Mak/pow/hoo

UNIT 5

LOCAL GOVERNMENTS

Introduction
The system of government in Uganda is divided between the
central Government and local governments. Central Government
institutions are those that were discussed in the preceeding unit
under Adniministrative Authorities. These include President,
Ministers, Government ministries, Public
Corporations,Constitutional Commissions and Offices,Tribunals
and the Police force. These operate at national level and usually do
not have geographical limits. On the other hand, local governments
are restricted specified areas and powers.
In this Unit you are expected;
In this Unit you are expected;
 To know the justifications of establishing local governments
 To know the justifications of establishing local governments
 To understand the principles underlying the local governments
 To
Toknowunderstand thethe local
the powers of principles underlying the local
governments
 Togovernments
internalize the limitations of local government powers
 To
Toestablish
know thecentral/local
powers of relationships
the local governments
 To internalize the limitations of local government powers
 To establish central/local relationships

Principles of Decentralization
The Local Government system in Uganda is derived the National
Objectives and Directive Principles of State Policy which are
part of the Constitution of Uganda. Among the political objectives
there are democratic principles.

The applicable democratic principles are:

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i) The State shall be based on democratic principles which
empower and encourage the active participation of all citizens
at all levels in their own governance.
ii) ……………..
iii) The State shall be guided by the principle of decentralisation
and devolution of governmental functions and powers to the
people at appropriate levels where they can best manage and
direct their own affairs.
Defination
Decentralization is a process of dispersing decision making and
implementation from the central government to lower government
units.it also includes delivery of services at lower levels of
governments. Such decisions,implantation and services may relate
to planning for local areas, raising of local revenue, management
of resources, accountability for public resources and promotion of
public welfare.

Centralised Governments
Decentralisation is contrasted from a centralized system of
government which is characterized by the following;
 Decisions are made by the central government with minimal
or no input from the local areas.
 Local administrative units are expected to implement
directives of the central authorities.
 All laws are made by the central government. Local
governments are expected to implement them without input
or questions.
 Recruitment and control of all employees is done centrally by
the central government authorities.
 All financing arrangements are made from the central
government.
 Accountability is made and enforced by the central
government organs.

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Reasons for Decentralised of powers
Decentralization is justified on the following grounds:
 It enables the public to participate in decision making.
 It brings services closer to the people.
 It promotes accountability of public officials.
 It minimizes bureaucracy.
 It creates efficiency in government operations.
 It allows optimum utilization of resources.

Activity
Discuss the disadvantages of decentralization with special
reference to examples from your local situation.

Principles of the Local Government System in Uganda

Art 176 of the Constitution puts in place the principles of
decentralization. The Article provides that the Local Government
shall be based on the district and lower local governments and
administrative units as Parliament may be law provide.

Art 178 of the Constitution allows two or more local governments

to form a regional government. This aspect is yet to be
operationalized in both law and fact. This part will therefore
discuss districts and lower local governments.

The principles that shall apply to local governments system

include:
 Devolution and transfer of functions, powers and
responsibilities from the central government to local
governments.
 Decentralization to ensure peoples participation in decision
making.
 Democratic governance.
 Sound financial base with reliable sources of revenue.
 Ability to plan, initiate and execute policies in local areas.

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 Control over local staff.
 Monitoring central government programmes and services.

Some of the applicable Laws

There are many laws that govern the operations of local
governments. These laws include the Constitution, Acts Parliament
and subsidiary legislation enacted by the respective local
governments. Some examples applicable laws are the following;
1. Articles 176 – 207. Chapter 11 of the Constitution.
2. Local Governments Act Cap 246.
3. Town and Country Planning Act.
4. Animal Diseases Act.
5. Education Act.
6. Land Act.
7. Local Government (Rating) Act.
8. Natural Environment Management Act.
9. Trade (Licencing) Act.

Local Government Units

Local Governments include the District Council, Sub-county
Councils, City Council, City Division Councils, Municipal
Council, Town Council and Municipal Division Councils. Within
the local governments, there are administrative units which include
the District, Sub-county and Parish.

