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36 Districts Face Penalties For Noncompliance To Budgetary Requirements

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In his April 15th, 2020 circular, Keith Muhakanizi, the Secretary to the Treasury, says the local governments have failed to submit their budget draft estimates, work plans and performance contracts for the 2020/2021 financial year.
State Minister for Local Government Janiffer Namuyangu, speaking before to Local Government leaders in Masaka

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The Local Government Ministry has threatened to penalise 36 local governments for failure to meet their budgetary requirements on time. In his April 15th, 2020 circular, Keith Muhakanizi, the Secretary to the Treasury, says the local governments have failed to submit their budget draft estimates, work plans and performance contracts for the 2020/2021 financial year.

He says numerous reminders to the Accounting Officers in the affected local governments to submit the requirements before March 23rd, 2020 didn’t yield results. Although Muhakanizi extended the deadline of submitting the documents to Monday 20th April, some of the districts failed to make it, which he says is likely to delay the national budget planning processes.  

Now, the Local Government’s State Minister, Jenipher Kacha Namuyangu, says the Ministry is going to invoke its statutory powers to penalise local governments that have failed to comply with the budgetary requirements on time. 

She says the ministry guided local governments on how to lay their respective budget drafts during the lock down, saying that they don’t expect anybody to use it as an excuse to justify their failures. 

//Cue in: “All the local governments….    

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Sections 123 and 124 of the Local Governments Financial and Accounting regulations mandates the local government minister to penalise non compliant local governments and Accounting Officers with strategic budget cuts and individual liability that may include suspension or non-renewal of their contracts respectively. 

Richard Kyabaggu, the Kalungu LC V Chairperson whose district didn’t meet the set deadline, told URN on phone that the delays were partly due to the new online reporting system that is unreliable hence slowing down the process of submitting the budgets on schedule.   

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Willy Lugoloobi, the Kalangala LC V chairperson argues that being an Island district; some of their business committee members live in distant areas and couldn’t easily converge because of the lockdown.  

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Cue out; ….agye e Kalangala.”//  

The Lyantonde LC V Chairperson, Fred Muhangi, says they are going to coordinate with the relevant authorities to rectify the challenges, which he says weren’t deliberate.