Division of Revenue Act

10. Duties of transferring national officer in respect of Schedule 5, 6, 7 or 8 10 Duties of transferring national officer in respect of Schedule 4 allocation allocation

11. Duties of receiving officer in respect of Schedule 4 allocation

12. Duties of receiving officer in respect of Schedule 5, 6 or 8 allocation

13. Duties in respect of annual financial statements and annual reports for 2009/10 Part 3 Matters relating to specific Schedule 4 allocations 14. Infrastructure Grant to Provinces

15. Municipal Infrastructure Grant (Cities)

16. Municipal Infrastructure Grant Part 4 Matters relating to specific Schedule 5 allocations

17. Gautrain Rapid Rail Link Grant 18. Integrated Housing and Human Settlement Development Grant Part 5 15 20 Matters relating to specific Schedule 6 allocations 25 19. 2010 FIFA World Cup Stadiums Development Grant Part 6 Matters relating to specific Schedule 7 allocations Integrated National Electrification Programme Grant 20. 21. Regional Bulk Infrastructure Grant

22. Water Services Operating Subsidy 30 6 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 Part 7 Matters relating to specific Schedule 8 allocations 23. Expanded Public Works Programme Incentive Part 8 General matters relating to Schedule 4, 5, 6,7 or 8 allocations 5 Publication of allocations and frameworks Frameworks for Schedule 4 allocations Spending in terms of purpose and subject to conditions 24. 25. 26.

