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The purpose of this study is to investigate on the impact of revenue generation is local government administration in Nigeria with Enugu North Local Government area as a case study. The study was based on the theoretical foundation on financial management theory approach by R. Vause and human relations approach of Elton Mayo et al. The major instrument used for the collection of data was the questionnaire named Revenue Generation Description questionnaire (R.G.D.Q) formulated by the researcher. Other forms used were oral interviews and casual observation. It is with the aid of these instruments that the researcher was able to collect a comprehensive data for the project. Frequency, and percentage statistical method were used in the analysis of data. The findings also revealed some anomalies in the Revenue Generation in the local government, which include bad recruitment policies, inadequate training and development, improper disciplinary measures and inadequate compensation scheme. The researcher concluded by recommending that the local government should provide efficient base uniformity in her recruitment policies and making sure that the workers are adequately trained, developed and very much compensated for job done. This would enable the workers to improve on their efficiency thereby making the local government to be effective and also being responsible and responsive to the needs of the rural dwellers.



The local government in the country with particular reference to Enugu North Local Government Area has been performing below the expectations of the people it is meant to serve. Local government is the third tier of government and is defined according to local government reform guideline of the Federal Republic of Nigeria, 1976 as “A set of Local Government with their own identify, powers and sources of revenue established under state legislation and with functions for which they are responsible to the state”. 

The aim of creating local government as the third tier of government is to enable government to get closest to the people at the grass-root there by ensuing that its productivity to the people can sensitize and satisfy the people’s needs in terms of development and provision of services through the involvement of members of the public in the development of their area. It was in pursuance of this aim that both the various state and local government edicts and the for the schedule of the 1979 constitution of Nigeria assigned functions to local governments. These functions were divided into provisions of social services and economic development of the local government area.

However, it is glaring that there were criticism on the mocks – operandi of the staff employed to run its affairs. The criticism ranged from discontinuity, improper policy implementation, misplaced priority, reluctant to changes in its environment, bribery corruption, red tapism and inefficiency. These malfunction and indeed the merit impediment to the smooth running of our local management services include the issues of misappropriation of funds generated which in effect, militate against the full discharging of the responsibilities of Enugu North local government area in particular and other local government in general. Based on the above problem, the Enugu North local government area which was created for effective and qualitative rural transformation has not faired efficiently in the accomplishment of these objectives, which includes provision of basic need and infrastructural changes.

The autonomy granted to the local government has retarded the efforts of the local government service commission in bringing uniformity in the employment procedures in the local governments. The issue of mint was not therefore given a favourable consideration as it ought to be. It was based on political compensation, fancily ties, god-fatherism and local patrotism. One therefore wonders how a square peg could be put in a round hole. In consideration of all these problems planning the Enugu North local government and all the other local government in the country, the need for this study should not be over emphasized. The Impact Of Revenue Generation On Local Government Administration In Nigeria (A Case Study Of Enugu North L.G.A. Of Enugu State).

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