Monthly Budget Statement January 2015

Transcription

1 SWELLENDAM MUNICIPALITY PAGE 1 SWELLENDAM MUNICIPALITY In-Year Report Prepared in terms of the Local Government: Municipal Finance Management Act (56/2003): Municipal and Reporting Regulations, Government Gazette 32141, 17 April Monthly Statement January

2 SWELLENDAM MUNICIPALITY PAGE 2 Table of Contents Glossary... 3 PART 1 IN-YEAR REPORT... 5 Section 1 Mayor s Report... 5 Section 2 - Resolutions... 6 Section 3 Executive Summary... 7 Section 4 In-year budget statement tables PART 2 SUPPORTING DOCUMENTATION Section 5 Debtors' analysis Section 6 Creditors' analysis Section 7 Investment portfolio analysis Section 8 Allocation and grant receipts and expenditure Section 9 Capital programme performance... 33

3 SWELLENDAM MUNICIPALITY PAGE 3 Glossary Adjustments budget Prescribed in section 28 of the MFMA. The formal means by which a municipality January revise its annual budget during the year. Allocations Money received from Provincial or National Government or other municipalities. The financial plan of the Swellendam Municipality. related policy Policy of the municipality affecting or affected by the budget, examples include tariff policy, rates policy, credit control and debt collection policy. Capital expenditure - Spending on assets such as land, buildings and machinery. Any capital expenditure must be reflected as a non-current asset on the Municipality s balance sheet. Cash flow statement A statement including only actual receipts and expenditure by the Municipality. Cash payments and receipts do not always coincide with budgeted timings. For example, when an invoice is received by the Municipality it is shown as expenditure in the month it is received, even though it January not be paid in the same period. The same principle applies with the cash receipts. The Municipality recognises the revenue on date of billing whilst payment January not appear in the same period; the receipt is recognised at date of receipt. DORA Division of Revenue Act. Annual legislation that shows the total allocations made by national to provincial and local government. Equitable Share A general grant paid to Municipalities. It is predominantly targeted to help with free basic services. Fruitless and wasteful expenditure Expenditure that was made in vain and would have been avoided had reasonable care been exercised. GFS Government Finance Statistics. An internationally recognised classification system that facilitates like for like comparison between Municipalities. GRAP Generally Recognised Accounting Practice. The new standard for municipal accounting. IDP Integrated Development Plan. The main strategic planning document of the Municipality MBRR Local Government: Municipal Finance Management Act (56/2003): Municipal budget and reporting regulations. MFMA Local Government: Municipal Finance Management Act (56/2003). The principle piece of legislation relating to municipal financial management.

4 SWELLENDAM MUNICIPALITY PAGE 4 Sometimes referred to as the Act. MTREF Medium Term Revenue and Expenditure Framework. A medium term financial plan, usually 3 years, based on a fixed first year and indicative further two years budget allocations. Also includes details of the previous and current years financial position. Operating expenditure Spending on the day to day operations of the Municipality such as salaries and wages and general expenses. Rates Local Government tax levied in terms of the Local Government: Municipal Property Rates Act; Act 6 of The tax is based on the assessed market value of a property. To determine the rates payable, the assessed rateable value is multiplied by the rate in the rand. SDBIP Service Delivery and Implementation Plan. A detailed plan comprising quarterly performance targets and monthly budget estimates. Strategic objectives The main priorities of the Swellendam Municipality as set out in the IDP. ed spending must contribute towards the achievement of the strategic objectives. Unauthorised expenditure Generally, is spending without, or in excess of, an approved budget. Virement A transfer of budget. Virement policy - The policy that sets out the rules for budget transfers. Virements are normally allowed within a vote. Transfers between votes must be agreed by Council through an Adjustments. Vote One of the main segments into which a budget of a municipality is divided for the appropriation of money for the different departments of the municipality. In Swellendam Municipality this means at directorate level. The votes for Swellendam therefore are: Municipal Manager; Corporate Services; Financial Services; Engineers Services; and Community Services

5 SWELLENDAM MUNICIPALITY PAGE 5 PART 1 IN-YEAR REPORT Section 1 Mayor s Report 1.1 In-Year Report - Monthly Statement Implementation of budget in terms of SDBIP No comments apart from that already mentioned in the Executive summary of this report Other information Additional clarity on the content of this report or answers to any questions is available from the Chief Financial Officer.

