Draft Operating and Capital Budget
Presented to Council 30th March 2011
The total operating expenditure for 2011/2012 year is R330 968 923 and the operating revenue is expected to be R349 527 744. The increase in expenditure is 12% caused mainly by increases in the purchase price of bulk electricity up by 26.7% as well as salary increase of inflation + 2% as per the bargaining council agreement.
The capital budget for the same period is projected at R42 081 000 compared with R136 669 792 in 2010/2011 — a decrease of 69% attributed to the Municipality’s decrease in cash and cash equivelants. The budget will be funded by own funds 12%, external loans 12% and grants 76%.
What concerns your committee is the very big increase in tariffs as listed below
- Property rates 7.5%
- Water 12.0%
- Refuse removal 23.5% — see also waste update report
- Sewerage 10%
- Electricity 21%
These increases are well above those of other towns such as George which is budgetting an overall increase of 6%.
PUBLIC COMMENTS TO THE MUNICIPALITY ARE NEEDED URGENTLY
Source: Plett Ratepayers