Solid waste generation rete and composition, suitable landfill and people’s understanding towards it are the basic things to plan and implement solid waste management systems. The objective of the study is therefore to determine the current situation of municipal solid waste generation rate, physical composition and disposal site selection. The study was conducted on randomly selected households 164 sample (55 low, 67 middle and 42 high income level); 20 hotel & restaurant, 10 commercial centers, 14 institutions and 4 construction demolish sample was taken which are expected to represent main categories of municipal solid waste of research area. Using survey, daily waste from those separated sources were measured. This was conducted for wet and dry seasons to have better average monthly solid waste generation rate and physical composition. The total per capital solid waste generation rate for the town is estimated to be 0.226 kg/capital/day and annual it reached about 82.603kg and the average physical decomposable waste and non-decomposable waste were 95.85% and 4.15%, respectively. House hold were the dominant source of SW form the study area it covers 97.88%. As shown from the result from the total solid waste of town, 51.61% was organic solid waste and 48.39% was inorganic solid waste. Whereas reuse and recyclable materials were found that 13.62% in overall at study area. In terms of solid waste physical composition ash and food waste account were 47.4% & 23% respectively. Required land fill capacity and moderately suitable site was provided eastern and western part of the study area. This finding is important for the responsible bodies to take measures on solid waste management and necessary to practice required solid waste composting technology.