This section examines the structure of revenue and expenditure of the District. The main sources of revenue to the District can be categorized into internal and external revenue sources. In general the internal revenue sources are used to cover recurrent expenses of the District. This leaves the central grants and donor funds as the main source of funds for development expenditure. This section therefore assesses the revenue and expenditure pattern of the Ketu North District Assembly.

Local Revenue Structure
The sources of revenue to the Ketu North District Assembly have been classified into three major categories:

• Internally Generated Fund (IGF) (e.g. Rates, Lands, Fee/Fines, Licences and Rents)
• Transfers from central government including the District Assembly Common Fund (DACF), Highly Indebted Poor Country funds (HIPC),Local Service Delivery and Governance Programme (LSDGP)
• Donor Funds/miscellaneous inflows (District Development Facility (DDF), European Union (EU),  Community Based Rural Development Programme (CBRDP) and MSHAP

The external sources continue to be the major source of revenue to the District revenue basket. In 2008 and 2009, the external sources accounted for 89.20% and 89.73% respectively, representing an average of 89.5% of the District’s revenue. Over the same period, the IGF increased by 37%. The good performance of some internal revenue items could be attributed to this good performance.

Although there is an increase in the performance of some revenue items for 2009 financial year as against that of 2008, we wish to state that financial performance for 2008 was only for 9 months so therefore relatively one could conclude that the performance of revenue items for 2009 is not good. The level of performance is an indication of over dependence of the District on external sources for project implementation.


The increments experienced in some of the revenue heads can be attributed to rate increases and the tapping of new revenue sources. For instance, the increase in revenue from lands was as a result of the increase in the fee charged for building permit whilst increased revenue from rents was as result of demand notice issued to Low cost house occupants and reassessment of Market stores/stalls (3.39% in 2008 to 5.73% in 2009).

To ensure realistic revenue targeting and cooperation of the taxpayers, there is the need for a broad based participatory approach to fee fixing. In addition, revenue items such as sand and stone winning and Rice Farmers at Afife Irrigation Project should be included in the tax register to help generate a lot of revenue for the District.

To ensure transparency and effective accounting for the revenues, there will be the need to unbundle all bulky revenue heads that mask performances of some specific revenue items.

Expenditure Pattern   
The expenditure pattern of the Ketu North District Assembly can be divided into capital and recurrent aspects. The capital expenditure includes those incurred mostly under the restricted revenue heads such as DACF, HIPC and donor funds. Common capital expenditure items include those on the construction of educational, health, water and sanitation facilities and Administrative Infrastructure.

Another striking issue is the expenditure on personal emolument. This expenditure head, though recurrent in nature, is incurred by the central government in the form of salaries which is also restricted. Apart from the central government transfers for personal emoluments, the Assembly spent about 4.6% to 7.5 % of IGF on personal emoluments in 2008 and 2009 respectively.  The additional expenditure incurred by the Assembly was as a result of its decision to employ casual labourers to assist the Assembly in its work until the government lifts the ban on recruitment.

Summary of Key Development Issues
The key development issues are issues of concern and which also impede the development initiative of the District.  The underlying principle for identifying and dealing with the key development issues is that of removing the factors, which inhibit development so that development efforts would yield results more easily.  In this wise the District would not have to”push development” but rather deal with the inhibitors to development.  The key development issues provide the basis for analytical discussions leading to the formulation of relevant goal, objectives and activities. The key development issues are therefore of extreme importance in the preparation of the Medium Term District Development Plan (MTDP) 2010-2013 within the Medium Term Development Strategic Policy Framework (MTDSPF).  It also constitutes a key component of the situational analysis of the Medium Term Development Plan of the Ketu North District Assembly.

The key development issues of the District were elicited from various stakeholder sessions in the District and issues that emerged from the grassroots/community level as well as the situational analysis of the District by the DPCU. These enabled the District to come out with its development issues, which are summarized below based on the seven Pillars of the thematic areas within the MTDSPF.

