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Mbarara, Uganda | THE INDEPENDENT | Mbarara city leaders have expressed concern over the decreasing local revenue for the financial year 2021/22.
The city had projected to collect 1 Billion Shillings for the first quarter of the financial year, but only 500 Million Shillings was collected.
The leaders accuse the contractors that were awarded the tenders to collect the local revenue on behalf of the council for reducing their payments without council approval.
They cite a contractor who was supposed to pay 17 million shillings from street parking but paid only 200,000 shillings, while the contractor who was supposed to pay 7.8 million shillings from the charcoal market was allowed to pay 500,000 shillings among others.
James Baryomunsi, the councilor representing Mbarara city North A says during committee sittings, councilors were denied documents explaining local revenue collections. He questioned the imbalance in payments from divisions noting that a division with small parking space paid higher fees compared to the division with large parking space.
John Matama Behagana, the Mbarara city town clerk says some revenue contractors petitioned his office about the low collections. He adds that the committee that was put in place to investigate a drop in revenue collections recommended the reduction of revenue payments.
Donati Kamugisha, the acting Principal Treasurer of Mbarara city distanced himself from the reductions noting that they were done the previous financial year.
Ronald Taremwa, the city Finance Minister says he was only told by the revenue section that management had effected the 30% reduction to only the markets that were affected by the 42 days of lockdown.
Robert Mugabe Kakyebezi, the Mayor Mbarara city says that the executive committee has recommended that all people involved in causing losses to the city be penalized.
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