Local government system.

(1) The system of local government in Uganda shall be based on the district as a unit under which there shall be such lower local governments and administrative units as Parliament may by law provide. (2) The following principles shall apply to the local government system— (a) the system shall be such as to ensure that functions, powers and responsibilities are devolved and transferred from the Government to local government units in a coordinated manner; (b) decentralisation shall be a principle applying to all levels of local government and, in particular, from higher to lower local government units to ensure peoples’ participation and democratic control in decision making; (c) the system shall be such as to ensure the full realisation of democratic governance at all local government levels; (d) there shall be established for each local government unit a sound financial base with reliable sources of revenue; (e) appropriate measures shall be taken to enable local government units to plan, initiate and execute policies in respect of all matters affecting the people within their jurisdictions; (f) persons in the service of local government shall be employed by the local governments; and (g) the local governments shall oversee the performance of persons employed by the Government to provide services in their areas and to monitor the provision of Government services or the implementation of projects in their areas. (3) The system of local government shall be based on democratically elected councils on the basis of universal adult suffrage in accordance with article 181(4) of this Constitution.