Districts should broaden their tax base

District Mayors last week, during the National Dialogue held at Parliament, presented a report on this year’s performance contracts highlighting their achievements. Nyamagabe District in the Southern Province emerged the overall winner in achieving the 2008 Performance Contracts commonly known as ‘Imihigo’, scoring 89.1 percent. The mayors had earlier presented similar achievements at a meeting with the Prime Minister Bernard Makuza, Ministry of Local Government officials—which also showed the underlining challenges to proper service delivery. In almost all, budgetary constraints were cited among the challenges affecting proper service delivery. This is a critical factor as you brace yourselves to tackle the 2009 performance pledges. To minimise the budgetary constraints, however, districts should look at ways of increasing their revenue collection from locally collected dues—by broadening the tax base—in order to reduce dependence on the central government. District priorities should address problems of poverty, enhancing agricultural production to a level where families have enough to eat and excess for sale. District leaders should also ensure effective service delivery and accountability for every coin and solve the problem of unemployment. When people see services delivered, you will not experience resistance while levying taxes. The media recently reported that the Ngoma district council passed a mini budget projecting to create about 19,000 jobs; this is pro youth budget which other districts should emulate. For projects to have a big impact on the grassroots communities, local leaders have to directly involve residents in their implementation. This calls for mass sensitisation of people on how best they can get involved in project implementation. Residents should be participants in development instead of remaining mere spectators. This will create a sense of ownership which important for project sustenance. Residents should be encouraged to get loans for investments. This is now easy as the current land reforms enable landowners to get title deeds, which can be presented to banks as collateral. People should overcome the fear of credit facilities. The leaders should then routinely monitor and evaluate the projects as some implementers are dubious people looking at getting money for shoddy or no work done. Recently, the Permanent Secretary in the Ministry of Infrastructure, Vincent Gatwabuyege was arrested for allegedly flouting tender procedures. This should be an eye opener. Contracts should be awarded on the basis of merit-by critically examining the qualifications of the contractors. These projects aim at helping the suffering poor, awarding contracts on the basis of technical ‘know who’ instead of merit, will not yield the expected results. Those friends or relatives you want to appease, at times in return for kick backs, do not mind about the suffering locals and you will see no value for the district’s money spent. As you begin another fiscal year you could consider revisiting some of the contracts and terminate those deemed wanting. Working on community roads will increase access to markets and health units- people can only work with good health. Districts should also improve electricity supply. Extending electricity supply in rural areas will increase economic activities and tax collection will be enhanced as more residents will be employed. This will raise your budgets. Local mediators commonly called Abunzi should be empowered not only to handle conflicts but also promote reconciliation in order to foster peace among residents as it is a prerequisite for development. Contact: jtasamba@gmail.com