Lord of the Flies Chaos vs Order Essay

The conflict between two competing impulses that exist within all human beings: the instinct to live by rules, act peacefully, follow moral commands, and value the good of the group against the instinct to gratify one’s immediate desires, act violently to obtain supremacy over others, and enforce one’s will. This conflict might be expressed in a number of ways: civilization vs. savagery, order vs. chaos, reason vs. impulse, law vs. anarchy, or the broader heading of good vs. evil. Throughout the novel, Golding associates the instinct of civilization with good and the instinct of savagery with evil. Topic sentence isputed leadership and infighting between the two dominate powers (Jack and Ralph) cause a disputed leading to the separation of the tribe into two separate tribes each determined to destroy and ruin the other showing how government (power) can deteriorate to nothing if the following â€Å"citizens† don’t go along with the ruling power they started out with a good governing system based mostly off of a dictator ship but allowing some voting as in democracy this lead to the group working together to build houses, gather food, create weapons and finally set up fires for both cooking and signaling a passing ship. This system worked for the majority of the book allowing the children to solve their problems as a group effort with all contributing to what they could. The evidence showing this is as follows, when they first landed on the island the idea of government was first brought up by the conch shell which symbolized power and eventually lead to the election of a leader (Ralph), leading to the children coming together and working towards survival and hopefully their salvation this as we know failed as the tribe split in two and became democratic and dictatorship ased with Ralph as the democratic leader and Jack as the Dictatorships leader. Ralph and Piggy discover the conch shell on the beach at the start of the novel and use it to summon the boys together after the crash separates them. Used in this capacity, the conch shell becomes a powerful symbol of civilization and order in the novel. The shell effectively governs the boys’ meetings, for the boy who holds the shell holds the right to speak. In this regard, the shell is more than a symbol—it is an actual vessel of political legitimacy and democratic power. As the island civilization erodes and the boys descend into savagery, the conch shell loses its power and influence among them. Ralph clutches the shell desperately when he talks about his role in murdering Simon. Later, the other boys ignore Ralph and throw stones at him when he attempts to blow the conch in Jack’s camp. The boulder that Roger rolls onto Piggy also crushes the conch shell, signifying the demise of the civilized instinct among almost all the boys on the island. Now on to the dictatorship Jack set up with his symbol The sow’s head is a symbol of savagery and destruction. The boy who introduced the idea of the sow’s head on a stick was Jack, and Jack too is a symbol in the book. Jack stands for savagery. You know right from the start of the novel the Jack is not like the other boys, and that he’s a savage because of what he tells Ralph that he wants him and his choir to be. When asked what he would like to do on the island he replies â€Å"Hunters† showing he only cares for killing and wants to be the only provider on the island this then gives Jack the theoretical power he wanted from the start (the leadership of the tribe) The power the sow’s head holds over the boys is more of fear than a power. The sow’s head is a constant reminder that they are living like savages. I think it also reminds the boys that if they can kill a pig then they would probably kill one of the others. This once again shows how Jack is willing to kill for his power and take what he wants from Ralph (later shown when he splits the tribe and attempts to become supreme ruler) To Simon the sow’s head holds a completely different power over him. To Simon the sow’s head represents craziness. Simon is different than the other boys, so that might by why the sow’s head is different for him. When the other boys are fighting, Simon goes to his private glade in the forest. The thing that gave me the idea that the sow’s head represents something different to Simon is because Simon has a conversation with it. Also because the conversation sounds like something that would’ve came out of Simon’s head, because Simon never really believed in a beast on the island and after learning the truth sets off to tell the others ultimately leading to his own demise as the boys mistake him for â€Å"the beast† and kill him during a ritual.

Moby Dick Essay

In this video, we immediately learn of an obsessed captain who wants revenge. Why does he want revenge and against whom or what? He wants revenge against a white whale for taking his leg. 2.Who is the narrator of Moby Dick and what is the first line of the novel? Ishmael narrates the novel. 3.There are two significant Biblical allusions[->0] mentioned in the film. To whom do these allusions reference? How are the names significant? the name Ahab describes a king who turns vile. This suggesting that the Ahab of this novel will be a similarly conflicted leader. Also Ishmael shows independence and shows that he just wants to take care of himself. 4.The narrator states that Moby Dick symbolizes three different meanings for three different characters. List the characters and the meaning which Moby Dick symbolizes for each of them. Ahab sees Moby Dick as an evil thing. Ishmael sees Moby Dick as just a fish and an evil thing. while Starbuck sees Moby Dick as just a fish 5.Why did Melville choose to write about whaling? Why was the industry significant? He choses to write about whaling because he himself was in the industry. The industry gives light to the world because of the oil from the blubber. 6.What did Melville do when he was 21? He went to sea for whaling for about a year and a half. 7.What established writer did Melville befriend while he was writing Moby Dick? Melville befriended Nathaniel Hawthorne. 8.Comment on the four harpooners of the Pequod; politically, why were they significant? Queequeg’s dad was a king, Tashtego was an Indian, Dagoo was a African American, and Fedallah was a Farsi or Parsee. They were significant because they have already been to sea and they all want to live a life of adventure, not to mention it is bringing many cultures together for a common cause. 9.What happens to the Pequod towards the end of the book? Ahab? Ishmael? The boat was destroyed by Moby Dick, Ahab was killed by Moby Dick, and Ishmael was found by a whale ship after being washed out to sea. 10.What were the final years of Melville like? He became an employee of the customs house. New York Times Why do you think Ahab wanted to kill Moby Dick so bad? Why do you think that the captain hired so many different types of people from different cultures? Why do you think that you survived when Ahab didn’t?  Why was Moby Dick gunning for Ahab?  How was it possible for the ship to be destroyed by a whale? [->0] – http://learn.flvs.net/webdav/educator_eng3_v13/module3/lesmod03/glossary_3.htm?#allusion

Marketing Essay Example | Topics and Well Written Essays - 1000 words - 4

Marketing - Essay Example This eventually resulted to creating a need for a good financial market for banking and finance in which the bottom line would be to stimulate needs for certain product or service offerings. This area has become so competitive in which the resulting activity leads to the creation of competitive rivalry. In short, it is important to consider that the presence of new market entrants, power of supplier and buyer and advancement in technology has significantly created an essential force leading to competitive rivalry (Ireland et al., 2007; Hitt et al., 2009). Porter therefore is right on specifying some factors that may essentially lead to the creation of competitive rivalry. Thus, he emphasised that there is a need to go for competitive strategies. This is what the financial market has essentially applied to the extent that there is a point to include economic policy measures just to minimise the presence of competition in the market (Lindbeck, 1973; Lancaster and Reynolds, 2005). The b uilding societies and banks The Building Societies Association (2011) presents some major differences between building societies and banks which include building societies as mutual institutions, are not companies run by their shareholders, and the issue on the limit of proportion of funds. These differences bring forward to some major advantages and even shown in some studies revealing that building societies have outperformed banks implying that mutual organisations may outweigh those stock organisations (Valnek, 1999). There are underlying reasons for this and one of the most significant is the inclusion of rights and privileges for members to receive the right information they deserve to have. The next most important thing about building societies is that they are not considered companies which are highly controlled by shareholders who are influential to maximise profits for increase amount of dividends. The point of this is that there will be low operating cost and other signif icant privileges that will ensure advantage on opportunity cost. In fact, it was found that building societies remain to have constant rates in deposit and mortgage (Heffeman, 2005). This emphasises that building societies are indeed not under pressure of its stakeholders which means further that the needs of consumers are greatly catered to the fullest. The limit of proportion of funds on the other hand would mean further that compared to banks, building societies are highly secured for investment and this is an opportunity for consumers or investors to go. Harpenden Building Society Harpenden’s company website revealed some of important information about its operation which leads to having a better view at its current trends in the market (Harpenden Building Society, 2010). Harpenden is known for its place in the UK building societies. It significantly belongs to the rank of 52 renowned UK building societies because of its 20,000 members having more than 25,000 accounts. As ide from this, Harpenden has no debt because it eliminates its chance for borrowings on the money market. Another good thing about the financial performance of Harpenden is the upward spiralling growth of its deposits and mortgages. Harpenden is also recognised by

Economic Environment of Saudi Arabia Assignment - 1

Economic Environment of Saudi Arabia - Assignment Example However, the high share of consumption occurs in the high-income countries (Doing Business 2013: Smarter Regulations for Small and Medium-Size Enterprises, 23). An estimate of 1 billion residents are accounted for more than 80% of the global consumption. In Saudi Arabia, an estimate of 4.5 percent of the global population benefits, although it accounts for more than 30% of the global consumption. It is worth noting that developing countries, exhibit accelerating growth and excellent market potentials. In sheer sizes, the developing countries home 80% for the entire world’s population. Based on the needs, 5.5 billion of the national citizens usually aspire to live improved lives. However, the consumptions increase drastically in developing countries, than in the already developed countries. This means that the consumption rate of Saudi Arabia has outpaced high and low income countries in many products groups. Their motor fuel, meat consumption has doubled, and fish consumption has increased drastically since the year 1990. The global credit crisis usually improves the differences ranges. The economies of the huge and low indebted developing nations such as China, and India in contrast to Saudi Arabia and they are improving strongly while developed countries usually struggle with a slow growth of their economic (Doing Business 2013: Smarter Regulations for Small and Medium-Size Enterprises, 33). The gap between the emerging growth of Asian markets and Saudi Arabia has never increased. However, basing the experience from below the pyramid, the trend signals the developing opportunity for fulfilling the requirements and basic wants of many low-income consumers in the entire world. However, the economy of the Arabian Peninsula has been determined through various contributions of individuals living near the wells and oases. However, through such prospects, it is evident that the slight development is usually presented by the bottom region of the pyramid since it is minimal to be sufficiently profitable for most of the MNEs. The profits are usually constrained considering the need to design and develop low-cost products. These products usually require innovations that blend the old and new technology. The poor countries are the high developing, and they share global consumption that results to the countries occupying the small base. The country's economy dilemma is imposed on how accurately managers estimate the countries potential. The definite resources require that the companies’ invest markets with high potential for profitable performances. Understanding the risk-return tension of global investment option encourages the managers to refine the analysis of economic environments. Managers usually shift analysis from individual level to a collective involvement within the systematic context of the country’s economic environment. In this case, attention is averted from studying the features of individuals understanding of th eir configuration in terms of overall forest. The managers engage in diverse perspectives, and the first focuses on the level of economic systems of Saudi Arabia. This also emphasizes on current policies and practices shape activity (Doing Business 2013: Smarter Regulations for Small and Medium-Size Enterprises, 38). The second perspective usually entails of dynamic

