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Speaker Anita Annet Among and lawmakers on the Presidential Affairs committee, led by Alex Bakunda Byarugaba, are due to hold a meeting to discuss revenue collection and financial priorities at Kampala City Council Authority.
This follows a request by Kampala City Council Authority (KCCA) officials led by Minister Joseph Kabuye Kyofatogabye and Deputy Executive Director Benon Kigenyi made on April 1, 2026, seeking to spend revenue at source.
Appearing before Members of Parliament (MPs) on Wednesday, Kigenyi disclosed that their Non-Tax Revenue (NTR) for the 2026/27 is projected at sh137 billion, from business licenses, rates, produced assets, rents, building fees, street parking, and advertising, among others. The amount he said represents a growth from the 2025/26 revenue outturn, which stood at sh132.620 billion.
Kigenyi, however, revealed that while on average they expect over ten percent growth in many of the above-listed areas, their hands remain tied. “While KCCA collects and remits all the revenue collected to the consolidated fund, in line with Section 27 and 28 of the Public Finance Management Act (PFMA), which also would then require that this money be retained or reimbursed, KCCA has not received this money for the last five years,” he disclosed.
Double standards
A situation, Kigenyi observed, reeked of double standards and has hugely disenfranchised them as they go about providing services for city residents. And yet the Kampala Capital City (Amendment) Act allows the authority to partake of a portion of these funds.
“In the second budget call circular, vote 122 Kampala Capital City Authority seems, was inadvertently omitted from the revenue-generating entities,” he explained.
“All the 176 Local Governments collect sh340 billion. KCCA alone collects sh137 billion, which would be about almost forty percent of that. But although districts and other agencies which collect Non-Tax Revenues receive back this revenue, KCCA does not,” he cited.
Unlike the likes of the Ministry of Internal Affairs, which collects sh5 billion and sh50 billion for the Tourism ministry, which has left a sour taste in their mouth.
Minister's plea
State Minister for Kampala Kabuye Kyofatogabye told MPs that earlier on November 23, 2023, he raised the matter with the Accountant General (AG). But since then, it has been swept under the carpet.
In their letter, Kyofatogabye said they sought permission to utilise revenue like other Local Governments (LGs). However, their request was denied in a letter from the Permanent Secretary/Secretary to the Treasury (PSST) dated February 27, 2024. The PSST was acting on advice received from the Accountant General on January 30, 2024.
Iki-ik County MP, Eng. Robert Kasolo noted they had great trouble with this matter in the tenth parliament, with debate revolving on whether KCCA was a Local Government or a Ministry.
“But the court made it very clear that KCCA is still Local Government,” Kasolo intimated.
Ruling
Rising on the above, Presidential Affairs Committee chairperson and Isingiro South MP Alex Bakunda Byarugaba pledged to consult the leadership of Parliament to this end.
“We are going to consult our legal team to make a summarised interpretation of what this saga is all about, and we will contact the Speaker for further advice. I am sure we will have to invite the Ministry of Finance to give proper guidance on this,” Byarugaba ruled.
“Otherwise, we also see it as being unfair,” he added.
Section 29(1) of the PFMA (2015) states that revenue shall not be collected or received by a vote, state enterprise or public corporation, except where the above is authorised by an Act of Parliament to collect or receive revenue.
Furthermore, Section 29(3) says that a vote, state enterprise or public corporation may retain revenue collected or received where it is in the form of levies, licenses, fees or fines, among others.