Revenue Generation

• The Assembly does not have enough commission revenue collectors at post
• Most taxable enterprises still remain outside the District’s revenue books.
• Most of the sources are unproductive or are low yielding.
• The capacity of revenue collectors is low in terms of skills and logistics.
• Absence of revenue taskforce to monitor revenue collection
• Absence of reliable revenue data base
• Dormant Urban /Area councils to help in collection of ceded revenue
• Non-Gazetting of the Fee Fixing Resolution and absence of Bye-laws to prosecute defaulters
• Refusal of taxpayers to honour their obligations is major hindrance to efficient and effective mobilization of revenue in the District.
• Apart from the meat shop in Dzodze market which is in very deplorable state, none of the above markets have meat shops.  
• Inadequate sanitation facilities (urinals, toilets, bathhouse and refuse containers) at market centres.
• None of the markets is fenced
• Dilapidated sheds in the market
• Physical Planning and Housing Development
• Poor building structures
• Inadequate community lay-out
• Poor endorsement of building regulations
• Poor housing conditions

        
Water and Sanitation

• Afife and Weta area council have low water coverage of 50% and 24.5% respectively.
• Drying-up of water sources in the dry season.
• Constant breakdown of boreholes as a result of excessive pressure
• Inability of communities to raise enough money for replacement and general maintenance of boreholes
• Lack of designated final tipping ground
• Lack of appropriate Abattoir
• Lack of legally acquired refuse dumps
• Lack of cesspool emptier
• Inadequate refuse containers in the District.
• Poorly maintained refuse dumps
• Inadequate Sanitation Guards to assist the Technical staff in their daily activities

Electricity Supply

• Inadequate grid electricity network among domestic and small and medium scale enterprises in most part of the District
• Low electricity coverage in most parts of major town

Road Network

• Poor Road Conditions during the raining Season
• Inadequate culverts on major sessions of the roads
• Over speeding in towns on major highways

Agriculture

• Bad farming practices
• Inadequate modern farm inputs
• Inadequate extension services
• Low prices for farm produce
• Unfavourable land tenure systems
• Poor transportation systems from farms to market centers.
• Over dependence on rain-fed agriculture
• Inadequate storage and processing facilities.
• Low access to veterinary services
• Prevalence of disease that attack animals
• Inadequate credit facilities for farmers
• Most dams in the District are silted

Public-private Partnership

• Inability of the District Assembly to co-operate with the Private Sector to develop the tourism sector

Education

• Low performance of students
• Lack of residential accommodation for teachers
• Inadequate school infrastructure at the Basic level
• High rates of school drop-outs
• Inadequate furniture
• Inadequate teaching and learning materials
• Unavailability of electricity in basic schools
• Pre-schools lack recreational facilities which are essential prerequisites for attracting children to school
• Absence of places of convenience has the potential of driving away pupils, especially the girl child•    Negative parental attitude toward education
• Poverty is preventing most parents from providing their children’s school uniform and other  learning materials.
• Greater proportion of the active labour force are not employed

Health and Nutritional System

• Very poor post – natal attendance
• Low parental response to basic health education
• Inadequate accommodation for patients
• High rate of malaria
• Lack of hospital beds
• Inadequacy of drugs
• Inadequate logistics
• Lack of utility services
• Inadequate skilled staff – doctors, nurses, laboratory technicians etc.
• Inadequate infrastructure e.g. Nurses quarters
• Lack of transport facility e.g. Ambulance.
• Lack of motivation for Health Staff.

Decentralized Departments and the Sub-District Structures

• Inadequate staff accommodation  for decentralized departments
• Inadequate office accommodation for  decentralized departments
• Inadequate skilled personnel
• Inadequate logistics, for instance vehicle for monitoring of deliveries
• The inability of the District sub-structures to function properly.
• Women Participation in Decision making
• Low participation of women in the decision making process

Security

• High criminal cases with stealing and assault very high on the list
• Dilapidated office and residential accommodation for the Police
• Lack of Equipment such as radio communications and crowd control gadgets
• Inadequate vehicle for  police patrol/duties

Fire Service

• Lack of logistics and equipment
• Lack of permanent office accommodation
• Reducing Poverty and Income Inequalities
• No proper household drains, leading to accumulation of stagnant and offensive water in and around premises.
• Absence of public drains along then main highway contributes to the floods.
• Small size of concrete drains to contain storm water
• Low depression of the area
• Poor gradients of concrete drains do not allow swift flow of storm water.
• Inadequate credit facilities for women.

Refer to pdf file attached for tables