The Mayor of Thulamela Municipality, Khosi Thivhulawi Makumbane, presented the first budget estimates of the Municipal Council that was elected on 01 March, 2006, last Friday afternoon. The function took place at the Thohoyandou Town Hall.

The total capital estimates for the financial year 2006/7 is R78 549 368 and is a increase of 34, 93% on that budgeted for the previous financial year. The total operational estimates for the next financial year is R135 123 508. Out of this amount, R53 457 344 has been allocated for salaries and allowances.

Makumbane stressed the importance of the integrated development plan (IDP) and explained how it has changed the face of the municipality. “The first five-year IDP of this municipality was developed and approved in 2001. For the next five years of its existence, the IDP went through yearly review processes in which the Council, together with communities and all other stakeholders, set the priorities for the municipality. These priorities include the provision of water, electricity, roads and storm water drains, housing and other basic needs. All our budgets over the past five years were set to take care of these priorities.”

He applauded the role played by the premier’s office and the Department of Local Government and Housing in ensuring that all government departments become an integral part of planning at the municipal level.

“The efforts that were exerted by these two important offices in the province have yielded positive results. The IDP review for 2006/7 is an improved document. Our IDP planning was based on the spatial development framework (SDF) which was developed in 2004 with the assistance from the Department of Land Affairs. We intend to review the SDF in the 2006/7 financial year to enable it to focus on the present situation and legal compliance. We commend the Department of Land Affairs for the role they are playing to implement cooperative governance in this regard practically.”

The mayor further indicated the water and sanitation infrastructure challenges that are faced by the Thulamela Municipality.

“Provision of portable water remains a challenge to this municipality. Lack of funds and mushrooming of new households contribute greatly to this challenge of infrastructure. At the Nandoni Dam, the Department of Water Affairs and Forestry has just completed building one of the top 10 Water Schemes in South Africa, and it is in the process of completing a huge purification plant next to the dam and a very big reservoir next to the University of Venda. As a Municipality, our responsibility will be to provide pipe networking to the needy communities and thus relieve the outstretched Thathe Vondo Water Supply…”

The mayor cited some of the water supply projects that were funded by the Municipal Infrastructure Grant (MIG) as follows:

Merwe A,B,C water supply at an amount of R4million. Xigamani water supply at R1,1million. Mpambo – R2million, Mapate – R1million, and Dopeni-Shanzhe – R2,4million.

He tabled the roads and bridges infrastructure report as follows:

The Hollywood – Sibasa road construction was completed at a cost of R10,2million. Upgrading and Rehabilitation of Makwarela Streets funded by the Municipal Infrastructure Grant cost R4million. Upgrading of Malamulele bus route phase 1 was completed at a cost of R3million. Construction of Vhembe District Municipality to Post Office Street road cost R4,2million. The project is about 91% complete with some items which will be done in the next financial year. This includes the revamping of water features and landscaping.

Operational Budget summary by category:

Revenue: Assessment Rates (R13 800 000), General Levy (R26 500 000), Equitable Share (R81 513, 000), MIG Grant (R44 693 118), Capacity Building (R734 000), Provincial Staff Transfer Grant (R3 700 000), General Traffic Income (R17 645 080), Other Income (R25 087 678). Total Revenue Budget: R231 672 876.

Expenditure: Salaries and wages (R53 457 344), Councillors Allowances (R15 363 440), General expenditure (R36 176 000), Repairs and Maintenance (R13 275 000), Non-Cash Item (R13 351 274), Contribution (R3 500 000). Total Operational Budget: R135 123 508. Capital Projects: R78 549 368. Gross Expenditure: R213 672 876. Subtotal Rates and Taxes: R73 644 368. Subtotal Economic Services: R4 905 000. Grand Total: R78 549 368.