06 Jun 2022

Bobirwa Sub District Council urgently needs to come up with cost-saving measures and strategies to change its financial outlook. 

Council chairperson Mr Christopher Motsholapheko said this when opening its session, and appealed to councillors to take the lead in that regard.

“I, therefore, urge you honourable councillors to ensure that prudent financial management, accountability and transparency are practiced in all transactions undertaken by this Sub District Council.” 

The chairman’s call comes against a backdrop of budget shortfalls at the council. He said the sub-council was allocated P91 792 510 for this financial year. 

Of the amount P88 019 860 was revenue support grant and P3 772 650 generated by the sub-council. 

Mr Motsholapheko said day-to-day sub-council operations needed P12.7million, which the council could not raise at the moment. “… with the current budget allocation, the monthly provision stands at P7 334 988 presenting a shortfall of approximately P5 400 000,” he said. 

He added that in the previous financial year the sub-council was allocated a recurrent budget of P92 516 910 leading to a P724 400 shortfall. 

In addition, the Sub District Council had a budget of P48 079 152 accrued over the last five consecutive years beginning 2017/2018 financial year. 

Overspent votes included among others, relief from destitution; school books and equipment; school uniform for Remote area communities; food and accommodation. 

“The deficit has also affected development projects funding as the sub-district council is also experiencing inter-funding indebtedness where the recurrent account owes the capital account,” he said. 

Mr Motsholapheko regretted the situation hindered the sub-district council from delivering social services to communities. Ends