An Act to provide for local governments in line with the Constitution to give effect to decentralisation and devolution of functions, powers and services; to provide for decentralisation at all levels of local governments to ensure good governance and democratic participation in, and control of, decision making by the people; to provide for revenue and the political and administrative setup of local governments and to provide for election of local councils and for related matters.

Local Governments Act

<p>The Local Governments Act (Cap 138) establishes a decentralized system of local governance in Uganda, transferring functions, powers, and services to district, municipal, town, subcounty, parish, and village councils. It applies to all citizens, elected leaders, public officers, and anyone interacting with local government. The Act defines how councils are formed, how they operate, how elections are conducted, how finances are managed, and how accountability is ensured. Understanding this Act helps you know your rights to representation, participation, and fair administration at the local level.</p>

<h3>Structure of Local Government</h3>
<p>The Act sets up a hierarchical system of local government units. The <strong>district</strong> is the fundamental unit, with <strong>subcounties</strong> in rural areas. Cities are equivalent to districts, with <strong>city divisions</strong> equivalent to municipalities. Towns and <strong>municipal divisions</strong> are equivalent to subcounties. Below these are administrative units: <strong>parishes</strong> and <strong>villages</strong> in rural areas, and <strong>wards</strong> and <strong>cells</strong> in urban areas. Each unit has a council as the highest political authority.</p>

<h3>Composition and Leadership of Councils</h3>
<p>District councils include directly elected councillors, a chairperson, a woman councillor per area, and representatives for youth, persons with disabilities, older persons, and workers. Lower councils (subcounty, municipal, town, division) have similar representation, including special interest groups. Each council elects a <strong>speaker</strong> and <strong>deputy speaker</strong>. The chairperson is the political head; the <strong>vice chairperson</strong> and up to three <strong>secretaries</strong> form the executive committee. At least one secretary must be female. Executive committees initiate policy, oversee implementation, and coordinate services.</p>

<h3>Elections and Voting</h3>
<p>Local council elections are organised by the <strong>Electoral Commission</strong>. You have the right to vote if you are a Ugandan citizen, 18 or older, and resident in the area. Elections are by secret ballot (for higher councils) or lining (for village/parish councils). The Act details nomination procedures, campaign rules (including restrictions on using official facilities and sectarian symbols), polling station setup, vote counting, and results declaration. <strong>By-elections</strong> must be held within 90 days for council vacancies and within six months for chairperson vacancies. Election petitions can be filed in court within 14 days of results publication. The Act lists offences such as bribery, personation, undue influence, and obstruction, with penalties including fines and imprisonment.</p>

<h3>Functions and Powers of Local Councils</h3>
<p>Councils have both legislative and executive powers. They can make <strong>ordinances</strong> (district level) and <strong>byelaws</strong> (lower councils), provided they are consistent with the Constitution and national laws. They deliver services (except those reserved for central government), plan and budget, monitor NGOs, and maintain law and order. The Act also allows councils to delegate functions to committees or lower councils, and to cooperate with other districts through joint councils or trust funds.</p>

<h3>Financial Management and Accountability</h3>
<p>Local governments must prepare balanced budgets annually, aligned with national priorities and development plans. Revenue comes from local taxes (e.g., hotel tax, local service tax), grants from central government (unconditional, conditional, equalisation, and petroleum royalties), and borrowing (subject to Schedule 7). The <strong>Chief Administrative Officer</strong> (district) and <strong>Town Clerk</strong> (urban) are accounting officers responsible for funds. Accounts must be audited by the <strong>Auditor General</strong>, and each district has a <strong>Local Government Public Accounts Committee</strong> to oversee audit reports. Officials who misuse public funds face personal liability.</p>

<h3>Procurement and Contracts</h3>
<p>Each district and municipal division must have a <strong>contracts committee</strong> to oversee procurement of goods and services, following the Public Procurement and Disposal of Public Assets Act. The committee includes a chairperson and public officers, with a quorum of three. A <strong>procurement and disposal unit</strong> supports the committee. Quarterly procurement reports must be published and sent to the Ministry and PPDA for transparency.</p>

<h3>Oversight and Supervision</h3>
<p>The <strong>Ministry of Local Government</strong> coordinates, monitors, and inspects local governments to ensure compliance with laws. Line ministries provide technical advice and set service standards. The <strong>Resident District Commissioner</strong> represents the President, chairs the district security committee, and monitors service delivery. The <strong>District Service Commission</strong> handles staff appointments and discipline, independent of political interference. The Minister may intervene if a council acts improperly, and the President (with two-thirds MP approval) can assume district administration in emergencies, for up to 90 days.</p>

<h3>Staff and Administration</h3>
<p>Key officers include the <strong>Chief Administrative Officer</strong> (head of district administration and accounting officer) and <strong>Town Clerk</strong> (for urban councils). They are assisted by deputies and subordinate staff. <strong>Chiefs</strong> serve at subcounty and parish levels as administrative heads and revenue collectors. The <strong>District Service Commission</strong> appoints, promotes, and disciplines staff; its members must have high moral character and relevant experience.</p>

<h3>Penalties for Violations</h3>
<p>The Act prescribes penalties for various offences: election malpractices (bribery, personation, undue influence) attract fines up to 20 currency points or imprisonment up to five years. Misuse of public funds requires personal compensation. General offences not specifically penalised carry a fine up to five currency points or imprisonment up to one year. Prosecutions require the consent of the <strong>Director of Public Prosecutions</strong>.</p>

<p>For specific legal advice, consult a qualified lawyer or the Ministry of Local Government.</p>

Local governments have the power to borrow money and accept grants. This must follow the rules in Schedule 7 of the Local Governments Act and Article 195 of the Constitution. These powers help fund local projects. However, strict limits apply to ensure responsible use of public money. Any borrowing or grant acceptance must be done within the legal framework provided.

Local governments in Uganda can borrow money and accept grants under Schedule 7 and Article 195 of the Constitution. Learn the rules.

Section 87: Borrowing powers for local governments

For the purposes of <span class="underline-gradient ref-link" data-ref="const-195">Article 195 of the Constitution</span>, a local government lay borrow money or accept and use a grant or assistance as is provided in Schedule 7 to this Act.

Section 87: Borrowing powers for local governments

87.Borrowing powers

Plain English Summary