Local Government Budget Framework Paper Vote: 549 Rakai 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 2015/16 Page 1 Local Government Budget Framework Paper Vote: 549 Rakai District Foreword Rakai District is committed to improving the quality of life of her people through provision of social services and achievement of millennium development goals. During the past Financial Years, remarkable progress was made in the sectors of Water, Education, Feeder Roads, Primary Health Care and Production. Every year, the district prepares the Budget Framework Paper which analyses the revenue and project performances and priorities for the coming Financial Year. In this document the district has aligned it’s priorities towards the National priorities and the PEAP framework. The district will as well institute strong measures for reviewing and monitoring implementation of priorities across all the sectors. On behalf of Rakai District Council, I wish to extend my gratitude to the Government of Uganda, Development partners, technical staff and all other stakeholders that contributed to the development of this document. I am hopeful that this document will go a long way in directing sustainable development that aims at improving the quality of life of the Rakai District community. Mugabi Robert Benon / District Chairperson / Rakai Page 2 Local Government Budget Framework Paper Vote: 549 Rakai District Executive Summary Revenue Performance and Plans 2014/15 2015/16 Approved Budget Receipts by End Proposed Budget September UShs 000's 1. Locally Raised Revenues 1,989,876 492,986 1,989,876 2a. Discretionary Government Transfers 4,243,741 787,700 4,243,741 2b. Conditional Government Transfers 37,343,004 7,661,863 37,343,004 2c. Other Government Transfers 3,775,627 1,927,494 2,556,641 3. Local Development Grant 822,830 205,707 822,830 4. Donor Funding 1,410,000 91,757 1,410,000 Total Revenues 49,585,078 11,167,506 48,366,092 Revenue Performance in the first quarter of 2014/15 The district received a total revenue of UGX 11,167,506,000 by end of the first quarter of which the Central Gov’t transfers were UGX 10,582,764,000 , Donor funds were UGX 91,757,000 and locally generated revenue of UGX 492,986,000 against the annual budget of UGX.49,585,078,000 which is 23%.The poor performance of donors is attributed to the delay in release of funds from LVEMP II project which was expected to bring in around 600m.The low revenues performance was caused by the delayed sale and slow payment of Mutukula plots and cattle quarantine of cattle markets thus affecting market dues from markets. Planned Revenues for 2015/16 The District revenue estimate for FY 2015/2016 is UGX 48,366,902,000 compared to the annual budget of UGX 49,585,078,000 for FY 2014/2015 .The reduction in revenue budget in the FY 2015/2016 is attributed to conducting of Uganda Population and Housing Cencus 2014 which led to high revenue estimates in FY 2014/2015 Expenditure Performance and Plans 2014/15 2015/16 Approved Budget Actual Proposed Budget Expenditure by UShs 000's end Sept 1a Administration 2,427,585 558,469 2,756,133 2 Finance 1,182,400 207,226 712,256 3 Statutory Bodies 1,013,015 181,275 1,031,368 4 Production and Marketing 1,205,280 178,356 1,205,280 5 Health 9,337,291 1,799,379 9,328,305 6 Education 27,025,814 5,344,117 26,976,814 7a Roads and Engineering 2,902,995 459,472 3,063,282 7b Water 863,241 87,907 882,326 8 Natural Resources 914,428 58,059 914,428 9 Community Based Services 792,539 100,095 817,323 10 Planning 1,782,202 1,458,331 521,201 11 Internal Audit 138,288 30,127 157,374 Grand Total 49,585,078 10,462,813 48,366,092 Wage Rec't: 32,668,424 6,154,531 32,668,424 Non Wage Rec't: 12,185,393 3,726,149 10,985,393 Domestic Dev't 3,321,261 498,473 3,302,275 Donor Dev't 1,410,000 83,661 1,410,000 Expenditure Performance in the first quarter of 2014/15 The district and 22lower local governments received a total revenue of UGX 11,167,506,000 from Central Gov’t transfers , Donor funds and locally generated revenue against UGX.49,585,078,000 budgeted which is 23% realization. The expenditure by the end of the quarter was UGX 10,462,813,000 which is 94% performance. The Page 3 Local Government Budget Framework Paper Vote: 549 Rakai District Executive Summary unspent balance of UGX 712,817,000/= was for Local revenue from the sale of plots at Mutukula Prison land meant for construction of reception centre for the Prisons , for Naads salary due to delayed release of advisory pay slip from the centre,capital development due delayed approval of contracts above fifty million by office of solicitor General and late commencement of some works by the contractors Planned Expenditures for 2015/16 The District Budget for FY 2015/16 