TABLE
OF CONTENTS
Title page……………………………………………………………………………..i
Certification………………………………………………………………………….ii
Dedication…………………………………………………………………………...iii
Acknowledgement…………………………………………………………………..iv
Table of Contents……………………………………………………………………v
CHAPTER
ONE
1.0
Introduction…………………………………………………………………….1
1.1 Aims and Objectives……………………………………………………………
1.2 Scope of Study………………………………………………………………….
1.3 Significance of the
Study……………………………………………………….
1.4 Research
Methodology………………………………………………………….
1.5 Literature
Review……………………………………………………………….
1.6 Definition of Key Concepts………………………………………………………
CHAPTER
TWO: Historical Antecedents of Yagba West LGA
2.1 Evolution
of Local Governments in Nigeria…………………………………
2.2 Historical
Background of Yagba West Local Government Area………………... 2.3 The 1976 Local Government Reforms……………………………………………
CHAPTER
THREE: Revenue Generation in Yagba West LGA
3.1 The
Structure of Yagba West Local Area……………………………………….17
3.2 Revenue
Generation in Yagba West Local Government……………………….18
3.2.1
Licenses…………………………………………………………………………19
3.2.2 Fines
and Court…………………………………………………………………19
3.2.3 Gifts
and Grants…………………………………………………………………19
3.2.4
Taxes…………………………………………………………………………….19
3.3
Problems of Revenue Generation in Yagba West Local Government……….....20
3.4
Problems of Yagba West Local Government Administration…………………..21
CHAPTER
FOUR: Prospects of Funding in Yagba West Local Government
4.1 Federal
Allocation and Management………………………………………………24
4.2 Prospects
of Revenue Generation………………………………………………….26
4.3
Agricultural Development in Yagba West Local Government Area………………29
4.4 Industrial
Growth of Yagba West Local Government Area……………………….29
4.5 Women and
Youth Development…………………………………………………..30
Conclusion………………………………………………………………………….30
Bibliography……………………………………………………………………33
CHAPTER ONE
INTRODUCTION
1.0 BACK GROUND OF THE STUDY
Revenue has played an important
role in the development of the local government administration in Nigeria.
According to Wikipedia, revenue is the income that a business has from its
normal business activities, usually from the sale of goods and services to
customers1.Nigeria as a sovereign nation operating a federal system
of government that is, it consists of the Federal Government, State Government
and Local Government councils.Onwo (1992) observed that each level of the three
tiers of government derives its powers not from the magnanimity of the central
government but from the constitution; each level of government has defined responsibilities2.
The evolution of local government in Nigeria has undergone a lot of changes.
These are all geared towards making the local government a system that could
serve the purposes for which they are created; grass root development. Nigeria
was governed through the instrumentality of their traditional political institutions.
These institutions were anchored on the people’s habits, thought, prestige and
custom which are adapted to meet the new conditions for general development of
their areas.
In 1986, the Babangida
Administration made local government an effective third tier of the federal
system, introduced reforms aimed at enhancing their autonomy and strengthening
their administrative framework. All elected councilors constitute the legislative
arm of the local government while the executive arm consists of the chairman,
vice-chairman and supervisory councilors. The local government witnessed
several reforms between 1991 and 1992. The reforms show a fundamental
implication for local government administration, especially in regard to the
reforms to the local government service. A total of 589 local government areas
were in existence as of 1991.In the local government reforms, there was the
establishment of the executive chairmanship of the local government with
functions firmly entrenched in schedule for the constitution. Yagba west local
government area was created on August 27th 1991 following the
creation of additional states by the then president General Babangida Badamosi.
Yagba West district has been in existence long ago since about 1947 when the
traditional headship of Olu Okeri M.D. Dada was referred to as the AUTHORITY
till late seventies3. When the military took over in 1972, efforts
were made to restructure the districts. Meanwhile, the then Governor Bamgboye
of Kwara state divided what was Yagba district into two called Egbe ( Egbe town
council) and the west towns and villages( Area council)5. This
comprises Odo-Ere, Odo-Eri, Ejiba, Odo-Ara, Iyamerin, Omi, Oga, Okunran, Okoloke,
Okere, and Isanlu essa. It did not go well with the area council, as it was
viewed as oppression. In the early eighties Hon Adebayo of Oga moved in the
then Kwara house of assembly for the creation of Akumejo local government area
integrating both Egbe and Area council. This was approved in 1982 and Akumejo
local government area was created with its headquarters at Odo-Ere. These local
governments, with many others in the country, wereshort lived.
Thus, Akumejo local government area
was abrogated along with others. But duringthe creation of the local government
areas across the country, Yagba west local government area was created out of “Ajiwan”
comprising all the communities both at Area and Egbe councils, with the headquarters
at Odo-Ere. In 1991a reformed Kogi state
from formerKabba provinces was created out of Kwara and Benue states. The
numbers of local governments in Okun land which comprised the former Kabbadivision
rose from 2 to 4. The two Local Governments in Yagba referred to their colonial
names of Yagba East and Yagba West local governments which were changed in 1982
to Akumejo and Oyi local governments respectively.
From oral history, Odo-ere has
been the central meeting point at Okuta-dudu for the people of Yagba west,
before and during the colonial era. The Odo-Ere customary court was the only
native court in the early fifties that was presided over by all the Obas- Olu
–Okeri, Elere, Eleri, Elegbe and Elejiba,thus establishing the centrality to
other Yagba west communities. Odo-Ere has since then been the District
headquarters.