History of Calculus Essay Example | Topics and Well Written Essays - 500 words

History of Calculus - Essay Example scovery of calculus is endowed to two amazing mathematicians who were Isaac Newton, a noteworthy British mathematician and scientist, and the self taught scholar of mathematics, the renowned German mathematician Gottfried Leibniz, in the latter half of the 17th century (Ferreiros & Gray 22). The issues as to which mathematician should be held responsible for the discovery of calculus, the scholars happen to be divided. It was both Newton and Leibniz who registered noteworthy discoveries in calculus to be known as being the originators of calculus. As far as Newton’s discovery of calculus is concerned, it was more of an outcome of the need for a practical use of calculus, as he needed a discipline like calculus to solve the pressing problems in geometry and physics (Ferreiros & Gray 72). It was Newton’s endeavor to use calculus as a mathematical discipline that facilitated the solution of the scientific problems he delved on that made calculus possible. In contrast when one considers Leibniz, it was his fascination pertaining to the tangent line problem that made calculus possible (Ferreiros & Gray 72). The notion as to the creation of calculus gave way to one of the most ardently contested rivalries in the world of mathematics that was between Newton and Leibniz. However, the thing that needs to be understood is that calculus as people know it today is the outcome of the work of a number of mathematicians. Although Newton published his Philosophiae Naturalis Principia Mathematics on 5 July 1687, yet the later mathematicians did make many contributions to calculus. The later day addition to the principle of calculus like differential equations and calculus of variations were published a little time after Newton and Leibniz did register their contributions, by mathematicians like Euler, Jakob and Johann Bernoulli (Ferreiros & Gray 72). It was the manuscript published by Bishop Berkley that enunciated the limitations inherent in the works of Leibniz and Newton.

Essay on Germinal by Emile Zola Example | Topics and Well Written Essays - 2000 words

On Germinal by Emile Zola - Essay Example It is for this reason that Germinal is valuable in order to understand the social and cultural values of French society of that period but also to make significant assumptions regarding the protest against the capital as it was formulated the particular period. These assumptions do not have just historical value but they can be used in order to understand modern social structures and forms of protest against the capital as this protest is being developed throughout the world. It should be noticed that in order to write Germinal, Zola has studied carefully all aspects of coal mining industry. In this context, it is mentioned by Ellis, referring to Zola, (Introduction, 2nd and 3rd lines) that ‘For six months he travelled about the coal-mining district in northern France and Belgium, especially the Borinage around Mons, note-book in hand’. It is for this reason that Germinal represents with accuracy all aspects of life of workers in the particular industry being one of the few novels in which such an issue is developed. The general story developed throughout Germinal could be described as following: Etienne Lantier is a young man that decides to go and live in a mining village. Soon, Etienne begins to work in the mine. However, after a while the daily problems of miners lead Etienne to urge them to protest against the capital (miner’s owners). In the meantime, Etienne – because of his capabilities has become a leader of miners and his view influences them. It is for this reason that influenced by Etienne miners decide for their first time to protest against the capital. Their protest, which has the form of a strike, causes severe financial losses to the miner’s owners and their reactions are characterized by violence and brutality. The story of the novel is ‘enriched’ by the extended reference to the daily life of a particular family of the village, the Maheu family. Etienne, who felt

Do Latino Migrant and seasonal farm workers have a higher risk of Essay

Do Latino Migrant and seasonal farm workers have a higher risk of contracting cancer than other Latinos living in the US - Essay Example In addition, a failure to interpret the potential and cancer causing hazards that often accompanies the farm task could be attributed to the lack of knowledge by the Latinos on such threats. Also, a majority of these immigrant workers are not fluent in English, and it is therefore important that such risks are addressed in Spanish; ads the workers are more conversant in it. This study thus sought to identify the knowledge of the farm workers regarding the cancer properties of the nature of work that they handle, as well as the dangers that they are daily exposed to while mixing, loading and spraying these pesticides. More than two thirds of the respondents were male, and a similar number indicated that they could not leave their current job even in the face of health risks, citing financial constraints. It is paramount therefore that the plight of this minority group be addressed to avert the rising trend in cancer cases among the Latino farm workers, and their children. Almost 88 percent of all the farm workers found in the United States are Latinos. These workers, together with their families face exposures to pesticides on a regular basis, and this exposure has the potential of increasing prostrate cancer, lymphoma, as well as childhood cancers (Zham & Blair 1993). Yet, despite a reveal... ntific community and government officials have to a large extent overlooked the potential impact of a pollution of this kind on the health of these Latinos. Both the federal and state agencies rarely collect the relevant data. In addition, there are few studies that also address the environmental health risks that are capable of affecting the Latino communities (Zham et al, 1997).Majority of the government authorities, farm operators, the farm industry, and the landlords do not also provide the much needed warnings on the environmental health threats in Spanish. Consequently, a lot of the Hispanics are left without the much needed information that would otherwise enable them to evaluate the risks that faces them with regard to the environmental contaminants, be it at their jobs, or in the neighborhoods. In line with these observations then, it is the objective of this research report therefore to help in bridging the information gap, by way of analyzing both the existing data and doc uments on the pollution exposures, and the resulting health consequences ( in particular cancer). Literature review Latinos constitutes the largest minority group living in the United States. By 2002, nearly 40 million Latinos were living in the United States, and this was nearly 13 percent of the entire population of the United States (Variyam & Mishra, 2005). According to a recent study that was commissioned by the California cancer registry, 1,001 farm workers out of 140,000 Latino working in various farms in California were found to have been diagnosed with cancer for the period between 1973 and 1997 (Quandt et al, 2004) in comparison to the general population of the Latinos, those working as farm workers have a higher likelihood of developing stomach cancer by 69 percent, uterine

Work Place Training Essay Example | Topics and Well Written Essays - 2000 words

Work Place Training - Essay Example The issue or problem that has been focused is self learning versus the trainers in work places. An attempt has been made to bring out the main root cause of issue. The paper will firstly begin with discussing the issues /problem that is being faced further which the assumptions made will be discussed. The later sections will deal with a detailed root cause analysis of the issue based on which the recommendations to the managers have been drawn out. With the increasing needs and competitive nature of the economy, along with the high levels of change in the demographics, occupational and workplace changes, there is now a high growth in the need of work place training. Training and development of the human resources is a very important aspect of every business. The HR management devises the training methodologies and strategies, after careful consideration of the job specifications and the way in which the new employee will contribute towards the strategic goal of the organization. It is the HR management's responsibility to "ensure the integration of personal and organizational development for employees" (Scribner and Sachs). Keeping the employees motivated is a crucial element to ensure the success of the organization. ... It is the HR management's responsibility to "ensure the integration of personal and organizational development for employees" (Scribner and Sachs). Keeping the employees motivated is a crucial element to ensure the success of the organization. The HR management acts as the medium giving many opportunities for the employees to develop themselves by acquiring new skills and engage themselves in the continuous learning process. The hard skills that will be necessary for the training will include the product and process training. Once a candidate has complete this successfully, they will also receive other trainings including selling techniques, managing people, customer communication, marketing skills and self confidence. As said very rightly by Dulewicz (1989), "' a basic human tendency to make judgements about those one is working with, as well as about oneself". It is noted that appraisals are inevitable and is universal. People evaluate how well a job is done to set performance standards. To ensure better performance standards, it is essential to understand that education and training do not only form a part of the realm of educational institutions. It is now becoming a wider and broader system which involves workplaces, educational institutions, individuals and also numerous other government and community organisations. As mentioned earlier, the need to perform is now one of the most essential aspects in any job or business. The skill levels of employees require to be improved every single day to be able to stay in the race and to compete in the current highly competitive environments. Every organisation requires different set of skills and the skills set have been noted to have a constant change across the organisations as well. The most important

Peace between Israel and Palestine Essay Example | Topics and Well Written Essays - 750 words

Peace between Israel and Palestine - Essay Example This is no easy task but acceptance that this will never come into fruition is resulting to a defeatist stance that humanity cannot afford. The peace process is an arduous task that must be tackled with commitment and with realistic goals. The first step towards coming to an agreement and bringing the leaders of the two states back to the peace tables is to ensure that there will be a cease fire among all forces especially stealth attacks and those that would inflict casualties among civilians. This would necessarily entail a neutralization of the extremist groups which must be held accountable for without partiality or impunity. The most important disposition in both sides is the ardent belief that peace can be achieved. This must be built on an internal understanding and desire toward that purpose, otherwise, as had been persistently observed from Israel negotiators it will all for naught. The One Voice Movement offers an encouraging model that peace is not centrally for the benefi t of groups, their interests and their spite. It is fundamentally about the people who themselves have understood that peace is the only way to stop all the fighting and cut the losses while there is still something left. The organization is made up of Palestinians and Israelis in their own land and those abroad through an international unit. This is a grassroots initiative aimed to remind and enlighten the two sides and the international community that â€Å"The majority of people on both sides realize that they have everything to gain by ensuring the independence and security of ‘the other’ and thus are prepared to compromise in order to do so† (One Voice Movement, n.p.). This conflict is rooted among the most fundamental issues that had defined many wars throughout world history. The recognition of religious differences cannot be disregarded in this political and cultural conflict. The Palestinian Arabs and the Jewish Israelis had been battling not only for la nd but also for identity. The 1967 War was a pivotal moment in this conflict. I agree with experts that the occupation of Palestinian lands by the Israeli forces was a definitive moment that aggravated the dispute into epic proportions. The destabilization by Israel over the Gaza Strip and its current notoriety must come to an end. The demand by Palestine over the return of this piece of the earth and more importantly of their refugees had been on-going for decades (Heise, n.d., pp.2-3). In this regard, a major change came almost too close, â€Å"The 2002 Arab Peace Initiative would have provided Israel recognition throughout the Arab world in exchange for a pullout from territory conquered in 1967† (The Associated Press, 2013, n.p.) These kinds of initiatives are what the time calls for. We cannot undermine the reality that external forces are necessary to move closer to that elusive peace. The land over which blood has been spilt has been claimed by both Israel and Palestin e not only on territorial basis but more inherently by religious basis that transcend people and groups. This is why no matter how many changes have occurred through leadership and membership, their idealism remains. If there is something more moving than sheer idealism, it is religious idealism. The emphatic understanding of the call of the people who suffer and who live with the consequences of their leaders’ actions must prevail. In the international realm,

