Local Government Budget Framework Paper Vote: 510 Iganga District Structure of Budget Framework Paper Foreword Executive Summary A: Revenue Performance and Plans B: Summary of Department Performance and Plans by Workplan C: Draft Annual Workplan Outputs for 2014/15 Page 1 Local Government Budget Framework Paper Vote: 510 Iganga District Foreword This budget frame work paper has been developed through a process that involved wide consultation with a number of stakeholders who included political leaders, technical staffs, opinion leaders, NGOs, Local population, Ministry of Finance planning and economic Development, in setting objectives and priorities to be implemented in the various sectors in order to realize the required services over the medium term. Stakeholders at various levels identified the needs and consequently rational distribution of the meager district resources amongst the competing needs. Our problem in the district today is that in health, only 34% mothers are delivering in health facilities resulting into 420 women dieing during child birth for every 100,000 mothers.Even where the mother are visiting the health facilities, the qualified health workers are still every few to support them. HIV/AIDS is still real in the district at a prevalence of 5.6% and population should be very sensitive since HIV/AIDS still has no cure. We are experiencing poor academic performance at primary leaving exams where only one child in every 10 is passing in division one, coupled with pupils abseteesm where almost 3 children in every 10 are missing class every day. Pit latrine coverage in the district is at 69% resulting into high incidences of water,hygiene and sanitation related diseases among the people. The orphan and vulnerable childrens in the district are many, where 3 in every 10 children below 18 years are OVCs experiencing unmet basic needs, abuse and food insecure. During the Financial Year under plan, the district focuss on increasing deliveries under skilled health workers, community sensitisation on the effects of multiple sex partners,improve academic performance at primary leaving Examinations and reduction in the incidences of water, hygiene and sanitation related diseases in the district. I greatly commend all the departments whose technical input has enabled Iganga District Local government to come up with this planning and budget document. Our gratitude is also extended to the central government especially the Ministry of Finance, Planning and Economic Development and Ministry of Local Government,Development partners like SDS (USAID), SCORE( USAID), SPEAR (USAID), ANPPCAN, People and Development Initiative, Musana Community Development Organization, UNCEF, Global Fund, WHO, United African and Widow's Association, STAR-EC, STAR -E, Bantwana and so many others, for the continued technical guidance and financial support offered to the district. Lastly, I urge the implementers at all levels to direct all their efforts and scarce resources towards addressing the population concerns/ issues identified in this document. FOR GOD AND MY COUNTRY NKUUTU SHABAN SADIQ DISTRICT CHAIRPERSON IGANGA DISTRICT LOCAL GOVERNMENT Page 2 Local Government Budget Framework Paper Vote: 510 Iganga District Executive Summary Revenue Performance and Plans 2013/14 2014/15 Approved Budget Receipts by End Proposed Budget September UShs 000's 1. Locally Raised Revenues 250,500 28,926 254,500 2a. Discretionary Government Transfers 2,024,516 495,583 2,553,350 2b. Conditional Government Transfers 28,520,578 7,835,179 35,037,989 2c. Other Government Transfers 1,086,965 238,854 2,570,376 3. Local Development Grant 624,683 156,171 616,236 4. Donor Funding 886,199 294,998 1,014,353 Total Revenues 33,393,441 9,049,712 42,046,804 Revenue Performance in the first quarter of 2013/14 The district received UGX 17,531,859,000 cumulatively representing 53% of the district approved budget of UGX 33,393,441,000. Locally raised revenues performed at 71% and this due to the fact that lower local government realized much LLR due political support and pressure from CAO. Discretionary government transfers performed at 51%, conditional government transfers at 52%. Other government transfers performed at 41% and these are funds from the centre were the district has no control over. LDG performed at 50% and donor funding performed 76% due UNICEF that scaled up their support for Jigger. Out of the funds UGX 17,531,859,000 cumulatively the district allocated shs 17,498,470,000 to 11 departments shs 10,475,431,000 was wage, shs 3,801,141000 as non wage recurrent, shs 2,548,267,000 domestic development and shs 673,630,000 to cater for donor activities. With respect to expenditure, the district spent shs 15,893,951,000 representing 91% expenditure. There has