TZANEEN – THE Greater Tzaneen Municipality approved a preliminary budget of R1 billion for the 2015/2016 financial year last Tuesday.
The budget, which is still to undergo a public participation process, is R111 million more than the 2014/2015 financial year budget.
Mayor Dikeledi Mmetle said the increase was mainly due to the increase in service charges, and external grants from various spheres of government.
Mmetle said the total budget included an amount of R288 million which represented the equitable share allocation to the Greater Tzaneen Municipality.
An amount of R81,5 million would be levied by way of property tax and R485 million would be sourced from user charges.
The national allocation to fund operational activities amounted to R4,4 million, which included the Finance Management Grant of R1,6 million, the Municipal Systems Improvement Grant of R930 000 and the Expanded Public Works Programme Grant of R1,8 million.
R273 million of the budget would be set aside for salaries, R135 million for repairs and maintenance and R307 million for the purchase of bulk electricity and water.
In the coming financial year, the municipality would grant an amount of R5,5 million to the Greater Tzaneen Development Agency. The amount represented a decrease of R1 million on the 2014/2015 annual budget.
Mmetle said the coming financial year would see the Rita to Mariveni Road being upgraded from gravel to tar at a cost of R25,7 million.
The municipality budgeted R31,4 million for the Morutji to Maswi road to be upgraded from gravel to tar, and R22,9 million would be allocated for upgrading the Tickyline to Mafarana road.
The Relela community hall would receive an allocation of R9,2 million. The upgrading of Runnymede Cluster Sports Facility would cost R4,5 million and R4,5 million would be set aside for the project management unit.
The Mayor’s Special Account would receive R300 000 for the running of the mayoral office while an amount of R800 000 would be set aside for the Mayor’s Bursary Account.
“This bursary scheme has helped almost over 200 learners’ access tertiary education since its inception. We will continue to lobby for an increase in funding to reach even more previously disadvantaged youth of our municipality,” Mmetle said.
The leader of the DA in the municipality, René Pohl, said the official opposition supported the preliminary budget but was concerned about the low percentage allocated for repairs and maintenance, which was 17% of the total budget.
Pohl commended the finance department officials for working diligently to prepare the budget.