How Organisations Use ICT Essay Example for Free

How Organisations Use ICT Essay The Northampton Academy is a new comprehensive school situated on the Billing Brook Road in Lings. There are 1300 students attending this school with the age range of these varying from 11-18 years. Northampton Academy Many business organisations use ICT in different ways depending on the type of organisation and how ICT can improve and help the business. The Northampton Academy is good example of a business that uses ICT in administration, in a more advanced and wider range of ways. The Academy needs to be able to send out letters to parents providing information such as how well their child is doing in school, whether or not their child is displaying the right kinds of behaviour in school, or information on educational trips coming up which their child may be interested in or is a part of. Newsletters also need to be sent out providing the parents of each and every child in the Academy with information about forthcoming events, plans for the future and general information such as school term dates. The variety of ways in which they use ICT in administration, are those such as at times like registration. The register will be taken by the teacher and each student marked present or absent, and then the register will be taken to reception where the staff will then feed it through an OMR (Optical Mark Recognition) machine. This saves time and effort of those that would otherwise have to type in the information of every student, saying whether or not they are present at school that day, so that each pupils attendance is recorded on their systems. With this information the computers will be able to work out each pupils percentage of attendance to put on individual records and also to enable them to keep on top of truancy and report attendance levels to parents. The school has to keep a record of every pupils data on their databases which is all done through ICT and typed into the databases on their computers. These need to be able to be updated if a student has a change of address or a slight change of information. The contact details can be stored easily and found easily which means it is a lot quicker to search for information on each student. It is important for the information to be retrievable quickly because if a child is ill or is in urgent need of going home, then telephone numbers and emergency contact information on that student needs to be found as quickly as possible and the staff dont have the time to be searching through paper files looking for that students information. Some of the information on each pupil is needed to be kept confidential, and because it is all recorded through computers, rather than having to be written out and stored in filing systems, which would take up much more room and time searching for information, it is easier to allow for that to happen. Each member of staff can be put at different levels of access on the administration system and password protection can be enabled to individual records so that only the people that need access to those files can retrieve the information. Student and staff timetabling is arranged through ICT. They are produced through the software SIMs (Schools information management System). The computers store all the information about what year, ability level and lessons each pupil should be placed into and timetables for each and every student can be made. There has to be a teacher present at each lesson so teacher timetabling is also sorted through ICT. This way if there are errors made on an individuals timetable or there is a mix-up somewhere, it doesnt take long to correct it on the systems and re-print another one for the student or the member of staff. Using the software on the computers, things such as sending out newsletters, sending letters home to parents and general word processing becomes a lot quicker and easier. They can be made professional by applying letterheads to each letter they send, and addresses can be mail merged to save time in having to find out names and addresses in manual filing systems. Every so often, each child is issued with a report that informs their parents about how they are doing in school and monitors their academic learning. Instead of each teacher writing every pupils report out by hand, the report is typed out which saves a lot of time. There are templates that teachers can use which, again, saves time in typing out a different report for each and every individual, when sometimes that isnt always necessary. This is all carried out through the use of ICT which is very useful, especially when reports are sent out to every student on a regular basis. Another beneficial way of using ICT in The Northampton Academy is carried out in the finance office. The financial department uses Microsoft Excel software to store information on every area of finance. This programme allows the use of formulae which automatically calculates and updates the changes made in finance so that they can keep track of how much money they are spending. Microsoft Excel provides great benefit to the school when it comes to financing because of this use of formulae. If you need to change a figure, then the spreadsheet recalculates everything again for you, saving a lot of time. The school has a budget which the finance office has to keep track of and make sure they keep to it and not over-spend. To do this each department is allocated a certain amount of money that they can spend over a given amount of time, which they can use to buy resources or other equipment they need in their department area. Another important area the finance office deals with is staff wages. On their systems they keep track of how much each member of staff is being paid, when they need to be paid, and it will update all that information on the spreadsheets whenever a member of staff gets given a pay-rise or any changes are made to their pay. The financial department deals with making sure every member of staff gets paid the correct amounts when they are due for their next pay. The school provide a various number of different educational trips that take place over the school year. The finance office has to keep a system that shows them how much money each pupil has paid and for which trip, and how much more they need to pay. So that the pupil is aware of this also, the financial department issues each individual with a receipt. This information is stored on spreadsheets and every time the pupil pays in a sum of money it is changed on their spreadsheets and totals are automatically updated. The hardware used throughout The Northampton Academy varies depending on whether youre part of the administration team or a pupil at the Academy. This will depend on the workstation used. The station used by the administration team is a Dell OptiPlex GX1. This includes: * 15 or 17 CRT (Cathode Ray Tube) monitor. These are big and bulky and take up more space. The administration staff have more room on their desks in general, because the desk only needs to cater for a single person, so they can manage with having a bigger monitor on their desk. * CPU (Central Processing Unit) * Mouse * Keyboard * Intel Pentium 2 or 3 processor * 265Mb RAM * CD Drive * Windows 2000 The station used by the pupils at the Academy is a Dell OptiPlex GX270. This includes: * 15 TFT (Thin Film Transistor) monitor. These are flat screens, which are small and compact. The students use these monitors because they need more working space on the computer desks as they dont get a desk to themselves, individually. This way more computers and more students can fit into the classroom. * CPU (Central Processing Unit) * Mouse * Keyboard * Intel Pentium 4 processor running at 2.6Ghz * 40Gb Hard Disk Drive * CD Drive * Windows XP Pro The workstations used by the administration team arent as quick and efficient as the ones used by the students. The Dell OptiPlex GX1 has all the hardware needed and is suitable for the needs of those in administration. The workstations used by the pupils have a faster running time with it running at 2.6 GHz. The memory of the computer is larger, to store all the work completed by students. The reasoning behind the students using 15 TFT monitors is so that space in the classroom is used more efficiently and so more students and more monitors can fit into the classroom. This applies to the tower box also. They are small and placed under the computer desk so that the only things on the desk itself are the monitor, the mouse and the keyboard. This allows space on the desk for students to have other things out and have more room in front of them. Each computer has a mouse and a keyboard. These arent cordless, because it avoids the trouble caused if they were misplaced, lost or perhaps, in an extreme event, stolen. In the classrooms, The Northampton Academy uses black and white LaserJet printer and colour Inkjet printer. Inkjet printers spray magnetically charged ink through a fine nozzle onto each sheet of paper, where a LaserJet printer uses a laser beam. The black and white LaserJet printers are used on a more regular basis simply because it is a lot cheaper to run. It prints very quickly and makes them efficient in classes where a lot of pages needed to be printed out by each student. When colour prints are needed, although the colour printers are not used much due to the cost of them and because of the very slow speed they print at, colour Inkjet printers are used because they are a lot cheaper to buy than they would be if colour LaserJet printers were used. The Northampton Academy has Microsoft Office 2003 software installed throughout the school which is used by both students and members of the administration team. The different programs used are: MS Office 2003 MS Word Word Processing Used by the staff to produce letters which can then be sent home to parents. Used by the students for GCSE coursework when typing up essays or producing work in various subjects. Teachers can prepare worksheets to be handed to the students in their class. MS Excel Spreadsheet Used for calculating sums of money in the finance department, and keeping track of school budgets. Used by students for ICT GCSE coursework. MS PowerPoint Presentation Used to create slide show presentations by teachers of various subjects which can then be shown to students to provide them with help and information in specific areas of the subject. MS Access Database Used to store information on every student in the school on a pupil database. Used for mail merging. Used by students for ICT GCSE coursework. MS Publisher Desk Top Publishing Used to produce newsletters which can be sent to inform parents of upcoming events on a regular basis. Used by students for ICT GCSE coursework. MS Visio Diagram Creator e.g. Flow Charts Room Plans MS InfoPath Used to create forms for data capture Microsoft Office 2003 isnt the only software used throughout the school. SIMs is used to a high extent in the administration office. SIMs (Schools information management System) is a full database which: Allows for the producing of timetabling for both staff and students. Produces set lists Is used for pupil monitoring, which are carried out and sent home to parents every 6 weeks using OMR (Optical mark Recognition). Is used for registration. The register is taken and the sheets are read by the optical mark reader machine. The data is then transferred into the database and matched to individual students. From this absence lists can be produced and followed up. The machine can then perform calculations which show attendance percentages for each student. Allows examination entries to be recorded for each, individual student and also produces exam timetables for them. Manages the pupil databases. Each student has a UPN (Unique Personal Number) which they are recognized by. To keep track of the money coming in and out of the school, the department budgets and the whole school budget, the finance office staff use specialist financial software (a database) called Hebron. This manages all the finance information, except from one area due to the fact that Hebron doesnt contain an order tracking system, and so Excel is used for this. As well as the different programs used in various ways for doing various different things, Windows XP offers other software which can be used. File Management Internet Explorer Utilities Paint Notepad WordPad Calculator This allows for the Academy to be fully equipped and use every piece of software they need and will benefit from. ICT is used widely across the school. It is used to a large extent in the ICT department to enable students to learn and complete work using the software on the computers. Every ICT room has a projector to allow for presentations and slide-shows to project onto a screen for the whole class to see and make use of. Cross-curricular use of ICT across the school has become a much bigger thing, which now means that every teacher is receiving a personal laptop; the use of ICT is specified under the National Curriculum and GCSE/A Level specifications; and the school is making use of many mini-suites and classroom PCs and trolleys. Interactive whiteboards are used in various classrooms, and the use of these is becoming larger by the day. The school is able to run more efficiently from the administration side of things as well, thanks to the great use of ICT. Letters can be produced and sent to parents using mail merge with the information retrieved from the pupil information database. As there are 1300 students in the school, the use of standard letters and templates comes in very useful. Clear and accurate information is kept about each student which is easy to find and can be easily updated using the database rather than using a manual filing system, such as lots of paper files. Books for educational purposes can be ordered by using the electronically stored order forms and being filled in using formulae to prevent mathematical errors occurring. The finance office manages the flow of money coming in and out of the school at a much quicker and easier rate because of the use of ICT. They make use of spreadsheets and specialist software in which they type in formulas to avoid repetitive tasks of adding up, calculating the averages and percentages and totalling sums of money, especially in cases where the information has to be changed. To keep the school functioning and communicating effectively, teachers now have Ranger software which allows for them to take over a students workstation from anywhere in the school if they are on inappropriate websites. The teachers can also send or post work straight to the students monitor using this software, which can help students to improve their work and allows for the teachers to monitor each student at any time to observe whether they are working hard. In general, ICT is used massively throughout The Northampton Academy which means the school is benefiting greatly by every aspect of ICT. Already, by the year 2004, the use of ICT in schools is fantastic. And to think that ICT is expanding and improving every day, makes you wonder what the future could hold! Lings Music Ltd Lings Music Ltd is a small independent company situated in the Weston Favell Centre with just the one branch. There are only 7 members of staff who keep it up and running. One of these is the manager and the other 6 are just ordinary working staff. The company isnt tied to any other big music stores; it is just a single, independently run, small company. Lings Music Ltd specialises mainly in pop music, but offers other categories of music. Because this is such a small company, they are unable to afford the latest equipment or any other expensive ICT equipment, so this means they have a limited amount of access to ICT in general. Lings Music Ltd do make use of some ICT but what they do make use of is very small, simply because they dont have the money to buy exceptional ICT equipment, so they make use of the basic hardware and software. The Microsoft package Lings Music Ltd uses is Microsoft Office XP, although they do not make use of all the software provided. They word process the lists of CDs they have in stock; use Microsoft Word or Publisher to produce basic flyers, leaflets, faxes, memos, letters and newsletters which help to promote their small business and advertise a little further. Lings Music Ltd also makes use of Microsoft Excel to calculate the staff wages, tax and National Insurance which saves them having to calculate everything themselves, manually, and instead use the automatic calculations provided through Excel. This saves a lot of time considering the staff number is small. Outlook Express is installed to enable for them to send emails and receive emails, which they can use to promote their business and sales to previous customers. But the main use they make out of Outlook Express is to email their suppliers to place orders to keep their stock at the correct levels. Lings Music Ltd only has one stand alone PC which is used by the manager. This means that it is not networked and if they introduced another PC into their business they would find it very difficult to update, access or share any files through the system. The one computer they do use is a Dell Pentium III with an 800 x 600 14 TFT (Thin Film Transistor) screen equipped with an Inkjet printer. With this all the hardware is used and made use of. Lings Music Ltd has managed to stay up and running as a small independent business for a fair amount of time now, but if they were to ever make the company any bigger and try to promote more and make more sales, then they would experience a lot of problems when it came to networking, the amount of software they use and the amount of PCs they use in their business. The manager and the 6 members of staff who run Lings Music Ltd have managed to get by with the equipment they do use, but could find themselves experiencing problems in the future as ICT expands and improves and they cant afford the latest ICT equipment.