Powers of Local Governments

The powers of local governments are derived from the
Constitution, the Local Governments Act and other Acts of
Parliament some of which are indicated above.

The various powers of local governments include:

 Executive powers
 Legislative powers
 Planning powers

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 Financial powers

Executive Powers
The Constitution gives executive powers to local governments
under Article 180. The executive powers of a local government
are entrusted to the Local Council. Under S. 17 of the Local
Governments Act, the Executive Committee of a Local Council
performs the executive functions of a Local Council. In effect, the
Executive Committee is a delegate of the Council.

Executive functions relate to the formulation of policies and

supervision of implementation of policies.

S. 31 of the Local Governments Act provides that executive

functions can only relate to the jurisdiction of the Local Council. In
the case of UGMA Engineering Co. Vs Lugazi Town Council,
the court held that a Local Council cannot exercise its powers
beyond the geographical limits of the local area.

The executive functions must also relate to the jurisdiction of the

subject matter of each local government as specified under the 2nd
Schedule to the Local Governments Act. The schedule lists the
functions that may be performed by the Government centrally and
the respective local governments and administrative units.

S. 17 and S. 26 of the Local Governments Act both give the

functions of executive Committee at District and lower Local
Governments levels.

Activity-Peruse S. 17 and 26 of the Local Governments Act and

indicate how each of those powers are exercised in your local
area.
LEGISLATIVE POWERS

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The legislative powers of local governments are derived from Art
206 (2) (a) of the Constitution. It provides that Parliament shall
make laws enabling local governments to make laws, regulations
or other instruments for the administration of their areas of
jurisdiction. Pursuant to this article, the Local Governments Act
has provisions relating to local government legislation.

S. 38 gives District Councils to make ordinances for their areas.

In similar terms S. 39 gives lower local governments power to
make bye laws.

Activity
Do you think that the Constitution and the Local Governments
Act are justified in giving powers to local governments?

Procedure of making Local Legislation

The procedural requirements of making local legislation i.e.
ordinance and bye laws are contained in the following legal
provisions:
a) S. 38 requires local bills for ordinances to be approved by the
Attorney General, signed by the Chairperson and to be gazetted.
b) S. 39 provides in similar terms like S. 38. However, approval
for enactment of the bill and certification of constitutionality is
done by the District Council.
c) The 3rd Schedule to the Local Governments Act (Local
government Regulations) gives the general procedure to be
adopted in the enactment of bills for ordinances and byelaws.
See Rule 22.

The summary procedures derived from the above provisions are as

follows:
 Draft bill originated by the executive or any member of the
Council.
 Antecedent publication of at least 14 days in the local media or
public places.

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 Formal debate in council.
 Reference to the Attorney General.
 Signature of Chairperson.
 Gazetting in the Uganda Gazette (Posterior Publication).

Jurisdiction for local legislation

The jurisdiction of legislative powers is confined to geographical
limits and the distribution of powers as contained in the 2 nd
Schedule to the Local Governments Act. There are also specific
restrictions to legislative powers in S. 39 and 40 of the Local
Governments Act.

Activity
Discuss the relevancy of each of the stated procedures.

Tests of Validity of the Local Legislation

Ordinances made by District Councils and bye laws made by lower
local governments can only be valid if they pass the following
tests.

 Constitutionality
S. 38 and S. 39 are both clear that the ordinances and bye laws
should not be inconsistent with the Constitution. According to
Art 2 of the Constitution, if any law is inconsistent with the
Constitution, such a law shall be void. To avoid this situation,
the procedures require reference to Attorney General for
certification that the proposed law is in conformity with the
Constitution.

 Acts of Parliament
S. 38 and 39 of the Constitution also provide ordinances and
bye laws must be in conformity with other laws enacted by

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 Parliament. To this end, the ordinances and bye laws should not
exceed the powers granted under the Local Governments Act or
any other Act of Parliament. It is also the responsibility of the
Attorney General to review proposed bills and advise on their
compliance with Acts of Parliament.

