Division of Revenue Act, 2017 (Act No. 3 of 2017)

Notices

Allocations to Provincial and Local Governments

Explanatory Memorandum to the Allocations set out in the attached Schedule

Framework for Conditional Grant to Municipalities

Annexure 3 : Detailed framework on Schedule 5, Part B grant to municipalities
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Introduction

 

This annexure provides the framework for a grant set out in Part B of Schedule 5 of the 2017 Division of Revenue Amendment Bill. The following are key areas considered for each grant.

 

•Strategic goal and purpose of the grant
•Outcome statements and outputs of the grant
•Priority outcome(s) of government that the grant primarily contributes to
•Conditions of the grant (additional to what is required in the Bill)
•Criteria for allocation between municipalities
•Rationale for funding through a conditional grant
•Past performance
•The projected life of the grant
•2017 MTEF allocations
•The payment schedule
•Responsibilities of transferring national department and receiving municipalities
•Process for approval of business plans for 2018/19

 

The attached framework is not part of the Division of Revenue Amendment Bill, but is published in order to provide more information on the grant to parliament, legislatures, municipal councils, officials in all three spheres of government and the public. Once the 2017 Division of Revenue Amendment Bill is enacted, the framework will be gazetted.

 

The financial statements and annual reports for 2017/18 will report against the Division of Revenue Act, Division of Revenue Amendment Act and their schedules, and the grant frameworks as gazetted in terms of the Act. Such reports must cover both financial and non -financial performance, focusing on the outputs achieved.

 

Cooperative Governance and Traditional Affairs Grant