Msunduzi cash flow crisis

2010-02-16 00:00

THE three-man team’s recovery plan will focus on the following:

• Revenue, with special emphasis on rates, water and electricity

• Expenditure

• Monitoring the functionality of, and reporting on, supply chain management

• Overseeing the recording and collection processes for all the municipality’s debtors

• Assuming responsibility for cash flow management and projections

• Recording and reporting on the payment of creditors and assuming responsibility for the documentation

•Any other requirement necessary to enhance the turnaround of the municipality’s financial position.

MSUNDUZI has to allow the support team to:

• Reconcile and/or review selected areas of expenditure, revenue and supply chain management as a first priority and thereafter review other area­s of financial management

• Conduct a due diligence of the budget and further assess the financial position of the municipality

• Freeze all expenditure and authorise only essential expenditure approved by an expenditure committee comprising the support team members and the accounting officer

• Review all current and recently awarded contracts

• Reschedule creditors as necessary

• Review all long-term loans

• Assume direct authority over any official at the municipality, including Section 57 employees where necessary

• Report and make recommendations directly to the executive committee (Exco) and the two MECs

• Approve all reports for consideration by Exco that have financial implications, before they appear on the agenda. No tabled reports that have financial implications will be considered by Exco without the recommendations of the support team

• Ensure implementation of resolutions 41 to 49 of the joint sitting of the finance and local government portfolio committees at hearings held in October 2009.

Join the conversation! encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions. publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Inside News24

Traffic Alerts
There are new stories on the homepage. Click here to see them.


Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire network.


Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.