CHAPTER ONE

INTRODUCTION
    The creation of more states from the former region of Nigeria in 1967 and 1976 respectively, was aims at bringing the government closer to the people at the grass root level. It was also aimed at solving the problem of distance and remoteness of the seat of the central or state government from the local people.
    In the same vein, the creation of more local governments thorugh the country in 1976, following the recommendation of the Udoji public service review commission of 1974, was a set forward in encouraging full local participation in the art of government upon which the state and the federal government is to be built.
    Local government in Nigeria are created to provide efficient social services to the local communities in the most economical ways out of the limited revenue which are being collected from the communities inform of taxes, rate feex profit from commercial undertakings and other miscellaneous earnings.
    Inspite of the fact that the 1975 local government reform has invariably established a united local government system, more declaration was made in the budget speech of 1st January 1991 by president Babangida that, local government will be accorded full administrative autonomy and allowed to operate in accordance with split and a letter of the constitution and direction by the state or federal government the discharge of these constitutional responsibilities. The subvention will come to them directly. However, more responsibilities have been given to the local government.
    â€œThe full ones and responsibility of providing the basic needs including primary education for their communities are now on them”.
    Apart from the above spelled out functions there are other already established functions and since the primary aim of setting up local government council is to bring the administration closer to the people. It the follows that more service attention is to be paid to the communities
    For instance provisions of basic health facilities, provision of assess roads, for the farmers and traders to bering their product to the market centers and going about their trading activities.
    There are still lots more to be leant from the mistakes problems and achievements regarding  the operation of the system in the various local government areas. It is principally a sainst this background that professional administrations, councilors and individual in the whole past of the country may find if useful to understand the operative system of local government revenue generation elsewhere in Nigeria.
    The general public will also like to know how their councils obtain much needed revenue and how such revenue is generated for the development of their localities.
    Furthermore, the students of local government and administration cannot afford to continue studying the structure of state of federal government finance without having interests in a vital aspect of the structure which is local government revenue generation.
    This project work is therefore intended to provide road information on the system used by our local government councils in their revenue generation in Kwara State.
    The Ifelodun Local government shall be the area of study in Kwara state of Nigeria.
1.2    STATEMENT OF THE PROBLEM
The effectiveness efficiency and survival of any local government depends on the functions, finances and staffs, including the authority that may be granted to it by the enabling laws of the state and federal government.
This study is therefore, intended to examine the relationship between the spelled out constitution of the federal republic of Nigeria 1979 and that of local government revenue and revenue generation included in the president budget speech of 1st January 1991 page 7 respectively.
Is shall among others study the origin of revenue generation objectives of revenue generation, source of revenue, problem of revenue generation if Ifelodun local government and recommendation shall be givesn as to the ways by which effective generation of revenue can be made in the Ifelodun Local government.
1.3    SCOPE OF THE STUDY
    One of the importance of this study is to extend the sphere of knowledge to the direction of Ifelodun local government “the relation between the varied revenue scources and the effectiveness of it generation” since limited study on this topic and issue has been done in this “remote” direction.
This study will not only identify the obstacles militating against effective revenue generation in Ifelodun local government, but also provide suggestive solution to them.