Draft Budget 2021/22

    Dannhauser Municipality

    Draft Budget 2021/22 for Dannhauser Municipality

    The Council of Dannhauser Municipality met on 30 March 2021 and table the Draft Annual budget. The following policies will be tabled on the Special Council Meeting
    • Customer Care, Credit Control and Debt Collection Policy and By-law.
    • Property Rates Policy and By-law;
    • Tariff Policy and By-law,
    • Unauthorized, Irregular and Fruitless and Wasteful Expenditure Policy.
    • Indigent Policy.
    • Virement Policy.
    • Cash Management and Investment Policy.
    • Travel & Subsistence Policy.
    • Supply Chain Management Policy.
    • Asset Management Policy.
    • Funding Borrowing & Reserve Policy.
    • Liquidity Policy

    The council shall approve the draft annual budget for the financial 2021/22 year and indicative outer years 2022/23 and 2023/24
    (i) Capital expenditure by project;
    (ii) Capital funding by source.
    ( iii) Operating revenue by source as contained in Table A4 of the report;
    ( iv) Operating expenditure by type as contained in Table A4 of the report
    (V) Council approve tariffs for 2021/22

    Executive Summary

    The budget was confronted by numerous challenges. It remains a complex task balancing the needs of the community with limited resources whilst having to operate within the legislative framework determined by the various spheres of government in ensuring a credible, funded budget is implemented.

    A Credible Budget

    The municipality need to ensure that it prepares the realistic budget, balancing the revenue with expenditure. Furthermore, draft budgets tabled for consultation at least 90 days prior to the start of the budget year should already be credible and close to the final approved budget

    Revenue

    The projected revenue is R 181 million, 72% of the revenue comes from grants. This means that the municipality is a grant dependant municipality. The services only increased by 4.6 %, which is within inflation rate.

    The following services also increased by 4.6 %
    • Hiring of Halls
    • Refuse Removal
    • Sale of Tender Documents
    • Plan Fees
    • Taxi Rank Fees
    • Cemetery Fees
    • Library Fees

    Expenditure

    Total projected expenditure amount R 207 million, 32% of expenditure will go to services delivery, while 9 % is budgeted for maintenance of constructed infrastructure. Soft projects will be on 26 % of General Expenses.