was formulated to focus on improved livelihood conditions of our communities through properly identified and guided alignments to strategic inventions in feeder roads improvements, increased production and productivity at household level, improved health, education services, safe water provision especially in rain harvesting in order to improve on safe water coverage in the district. The 2015/2016 expenditure plans were presented to Technical Planning Committee, District Executive committee and later the Budget Desk consolidated the draft Budget Framework Paper which was presented before District Budget conference and recommendations were made to address the challenges encountered and it was from these recommendations that were the basis for the District to address the expenditure plans, justifying to any changes to resource allocation to work plans in the FY 2015/2016. Therefore, the planned interventions will be stated sector by sector.Works-During FY 2014/15 the District will under take Routine maintainance of 519.2km of District Roads and periodic maintained 146km of roads i.e 8km of Kabira-Kigona-Nazigo road,10km of Buyamba-Ddwaniro-Ttaba road,12km of Kibaale-Kiziba-Ntantamukye road,10km of Lwamagwa-Byezitiire- Kacheera road,11km of Kakuuto- Minziro raod, 8km of Kiswere-Kigeye road,7km of Bethlehem-Kalagala-Nsumba road, 12km of Lwanda-Kakoma- Makondo road, 12km of Kasasa-Kachanga road,15km of Bulanga-Bbale- Kasoga road, 10km of Katera-Minziri road, 2km of Kyamalansi-Biikira swamp,8km of Ddyango-Ngabirano raod,11km of Nkoko-Kirumba road.Education- Constructed 5 stances of Lined Pitlatrine at Lwengo P/S,Biwa P/S,Lyakisana P/S,Kanoni P/S,Ddyango P/S,Rakai P/S,Kayunga P/S and Kyassimbi-Kakuuto P/S.Constructed 3 classroom blocks each at Ndolo P/S and Kyalubambula P/S.Health-Construction of OPD block at Kibaale H/CII and Gwanda H/CII,Construction of Maternity ward at Kibanda H/CIII and Nabigasa H/CIII.Procurement of 4Motorcycles.This will increase on OPD utilisation by both NGO and gov't health units ,provision of ANC services to pregnant mothers.Water-Construction of 27 Hand dug,1water borne toilet, 2 valley tanks,12 protected springs,10 motarised drilled shallow wells, repair of 25 boreholes and organisation of water meetings with the stakeholders for better service delivery to the community. Medium Term Expenditure Plans District expenditure aims at achieving the District Vision of “A transformed Rakai community from a peasant to a modern and prosperous district within 30 years”. The expenditures are also aligned with priorities in the National Development Plan and 5 year District Development Plan which derived from the sector annual work plans for example access to safe water will increase from 56% to 65%, increase school enrollments from 117037 pupils to 218567 by 2015 , reduce the HIV/AIDs prevalence from 11% to 4% and to increase incomes of our communities through increased production and productivity . Challenges in Implementation Rakai District experienced various challenges in implementing the plan and includes: Weather: unfavorable weather conditions were experienced and most of the district roads were cutoff especially in Kacheera and Kyebe sub-counties respectively and this greatly affected the local revenue from markets, stalls and Landing sites. Fuel prices: the rising fuel prices have led to increased transport costs which have greatly affected the budget implementation. Cattle quarantine: the on and off cattle quarantine affecting both the livestock and good market especially in Kakuuto County since the financial year begun the markets in Kakuuto county have been affected by the quarantine and yet the tenderers had paid the six months in advance and this has hampered a lot to the revenue collection since cattle markets are one of the major local revenue. Failure of the local community to embrace Local Service Tax and make payments as required by law will directly constrain the District future plans implementation. Inadequate transport facilitation due to existence of old vehicles which are in dangerous Mechanical Condition for all sectors and without question will hold back the implementation of the District Future Plans. The structural changes in the economy of Uganda which are always linked with inflation especially on negative side of it making procurement plans and other project implementations difficult due increased fuel prices Increased costs of construction materials yet the funding levels have remained constant for the previous 3-5 Financial Page 4 Local Government Budget Framework Paper Vote: 549 Rakai District Executive Summary Years Movement of cattle along the road also affects the road network Poor quality of underground water especially in Kooki.