R1.00 R2999 Add to list of bad debts after Manager Income and Chief – all collection efforts other Financial Officer than legal have failed Amount less than R3000 for Add to list of bad debts after Manager Income and Chief inactive accounts Issuing a final demand Financial Officer R3000– R10 000 Add to list of bad debts Manager Income and Chief Institute legal action Financial Officer R10 001- R500 000 Add to list of bad debts Chief Financial Officer and Institute legal action Municipal Manager R500 001 + Add to list of bad debts Municipal Manager Institute legal action Executive Mayor Black listing Council Mon m The Credit control The credit department Assessment will be Debts are written off in 1. 2. 3. 4 is responsible for debt conducted on the accordance with Lesedi department should follow- ups following basis; Local Municipality’s maintain strict controls Unrecoverable bad debts a. individuals will be authorization levels as over their debtors book with significant amounts assessed against their stipulated below: are handed over for ability to pay. Manager Income litigation b. Where an individual is R1.00 R1 000 – Where payment found to qualify for Manager Income & Chief arrangement has been indigent status, their debt Finance Officer agreed on this has to be is written off in terms of R1 001 R10 000 –
R1.00 – R2999 Add to list of bad debts after all collection efforts other than legal have failed Manager Income and Chief Financial Officer Amount less than R3000 for inactive accounts Add to list of bad debts after Issuing a final demand Manager Income and Chief Financial Officer R3000– R10 000 Add to list of bad debts Institute legal action Manager Income and Chief Financial Officer R10 001- R500 000 Add to list of bad debts Institute legal action Chief Financial Officer and Municipal Manager R500 001 + Add to list of bad debts Institute legal action Black listing Municipal Manager Executive Mayor Council Mon m 1. The Credit control department should maintain strict controls over their debtors book 2. The credit department is responsible for debt follow- ups Unrecoverable bad debts with significant amounts are handed over for litigation Where payment arrangement has been agreed on this has to be 3. Assessment will be conducted on the following basis; a. individuals will be assessed against their ability to pay. b. Where an individual is found to qualify for indigent status, their debt is written off in terms of 4 Debts are written off in accordance with Lesedi Local Municipality’s authorization levels as stipulated below: Manager Income R1.00 – R1 000 Manager Income & Chief Finance Officer R1 001 – R10 000