Investment Management Forecasts 2009 Outlook by hwh67049

VIEWS: 7 PAGES: 123

More Info
									52327fe6-0313-44b3-84a3-79a46d0d5fef.xls
                         Description                                      Page

Contents                                                                          1

    1 Mayoral Speech                                                              2

    2 Budget Related Resolutions                                                  4

    3   Strategic Overview                                                        5
  3.1   Background                                                                5
  3.2   Vision and Mission                                                        5
  3.3   Strategic Focus                                                           5
  3.4   Executive Summary                                                         6

    4   Budget Schedules (Operating and Capital)
  4.1   Schedule 1- Revenue by Source                                             7
  4.2   Schedule 2-Operating Expenditure by Vote                                  8
  4.3   Schedule 3- Capital Expenditure by Vote                                   9
  4.4   Schedule 4 - Capital Funding By Source                                   10

    5   Budget Related Charts and explanatory Notes
  5.1   Table 1 - Revenue By source                                              11
  5.2   Table 2 - Operating Expenditure By Vote                                  12
  5.3   Table 3 - Capital Expenditure By Vote                                    13
  5.4   Table 4 - Capital Funding by Source                                      14

    6   Budget Process                                                           15
  6.1   Polictical Oversight of the budget process
  6.2   Schedule of Key deadlines relating to budget process
  6.3   Process used to intergrate the revie IDP and budget preparation
  6.4   Process for consultations with stakeholders and outcomes
  6.5   Timing, number and type of consultations
  6.6   Stakeholders who were involved in consultations
  6.7   Models for prioritising resources allocation

    7 Budget related policies                                                    17

    8 Budget Assumptions                                                         17

    9 Funding the Budget                                                         19
  9.1 Sources of Funding
10 Disclosure on salaries, allowances and benefits   20

11 Monthly Cash Flows by Source                      23

12 Table 11 - Capital Expenditure by Category        24
MAYOR’S SPEECH

BUDGET SPEECH 2009/2010 FINANCIAL YEAR


Honourable Speaker, Deputy Mayor, Municipal Manager, Directors and other staff members, our voters the comm
I greet you all and welcome you in this budget meeting.

I thank the opportunity to stand before you as being entrusted to lead councilors as the political head for all financ
It is exciting to present to you this multi-year budget for 2009/2010, 2010/2011 and 2011/2012 and the IDP for the
next 5 years for Hlabisa Municipality.

The municipal councilors are expected to ensure that the needs of their communities are heard and acted upon.
The transformation must be accepted by all employees because it will assist us as politicians, officials and most im
I must urge that the municipality must ensure that the Batho Pele principles are at the core of the delivery of servi
while we ensure that we comply to the provision of different legislations relevant to local government, namely
the Municipal Finance Management Act, Municipal Systems Act, Municipal Property Rates Act and the others.
The municipality will be facing challenges in the implementation of these legislations since it is expected to comply
The Municipal Property Rates Act is one of the legislations that should be implemented by our municipality in July
This is our second financial year as councilors and I did mention in my previous speech that this five year term we
is for consolidation and transformation where we must turn things around for our communities.
Our community’s expectations exceed the revenue we have, meaning the municipality has infrastructure backlogs
The councilors are expected to work with people in mind and this can be achieved by ensuring that the council es
ensure that the community needs are documented in the Integrated Development Plan of the municipality.
I wish to thank all councilors for their contribution in the Budget preparation and consultation meetings.


I must mention that the local government is one of the governments engines to deliver services to the public and h
under scrutiny with all governments departments focusing and monitoring the municipal performance.
But Hlabisa Municipality has rose against all odds and has been able to attract some investors for the past few ye
Last time I spoke about the shopping complex that is already opened and I can say with confidence that this is jus
More development is still to come to Hlabisa and as councilors we will do all we can to bring more investors.
I am honoured and encouraged to work for this municipality. Indeed we are here to transform the municipality and

In this budget it is our desire to do more projects that are aimed at achieving our vision which is to “Half poverty by


                        General expenses increased by 21% from the 2008/2009 Budget
                        The budget for Sod Turnings is R400,000
                        HIV/AIDS is R340,000
                        Disaster Management Programme is R1,000,000.
                        R300,000 for Grants and Donations
                        R480,000 for Postage and Telephone.
                        The budget of R500,000 has been provided for Publicity as the municipality is in the drive
                        The budget for Subsistence and Travel has been projected at R1,250,000.
                        Sports and Recreation is R300,000
                        Career Guidance is R50,000.
                        The Disaster Management Relief is for providing support to the disaster victims and is bu
                        R370,000 has been budgeted for Contract Services
                        R408,360 for Consultancy Services
                       Arts and Culture is R150,000
                       Youth Activities is R300,000
                       Special Programmes are R250,000 includes Disability, Children, Senior Citizens, Minister
                       Gender Programmes are R160,000.
                       The budget of R300,000 has been made for Learnership in the next financial year
                       R160,000 is for Heritage Activities.
                       Partnership interventions are R150,000
                       IDP preparation is R270,000
                       Security services are projected at R500,000
                       R565,000 is for Fuel and Oil
                       Audit fees are projected at R640,000
                       Financial Services consultants are R780,800
                       R285,000 is budgeted for Committee Expenses
                       SMME support is R50,000


Honourable Speaker, our municipality is expected to implement the new National Treasury Reforms and Accounti
I am confident that we will implement them successfully.
In conclusion, I would like to thank the Councilors, Municipal Manager, Chief Financial Officer, Director Corporate
 Director Community Services and all staff members for your effort in making this Budget a success.
I am proud of you and this confirms that we have appointed right people in right positions.
 And once again I wish to thank everybody.
Lastly I wish to thank councilors and all community members present here today in this budget meeting


I THANK YOU


……………………………………
Councilor B. Ntombela
His Worship the Mayor
                                                                                              2




s the community.


or all financial matters.
 IDP for the


 ted upon.
 and most importantly our communities who voted for us to work for them.
 ery of services
namely
  others.
ed to comply fully to certain sections starting this financial year and the following year.
 ality in July 2009.
ear term we are in now

 re backlogs.
e council establishes a strong consultation process to
ality.



public and has come

past few years.
at this is just the beginning of it.
stors.
cipality and the lives of our communities.

 f poverty by 2015”. The summary of our budget is as follows:                                 3




 in the drive of taking the Council to the people.




 s and is budgeted for R300,000.
ns, Ministers

year




nd Accounting Standards of GRAP and

r Corporate Services,
2 Budget Related Resolutions

 The MFMA requires that the municipality tables its draft budget on 90 days before the start of the finan

 1. Council resolves that the three year draft annual budget of the municipality be approved as set-out

 - Operating revenue by source reflected in schedule 1

 - Operating expenditure by vote reflected in schedule 2

 - Capital expenditure by vote reflected in schedule 3

 - Capital Funding by source reflected in schedule 4


 2. Council resolves that tariffs and charges reflected in (Table 12) are approved for the budget year 2

 3. Council resolves to adopt the amendments of the IDP as per the resolution in taken in the approval

 4. Council resolves that other amended budget related policies reflected in annexure 13 be approved
                                                           4

 before the start of the financial year.

ality be approved as set-out in the following schedules:




proved for the budget year 2009/2010.

tion in taken in the approval of this budget.

n annexure 13 be approved for the budget year 2009/2010
3 Strategic Overview

 3.1 Backgroung

 Hlabisa Municipality is a grade two local municipality established in 2000. The municipality is
 regarded as the low capacity municipality as per the National Treasury categorization. It is
 located in the North of the Umfolozi River and dermacated between three municipalities,
 Mtubatuba Municipality, Big Five False Bay Municipality and Nongoma Municipality. It also falls
 under the Umkhanyakude District Municipality. This municipality has the largest population in
 within the Umkhanyakude District with 176,230 residents. The municipality has high
 unemployment rate and high level of illiterate people.

 3.2 Vision and Mission

 The Vision of the Municipality is to:

 "Half poverty by 2015 through cooperativeness and efficient utilization of scarce resources."

 The mision is noted as follows:

 - Sustainable local economic development.
 - Positioning the municipality as vibrant gateway to Elephant Coast and Hluhluwe Game Reserve
   Park.
 - Encouraging active community participation in development and
 - Equitable and improved service delivery.

 Value System of the Municipality is:

 -   Ubuntu.
 -   Integrity.
 -   Cooperation
 -   Transparency.
 -   Innovativeness

 The Motto that drives the municipality:

 "Rural service delivery excellence."

 3.3 Hlabisa Strategic Focus Area

 Hlabisa Municipality has to focus in local area planning of wards and collection of data relating to
 all stakeholders residing within the municipal area. The municipality will focus on knowing and
 building strong communication channels with its stakeholders. The credible IDP and Budget
 depends on these lines of communication and stranger relationships with communities. There is
 greatest need to know the needs of the community and also the proper documentation of these
 needs.


 3.4 Executive Summary
As per the provision of the Municipal Finance management Act (MFMA), chapter 4 section 16(2)
the Mayor of the municipality must table the annual budget at a council meeting at least 90 days
before the start of the budget year.

Hlabisa municipality started its budget preparation late, thus making it dificult for the municipality
to ensure the deadline driven budget process. However the municipality was able to meet all the
deadlines for the budget to be approved. Circular No. 19 required all municipalities to table the
draft budget in December 2005 and that the IDP be revised in the same month as well. Hlabisa
municipality could not meet these deadlines due to the work pressure and that the municipality
did not have enough staff to ensure the compliance to this circular.

The budget was prepared inline with the National Treasury Medium Term Budget policy which
indicated the projected growth rates and CPIX.

                The Executive Summary of the 2009/2010 Operating and Capital Budget is as follows:

                    REVENUE PROJECTIONS

                        Equitable Share is R31,051,000
                        MIG is R12,706,000 according to municipal financial year
                        Conditional Grants are R1,735,000
                        Other Provincial Grants are R160,000
                        Operating Income is R7,114,063
                        Interest is R310,125

                    SALARIES AND ALLOWANCES

                      Salaries were increased by 10.5% and councilor allowances increased by 13% for thi
                      Salaries for the year amount to R13,241,960 and councilor allowances to R7,065,451
                       and 12% of the total budget respectively.
                      New posts budgeted for in this Financial Year:
                     -    2 Traffic Officers
                     -    IDP/PMS Manager
                            Director: Planning, Social and Economic Development
                   GENERAL EXPENSES

                        General expenses increased by 21% from the 2008/2009 Budget
                        The budget for Sod Turnings is R400,000
                        HIV/AIDS is R340,000
                        Disaster Management Programme is R1,000,000.
                        R300,000 for Grants and Donations
                        R480,000 for Postage and Telephone.
                        The budget of R500,000 has been provided for Publicity as the municipality is in the d
                        The budget for Subsistence and Travel has been projected at R1,250,000.
                        Sports and Recreation is R300,000
                        Career Guidance is R50,000.
                        The Disaster Management Relief is for providing support to the disaster victims and is
     R370,000 has been budgeted for Contract Services
     R408,360 for Consultancy Services
     Arts and Culture is R150,000
     Youth Activities is R300,000
     Special Programmes are R250,000 includes Disability, Children, Senior Citizens, Min
     Gender Programmes are R160,000.
     The budget of R300,000 has been made for Learnership in the next financial year
     R160,000 is for Heritage Activities.
     Partnership interventions are R150,000
     IDP preparation is R270,000
     Security services are projected at R500,000
     R565,000 is for Fuel and Oil
     Audit fees are projected at R640,000
     Financial Services consultants are R780,800
     R285,000 is budgeted for Committee Expenses
     SMME support is R50,000

PROJECTS AND CAPITAL ASSETS

     The total budget for capital assets is R2,767,000 which includes the procurement of th

