Decentralization and Financial Performance in Local Governments of Uganda, The Case Study of Nansana Municipal Council

TABLE OF CONTENTS

DECLARATION ii

APPROVAL lii

TABLE OF CONTENTS vi

LIST OF ABBREVIATION ix

ABSTRACT

CHAPTER ONE 1

INTRODUCTION 1

1.0 Introduction 1

1.1 Background of the Study 1

1.2 Statement of the problem 5

1.3 Purpose of the study 6

1.4 Specific Objectives of the study 6

1.5 Research Questions 6

1.6 Scope of the study 7

1.6.1 Geography / Physical Scope 7

1.6.2 Content Scope 7

1.6.4 Time Scope 7

1.7 Significance of the Study 7

1.8. Conceptual Framework 8

CHAPTER TWO 10

LITERATURE REVIEW 10

2.0 Introduction 10

2.1 Planning and budgeting in Local Government 10

2.2. Alternative sources of revenue in Local Governments 12

2.3 Timely availability of sufficient resources to Local Governments 16

2.4 Expenditure of resources in Nansana municipal council 17

2.5 Conclusion! Gaps in the literature 20

CHAPTER THREE 22

METHODOLOGY 22

3.0 Introduction 22

3.4 Sample size 23

3.5 Data collection tools and methods 23

3.5.1 Data collection tools 23

Documentary analysis tools 23

3.5.2 Data collection tools and methods 23

3.7.1 Data processing 25

3.8 Data analysis 25

3.9 Ethical Considerations 25

3.10 Limitations of the study 25

CHAPTER FOUR 25

PRESENTATION AND INTERPRETATION OF FINDINGS 26

4.0 Introduction 26

4.1 Descriptive characteristics of Participants 26

4.2 PLANNING AND BUDGETING 28

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4.2.1 Whether the council follows the approved guidelines for planning and budgeting 28

4.3 ALTERNATIVE SOURCES OF REVENUE.. 294,3.1 Findings on whether the local revenue

tax is done according to outlined policies 29

4.3.2 Finding on whether the local revenue is carried out every financial year 30

4.3.3 Findings on whether the revenue is collected at the right time 30

4.3.4 Findings on whether there are strict measures of collecting local revenues 31

4.3.5 Findings on whether local government faces these problems acquiring alternative sources of

income for the council 31

4.3.6 Findings on whether there are measures have been undertaken to acquire alternative sources

of income for the council 32

4.3.7. Findings on whether there alternative sources of the revenue for the council 32

4.4 SUFFICIENT RESOURCES AND ON TIIvffi 33

4.4.1 Whether the central government provides sufficient fmances to t1i€~municipal councils.... 33

4.4.2 Whether the resources provided are sent on time 33

4.4.3. Whether there are cases of misuse of resources within the municipal council 34

4.4.4 Findings on whether administration monitors service activities carried out 34

4.5 FINANCIAL SPENDING ACCORDING TO THE BUDGET 35

4.5.1. Whether fmances are spent according to the allocate budget of the municipal council 35

4.5.2. Whether resources provided are sufficient enough to cater for the municipal’s activities .35

4.5.3. Whether development ventures in the region are normally implemented by the municipal

council 36

CHAPTER FIVE 37

DISCUSSION OF THE FINDINGS, CONCLUSIONSAND RECOMEMNDATIONS 37

5.0 Introduction 37

5.1. Discussion of the Finding 37

5.1.1 Findings on the Demographic characteristics ofrespondents 37

5.1.2 Planning and Budgeting in Nansana Municipality 38

5.1.3 Alternative sources ofrevenue in Nansana Municipality 38

5.1.4 Financial spending according to the budget 43

5.2 Conclusion 45

5.2.1 Alternative sources of revenue in Nansana Municipality 45

5.2.3 Financial spending according to the budget 46

5.3 Reconunendations 47

INTERVIEW GUIDE 52