City of Joburg gets Friday deadline to table overdue budget

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Gauteng MEC for cooperative governance Lebogang Maile said: 'The failure to pass the budget means that the municipality can’t spend any monies until such time that it has approved the budget'.

Gauteng MEC for cooperative governance Lebogang Maile. Picture: Itumeleng English / African News Agency

In terms of the Municipal Finance Management Act of 2003 , a council must approve an annual budget for a municipality before the start of its financial year on 1 July. The budget was not voted for or approved in the council, which has yet to sit. Exco also directed that until the budget was approved, the municipality must comply with MFMA section 26 and , as amended, authorising the MEC for finance to approve expenditure.

Section 139 of the constitution of the Republic of South Africa Act No 108 of 1996, as amended, compels the relevant provincial executive council to intervene by taking any appropriate steps to ensure the budget or revenue-raising measures are approved.

 

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