Published: June 30, 2026
MONROVIA – Legal practitioner Cllr. Samuel S. Pearson has welcomed a major legislative boost for President Joseph Nyuma Boakai’s proposed reforms to the Liberia Agency for Community Empowerment (LACE), after the House of Representatives passed an amendment bill aimed at strengthening community development and improving oversight of Corporate Social Responsibility (CSR) funds generated by State-Owned Enterprises (SOEs).
The passage of the bill marks a significant milestone for the Boakai administration’s community development agenda and follows Pearson’s legal defense of the proposal before the House Standing Committee on Good Governance and Law Reform. He argued that the Legislature possesses the constitutional authority to enact the measure and described the amendment as a necessary step toward improving transparency, accountability and equitable national development.
Following its approval, lawmakers instructed the Chief Clerk of the House to transmit the legislation to the Liberian Senate for concurrence before it is forwarded to President Boakai for final approval.
If enacted, the amendment will expand LACE’s administrative structure through the creation of the Office of the Deputy Executive Director for Field and Technical Services.
The legislation will also establish a centralized system requiring State-Owned Enterprises to remit a portion of their Corporate Social Responsibility allocations into an account supervised by LACE.
Government officials believe the reform will strengthen the agency’s financial capacity and improve its ability to implement sustainable community development projects nationwide.
Supporters also argue that the measure will improve transparency and accountability in the management of CSR resources while ensuring development projects are distributed more equitably across Liberia.
Before the bill’s passage, the House Standing Committee on Good Governance and Law Reform invited Pearson to provide expert legal analysis on the proposed amendment.
Appearing before the committee, Pearson relied principally on Articles 5 and 7 of the Liberian Constitution, arguing that both provisions require the state to promote national development, encourage economic growth and ensure the country’s resources are managed for the benefit of all citizens.
According to Pearson, strengthening LACE’s mandate would provide a more effective institutional framework for coordinating and monitoring community development initiatives financed through Corporate Social Responsibility programs.
He noted that while many State-Owned Enterprises already undertake CSR activities independently, Liberia lacks a centralized mechanism capable of tracking expenditures, measuring project outcomes and ensuring accountability.
Pearson told lawmakers that the absence of such a framework has made it difficult to determine whether CSR investments are producing meaningful and measurable benefits for communities across the country.
Under the proposed amendment, LACE would establish and maintain a national database of CSR projects, monitor implementation, evaluate developmental impact and help prevent duplication of projects by public institutions.
The legal expert argued that centralized oversight would strengthen transparency while ensuring a fair geographical distribution of community development initiatives.
Pearson further emphasized that the proposal aligns with Liberia’s broader legal framework governing public accountability, including the Public Financial Management Act, the General Auditing Commission Act and the Liberia Anti-Corruption Commission Act.
Addressing concerns about institutional expansion, Pearson clarified that the amendment does not create a new government agency but instead strengthens an existing institution with decades of experience implementing community-based development programs.
He said LACE has long played a critical role in poverty reduction, rural development, local economic empowerment and the construction of community infrastructure throughout Liberia.
To reinforce his position, Pearson cited international examples, including India’s Companies Act of 2013, which requires qualifying companies to dedicate a percentage of their profits to Corporate Social Responsibility while publicly reporting expenditures.
He also referenced Nigeria’s Petroleum Industry Act of 2021, which established Host Community Development Trusts to ensure communities directly benefit from petroleum operations, and South Africa’s corporate governance framework, which promotes structured reporting and accountability in corporate social investment.
Pearson further argued that the amendment would help Liberia advance several United Nations Sustainable Development Goals by improving investments in poverty reduction, education, healthcare, clean water, infrastructure and sustainable communities.
He suggested the reform could eventually support the establishment of a National Community Development Fund to ensure transparent management of resources dedicated to local development.
According to Pearson, State-Owned Enterprises manage assets that belong to the Liberian people and therefore have a responsibility to ensure that part of their revenues directly improves living conditions in underserved communities.
He maintained that mandatory annual CSR contributions, reporting obligations, independent audits and public disclosure requirements would significantly strengthen public confidence in the management of community development resources.
Pearson concluded that the proposed amendment enjoys firm constitutional and policy support and presents an important opportunity to establish LACE as Liberia’s principal institution for coordinating Corporate Social Responsibility and community development initiatives.
The proposed LACE Amendment Act now awaits concurrence by the Liberian Senate before being sent to President Boakai for signature into law.
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