EFFECTS OF LOCAL REVENUE MANAGEMENT ON SERVICE DELIVERY IN BUKOMERO TOWN COUNCIL, UGANDA

Abstract

The study investigated the effect of local revenue management on service delivery in Bukomero Town Council, Uganda. Its objectives included investigating the effect of revenue enhancement planning on service delivery; investigating the implementation of the revenue enhancement plan on service delivery and investigating the effect of revenue expenditure control on service delivery. The study adopted a cross sectional and correlation survey design complemented with a qualitative and quantitative approach. The study population was 176 and 124 formed the sample size selected using the purposive and simple random sampling. Information was elicited using questionnaire, interview and documentary review checklist. A response rate of 63% was obtained as recommended by Amin (2005). Key findings suggested a positive significant relationship between revenue enhancement planning (.530**), implementation of the revenue enhancement plan (.342**) and revenue expenditure control (.472**) on service delivery. The study concluded that untimely revenue enhancement planning and fewer local revenue sources negatively affects revenue management however, fair tax assessment and timely deployment of tax enforcement team improve revenue collection. On the issue of implementation of revenue enhancement plans, it is concluded that local community had less knowledge about revenue management and needed sensitization; de-motivated TC staffs underperformed assignments and recruitment at the TC was influenced. Further to note, revenue expenditure controls gaps negatively affect service delivery while misallocation of funds was common and quarterly audits and review reports were delayed. The following were recommendations made namely conduct more on the job trainings; provide logistical support to the revenue assessment team; budget and clearly identify un tapped revenue sources; conduct more community dialogue meetings and the need for a more autonomous hiring process. In addition, engaging more actors in budget revenue meetings or conferences; avoid late submission of reports and benchmarking.