Draft Budget Part 10: Behind the numbers and the process
In part 10, the focus shifts to the annual budget process. Guided by Section 53 of the Municipal Finance Management Act.
Krugersdorp — Part 10 of simplifying the Mogale City Local Municipality’s (MCLM) recent Medium-Term Revenue and Expenditure Framework (MTREF), or the draft budget, provides an overview of the annual budget process.
The draft budget cites that the annual budget process is guided by Section 53 of the Municipal Finance Management Act, which requires the executive mayor to lead by providing political direction and setting key priorities for the municipality.
It continues, in line with this, the Municipal Budget and Reporting Regulations mandate that the executive mayor establish a Budget Steering Committee.
ALSO READ: Mogale City’s Draft Budget (Part 9): The municipality’s obligations
This committee, chaired by the mayor and made up of the municipal manager and senior municipal officials, plays a crucial role in supporting the mayor’s responsibilities.
It states that the main objectives of the committee are to ensure that the budget process complies with legal requirements and follows sound financial practices, to align the budget with the town’s development goals and service delivery plans while maintaining financial sustainability, to ensure adequate cash flow through effective revenue and tariff strategies, and to fairly evaluate and prioritise the spending needs of various departments.