       Vehicle - Corporate Services
    vehicle - Corporate Services
       Vehicle - Finance Department
      Vehicle – Technical Services
     Vehicle – Planning Department
     2 x Traffic vehicles (pool cars for Traffic Officers)

     R500,000 is for Poverty Alleviation and R500,000 is for Local Economic Development
     The allocation for the MIG Projects in 2009/2010 is R12,706,000

SUMMARY

     The budget provides for the provision of Free Basic Services with an amount of R1,21
     R268,703 for non- payment of debts
     As compared to the current year the municipality budget increased from R40,199,344
     The total for Repairs and Maintenance is R534,270
     Total general expenses amount to R14,662,557
5




6
% for this Financial Year
,065,451 which is 23%




s in the drive of taking the Council to the people.




ms and is budgeted for R300,000.
ens, Ministers

 year




ment of the following assets:




elopment Projects




 of R1,213,950 for the 2009/2010 financial year

 199,344 to R55,549,897
                                                      Preceding Year                              Current Y
                  SCHEDULE 1                              39295                                     Sep-08

             REVENUE BY SOURCE                        Audited Actual      Approved Budget
                                                          R'000                R'000
                                                            A                    B
Operating Revenue by Source

Property rates                                                 196,419               157,598
Property rates - penalties                                       8,658                40,398
Service charges - refuse removal                                14,594                14,594
Service charges - other                                         36,301                29,614
Rental of facilities and equipment                              33,400                99,000
Interest earned - external investments                       1,691,385               608,540
Interest earned - general                                      101,561               120,000
Sundry Income                                                  363,852                34,100
Sale of bid documents                                                0                24,000
Government grants & subsidies                               28,739,157            34,234,000
Accummulated Surplus                                                 0             3,756,984
Licences and permits                                                 0             1,050,000
Gain on disposal of property plant and equipment                     0                 4,000
Discount received                                                    0                 1,500
Traffic fines                                                        0             2,705,188

Total Revenue By Source                                 31,185,327.00         42,879,516.00
                                                       .
Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not availabl
B. The original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MF
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of prepar
E. The amount to be appropriated for the 2009/10 budget year.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12

Notes:
              Current Year                               Medium Term Revenue and Expenditure Framework
                Sep-08                                   Budget Year    Budget Year +1
                                                           40087            40483
            Adjusted Budget      Full Year Forecast        Budget          Budget
                 R'000                  R'000               R'000           R'000
                   C                      D                   E               F


                        54,580               54,580               526,869               559,008
                        23,562               23,562                25,695                27,237
                         8,512                8,512               161,230               170,904
                        27,393               27,393               108,081               114,575
                       161,600              161,600                36,430                38,620
                       768,540              768,540               237,430               251,676
                       120,000              120,000                72,695                77,057
                        76,170               76,170                 4,000                 4,000
                        12,000               12,000                12,000                14,000
                    35,223,107           35,223,107            45,652,000            55,497,000
                             0                    0                     0                    -
                     1,360,000            1,360,000               854,120           905,367.00
                             0                    0               396,000           420,760.00

                     2,363,881            2,363,881             7,463,347         7,560,000.00

                40,199,345.00        40,199,345.00         55,549,897.00         65,640,204.00


figures are not available for 2007/08, pre audit figures must be provided with a note stating these are pre audit.

 of section 28 of the MFMA.
e point in time of preparing the budget for the 2009/10 budget year. This may differ from C.
d Expenditure Framework
           Budget Year +2
                40878
               Budget
                R'000
                  G


                        585,840
                         28,326
                        177,740
                        119,195
                         40,160
                        261,743
                         80,140
                          4,000
                         17,000
                     57,111,000
                             -
                    941,582.00
                    140,000.00

                  7,560,005.00

                67,066,731.00


stating these are pre audit.
                                                      Preceding Year                              Current Y
                  SCHEDULE 2                              39295                                     Sep-08

     OPERATING EXPENDITURE BY VOTE                    Audited Actual      Approved Budget
                                                          R'000                R'000
                                                            A                    B

Executive & Council                                         14,135,265            14,137,029
Finance & Admin                                              5,088,709             6,579,976
Planning & Development                                         226,294             1,834,921
Health                                                               0                     0
Community & Social Services                                  1,676,338             1,608,635
Housing                                                              0                     0
Public Safety                                                1,233,414             2,158,839
Sport and Recreation                                           381,770               270,000
Environmental Protection                                             0                     0
Waste Management                                               681,724             1,082,051
Waste Water Management                                               0                     0
Road Transport                                                       0                     0
Water                                                                0                     0
Electricity                                                          0                     0


OPERATING EXPENDITURE BY VOTE                               23,423,514            27,671,451

Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not availabl
B. The original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MF
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of prepar
E. The amount to be appropriated for the 2009/10 budget year.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12

Notes:
              Current Year                                   Medium Term Revenue and Expenditure Framewor
                Sep-08                                   Budget Year    Budget Year +1
                                                           40087            40483
            Adjusted Budget      Full Year Forecast        Budget           Budget
                 R'000                  R'000               R'000            R'000
                   C                      D                   E                F

                    15,115,744           15,115,744            19,485,463           22,236,319
                     6,323,856            6,323,856             8,877,126           10,139,737
                     1,922,449            1,922,449             3,964,780            6,074,947
                             0                    0                     0                    0
                     1,284,792            1,284,792             2,099,304            2,278,747
                             0                    0                     0                    0
                     2,447,572            2,447,572             4,237,732            5,878,711
                       280,000              280,000               302,375              467,494
                             0                    0                     0                    0
                       759,059              759,059             1,110,116            1,564,748
                             0                    0                     0                    0
                             0                    0                     0                    0
                             0                    0                     0                    0
                             0                    0                     0                    0
                                                                        0                    0

                    28,133,472           28,133,472            40,076,896           48,640,703


figures are not available for 2007/08, pre audit figures must be provided with a note stating these are pre audit.

 of section 28 of the MFMA.
e point in time of preparing the budget for the 2009/10 budget year. This may differ from C.
ue and Expenditure Framework
                Budget Year +2
                     40878
                    Budget
                     R'000
                       G

                               24,353,397
                               11,532,437
                                5,638,503
                                        0
                                2,296,783
                                        0
                                6,593,225
                                  492,618
                                        0
                                1,697,141
                                        0
                                        0
                                        0
                                        0


                               52,604,104


stating these are pre audit.
                                                      Preceding Year                              Current Y
                  SCHEDULE 3                              39295                                     Sep-08

         CAPITAL EXPENDITURE BY VOTE                  Audited Actual      Approved Budget
                                                          R'000                R'000
                                                            A                    B

Executive & Council                                            296,316             2,276,000
Finance & Admin                                                 49,729               307,505
Planning & Development                                           3,419               550,000
Health                                                               0                     0
Community & Social Services                                  5,607,760            10,475,660
Housing                                                              0                     0
Public Safety                                                    1,995               105,000
Sport and Recreation                                           900,000             1,300,000
Environmental Protection                                             0                     0
Waste Management                                                     0                     0
Waste Water Management                                               0                     0
Road Transport                                                       0               649,000
Water
Electricity


CAPITAL EXPENDITURE BY VOTE                                  6,859,219            15,663,165

Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not availabl
B. The original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MF
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of prepar
E. The amount to be appropriated for the 2009/10 budget year.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12

Notes:
              Current Year                               Medium Term Revenue and Expenditure Framework
                Sep-08                                   Budget Year    Budget Year +1
                                                           40087            40483
            Adjusted Budget      Full Year Forecast        Budget          Budget
                 R'000                  R'000               R'000           R'000
                   C                      D                   E               F

                       827,931              827,931             1,190,000              682,000
                        82,149               82,149               710,000              622,500
                       520,000              520,000               165,000               25,000
                             0                    0                     0                    0
                    10,425,660           10,425,660             9,976,000           13,920,000
                             0                    0                     0                    0
                       110,881              110,881               132,000               65,000
                     1,300,000            1,300,000                     0                    0
                             0                    0                     0                    0
                             0                    0                     0                    0
                             0                    0                     0                    0
                       649,000              649,000             3,949,000            1,700,000
                             0                    0                     0                    0
                             0                    0                     0                    0


                    13,915,621           13,915,621            16,122,000           17,014,500


figures are not available for 2007/08, pre audit figures must be provided with a note stating these are pre audit.

 of section 28 of the MFMA.
e point in time of preparing the budget for the 2009/10 budget year. This may differ from C.
d Expenditure Framework
           Budget Year +2
                40878
               Budget
                R'000
                  G

                       721,000
                       550,625
                        23,000
                             0
                    13,338,000
                             0
                        65,000
                             0
                             0
                             0
                             0
                             0
                             0
                             0


                    14,697,625


stating these are pre audit.
                                                      Preceding Year                              Current Y
                  SCHEDULE 4                              39295                                     Sep-08

         CAPITAL FUNDING BY SOURCE                    Audited Actual      Approved Budget
                                                          R'000                R'000
                                                            A                    B

National Government
Amounts allocated / gazetted for that year                   5,607,760            10,864,660
Amounts carried over from previous years                             0                     0
Total Grants & Subsidies - National Government               5,607,760            10,864,660

Provincial Government
Amounts allocated / gazetted for that year                     900,000             1,300,000
Amounts carried over from previous years                                                   0
Total Grants & Subsidies - Provincial Government               900,000             1,300,000

District Municipality
Amounts allocated for that year
Amounts carried over from previous years
Total Grants & Subsidies - District Municipalities                    0                     0

Total Government Grants & Subsidies                          6,507,760            12,164,660

Public Contributions & Donations                                      0                     0

Accumulated Surplus (Own Funds)                                351,459             3,498,505

External Loans

TOTAL FUNDING OF CAPITAL EXPENDITURE3                        6,859,219            15,663,165

Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not availabl
B. The original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MF
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of prepar
E. The amount to be appropriated for the 2009/10 budget year.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12

Notes:
              Current Year                               Medium Term Revenue and Expenditure Framework
                Sep-08                                   Budget Year    Budget Year +1
                                                           40087            40483
            Adjusted Budget      Full Year Forecast        Budget          Budget
                 R'000                  R'000               R'000           R'000
                   C                      D                   E               F


                   10,864,660           10,864,660            12,706,000            15,420,000
                            0                    0               649,000                     0
                   10,864,660           10,864,660            13,355,000            15,420,000


                    1,300,000             1,300,000                     0                      0
                                                                        0                      0
                    1,300,000             1,300,000                     0                      0


                                                                        0                      0
                                                                        0                      0
                             0                    0                     0                      0

                   12,164,660           12,164,660            13,355,000            15,420,000

                             0                    0                     0                      0

                    1,750,961             1,750,961            2,767,000             1,594,500




                   13,915,621           13,915,621            16,122,000            17,014,500


figures are not available for 2007/08, pre audit figures must be provided with a note stating these are pre audit.

 of section 28 of the MFMA.
e point in time of preparing the budget for the 2009/10 budget year. This may differ from C.
d Expenditure Framework
           Budget Year +2
                40878
               Budget
                R'000
                  G


                   13,238,000
                            0
                   13,238,000


                     3,000,000
                             0
                     3,000,000


                               0
                               0
                               0

                   16,238,000

                               0

                     1,459,625




                   17,697,625


stating these are pre audit.
                                                      Preceding Year                              Current Y
                     TABLE 1                              39295                                     Sep-08

             REVENUE BY SOURCE                        Audited Actual      Approved Budget
                                                          R'000                R'000
                                                            A                    B
Revenue by Source

