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Division of Revenue Act, 2013 (Act No. 2 of 2013)

Chapter 4 : Matters Relating to All Allocations

26. Preparations for next financial year and 2015/16 financial year

 

 

1)
a) A category C municipality that receives a conditional allocation in terms of this Act must, using the indicative conditional allocations to that municipality for the next financial year and the 2015/16 financial year as set out in Column B of the Schedules to this Act, by 2 October 2013-
i) agree on the provisional allocations and the projects to be funded from those allocations in the next financial year and the 2015/16 financial year with each category B municipality within the category C municipality's area of jurisdiction; and
ii) submit to the transferring national officer-
aa the provisional allocations referred to in subparagraph (i); and
bb the projects referred to in subparagraph (i), listed per municipality to be funded from the allocations for the next financial year and the 2015/16 financial year.
b) If 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, before publication and the submission of the allocations referred to in paragraph (a)(ii).
e) If agreement is not reached between the category C municipality and the category B municipality on the provisional allocations and projects referred to in paragraph (a) before 2 October 2013, the National Treasury may 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 paragraph (a)(i) and (ii) and (e) must be submitted to the National Treasury by 6 December 2013.
ii) If the transferring national officer fails to submit the allocations referred to in subparagraph (i) by 6 December 2013, the National Treasury may determine the appropriate allocations, taking into consideration the indicative allocations for the next financial year.

 

2)
a) The  transferring  national  officer  of  a  conditional allocation,  using  the indicative conditional allocations for the next financial year and the 2015/16  financial  year as set out in Column B of the Schedules to this Act, must, by 2 October 2013, 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 indicative 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 before the submission of the provisional allocations and draft frameworks referred to in paragraph (a)(ii) and (iii).
c) If the transferring national officer fails to comply with paragraph (a) by 2 October 2013, the National Treasury may determine-
i) the provisional allocations in paragraph (a)(i);
ii) any amendments to the indicative 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 6 December 2013.
ii) If the transferring national officer fails to submit the allocations referred to in subparagraph (i) by 6 December 2013, the National Treasury may determine the appropriate allocations, taking into consideration the indicative allocations for the next financial year.

 

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

 

4)
a) For purposes of the Education Infrastructure or Health Facility Revitalisation Grant in the 2015/16 financial year, the accounting officer of the relevant provincial department must, in the format determined by the National Treasury, submit to the national transferring officer and the National Treasury, by-
i) 5 July 2013, a document setting out the roles and responsibilities of the relevant provincial  departments  regarding  infrastructure  delivery,  approved  by  the Executive Council of the province;
ii) 26 July 2013, a user asset management plan for all infrastructure programmes for the financial, next financial and 2015/16 financial years; and
iii) 20  September  2013,  an  infrastructure  programme  management  plan  and construction procurement strategy for infrastructure programmes envisaged to commence in the 2015/16  financial year.
b) The National Treasury must, by 6 December 2013, notify the national transferring officer and the affected provincial departments which infrastructure programmes and projects it will propose for full or partial funding through the grant in the financial years in question.