6 SWELLENDAM MUNICIPALITY PAGE 6 Section 2 - Resolutions Recommended resolution to Council with regard to January inyear report is: RESOLVED (a) That the Council take note of contents in the in-year monthly report for January as set out in the schedules contained in Section 4: a. Table C1 Monthly Statement Summary; b. Table C2 Monthly Statement Financial Performance (Standard classification); c. Table C3 Monthly Statement Financial Performance Standard classification (Revenue and expenditure by Municipal Vote) d. Table C4 Monthly Statement Financial Performance (Revenue by Source and Expenditure by Type) e. Table C5 Monthly Statement Capital Expenditure; f. Table C6 Monthly statement Financial Position; and g. Table C7 Monthly statement Cash Flows. (b) Any other resolutions required by the Council.

7 SWELLENDAM MUNICIPALITY PAGE 7 Section 3 Executive Summary 3.1 Introduction All the 2013/14 Audited outcomes columns reflect the amounts as per financial system. The Annual Financial Statements for 2013/14 has been finalised. The audit of the AFS will influence the audited outcomes and the opening balances. This will happen until after the audit report is finalised for 2013/ Financial Performance; Position and Cash flow Section 4 of this report includes the tables with the detail figures Financial Performance The detail of this section can be found in Section 4 of this report Table C2 (Summary per GFS); Table C3 (Summary per Municipal Vote) and Table C4 (Summary by Revenue Source and Expenditure Type). The latter is used to provide the executive summary The following table summarises the overall position on the capital and operating budgets. Take note that the Operating Expenditure only reflects the direct expenditure and exclude all indirect expenditure e.g. Administrative Costs. Capital Operating Operating Expenditure Income Expenditure R'000 R'000 R'000 Original Adjustment Plan to Date (SDBIP) Actual

8 SWELLENDAM MUNICIPALITY PAGE Revenue by Source The figures represented in this section are the accrued amounts and not actual cash receipts; in other words the amounts billed for property rates; service charges and interest as it become due. The total revenue excluding capital transfers and contributions for the month of January is R million. The year to date billed revenue is R million versus the year to date budgeted amount of R million which represents a variance of 13%. The comparisons of the major sources of revenue (Property rates and service charges) are illustrated in the figures 1 5 Figure 1 Property rates The Property rates are levied on an annual basis during January of each year. It is expected that there will only be minor changes to the year-to-date amount.

9 SWELLENDAM MUNICIPALITY PAGE 9 Figure 2 Electricity service charges The amount raised as reflected for the actual year to date represents 49.36% of the budget amount. During this time of the year electricity usage are fairly minimal but will increase as we approach the winter and will come in line with the year to date budget. The variance will be addressed in the adjustment budget. Figure 3 Water service charges The amount raised as reflected for the actual year to date represents 55.76% of the budget amount. The summer months ahead will lead to an increase of water consumption, based on past trends. Figure 4 Sanitation service charges

10 SWELLENDAM MUNICIPALITY PAGE 10 The amount raised as reflected for the actual year to date represents 52.42% of the budget amount. The sanitation levies are also a very stable stream of accruals. Figure 5 Refuse removal service charges The amount raised as reflected for the actual year to date represents % of the budget amount. The refuse removal levies is also a very stable stream of accruals. The other sources of revenue that have material variances in rand value are: Interest earned outstanding debtors (IEOD) The budget amount for IEOD is R1.300 million whilst the year to date budget based on history is also R.758 million whilst the year to date actual revenue is R.255 million. The credit control function is being outsourced. They have certain measures in place to collect outstanding debt and in this case interest on outstanding debt Operating Expenditure by Type The figures in this section should represent the accrued amounts; in other words when the goods have been ordered; received or the invoice has been completed (reconciled with goods received and prices quoted) it should be captured as an expense. Shadow figures are reflected on the financial system once an order is issued. This action serves as a budgetary control mechanism and no actual financial entries are passed. These figures cannot be used for reporting purposes. The amounts included as expenditure are currently only those for which a payments run has been completed. The total expenditure amounts to R million while the monthly actual amounts to R million. The year to date budget is R million which represents an under spending of 10% for the year.

11 SWELLENDAM MUNICIPALITY PAGE 11 The sources of expenditure that have material variances in rand value are: Employee related cost The budget for employee related is R million of which only R million has been expended and represents 50% of the budget amount. Variances are due to vacant positions that are not filled. Debt Impairment The budget for debt impairment is R million of which no expenditure occurred to date, uncertain whether debt will be written off; this decision will be made by council. Depreciation and Asset Impairment The budget for Depreciation and Asset Impairment is R million of which R4.287 million occurred to date. This expenditure only occurs on a quarterly basis and will be in line at the end of each quarter. Finance charges The budget for finance charges is R million of which R million has been expended and represents 31.1% of the budget amount. The main reason for this adverse variance is due to the fact that finance chargers includes post retirement fund and long service awards, and the finance charges on these two items are done on at the end of financial year. Other materials The budget for other materials is R million of which R.439 million has been expended and represents 29% of the budget amount. Expenditure will come in line during the year. Transfer and grants The budget for Transfer and grants is R million of which R.705 million occurred to date. The main reason for this adverse variance is due to the fact that one of the grants is paid quarterly.