Property rates                                                 196,419               157,598
Property rates - penalties                                       8,658                40,398
Service charges - refuse removal                                14,594                14,594
Service charges - other                                         36,301                29,614
Rental of facilities and equipment                              33,400                99,000
Interest earned - external investments                       1,691,385               608,540
Interest earned - general                                      101,561               120,000
Sundry Income                                                  363,852                34,100
Sale of bid documents                                                0                24,000
Government grants & subsidies                               28,739,157            34,234,000
Accummulated Surplus                                                 0             3,756,984
Licences and permits                                                 0             1,050,000
Gain on disposal of property plant and equipment                     0                 4,000
Discount received                                                    0                 1,500
Traffic fines                                                        0             2,705,188
                                                                     0                     0


Total Revenue By Source                                     31,185,327            42,879,516

Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not availabl
B. The original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MF
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of prepar
E. The amount to be appropriated for the 2009/10 budget year.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12

Notes:
              Current Year                               Medium Term Revenue and Expenditure Framework
                Sep-08                                   Budget Year    Budget Year +1
                                                           40087            40483
            Adjusted Budget      Full Year Forecast        Budget          Budget
                 R'000                  R'000               R'000           R'000
                   C                      D                   E               F


                        54,580               54,580             2,569,508             2,723,678
                        23,562               23,562                25,695                27,237
                         8,512                8,512               161,230               170,904
                        27,393               27,393               108,081               114,575
                       161,600              161,600                36,430                38,620
                       768,540              768,540               237,430               251,676
                       120,000              120,000                72,695                77,057
                        76,170               76,170                 4,000                 4,000
                        12,000               12,000                12,000                14,000
                    35,223,107           35,223,107            46,144,000            55,497,000
                             0                    0                     0                    -
                     1,360,000            1,360,000               854,120           905,367.00
                             0                    0               396,000           420,760.00

                     2,363,881            2,363,881             7,463,347         7,560,000.00
                             0                    0                     0                     0


                    40,199,345           40,199,345            58,084,536           67,804,874


figures are not available for 2007/08, pre audit figures must be provided with a note stating these are pre audit.

 of section 28 of the MFMA.
e point in time of preparing the budget for the 2009/10 budget year. This may differ from C.
d Expenditure Framework
           Budget Year +2         Chart Data (grouped for best chart result, sorted by 06/07 Bud)
                40878
               Budget
                R'000
                  G
                                  Revenue by Major Source


                      2,832,626
                         28,326   Property rates
                        177,740   Grants & subsidies
                        119,195   Accummulated Surplus
                         40,160   Licences and permits
                        261,743   Traffic Fines
                         80,140   Interest earned - external investments
                          4,000   Gain on disposal of property plant and equipment
                         17,000
                     57,111,000   TOTAL
                             -
                    941,582.00    Other Revenue by Source
                    140,000.00

                  7,560,005.00    Rental of facilities and equipment
                              0   Sundry Income



                    69,313,517

                                  TOTAL
stating these are pre audit.
d by 06/07 Bud)




                  07/08Aud        08/09 Bud      08/09 Adj      08/09 Est     09/10 Bud     10/11 Proj

                        205,077        197,996         78,142        78,142     2,595,203     2,750,915
                     28,739,157     34,234,000     35,223,107    35,223,107    46,144,000    55,497,000
                              0      3,756,984              0             0             0             0
                              0      1,050,000      1,360,000     1,360,000       854,120       905,367
                              0      2,705,188      2,363,881     2,363,881     7,463,347     7,560,000
                      1,691,385        608,540        768,540       768,540       237,430       251,676
                              0          4,000              0             0       396,000       420,760

                     28,944,234     39,238,980     36,661,249    36,661,249    49,593,323    59,153,282



                  07/08 Aud       08/09 Bud      08/09 Adj      08/09 Est     09/10 Bud     10/11 Proj

                         33,400         99,000       161,600        161,600        36,430         38,620
                        363,852         34,100        76,170         76,170         4,000          4,000




                        397,252        133,100       237,770        237,770        40,430         42,620
               NOTES
11/12 Proj

  2,860,952 Includes penalties
 57,111,000 Operating and Capital
          0
    941,582 Pasted values only from K29 to Q29
  7,560,005
    261,743
    140,000

 60,913,534



11/12 Proj

      40,160
       4,000




      44,160
                                                      Preceding Year                              Current Y
                     TABLE 2                              39295                                     Sep-08

     OPERATING EXPENDITURE BY VOTE                    Audited Actual      Approved Budget
                                                          R'000                R'000
                                                            A                    B

Executive & Council                                         14,135,265            14,137,029
Finance & Admin                                              5,088,709             6,579,976
Planning & Development                                         226,294             1,834,921
Health                                                               0                     0
Community & Social Services                                  1,676,338             1,608,635
Housing                                                              0                     0
Public Safety                                                1,233,414             2,158,839
Sport and Recreation                                           381,770               270,000
Environmental Protection                                             0                     0
Waste Management                                               681,724             1,082,051
Waste Water Management                                               0                     0
Road Transport                                                       0                     0
Water                                                                0                     0
Electricity                                                          0                     0


OPERATING EXPENDITURE BY VOTE                               23,423,514            27,671,451


Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not availabl
B. The original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MF
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of prepar
E. The amount to be appropriated for the 2009/10 budget year.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12

Notes:
              Current Year                               Medium Term Revenue and Expenditure Framework
                Sep-08                                   Budget Year    Budget Year +1
                                                           40087            40483
            Adjusted Budget      Full Year Forecast        Budget          Budget
                 R'000                  R'000               R'000           R'000
                   C                      D                   E               F

                    15,115,744           15,115,744            17,448,058           22,403,266
                     6,323,856            6,323,856             8,919,220            9,299,172
                     1,922,449            1,922,449             3,022,602            3,213,913
                             0                    0                     0                    0
                     1,284,792            1,284,792             1,942,958            1,940,841
                             0                    0                     0                    0
                     2,447,572            2,447,572             2,937,041            4,147,072
                       280,000              280,000               340,000              465,000
                             0                    0                     0                    0
                       759,059              759,059             1,214,251            1,514,903
                             0                    0                     0                    0
                             0                    0                     0                    0
                             0                    0                     0                    0
                             0                    0                     0                    0


                    28,133,472           28,133,472            35,824,130           42,984,167



figures are not available for 2007/08, pre audit figures must be provided with a note stating these are pre audit.

 of section 28 of the MFMA.
e point in time of preparing the budget for the 2009/10 budget year. This may differ from C.
d Expenditure Framework
           Budget Year +2
                40878
               Budget
                R'000
                  G              Major Exp by Vote
                                                               07/08 Aud       08/09 Bud
                    24,489,428   Electricity                              0               0
                    10,589,378   Water                                    0               0
                     3,473,244   Community & Social Services      1,676,338       1,608,635
                             0   Finance & Admin                  5,088,709       6,579,976
                     1,938,357   Public Safety                    1,233,414       2,158,839
                             0   Other                                    0               0
                     4,775,163   Health                                   0               0
                       490,000   Executive & Council             14,135,265      14,137,029
                             0   Sport and Recreation               381,770         270,000
                     1,643,122   Housing                                  0               0
                             0   TOTAL                           22,515,496      24,754,479
                             0
                             0
                             0

                                 Other Exp by Vote
                    47,398,692                                 07/08 Aud       08/09 Bud
                                 Waste Management                  681,724        1,082,051



stating these are pre audit.
                                 Planning & Development            226,294        1,834,921
                                 TOTAL                             908,018        2,916,972




                                 Waste Water Management                    0               0

                                 Road Transport                            0               0
                                 Environmental Protection                  0               0
08/09 Adj       08/09 Est       09/10 Bud       10/11 Proj       11/12 Proj
          0                0               0               0               0
          0                0               0               0               0
  1,284,792        1,284,792       1,942,958       1,940,841       1,938,357
  6,323,856        6,323,856       8,919,220       9,299,172      10,589,378
  2,447,572        2,447,572       2,937,041       4,147,072       4,775,163
          0                0               0               0               0
          0                0               0               0               0
 15,115,744       15,115,744      17,448,058      22,403,266      24,489,428
    280,000          280,000         340,000         465,000         490,000
          0                0               0               0               0
 25,451,964       25,451,964      31,587,277      38,255,351      42,282,326




08/09 Adj       08/09 Est       09/10 Bud       10/11 Proj       11/12 Proj
    759,059          759,059       1,214,251       1,514,903        1,643,122




   1,922,449       1,922,449       3,022,602       3,213,913        3,473,244
   2,681,508       2,681,508       4,236,853       4,728,816        5,116,366




            0               0               0                0                0

            0               0               0                0                0
            0               0               0                0                0
                                                      Preceding Year                              Current Y
                     TABLE 3                              39295                                     Sep-08

         CAPITAL EXPENDITURE BY VOTE                  Audited Actual      Approved Budget
                                                          R'000                R'000
                                                            A                    B

Executive & Council                                            296,316             2,276,000
Finance & Admin                                                 49,729               307,505
Planning & Development                                           3,419               550,000
Health                                                               0                     0
Community & Social Services                                  5,607,760            10,475,660
Housing                                                              0                     0
Public Safety                                                    1,995               105,000
Sport and Recreation                                           900,000             1,300,000
Environmental Protection                                             0                     0
Waste Management                                                     0                     0
Waste Water Management                                               0                     0
Road Transport                                                       0               649,000
Water
Electricity


CAPITAL EXPENDITURE BY VOTE                                  6,859,219            15,663,165

Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not availabl
B. The original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MF
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of prepar
E. The amount to be appropriated for the 2009/10 budget year.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12

Notes:
              Current Year                               Medium Term Revenue and Expenditure Framework
                Sep-08                                   Budget Year    Budget Year +1
                                                           40087            40483
            Adjusted Budget      Full Year Forecast        Budget          Budget
                 R'000                  R'000               R'000           R'000
                   C                      D                   E               F

                       827,931              827,931             2,740,000             1,144,500
                        82,149               82,149               960,000               780,000
                       520,000              520,000               665,000             1,525,000
                             0                    0                     0                     0
                    10,425,660           10,425,660             7,462,750               200,000
                             0                    0                     0                     0
                       110,881              110,881               222,000                65,000
                     1,300,000            1,300,000                     0                     0
                             0                    0                     0                     0
                             0                    0                     0                     0
                             0                    0                     0                     0
                       649,000              649,000             6,405,250                     0
                             0                    0                     0                     0
                             0                    0                     0                     0


                    13,915,621           13,915,621            18,455,000             3,714,500


figures are not available for 2007/08, pre audit figures must be provided with a note stating these are pre audit.

 of section 28 of the MFMA.
e point in time of preparing the budget for the 2009/10 budget year. This may differ from C.
d Expenditure Framework
           Budget Year +2
                40878
               Budget
                R'000
                  G                   Major Capex by Vote
                                                                07/08 Aud     08/09 Bud
                      1,096,625   Planning and Development            3,419       550,000
                        716,000   Electricity                             0             0
                      2,023,000   Road Transport                          0       649,000
                              0   Water                                   0             0
                        100,000   Community & Social Services     5,607,760    10,475,660
                              0   Other                                   0             0
                         65,000   Housing                                 0             0
                              0   Public Safety                           0             0
                              0   Sport and Recreation              900,000     1,300,000
                              0   TOTAL                           6,511,179    12,974,660
                              0
                              0
                              0
                              0

                                  Other Capex by Vote
                      4,000,625                                 07/08 Aud     08/09 Bud
                                  Health                                  0             0
                                  Waste Management                        0             0
stating these are pre audit.      Finance & Admin                    49,729       307,505
                                  Public Safety                       1,995       105,000
                                  Executive & Council               296,316     2,276,000
                                  Environmental Protection                0             0
                                  TOTAL                             348,040     2,688,505
08/09 Adj      08/09 Est      09/10 Bud     10/11 Proj    11/12Proj
     520,000       520,000        665,000     1,525,000      2,023,000
           0             0              0             0              0
     649,000       649,000      6,405,250             0              0
           0             0              0             0              0
  10,425,660    10,425,660      7,462,750       200,000        100,000
           0             0              0             0              0
           0             0              0             0              0
           0             0              0             0              0
   1,300,000     1,300,000              0             0              0
  12,894,660    12,894,660     14,533,000     1,725,000      2,123,000




