Local revenue management and performance of urban councils in Uganda: a case of Nansana Municipal Council, Wakiso District

Abstract

This study investigated the effect of local revenue collection processes on the performance of the Nansana Municipal Council. The specific objectives were (i) to investigate the effect of revenue enhancement planning on the Performance of Nansana Municipal Council, (ii) to investigate the effect of the implementation of the revenue enhancement plan on the performance of Nansana Municipal Council, and (iii) to investigate the effect of revenue expenditure control on the performance of Nansana Municipal Council. A cross-sectional design was used adopted to collect quantitative and qualitative data whose questionnaire instruments had 0.879 reliability and 0.904 content validity index. Data was collected from a sample of 38 respondents and 9 key informants using the questionnaire and interview guide respectively. Data analysis was carried out by use of SPSS with descriptive and inferential methods of analysis. The findings of the study were that revenue expenditure control had a high positive effect on performance [Beta = 0.880, p<0.05], implementation of revenue has a positive moderate effect on performance [Beta = 0.780, p< 0.05], and revenue enhancement planning with a positive low effect on the performance of Nansana Municipal Council [Beta = 0.691, p<0.05]. It was concluded that revenue expenditure control had a high effect on performance and was the most predictive variable of performance at Nansana Municipal Council, implementation of revenue was the second predictor of performance, and revenue enhancement planning could be combined with any of the other variables to achieve positive outcomes in terms of performance. The study recommended that more revenue internal control measures should be put in place and utilized to save the taxpayers money for development and performance at the council.