12 SWELLENDAM MUNICIPALITY PAGE Operating Expenditure by Municipal Vote Original Adjusted Monthly actual YearTD actual YearTD budget variance MUNICIPAL MANAGER CORPORATE SERVICES FINANCIAL SERVICES ENGINEERS SERVICE COMMUNITY SERVICES Total Figure 7 Breakdown Operating Expenditure by Municipal Vote Municipal Manager The budget for Municipal Manager is R million of which R3.552 million has been expended and represents 48% of the budget amount.

13 SWELLENDAM MUNICIPALITY PAGE 13 Figure 8 Breakdown Operating Expenditure by Municipal Vote Corporate Services The budget for Corporate Services is R million of which R million has been expended and represents 41% of the budget amount. Figure 9 Breakdown Operating Expenditure by Municipal Vote Financial Services The budget for Financial Services is R million of which R million has been expended and represents 66% of the budget amount. Figure 10 Breakdown Operating Expenditure by Municipal Vote Engineers Service The budget for Engineers Service is R million of which R million has been expended and represents 46% of the budget amount.

14 SWELLENDAM MUNICIPALITY PAGE 14 Figure 11 Breakdown Operating Expenditure by Municipal Vote Community Services The budget for Community Service is R million of which R million has been expended and represents 65% of the budget amount Capital Expenditure The capital spending for the month of January amounts to R.724 million. The budget for Capital Expenditure is R million of which R million has been expended and represents 34% of the budget amount. The loan agreement was finalized in January. The reason for the low capital spending is that the Municipality is in the process to finalize the Supply Chain procedures. Source of Finance Original R'000 Adjustment R'000 Year to date R'000 National Government Provincal Government Borrowing Total

15 SWELLENDAM MUNICIPALITY PAGE Financial Position The breakdown of the financial position can be seen below: Current Assets Cash The actual total cash available as 31 January amounts to R Consumer debtors The value of the consumer debtors is R inclusive of provision for bad debt Non-Current Assets The non-current assets amount to R Current Liabilities Swellendam Municipality does not make use of an overdraft facility and the short term portion of long-term liabilities (Borrowings) has not been kept in a separate account. Consumer deposits The value of consumer deposits amounts to R Trade and other payables The trade and other payable amount of million Breakdown Prior year Year to date Balances Balances Payments received in advance Salary control Trade payables Un-identified deposits Other payables Unspent conditional grants Total

16 SWELLENDAM MUNICIPALITY PAGE 16 Trade payables The trade payables account is actually in a credit balance in the general ledger. This comprises invoices processed but not paid yet. Un-identified deposits Payments deposited into the municipality s bank account that cannot be identified are receipted in the unidentified deposit suspense account. The year-to-date figure however decreased. The allocation once known; will most definitely influence the consumer debtor Non-current Liabilities The value of non-current liabilities is unchanged due the non-passing of the short term entries. This together with the already mentioned entries for the provisions will ensure that the correct in-year amounts are reflected on the financial position Liquidity Ratio Current ratio Total current assets Total current liabilities This measure estimates whether the municipality can pay debts due within one year from assets that it expects to turn into cash within that year. A ratio of less than one is often a cause for concern, particularly if it persists for any length of time. The ratio is greater than one and the municipality will be able to overcome their short term debt Stability Ratio Gearing ratio Borrowing Net Assets % Gearing measures the proportion of assets invested in the municipality that are financed by borrowing. The higher the level of borrowing the higher are the risks to the municipality, since the payment of interest and repayment of debts are not "optional" in the same way as dividends. If the financial leverage ratio of a company is higher than 100%, it indicates financial weakness. The municipality is in a good position as can be seen by the low 17%.

17 SWELLENDAM MUNICIPALITY PAGE Cash Flow The detail of this section can be found in Section 4 of this report Table C7 (Financial Position). The balance at the end of the period for the cash flow statement is amounts to R m.