 Certainty
Laws must be clear and unambiguous. They must be clear as to
what is permitted or prohibited. They must be clear as to
sanctions or consequences of non-compliance. In the case of R
Vs Harmittee, the appellant was convicted of breach of a rule
that provided that “No person shall cause any disturbance so
as to be an annoyance to any residents or passengers”. The
court held that such a law was ultra vires because it was
uncertain. It was not clear on what is prohibited or authourised.

 Reasonableness
Laws must be reasonable in the context of the local community.
Unreasonable laws can be struck out by courts. In Kanji Vs
Tanga Township Authority, a rule which took away the
presumption of innocence was regarded as unreasonable. The
rule provided that “No person shall know or deposit in or
upon any street dust, refuse or noxious matter. Any such
accumulation being in front of any house shall be prime facie
evidence that the same has been through there or deposited
the occupier of the house” The court held that such aa clause
was unreasonable.

 Ultra Vires Doctrine

Laws must comply with the subject matter jurisdiction as
provided for in the Local Governments Act and other Acts of
Parilament.. The relevant public authorities at local government

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 level must also be properly constituted in terms of membership
and quorum.

 Procedural Ultra Vires

The established procedures must be complied with. In Wakiso
Estates Vs R, the court set aside regulations which the
Governor had enacted without following established procedures.
In that case, the Statute provided that the Governor shall enact
regulations which will only be enforced after being laid before
the legislative Council. The Governor had omitted that
procedure. The court held that the regulations could not be
enforced because they were invalid.

Therefore, failure to make the necessary publication or approval

of Attorney general or omission of other procedural
requirements renders the ordinance or bye law a subject of
challenge.

Activity
Trace the development of any local government legislation of
your choice and record compliance with the above procedural
requirements. Please use the actual documents.

PLANNING POWERS
Local Governments are given power to draw up development plans
for their local areas. The local development plans are supposed to
be integrated into natural plans by the National Planning Authority.

Activity
Discuss the difference between development and physical planning. Give
the applicable laws in each case.
Discuss how the development planning function is carried out in your
local area. 9
FINANCIAL POWERS
The financial powers of local governments are based on the
following constitutional principles:
a) Local governments must have a sound financial base with
reliable sources of revenues.
b) Local governments must be able to plan, initiate and execute
their own projects and programmes within their local areas.

The above principles are given a legal framework under the Local
Governments Act. The Act gives:
a) Sources of local government finances.
b) Acceptable expenditures and procedures.
c) Controls over local government financial powers.

Sources of Local Government Finances

1. Grants to Central Government

Article 193 of the Constitution and S. 83 of the Local
Governments Act provides that the President shall for each
financial year propose grants to be approved by Parliament for
purposes of financing local government operations. These
grants include:
a) Unconditional grants – being money given to local
governments to run decentralized services.
b) Conditional grants – being money given to local
governments to financial projects or programmes that are
agreed upon between the Central Government and Local
Government.

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 c) Equalization grant – being money given to least developed
districts to enable them to be closer to the national average
in terms of development.

2. Taxes, Fees, Charges, etc

Article 191 f the Constitution and S. 80 of the Local
Governments Act allow local governments to levy, charge and
collect fees and other taxes, including rates, rents, royalties,
stamp duties and registration and licencing fees.

3. Local Service Tax

This tax is levied under the Local Service Tax Act 2006. It is
based on productive activities of the population.

4. Borrowing
Local Governments have powers to borrow funds for purposes
of its operations.

5. Grants on Non Government Services

Local Governments are empowered to receive gifts or
donations for purposes of their operations.

6. Investments
Being corporate bodies Local Governments are also may make
investments and can therefore receive funds as returns on
investments. This is rare given the levels of funding.

Controls over Local Government Financial Powers

There are various controls that ensure that Local Government
financial powers are not abused. These include:
a) Planning Process
Local Governments are expected to appropriate funds to the
projects and programmes that have been agreed upon in their
development plans.