Analysis of Economics and Finances of Multan District

Analysis of Economics and Finances of Multan District Abstract Public finance deals with the financial management of public entities. This paper provides an overview of the financial affairs of local government of district Multan and identifies issues faced by the systems to deliver efficiently and effectively. It also highlights areas or improvement and opportunities to fund these activities. The district government heavily relies on the provincial grants and has very limited self generated revenue. Although it is responsible to manage various institutions of social services and carry out developmental activities in the district, its reliance on provincial grants make its effort less effective. TMA on the other hand have significant revenue generation and use this to their advantage and work with autonomy. However they still rely on provincial grants for any developmental activities. The stale business process and hurdles in the legal framework also contribute significantly towards the in efficiency of the systems. There are solutions that can help turn around the situation but it needs a sincere effort on part the provincial and local government. Automation and legal reforms could cover a lot of issues. They would not only increase efficiency but would help curtail corruption at various levels. However strong political could change the scene altogether. A comprehensive process was adopted in collecting secondary data through official documents, template and meetings with officials. District Multan was chosen due to its importance specially in the current political setup and based on convenience. Introduction Despite some modest achievements, the economic and social progress in Pakistan has been far from satisfactory during the last more than five decades of independence. Average annual growth rate of 6.8, 4.8, 6.5 and 4.6% (Government of Pakistan, 2003) respectively in the decades of 60s, 70s, 80s and 90s is not comparable with the rapid economic progress made by South Korea, Malaysia, China and many other countries which were initially at nearly the same level of economic development (or even below) as that of Pakistan. The performance on social indicators has been gloomier. Despite average figures for economic growth, many countries like Vietnam and Cuba have been able to eradicate illiteracy and have achieved health statistics comparable with developed countries (Zaidi, 2000). Pakistan still ranks at the tail end of social development ranking. Pakistan is also a signatory to the Millennium Declaration, a landmark event showing commitment of political, corporate and civil society leadership to eliminate extreme hunger and poverty and to improve education, health, gender and environment situation through global partnerships for development. A study of the progress achieved on achieving the Millennium Development Goals (MDGs) shows that the performance of Pakistan has not been noteworthy in the decade of 90s. There has been a gradual convergence of opinion amongst all stakeholders – government, civil society as well as international development partners – that the failure in social sectors is a direct outcome of the crisis of governance and macro economic imbalances. Further, there is a broad consensus that governance cannot be improved without a meaningful devolution of authority to functional tiers and without ensuring peoples participation in decision making processes at all levels. This stakeholder consensus provided the necessary impetus for the present government to introduce its devolution reforms conceived in 2000 and launched simultaneously in all provinces of Pakistan through introduction of Local Government Ordinances in 2001. Until the promulgation of Local Government Ordinances, the elected local government tiers had a precarious existence depending upon the will of the provincial governments. Many times these would be dissolved and un-elected administrators appointed. Working under the ambit of Local government Ordinances of 1979, there were urban and rural local councils. While urban local councils consisted of Metropolitan/Municipal Corporations and Municipal/Town committees, the rural councils were called District Councils and Union Councils. Traditionally the local councils in Pakistan have performed municipal functions like water supply, sanitation, solid waste management, fire fighting, maintenance of slaughter houses, promotion of cattle markets, fairs and exhibitions and street lighting. They also had varying roles in primary and preventive health care, maternal and child health, promotion of literacy and rural infrastructure development. Devolution reforms in Pakistan, introduced by the promulgation of Local Government Ordinances of 2001 have provided a 3-tier local government system consisting of District Government (DG), Tehsil/Town Municipal Administration (TMA) and Union Administrations (UA). Working under the direction and control of elected councils and Nazims, the present local government system attempts to create institutions and mechanisms for public participation in design, management, monitoring and control of social service delivery. Many of the functions previously performed by the local offices of provincial government departments now clearly fall within the domain of DGs. These reforms are aimed to increase local governments responsibility for efficient and effective social and municipal services delivery. Municipal functions with a wider scope are being carried out by Town Municipal Administrations and City District Governments (established initially in provincial headquarters but subsequently in sele cted big cities as well). Access to adequate resources for the local governments is now considered essential. Additional fiscal space is required for enhanced allocations for the social sector as well as infrastructure development. These resources are also required to meet the social deficits that have accumulated over the past due to inadequate funding coupled with low utilisation in social sectors. Devolution reforms, as originally conceived and articulated, envisaged large scale fiscal decentralisation to follow the administrative and political decentralisation. While a fiscal relationship has been forged between the province and the districts, an extensive reorganisation of resources has not taken place and the vertical financial imbalance stays in place with the major financial collections being made at the federal (and to a lesser extent at the provincial) level. On the other hand, the service provision has fallen at the DG level where the tax base and collection potential is the lowest. Courtesy: Decentralization Support Program, Role Book: 4-day workshop for elected local leadershipResultantly, the biggest challenge facing the local councils in Pakistan (which are more empowered today and have a wider scope of functions than ever) is to ensure consistent, reliable and fool proof mechanisms of transfers from provincial governments and to expand ‘own source revenues in order to provide efficient and effective service delivery as envisaged in devolution reforms. Public Finance  is that part of finance which hovers around the central question of allocation of resources subjected to the budget constraint of the government or public entities. It is that branch of economics which identifies and appraises the means and effects of the policies of the government. Public sector finance tries to examine the effects and consequences of different types of taxation and expenditures on the economic agents (individuals, institutions, organizations, etc.) of the society and ultimately on the entire economy. Public finance also analyzes the effectiveness of the policies aimed at certain objectives and consequently to the development of procedures and techniques for increasing the effectiveness of the policy. Literature Review Much of the functional autonomy of the local governments depends upon their ability to raise the required resources from their own sources and to get the balance from the provincial/federal government through consistent and assured mechanisms. This requires not only devising institutional mechanisms for formula and criteria based fiscal transfers but also exploring revenue potentials of local own source revenues. These own source revenues can be in the form of taxes and fees for services provided. It is quite surprising that despite the significance of this, very few local studies have been carried out to examine the resource potential of the local bodies in Pakistan. Poverty Reduction Strategy Papers (PRSP) of Pakistan, formulated after considerable debate and input from all major stakeholders, admits that the local governments depend primarily upon fiscal transfers from provincial governments and recognises the need for local revenue mobilisation as an important activity for the sustainability of local government system. Factors steeped in political economy and elite structures have influenced local revenue generation decisions. Howe and Reeb (1997) conducting a survey of the local tax system in USA since the colonial times have determined that economic and political considerations have influenced the tax systems. Bird (2000) gives the desirable characteristics of a local tax. First, the tax base should be relatively immobile so that local governments can vary the rates without losing a significant portion of the base. Second, the tax yield should be adequate to meet the local needs, increase overtime as expenditure increases, and be relatively stable and predictable. Third, the tax should be one that is not easy to export to non residents. Fourth, the tax base should be visible to ensure accountability. Fifth, the tax payers should perceive the tax to be reasonably fair. Sixth, the tax should be reasonably easy to administer. According to Bird (1999), ‘international experience tells that the most responsible and accountable local governments are those that raise their own revenues and set their own tax rates. Meaningful local autonomy and accountability can only take place if the local governments are able to set their own tax rates. In Pakistan, on the other hand, provincial government has the power to vet the tax proposal and no tax can be levied by a local council without publication in official gazette. Kitchen and Slack (2003) after a comprehensive analysis of local taxes in developed world, including Canada, are of the view that in order to meet the growing needs of municipalities, it is mandatory that new resources in addition to the traditional property tax and user fees must be explored. There is little autonomy in preparing district development and non development budgets because of inability to convey the quantum of provincial transfers and vertical programmes. There is more ‘budgetary certainty in TMAs because of increased reliance on OZT replacement tax and own source revenues. Formula based transfers to districts through Provincial Finance Commission (PFC) awards have several weaknesses. District governments have weak tax base in terms of buoyancy and potency of taxes assigned. Urban Immovable Property Tax (UIPT) assigned to TMAs is a buoyant tax but there are administrative confusions. According to Shah et al. (1996) and World Bank (2000) the existing provincial taxes and user charges are inefficient and inequitable and are incapable of meeting significant share of provincial expenditures. Frequently changing and low yield tax instruments with poor tax records create incentives for tax evasion. Considering that agriculture contributes approximately 25% of the GDP in Pakistan, it is estimated that a properly enforced Agricultural Income Tax (AIT) could generate over Rs. 500 million in NWFP only. Presently due to collusion between revenue officials and landowners, lack of understanding, improper assessment and poor collection by the tax collectors, very little of the potential is realised. Bahl (2004) states that in the contemporary world nearly 80 countries are implementing fiscal decentralisation policies. Local government should have the power to define revenue bases, set tax rates and