08/09 Adj      08/09 Est      09/10 Bud     10/11 Proj    11/12 Proj
           0              0             0             0              0
           0              0             0             0              0
      82,149         82,149       960,000       780,000        716,000
     110,881        110,881       222,000        65,000         65,000
     827,931        827,931     2,740,000     1,144,500      1,096,625
           0              0             0             0              0
   1,020,961      1,020,961     3,922,000     1,989,500      1,877,625
                                                      Preceding Year                              Current Y
                     TABLE 4                              39295                                     Sep-08

         CAPITAL FUNDING BY SOURCE                    Audited Actual      Approved Budget
                                                          R'000                R'000
                                                            A                    B

National Government
Amounts allocated / gazetted for that year                   5,607,760            10,864,660
Amounts carried over from previous years                             0                     0
Total Grants & Subsidies - National Government               5,607,760            10,864,660

Provincial Government
Amounts allocated / gazetted for that year                     900,000             1,300,000
Amounts carried over from previous years                                                   0
Total Grants & Subsidies - Provincial Government               900,000             1,300,000

District Municipality
Amounts allocated for that year
Amounts carried over from previous years
Total Grants & Subsidies - District Municipalities                    0                     0

Total Government Grants & Subsidies                          6,507,760            12,164,660

Public Contributions & Donations                                      0                     0

Accumulated Surplus (Own Funds)                                351,459             3,498,505

External Loans

TOTAL FUNDING OF CAPITAL EXPENDITURE                         6,859,219            15,663,165

Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not availabl
B. The original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MF
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of prepar
E. The amount to be appropriated for the 2009/10 budget year.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12

Notes:
              Current Year                               Medium Term Revenue and Expenditure Framework
                Sep-08                                   Budget Year    Budget Year +1
                                                           40087            40483
            Adjusted Budget      Full Year Forecast        Budget          Budget
                 R'000                  R'000               R'000           R'000
                   C                      D                   E               F


                   10,864,660           10,864,660            13,198,000            15,420,000
                            0                    0                     0                     0
                   10,864,660           10,864,660            13,198,000            15,420,000


                    1,300,000             1,300,000                     0                      0
                                                                        0                      0
                    1,300,000             1,300,000                     0                      0


                                                                        0                      0
                                                                        0                      0
                             0                    0                     0                      0

                   12,164,660           12,164,660            13,198,000            15,420,000

                             0                    0                     0                      0

                    1,750,961             1,750,961            5,257,000             3,714,500



                   13,915,621           13,915,621            18,455,000            19,134,500


figures are not available for 2007/08, pre audit figures must be provided with a note stating these are pre audit.

 of section 28 of the MFMA.
e point in time of preparing the budget for the 2009/10 budget year. This may differ from C.
d Expenditure Framework
           Budget Year +2
                40878              Chart Data
               Budget
                R'000
                  G                Capital Funding by Source
                                                                      07/08 Aud
                                   Grants - National Government        5,607,760.00
                   13,238,000      Grants - Provincial Government           900,000
                            0      Public Contributions & Donations               0
                   13,238,000      Accumulated Surplus                      351,459
                                                                          6,859,219

                               0
                               0
                               0


                               0
                               0
                               0

                   13,238,000

                               0

                     4,000,625



                   17,238,625


stating these are pre audit.
08/09 Bud        08/09 Adj        08/09 Est       09/10 Bud
 10,864,660.00   10,864,660.00    10,864,660.00     13,198,000.00
     1,300,000        1,300,000       1,300,000                 0
             0                0               0                 0
     3,498,505        1,750,961       1,750,961         5,257,000
    15,663,165       13,915,621      13,915,621        18,455,000
10/11 Proj       11/12 Proj
 15,420,000.00     13,238,000.00
             0                  0
             0                  0
     3,714,500          4,000,625
    19,134,500         17,238,625
                     TABLE 6                          Preceding Year                              Current Y
                                                          39295                                     Sep-08
     OPERATING EXPENDITURE BY TYPE
                                                      Audited Actual      Approved Budget
                                                          R'000                R'000
                                                            A                    B
Operating Expenditure by Type

Employee related costs                                       7,993,210            11,716,999
Remuneration of Councillors                                  5,405,127             6,340,855
Bad debts                                                            0                     0
Repairs and maintenance                                        181,084               376,900
Bulk purchases - Water                                               0                     0
Contracted services                                             68,426               253,000
Grants and subsidies paid                                            0                     0
Advertising                                                    125,864               132,750
Audit fees                                                     445,887               500,000
Bank charges                                                    56,886                52,600
Communications                                                 206,636               504,260
Insurance                                                       55,357               140,000
Legal fees                                                           0                32,000
Seminar / Conferences                                          169,812               205,000
Travel and Accommodation                                     1,674,002             1,105,810
Other                                                        7,041,224             6,311,277
Capital Costs                                                  351,459             2,498,505
Contributions to Special Funds                               9,624,260            12,709,560
                                                                     0                     0
                                                                     0                     0
                                                                     0                     0
                                                                     0                     0

Total Operating Expenditure By Type                         33,399,234            42,879,516

Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not availabl
B. The original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MF
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of prepar
E. The amount to be appropriated for the 2009/10 budget year.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12

Notes:
1. Appropriations/contributions not shown
              Current Year                               Medium Term Revenue and Expenditure Framework
                Sep-08                                   Budget Year    Budget Year +1
                                                           40087            40483
            Adjusted Budget      Full Year Forecast        Budget          Budget
                 R'000                  R'000               R'000           R'000
                   C                      D                   E               F


                    10,845,618           10,845,618            13,611,958           14,461,460
                     6,562,785            6,562,785             7,065,451            7,494,986
                             0                    0                     0                    0
                       341,300              341,300               534,270              826,751
                             0                    0                     0                    0
                       200,000              200,000               370,000              630,000
                             0                    0                     0                    0
                       158,613              158,613               200,000              256,000
                       613,610              613,610               640,800              669,636
                        67,000               67,000                72,000               77,000
                       504,260              504,260               700,000            1,550,000
                       100,000              100,000               180,000              189,000
                             0                    0                32,000               32,000
                       153,700              153,700               400,675              733,880
                     1,374,100            1,374,100             1,570,000            2,093,973
                     7,212,486            7,212,486            10,446,977           13,969,480
                       570,961              570,961             4,257,000            2,199,500
                    11,494,920           11,494,920            18,003,405           22,621,208
                             0                    0                     0                    0
                             0                    0                     0                    0
                             0                    0                     0                    0
                             0                    0                     0                    0

                    40,199,353           40,199,353            58,084,536           67,804,874


figures are not available for 2007/08, pre audit figures must be provided with a note stating these are pre audit.

 of section 28 of the MFMA.
e point in time of preparing the budget for the 2009/10 budget year. This may differ from C.
d Expenditure Framework          Chart Data (grouped for best chart result, sorted by 06/07 Bud)
           Budget Year +2
                40878
               Budget
                R'000
                  G
                                 Major Expenditure by Nature

                    16,756,168   Employee related costs
                     8,012,942   Remuneration of Councillors
                             0   Other
                       628,107   Repairs and maintenance
                             0   Capital Costs
                       640,000   Contributions to special funds
                             0   Travel and Accommodation
                       268,000   Contracted services
                       699,768   TOTAL
                        84,000
                     1,710,000   Other Expenditure by Nature
                       198,450
                        32,000   Insurance
                       777,117   Communications
                     2,248,051   Legal fees
                    15,344,090   Seminar/Conferences
                     1,765,625   Advertising
                    20,149,200   Bank charges
                             0   Grants and subsidies paid
                             0   Audit fees
                             0
                             0
                                 Interest Paid
                    69,313,518   Bulk Purchases - Water
                                 Collection costs
                                 TOTAL
stating these are pre audit.
07/08 Aud      08/09 Bud      08/09 Adj      08/09 Est      09/10 Bud      10/11 Proj
   7,993,210     11,716,999     10,845,618    10,845,618      13,611,958     14,461,460
   5,405,127      6,340,855      6,562,785      6,562,785      7,065,451      7,494,986
   7,041,224      6,311,277      7,212,486      7,212,486     10,446,977     13,969,480
     181,084        376,900        341,300        341,300        534,270        826,751
     351,459      2,498,505        570,961        570,961      4,257,000      2,199,500
   9,624,260     12,709,560     11,494,920    11,494,920      18,003,405     22,621,208
   1,674,002      1,105,810      1,374,100      1,374,100      1,570,000      2,093,973
      68,426        253,000        200,000        200,000        370,000        630,000
 32,338,792      41,312,906     38,602,170    38,602,170      55,859,061     64,297,358



07/08 Aud      08/09 Bud      08/09 Adj      08/09 Est      09/10 Bud      10/11 Proj
      55,357        140,000        100,000       100,000         180,000        189,000
    206,636         504,260        504,260       504,260         700,000      1,550,000
           0         32,000              0              0         32,000         32,000
    169,812         205,000        153,700       153,700         400,675        733,880
    125,864         132,750        158,613       158,613         200,000        256,000
      56,886         52,600         67,000         67,000         72,000         77,000
           0              0              0              0              0              0
    445,887         500,000        613,610       613,610         640,800        669,636
                                         0              0              0
                                         0              0              0
          0              0               0              0              0             0
          0              0               0              0              0             0
          0              0               0             0               0              0
  1,060,442      1,566,610       1,597,183     1,597,183       2,225,475      3,507,516
11/12 Proj
   16,756,168
    8,012,942
   15,344,090 Pasted values only from K33 to Q33
      628,107
    1,765,625
   20,149,200
    2,248,051
      640,000
   65,544,183



11/12 Proj
      198,450
    1,710,000
       32,000
      777,117
      268,000
       84,000
            0
      699,768
            0
            0
            0
            0
           0
   3,769,335
 6 Budget Process Overview

 6 Political Oversight of the budget process

    Section 53 of the Municipal Finance Management Act requires that the Mayor provides general pol
    and the priorities that must guide the preparation of the budget.
    The Draft Budget was prepared and discussed by the management and was tabled to ExCo on 23


 6 Schedule of Key Deadlines relating to budget process

    The MFMA requires that the budget process start with the tabling of the Schedule of Budget Key D
    This was done in September 2008.

 6 Process used to integrate Reviewed IDP and Budget

    The Budget Process was done in conjunction with the process of reviewing the IDP. The Budget fo
     the priorities in the Reviewed IDP.


 6 Process for consultation with stakeholders

    Budget and IDP Consultative meetings have been scheduled as follows:
   Cluster           Date                       Venue

   Cluster A and B                                Inkanyiso Community Hall
   Cluster C, D and E                             eMgezanhliziyo Community Hall


6.5 Timing, number and type of consultations

   Numerous IDP representative meetings will be held for the purpose of alignment municipal
   programmes with sector departments. Also the budget workshop for councilors will also be held and
   it creates awareness of the budget principles for the municipal councilors.

6.6 Stakeholders involved in consultations

   - The service providers like Eskom, DC27, Umhlathuze and others.
   - Sector Departments.
   - NGO's, CBO's.
   - Councilors
   - Youth and Women
6.7 Prioritization of the resources to projects

   The process followed in the prioritization of the allocation of resources to projects were as
   follows:

   -   Status of the proposed projects
   -   The public benefit of the proposed projects
   -   Income benefit to the council
   -   The impact on the operating budget
   -   Planning and approval status

 7 Budget Related Policies

       The detailed budget related policies are not included in this document but they are available for vie
        at Hlabisa. The following policies were reviewed and amended during the budget process.