In Yagba West, the Area Council and the
Egbe Town Council were merged into West Yagba joint council under the chairmanship
of Oba J.I. Eledere. Aside from oral history, the first Oba Yagba, after an
extensive deliberation among the Yagba people, it was agreed that the first Oba
must come from Odo-Ere. Furthermore, all towns and villages in Yagba West, Egbe
inclusive,attended crucial meetings at Okuta dudu, Odo-Ere. These informed the
choice of the town to be the headquarters during the Akumejo local government period
of existence and subsequently that of Yagba West Local Government Area.
Change was difficult to accept
by the communities.Some felt that such headquarters would be located in their own
towns to boost the socio-economic and political status of their community. Whilst
theArea Council was scattered into differentcommunities.About 14 communities
were scattered all over the local government total.The Egbe Town Council came
together at one place, portraying them as a large community because their
villages were merged together to form an enlarged Egbe. It is with this
impression that Egbe people agitated for the headquarters while other communities
had less agitation for this. Some Egbe people believed their community is
larger with many secondary schools, hospitals economic buoyance and other
social amenities to justify their agitation.
1.1 AIMS AND OBJECTIVES
The
purpose of this research is to critically analyze and appraise the problems of
revenue sources in Yagba West Local Government Area as a case study. The
specific objectives are:
1. To identify major problems of revenue
sources in Yagba West Local Government Area.
2.
To examine possible avenues for generating local government revenue service.
3.
To find out whether or not the revenue is adequate for the council’s
expenditure.
1.2 SCOPE OF STUDY
This
is centered on the problems of revenue sources available to local governments
in Nigeria during the period (1991 to 2011)but due to the vast nature of this
topic, the researcher now chose Yagba West Local Government as a case study to
deal with these particular problems as related to other local governments in
Nigeria.
1.3 SIGNIFICANCE OF THE STUDY
The
research will be of great benefit to the Yagba West Local Government
administration as it will enlighten them on the potential sources of generating
revenue. Revenue sources will also help the council to strengthen its financial
base as the study would identify some problems hampering the revenue source in
the council.
It
is hoped that this study would be a guide to other researchers who may want to
embark on a similar topic in Yagba west local government area in particular and
any other local government council in Nigeria in general.
1.4 RESEARCH METHODOLOGY
In writing this thesis, the researcher
embarked of different methods for data collection.ie primary and secondary
sources. A lot of efforts were put in place to go round all the towns and
villages of Yagba west local environment area for oral interview. The
researcher prepared a document containing some questions which served as a
guide to the researcher. Care was taken to interview more than one person or
group of people on each of the items listed for discussion to ensure the
correct information was documented.
On secondary source, books written on
settlements on Yagba land and “O-kun” speaking communities were carefully read
through for collection of information on the topic at hand. Also, some
documents on local government reforms in Nigeria embarked upon by both the
military and civilian administrations were carefully gone through. The
researcher visited the university of Ilorin library to peruse some newspaper
publications to see the reactions of some communities in Yagba west local
government Area as soon as the creation was pronounced in 1991. Also, the
university gave me some opportunity to go through some thesis written on Yagba west
local council and “O-kun” speaking communities. All the information from these
sources was collated for the completion of this thesis.
There is a death of written work on
Yagba west local council especially on problems of revenue generation in in the
local council. As such most of the data collected on this thesis relied heavily
on oral sources. In conducting interviews with informants, most of the people
were politically biased in their discussions with the researcher at Egbe for
example, where it was gleaving that some of their actions as soon as the
pronouncement was made in 1991 were condemnable, they tried to justify their
actions. Some of the informants had no idea of data. They associated some of
their information with events in the land especially the illiterates they tried
to justify why Egbe should be the right place to be chosen as the headquarters
for the new council.
It was equally difficult to get some
of the former workers at the council at home for oral interview. The researcher
had to visit some homes several times before they were available for interview.
Some of the elders demanded for gratification before them. By and large, the
information collected was collated in the production of this thesis.
1.5
LITERATURE REVIEW
Since
local government administration is the central focus of the study, it is
important to commerce the examination of its basic principles.
A
number of scholars amongst whom are HUME, MARTINES, W.A. ROBSON, have attempted
so many times to define local government in different ways but they all reached
a logical agreement as what should be the basic definition of local government.Local government, which can be simply described as
government at the local level has been defined by various scholars in different
ways. The United Nations Office for Public Administration defines local
government as a political subdivision of a nation or (in a federal system)
State, which is constituted by law and has substantial control of local affairs
including the powers to impose taxes or to exact labour for prescribed
purposes.
Some
authors described it as government at the grass root; it is often called the
third tier of government.
According to the Handbook of the reform of
local government in Nigeria of 1976, local government it is defined as the
government of local government level, exercised through representing council,
established by law to exercise specific power within defined areas7.
According to Adedeji and Rowland (1972),
local government is a political sub-division of a nation or (in a federal
system) state which is constituted by law and has substantial central or local
affairs including the power to impose taxes or to exert labour for prescribed
purpose. The governing body of such entity is elected or otherwise locally
elected8.
On the whole or in a broader context, a local
government has the same essential characteristic with the state and federal
government; what basically differentiate them are the sizes.
1.6 DEFINITION OF KEY CONCEPTS
LOCAL GOVERNMENT: is
a political subdivision of a nation which is constituted by law and has
substantial control on local affairs, including the power to impose taxes or to
exact labor for prescribed purpose.
ADMINISTRATION:
It can be defined as the art of organization, directing and coordinating
individuals or group of individuals towards a particular direction for the
purpose of accomplishing a specific task.
REVENUE: Revenue
refers to all those moneys, each and otherwise received by way of statutory
allocation, grants, subvention from higher levels of government, taxes, rates,
licences, fees, royalties, loans and charges which enable the government to
meets its day to day expenses.
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