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Mbale Municipality Registers UGX 1.9B Revenue Shortfall

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Kenneth Khatuli Waniaye, the Deputy Town Clerk Mbale Municipal, says transporters declined to pay their operational due, saying all dues were suspended by President, Yoweri Museveni in 2017.
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Mbale municipality is battling a huge shortfall in local revenue collection. Information obtained from Mbale municipal council shows that only Shillings 2 billion of the projected Shillings 3.9 billion was realized in the 2017/2018 financial year.

Shillings 972 million of the Shillings 1.9 billion shortfall was caused by none collection of revenue from the Bus Park and Taxi parks. According to the 2018/2019 financial year budget estimates, Mbale Municipal council expects to collect Shillings 4.8 billion.

Paul Batanda, the Mbale Town Clerk acknowledges the local revenue collection shortfall.  He says Buses and Taxi operators, which used to contribute the largest share of local revenue, are no longer paying operational fees.

He says they are also collecting between Shillings 10million to 11 million from Mbale Central Market each month instead of the projected Shillings 20 million.

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Kenneth Khatuli Waniaye, the Deputy Town Clerk Mbale Municipal, says transporters declined to pay their operational due, saying all dues were suspended by President, Yoweri Museveni in 2017.

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Apparently, the municipality is only dependent on revenue collection from the abattoir, loading and offloading fees, trading licenses and hotel tax, which can't finance its activities.

According to Khatuli, the poor local revenue collection has taken a huge tool on service delivery such as garbage collection, payment of utility bills, fencing schools and payment of support staff.

The Industrial Division LC 3 Chairperson, Charles Wafula, confirms the problem of the dwindling local revenue collection. He however says they are doing everything possible to overcome the problem.

Bernard Masaba, the Manager Mbale Bus Park, says they are willing to pay operational dues but they are only waiting for communication from the president on the matter.  

According to Masaba, they are currently facing challenges of paying people who clean the bus park and remove garbage following the decision by the municipality to terminate its service citing nonpayment by bus operators.

He says currently, they collect a small fee from fresh food vendors operating in the bus park, which they use to pay the workers. 

Hajjat Siyama Wabulo, a Committee member of Mbale Taxi Drivers Conductors and Owners Association, says they are willing to pay but they are still waiting for stickers.

Muhamad Wafula, the vice chairperson Mbale Central Market Business Association, says vendors pay money to the market master but wonders why Municipality is complaining of low revenue collection from the market.

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