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Financial Tensions Soar in Otuke as Councilors Demand Fair Revenue Distribution

By Solomon Okello

Otuke, Uganda – Otuke District’s local governance is facing significant strain as local leaders demand the release of 65% of the revenue generated from local taxes, meant to support sub-county activities.

The funds, which are collected through local taxes and initially sent to the Uganda Revenue Authority (URA), have become a point of contention between district authorities and sub-county leaders.

According to the Local Government Act, once the funds are collected by URA, they are forwarded to the Ministry of Finance, then redistributed back to the district.

While 35% is retained for district-level administration, the remaining 65% is meant to be allocated to the sub-counties.

However, Hon. Dagama Olwit, the LC3 of Adwari Sub-County and his fellow councilors have voiced strong concerns over the failure of Otuke District Local Government to release the full allocation.

Hon. Olwit, joined by council members from Adwari, expressed frustration that not only are the funds delayed, but the sub-counties have also been receiving a significantly smaller percentage than they are entitled to.

The district has been releasing only 47% of the expected funds, leaving a shortfall of 18%.

This reduction has placed a heavy burden on local leadership, with several critical functions – such as facilitating sub-county council meetings being severely impacted.

Local governance at the sub-county level relies heavily on the timely release of funds to ensure the smooth operation of key activities, including staff salaries, service delivery and community engagement.

The delay in disbursements has only heightened tensions between the district’s leadership and the sub-county representatives.

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Hon. Olwit and his fellow councilors have been calling for greater transparency and accountability from the district leadership.

They are demanding that Otuke District adhere to the Local Government Act and release the full 65% to the sub-counties, which they argue is crucial for maintaining operational efficiency and good governance.

“People are looking to us for leadership, but how can we lead when the resources we need are withheld? We need these funds to serve our communities effectively,” added Olwit, emphasizing the urgency of the matter.

The financial struggle within Otuke District highlights broader concerns over transparency in the management of public funds.

Sub-county leaders fear that without proper oversight and timely allocation of resources, the trust between local authorities and the public may erode.

Hon. Abola Frances, the LC5 Chairperson of Otuke District, has responded to the concerns raised by the sub-county leaders.

However, his reply has done little to calm the mounting frustrations.

Abola, who has been preoccupied with official duties – including a week-long stay at State House and additional trips to Munyonyo – was unavailable for direct engagement on the issue.

He assured local leaders that he would investigate the situation.

The delays and lack of communication have left many feeling unheard and unsupported.

The future of local governance in Otuke hangs in the balance as the delayed funds not only disrupt administrative functions but also affect the credibility of the district leadership. 

Otuke’s leaders are now under the microscope, with the pressure mounting to resolve this financial standoff and ensure that resources are distributed equitably across the district.

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