Local Government Workplan Vote: 559 Kaabong District Structure of Workplan Foreword Executive Summary A: Revenue Performance and Plans B: Summary of Department Performance and Plans by Workplan C: Draft Annual Workplan Outputs for 2015/16 D: Details of Annual Workplan Activities and Expenditures for 2015/16 Page 1 Local Government Workplan Vote: 559 Kaabong District Foreword Kaabong District Local Government budget and annual work plan is derived from the statutory planning functions and power granted to local governments by the constitution of the Republic of Uganda, 1995. The Constitution of the Republic of Uganda is relevant to the planning process and is operationalized by the Local Government Act Cap 243 and the Financial and Accounting Regulations, 2007. The district is planning with a number of challenges which need to be addressed so as to pave way for development. These challenges include low literacy rates, poverty and lack of viable markets, erratic rains and penetration of hard to reach areas in the district. However, the budget and annual work plan have mitigation measures which are enshrined in the budget framework paper (LG-BFP) to overcome these challenges. It is hoped that the leadership at all local levels will fare well during the medium term through active participation of all stakeholders including our esteemed development partners. This calls upon everybody to work in harmony and connect Kaabong district to local, national and even international partners whom Kaabong people have registered heartfelt gratitude. The budget is based on participatory approaches to identify future interventions in the medium term. I therefore take this opportunity to acknowledge the commitment and cooperation exhibited during the preparation of this document. I therefore have the honour to forward the 2015/16 district budget to the government of Uganda, the development partners and other stake holders. I say all this “for God and my country.” Hon. Komol Joseph Miidi, District Chairperson Page 2 Local Government Workplan Vote: 559 Kaabong District Executive Summary Revenue Performance and Plans 2014/15 2015/16 Approved Budget Receipts by End Proposed Budget Dec UShs 000's 1. Locally Raised Revenues 339,368 108,329 336,284 2a. Discretionary Government Transfers 2,937,898 1,215,670 2,647,828 2b. Conditional Government Transfers 9,925,369 4,200,812 8,724,924 2c. Other Government Transfers 5,895,783 4,644,493 4,955,145 3. Local Development Grant 1,353,195 646,087 763,194 4. Donor Funding 1,529,733 549,964 1,408,770 Total Revenues 21,981,346 11,365,356 18,836,146 Revenue Performance in 2014/15 By the end of the first half of the Financial Year, the district received a total of Ugx 11,464,940,000 of the planned annual budget of Ugx 21,981,346,000 and this represents 52.16% revenue performance. Locally Raised Revenues performed at only 31.92% specifically because a high target was set and also not all the bids were sold since some projects especially supplies were not advertised by the end of December. Discretionary Government Transfers performed at 41.9% since not all the planned revenues especially the Hard to Reach Allowances and the District Unconditional Grant non-wage were released. Conditional Government Transfers performed at 43.17% and poor performance was specifically recorded in; Tertiary salaries (14.63%) as new Instructors were not posted to Kaabong Technical Institute, Secondary salaries (40.86%) due to non-posting of new teachers to the Secondary Schools, Conditional transfers to Councilors allowances and Ex- Gratia for LLGs (13.2%) as much of the release will be in Q4, Conditional transfers to Salary and Gratuity for LG elected Political Leaders (38.46%), Conditional Grant to DSC Chairs’ Salaries (36.7%) since the budgeted amount was not paid, Conditional Grant for NAADS (0%) due to the change of the NAADS programme, Conditional Grant to Primary Salaries (38.31%) as new teachers were not recruited, NAADS (Districts) – Wage (14.08%) following the end of the contract of most NAADS officials. Other Government Transfers performed at 78.78%, specifically:- NUSAF II performed at 85.21% as more than the budgeted funds were received; funds which were not budgeted were received from UNDP – OPM, MoE&S – UNEB, MoE&S – Enrollment, FAO, Census – UBOS. No funds were received at all from OPM for cattle branding. However, only 5.66%% of the Youth Livelihood Projects was received from the MoGLSD; only 39.28% of the planned URF funds were received from the MoWT. LGMSD performed at 47.75% as not all the budgeted funds were released. Donor Funding performed at 35.95%. Specifically: - 16.43% of the UNICEF funds were received due to the scale down of the activities; No funds at all were received from OPM for KALIP activities; 26.96% of UNFPA funds were received due to the scale down of the interventions; 52.65% of WHO funds were received. 