Cost containment measures to curb Polokwane Municipality’s expenses

National Treasury’s Municipal Cost Containment Regulations that was promulgated on 7 June will result in drastic decreases in the spending patterns of Polokwane Municipality.
The regulations are already in force and the municipality now has to develop and annually revise its own policy in line with the regulations after a public participation exercise was followed.
In terms of the regulations, vehicles procured for the use of political office bearers may in future not exceed R700 000 (Vat inclusive) or 70% of the politician’s annual remuneration package, whichever is lower.
The procurement of vehicles must be undertaken using government’s transversal contract unless the vehicle can be purchased at a lower cost using other procurement mechanisms.
For air travel, officials and politicians must travel economy class for trips not exceeding five hours and may use business class for trips exceeding five hours. Overnight accommodation may only be utilised if the return trip exceeds 500 kilometres.
Catering expenses may only be incurred for meetings and other gatherings exceeding five hours and delegations to conferences and events may not exceed three persons.
For local events, provincial and municipal facilities should as far as possible be utilised for events.

Story: BARRY VILJOEN
>>barryv.observer@gmail.com