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b) Budgetary Process
Under S. 77 of the Local Governments Act, local governments
have powers to formulate, approve and execute their own
budgets. Under S. 81, no funds may be appropriated except in
accordance with a duly approval budget.

c) National Priorities
Local Government budgets must reflect national programmes
priority areas. It is the duty of the Local Government
Financial Commission to advise the President where a local
government fails in this obligation. It is expected that the
President will take appropriate action.

d) Accounting Officer
The Chief Administrative Officer is also the accounting
officer. He/she takes responsibility to ensure that all financial
transactions conform to budgets and the Local Government
financial regulations, procument and other accountability laws.
The accounting officer is aswerable to Parliament and can be
personally held responsible for any financial loss.

e) Internal Auditor
This is a statutory office which has responsibility of ensuring
that all financial expenditures are incurred in accordance with
the relevant regulations and standards.

f) District Public Accounts Committee

This is a statutory committee whose responsibility is to
examine reports of Auditor General and Commissions of
Inquiry and make appropriate reports to the Minister.

g) Inspectorate of Government
Inspectorate of Government has constitutional and statutory
powers under the Leadership Code Act to investigate any cases
of financial indiscipline.

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h) Books of Account
Local Governments are under a duty under S.86 of the Local
Governments Act to keep proper books of accounts.

i) Auditor General
Auditor General audits all Local Governments books of
account and makes reports to Parliament and the District
Public Accounts Committee.
j) Procurement and Disposal of Assets
The procurement and disposal of assets of a local government
is governed by the provision of the Public Procurement and
Disposal of Assets Act. This Act aims at transparent
procurement and disposal of assets processes and also aim at
value for money procurement.

k) Resident District Commissioner

Under S. 71 of the Local Governments Act, the Resident
District Commissioner has powers to monitor activities of a
local government and can draw to the attention of the Auditor
General the need for special investigation audits.

Activity
The above controls are many and aimed at eliminating
financial indiscipline. Assess the effectiveness of each of these
controls in your local area.

ADMINISTRATIVE POWERS
The administrative functions of local governments are performed
by district officers through administrative units. S. 45 of the Local
Governments Act establishes administrative units at county, parish
and village levels. Adniminsrative powers are exercised by district
officials and departments.

Local Governments Act

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The administrative powers of a District local government are
entrusted to the Chief Administrative Officer. The Town Clerk has
administrative powers over an urban adniministrative council like a
town, municipality, and a city.

The Chief Administrative officer or Town Clerk is assisted by

Deputies and assistants. Other administrative functions are
performed by Heads of Departments and district officers appointed
by the District Service Commission.

The administrative functions of officers include the

implementation of Government and Local Government policies
and the execution of laws by the central and local governments.
The specific administrative function are set out in 64, 65 and 69 of
the Local Governments Act.

Activity
Read S. 63 to 65 and 69 of the Local Governments Act.
Identify the differences in terms of functions of Chief
Administrative Officer, Town Clerk and Sub-county Chief.

Other Acts of Parliament

Local Governments also carry out administrative functions under
various Acts of Parliament e.g. under the Town and Country
Planning Act, the local authorities have powers to ensure planned
developments of buildings and structures within their areas of
jurisdiction.

In the Public Health Act, local authorities have powers to inspect

both public and private premises with a view of ensuring that such
places are fit for habitation and not dangerous to the general
public.

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In the Animal Diseases Act, local authorities have powers to
impose quarantine and other restrictions for purposes of preventing
the spread of diseases.

In the Trade (Licencing) Act, local authorities have powers to

issue licences after duly inspection of places of business. Local
authorities can also cancel licences where the holders fail to
comply with the licencing conditions.

Under the Local Government (Rating) Act, local governments

have powers to levy and charge rates on properties within their
areas of jurisdiction.

Activity
Identify any other laws which gives local authorities
administrative powers and discusss the extent and justification
of such powers..

Local Government Employees

The administrative functions are preformed by local government
employees. Art 198 of the Constitution establishes a District
Service Commission. The function of the District Service
Commission are set out in S. 55 of the Local Governments Act.

