Question NW1020 to the Minister of Finance
06 August 2020 - NW1020
Van Minnen, Ms BM to ask the Minister of Finance
(a) What is the quantum of the Financial Management Grant that is administered by the National Treasury to strengthen financial management capacity of the Lekwa-Teemane Local Municipality, (b) what is the time period of the specified grant, (c) how is the grant administered and (d) what safeguards are in place to ensure that the grant is properly spent?
Reply:
a) The quantum of the Financial Management Grant to Lekwa-Teemane Local Municipality amounted to R2 680 000 for the 2019/20 financial year, as published in the Division of Revenue Act.
b) This is a conditional grant and in terms of the framework covers a three-year period.
c) The grant is administered through transfers to the municipality, reports received from the municipality, and is in terms of their municipal support plan.
d) Section 12 of the Division of Revenue Act provides the checks and balances as well as the framework within which the grant is implemented. It also stipulates the roles and responsibility of the receiving officer. Municipalities submit to regular reports on spending, which are aligned to their support plans.The grant is audited by the Office of the Auditor-General.