Editor: Although our new Mayor needs to get new batteries for his calculator – see Editors Note at the bottom of this article.
The Nelson Mandela Bay Municipality’s R19,1 billion 2023-24 Capital and Operating budgets received a clean bill of health from National Treasury and a unanimous thumbs-up from all political parties represented in Council. The last time all political parties voted in favour of the institution’s budget was in 2013.
Member of the Mayoral Committee for Budget and Treasury Buyelwa Mafaya said the budget is cash-backed and in compliance with section 18 of the Municipal Finance Management Act (MFMA).
“I am also pleased that National Treasury assessed our financial position and determined that it is sound,” MMC Mafaya said.
The operating budget is R17,2 billion and the capital budget is R1,9 billion, with the cash holding currently at R4,8 billion. This will decrease to R3,5 billion in the 2025/26 financial year.
Chief Financial Officer Selwyn Thys said the reduction of the municipal operating expenditure is a crucial matter that must be addressed.
“Over the next three years we need to work towards a surplus budget. This is critical to address our aging infrastructure that requires a cash injection to fast-track the replacement of old infrastructure,” Thys said.
While tabling the budget, Executive Mayor Gary van Niekerk said the budget is based on an 80% revenue collection rate and that it is critical to continue collecting revenue at this rate in order for the budget to remain fully funded. The revenue collection rate in May was 83%.
“As part of my first 100 days strategic plan, we will start the planning phase of implementing the municipal standard chart of accounts (mSCOA), a requisite that is long overdue. National Treasury has been very patient with the municipality regarding this. We therefore put R20 million aside to get a team with a proven track-record in place to ensure that we comply.
“I commit to address 100 illegal electricity connections, 375 LED streetlights will be installed, 4 500 water leaks repaired, 3 500 potholes filled and 32 000 kilometers of road painted.
“In addition, 600 close circuit television cameras will be installed to enable security surveillance and critical vacancies will be filled, amongst others,” Mayor Van Niekerk said.
The municipality’s disconnection/reconnection fee, a hot topic amongst political parties, was reduced with 25% from R417 to R313.
EDITOR: Let’s consider Maths Whizz Kid, Gary van Nielerk’s promises to fix streetlights and water leaks:
- The same pace of 375 Streetlights over 100 days will take the City around 80 months to fix only the current backlog.
- 4500 Water Leaks over 100 days will take the City backwards of the current backlog of 7500 leaks.
Are we going to have to lump you in the same remedial class as your new EFF friends leader’s performance at school, Gary?
NMB Communications
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