raise taxes. A good tax system should be administratively feasible, revenue burden should correspond to the general condition of local economy, revenue yield should be stable and it should be adequate both for payer and local government. A research study carried out by Provincial Program Support Office, DSP, Punjab ‘Tax and Non Tax Receipt Database Development – TMA Khanewal in 2005 indicates that there is substantial potential of increase in revenues without enhancing the rates. It has been observed that service delivery potential of the TMA is weak because of its inability to meet all the expenditures. The record of TMA is old; there is no practice of periodic update; and monitoring system is weak. The study also noted that revenue generation can improve dramatically by improving record keeping through maintenance of disaggregated information of taxes and tax payers in all details by the use of information technology. The study recommended computerisation of tax records, capacity building of tax/revenue staff, and increase in transparency of tax records, wider dissemination of information about tax policies, rates and procedures through establishment of people friendly frameworks. Research Methodology The paper examines the current financial situation of district Multan and identifies areas of potential improvement. It also recommends areas that need restructuring and legal reforms to bring about the change that would not only improve systems but would make it robust and ready for future economic growth of the district, keeping in mind the potential the district. Mixed methodology including quantitative and qualitative tools was employed for data collection and analysis. Broadly speaking, it had the following three components. Component 1: The first component involved conducting a comprehensive literature review to see the national, regional and international trends in local resource mobilisation and issues faced by the system. The range of sources accessed and reports/publications examined is broad and includes similar studies conducted for other districts in Pakistan (e.g. Khanewal) and elsewhere. Unfortunately, to the extent of Pakistan, the Khanewal study is so far the only study available as a reference for examination of local resource enhancement in the local government. Greater reliance, therefore, had to be placed on studies conducted in other countries. Nevertheless, the literature review helped in identifying the issues involved in local taxation (levy, assessment and collection) and an examination thereof in a comparative perspective. The success of local governments to raise resources locally is largely contingent on framing appropriate laws and rules in consonance with the ground realities. Therefore, an important part of the literature review exercise was to identify relevant laws, rules, regulations, notifications and circulars that in some distinct manner impinge upon the resource mobilisation at district/tehsil level. Component 2: Along with the literature review an exercise was also undertaken to collect data for the District Government (DG) Multan and each of the six Tehsil Municipal Administrations included in the two districts. A comprehensive template was developed to standardise data collected from various councils. It lists all major and minor sources of revenue for a local council; the legal framework (law/rule/regulation) authorising its levy; business process for assessment and collection; the amount budgeted against each tax/levy/fee/cess etc for each of the last four fiscal years 2007-10; budgetary revisions (if any) and collections actually realised. The budget documents for the last four years were used as the starting point and the amount budgeted for each source was picked from the budget documents. Component 3 A detailed analysis of receipts, expenditure, development initiatives, review of business process and relevant legal provision and their issues was carried out. Component 4: Then a series of individual interviews were held. This included meeting the Tehsil Municipal Officers, Executive District Officers (Revenue, Finance and Planning, Municipal Services), various District Officers, Excise and taxation officials, Multan Development Authority and Water and Sanitation Agency officials The suggestions and recommendations on the perspectives emanating from these interviews. Data Analysis and interpretation Overview of Public Finance (district government budget) Rs. in millions Description 2006-07 2007-08 2008-09 Expenditure Actual Actual RE Non-development 2,762.80 3,912.51 4,066.98 Development 1,462.49 1,539.14 882.19 Development – tied grant 300.12 512.19 965.16 Total 4,525.41 5,963.84 5,914.34 Source of revenue 2006-07 2007-08 2008-09 Opening balance 386.16 995.15 1,086.13 Provincial grants 3,780.30 3,853.29 5,172.88 Own Source revenue 201.07 149.37 140.13 Tied grants (development and non-development) 475.84 801.40 1,017.88 Total 4,853.37 5,726.64 7,417.02 Revenue of the district is of two types i.e. Own source revenue and provincial transfers. In district Multan there is a heavy reliance on funding from provincial government since district OSR is almost negligible. Efforts are needed to change the scenario and move the district towards sustainability A sharp rise of 37% in provincial grants could be noticed in the FY 2008-09 over FY 2007-08 endorsing districts dependence on these transfers. The provincial grants are transferred as per the PFC criteria which will be discussed in depth later in the chapter. Tied grants being the second highest source has been transferred for development and non development expenses of the district government. For the FY 2008-09 the tied grants are Rs. 1,018m which constitute 13.7% of the total sources. These grants are for specific expenditure and are not in districts control. The own source revenue (OSR) of the district govt. forms a very insignificant amount (2%, 2008-09), rendering the district to re ly heavily on provincial transfers. The OSR of the district has been on a decreasing trend compared to overall resource requirement. This is a major cause of concern as this not only increases dependence on provincial transfer but it also affects the autonomy of the district to make decisions. A sincere effort to revamp the taxes and their collection mechanism is required with the focus on generating more resource. In budget for FY 2009-10 there is an increase in OSR of 40% which includes estimation of arrears that are more than 3 years old. These balances are very old and have been appearing in budget estimates for over more than 3 years. However the increase is still insignificant compare to the requirement of the district. A detailed analysis of item by item sources of income was done. Issues relating to a few significant items will be highlighted in the section of recommendations. Expenditures are categorized in to two broad categories i.e. Development and Non development. The ratio of development vs. non development expenditure has changed over the years with a downward trend in development expenditure. This trend should be a cause of concern as the development projects loose priority to make way for funding ongoing activities In 2006-07, 2007-08 and 2008-09 the ratio of non developmental expenses vs. development expenses is 61% to 39%, 66% to 34% and 69% to 31% respectively. This shows the declining trend of developmental budget. The year 2008-09 saw a drop in the allocation for developmental activities out of district government resources from Rs. 1,538 m in FY 2007-08 to Rs. 1,082 m in FY 2008-09. This huge reduction was somewhat compensated through increase in development expenditure through tied grants which rose from Rs. 512m in FY 2007-08 to Rs. 965m in FY 2008-09. In FY 2008-09 the budget estimate for development activities other than CCB and tied gr ants stood at Rs. 558 m for ongoing activities and Rs. 742 m for new activities. The revised estimate for same expenditure came out to be Rs. 656m. Which means that not only new activities were not initiated nor ongoing expenditure targets were met. The major reasons identified during discussion is the change in political setup in the province resulting in delay tactics for funds transfer. The development budget for the district government consists of funds allocated towards Annual development program, Citizen Community board and Tied grants (provided by provincial government against specific development projects). In the FY 2009-10 the total budget for development stands at Rs. 2,749 m which is 38% of the total budget for this year. The total allocation towards ADP is Rs. 1,492 m which is 54% of the total development budget. This ADP has Rs. 966m as ongoing projects that have started in previous years. This is a large allocation and has taken up approximately 35% of the share from development budget. The new projects identified for the year are 19% of the total development budget. The ADP (ongoing and new) are mainly focused on following sectors Annual development program 2009-10 % Sectors Rs. in millions Education 214.342 14% Health 159.877 12% Dist. Govt. facilities 52.166 3% Solid waste management 26.188 2% Sports 47.14 3% General bus stand 64.259 4% Livestock and Fisheries 24.027 2% Firms to market roads 223.931 15% Roads, Building and Roundabouts 348.837 23% Others 332.034 22% Total 1492.801 The above table reflects district governments priorities for sector development. The social services such as health and education take up 26% of the share whereas the roads network takes up 38% of the allocation. Overview of Public Finance (All 6 TMAs) Rs. in millions Description 2006-07 2007-08 2008-09 Expenditure Non-development 251 247 326 Development 470 449 584 Total 721 697 910 Source of revenue 2006-07 2007-08 2008-09 Provincial grant 246 303 290 Own Source revenue 293 339 414 Total 540 642 704 There are 6 TMAs in the district and all of them have a reasonable amount of OSR to help them fund their activities. However there is still potential to increase their revenue specially taxes that form a major component of their OSR. Receipts of TMA consist of provincial transfer and OSR. In TMAs OSR contributes significantly. The ratio of contribution of OSR has in fact increased in FY 2008-09. This is a positive sign as far the TMAs ability to make decisions is involved. However there is still room for increase in revenue. The major source being taxes should be tapped into for more efficiency. It is worth noting, looking at the combined figures for all 6 TMAs, that the OSR in all the 3 FY under discussion has been sufficient to fund the non development activities even leaving a surplus to be spent on development activities. The development vs. non development expenses are more or less consistent at a ratio of 64:36 over the last 3 years. The above table shows the break up of development expenditure for the TMA. The allocation towards development expenditure is 64% of the total outlay. It has remained at this level over last 3 years. The allocation in FY 2008-09, which comprises of the annual development projects, CCB contribution and payment against liabilities amounts to Rs. 255m, Rs. 262m and Rs. 66 m, respectively. Payments against these liabilities were frozen by the government of Punjab and have asked the TMAs to present these liabilities as new projects under the ADP. Optimistic planning and change in political setup at the provincial level resulted in huge payment liabilities being carried forward to the next year. PFC award – This is another source of income for the DG and TMAs. The criteria for distributing the PFC grant is specified by the Punjab Government and takes into consideration the population and socio economic indicator of the district (GOP, 2009-10) The district government and the TMAs have received funds at around 5% level from the provincial allocation over last 4 years. If we take a simple benchmark of population to compare the level of funding, Multan district has 4.26% population of Punjab (GOP, Punjab Development Statistics, 2009). This reflects that district Multan has been receiving fair share of the pie. 2006-07 2007-08 2008-09 2009-10 Resources transfer