          ·    Credit Control and Debt Collection Policy
          ·    Tariffs Policy
          ·    Indigent Policy
          ·    Supply Chain Management Policy
          ·    Cash and Investment Management Policy




                               Ward Committees attending Workshop on Financial Policies
 8 Budget Assumptions

       Budgets are prepared in an environment of uncertainty. To prepare a meaningful budget, assumpti
       external factors that could influence the budget. This section provides for a summary of all the ass
       These key assumptions are as follows:

       8.1        General inflation rate

       The medium term outlook for SA economy according to MFMA Circular No. 48 is projected at 5.4%
        4.6% for 2011/2012. These forecasts were taken into account when determining new tariffs and g


       8.2        Interest rates for investments
  Short term investments are currently made with the following banks, with an average interest rate o

     ·          ABSA – 32 days notice
     ·          First National Bank – 60 days notice
     ·          Standard Bank – 60 days notice

  8.3              Tariffs, charges and revenue collection periods

  Tariffs and service charges were increased by 5.4% for 2009/2010 as per CPIX indicators. Charge
   by 7% as per signed agreements. The determination of revenue to be collected is projected based

  8.4              Average salary increases

  All salaries for municipal staff were increased by 8.5%. Councilor allowances were increased by 13


  8.5              Trends in demand for free or subsidized basic services

  The municipality is currently providing subsidized services for electricity to 1803 consumers and alt
   The process of identifying more indigent households is being implemented.


9 Funding the Budget

  9.1              Sources of funding

  9.1.1           Rates, tariffs and other charges

  The municipality levies charges on property rates and refuse. Other service charges include rental
   sports fields and billboards.

  The following tariffs will be implemented in the 2009/2010 financial year:


                                                                     TARIFF OF CHARGES
                                                                            Current Year                                 Financial Years
                     Description                                            2008/2009                 2009/2010          2010/2011         2011/2012

          1.         RATES
                     Rates - all properties                                                  0.0654          0.0694548      0.07278863       0.076209696

          2.         REFUSE COLLECTION FEES
                     Rates Refuse                                                          0.009555      0.01014741        0.101961176       0.106753351
          3.         SPORTFIELD HIRE
          3.1        Sportfield Hire(where entrance fees are not charged)
          3.1.1      Sportfield Hire                                                        100.00             106.20           111.30            116.53
          3.2        Sportfield Hire(where entrance fees are charged)
          3.2.1      Sportfield Hire                                                        200.00             212.40           222.60            233.06
          3.2.2      Refundable Sportfield deposit                                          200.00             212.40           222.60            233.06

          3.3        Sportfield Hire - Sports Development Projects
          3.3.1      Sportfield Hire                                        Free                      Free               Free              Free
         1.                 RATES
                            Rates - all properties                                                      0.0654           0.0694548        0.07278863        0.076209696

         2.                 REFUSE COLLECTION FEES
                            Rates Refuse                                                             0.009555          0.01014741        0.101961176        0.106753351
         3.                 SPORTFIELD HIRE
         3.1                Sportfield Hire(where entrance fees are not charged)
         3.1.1              Sportfield Hire                                                            100.00               106.20              111.30             116.53
         3.2                Sportfield Hire(where entrance fees are charged)
         3.2.1              Sportfield Hire                                                            200.00               212.40              222.60             233.06
         3.2.2              Refundable Sportfield deposit                                              200.00               212.40              222.60             233.06

         3.3                Sportfield Hire - Sports Development Projects
         3.3.1              Sportfield Hire                                           Free                        Free                Free                Free
         3.3.2              Refundable Sportfield deposit                                              100.00               106.20              111.30             116.53
         3.4                Sportfield Hire - Municipal Functions
         3.4.1              Sportfield Hire                                                                 -     Free                Free                Free
         3.4.2              Refundable Sportfield deposit                                                   -     Free                Free                Free

         3.5                Sportfield Hire - Sport & Recreational Associations
         3.5.1              Sportfield Hire                                                             100.00               106.20               111.3            116.53




         3.4.2              Refundable Sportfield deposit                                              100.00               106.20              111.30             116.53



                                                                                             Current Year                                         Financial Years
              Description                                                                    2008/2009                    2009/2010             2010/2011        2011/2012
4.1           Halls Hire (Wedding)
4.1.1         Halls Hire                                                                                    1 000.00                 1 062.00             157.18               118.69
4.1.2         Refundable Halls Deposit                                                                          500.00                531.00              131.69               117.49
4.2           Halls Hire(Funeral)
4.2.1         Halls Hire                                                                                    1 000.00                 1 062.00             263.38               234.98
4.2.2         Refundable Halls Deposit                                                                          500.00                531.00              237.89               233.78
4.3           Halls Hire (Memorial Service)                                                                     500.00                531.00              563.92               598.89
4.3.1         Hall hire                                                                                         500.00                531.00              563.92               598.89
4.3.2         Refundable deposit                                                                                   -
4.4           Halls Hire (Meetings)
4.4.1         Hall hire per 3 hour                                                                              100.00                106.20              112.78               119.78
4.4.2         Hall hire 3hours +                                                                                200.00                212.40              225.57               239.55
4.5           Halls Hire (Conferences)
4.5.1         Hall hire per day                                                                                 300.00                318.60              338.35               359.33
4.5.2         Refundable deposit                                                                                300.00                318.60              338.35               359.33
4.6           Halls Hire (Workshops)
4..6.1        Hall hire per day                                                                                 100.00                106.20              112.78               119.78
4.6.2         Hall hire per week                                                                                500.00                531.00              563.92               598.89
4.6.3         Hall hire per weekend                                                                             800.00                849.60              902.28               958.22
4.7           Halls Hire (Market day)                                                                           100.00                106.20              112.78               119.78
4.8           Halls Hire (Religious Activity)
4.8.1         Hall hire per 3 hour                                                                               50.00                 53.10               56.39                59.89
4.8.2         Hall hire per weekend                                                                             800.00                849.60              902.28               958.22

4.9           Halls Hire (Cultural Activities)                                                              1 000.00                 1 062.00          1 127.84               1 197.77
4.9.1         Refundable deposit                                                                                500.00                531.00              563.92               598.89
4.10          Sportfield Hire - Sports Development Projects
4.10.1        Halls Hire                                                                     Free                         Free                  Free               Free
4.10.2        Refundable Halls Deposit                                                                          100.00                106.20              111.30               116.53
4.11          Sportfield Hire - Municipal Functions
4.11.1        Halls Hire                                                                                               0 Free                   Free               Free
4.11.2        Refundable Halls Deposit                                                                                 0 Free                   Free               Free
4.12          Sportfield Hire - Sport & Recreational Associations
                                                                                                                100.00                106.20              111.30               116.53




6.             PLOT CLEARING
6.1            Plot Clearing - Non municipal                                                    470.25                 499.41            523.38                      547.98
6.2            Plot Clearing - Municipal Property                                 0                         0                    0                 0
6.3            Plot Clearing - Public Places                                      0                         0                    0                 0
7.             MUNICIPAL PARKHOME/BUILDING RENTAL
7.1            Parkhome Rental                                                                      45.00                47.25            49.61                       52.09
7.2            Office Space Rental                                                                  45.00                47.25            49.61                       52.09
4.11.1   Halls Hire                                                                                       0 Free                  Free               Free
4.11.2   Refundable Halls Deposit                                                                         0 Free                  Free               Free
4.12     Sportfield Hire - Sport & Recreational Associations
                                                                                                   100.00                106.20             111.30               116.53




6.        PLOT CLEARING
6.1       Plot Clearing - Non municipal                                              470.25             499.41             523.38                      547.98
6.2       Plot Clearing - Municipal Property                          0                        0                    0                 0
6.3       Plot Clearing - Public Places                               0                        0                    0                 0
7.        MUNICIPAL PARKHOME/BUILDING RENTAL
7.1       Parkhome Rental                                                             45.00                 47.25             49.61                     52.09
7.2       Office Space Rental                                                         45.00                 47.25             49.61                     52.09
7.3       Site Rental
8.        OUTDOOR ADVERTISMENT - Vat Incl.
8.1       Non-Illuminated Structure
8.1.1      3m X 1.5m (4.5m²) 12 sheet                                                 91.20             100.32             110.35                      121.39
8.1.2     3m X 2m (6m²) 16 sheet                                                     133.10             146.41             161.05                      177.16
8.1.3     3m X 6m (18m²) 48 sheet                                                    199.65             219.62             241.58                      265.73
8.1.4      3m X 8m (24m²) 64 sheet                                                   332.75             366.03             402.63                      442.89
8.1.5     3m X 12m (36m²) 96 sheet                                                   399.30             439.23             483.15                      531.47
8.1.6     6m X 4m (24m²) 64 sheet                                                    332.75             366.03             402.63                      442.89
8.1.7     9m X 6m (54m²) 144 sheet                                                   998.25           1 098.08            1 207.88                    1 328.67
8.1.8     double sided 9m X 6m (54 m²) 144 sheet structure                          1 710.00          1 881.00            2 069.10                    2 276.01
8.1.9     triangular 9m X 6m (54m²) 144 sheet structure                             2 280.00          2 508.00            2 758.80                    3 034.68
8.2       Illuminated Structure
8.2.1      3m X 1.5m (4.5m²) 12 sheet                                                100.32             110.35             121.39                      133.53
8.2.2     3m X 2m (6m²) 16 sheet                                                     146.41             161.05             177.16                      194.87
8.2.3     3m X 6m (18m²) 48 sheet                                                    219.62             241.58             265.74                      292.31
8.2.4      3m X 8m (24m²) 64 sheet                                                   366.03             402.63             442.90                      487.19
8.2.5     3m X 12m (36m²) 96 sheet                                                   439.23             483.15             531.47                      584.62
8.2.6     6m X 4m (24m²) 64 sheet                                                    366.03             402.63             442.90                      487.19
8.2.7     9m X 6m (54m²) 144 sheet                                                  1 098.08          1 207.89            1 328.68                    1 461.54
8.2.8     double sided 9m X 6m (54 m²) 144 sheet structure                         10 242.00         11 266.20           12 392.82                   13 632.10
8.2.9     triangular 9m X 6m (54m²) 144 sheet structure                            15 567.84         17 124.62           18 837.09                   20 720.80




                                                       Current Year                                  Financial Years
          Description                                  2008/2009             2009/2010              2010/2011           2011/2012

9.        PHOTOCOPYING
9.1       A4 Copy - Printed one side                                  1.00                 1.06                 1.11                       1.16
9.2       A4 Copy - Printed Both sides                                1.50                 1.59                 1.69                       2.69
9.3       A3 Copy - Printed one side                                  2.00                 2.00                 2.20                       2.50
9.4       A3 Copy - Printed Both sides                                2.50                 2.50                 2.80                       3.00

10.       LIBRARY FEES

10.1      Membership Fees                                                    New                    New                 New
10.2      Lost card replacement                                              New                    New                 New
10.3      Fines:lost books                                                   New                    New                 New
10.4      Fines:DVD/CD/VIDEO TAPES
10.5      Late return of books                                               New                    New                 New

11.       TRAFFIC FEES

11.1      Learners license booking fee                                                   115.00               115.00                      115.00
11.2      Learners issue fee                                                              45.00                45.00                       45.00
11.3      Learners License re-issue                                                       60.00                60.00                       60.00
          D/L Rennewals                                                                  165.00               165.00                      165.00
11.4      PrDP Application                                                               115.00               115.00                      115.00
          Temporal D/L                                                                    60.00                60.00                       60.00
12.       BUILDING PLANS                                                     NEW

13.       TOWN PLANNING FEES                                                 NEW

14.       MARKET STALLS HIRE                                                 NEW

15.       ENCROUCHMENT FEES                                                  NEW

16.       MISCELLENEOUS FEES

          Copy of valuation roll                                                          15.00                15.72                       16.46
11.2   Learners issue fee                   45.00    45.00    45.00
11.3   Learners License re-issue            60.00    60.00    60.00
       D/L Rennewals                       165.00   165.00   165.00
11.4   PrDP Application                    115.00   115.00   115.00
       Temporal D/L                         60.00    60.00    60.00
12.    BUILDING PLANS                NEW

13.    TOWN PLANNING FEES            NEW

14.    MARKET STALLS HIRE            NEW

15.    ENCROUCHMENT FEES             NEW

16.    MISCELLENEOUS FEES

       Copy of valuation roll              15.00     15.72    16.46
       Extracts of Bylaws per copy         15.00     15.72    16.46
       Penalty Interest              NEW
Mayor provides general political guidance over the budget process

 was tabled to ExCo on 23 March and to Council on 26 March 2009.