been an under expenditure in the departments of roads at 35% this due delay in awarding contract by the contracts committee, water 69% the works were still in progress , and planning at 45% was due to the retooling components which could not be executed due to delays in awarding contracts for suppliers . Shs 33,388,772 is reflected in the system as funds not transferred to the departments, remained on the general fund and these were accumulated interest, LST and local revenue realized after the allocation of funds to the departments for quarter two. All the department had unspent recurrent balances on their respective account and this was due IFMS challenges. Planned Revenues for 2014/15 The district has an approved budget of shs 42,046,804,000. This is higher than the 2013/2014 running approved budget of shs 33,393441,000. The district locally raised revenue forecast for the FY 2014/15 has slightly varied from the current approve budget because of the support we anticipate from SDS to operationalise the local rvenue enhancement plan The conditional government transfer for the FY 2014/15 has changed significantly due to increases under salary grants to primary teachers from shs 10.96Billion to shs 16.950329 Billion of FY 2014/15. Tertiary salary has been increased by shs 53.759 million, district unconditional grant by 500 million. The district has a budget with respect to 2014 Population and Housing Census of shs 794.090 million. The rest of the other grants from the centre have not changed from the current budget. The SFG grant reduced dramatically from 2 billion to 351 million, most of this money was presidential pledge to Busoga University. Unlike the current FY 2013/14, FY 2014/15 donor contribution to the development agenda of the district is increased from shs 0.886199 billion to shs 0.964769 billion and this based on the communications held between the donors and the district with respect to the budget. The increase is from sight savers, an NGO which wire funds through the district used for implementation of programs in the districts of Luuka and Namutumba. The rest donors have not made any comment in relation to next year’s budget and therefore we had to maintain the figures until we receive their statement. Expenditure Performance and Plans 2013/14 2014/15 Approved Budget Actual Proposed Budget Expenditure by UShs 000's end Sept 1a Administration 939,563 228,446 1,466,973 Page 3 Local Government Budget Framework Paper Vote: 510 Iganga District Executive Summary 2013/14 2014/15 Approved Budget Actual Proposed Budget Expenditure by UShs 000's end Sept 2 Finance 365,069 59,845 348,319 3 Statutory Bodies 559,896 85,763 528,766 4 Production and Marketing 2,163,793 533,103 1,103,438 5 Health 5,794,496 1,195,798 7,631,731 6 Education 21,437,463 5,833,110 27,289,279 7a Roads and Engineering 772,884 21,452 1,063,252 7b Water 727,461 25,932 739,687 8 Natural Resources 100,348 14,891 129,470 9 Community Based Services 340,341 27,281 720,068 10 Planning 133,150 5,717 971,102 11 Internal Audit 79,432 7,554 54,719 Grand Total 33,413,895 8,038,893 42,046,804 Wage Rec't: 20,880,226 5,517,897 28,866,166 Non Wage Rec't: 6,367,422 1,587,395 8,914,544 Domestic Dev't 5,280,049 742,052 3,251,741 Donor Dev't 886,199 191,548 1,014,353 Expenditure Performance in the first quarter of 2013/14 With respect to expenditure, the district spent shs 15,893,951,000 representing 90.65% expenditureof the received funds. There has been an under expenditure in the departments of roads, water, community and planning. Planned Expenditures for 2014/15 The district will continue to invest in "good health" through the periodic and routine immunisation of children, investment to be made in roads to accerate growth through easy access to market, the focus is also to be made towards increasing access to safe water by the communities. In education, more class rooms and teacher houses are to constructed to improve on both the teacher and pupils learning environment. We will also continue to focus on efficient and effective accountability for public funds to ensure value for money among others. Medium Term Expenditure Plans In the medium term, operationalization of the existing health facilities we be the focus, road maintenance and drilling of more boreholes to communities. Challenges in Implementation The major implementation constraint continue to be debt burden (outstanding debts) of 2,100,000,000 billion has constrained service delivery. The district spends upto 150 million every FY out of the small unconditional grant. Secondily is understaffing; the staff structure is at 41%, coupled with inadequate capacities critical areas like IFMS usage. We need a deliberate support from MoFPED toward staff recruitment and capacity development under IFMS.