18 SWELLENDAM MUNICIPALITY PAGE 18 Section 4 In-year budget statement table 4.1 Monthly budget statements Table C1: Monthly Statement Summary This table provide a summary of the most important information by pulling its information from the other tables to follow. WC034 Swellendam - Table C1 Consolidated Monthly Statement Summary - M07 January 2013/14 Audited Original Adjusted Monthly Outcome actual actual budget variance variance R thousands % Financial Performance YearTD YearTD Full Year Forecast Property rates (60) % Service charges (6 652) -12% Inv estment rev enue % Transfers recognised - operational % Other own revenue % Total Revenue (excluding capital transfers % and contributions) Employee costs (5 682) -15% Remuneration of Councillors (195) -9% Depreciation & asset impairment (930) -18% Finance charges (1 668) -47% Materials and bulk purchases (2 709) -11% Transfers and grants (281) Other expenditure % Total Expenditure (11 295) -10% Surplus/(Deficit) (2 049) (10 463) (10 411) (1 317) (6 073) % (6 699) Transfers recognised - capital (1 486) (4 620) -28% Contributions & Contributed assets Surplus/(Deficit) after capital transfers & contributions (2 803) % Share of surplus/ (deficit) of associate Surplus/ (Deficit) for the year (2 803) % Capital expenditure & funds sources Capital expenditure % Capital transfers recognised (4 487) -27% 50 Public contributions & donations Borrowing (4 372) -97% Internally generated funds Total sources of capital funds (8 859) -42% Financial position Total current assets Total non current assets Total current liabilities Total non current liabilities Community wealth/equity Cash flows Net cash from (used) operating (4 533) -23% Net cash from (used) inv esting (29 429) (18 690) (18 690) (724) (4 044) (38 135) -112% (18 690) Net cash from (used) financing (1 700) (13 933) -99% (2 058) Cash/cash equivalents at the month/year end (61 896) -82% (8 296) Debtors & creditors analysis 0-30 Days Days Days Days Dys Dys Debtors Age Analysis Description 181 Dys- Over 1Yr 1 Yr Total By Income Source Creditors Age Analysis Year 2014/15 Total Creditors Total

19 SWELLENDAM MUNICIPALITY PAGE Table C2: Monthly Statement - Financial Performance (standard classification) WC034 Swellendam - Table C2 Consolidated Monthly Statement - Financial Performance (standard classification) - M07 January 2013/14 Year 2014/15 Description Ref Audited Outcome Original Adjusted Monthly actual YearTD actual YearTD budget variance variance Full Year Forecast R thousands 1 % Revenue - Standard Governance and administration % Executiv e and council (60) % and treasury office Corporate services (1 507) -40% Community and public safety % Community and social services % Sport and recreation % 5 Public safety Housing Health Economic and environmental services (1 037) (1 224) -6% Planning and development % 193 Road transport (1 043) (1 239) -6% Env ironmental protection Trading services (6 627) -12% Electricity (5 674) -15% Water (274) -4% Waste water management (816) -10% Waste management % Other 4 Total Revenue - Standard % Expenditure - Standard Governance and administration % Executiv e and council (3 568) -30% and treasury office Corporate services % Community and public safety % Community and social services % Sport and recreation (63) -54% 92 Public safety (169) -18% Housing Health Economic and environmental services (3 161) -19% Planning and development (389) -27% Road transport (2 771) -19% Env ironmental protection Trading services (9 521) -21% Electricity (5 404) -17% Water (2 046) -32% Waste water management (1 056) -25% Waste management (1 015) -30% Other (254) -32% 931 Total Expenditure - Standard (6 716) -6% Surplus/ (Deficit) for the year (2 803) % This table reflects the operating budget (Financial Performance) in the standard classifications which are the Government Finance Statistics Functions and Sub-functions. These are used by National Treasury to assist the compilation of national and international accounts for comparison purposes, regardless of the unique organisational structures used by the different institutions.

20 SWELLENDAM MUNICIPALITY PAGE Table C3: Monthly Statement - Financial WC034 Swellendam - Table C3 Consolidated Monthly Statement - Financial Performance (revenue and expenditure by municipal vote) - M07 Vote Description 2013/14 Audited Outcome Original Adjusted Monthly actual YearTD actual YearTD budget variance R thousands % Revenue by Vote 1 variance Full Year Forecast Vote 1 - Municipal Manager (33) -49.5% 43 Vote 2 - Corporate Serv ices (18) % Vote 3 - Finance Service (702) -26.8% Vote 4 - Engineers Serv ice (9 724) -14.2% Vote 5 - Community Serv ices % Vote 6 - [NAME OF VOTE 6] Vote 7 - [NAME OF VOTE 7] Vote 8 - [NAME OF VOTE 8] Vote 9 - [NAME OF VOTE 9] Vote 10 - [NAME OF VOTE 10] Vote 11 - [NAME OF VOTE 11] Vote 12 - [NAME OF VOTE 12] Vote 13 - [NAME OF VOTE 13] Vote 14 - [NAME OF VOTE 14] Vote 15 - [NAME OF VOTE 15] Total Revenue by Vote % Expenditure by Vote 1 Ref Year 2014/15 Vote 1 - Municipal Manager (762) -17.7% Vote 2 - Corporate Serv ices (4 176) -29.0% Vote 3 - Finance Serv ice % Vote 4 - Engineers Serv ice (11 081) -20.3% Vote 5 - Community Serv ices % Vote 6 - [NAME OF VOTE 6] Vote 7 - [NAME OF VOTE 7] Vote 8 - [NAME OF VOTE 8] Vote 9 - [NAME OF VOTE 9] Vote 10 - [NAME OF VOTE 10] Vote 11 - [NAME OF VOTE 11] Vote 12 - [NAME OF VOTE 12] Vote 13 - [NAME OF VOTE 13] Vote 14 - [NAME OF VOTE 14] Vote 15 - [NAME OF VOTE 15] Total Expenditure by Vote (11 296) -9.9% Surplus/ (Deficit) for the year (2 803) % The budget is approved by Council on the municipal vote level. The municipal votes reflect the organisational structure of the municipality. On the next paged; as part of Table C3; a table with the sub-votes is also prepared.

