law and shall have power to regulate the proceedings of its committees. (2) (a) The committees appointed under this section shall consist of such number of persons as may determined by the Commission. (b) The decision of the committees shall not have any effect until it is confirmed by the Commission. Miscellaneous

8. Contract or instruction or arrangement (1) Any contract or instruction which if entered into or executed by a person not being a body corporate which would not be required to be made under seal may be entered into or executed on behalf of the Commission by any person generally or specifically authorised in that behalf by the Commission. (2 ) Any member of the Commission or of a committee thereof, who has personal interest in any contract or arrangement entered into or proposed to be considered by the Commission or the committee thereof, shall forthwith disclose his interest to the Commission or committee, as the case may be and shall not vote on any question relating to such contract or arrangement.

9. Seal (1) The Common Seal of the Commission shall be authenticated by the signatures of the Chairman and the Secretary or some other members authorised generally or Specifically by the Commission to act for that purpose. (2) The fixing of the Seal of the Commission shall be authenticated by the signatures of the Chairman and the Secretary or some other members authorised generally or specifically by the Commission to act for that purpose. (3) Any document purporting to be a document duly executed under the Seal of the Commission shall be received in evidence and shall, unless the contrary is proved, be deemed to be so executed.