The main function of the District Service Commission include the

following:
 The power to appoint persons to hold or act in any office in the
service of the District or Urban Council;
 Power to confirm appointments;
 Power to exercise disciplinary control or district staff;
 Determine the terms and conditions of service.

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The Chief Administrative Officer and Deputy Chief
Administrative Officer and Town Clerks are appointed by the
Public Service Commission. Other district officers are appointed
by the District Service Commission.

The terms and conditions of service for all local government staff
are those that apply to the public service generally. It is the
responsibility of the Public Service Commission to coordinate
these aspects and to ensure uniformity.

Security of Tenure
Art 173 of the Constitution that protects all public officers from
victimization, discrimination or unwarranted removal from office
equally applies to officers of the local government. Specifically,
and in similar terms, S. 59 of the local governments staff provides
that a District officer shall not be victimized discriminated against
where she or he performs his or her duties in accordance with the
Constitution and other laws. The same section requires that any
dismissal or removal from office must be with a just cause.

A just cause must relate to a breach of a law, standing orders and

terms and conditions of service. The established disciplinary
processes and procedures must be invoked.

Disciplinary action must be taken by the proper authority. In

Kashaka Muhanguzi Vs Songhor, the court held that dismissal of
Chief Administrative Officer by the Chairperson of the District
was illegal. The complainant was reinstated in office.

Similarly, in the case of The matter of Interdiction of Bukeni

Gyabi Fred, the judge said that the Constitution and the Local
Governments Act requires disciplinary action to be taken by the
District Service Commission and no other person or authority. The
court further said that the District Service Commission is

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independent and cannot work on the directives of the Executive
Committee.
S. 61 in the Local Governments Act provides that the terms and
conditions of service shall conform to those prescribed for the
Public Service generally. This means that the salary, entitlements
and disciplinary procedures are the same like the Public Service.
The section however provides for compensation for persons who
are removed from the district service contrary to the terms and
conditions of service. This compensation is punitive and high in
order to minimize such occurrences.(read s.61 in entirety)

Legal Liability of local governments

S. 6 of the Local Governments Act provides that a Local
Government Council shall be a body corporates. The implication
of that is;
 It has perpetual succession i.e. it continues in existence
irrespective of the nature of holders of office at a particular
time.
 It has a common seal – all transactions are evidence by affixing
thereto a seal as a symbol of authentication.
 It may sue or be sued in its corporate name. Individual district
officers faithfully acting in accordance with the law and on
behalf of the Council do not incur individual liability. The
Council is vicariously liable for their actions. Likewise, the
Local Councils have powers to institute suits in order to protect
their legal interests.
 It may own property in its own name. This includes movable
and real property. It is therefore subject to all rights and
obligations relating to ownership, control and use of property as
if it was a private individual.

Local Governments are liable to legal proceedings as if they were

private persons. The provisions relating to proceedings against
government apply. Hence the applicable laws contained in the

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Government Proceedings Act and Civil Procedure (Miscellaneous
Provisions) Act apply to local governments e.g. a statutory notice
of 45 days must be served on the Chief Administrative Officer
before proceedings can be instituted against a local government.

Local Governments can also be subjected to the enforcement

processes like individuals. Hence contempt of court processes can
be initiated where an officer has disobeyed court orders.

Property of local governments may be attached as a consequence

of court orders. However, S. 6 of the Act gives limitation to
attachment of property. Only movable property may be attached.
Attachment can only be effected after a notice of six months.
Activity
Discuss any legal suit to which your local government has been a party.

CENTRAL GOVERNMENT CONTROLS

Why are controls in place?

The Local Government Act gives various controls in which the
Central Government is given power to ensure that powers are
exercised in a particular way. These controls are put in place to
ensure that decentralized powers are abused. Why controls:
 To ensure compliance with laws.
 To ensure compliance with national policies.
 To ensure compliance with government procedures.
 To ensure efficiency in operatives.