21 SWELLENDAM MUNICIPALITY PAGE Table C3C: Monthly Statement - Financial WC034 Swellendam - Table C3 Consolidated Monthly Statement - Financial Performance (revenue and expenditure by municipal vote) - A - M07 Janu Vote Description Ref 2013/14 Year 2014/15 R thousand Audited Original Adjusted Monthly YearTD YearTD Full Year variance variance Outcome actual actual budget Forecast % Revenue by Vote 1 Vote 1 - Municipal Manager (33) -49% Municipal Manager Tourism Local Economic Dev elopment IDP Rented Buildings (176) -265% 43 Vote 2 - Corporate Services (18) % Building Control % Council General (60) (1 805) -6% Corporate Services #DIV/0! Human Resources Meent Town Planning % Commonage Vote 3 - Finance Service (702) -27% Financial Services (351) -13% Stores Vote 4 - Engineers Service (9 724) -14% Electricity (5 676) -15% Engineers Services (1 658) (2 942) -17% Main Roads (12) -100% Office Buildings Sewerage (817) -10% Stormw ater Street Lights Streets (1) -14% Water % Workshop Fleet Vote 5 - Community Services % Caravan Park % Cemeteries % Community Services (1 733) -14% Library (324) -13% Parks Pound (0) -14% Refuse % Sports And Recreations % Traffic And Licensing % Total Revenue by Vote %

22 SWELLENDAM MUNICIPALITY PAGE 22 Expenditure by Vote 1 Vote 1 - Municipal Manager (762) -18% Municipal Manager (440) -13% Tourism (254) -32% Local Economic Development (33) -98% IDP (25) -69% Rented Buildings (9) -68% 7 Vote 2 - Corporate Services (4 176) -29% Building Control (0) -2% Corporate Services (112) -3% Council General (847) -10% Human Resources Meent Town Planning (92) -6% Commonage (24) -8% 35 Vote 3 - Finance Service % Financial Services % Stores (11) -100% Vote 4 - Engineers Service (11 081) -20% Electricity (5 404) -17% Engineers Services (799) -17% Main Roads (14) -100% Office Buildings (167) -69% Sewerage (1 071) -28% Stormwater % Street Lights (169) -18% Streets (1 299) -23% Water (2 031) -32% Workshop Fleet (142) -98% 4 Vote 5 - Community Services % Caravan Park (210) -29% Cemeteries (57) -69% Community Services % Library % Parks (756) -18% Pound (3) -47% Refuse (1 015) -30% Sports And Recreations (63) -54% Traffic And Licensing (530) -12% Total Expenditure by Vote (11 296) (0) Surplus/ (Deficit) for the year (2 803)

23 SWELLENDAM MUNICIPALITY PAGE Table C4: Monthly Statement - Financial Performance (revenue and expenditure) This table reflects the operating budget and actual figures of the financial performance. The revenue is specifically set out by source due to the fact that Council approves the revenue budget by source and the expenditure budget by vote. WC034 Swellendam - Table C4 Consolidated Monthly Statement - Financial Performance (revenue and expenditure) - M07 January 2013/14 Audited Outcome Original Adjusted Monthly actual YearTD actual YearTD budget variance R thousands % variance Full Year Revenue By Source Property rates (60) % Property rates - penalties & collection charges Service charges - electricity revenue (5 693) -15% Service charges - water revenue (283) -4% Service charges - sanitation revenue (817) -10% Service charges - refuse revenue % Service charges - other % 13 Rental of facilities and equipment % Interest earned - ex ternal inv estments % 813 Interest earned - outstanding debtors (503) -66% 265 Div idends receiv ed Fines % Licences and permits Agency services % Transfers recognised - operational % Other revenue % Gains on disposal of PPE #DIV/0! Total Revenue (excluding capital transfers and contributions) % Expenditure By Type Forecast Employee related costs (5 682) -15% Remuneration of councillors (195) -9% Debt impairment (1 613) -100% Depreciation & asset impairment (930) -18% Finance charges (1 668) -47% Bulk purchases (2 262) -9% Other materials (447) -50% 484 Contracted serv ices Transfers and grants (281) -28% Other expenditure % Loss on disposal of PPE Total Expenditure (11 295) -10% Surplus/(Deficit) (2 049) (10 463) (10 411) (1 317) (6 073) (0) (6 964) Transfers recognised - capital (1 486) (4 620) (0) Contributions recognised - capital Contributed assets Surplus/(Deficit) after capital transfers & contributions Tax ation (2 803) Surplus/(Deficit) after taxation (2 803) Attributable to minorities Description Surplus/(Deficit) attributable to municipality (2 803) Share of surplus/ (deficit) of associate Ref Year 2014/15 Surplus/ (Deficit) for the year (2 803)

