kougademocrat

The 2016/17 adjustment budget was passed without a hitch by the Kouga Council yesterday morning.

A municipal budget has to be adjusted if revenue and expenditure estimates change and to correct any errors in the annual budget.

The total adjustment budget amounts to R 764 million, of which R 695 million is for the operating budget and R 68 million for the capital budget.

The big increase of R 14 million in expenditure has been budgeted for by the Municipality. This is to cater for bulk water purchases from the Nelson Mandela Bay Metro, in line with current billing trends.

Total expenditure amounts to R 695 million in the adjustment budget compared to the original budget of R 686 million.

There has been a net increase in expenditure of R 9 million due to a decrease in staff costs of R 3,8 million and a decrease of R 2,8 million in repairs and maintenance (which was transferred to the capital budget).

The adjustment budget makes provision for a R 2,2 million increase in revenue – representing 0,35 % of the total budget.

In her State of the Municipality address yesterday, Mayor Elza Van Lingen said that the cash flow of the Kouga Municipality remains constrained but that the Municipality is a going concern and in no danger of bankruptcy.

Tags: Kouga Adjustment budget

This entry was posted on February 28, 2017 at 1:57 pm and is filed under kouga municipality. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.