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Office of the Auditor General THE REPUBLIC OF UGANDA OFFICE OF THE AUDITOR GENERAL ANNUAL REPORT OF THE AUDITOR GENERAL FOR THE YEAR ENDED 30TH JUNE 2014 VOLUME 2(B) CENTRAL GOVERNMENT AND STATUTORY CORPORATIONS i TABLE OF CONTENTS LIST OF ACRONYMS AND ABREVIATIONS.................................................................................. iii SECTION 1: INTRODUCTION ......................................................................................................... 1 1.1 MANDATE ............................................................................................................................ 1 1.2 AUDITED ENTITIES ............................................................................................................ 1 SECTION 2: DETAILED AUDIT FINDINGS..................................................................................... 3 2.1 SOCIAL DEVELOPMENT SECTOR ................................................................................... 3 2.1.1 EQUAL OPPORTUNITIES COMMISSION ......................................................................... 3 2.2 WORKS SECTOR ............................................................................................................... 6 2.2.1 UGANDA NATIONAL ROADS AUTHORITY ....................................................................... 6 2.2.2 TRANSPORT SECTOR DEVELOPMENT PROJECT (TSDP) ......................................... 51 2.2.3 ROAD SECTOR SUPPORT PROJECT 3 (RSSP 3)– NYAKAHITA-KAZO-KAMWENGE FY 2012/2013 ..................................................................................................................... 56 2.2.4 THE UGANDA ROAD FUND ............................................................................................. 59 2.3 JUSTICE LAW AND ORDER SECTOR ........................................................................... 64 2.3.1 JUDICIAL SERVICE COMMISSION ................................................................................. 64 2.3.2 UGANDA LAW REFORM COMMISSION ......................................................................... 70 2.3.3 UGANDA HUMAN RIGHTS COMMISSION ...................................................................... 72 2.3.4 UGANDA REGISTRATION SERVICES BUREAU OPERATIONS ................................... 75 2.3.5 UGANDA REGISTRATION SERVICES BUREAU – LIQUIDATION ACCOUNT.............. 76 2.3.6 UGANDA LAND COMMISSION ........................................................................................ 77 2.4 PUBLIC SECTOR MANAGEMENT .................................................................................. 82 2.4.1 PUBLIC SERVICE COMMISSION .................................................................................... 82 2.4.2 LOCAL GOVERNMENT FINANCE COMMISSION .......................................................... 85 2.4.3 KAMPALA CAPITAL CITY AUTHORITY ........................................................................... 91 2.4.4 KAMPALA INSTITUTIONAL AND INFRASTRUCTURE DEVELOPMENT PROJECT (KIIDP) (TEN MONTHS PERIOD ENDED APRIL 2014) ................................................. 116 i 2.4.5 BILL AND MELINDA GATES FOUNDATION – KCCA ................................................... 119 2.4.6 ELECTORAL COMMISSION ........................................................................................... 119 2.5 LEGISLATIVE SECTOR ................................................................................................. 124 2.5.1 PARLIAMENTARY COMMISSION .................................................................................. 124 2.6 HEALTH SECTOR........................................................................................................... 132 2.6.1 UGANDA AIDS COMMISSION ....................................................................................... 132 2.6.2 HEALTH SERVICE COMMISSION ................................................................................. 134 2.6.3 EDUCATION SERVICE COMMISSON ........................................................................... 136 2.7 ENERGY SECTOR .......................................................................................................... 138 2.7.1 ATOMIC ENERGY COUNCIL.......................................................................................... 