Schedule of Budget Key Deadlines by the Mayor to Council.




 ng the IDP. The Budget for Capital Projects was drawn from




gnment municipal
ncilors will also be held and
projects were as




ut they are available for viewing by the public at the Hlabisa Municipality Offices,
he budget process.




ncial Policies


eaningful budget, assumptions need to be made about internal and
or a summary of all the assumptions used in preparing this budget.




No. 48 is projected at 5.4% for 2009/2010; 5.1% for 2010/2011 and
termining new tariffs and general expenses increase.
h an average interest rate of 8.5% p.a.:




er CPIX indicators. Charges for leases and rentals were increased
collected is projected based on the current level of payment of our debtors.




nces were increased by 13% for the 2009/2010 financial year.




 o 1803 consumers and alternative energy to 463 consumers.




 ice charges include rental of offices, hiring of community halls,




cial Years
 011         2011/2012



07278863       0.076209696


 1961176       0.106753351




  111.30            116.53


  222.60            233.06
  222.60            233.06


             Free
07278863        0.076209696


1961176         0.106753351




  111.30               116.53


  222.60               233.06
  222.60               233.06


              Free
  111.30               116.53


              Free
              Free


      111.3            116.53




  111.30               116.53



    Financial Years
  2010/2011        2011/2012


              157.18               118.69
              131.69               117.49


              263.38               234.98
              237.89               233.78
              563.92               598.89
              563.92               598.89




              112.78               119.78
              225.57               239.55


              338.35               359.33
              338.35               359.33


              112.78               119.78
              563.92               598.89
              902.28               958.22
              112.78               119.78


               56.39                59.89
              902.28               958.22

           1 127.84               1 197.77
              563.92               598.89


  Free                 Free
              111.30               116.53


  Free                 Free
  Free                 Free


              111.30               116.53




.38                      547.98
       0
       0


.61                       52.09
.61                       52.09
 Free                Free
 Free                Free


            111.30               116.53




.38                    547.98
      0
      0


.61                     52.09
.61                     52.09




.35                    121.39
.05                    177.16
.58                    265.73
.63                    442.89
.15                    531.47
.63                    442.89
.88                   1 328.67
.10                   2 276.01
.80                   3 034.68


.39                    133.53
.16                    194.87
.74                    292.31
.90                    487.19
.47                    584.62
.90                    487.19
.68                   1 461.54
.82                  13 632.10
.09                  20 720.80




12



           1.16
           2.69
           2.50
           3.00




          115.00
           45.00
           60.00
          165.00
          115.00
           60.00




           16.46
 45.00
 60.00
165.00
115.00
 60.00




 16.46
 16.46
15
16
17
18
19
             SUPPORTING TABLE 3

RECONCILIATION OF IDP & BUDGET - CAPEX

Strategic Objective                                  Action Plan

Sustainable Services                                 Water
Sustainable Services                                 Electricity
Sustainable Services                                 Sanitation
Sustainable Services                                 Waste Management
Sustainable Services                                 Health
Sustainable Services                                 Community
Infrastructure                                       Roads & Stormwater
Infrastructure                                       Cemeteries
Infrastructure                                       Housing
Infrastructure                                       Sport Fields
Infrastructure                                       Open Space
Infrastructure                                       Public Amenities
Good Governance                                      Support Services / Fleet
Good Governance                                      Integrated Planning
Good Governance                                      Financial Management
Good Governance                                      Human Resources Management
Good Governance                                      Executive and Council
Environmental Management                             Land Management
Economic Development                                 Local Economic Development
Social Development                                   Culture & Sport
Social Development                                   Public Participation
Safety & Security                                    Road Safety
Safety & Security                                    Fire & Rescue
Safety & Security                                    Disaster Management
Safety & Security                                    Security


TOTAL CAPITAL EXPENDITURE

Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not availabl
B. The original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MF
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of prepar
E. The amount to be appropriated for the 2009/10 budget year.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12
Notes:
            Preceding Year                              Current Year                                 Medium Term Rev
                39295                                     Sep-08

            Audited Actual      Approved Budget       Adjusted Budget       Full Year Forecast
                R'000                R'000                 R'000                   R'000
                  A                    B                     C                       D

                           0                      0                     0                    0
                           0                      0                     0                    0
                           0                      0                     0                    0
                           0                      0                     0                    0
                           0                      0                     0                    0
                   5,607,760              9,688,000             9,688,000            9,688,000
                           0                      0                     0                    0
                           0                      0                     0                    0
                           0                      0                     0                    0
                     900,000                      0                     0                    0
                           0                      0                     0                    0
                           0                      0                     0                    0
                     296,316                      0                     0                    0
                           0                      0                     0                    0
                      51,243                367,505                98,380               98,380
                       3,900                436,000               260,000              260,000
                           0                215,000                14,000               14,000
                           0                      0                     0                    0
                           0              1,000,000             1,030,000            1,030,000
                     800,000                      0                     0                    0
                           0                      0                     0                    0
                           0              1,200,000                     0                    0
                           0                      0                     0                    0
                           0                      0                     0                    0
                           0                      0                     0                    0


                   7,659,219            12,906,505            11,090,380            11,090,380


nts. If audit figures are not available for 2007/08, pre audit figures must be provided with a note stating these are pre

on in terms of section 28 of the MFMA.
t year at the point in time of preparing the budget for the 2009/10 budget year. This may differ from C.
               Medium Term Revenue and Expenditure Framework
               Budget Year    Budget Year +1    Budget Year +2
                 40087            40483              40878
                 Budget          Budget             Budget
                  R'000           R'000              R'000
                    E               F                  G

                                0                   0           0
                                0                   0           0
                                0                   0           0
                                0                   0           0
                                0                   0           0
                        6,792,750                   0           0
                        6,405,250                   0           0
                                0                   0           0
                                0                   0           0
                                0                   0           0
                                0                   0           0
                                0                   0           0
                        1,730,000             862,500     615,625
                                0                   0           0
                          685,000             417,000     326,000
                          870,000             265,000     160,000
                          700,000             670,000     891,000
                                0                   0           0
                                0                   0           0
                          270,000                   0           0
                                0                   0           0
                            2,000                   0           0
                                0                   0           0
                                0                   0           0
                                0                   0           0


                       17,455,000            2,214,500   1,992,625


d with a note stating these are pre audit.


s may differ from C.
                 SUPPORTING TABLE 8                             Social
                                                            Salary
                                                             Contributions4
DISCLOSURE OF SALARIES, ALLOWANCES & BENEFITS Rand ('000) pa Rand ('000) pa
  Councillors

 Mayor                                                       227,808.73    -
 Deputy Mayor                                                170,855.79    -
 Speaker                                                     331,357.87    -
 Exevutive Members                                           170,855.79    -

 Ordinary Councillors                                        110,934.18    -
                                                                      -
 Officials of the Municipality

 Municipal Manager (MM)                                      349,773.84    -
                                                                      -    -
 Chief Finance Officer                                       334,824.14    -

 Senior Manager: Corporate Services                          330,410.36    -
 Senior Manager: Technical Services                                   -    -
 Senior Manager: Community Services                          334,762.86    -

 A Heading for Each Entity5

 List each member of board by designation                              0   0

 Chief Executive Officer (CEO)                                         0   0

 List each senior manager reporting to CEO by designation              0   0

 TOTAL COST OF REMUNERATION TO MUNICIPALITY                 2,361,583.56   -


 Notes:
                  Allowances       Performance     Total
             4
tributions                        Bonuses        Package
                 Rand ('000) pa Rand ('000) pa Rand ('000) pa


                     100,731.02             -     328,539.75
                      68,314.91             -     239,170.70
                     128,651.75             -     460,009.62
                      68,314.91             -     239,170.70

                      52,782.03             -     163,716.21



                     253,890.00      79,205.00    682,868.84
        -
                     191,695.99      71,189.77    597,709.90
                                                            -
                     191,371.97      71,189.77    592,972.10
                               -             -              -
                     191,756.13      71,189.77    597,708.76




                               0             0              0

                               0             0              0

                               0             0              0

                   1,247,508.71     292,774.31   3,901,866.58
                                                            Preceding Year
                       SUPPORTING TABLE 8a                      39295

  SUMMARY OF TOTAL SALARIES, WAGES, ALLOWANCES etc          Audited Actual
                                                                R'000
                                                                  A

Councillors (Political Office Bearers plus Other)
Basic Salaries                                                            -
Pension Contributions                                                     -
Medical Aid Contributions                                                 -
Allowances                                                       5,405,127
Sub Total - Councillors                                          5,405,127

Senior Managers of the Municipality (s 57 of Systems Act)
Basic Salaries                                                   1,249,879
Pension Contributions                                                     -
Medical Aid Contributions                                                 -
Allowances                                                         833,048
Performance Bonus                                                  129,104
Sub Total - Senior Managers of Municipality                      2,212,031

Other Municipal Staff
Basic Salaries                                                   3,369,510
Pension Contributions                                              379,758
Medical Aid Contributions                                           89,345
Allowances                                                         241,841
Overtime                                                           304,879
Performance Bonus                                                  246,878
Sub Total - Other Municipal Staff                                4,632,211

Board Members of Entities
Basic Salaries
Pension Contributions
Medical Aid Contributions
Allowances
Board Fees
Sub Total - Board Members of Entities

Senior Managers of Entities
Basic Salaries
Pension Contributions
Medical Aid Contributions
Allowances
Performance Bonus
Sub Total - Senior Managers of Entities

Other Staff of Entities
Basic Salaries
Pension Contributions
Medical Aid Contributions
Allowances
Overtime
Performance Bonus
Sub Total - Other Staff of Entities

TOTAL EMPLOYEE COSTS

Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not available for 2
B. The original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MFMA.
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of preparing the
E. The amount to be appropriated for the 2009/10 budget year.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12
                     Current Year                          Medium Term Revenue and Expenditure
                       Sep-08                              Budget Year    Budget Year +1
                                                             40087            40483
Approved Budget     Adjusted Budget   Full Year Forecast     Budget          Budget
     R'000               R'000               R'000            R'000           R'000
       B                   C                   D                E               F


                -                 -                   -                -                 -
                -                 -                   -                -                 -
                -                 -                   -                -                 -
       6,340,855          6,562,785           6,562,785        7,065,451         7,494,986
       6,340,855          6,562,785           6,562,785        7,065,451         7,494,986


       1,360,285          1,360,285           1,360,285        1,349,771         1,484,748
                -                 -                   -                -                 -
                -                 -                   -                -                 -
         903,323            903,323             903,323          828,714           592,061
         335,452            335,452             335,452          292,774           296,781
       2,599,060          2,599,060           2,599,060        2,471,259         2,373,590


