Revenue By Source Chart
8.2.5 Free basic services and indigent support
MLM provides free basic services to in the form of Solar, Electricity (ESKOM and Municipality and Rates and refuse.
Indigent households receive the services in terms of the policy adopted by the council The objective of Indigent Support Policy is to ensure the following:
-The provision of basic services to the community in a sustainable manner, within the financial and administrative capacity of the Council; and,
- to provide procedure and guidelines for subsidizing of basic provisions received from provincial and national Government, according to prescribed National guidelines.
The Council also recognizes that there may be residents simply not able to afford the cost of full provision and for this reason the Council will endeavor to ensure affordability through:
Settings tariffs in terms of the Council Tariff Policy; which will balance the economic viability of continued service delivery; and Determining appropriate service levels.
The indigent register for approved beneficiaries for all wards is available indicating all the beneficiaries receiving benefits.
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Applications for indigent subsidy are distributed before the start of the financial year with the aim of updating the register. The application period is not closed in a specific period and as a result the indigent register is updated as and when there are new applications that have been approved. Indigent subsidy is budgeted for in each financial year.
Indigent steering committee is not yet formulated. Updated registers are sent to ANDM for inclusion in the district registers. The registers are also sent as and when required by the district municipality.
197 8.2.6 Policies
The following are finance and budget related policies have been reviewed for the 2020/21 budget.
Name of policy Brief description Reviewed
Cash management policy Guidance on effective management of municipal resources Yes Tariff policy Tariffs must be uniformly and fairly applied throughout the
municipal region.
Yes
Rates policy To ensure certainty and clarity as to amounts payable in respect of property rates
Yes
Payment policy To describe the process to be followed regarding payment of invoices from creditors.
Yes
Unclaimed deposits policy To provide a framework on how to deal with unknown or unclaimed monies in the municipal bank account.
Yes
Customer care To define a manageable customer care framework to ensure loyalty and participation of consumers into the objectives of the municipality
Yes
Cash shortage policy To describe the steps to be taken when there is a cash shortage subsequent to a cashing up procedure at any cash taking point of the municipality.
Yes
Customer incentive policy Provide a framework for attracting industrial development to the municipal area by offering financial incentives.
Yes
Strategy to improve debt Guidance on steps and strategies to maximize and enhance the available revenue.
Yes
Debt capacity policy Define the circumstances under which the municipality can incur debt.
Yes
Strategy to improve debt Guidance on steps and strategies to maximize and enhance the available revenue.
Yes
Debt capacity policy Define the circumstances under which the municipality can incur debt.
Yes
Credit control and debt collection policy
Guidance on the steps to follow for collecting amounts due to the municipality
Yes
Indigent policy The provision of basic services to the community in a sustainable manner within the financial and administrative capacity of the Council;
Yes
Budget Virements Policy To provide the guidelines to be followed, to effect Virements of approved budgeted expenditure during the course of a financial year.
Yes
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Budget Policy To set out the budgeting principles which the municipality will follow in preparing each annual budget, as well as the responsibilities of the Chief Financial Officer in compiling such budget.
No changes
Banking and Investment policy
The Council of the municipality is the trustee of the public revenues which it collects, and it therefore has an obligation to the community to ensure that the municipality’s cash resources are managed effectively and efficiently.
No changes
Donor Finance Policy The objective of the policy is to provide guidance to the management team of the municipality on the actions required to attract donor finance, grants and donations from Government and the private sector, for projects identified by the municipality.
No changes
Supply chain Management Policy
Section 12 (1) Range of Procurements (Requisition approval )
Yes
Section 22 (4) Public Invitation for Competitive bids Add: Section 59 LOCAL ECONOMIC DEVELOPMENT Fleet Management Policy Add: Section 23 Vehicle replacement
Credit control and debt collection policy
Guidance on the steps to follow for collecting amounts due to the municipality
Yes
Amended Indigent policy 2020/21
The provision of basic services to the community in a sustainable manner within the financial and administrative capacity of the Council;
Yes
Cash management policy Guidance on effective management of municipal resources Yes Tariff policy Tariffs must be uniformly and fairly applied throughout the
municipal region.
yes
Rates policy To ensure certainty and clarity as to amounts payable in respect of property rates
Yes
Payment policy To describe the process to be followed regarding payment of invoices from creditors.
Yes
Unclaimed deposits policy To provide a framework on how to deal with unknown or unclaimed monies in the municipal bank account.
Yes
Customer care To define a manageable customer care framework to ensure loyalty and participation of consumers into the objectives of the municipality
Yes
Cash shortage policy To describe the steps to be taken when there is a cash shortage subsequent to a cashing up procedure at any cash taking point of the municipality.
Yes
Customer incentive policy Provide a framework for attracting industrial development to the municipal area by offering financial incentives.
Yes
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Strategy to improve debt Guidance on steps and strategies to maximize and enhance the available revenue.
Yes
Debt capacity policy define the circumstances under which the municipality can incur debt.
Yes
Policy for debt impairment and write off
To give guideline on the basis of calculating impairment of debtors and how debt should be written off
Yes
1. Accounting Policy The annual financial statements are prepared in accordance with the standards of Generally Recognised Accounting Practise (GRAP).
2. GRAP Framework The objective of the policy is to define the practical implementation of Generally Recognised Accounting Practice at the municipality.
3. Fixed Assets Management To provide direction for the management, accounting and control of Fixed Assets owned or controlled by the Municipality, in accordance with applicable legislation and best practices developed.