24 Jan 2021

Serowe sub-district councillors have adopted budget proposals for year 2021/2022 totaling P124.7 million.

Tabling the budget proposal during  a special meeting held in Serowe on January 22, the council finance committee chairperson Mr Goabamong Sethaba said the budget was categorised into personnel emoluments, running expenses, establishment expenses and special expenses items.

Mr Sethaba stated that the main priority for SAA budget was inclusion of refuse contracts, food and accommodation, school stationary and roads maintenance.

He further indicated that the revenue income from their own source had decreased by 1.22 per cent from the previous year which was P53 740.

Mr Sethaba mentioned that the sub-council generated revenue  from staff house rentals which was 40.29 per cent, trade licenses at 11.31 per cent, abattoir fees 5.21 per cent, insurance commission 4.04 per cent, all of which made up 60.85 per cent of the council’s own revenue.

He added that the other sources of financing were not reliable as collection was very minimal, saying some dropped due to various reasons and past experiences.

The selected items were Matimela funds fees at 18.82 per cent, interest on investment at 16.67 per cent, plan perusal fees at 5.82 per cent.

The committee chairperson said the SAA cost structure was arranged such that largest share of 54.82 per cent of the recurrent budget was allocated to personnel emoluments and councillors’ benefits and also included staff overtimes and pension.

‘’The second largest share goes to special expenses at 29.28 per cent. Special vote covers purchase of school books and equipment, relief of destitute persons, school uniform and projects for RADS, replacement of school furniture and security’’, he said.

The third largest share he said, went to running expenses at 9.94 per cent which consisted of maintenance of buildings, roads and electrical equipment as well as payment of water and electrical charges, repairs of vehicles, purchase of fuel and protective clothing.

Mr Sethaba noted that other expenses had a share of 5.96 per cent which encompassed travelling expenses, printing stationery, telephones, training, rent subsidy, insurance, VDC allowance and civic entertainment.

Concerning department budget analysis, he stated that Social and Community Development got the largest share of recurrent budget, seconded by Education, Human resources and Administration and Civil and Mechanical services. ENDS