       4,594,281          4,594,281           4,594,281        6,361,015         6,226,038
         750,546            750,546             750,546          868,122           902,003
       1,117,380          1,117,380           1,117,380        1,117,380         1,158,012
         860,387            860,387             860,387        1,428,717         1,635,994
         971,096            971,096             971,096        1,055,574           966,121
         414,300            414,300             414,300          605,780           679,670
       8,707,990          8,707,990           8,707,990       11,436,588        11,567,838
              17,647,905           17,869,835            17,869,835            20,973,298           21,436,414


res are not available for 2007/08, pre audit figures must be provided with a note stating these are pre audit.

ection 28 of the MFMA.
nt in time of preparing the budget for the 2009/10 budget year. This may differ from C.
enditure Framework
      Budget Year +2
           40878
          Budget
           R'000
             G


                    -
                    -
                    -
            8,012,942
            8,012,942


            1,633,223
                    -
                    -
              633,505
              317,556
            2,584,284


            7,092,153
            1,112,804
            1,304,640
            1,897,059
            1,483,102
              691,558
           13,581,316
24,178,542
                                                              Preceding Year
                 SUPPORTING TABLE 8b                              39295

         SUMMARY OF PERSONNEL NUMBERS                         Audited Actual
               (Full Time Equivalent)                              No.
                                                                    A

Municipality
Councillors (Political Office Bearers plus Other)                               37
Senior Managers including Municipal Manager (s 57 of Systems Act)                5
Other Managers                                                                   4
Technical / Professional Staff
Other Staff (clerical, labourers etc)                                           45

Sub Total - Municipality                                                        91

Entities
Board Members
Senior Managers including CEO
Other Managers
Technical / Professional Staff
Other Staff (clerical, labourers etc)

Sub Total - Entities

TOTAL PERSONNEL NUMBERS                                                         91

Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not availabl
B. The numbers as per the original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MF
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of prepar
E. The number to be included in the 2009/10 approved budget.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12

Notes:

1. Hlabisa Municipality has 1 full time councilor and 36 part time councilors
                                     Current Year                               Medium Term Revenue and Expend
                                       Sep-08                                   Budget Year
                                                                                  40087
             Approved Budget       Adjusted Budget       Full Year Forecast       Budget
                   No.                   No.                    No.                 No.
                    B                     C                      D                   E


                              37                    37                   37                    37
                               4                     4                    4                     4
                               9                    10                   10                    11

                              50                    54                   54                    56

                             100                  105                   105                   108




                             100                  105                   105                   108


ments. If audit figures are not available for 2007/08, pre audit figures must be provided with a note stating these are
 the 2008/09 budget year.
  ution in terms of section 28 of the MFMA.
dget year at the point in time of preparing the budget for the 2009/10 budget year. This may differ from C.
m Term Revenue and Expenditure Framework
          Budget Year +1    Budget Year +2
              40483              40878
             Budget             Budget
                No.               No.
                 F                 G


                             37               37
                              4                4
                             11               11

                             56               56

                            108              108




                            108              108


d with a note stating these are pre audit.


s may differ from C.
                    SUPPORTING TABLE 9             Budget      Budget       Budget
                                                    July       August      September
                   MONTHLY CASH FLOWS               2009        2009         2009
                                                    R'000       R'000        R'000

Cash Operating Receipts by Source

Property rates                                       214,126     214,126      214,126
Property rates - penalties                             2,141       2,141        2,141
Service charges - refuse removal                      13,436      13,436       13,436
Service charges - other                                9,007       9,007        9,007
Rental of facilities and equipment                     3,036       3,036        3,036
Interest earned - external investments                19,786      19,786       19,786
Interest earned - general                              6,058       6,058        6,058
Sundry Income                                            333         333          333
Sale of bid documents                                  1,000       1,000        1,000
Government grants & subsidies                      3,845,333   3,845,333    3,845,333
Accummulated Surplus                                      -           -            -
Licences and permits                                  71,177      71,177       71,177
Gain on disposal of property plant and equipment
Discount received                                        -           -             -
Traffic fines                                       621,946     621,946       621,946

Cash Operating Receipts by Source                  4,807,378   4,807,378    4,807,378

Other Cash Receipts by Source

Gain on disposal of assets/land                      33,000      33,000        33,000

Total Cash Receipts by Source                      4,840,378   4,840,378    4,840,378

Cash Operating Payments by Type

Employee related costs                             1,134,330   1,134,330    1,134,330
Remuneration of Councillors                          588,788     588,788      588,788
Repairs and maintenance                               44,523      44,523       44,523
Advertising                                           16,667      16,667       16,667
Penalties                                                500         500          500
Audit Fees Internal                                   32,500      32,500       32,500
Audit Fees External                                   20,900      20,900       20,900
Bad Debts                                             31,225      31,225       31,225
Bank charges                                           6,000       6,000        6,000
Library books                                             -           -            -
Cleaning                                                  -           -            -
Sod turnings                                          37,500      37,500       37,500
Committee expenses                                    33,333      33,333       33,333
Consultancy fees                                      59,030      59,030       59,030
Contract services                                     30,833      30,833       30,833
HIV/AIDS Programme                                    30,833      30,833       30,833
Electricity & Water                                   18,333      18,333       18,333
Entertainment & Functions                             12,479      12,479       12,479
Disaster Management Programme                         83,333      83,333       83,333
Awareness campaigns                                    3,750       3,750        3,750
Financial Services Consultants                        65,067      65,067       65,067
Fuel & Oil                                            38,750      38,750       38,750
Grants & Donations                                    20,833      20,833       20,833
IDP Expenditure                                       30,833      30,833       30,833
Insurance                                             15,000      15,000       15,000
Legal fees                                             2,667       2,667        2,667
Licences
Medical examinations
Membership/Subscriptions                                                1,841         1,841          1,841
Office machine rentals                                                 12,500        12,500         12,500
Postage & Telephone                                                    40,000        40,000         40,000
Printing & Stationery                                                  30,779        30,779         30,779
Publicity                                                              58,333        58,333         58,333
Travel and Accommodation                                              130,833       130,833        130,833
Security                                                               41,667        41,667         41,667
Sports & Recreation                                                    28,333        28,333         28,333
Staff training                                                         25,056        25,056         25,056
Training -Councilors                                                    8,333         8,333          8,333
Periodicals                                                                53            53             53
Stores & Material                                                       1,667         1,667          1,667
Depreciation
Uniforms                                                               18,333        18,333         18,333
Disaster Management Relief                                             33,333        33,333         33,333
Equitable Share - FBE                                                  60,165        60,165         60,165
Equitable Share - FBS                                                 120,329       120,329        120,329
Finance Management Grant Expenditure                                   38,333        38,333         38,333
Civic functions
Career guidance                                                         8,333         8,333          8,333
Training of SMME                                                        8,333         8,333          8,333
Office decorations
Heritage activities                                                    16,667        16,667         16,667
Gender Programmes                                                      23,333        23,333         23,333
Special Projects                                                       50,000        50,000         50,000
Youth activities                                                       29,167        29,167         29,167
Learnerships                                                           25,000        25,000         25,000
Partnerships/Interventions                                             20,833        20,833         20,833
Arts & Culture                                                         12,500        12,500         12,500
Municipal Development-Capacity Building                                14,083        14,083         14,083
MSIG Expenditure                                                       16,667        16,667         16,667
Poverty Alleviation                                                    41,667        41,667         41,667
LED Internal                                                           41,667        41,667         41,667
Leave Contribution                                                     37,065        37,065         37,065
Special funds                                                          32,584        32,584         32,584

Cash Operating Payments by Type                                     3,385,795     3,385,795      3,385,795

Other Cash Payments by Type

Capital Expenditure                                                 1,454,583     1,454,583      1,454,583
Loans repaid                                                               -             -              -

Total Cash Payments by Type                                         4,840,378     4,840,378      4,840,378


NET INCREASE / (DECREASE) IN CASH & INVESTMENTS                           -              -              -

Notes:

1. Cash Operating Payments by Type does not include Appropriation of funds to operating budget and contributions
Budget       Budget       Budget     Budget       Budget     Budget      Budget      Budget
October     November     December    January     February    March        April       May
 2009         2009         2009       2010         2010       2010        2010        2010
 R'000        R'000        R'000      R'000        R'000      R'000       R'000       R'000



  214,126      214,126     214,126     214,126     214,126     214,126     214,126     214,126
    2,141        2,141       2,141       2,141       2,141       2,141       2,141       2,141
   13,436       13,436      13,436      13,436      13,436      13,436      13,436      13,436
    9,007        9,007       9,007       9,007       9,007       9,007       9,007       9,007
    3,036        3,036       3,036       3,036       3,036       3,036       3,036       3,036
   19,786       19,786      19,786      19,786      19,786      19,786      19,786      19,786
    6,058        6,058       6,058       6,058       6,058       6,058       6,058       6,058
      333          333         333         333         333         333         333         333
    1,000        1,000       1,000       1,000       1,000       1,000       1,000       1,000
3,845,333    3,845,333   3,845,333   3,845,333   3,845,333   3,845,333   3,845,333   3,845,333
       -            -           -           -           -           -           -           -
   71,177       71,177      71,177      71,177      71,177      71,177      71,177      71,177

      -            -            -          -           -           -           -           -
 621,946      621,946      621,946    621,946     621,946     621,946     621,946     621,946

4,807,378    4,807,378   4,807,378   4,807,378   4,807,378   4,807,378   4,807,378   4,807,378



  33,000       33,000       33,000     33,000       33,000     33,000      33,000      33,000

4,840,378    4,840,378   4,840,378   4,840,378   4,840,378   4,840,378   4,840,378   4,840,378



1,134,330    1,134,330   1,134,330   1,134,330   1,134,330   1,134,330   1,134,330   1,134,330
  588,788      588,788     588,788     588,788     588,788     588,788     588,788     588,788
   44,523       44,523      44,523      44,523      44,523      44,523      44,523      44,523
   16,667       16,667      16,667      16,667      16,667      16,667      16,667      16,667
      500          500         500         500         500         500         500         500
   32,500       32,500      32,500      32,500      32,500      32,500      32,500      32,500
   20,900       20,900      20,900      20,900      20,900      20,900      20,900      20,900
   31,225       31,225      31,225      31,225      31,225      31,225      31,225      31,225
    6,000        6,000       6,000       6,000       6,000       6,000       6,000       6,000
       -            -           -           -           -           -           -           -
       -            -           -           -           -           -           -           -
   37,500       37,500      37,500      37,500      37,500      37,500      37,500      37,500
   33,333       33,333      33,333      33,333      33,333      33,333      33,333      33,333
   59,030       59,030      59,030      59,030      59,030      59,030      59,030      59,030
   30,833       30,833      30,833      30,833      30,833      30,833      30,833      30,833
   30,833       30,833      30,833      30,833      30,833      30,833      30,833      30,833
   18,333       18,333      18,333      18,333      18,333      18,333      18,333      18,333
   12,479       12,479      12,479      12,479      12,479      12,479      12,479      12,479
   83,333       83,333      83,333      83,333      83,333      83,333      83,333      83,333
    3,750        3,750       3,750       3,750       3,750       3,750       3,750       3,750
   65,067       65,067      65,067      65,067      65,067      65,067      65,067      65,067
   38,750       38,750      38,750      38,750      38,750      38,750      38,750      38,750
   20,833       20,833      20,833      20,833      20,833      20,833      20,833      20,833
   30,833       30,833      30,833      30,833      30,833      30,833      30,833      30,833
   15,000       15,000      15,000      15,000      15,000      15,000      15,000      15,000
    2,667        2,667       2,667       2,667       2,667       2,667       2,667       2,667
                      1,841      1,841       1,841       1,841       1,841       1,841       1,841       1,841
                     12,500     12,500      12,500      12,500      12,500      12,500      12,500      12,500
                     40,000     40,000      40,000      40,000      40,000      40,000      40,000      40,000
                     30,779     30,779      30,779      30,779      30,779      30,779      30,779      30,779
                     58,333     58,333      58,333      58,333      58,333      58,333      58,333      58,333
                    130,833    130,833     130,833     130,833     130,833     130,833     130,833     130,833
                     41,667     41,667      41,667      41,667      41,667      41,667      41,667      41,667
                     28,333     28,333      28,333      28,333      28,333      28,333      28,333      28,333
                     25,056     25,056      25,056      25,056      25,056      25,056      25,056      25,056
                      8,333      8,333       8,333       8,333       8,333       8,333       8,333       8,333
                         53         53          53          53          53          53          53          53
                      1,667      1,667       1,667       1,667       1,667       1,667       1,667       1,667