234.8% of the planned GAVI funds were received as a result of increased interventions; 86.78% of the NTD funds were received due to increased interventions. Planned Revenues for 2015/16 The total revenue for FY 2015/16 has decreased by 14.31%. There is reduction in all revenue sources but the major reductions are notable in Other Government Transfers (15.94%) as a a result of NUSAF II coming to an end in Q1, FY 2015/16 and LGMSD (43.6%) due to the reduction of the IPF. Expenditure Performance and Plans 2014/15 2015/16 Approved Budget Actual Proposed Budget Expenditure by UShs 000's end of Dec 1a Administration 2,136,130 1,001,572 1,856,672 2 Finance 307,964 843,651 305,978 3 Statutory Bodies 707,466 296,041 823,844 4 Production and Marketing 1,343,538 744,970 999,012 5 Health 4,276,749 1,696,258 3,904,249 6 Education 7,917,458 3,185,809 5,676,587 Page 3 Local Government Workplan Vote: 559 Kaabong District Executive Summary 2014/15 2015/16 Approved Budget Actual Proposed Budget Expenditure by UShs 000's end of Dec 7a Roads and Engineering 1,871,279 413,708 1,862,775 7b Water 1,087,780 77,848 961,026 8 Natural Resources 249,867 58,868 871,505 9 Community Based Services 1,038,155 123,077 942,564 10 Planning 978,411 237,061 596,747 11 Internal Audit 66,549 24,530 35,186 Grand Total 21,981,346 8,703,393 18,836,146 Wage Rec't: 6,496,135 2,610,917 5,659,177 Non Wage Rec't: 3,660,655 2,162,145 5,014,188 Domestic Dev't 10,294,822 3,619,933 6,754,010 Donor Dev't 1,529,733 310,398 1,408,770 Expenditure Performance in 2014/15 Of the cumulative Ugx 11,464,940,000 received by the end of the first half of the Financial Year, Ugx 7,808,314,000 was spent and this represents 68.11% expenditure performance. The expenditure performance of the annual budget however is 35.52%. The departmental/sector expenditures were: - Administration (44.96%); Finance (259.25%) due to the receipt of Census funds that were not captured in the budget, Statutory Bodies (37.34%), Production (9.07%%), Health (30.05%), Education (39.35%), Roads and Engineering (22.09%), Water (7.12%), Natural Resources (21.41%), Community Based Services (10.2%), Planning was (21.73%) and Internal Audit (23.58%). However, there was notable low expenditure in all the departments save for Finance. The low expenditure performance in the Departments/Sectors with capital investments was because execution of contracts was to start in Q3 as the advert was run in Q1 and identification of the service providers was done in Q2. In Community Based Services department in particular, CDD was not transferred due to delays by the communities in responding to request for proposals for funding under the CDD grants. Other departments with recurrent expenditures had low expenditure given the cumulative revenues received were lower than the budgeted. Planned Expenditures for 2015/16 Funds will be spent for the various activities in the departments. Expenditure in Statutory Bodies and Natural Resources will be high due to the component of pension and gratuity and salaries of the newly recruited staff respectively. Expenditures in the rest of the departments will be lower as a result of the reduction of the revenue allocations to the respective departments due to the reduction of the IPFs and NUSAF II programme coming to and in Q1, FY 2015/16 Challenges in Implementation There are many constraints that Kaabong District faces in the implementation of its plans. Some of the major constraints in implementing future plans in the district among others include; lack of financial and technical capacity of the service providers to execute projects in time which in most cases results in unspent balances at the end of the financial year; the procurement process is long; over dependence on the Central Government transfers due to very low local revenue base; inability to attract and retain qualified and competent staff leading to low staffing level (currently at 50%) coupled with the ban on recruitment; high expectations from community members and poor road conditions especially during the rainy season, difficult terrain and general poverty among communities. Page 4 Local Government Workplan Vote: 559 Kaabong District A. Revenue Performance and Plans 2014/15 2015/16 Approved Budget Receipts by End Proposed Budget of Dec UShs 000's 1. Locally Raised Revenues 339,368 108,329 336,284 Royalties 0 2,000 Locally Raised Revenues 168,288 38,036 200,792 Local Hotel Tax 8,025 0 Land Fees 620 0 420 Unspent balances – Locally Raised Revenues 2,215 2,215 Agency Fees 14,924 19,000 21,924 Other Fees and Charges 117,139 32,019 82,000 Local Service Tax 28,157 17,059 29,148 Sale of non-produced government Properties/assets 0 2a.