Local Government: Municipal Finance Management Act, 2003 (Act No. 56 of 2003)Chapter 14 : General Treasury Matters168.Treasury regulations and guidelines |
| (1) | The Minister, acting with the concurrence of the Cabinet member responsible for local government, may make regulations or guidelines applicable to municipalities and municipal entities, regarding— |
| (a) | any matter that may be prescribed in terms of this Act; |
| (b) | financial management and internal control; |
| (c) | a framework for regulating the exercise of municipal fiscal and tariff-fixing powers; |
| (d) | a framework regulating the financial commitments of municipalities and municipal entities in terms of public-private partnership agreements; |
| (e) | the establishment by municipalities of, and control over— |
| (i) | municipal entities; and |
| (ii) | business units contemplated in section 76(a)(ii) of the Municipal Systems Act; |
| (f) | the safe-guarding of the financial affairs of municipalities and of municipal entities when assets, liabilities or staff are transferred from or to a municipality or a municipal entity; |
| (g) | the alienation, letting or disposal of assets by municipalities or municipal entities; |
| (h) | internal audit units and their functioning; |
| (i) | the information to be disclosed when municipalities or municipal entities issue or incur debt and the manner in which such information must be disclosed, including by way of a prospectus or other document; |
| (j) | the circumstances under which further or specific disclosures are required after money has been borrowed by a municipality or municipal entity; |
| (k) | the circumstances under which documentation or information pertaining to municipal debt must be lodged or registered; |
| (l) | the establishment of a registry for the registration of documentation and information pertaining to municipal borrowing; |
| (m) | the settlement of claims against a municipality following an order of court in terms of section 153; |
| (n) | the information that must be placed on the websites of municipalities; |
| (o) | a framework regulating investments by municipal entities; and |
| (p) | any other matter that may facilitate the enforcement and administration of this Act. |
| (2) | A regulation or guideline in terms of this section may— |
| (a) | differentiate between different— |
| (i) | kinds of municipalities, which may, for the purposes of this section, be defined either in relation to categories, types or budgetary size of municipalities or in any other manner; |
| (ii) | categories of municipal entities; |
| (iii) | categories of accounting officers; or |
| (iv) | categories of officials; or |
| (b) | be limited in its application to a particular— |
| (i) | kind of municipality, which may, for the purposes of this section, be defined either in relation to a category, type or budgetary size of municipality or in any other manner; |
| (ii) | category of municipal entities; |
| (iii) | category of accounting officers; or |
| (iv) | category of officials. |
| (3) | No guidelines issued in terms of subsection (1) are binding on— |
| (a) | a municipality unless adopted by its council; or |
| (b) | a municipal entity unless adopted by the council of the entity’s parent municipality. |