PREVIEW: Crunching the numbers on municipal finances
With the state of municipal finances in the headlines, municipal leadership is taking steps to turn the situation around.
Experts believe they are not overstating the seriousness of the current municipal finances.
Even turning the situation around is expected to take many years.
IFP councillor, Dr Koos Vorster has compared statements, reports and reviews to reinforce his belief that Newcastle Municipality is in a financial crisis.
ALSO READ: PREVIEW: Newcastle Municipality one of KZN’s worst for 2017
“A big issue is unauthorised, fruitless and wasteful expenditure but the legislation was never implemented.”
Problems are said to have started during the 2015/2016 financial year.
According to Mayor, Makhosini Nkosi the Budget was based on loans, which were then turned down.
This resulted in equitable shares from the 2016/2017 year being used instead.
Another of the burning questions asked by those in the know, is whether municipal finances warranted Newcastle Municipality being placed under administration.
This would entail executive control being given over to provincial government.
For the full story on municipal finances, read this week’s Newcastle Advertiser.
The latest edition is on shelves from Thursday onward.
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You can also email our offices; Reveshni Douglas at reveshni@caxton.co.za – Bruce Douglas at Newed2@caxton.co.za – Tersia Gopi at newed@caxton.co.za – Zianne Leibrandt at ncschools@caxton.co.za and F.C. Pelser on sam@caxton.co.za
