Clock ticking on R1.27-billion in flood damage funding
KDM said they expected 350 of the 400 projects to be complete at month end.
R320-million in funding for crucial North Coast infrastructure may not lapse as previously feared.
This represents the projected unspent portion of R1.27-billion in flood repair funding allocated to KwaDukuza for repairs to roads, bridges and stormwater infrastructure.
It was previously believed that any funds left unspent by the KwaDukuza municipality (KDM) at the end of the current financial year would be returned to national Treasury.
“Council should note there is a high risk for the municipality being instructed to return or surrender unspent funding by end-June 2024 as there is no legal basis to roll over funds more than once,” reads a council item prepared by community services executive director, Siyabonga Khanyile, in February.
KDM is now confident, however, that another rollover will be allowed and that there is breathing room with regards to when projects can be completed.
“The rollover can’t be done until the end of the financial year. The municipality has 60 days, ie. until 31 August to submit their rollover application,” said KDM spokesperson, Simphiwe Magagula.
“The projects will continue to be implemented until we are informed by Treasury of the rollover decision.”
“There is a condition that says the municipality can continue until a communication from national treasury is received by the municipality.”
Magagula said initial engagements with Treasury had begun and that KDM was confident a rollover would be approved.
KDM said they expected 350 of the 400 projects earmarked for flood repair funding to be finished at month end.
The remaining 50 projects will fall within the R320-million in unspent funding.
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