Division of Revenue Act, 2011 (Act No. 6 of 2011)

Chapter 4 : Matters relating to All Allocations

26. Preparations for next financial year and 2013/14 financial year

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1)
a)A category C municipality that receives a conditional allocation in terms of this Act must, using the envisaged conditional allocations to that municipality for the next financial year and the 2013/14 financial year as set out in Column B of the Schedules, by 3 October 2011—
i)agree on the provisional allocations and the projects to be funded from those allocations in the next financial year and the 2013/14 financial year with each category B municipality within the category C municipality’s area of jurisdiction; and
ii)submit to the transferring national officer
a)the provisional allocations referred to in subparagraph (i); and
b)the projects referred to in subparagraph (i), listed per municipality to be funded from the allocations for the next financial year and the 2013/14 financial year.
b)Where a category C municipality and a category B municipality cannot agree on the allocations and projects referred to in paragraph (a), the category C municipality must request the relevant transferring national officer to facilitate agreement.
c)The transferring national officer must take all necessary steps to facilitate agreement as soon as possible, but no later than 60 days after receiving a request referred to in paragraph (b).
d)Any proposed amendment or adjustment of the allocations that is intended to be published in terms of section 29(3)(b) must be agreed with the relevant category B municipality, the transferring national officer and the National Treasury, prior to publication, and prior to the submission of the allocations referred to in paragraph (a)(ii).
e)Should agreement not be reached between the category C municipality and the category B municipality on the provisional allocations and projects referred to in paragraph (a) prior to 3 October 2011, the National Treasury may proceed to determine the provisional allocations and provide those provisional allocations to the municipalities concerned and the transferring national officer.
f)
i)The final allocations based on the provisional allocations referred to in paragraphs (a)(i) and (ii) and (e) must be submitted to the National Treasury by 7 December 2011.
ii)If the transferring national officer fails to submit the allocations referred to in subparagraph (i) by 7 December 2011, the National Treasury may determine the appropriate allocations, taking into consideration the envisaged allocations for the next financial year.

 

2)
a)The transferring national officer of a conditional allocation, using the envisaged conditional allocations for the next financial year and the 2013/14 financial year as set out in Column B of the Schedules to this Act, must, by 3 October 2011, submit to the National Treasury for approval—
i)the provisional allocations to each province or municipality in respect of new conditional allocations to be made in the next financial year;
ii)any amendments to the envisaged allocations for each province or municipality set out in Column B of the Schedules in respect of existing conditional allocations; and
iii)the draft frameworks for the allocations referred to in subparagraphs (i) and (ii) in the format to be determined by the National Treasury.
b)Any proposed amendment or adjustment for the next financial year of the allocation criteria of an existing conditional allocation must be agreed with the National Treasury prior to the submission of the provisional allocations and draft frameworks referred to in paragraph (a)(ii) and (iii).
c)The National Treasury may, if the transferring national officer fails to comply with paragraph (a) by 3 October 2011, determine—
i)the provisional allocations in paragraph (a)(i);
ii)any amendments to the envisaged allocations contemplated in paragraph (a)(ii); and
iii)the draft frameworks for the allocations referred to in paragraph (a)(iii), and submit that information to the relevant provinces or municipalities.
d)
i)The final allocations based on the provisional allocations referred to in paragraph (a)(i) and (ii) must be submitted to the National Treasury by 7 December 2011.
ii)If the transferring national officer fails to submit the allocations referred to in subparagraph (i) by 7 December 2011, the National Treasury may determine the appropriate allocations, taking into consideration the envisaged allocations for the next financial year.

 

3)The National Treasury may, in preparation for the next financial year, instruct transferring national officers, receiving officers and municipalities to submit to it such plans and information for any conditional allocation as it may determine at specified times prior to the start of the next financial year.