24 SWELLENDAM MUNICIPALITY PAGE Table C5: Monthly Statement - Capital Expenditure (municipal vote, standard classification and funding)

25 SWELLENDAM MUNICIPALITY PAGE 25 WC034 Swellendam - Table C5 Consolidated Monthly Statement - Capital Expenditure (municipal vote, standard classification and funding - M07 January 2013/14 Year 2014/15 Audited Outcome Original Adjusted Monthly actual YearTD actual YearTD budget variance R thousands 1 % Multi-Year expenditure appropriation 2 variance Full Year Forecast Vote 1 - Municipal Manager Vote 2 - Corporate Serv ices Vote 3 - Finance Service (211) -68% 529 Vote 4 - Engineers Service (531) -100% Vote 5 - Community Serv ices Vote 6 - [NAME OF VOTE 6] Vote 7 - [NAME OF VOTE 7] Vote 8 - [NAME OF VOTE 8] Vote 9 - [NAME OF VOTE 9] Vote 10 - [NAME OF VOTE 10] Vote 11 - [NAME OF VOTE 11] Vote 12 - [NAME OF VOTE 12] Vote 13 - [NAME OF VOTE 13] Vote 14 - [NAME OF VOTE 14] Vote 15 - [NAME OF VOTE 15] Total Capital Multi-year expenditure 4, (742) -88% 529 Single Year expenditure appropriation 2 Vote 1 - Municipal Manager Vote 2 - Corporate Services (207) -97% 368 Vote 3 - Finance Serv ice Vote 4 - Engineers Service % Vote 5 - Community Services (1 325) -84% Vote 6 - [NAME OF VOTE 6] Vote 7 - [NAME OF VOTE 7] Vote 8 - [NAME OF VOTE 8] Vote 9 - [NAME OF VOTE 9] Vote 10 - [NAME OF VOTE 10] Vote 11 - [NAME OF VOTE 11] Vote 12 - [NAME OF VOTE 12] Vote 13 - [NAME OF VOTE 13] Vote 14 - [NAME OF VOTE 14] Vote 15 - [NAME OF VOTE 15] Total Capital single-year expenditure % Total Capital Expenditure % Capital Expenditure - Standard Classification Governance and administration (449) -76% Executiv e and council (29) -100% 50 and treasury office (211) -68% 529 Corporate services (208) -84% 427 Community and public safety (1 146) -73% Community and social services (1 325) -84% Sport and recreation Public safety #DIV/0! Housing Health Economic and environmental services (685) -38% Planning and development (167) -98% 291 Road transport (518) -31% Env ironmental protection Trading services (6 580) -39% Electricity (583) -100% Water (923) -23% Waste water management (5 073) -41% Waste management Other Total Capital Expenditure - Standard Classification (8 860) -42% Funded by: Vote Description Ref National Government (4 228) -27% 50 Provincial Government (310) -55% District Municipality Other transfers and grants #VALUE! #VALUE! Transfers recognised - capital (4 538) -28% 50 Public contributions & donations 5 Borrowing (4 320) -96% Internally generated funds Total Capital Funding (8 858) -42%

26 SWELLENDAM MUNICIPALITY PAGE Table C6: Monthly Statement Financial Position WC034 Swellendam - Table C6 Consolidated Monthly Statement - Financial Position - M07 January 2013/14 Year 2014/15 Description Ref Audited Original Adjusted YearTD Full Year R thousands 1 ASSETS Current assets Outcome actual Forecast Cash Call inv estment deposits Consumer debtors Other debtors Current portion of long-term receiv ables Inv entory Total current assets Non current assets Long-term receiv ables Inv estments Inv estment property Inv estments in Associate Property, plant and equipment Agricultural Biological assets Intangible assets Other non-current assets Total non current assets TOTAL ASSETS LIABILITIES Current liabilities Bank ov erdraft Borrow ing Consumer deposits Trade and other pay ables Prov isions Total current liabilities Non current liabilities Borrow ing Prov isions Total non current liabilities TOTAL LIABILITIES NET ASSETS COMMUNITY WEALTH/EQUITY Accumulated Surplus/(Deficit) Reserv es TOTAL COMMUNITY WEALTH/EQUITY

