NELSPRUIT – Mbombela Municipality’s adjustment budget was tabled to council during its first ordinary meeting of the year yesterday.
When the mid-year budget report showed that the year’s budget was underspent in the first half of the financial year, the adjustment was recommended by the acting municipal manager, Mr Sello Ditshego.
In the report, it was recommended that austerity measures be implemented to effect a turnaround of the municipality’s financial situation, which had been exacerbated by forfeiting R127 million in unspent conditional grants.
However, also brought to council’s attention yesterday was a letter from National Treasury, informing council that due to the municipality’s underspending so far, it will forfeit the remaining R115,2 million outstanding in its municipal infrastructure grant payment for the year.
It was noted that this would not affect the payment of its grant in the next financial year.
The motion tabled to compel Cllr Cathy Dlamini, executive mayor, to request intervention into Mbombela’s affairs was also defeated.
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