by Province to DG 90,794 96,952 99,413 108,822 TMA 13,541 14,431 15,320 15,209 Total 104,335 111,383 114,733 124,031 Allocation to DG and TMAs of Multan 4,512.56 4,885.02 6,480.43 6,108.37 % share 4.325% 4.386% 5.648% 4.925% Population Punjab 87,548 89,036 90,550 92,089 Multan 3,727 3,792 3,858 3,925 % population 4.26% 4.26% 4.26% 4.26% Recommendations Business process and legal reforms In this section we will focus our discussion on business process and relevant legal reforms to help identify areas of improvement. Section 116 of PLGO 2001 empowers the council to impose, increase, reduce, abolish, suspend and/or exempt any tax mentioned in the second schedule there in. However the section also mentioned that any amendment to taxes is vetted by the provincial government. This process hampers the local governments autonomy to set their own tax rates as the provincial government plays a controlling role. If full autonomy to fix rates etc. is not to be devolved, then the issue can be resolved by providing band widths within which the DGs and the TMAs would be free to act. To address the issue of stale process it is recommend that automation of business process, a comprehensive revenues base assessment and capacity building of staff should take place. The automation of business processes would result in better accounting, efficiency in tax collection mechanism hence increasing revenue, provide up to date databases, availability of information to be used by various department and timely reporting. It has been assessed that without increasing the rates of present taxes the yield can improve dramatically by maintaining records/registers properly, regular survey and incorporation of changes in tax records, improved monitoring and inclusion of systems of rewards and punishments for tax collecting machinery. Capacity and training of staff are critical to success of any initiative for enhancement of own source revenues. Local government officials dealing with these issues (in many cases) do not have up to date information about government laws and rules. Training with respect to financial management and procurement plus IT is also critical for bringing positive change. Low yielding taxes/fees are an administrative hassle for the collecting authority and they should be done away with or their rates be revised upwards to increase revenue. Dissemination of information about process, assessments, valuation table, and fees would help curtail corruption. One of the major reason people fall in the trap of providing kick backs is lack of information. This information could be made available through IEC material, notices in newspapers, display through posters in relevant offices and media awareness campaign. The business process of all OSR items such as taxes, rents and fees and user charge in the DGs and TMAs have mostly been defined a long time ago and the current LG setup has inherited them. There has not been any significant investment in review and reform of business processes of the taxes. Our research has shown that many improvements in the system can result from identification and removal of various loopholes and weaknesses in the processes. We recommend a comprehensive effort to be made to overhaul these processes which would result in collection efficiencies and significant improvement in tax payer facilitation. A quality control mechanism should be introduced to check functioning of various departments in the district. Conclusion This study briefly discusses the financial position of District Multan. It also carries out the financial analysis of the current situation and identifies issues faced by the local government. The major issues highlighted are capacity of the local government and the will to address issues. Multan being the 5th largest city of Pakistan has the potential to grow economically. It is well geographically well positioned since it lies in the middle of the trade route connecting south with north. A major initiative to revamp the systems would result in positive outcome for the people of the district. This paper also recommends few areas of improvement. A much larger effort needs to go into this. Recommendations such as legal reforms, revamping business process, trainings and automation needs to be implemented together to bring quick change. However this whole effort needs to be financed. The financing could take place with one or all of the following options; Lists of 11 properties were identified on a pilot basis. These properties/facilities are all in prime locations inside the city and are owned by the DG. We propose to sell of these properties and either abolished these facilities or relocate them to a more economical location. Through this proposal we would be able to raise Rs. 4,682 m. This in only the tip of iceberg, a more comprehensive study would reveal a lot more properties. Another area of resource generation is the property given on rent. The DG and TMA have many shops, stores and buildings that have been rented out. One of the ways forward could be to revise the rents and bring them at market level. Another option is to sell out these properties on market value and receive a good cash inflow that could be used for major initiatives. There are many government educational institutions with city limits many of them being on prime locations. A designated education city should be developed and all these institution should be shifted. A cost benefit analysis should be carried out to assess the potential of this option. Municipal bond is a  bond  issued by a city or other local government, or their agencies. Municipal bonds may be general obligations of the issuer or secured by specified revenues. Interest income is received by holders of municipal bonds. Municipal securities consist of both short-term issues (often called notes, which typically mature in one year or less) and long-term issues (commonly known as bonds, which mature in more than one year). Short-term notes are used by an issuer to raise money for a variety of reasons: in anticipation of future revenues such as taxes, state or Analysis of Economics and Finances of Multan District Analysis of Economics and Finances of Multan District Abstract Public finance deals with the financial management of public entities. This paper provides an overview of the financial affairs of local government of district Multan and identifies issues faced by the systems to deliver efficiently and effectively. It also highlights areas or improvement and opportunities to fund these activities. The district government heavily relies on the provincial grants and has very limited self generated revenue. Although it is responsible to manage various institutions of social services and carry out developmental activities in the district, its reliance on provincial grants make its effort less effective. TMA on the other hand have significant revenue generation and use this to their advantage and work with autonomy. However they still rely on provincial grants for any developmental activities. The stale business process and hurdles in the legal framework also contribute significantly towards the in efficiency of the systems. There are solutions that can help turn around the situation but it needs a sincere effort on part the provincial and local government. Automation and legal reforms could cover a lot of issues. They would not only increase efficiency but would help curtail corruption at various levels. However strong political could change the scene altogether. A comprehensive process was adopted in collecting secondary data through official documents, template and meetings with officials. District Multan was chosen due to its importance specially in the current political setup and based on convenience. Introduction Despite some modest achievements, the economic and social progress in Pakistan has been far from satisfactory during the last more than five decades of independence. Average annual growth rate of 6.8, 4.8, 6.5 and 4.6% (Government of Pakistan, 2003) respectively in the decades of 60s, 70s, 80s and 90s is not comparable with the rapid economic progress made by South Korea, Malaysia, China and many other countries which were initially at nearly the same level of economic development (or even below) as that of Pakistan. The performance on social indicators has been gloomier. Despite average figures for economic growth, many countries like Vietnam and Cuba have been able to eradicate illiteracy and have achieved health statistics comparable with developed countries (Zaidi, 2000). Pakistan still ranks at the tail end of social development ranking. Pakistan is also a signatory to the Millennium Declaration, a landmark event showing commitment of political, corporate and civil society leadership to eliminate extreme hunger and poverty and to improve education, health, gender and environment situation through global partnerships for development. A study of the progress achieved on achieving the Millennium Development Goals (MDGs) shows that the performance of Pakistan has not been noteworthy in the decade of 90s. There has been a gradual convergence of opinion amongst all stakeholders – government, civil society as well as international development partners – that the failure in social sectors is a direct outcome of the crisis of governance and macro economic imbalances. Further, there is a broad consensus that governance cannot be improved without a meaningful devolution of authority to functional tiers and without ensuring peoples participation in decision making processes at all levels. This stakeholder consensus provided the necessary impetus for the present government to introduce its devolution reforms conceived in 2000 and launched simultaneously in all provinces of Pakistan through introduction of Local Government Ordinances in 2001. Until the promulgation of Local Government Ordinances, the elected local government tiers had a precarious existence depending upon the will of the provincial governments. Many times these would be dissolved and un-elected administrators appointed. Working under the ambit of Local government Ordinances of 1979, there were urban and rural local councils. While urban local councils consisted of Metropolitan/Municipal Corporations and Municipal/Town committees, the rural councils were called District Councils and Union Councils. Traditionally the local councils in Pakistan have performed municipal functions like water supply, sanitation, solid waste management, fire fighting, maintenance of slaughter houses, promotion of cattle markets, fairs and exhibitions and street lighting. They also had varying roles in primary and preventive health care, maternal and child health, promotion of literacy and rural infrastructure development. Devolution reforms in Pakistan, introduced by the promulgation of Local Government Ordinances of 2001 have provided a 3-tier local government system consisting of District Government (DG), Tehsil/Town Municipal Administration (TMA) and Union Administrations (UA). Working under the direction and control of elected councils and Nazims, the present local government system attempts to create institutions and mechanisms for public participation in design, management, monitoring and control of social service delivery. Many of the functions previously performed by the local offices of provincial government departments now clearly fall within the domain of DGs. These reforms are aimed to increase local governments responsibility for efficient and effective social and municipal services delivery. Municipal functions with a wider scope are being carried out by Town Municipal Administrations and City District Governments (established initially in provincial headquarters but subsequently in sele cted big cities as well). Access to adequate resources for the local governments is now considered essential. Additional fiscal space is required for enhanced allocations for the social sector as well as infrastructure development. These resources are also required to meet the social deficits that have accumulated over the past due to inadequate funding coupled with low utilisation in social sectors. Devolution