THE IMPACT OF POOR REVENUE GENERATION ON THE DEVELOPMENT OF LOCAL GOVERNMENT AREAS
1.1 BACKGROUND OF THE STUDY
Development is a sine qua non for modern civilization. In a crusade and struggle to carryout development at all nooks and crannies of the society, the local government as the tier of government that is nearest to the people is saddled with the responsibility of direct development of the people to a certain level.
Development is highly associated with fund, much revenue is needed to plan, execute and maintain infrastructures and facilities at the local government level. The needed revenue generated for such developmental projects. Like construction of accessible roads, building of public schools, health care centers,
construction of bridges among others are soles generated from taxes, royalties, haulages, fines and grants from states, national and international governments.
Thus, the Local government cannot embark, execute and possibly carryout the maintenance of these projects and other responsibilities without adequate revenue generation.
This is the basic reason why development is skeletal at some Local Government councils in Nigeria. The issue of poor revenue generation is not exceptional to local government in Oyo State. This has been one of the problems encountered by Oluyele Local Government. This however pronouncedly acted
development negatively in local government councils. In this research project, the issue to address is how far can this
poor revenue generation act development especially in Oluyele Local Government.
1.2 STATEMENT OF THE PROBLEM
The Local Government Council take direct care of the grassroots people, that is the people in the rural areas. This group of people sometimes lack essential facilities and condition of modern civilization. They lack pipe bore water to drink, do not have electricity, accessible roads, poor educational infrastructure
and facilities to mention but a few.
This is one of the major reasons of rural – urban migration of movement. This has made our cities to be congested and increase in many criminal activities.
Based on the above and foregoing assertions, it is obvious that the impact of poor revenue generation on the development of the rural area is a serious problem. This might be as a result of poor revenue generation. If Nigeria is to achieve her desired goal of vision 2020 and possibly meet the millennium
development goals (MDGS) target, the issue of revenue generation must be addressed squarely.
Hence the researcher is bothered to find out the impact of poor revenue generation on the lives of people at the rural area and how it has aected development in general especially in Oluyele Local Government Area.