138 ii LIST OF ACRONYMS AND ABREVIATIONS AIDS Acquired Immunodeficiency Syndrome ART Anti-Retroviral Therapy BFP Budget Framework Paper BOU Bank of Uganda BTC Belgium Technical Cooperation CAES College of Agriculture and Environment Sciences CAO Chief Administrative Officer CDC Center for Disease Control CEDAT College of Engineering Design Art and Technology CEES College of Education and External Studies CEMAS Computerized Education Management and Accounting System CHOGM Commonwealth Heads of Governments Meeting CHS College of Health Sciences CHUSS College of Humanities and Social Sciences CIID Criminal Intelligence and Investigations Department COBAMS College of Business and Management Sciences COCIS College of Computing and Information Sciences COMESA Common Market for Eastern & Southern Africa CONAS College of Natural Sciences COVAB College of Veterinary Medicine and BioSecurity CUFH China Uganda Friendship Hospital DHO District Health Officer DSCs District Service Commissions EAC East African Community ED Executive Director EFT Electronic Funds Transfer iii ESAAG East and Southern African Association of Accountant Generals ESC Education Service Commission FAR Fixed Asset Register FIEFOC Farm Income Enhancement and Forest Conservation FOC Faculty of Commerce FY Financial Year GoU Government of Uganda HC Health Centre HIV Human Immunodeficiency Virus HSC Health Service Commission HSC Health Service Commission IAS International Accounting Standards IAS International Accounting Standards ICGR International Conference for Great Lakes Region ICT Information and Communications Technology ICT Information Communication Technology IFMS Integrated Financial Management System ITFC Institute of Tropical Forest Conservation JCRC Joint Clinical Research Center JLOS Justice, Law and Order Sector JMS Joint Medical stores KCCA Kampala Capital City Authority KYU Kyambogo University L.T.C Lymphoma Treatment Centre LANs Local Area Networks LC Letter of Credit LCs Letters Of Credit M&E/MIS Monitoring & Evaluation/Management Information System MDAs Ministries, Departments and Agencies iv MEACA Ministry of East African Affairs MICT Ministry of Information and Communications Technology MNRH Mulago National Referral Hospital MoES Ministry of Education and Sports MoFPED Ministry of Finance Planning And Economic Development MoFPED Ministry of Finance, Planning and Economic Development MoH Ministry of Health MoLHUD Ministry of Lands, Housing and Urban Development MoTIC Ministry of Trade, Industry and Cooperatives MoTWA Ministry of Tourism Wildlife and Antiquities MOU Memorandum of Understanding MUBS Makerere University Business School MUECCA (A) Makerere University Establishment of Constituent College Order Amended MUK Makerere University MUST Mbarara University of Science and Technology MWE Water and Environment NBI National Backbone Infrastructure NCBS National College of Business Studies NDA National Drug Authority NHIS National Health Insurance Scheme NMS National Medical Stores NTC National Teachers College NTR Non Tax Revenue NWSC National Water and Sewerage Corporation OAG Office of the Auditor General OPD Out Patients Departments PAC Public Accounts Committee PAYE Pay As You Earn PFAA Public Finance and Accountability Act v PFAR Public Finance and Accountability Regulation PIC Planning Investment Committee PPDA Public Procurement & Disposal of Public Assets PPS Private Patients Services PS Permanent Secretary PS/ST Permanent Secretary/Secretary to the treasury PSC Public Service Commission PSU Pharmaceutical Society of Uganda S.T.C ward Solid Tumor Centre ward TAI Treasury Accounting Instruction UAC Uganda AIDS Commission UBTS Uganda Blood Transfusion Services UCI Uganda Cancer Institute UGX. Uganda Shillings UHI Uganda Heart Institute ULC Uganda Land Commission ULC Uganda Land Commission UNHRO Uganda National Health Research Organisation UNICEF United Nations International Children's Emergency Fund URA Uganda Revenue Authority USD United States Dollar WAN Wide Area Network WRS Warehouse Receipt System vi SECTION 1 INTRODUCTION 1.1 MANDATE I am required by Article 163(3) of the Constitution of the Republic of Uganda and Section 13 and 19 of the National Audit Act 2008 to audit and report on the Public Accounts of Uganda and of all public offices including the Courts, the Central and Local Government Administrations, Universities and Public Institutions of like nature and any Public Corporations or other bodies established by an Act of Parliament. Under Article 163 (4) of the Constitution, I am also required to submit to Parliament by 31st March annually a Report on the Accounts audited by me for the year immediately preceding. I am therefore, issuing this report in accordance with the above provisions. This is volume two (B) of my annual report to Parliament and it covers financial audits carried out on public entities1 which are self-accounting and funded through the central Government budget. The analysis of cross cutting and key issues and status of completion of audits for these entities are covered under volume two (A). 1.2 AUDITED ENTITIES Under this volume, 20 entities have been included. The list of entities and their respective opinions is below. No Entity Category Sector Opinion 1 Equal Opportunities
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