reforms, as originally conceived and articulated, envisaged large scale fiscal decentralisation to follow the administrative and political decentralisation. While a fiscal relationship has been forged between the province and the districts, an extensive reorganisation of resources has not taken place and the vertical financial imbalance stays in place with the major financial collections being made at the federal (and to a lesser extent at the provincial) level. On the other hand, the service provision has fallen at the DG level where the tax base and collection potential is the lowest. Courtesy: Decentralization Support Program, Role Book: 4-day workshop for elected local leadershipResultantly, the biggest challenge facing the local councils in Pakistan (which are more empowered today and have a wider scope of functions than ever) is to ensure consistent, reliable and fool proof mechanisms of transfers from provincial governments and to expand ‘own source revenues in order to provide efficient and effective service delivery as envisaged in devolution reforms. Public Finance  is that part of finance which hovers around the central question of allocation of resources subjected to the budget constraint of the government or public entities. It is that branch of economics which identifies and appraises the means and effects of the policies of the government. Public sector finance tries to examine the effects and consequences of different types of taxation and expenditures on the economic agents (individuals, institutions, organizations, etc.) of the society and ultimately on the entire economy. Public finance also analyzes the effectiveness of the policies aimed at certain objectives and consequently to the development of procedures and techniques for increasing the effectiveness of the policy. Literature Review Much of the functional autonomy of the local governments depends upon their ability to raise the required resources from their own sources and to get the balance from the provincial/federal government through consistent and assured mechanisms. This requires not only devising institutional mechanisms for formula and criteria based fiscal transfers but also exploring revenue potentials of local own source revenues. These own source revenues can be in the form of taxes and fees for services provided. It is quite surprising that despite the significance of this, very few local studies have been carried out to examine the resource potential of the local bodies in Pakistan. Poverty Reduction Strategy Papers (PRSP) of Pakistan, formulated after considerable debate and input from all major stakeholders, admits that the local governments depend primarily upon fiscal transfers from provincial governments and recognises the need for local revenue mobilisation as an important activity for the sustainability of local government system. Factors steeped in political economy and elite structures have influenced local revenue generation decisions. Howe and Reeb (1997) conducting a survey of the local tax system in USA since the colonial times have determined that economic and political considerations have influenced the tax systems. Bird (2000) gives the desirable characteristics of a local tax. First, the tax base should be relatively immobile so that local governments can vary the rates without losing a significant portion of the base. Second, the tax yield should be adequate to meet the local needs, increase overtime as expenditure increases, and be relatively stable and predictable. Third, the tax should be one that is not easy to export to non residents. Fourth, the tax base should be visible to ensure accountability. Fifth, the tax payers should perceive the tax to be reasonably fair. Sixth, the tax should be reasonably easy to administer. According to Bird (1999), ‘international experience tells that the most responsible and accountable local governments are those that raise their own revenues and set their own tax rates. Meaningful local autonomy and accountability can only take place if the local governments are able to set their own tax rates. In Pakistan, on the other hand, provincial government has the power to vet the tax proposal and no tax can be levied by a local council without publication in official gazette. Kitchen and Slack (2003) after a comprehensive analysis of local taxes in developed world, including Canada, are of the view that in order to meet the growing needs of municipalities, it is mandatory that new resources in addition to the traditional property tax and user fees must be explored. There is little autonomy in preparing district development and non development budgets because of inability to convey the quantum of provincial transfers and vertical programmes. There is more ‘budgetary certainty in TMAs because of increased reliance on OZT replacement tax and own source revenues. Formula based transfers to districts through Provincial Finance Commission (PFC) awards have several weaknesses. District governments have weak tax base in terms of buoyancy and potency of taxes assigned. Urban Immovable Property Tax (UIPT) assigned to TMAs is a buoyant tax but there are administrative confusions. According to Shah et al. (1996) and World Bank (2000) the existing provincial taxes and user charges are inefficient and inequitable and are incapable of meeting significant share of provincial expenditures. Frequently changing and low yield tax instruments with poor tax records create incentives for tax evasion. Considering that agriculture contributes approximately 25% of the GDP in Pakistan, it is estimated that a properly enforced Agricultural Income Tax (AIT) could generate over Rs. 500 million in NWFP only. Presently due to collusion between revenue officials and landowners, lack of understanding, improper assessment and poor collection by the tax collectors, very little of the potential is realised. Bahl (2004) states that in the contemporary world nearly 80 countries are implementing fiscal decentralisation policies. Local government should have the power to define revenue bases, set tax rates and raise taxes. A good tax system should be administratively feasible, revenue burden should correspond to the general condition of local economy, revenue yield should be stable and it should be adequate both for payer and local government. A research study carried out by Provincial Program Support Office, DSP, Punjab ‘Tax and Non Tax Receipt Database Development – TMA Khanewal in 2005 indicates that there is substantial potential of increase in revenues without enhancing the rates. It has been observed that service delivery potential of the TMA is weak because of its inability to meet all the expenditures. The record of TMA is old; there is no practice of periodic update; and monitoring system is weak. The study also noted that revenue generation can improve dramatically by improving record keeping through maintenance of disaggregated information of taxes and tax payers in all details by the use of information technology. The study recommended computerisation of tax records, capacity building of tax/revenue staff, and increase in transparency of tax records, wider dissemination of information about tax policies, rates and procedures through establishment of people friendly frameworks. Research Methodology The paper examines the current financial situation of district Multan and identifies areas of potential improvement. It also recommends areas that need restructuring and legal reforms to bring about the change that would not only improve systems but would make it robust and ready for future economic growth of the district, keeping in mind the potential the district. Mixed methodology including quantitative and qualitative tools was employed for data collection and analysis. Broadly speaking, it had the following three components. Component 1: The first component involved conducting a comprehensive literature review to see the national, regional and international trends in local resource mobilisation and issues faced by the system. The range of sources accessed and reports/publications examined is broad and includes similar studies conducted for other districts in Pakistan (e.g. Khanewal) and elsewhere. Unfortunately, to the extent of Pakistan, the Khanewal study is so far the only study available as a reference for examination of local resource enhancement in the local government. Greater reliance, therefore, had to be placed on studies conducted in other countries. Nevertheless, the literature review helped in identifying the issues involved in local taxation (levy, assessment and collection) and an examination thereof in a comparative perspective. The success of local governments to raise resources locally is largely contingent on framing appropriate laws and rules in consonance with the ground realities. Therefore, an important part of the literature review exercise was to identify relevant laws, rules, regulations, notifications and circulars that in some distinct manner impinge upon the resource mobilisation at district/tehsil level. Component 2: Along with the literature review an exercise was also undertaken to collect data for the District Government (DG) Multan and each of the six Tehsil Municipal Administrations included in the two districts. A comprehensive template was developed to standardise data collected from various councils. It lists all major and minor sources of revenue for a local council; the legal framework (law/rule/regulation) authorising its levy; business process for assessment and collection; the amount budgeted against each tax/levy/fee/cess etc for each of the last four fiscal years 2007-10; budgetary revisions (if any) and collections actually realised. The budget documents for the last four years were used as the starting point and the amount budgeted for each source was picked from the budget documents. Component 3 A detailed analysis of receipts, expenditure, development initiatives, review of business process and relevant legal provision and their issues was carried out. Component 4: Then a series of individual interviews were held. This included meeting the Tehsil Municipal Officers, Executive District Officers (Revenue, Finance and Planning, Municipal Services), various District Officers, Excise and taxation officials, Multan Development Authority and Water and Sanitation Agency officials The suggestions and recommendations on the perspectives emanating from these interviews. Data Analysis and interpretation Overview of Public Finance (district government budget) Rs. in millions Description 2006-07 2007-08 2008-09 Expenditure Actual Actual RE Non-development 2,762.80 3,912.51 4,066.98 Development 1,462.49 1,539.14 882.19 Development – tied grant 300.12 512.19 965.16 Total 4,525.41 5,963.84 5,914.34 Source of revenue 2006-07 2007-08 2008-09 Opening balance 386.16 995.15 1,086.13 Provincial grants 3,780.30 3,853.29 5,172.88 Own Source revenue 201.07 149.37 140.13 Tied grants (development and non-development) 475.84 801.40 1,017.88 Total 4,853.37 5,726.64 7,417.02 Revenue of the district is of two types i.e. Own source revenue and provincial transfers. In district Multan there is a heavy reliance on funding from provincial government since district OSR is almost negligible. Efforts are needed to change the scenario and move the district towards sustainability A sharp rise of 37% in provincial grants could be noticed in the FY 2008-09 over FY 2007-08 endorsing districts dependence on these transfers. The provincial grants are transferred as per the PFC criteria which will be discussed in depth later in the chapter. Tied grants being the second highest source has been transferred for development and non development expenses of the district government. For the FY 2008-09 the tied grants are Rs. 1,018m which constitute 13.7% of the total sources. These grants are for specific expenditure and are not in districts control. The own source revenue (OSR) of the district govt. forms a very insignificant amount (2%, 2008-09), rendering the district to re ly heavily on provincial transfers. The OSR of the district has been on a decreasing trend compared to overall resource requirement. This