Western Cape Government issues directive to Central Karoo District Municipality after failing to adopt new budget

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Anton Bredell. (Photo Malherbe Nienaber)
Anton Bredell. (Photo Malherbe Nienaber)
  • The Western Government has issued a directive to the council of the Central Karoo District Municipality.
  • This was after the Central Karoo District Municipality failed to table the 2021/22 budget in time.
  • The municipality has been given until 30 July to adopt a new budget for the financial year or further steps will be taken.

The Western Cape Provincial Government has issued a directive to the council of the Central Karoo District Municipality (CKD) for the purposes of the 2021/2022 budget.

It comes after the council missed the legislated cut-off date of 30 June to adopt a budget and the Provincial Executive resolved to issue the directive in terms of its legislated duty.

The Provincial MEC of Local Government, Environmental Affairs and Development Planning, Anton Bredell and Provincial MEC of Finance and Economic Opportunities, David Maynier threatened to take formal action against the municipality last week.

"The municipality was advised and urged to table the budget but it was to no avail and accordingly the provincial government has no option but to step in at this point. The necessary paperwork has been sent to the council this afternoon," Bredell said.

READ | Western Cape govt steps in after two municipalities fail to adopt budgets for new financial year

Bredell said the municipality was cautioned on the consequences of the failure to table and adopt an annual budget timeously, including that such a failure would undermine the spirit of the Municipality's accountability to the community.

"Failing to table a budget in time also contravenes a council’s duties and responsibilities in terms of the Constitution and relevant legislation," he added

According to the directive issued
  • The Speaker of the CKD Council urgently call and convene a properly constituted Special Council meeting (s) on or before 12 July 2021, of duly elected representatives of the CKD Council, for the purposes of tabling the 2021/2022 Budget;
  • The CKD Council to continue meeting every 24 hours until the 2021/2022 Budget has been tabled, which tabling must take place on or before 16 July 2021;
  • All duly elected councillors of the CKD Council to attend and remain in attendance at any and all meetings of the CDK Council, called and convened by the Speaker for the purposes of tabling the 2021/2022 Budget;
  • After the 2021/2022 Budget is tabled, the Speaker to call and convene a properly constituted Special Council meeting / properly constituted Special Council meetings on or before 26 July 2021, of duly elected representatives of the CKD Council, for consideration and approval of the 2021/2022 final Budget;
  •   The CKD Council to continue meeting every 24 hours until the 2021/2022 Budget has been approved, which must take place on or before 30 July 2021; and
  • All duly elected councillors of the CKD Council to attend and remain in attendance at any and all meetings of the CDK Council, called and convened by the Speaker for the purposes of approving the 2021/2022 Budget;

Should the 2021/2022 budget not be tabled on or before 16 July, or the 2021/2022 Budget not be considered and adopted by 30 July, a further recommendation would be made by the provincial executive on further steps to be taken.

These include the possibility of dissolving the CKD Council.

Until the budget is approved, the Municipality was prohibited from making any withdrawals from its bank accounts without the prior approval of Maynier.

Maynier said: "As indicated in my statement on 01 July 2021, due to the failure of the Central Karoo District Municipality to adopt a budget by 01 July 2021, the Provincial Treasury has invoked the provisions of section 26 of the MFMA and no funds may be withdrawn from the bank accounts of the municipality without my prior approval. It should be noted that the Kannaland municipality has, subsequent to 01 July 2021, successfully adopted a budget and our intervention in Kannaland on that basis has therefore been stopped."

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