                     18,333     18,333      18,333      18,333      18,333      18,333      18,333      18,333
                     33,333     33,333      33,333      33,333      33,333      33,333      33,333      33,333
                     60,165     60,165      60,165      60,165      60,165      60,165      60,165      60,165
                    120,329    120,329     120,329     120,329     120,329     120,329     120,329     120,329
                     38,333     38,333      38,333      38,333      38,333      38,333      38,333      38,333

                      8,333      8,333       8,333       8,333       8,333       8,333       8,333       8,333
                      8,333      8,333       8,333       8,333       8,333       8,333       8,333       8,333

                     16,667     16,667      16,667      16,667      16,667      16,667      16,667      16,667
                     23,333     23,333      23,333      23,333      23,333      23,333      23,333      23,333
                     50,000     50,000      50,000      50,000      50,000      50,000      50,000      50,000
                     29,167     29,167      29,167      29,167      29,167      29,167      29,167      29,167
                     25,000     25,000      25,000      25,000      25,000      25,000      25,000      25,000
                     20,833     20,833      20,833      20,833      20,833      20,833      20,833      20,833
                     12,500     12,500      12,500      12,500      12,500      12,500      12,500      12,500
                     14,083     14,083      14,083      14,083      14,083      14,083      14,083      14,083
                     16,667     16,667      16,667      16,667      16,667      16,667      16,667      16,667
                     41,667     41,667      41,667      41,667      41,667      41,667      41,667      41,667
                     41,667     41,667      41,667      41,667      41,667      41,667      41,667      41,667
                     37,065     37,065      37,065      37,065      37,065      37,065      37,065      37,065
                     32,584     32,584      32,584      32,584      32,584      32,584      32,584      32,584

                3,385,795     3,385,795   3,385,795   3,385,795   3,385,795   3,385,795   3,385,795   3,385,795


                      -
                1,454,583     1,454,583   1,454,583   1,454,583   1,454,583   1,454,583   1,454,583   1,454,583
                        -            -           -           -           -           -           -           -

                4,840,378     4,840,378   4,840,378   4,840,378   4,840,378   4,840,378   4,840,378   4,840,378


                        -           -           -           -           -           -           -           -



and contributions
Budget       Budget       Budget       Budget
 June       Full Year    Full Year    Full Year
 2010        40087        40483        40878
 R'000        R'000        R'000        R'000



  214,126    2,569,508    2,723,678    2,832,626
    2,141       25,695       27,237       28,326
   13,436      161,230      170,904      177,740
    9,007      108,081      114,575      119,195
    3,036       36,430       38,620       40,160
   19,786      237,430      251,676      261,743
    6,058       72,695       77,057       80,140
      333        4,000        4,000        4,000
    1,000       12,000       14,000       17,000
3,845,333   46,144,000   55,497,000   57,111,000
       -            -            -            -
   71,177      854,120      905,367      941,582
                    -       420,760      140,000
      -             -            -            -
 621,946     7,463,347    7,560,000    7,560,005

4,807,378   57,688,536   67,804,874   69,313,517



  33,000      396,000            -            -

4,840,378   58,084,536   67,804,874   69,313,517



1,134,330   13,611,958   14,461,460   16,756,168
  588,788    7,065,451    7,494,986    8,012,942
   44,523      534,270      826,751      628,107
   16,667      200,000      256,000      268,000
      500        6,000        6,800        6,900
   32,500      390,000      407,550      425,889
   20,900      250,800      262,086      273,879
   31,225      374,700      397,182      424,985
    6,000       72,000       77,000       84,000
       -            -            -            -
       -            -            -            -
   37,500      450,000      670,000      700,000
   33,333      400,000    1,251,000    1,580,000
   59,030      708,360      876,236      956,504
   30,833      370,000      630,000      640,000
   30,833      370,000      600,000      680,000
   18,333      220,000      230,000      240,000
   12,479      149,747      379,500      439,270
   83,333    1,000,000    1,100,000    1,120,000
    3,750       45,000       40,000       60,000
   65,067      780,800      823,000      857,200
   38,750      465,000      227,500      260,000
   20,833      250,000      300,000      300,000
   30,833      370,000      250,000      240,000
   15,000      180,000      189,000      198,450
    2,667       32,000       32,000       32,000
                    -
                    -
   1,841        22,090       29,684       32,482
  12,500       150,000      165,000       81,500
  40,000       480,000      550,000      600,000
  30,779       369,350      556,260      645,234
  58,333       700,000    1,550,000    1,710,000
 130,833     1,570,000    2,093,973    2,248,051
  41,667       500,000      610,000      660,000
  28,333       340,000      465,000      490,000
  25,056       300,675      513,880      537,117
   8,333       100,000      220,000      240,000
      53           630
   1,667        20,000      22,500       25,000
                    -
  18,333       220,000      500,000      530,000
  33,333       400,000      627,000      905,500
  60,165       721,975      896,825      979,525
 120,329     1,443,950    1,793,650    1,959,050
  38,333       460,000      460,000      480,000
                    -
   8,333       100,000     140,000      160,000
   8,333       100,000     150,000      180,000
                    -
  16,667       200,000      210,000      220,500
  23,333       280,000      360,000      360,000
  50,000       600,000      960,000    1,010,000
  29,167       350,000      450,000      470,000
  25,000       300,000      320,000      340,000
  20,833       250,000      440,000      484,000
  12,500       150,000      150,000      180,000
  14,083       169,000      169,000      180,000
  16,667       200,000      220,000      260,000
  41,667       500,000    1,250,000    1,000,000
  41,667       500,000    1,500,000    1,053,700
  37,065       444,780      514,551      573,940
  32,584       391,002   15,915,000   13,540,999
                                              -
3,385,795   40,629,536   65,590,374   67,320,892



1,454,583   17,455,000    2,214,500    1,992,625
       -            -            -            -

4,840,378   58,084,536   67,804,874   69,313,517
                                              -
                                              -
      -             -1           -            -
                                           Preceding Year                          Current Y
                   TABLE 11                    39295                                 Sep-08

   CAPITAL EXPENDITURE BY CATEGORY         Audited Actual      Approved Budget
                                               R'000                R'000
                                                 A                    B

INFRASTRUCTURE                                         -           1,415,000.00
Land and Buildings                                         0         215,000.00
Roads, pavements, bridges and stormwater               -                     -
Water Reservoirs and reticulation                          0                 -
Car parks, bud terminals and taxi ranks                    0                   0
Electricity reticulation                                   0                 -
Sewerage purification and reticulation                     0                   0
Housing                                                -                       0
Street lighting                                            0            1200000
Refuse sights                                              0                   0
Gas                                                        0                   0
Other                                                  -                     -

COMMUNITY                                    7,307,760.00         10,688,000.00
Establishment of parks & gardens                         0                     0
Sportsfields                                   900,000.00                    -
Community halls                                   5607760          9,688,000.00
Libraries                                                0                     0
Recreation facilities                                    0                     0
Clinics                                                  0                     0
Museums & art galleries                            800000                      0
Other                                                  -           1,000,000.00

HERITAGE ASSETS                                            0                  0

INVESTMENT PROPERTIES                                      0                  0

OTHER ASSETS                                   351,459.00            803,505.00
Other motor vehicles                           296,316.00                    -
Plant & equipment                                        0                     0
Office equipment                                51,243.00            367,505.00
Abattoirs                                                0                     0
Markets                                                  0                     0
Airports                                                 0                     0
Security measures                                        0                     0
Other                                            3,900.00            436,000.00
                                                                               0
SPECIALISED VEHICLES                                       0                 -
Refuse                                                     0                 -
Fire                                                       0                   0
Conservancy                                                0                   0
Ambulances                                                 0                   0
Buses                                                      0                   0
TOTAL CAPITAL EXPENDITURE1                               7,659,219.00         12,906,505.00

Column Definitions:
A. The audited actual for 2007/08 as per the audited financial statements. If audit figures are not availabl
B. The original budget approved by council for the 2008/09 budget year.
C. The budget for 2008/09 budget year as adjusted by council resolution in terms of section 28 of the MF
D. An estimate of final actual figures (pre audit) for the 2008/09 budget year at the point in time of prepar
E. The amount to be appropriated for the 2009/10 budget year.
F. The indicative projection for 2010/11
G. The indicative projection for 2011/12

Notes:
 Current Year                            Medium Term Revenue and Expenditure Framework
   Sep-08                                Budget Year    Budget Year +1
                                           40087            40483
Adjusted Budget     Full Year Forecast     Budget          Budget
     R'000                 R'000            R'000           R'000
       C                     D                E               F

       14,000.00            14,000.00      7,105,250.00      670,000.00
       14,000.00            14,000.00            700000          670000
              -                    -       6,405,250.00              -
              -                      0                 0               0
                0                    0               -                 0
              -                      0                 0               0
                0                    0                 0               0
                0                    0                 0               0
                0                    0                 0               0
                0                    0                 0               0
                0                    0                 0               0
              -                      0                 0             -

   10,718,000.00        10,718,000.00      7,062,750.00               -
                0                    0                 0                  0
              -                    -                 -                -
    9,688,000.00         9,688,000.00      6,792,750.00               -
                0                    0           270000                   0
                0                    0                 0                  0
                0                    0                 0                  0
                0                    0                 0                  0
    1,030,000.00         1,030,000.00                -                -

                0                    0                0                   0

                0                    0                0                   0

     358,380.00            358,380.00      3,287,000.00     1,544,500.00
             -                     -       1,730,000.00       862,500.00
               0                     0             2000                 0
      98,380.00             98,380.00        685,000.00       417,000.00
               0                     0                 0                0
               0                     0                 0              -
               0                     0                 0                0
               0                     0                 0                0
     260,000.00            260,000.00        870,000.00       265,000.00

                0                    0                0                   0
                0                    0                0                   0
                0                    0                0                   0
                0                    0                0                   0
                0                    0                0                   0
                0                    0                0                   0
                 11,090,380.00        11,090,380.00         17,455,000.00           2,214,500.00


t figures are not available for 2007/08, pre audit figures must be provided with a note stating these are pre audit.

s of section 28 of the MFMA.
 e point in time of preparing the budget for the 2009/10 budget year. This may differ from C.
d Expenditure Framework
           Budget Year +2
                40878
               Budget
                R'000
                  G

                891,000.00
                    891000
                        -
                        -
                          0
                          0
                          0
                          0
                          0
                          0
                          0
                          0

                        -
                            0
                        -
                        -
                            0
                            0
                            0
                            0
                        -

                            0

                            0

              1,101,625.00
                615,625.00
                          0
                326,000.00
                          0
                        -
                          0
                          0
                160,000.00
                          0
                          0
                          0
                          0
                          0
                          0
                          0
                  1,992,625.00


stating these are pre audit.

								
To top