This research was conducted on the assessment of the impact of Muhanga city development on sanitation services, the primary data regarding sanitation was collected using questionnaire survey, interviews and observation. To evaluate land use land cover situation from the year 2013 up to 2017 remote sensing techniques was used. The results from collected data showed that 65% of generated solid waste is composed by organic waste, while waste collection coverage from household level is low with a percentage of 9%. The analysis of land use land cover situation showed that during the five years, settlement area increased by 8.67%, the amount of waste generation is increasing with population growth, and it varied from 1,555m 3 in 2014 to 3,045m 3 in 2017. The analysis of variance (ANOVA) results shows that the amount of solid waste generated is significantly difference between the year 2014 and the year 2017. Regarding liquid waste management there are drainage systems constructed, although the survey made showed that 39.2% of households sampled highlighted that storm water is still a problem in their residential area. The obtained results evidenced that solid waste collection at household level by a private company is a new practice in the city, and the collection coverage is still low compared to city resident, consequently there is still informal dumpsite in open area across the city. The private sector needs to be more committed in sanitation services provision, and the public sector needs to be involved in sanitation infrastructures development by focusing on composting facilities as a big percentage of generated waste is biodegradable. The public sector has a direct influence on the private sector and the community, the community and the private sector need to become familiar with working together for the purpose of improving sanitation with the aim to protect the environment.