The assets of the nation’s 17 irrigation associations would be managed through separate funds and they would not have to deposit their profits with the national treasury, even when they become government agencies in 2020, the Council of Agriculture (COA) said earlier this week.
The Legislative Yuan in January passed an amendment to the Organic Regulations for Irrigation and Water Conservancy Associations (農田水利會組織通則) that is to convert the 17 irrigation associations into government agencies from October 2020.
Originally set up by farmers and landowners in their respective areas, the associations manage a great amount of wealth, with their aggregate cash totaling NT$75.7 billion (US$2.6 billion), council data showed.
Most of the cash belongs to the Taipei Liugong and Taichung irrigation associations, which manage NT$22.5 billion and NT$10 billion respectively, the data showed.
The associations’ properties cover 24,500 hectares of land, of which 7,249 hectares belong to the Chianan Irrigation Association and 5,363 hectares to the Yunlin Irrigation Association.
Following the passage of the amendment, the council has completed a draft regulation governing the restructuring of the associations, it said.
In addition to managing their own assets under separate funds, without having to hand over their profits to the national treasury as stipulated by the National Property Act (國有財產法), the associations would have more flexibility to lease or sell their properties at market prices, the council said.
The council’s idea of separate management could protect the associations’ respective assets and the rights of their employees, National Taiwan University agricultural economics professor Woo Rhung-jieh (吳榮杰) said, adding that it is good that their use of assets is to be limited to pertinent affairs and supervised by the council.
Some irrigation groups construct commercial buildings to earn rent, but do not disclose the additional revenue, said Chen Jiau-hua (陳椒華), convener of the Taiwan Water Resources Protection Union, supporting the council’s decision to supervise their use of funds.
As the associations often function as sources of pork-barrel funding for election candidates and the council should better supervise their operations after the restructuring, Association of Agricultural Education chairperson Chen Shih-hsiung (陳世雄) said.
However, it would be unnecessary to set up as many as 17 subsidiary agencies — one for each association, Chen added.
Meanwhile, the policy has been met with mixed reviews by different associations.
The government should respect the associations’ management of land, so that their financial management could be more effective, Kaohsiung Irrigation Association head Lu Wen-hao (呂文豪) said.
Chianan Irrigation Association chairperson Yang Ming-feng (楊明風) suggested that the government empower local associations, and enable them to regulate water pollution and land encroachment in agricultural areas.
Chishing (七星) Irrigation Association chairperson Chou Shih-wen (周師文) said that once their budget and operations are controlled by the government, they would not be able to respond to the needs of local farmers as promptly as they do now.
Taichung Irrigation Association chairperson Tsai Tu-chien (蔡篤乾) also worried that their ability to manage funding would be limited.
Additional reporting by Su Meng-chuan, Chen Wen-chan
and Wang Chun-chung
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