20 Jul 2016

Kweneng District councillors  have approved the proposed consolidated recurrent budget for the 2017/2018 financial year in a special full council meeting in Molepolole recently.

Addressing the full council meeting, KDC  finance committee chairman Mr Motlhophi Leo said the proposed income for the financial year 2017/18 stood at P557  515  130.  

He, however, pointed out that there had been a slight decrease of two per cent from 2015/16 and 2016/17 financial years.  He explained that the decrease emanated from the fact that council received a total amount of P350 777 770 for the year 2015/16 with an estimation of P343 511 830 for the year 2016/17.

However, councillors wanted to increase the recurrent budget for the next financial year with 38 per cent.

On the contrary, some councillors were not happy about revenue generated by council’s own sources of income saying although it was common knowledge that the proposed recurrent budget estimates never saw the light of day, council could not raise enough revenue to supplement the revenue support grant from government.

Out of the proposed income of P557 515 130 for the financial year 2017/18 about P536 164 990 is anticipated as revenue support grant while only P21 350 140 is anticipated from own sources of revenue.  

In essence, the revenue support grant constitute 96 per cent of the total income while four per cent was expected from own sources.  

This, councillors said was worrisome.
Councillor for Gabane North East, Mr Ofentse Mareme reiterated that own revenue sources amounting to four per cent was not enough.  

He cited that areas such as Mogoditshane need to be tapped into to raise revenues since the area has huge business pontential to raise capital.

Another councillor, Mr Tona Selala for Thamaga West recommended that perhaps it was ideal that  government could let councils prioritize their own budgets before any budget cuts were imposed, explaining that it would help councils to consider their priorities first. 

Councillor for Thamaga North Mr Palelo Motaosane concurred with Selala on this issue.
Responding to some of their concerns, Mr Leo acknowledged that KDC had formed companies but they had never made any return on investment.  

He however assured coucillors that he would take the issue to the board to get an appropriate answer as to when the two entities would make returns on investment. ENDS