The UCMID programme is funded by the World Bank and supports urban infrastructure development across selected municipalities and cities in Uganda.
Municipal officials say the allocation could increase to as much as Shs30 billion if the municipality meets performance targets, particularly in local revenue collection and project implementation.
Kisoro Municipality Town Clerk Richard Mugisha disclosed the funding during a meeting with UCMID officials from the Ministry of Lands, Housing and Urban Development, saying the resources will be invested in critical infrastructure to improve the municipality.
"The allocations under UCMID are performance-based, and strong performers can receive additional funding, while poor performance leads to reductions," Mugisha said.
He said the municipality intends to begin with two projects that require relatively less preparation: the redevelopment of the Mayor's Garden, estimated to cost Shs11 billion, and the construction of a taxi park estimated at Shs4 billion.
According to Mugisha, the two projects can commence sooner because they do not require the extensive engineering designs needed for road construction projects.
Kisoro District Works Secretary Joachim Hashakimana said the municipality could initially commit about 20 percent of the total allocation, equivalent to approximately Shs4.8 billion, to kick-start the Mayor's Garden and taxi park projects while preparations for larger road projects are completed.
The proposal, however, attracted mixed views from councillors during the meeting. Some argued that the taxi park should be prioritised because it requires less funding and would deliver immediate benefits to residents and transport operators.
Others proposed scaling down aspects of the Mayor's Garden project to free up resources for other infrastructure priorities.
The funding is expected to support Kisoro Municipality's efforts to improve transport infrastructure, enhance public spaces and strengthen urban development over the next five years.