Treasury orders Endumeni to pass budget by Monday
KwaZulu-Natal Treasury has ordered Endumeni to adopt a sustainable budget or face provincial intervention.
The KwaZulu-Natal Finance MEC, Francois Rodgers, has instructed the Endumeni Local Municipality to adopt its 2026/27 budget by Monday, July 13, after councillors failed to approve it before the start of the new financial year (July 1).
The directive follows the council’s failure to adopt the budget at its June 30 meeting, leaving the municipality without an approved budget as required by law.
The budget was rejected by DA and ANC councillors for being ‘unfunded’ and not ‘service delivery driven’ while the IFP accepted the budget, resulting in the motion being defeated seven votes to six on three occasions.
The lack of a budget has resulted in the municipality being unable to provide the monthly 100 free units of electricity to the indigent and put a stop to other intended projects, including the R300 000 earmarked for next week’s Dundee July horse riding event.
Deadline set for council
In a directive addressed to Mayor Councillor Mcebo Mkhize, Rodgers reminded the municipality of its constitutional and legislative obligations to pass a credible and funded budget.
He warned that failure to meet the July 13 deadline could result in the KwaZulu-Natal Provincial Executive Council invoking Section 139(4) of the Constitution if all other interventions have been exhausted.
Should this happen, the municipal council could be dissolved and an administrator appointed to take over the municipality’s affairs.
“The approval of a credible and funded budget is a legal obligation and is essential to safeguarding service delivery,” Rodgers said.
“Endumeni has been advised in no uncertain terms that it must adopt a sustainable budget within the prescribed timeframe. Our objective remains to support the municipality in restoring financial stability while protecting the interests of residents.”
Treasury offers support
Rodgers said the KwaZulu-Natal Treasury would continue working with Mayor Mkhize, the municipal council and the administration to ensure that a credible budget is approved.
According to the Treasury, the intervention is aimed at restoring sound financial governance and placing the municipality on a sustainable footing to protect essential services for the residents of Endumeni.
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