The presented budget must be released to the public for consultation and then with all revisions brought back to the full municipal council for approval before the beginning of the new fiscal year as required in the MFMA. This final budget, to be brought back to council, will incorporate all the proposals and changes deemed necessary by the mayor. Most of the MFMA's requirements regarding budget content and documentation are in place for this budget process and were incorporated into this budget document.
There are many other format requirements for the budget that are too numerous to mention here, however, a full list can be found in section 17 of the MFMA. long term. One of the biggest challenges facing the municipality in the near future is maintaining positive operating cash flows and unexpected situations. These objectives should be clearly linked to the integrated development plan (IDP), service delivery plan and budget implementation (SDBIP), performance agreement and performance objectives of senior managers, among others.
The system also requires the municipality's budget to be based on specific assumptions. These assumptions should provide clear direction, set financial milestones as to how the budget would be achieved, identify and recognize in the budget all guaranteed sources of funding, how revenues will be obtained and from which sources, give a clear indication of the strength of the local income base, and recognize all factors that can strengthen or hinder the realization of the municipal budget. The law further requires the mayor to submit the annual budget at a council meeting 90 days before the start of the budget year.
Section of the MFMA states that, among other things, a municipality's council must approve a budget that is planned in prescribed format.
KEY PERFORMANCE AREA 2: BASIC SERVICES AND INFRASTRUCTURE
KEY PERFORMANCE AREA 3 – LOCAL ECONOMIC DEVELOPMENT
KEY PERFORMANCE AREA 4 – GOOD GOVERNANCE &
PUBLIC PARTICIPATION
KEY PERFORMANCE AREA 5 – FINANCIAL VIABILITY
KEY FERFORMANCE AREA 6 – INSTITUTIONAL DEVELOPMENT
Budget related policies overview and amendments
The detailed policies are not included in the budget documentation, but are available to councilors upon request and must be made publicly available when the budget is tabled for consultation, tabled for consideration of approval and finally approved. This policy lays down the framework and the principles according to which the municipality deals with those citizens who either want to join the municipal services or fall into arrears with the municipal services for which their service is provided. This policy outlined the application process, the billing process and the mechanism to be used when performing the debt collection function.
The free basic services policy is written in accordance with national directives and recommendations and states that the households registered as poor in the municipality will receive 50 kw of electricity and 6 kl of water every month for free for the provision of basic services. In accordance with MFMA ch 8 p.60, the council approves this policy where excess funds are not used, to invest public funds responsibly and to have an effective cash flow management program. The MFMA required the municipality to adopt and implement a new supply chain policy by 1 January 2006.
The policy sets limits on the various procurement methods used within the municipality and delegates the authority to implement the policy to the Accounting Officer as required by the MFMA. This policy creates the framework to guide employees in entering into payment arrangements with municipal customers who are having problems paying their bill.
Budget assumptions
IPAS Manager Debtors Clerk Molteno
- Funding the budget
- Disclosure on implementation of MFMA & other legislation
- Summary of budgets and Service Delivery and Budget Implementation Plan (SDBIP)
- Budgeted Financial Statements
Identify gaps and challenges and bring them to the attention of the respective managers and board. That the budget is based on the assumption that all identified sources and funds are secured in the DORA. Revision of the electricity rate by submitting an application to NERSA to approve the increase in the electricity rate.
Most of the act's requirements went into effect immediately: however, some sections of the act were given varying delays based on. All local municipalities were classified as high, medium or low capacity municipalities, with each level assigned different implementation dates for the different delayed sections. Inkwanca has been classified as a low capacity municipality and was required to meet the implementation dates set for low capacity municipalities.
The municipality has already implemented many of the major changes required by law. Some of these include the creation of a budget and treasury office within the finance directorate, adoption of various policies and procedures including cash and investment policies, creation of a new audit committee and other administrative requirements. The budget and how it should be designed, financed and reported is a very large part of the implementation of the MFMA.
Requirements include that the budget be funded only from realistic revenues, excess cash, or loans (but only for capital projects). complete before the end of May. Much of the implementation of the MFMA involves new and sometimes complex budgetary and financial reporting requirements. A semi-annual performance report should be submitted to the Board, along with recommendations on the necessary semi-annual adjustments to be made.
Annual, quarterly and monthly reports must be delivered to the National Treasury in very specific formats.
QUALITY CERTIFICATE
PROPOSED SCHEDULE OF TARRIFFS FOR
INKWANCA MUNICIPALITY 2011/2013
LARGE CONSUMER/COMMERCIAL INDUSTRIAL (per month per connection). for any reason excluding interference with the power supply). In the case of single-phase supplies for domestic installations and small businesses, if tampering or attempts are detected, then the supply will be interrupted after all amounts due for electricity consumption. All discounts, exclusions and other discounts will apply according to the municipal rates policy DISCOUNTS ON UPGRADED PROPERTIES.
Note: if more than one person per cabin, the applicable price will be R75 per person. Churches or religious bodies, cultural organizations, schools (government supported), service clubs (Rotary, Round Table, etc.), sports clubs and includes graduations, parties and weddings. Churches or religious bodies, cultural organizations, schools (government aided), service clubs (Rotary, Round Table, etc.) and sports clubs.
In addition to the aforementioned compensations, any overtime paid to employees of the municipality will be levied.