The Controls
1. Ministry of Local Government
Under S. 98, the Ministry of Local Government has statutory
powers to monitor and coordinate the activities of local

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 governments. This ensures uniformity of actions, practices
and procedures. It eliminates arbitrary action by local
governments.

2. Line Ministries
Line ministries have powers to guide local governments on the
implementation of laws and policies relating to the relevant
Ministry. In this regard, the Ministry officials are empowered
to inspect local government premises, records and make
appropriate findings. Line ministries also handle complaints
emanating from local governments as far as they relate to the
Ministry.

3. Minister of Local Government

Minister of Local Government has powers to interfere where a
local council is exercising powers unlawfully or inefficiently.
The Minister can set up a Commission of Inquiry and make its
findings known to the relevant authorities for appropriate
disciplinary action.

4. Inspectorate of Government
The Inspectorate of Government has powers under the
Leadership Code Act and Inspectorate of Government Act to
take action where there suspicion or allegation of corruption
and other forms of abuse of powers in a local government.
The Inspectorate of Government can recommend appropriate
administration sanctions against public officers who misuse
their powers.

5. Public Service Commissions (including Education and

Health Service Commission)
These Commissions have constitutional duty to guide and
coordinate the activities of the District Service Commission.
This ensures uniformity in terms of procedures of
employment, terms and conditions of service and disciplinary

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 procedures. Decisions of the District Service Commission can
be a subject of appeal to the Public Service Commission.
However the public Service Commission cannot impose its
decisions on the district service commissions. In case of
differences of opinion the provisions of s.61 will apply.

6. Office of the President

Under S. 110 of the Local Governments Act, the President
may take over the administration of a District under the
following circumstances:
 Where the District Council request so.
 Where a state of emergency exists in the District of Uganda
generally.
 Where it has become extremely difficult for the district
government to function.
This takeover is subject to approval of Parliament as it is for a
limited period of 90 days unless extended. In such a period,
the President will exercise legislative and executive powers
through an appointed public officials

7. Public Offices and Bodies

There are also other public offices that have a role in ensuring
that local government powers are not abused. These include:
 Auditor General - Ensures financial
discipline in
government financial
transactions under the
Public Finance and
Accountability Act and
Audit Act.

 Public Procurement and

Disposal of Assets Authority - Ensures transparent
value for

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 money procurement in
accordance with established
laws and regulations under
the Public Procurement and
Disposal of Assets Act.

 Police - Detects crimes and apprehends

offenders. This may
especially be effective in
cases of fraud, causing
financial loss and other
economic crimes.

 Director of Public Prosecutions-Prosecutes suspects in

courts of
law. He may take action in
cases of misuse of public
resources.
- Advises the President
where a local government
detracts from natural
programme priority areas.

 Local Government Finance

Commission - Advises the President on
the
level of grants payable to
local government and
sources of local
government revenue.

Activity

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Discuss the view that the above central government controls negate
or undermine the basis of existence of the concept of
decentralization of functions, powers and responsibilities.

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REGIONAL GOVERNMENTS

Artcle 178 of the Constitution provides that two or more districts

may form a regional government .Regional governments shall be
body corporates with power to handle matters which are contained
in the 5th Schedule to the Constitution. These include secondary
education, regional roads, regional hospitals, culture, water and
sanitation, services surrendered by districts, land use.

Regional governments are supposed to operate through

democtratically elected assemblies and shall have executive and
legislative powers on matters within their jurisdiction. They may
raise charges subject to approval of central government. They may
also receive reports of accountability from districts.
The Regional governments Act 2009 was passed to operationalise
the provisions of Art 78.

See also The Traditional and Cultural leaders Act 2011

KAMPALA CAPITAL CITY AUTHORITY ACT 2011

This Act operationalises Art 5(6) of the Constition which provides

for a separate law for management of the Capital City. It provides
for a Lord Mayor and political head of the authority. The Lord
Mayor priseds over the meetings of the Council of the Authority.
The is an executive Director who is appointed by the President and
is responsible to the Central Government.

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