-Ensure that information submitted is accurate before submission. 4.24 Reporting Complied with statutory reporting No challenge identified. requirements 4.25 Tariff Structure The municipality is making a loss on No recovery of losses in the villages. To develop a terms of reference 30 June 2015 water and electricity and on the for analyzing the tariff structure Municipal Manager villages where the municipality is not Inadequate measuring systems of losses for the municipality by 30 April billing for services, the municipality is incurred (water and Electricity) 2015. making 100% loss on water Installation of water flow meters Smart metering for all customers Smart metering of all Eskom points to ensure correct billings from Eskom 4.26 Creditors payment Not all creditors are paid on time due Average payment period 45 – 60 days Implement revenue enhancement Financial Recovery Plan to cash flow challenges strategy. to be developed by 30 Internal control weaknesses on document April 2015 management. Reduce overtime Chief Financial Officer Reduce travel reimbursement Cash Flow constraints Reduce maintenance costs of aged Resources committed to personnel costs, assets and do asset replacement Eskom bills and maintenance Financial recovery strategy to be developed Accruals affecting current year’s budget Install Smart Metering and to resources address the issue of water and electricity losses GRAP Standards The municipality is able to implement GRAP 17 Property, Plant and Equipment Action plan to address the audit 30 June 2015 the GRAP standards, except the issues findings raised has been developed Chief Financial Officer which were raised on GRAP 17, in December 2014. Property, Plant and Equipment
-Ensure that information submitted is accurate before submission. 4.24 Reporting Complied with statutory reporting requirements No challenge identified. 4.25 Tariff Structure The municipality is making a loss on water and electricity and on the villages where the municipality is not billing for services, the municipality is making 100% loss on water No recovery of losses in the villages. Inadequate measuring systems of losses incurred (water and Electricity) Installation of water flow meters To develop a terms of reference for analyzing the tariff structure for the municipality by 30 April 2015. Smart metering for all customers Smart metering of all Eskom points to ensure correct billings from Eskom 30 June 2015 Municipal Manager 4.26 Creditors payment Not all creditors are paid on time due to cash flow challenges Average payment period 45 – 60 days Internal control weaknesses on document management. Cash Flow constraints Resources committed to personnel costs, Eskom bills and maintenance Accruals affecting current year’s budget resources Implement revenue enhancement strategy. Reduce overtime Reduce travel reimbursement Reduce maintenance costs of aged assets and do asset replacement Financial recovery strategy to be developed Install Smart Metering and to address the issue of water and electricity losses Financial Recovery Plan to be developed by 30 April 2015 Chief Financial Officer GRAP Standards The municipality is able to implement the GRAP standards, except the issues which were raised on GRAP 17, Property, Plant and Equipment GRAP 17 Property, Plant and Equipment Action plan to address the audit findings raised has been developed in December 2014. 30 June 2015 Chief Financial Officer
IDP1617.docx