27 SWELLENDAM MUNICIPALITY PAGE Table C7: Monthly Statement - Cash Flow WC034 Swellendam - Table C7 Consolidated Monthly Statement - Cash Flow - M07 January 2013/14 Year 2014/15 Description Ref Audited Outcome Original Adjusted Monthly actual YearTD actual YearTD budget variance variance Full Year Forecast R thousands 1 % CASH FLOW FROM OPERATING ACTIVITIES Receipts Ratepayers and other % Gov ernment - operating % Gov ernment - capital % Interest (514) -50% Div idends Payments Suppliers and employees (59 303) ( ) ( ) (10 418) ( ) ( ) % ( ) Finance charges (2 467) (6 136) (6 136) (535) 535 #DIV/0! (6 136) Transfers and Grants (1 690) (1 690) (83) (705) (986) (281) 28% (1 690) NET CASH FROM/(USED) OPERATING ACTIVITIES % CASH FLOWS FROM INVESTING ACTIVITIES Receipts Proceeds on disposal of PPE Decrease (Increase) in non-current debtors Decrease (increase) other non-current receiv ables 68 Decrease (increase) in non-current inv estments #DIV/0! Payments Capital assets (29 497) (18 762) (18 762) (724) (12 044) % (18 762) NET CASH FROM/(USED) INVESTING ACTIVITIES (29 429) (18 690) (18 690) (724) (4 044) % (18 690) CASH FLOWS FROM FINANCING ACTIVITIES Receipts Short term loans Borrowing long term/refinancing (11 667) -100% Increase (decrease) in consumer deposits (1 456) -88% 60 Payments Repay ment of borrow ing (1 732) (2 118) (2 118) % (2 118) NET CASH FROM/(USED) FINANCING ACTIVITIES (1 700) % (2 058) NET INCREASE/ (DECREASE) IN CASH HELD (2 476) (10 222) Cash/cash equiv alents at beginning: Cash/cash equiv alents at month/y ear end: (8 296)

28 SWELLENDAM MUNICIPALITY PAGE 28 PART 2 SUPPORTING DOCUMENTATION Section 5Debtors' analysis 5.1 Supporting Table SC3 WC034 Swellendam - Supporting Table SC3 Monthly Statement - aged debtors - M07 January Description Year 2014/15 Actual Bad Total Impairment - NT Debts Written 0-30 Days Days Days Days Dys Dys 181 Dys-1 Yr Over 1Yr Total over 90 Bad Debts i.t.o Code Off against days Council Policy R thousands Debtors Debtors Age Analysis By Income Source Trade and Other Receiv ables from Ex change Transactions - Water Trade and Other Receiv ables from Ex change Transactions - Electricity Receivables from Non-exchange Transactions - Property Rates Receivables from Exchange Transactions - Waste Water Management Receivables from Exchange Transactions - Waste Management Receivables from Exchange Transactions - Property Rental Debtors Interest on Arrear Debtor Accounts Recoverable unauthorised, irregular, fruitless and wasteful expenditure 1820 Other 1900 (1 662) Total By Income Source /14 - totals only Debtors Age Analysis By Customer Group Organs of State Commercial Households Other (846) (140) (163) Total By Customer Group Table SC3 is the only debtors report required by the MBRR. The age analysis includes all debtor accounts from the billing module. This only includes debtor amounts that originated from a billing perspective. Section 6Creditors' analysis 6.1 Supporting Table SC4 WC034 Swellendam - Supporting Table SC4 Monthly Statement - aged creditors - M07 January Year 2014/15 Prior y ear Description NT Days - Over 1 Total totals for chart Code R thousands 30 Days 60 Days 90 Days 120 Days 150 Days 180 Days 1 Year Year (same period) Creditors Age Analysis By Customer Type Bulk Electricity 0100 Bulk Water 0200 PAYE deductions 0300 VAT (output less input) 0400 Pensions / Retirement deductions 0500 Loan repay ments Trade Creditors 0700 Auditor General 0800 Other 0900 Total By Customer Type

29 SWELLENDAM MUNICIPALITY PAGE 29 Section 7Investment portfolio analysis 7.1 Supporting Table SC5 WC034 Swellendam - Supporting Table SC5 Monthly Statement - investment portfolio - M07 January Investments by maturity Name of institution & investment ID Ref R thousands Municipality Type of Expiry date Period of Investment Investment of investment Yrs/Months Accrued Yield for the interest for month 1 the month (%) Market value at beginning of the month Change in Market market value at end value of the month Nedbank Call Call Absa Bank Call Call Municipality sub-total Entities Entities sub-total TOTAL INVESTMENTS AND INTEREST