is a major cause of concern as this not only increases dependence on provincial transfer but it also affects the autonomy of the district to make decisions. A sincere effort to revamp the taxes and their collection mechanism is required with the focus on generating more resource. In budget for FY 2009-10 there is an increase in OSR of 40% which includes estimation of arrears that are more than 3 years old. These balances are very old and have been appearing in budget estimates for over more than 3 years. However the increase is still insignificant compare to the requirement of the district. A detailed analysis of item by item sources of income was done. Issues relating to a few significant items will be highlighted in the section of recommendations. Expenditures are categorized in to two broad categories i.e. Development and Non development. The ratio of development vs. non development expenditure has changed over the years with a downward trend in development expenditure. This trend should be a cause of concern as the development projects loose priority to make way for funding ongoing activities In 2006-07, 2007-08 and 2008-09 the ratio of non developmental expenses vs. development expenses is 61% to 39%, 66% to 34% and 69% to 31% respectively. This shows the declining trend of developmental budget. The year 2008-09 saw a drop in the allocation for developmental activities out of district government resources from Rs. 1,538 m in FY 2007-08 to Rs. 1,082 m in FY 2008-09. This huge reduction was somewhat compensated through increase in development expenditure through tied grants which rose from Rs. 512m in FY 2007-08 to Rs. 965m in FY 2008-09. In FY 2008-09 the budget estimate for development activities other than CCB and tied gr ants stood at Rs. 558 m for ongoing activities and Rs. 742 m for new activities. The revised estimate for same expenditure came out to be Rs. 656m. Which means that not only new activities were not initiated nor ongoing expenditure targets were met. The major reasons identified during discussion is the change in political setup in the province resulting in delay tactics for funds transfer. The development budget for the district government consists of funds allocated towards Annual development program, Citizen Community board and Tied grants (provided by provincial government against specific development projects). In the FY 2009-10 the total budget for development stands at Rs. 2,749 m which is 38% of the total budget for this year. The total allocation towards ADP is Rs. 1,492 m which is 54% of the total development budget. This ADP has Rs. 966m as ongoing projects that have started in previous years. This is a large allocation and has taken up approximately 35% of the share from development budget. The new projects identified for the year are 19% of the total development budget. The ADP (ongoing and new) are mainly focused on following sectors Annual development program 2009-10 % Sectors Rs. in millions Education 214.342 14% Health 159.877 12% Dist. Govt. facilities 52.166 3% Solid waste management 26.188 2% Sports 47.14 3% General bus stand 64.259 4% Livestock and Fisheries 24.027 2% Firms to market roads 223.931 15% Roads, Building and Roundabouts 348.837 23% Others 332.034 22% Total 1492.801 The above table reflects district governments priorities for sector development. The social services such as health and education take up 26% of the share whereas the roads network takes up 38% of the allocation. Overview of Public Finance (All 6 TMAs) Rs. in millions Description 2006-07 2007-08 2008-09 Expenditure Non-development 251 247 326 Development 470 449 584 Total 721 697 910 Source of revenue 2006-07 2007-08 2008-09 Provincial grant 246 303 290 Own Source revenue 293 339 414 Total 540 642 704 There are 6 TMAs in the district and all of them have a reasonable amount of OSR to help them fund their activities. However there is still potential to increase their revenue specially taxes that form a major component of their OSR. Receipts of TMA consist of provincial transfer and OSR. In TMAs OSR contributes significantly. The ratio of contribution of OSR has in fact increased in FY 2008-09. This is a positive sign as far the TMAs ability to make decisions is involved. However there is still room for increase in revenue. The major source being taxes should be tapped into for more efficiency. It is worth noting, looking at the combined figures for all 6 TMAs, that the OSR in all the 3 FY under discussion has been sufficient to fund the non development activities even leaving a surplus to be spent on development activities. The development vs. non development expenses are more or less consistent at a ratio of 64:36 over the last 3 years. The above table shows the break up of development expenditure for the TMA. The allocation towards development expenditure is 64% of the total outlay. It has remained at this level over last 3 years. The allocation in FY 2008-09, which comprises of the annual development projects, CCB contribution and payment against liabilities amounts to Rs. 255m, Rs. 262m and Rs. 66 m, respectively. Payments against these liabilities were frozen by the government of Punjab and have asked the TMAs to present these liabilities as new projects under the ADP. Optimistic planning and change in political setup at the provincial level resulted in huge payment liabilities being carried forward to the next year. PFC award – This is another source of income for the DG and TMAs. The criteria for distributing the PFC grant is specified by the Punjab Government and takes into consideration the population and socio economic indicator of the district (GOP, 2009-10) The district government and the TMAs have received funds at around 5% level from the provincial allocation over last 4 years. If we take a simple benchmark of population to compare the level of funding, Multan district has 4.26% population of Punjab (GOP, Punjab Development Statistics, 2009). This reflects that district Multan has been receiving fair share of the pie. 2006-07 2007-08 2008-09 2009-10 Resources transfer by Province to DG 90,794 96,952 99,413 108,822 TMA 13,541 14,431 15,320 15,209 Total 104,335 111,383 114,733 124,031 Allocation to DG and TMAs of Multan 4,512.56 4,885.02 6,480.43 6,108.37 % share 4.325% 4.386% 5.648% 4.925% Population Punjab 87,548 89,036 90,550 92,089 Multan 3,727 3,792 3,858 3,925 % population 4.26% 4.26% 4.26% 4.26% Recommendations Business process and legal reforms In this section we will focus our discussion on business process and relevant legal reforms to help identify areas of improvement. Section 116 of PLGO 2001 empowers the council to impose, increase, reduce, abolish, suspend and/or exempt any tax mentioned in the second schedule there in. However the section also mentioned that any amendment to taxes is vetted by the provincial government. This process hampers the local governments autonomy to set their own tax rates as the provincial government plays a controlling role. If full autonomy to fix rates etc. is not to be devolved, then the issue can be resolved by providing band widths within which the DGs and the TMAs would be free to act. To address the issue of stale process it is recommend that automation of business process, a comprehensive revenues base assessment and capacity building of staff should take place. The automation of business processes would result in better accounting, efficiency in tax collection mechanism hence increasing revenue, provide up to date databases, availability of information to be used by various department and timely reporting. It has been assessed that without increasing the rates of present taxes the yield can improve dramatically by maintaining records/registers properly, regular survey and incorporation of changes in tax records, improved monitoring and inclusion of systems of rewards and punishments for tax collecting machinery. Capacity and training of staff are critical to success of any initiative for enhancement of own source revenues. Local government officials dealing with these issues (in many cases) do not have up to date information about government laws and rules. Training with respect to financial management and procurement plus IT is also critical for bringing positive change. Low yielding taxes/fees are an administrative hassle for the collecting authority and they should be done away with or their rates be revised upwards to increase revenue. Dissemination of information about process, assessments, valuation table, and fees would help curtail corruption. One of the major reason people fall in the trap of providing kick backs is lack of information. This information could be made available through IEC material, notices in newspapers, display through posters in relevant offices and media awareness campaign. The business process of all OSR items such as taxes, rents and fees and user charge in the DGs and TMAs have mostly been defined a long time ago and the current LG setup has inherited them. There has not been any significant investment in review and reform of business processes of the taxes. Our research has shown that many improvements in the system can result from identification and removal of various loopholes and weaknesses in the processes. We recommend a comprehensive effort to be made to overhaul these processes which would result in collection efficiencies and significant improvement in tax payer facilitation. A quality control mechanism should be introduced to check functioning of various departments in the district. Conclusion This study briefly discusses the financial position of District Multan. It also carries out the financial analysis of the current situation and identifies issues faced by the local government. The major issues highlighted are capacity of the local government and the will to address issues. Multan being the 5th largest city of Pakistan has the potential to grow economically. It is well geographically well positioned since it lies in the middle of the trade route connecting south with north. A major initiative to revamp the systems would result in positive outcome for the people of the district. This paper also recommends few areas of improvement. A much larger effort needs to go into this. Recommendations such as legal reforms, revamping business process, trainings and automation needs to be implemented together to bring quick change. However this whole effort needs to be financed. The financing could take place with one or all of the following options; Lists of 11 properties were identified on a pilot basis. These properties/facilities are all in prime locations inside the city and are owned by the DG. We propose to sell of these properties and either abolished these facilities or relocate them to a more economical location. Through this proposal we would be able to raise Rs. 4,682 m. This in only the tip of iceberg, a more comprehensive study would reveal a lot more properties. Another area of resource generation is the property given on rent. The DG and TMA have many shops, stores and buildings that have been rented out. One of the ways forward could be to revise the rents and bring them at market level. Another option is to sell out these properties on market value and receive a good cash inflow that could be used for major initiatives. There are many government educational institutions with city limits many of them being on prime locations. A designated education city should be developed and all these institution should be shifted. A cost benefit analysis should be carried out to assess the potential of this option. Municipal bond is a  bond  issued by a city or other local government, or their agencies. Municipal bonds may be general obligations of the issuer or secured by specified revenues. Interest income is received by holders of municipal bonds. Municipal securities consist of both short-term issues (often called notes, which typically mature in one year or less) and long-term issues (commonly known as bonds, which mature in more than one year). Short-term notes are used by an issuer to raise money for a variety of reasons: in anticipation of future revenues such as taxes, state or