30 SWELLENDAM MUNICIPALITY PAGE 30 Section 8 Allocation and grant receipts and expenditure 8.1 Supporting Table SC6 Grant receipts

31 SWELLENDAM MUNICIPALITY PAGE 31 WC034 Swellendam - Supporting Table SC6 Monthly Statement - transfers and grant receipts - M07 January 2013/14 Year 2014/15 Description Ref Audited Outcome Original Adjusted Monthly actual YearTD actual YearTD budget variance variance R thousands % RECEIPTS: 1,2 Full Year Forecast Operating Transfers and Grants National Government: % Local Gov ernment Equitable Share % Finance Management Municipal Systems Improvement EPWP Incentive Integrated National Electrification Programme Municipal Infrastructure Grant Other transfers and grants [insert description] Provincial Government: #DIV/0! Housing #DIV/0! Library Serv ices CDW 66 Organisational Redesign Financial Support #DIV/0! Mainroad Upgrading of Roads SETA Library Services-MRF Other transfers and grants [insert description] District Municipality: [insert description] Other grant providers: Total Operating Transfers and Grants % Capital Transfers and Grants National Government: #DIV/0! Local Gov ernment Equitable Share Finance Management Municipal Systems Improvement EPWP Incentive Integrated National Electrification Programme Municipal Infrastructure Grant #DIV/0! Department of Water Affairs #DIV/0! RBIC Other capital transfers [insert description] Provincial Government: 355 Library Services-MRF 355 Housing Infrastructure District Municipality: [insert description] Other grant providers: [insert description] Total Capital Transfers and Grants #DIV/0! TOTAL RECEIPTS OF TRANSFERS & GRANTS %

32 SWELLENDAM MUNICIPALITY PAGE Supporting Table SC7 (1) Grant expenditure WC034 Swellendam - Supporting Table SC7(1) Monthly Statement - transfers and grant expenditure - M07 January 2013/14 Year 2014/15 Description Ref Audited Outcome Original Adjusted Monthly actual YearTD actual YearTD budget variance variance R thousands % EXPENDITURE Full Year Forecast Operating expenditure of Transfers and Grants National Government: % Local Gov ernment Equitable Share % Finance Management % Municipal Systems Improvement #DIV/0! EPWP Incentive #DIV/0! Integrated National Electrification Programme Flood Damage Municipal Infrastructure Grant Other transfers and grants [insert description] Provincial Government: % Housing #DIV/0! Library Serv ices % CDW 66 Organisational Redesign Financial Support Mainroad Multi-purpose Centrum Upgrading of Roads Project Readiness Library Services-MRF % District Municipality: [insert description] Other grant providers: Total operating expenditure of Transfers and Grants: % Capital expenditure of Transfers and Grants National Government: #DIV/0! Local Gov ernment Equitable Share Finance Management Municipal Systems Improvement EPWP Incentive Integrated National Electrification Programme Municipal Infrastructure Grant #DIV/0! Department of Water Affairs #DIV/0! Flood Damage RBIC Other capital transfers [insert description] Provincial Government: #DIV/0! Library Services-MRF #DIV/0! Housing Infrastructure District Municipality: Other grant providers: Total capital expenditure of Transfers and Grants #DIV/0! TOTAL EXPENDITURE OF TRANSFERS AND GRANTS %

33 SWELLENDAM MUNICIPALITY PAGE Supporting Table SC7 (2) Grant expenditure against approved rollovers WC034 Swellendam - Supporting Table SC7(2) Monthly Statement - Expenditure against approved rollovers - M07 January Approved Rollover 2013/14 Monthly actual YearTD actual variance variance R thousands % EXPENDITURE Operating expenditure of Approved Roll-overs National Government: Local Gov ernment Equitable Share Finance Management Municipal Systems Improvement EPWP Incentive Integrated National Electrification Programme Municipal Infrastructure Grant Other transfers and grants [insert description] Provincial Government: Housing CDW Description Library subscription Financial Support Human settlements District Municipality: [insert description] Other grant providers: Total operating expenditure of Approved Roll-overs Capital expenditure of Approved Roll-overs Ref Year 2014/15 National Government: Local Gov ernment Equitable Share Municipal Infrastructure Grant Department of Water Affairs RBIC Other capital transfers [insert description] Provincial Government: Housing Infrastructure District Municipality: Other grant providers: Total capital expenditure of Approved Roll-overs TOTAL EXPENDITURE OF APPROVED ROLL-OVERS Comments The required supporting tables are not currently available. The compilation of these tables is part of the corrective steps as provided in Section 3 of this report.