21. The transferring national officer must, in implementing the Regional Bulk Infrastructure Grant, ensure that— (a) every municipality that may benefit from a specific project or scheme is 45 invited to participate in the feasibility study to be undertaken in respect of the project or scheme, despite the fact that the municipality did not participate in submitting a motivation for that feasibility study; the feasibility study takes account of the Integrated Development Plans of municipalities, prepared in accordance with the Municipal Systems Act, 50 (b) 5 10 15 34 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 the water services development plans that form part of the especially Integrated Development Plans; and all participating municipalities— (i) agree to and understand the implications of the findings of the feasibility (c) studies; and (ii) enter into an agreement setting out their rights and obligations regarding the construction, ownership and operation of the proposed infrastructure, prior to the finalisation of funding arrangements and the commencement of construction. Water Services Operating Subsidy 22. (1) The transferring national officer, subsequent to the signing of a transfer agreement between the transferring national officer and the municipality for the transfer of water services assets, may, with the written approval of the National Treasury, adjust the Water Services Operating and Transfer Subsidy allocation to a municipality to reflect— (a) the actual personnel allocation payable to a municipality as a result of the number of staff transferred from the transferring national department to the municipality; and the actual operating allocation payable to a municipality, as informed by the percentage or portion of assets transferred to a municipality in respect of 20 assets shared across municipal boundaries. (b) (2) Any adjustments contemplated together with an explanatory memorandum, be published by the National Treasury in the Gazette, within 120 days after granting approval for an adjustment. in subsection (1) must, Part 7 25 Matters relating to specific Schedule 8 allocations Expanded Public Works Programme Incentive 23. (1) The Expanded Public Works Programme Incentive set out in Schedule 8 is a special performance-based incentive provided to provinces and municipalities that contribute to the employment creation efforts of the Expanded Public Works Programme 30 through the employment of previously unemployed people. (2) In order to receive the Expanded Public Works Programme Incentive, a province or municipality must— (a) meet the eligibility requirements set out in the framework; (b) attain the minimum performance threshold determined by the transferring 35 national officer in terms of the framework; and (c) conclude an agreement with the transferring national officer which complies with the requirements set out in the framework. (3) A province or municipality which is receiving the Expanded Public Works Programme Incentive must— (a) comply with the requirements specified in the framework and the agreement entered into between the transferring national officer and the province or municipality; and (b) utilise the incentive payments received for continuing or expanding job creation programmes. (4) The transferring national officer must— 40 45 (a) conclude agreements with provinces and municipalities who are eligible to receive the Expanded Public Works Programme Incentive; (b) adjust the indicative allocations, threshold and performance targets of provinces and municipalities on a quarterly basis, based on their performance 50 during the previous quarter, and submit the adjusted allocations and targets to the National Treasury within 20 days after the end of the quarter; 36 No. 32106 G O V E R N M E NT GAZETTE, 3 APRIL 2009 Act No. 1 2 , 2 0 09 DIVISION OF REVENUE ACT, 2009 (c) disburse the Expanded Public Works Programme Incentive in terms of the (d) framework and payment schedule; and submit a quarterly report to the National Treasury— (i) assessing the progress of the Expanded Public Works Programme Incentive and the performance of the provinces and municipalities who are eligible to receive the Incentive; and (ii) detailing the amounts which were allocated for that quarter to provinces and municipalities, as well as the amounts which were paid to them for that quarter. 5 (5) As this is a performance-based incentive, the allocations set out in Schedule 8 are 10 indicative only, and are based on projected employment creation performance by provinces and municipalities. (6) The indicative allocations for provinces and municipalities are amounts which they will become eligible to receive if they exceed their threshold targets and meet their performance targets. 15 (7) The transferring national officer may, in accordance with the terms of the framework— (a) (b) revise the indicative allocations of underperforming provinces and munici­ palities downwards; reallocate the indicative allocation from any underperforming provinces and 20 municipalities to provinces and municipalities which exceed their perfor­ mance targets; (c) provide additional amounts to provinces and municipalities that exceed their performance targets, subject to the availability of funds; and (d) determine that a province or municipality should not be eligible to receive 25 further incentive payments where there has been a persistent and material failure to comply with the requirements of the Act, the framework or the terms of the agreement between the transferring national officer and that province or municipality. (8) In accordance with section 34(3)(b), the transferring national officer must submit 30 a provisional payment schedule, containing the indicative allocations and threshold and performance targets based on the projected performance of all eligible provinces and municipalities. (9) Within 20 days after the close of the quarter, the transferring officer must submit an amended payment schedule for the respective quarter to the National Treasury, based 35 on the actual performance of all eligible provinces and municipalities. (10) The National Treasury must, within 30 days of the end of each quarter, publish in the Gazette— (a) (b) (c) the revised indicative allocations per province and municipality for that quarter; the revised municipality for that quarter; and the amounts paid during that quarter to provinces and municipalities for the Expanded Public Works Programme Incentive. targets for each province and threshold and performance 40 (11) The Expanded Public Works Programme Incentive is not subject to sections 27, 45 28 and 29. Part 8 General matters relating to Schedule 4, 5, 6,7 or 8 allocations Publication of allocations and frameworks 24. (1) The National Treasury must, within 14 days of this Act taking effect, publish 50 in the Gazette— (a) the allocations per municipality, in respect of Schedule 4 and 6 allocations; 38 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 (b) (c) (d) indicative allocations per municipality, the allocations; the indicative allocations for provinces and municipalities, along with their initial threshold and performance targets, in respect of Schedule 8 allocations; and the framework for each Schedule 4, 5, 6, 7 or 8 allocation. in respect of Schedule 7 5 (2) The National Treasury must publish in the Gazette— (a) any revisions of or amendments to the allocations or frameworks published in terms of subsection (1) authorised by an adjustment budget; (b) any additional allocation that is authorised by an adjustment budget or a 10 (c) virement made in terms of the Public Finance Management Act; any revisions of or amendments to the allocations and frameworks published in terms of subsection (1) necessary to give effect to the conversion of a Schedule 7 allocation to a Schedule 6 allocation in terms of section 30; (d) any re-allocations by the National Treasury in accordance with section 29 or 15 the transferring national officer in terms of section 23(7); (e) any revised allocations in respect of Schedule 7 Grants; and (f) the revised indicative allocations, performance and threshold targets for the Expanded Public Works Programme Incentive in terms of section 23(10). (3) The National Treasury may at any time, after consultation with or at the written 20 request of a transferring national officer, revise or amend a framework published in terms of subsection (1) or (2), to correct any error or omission. (4) An amendment, revision, additional allocation or re-allocation takes effect on publication thereof in the Gazette. Frameworks for Schedule 4 allocations 25

27. Withholding of allocation 28. 29. 30.

31. Unspent conditional allocations Stopping of allocation Re-allocation after stopping of allocation Conversion of Schedule 7 to Schedule 6 allocation

32. Allocations to public entities for provision of municipal service or function Part 9 Other allocations

33. Gautrain Rapid Rail Link Loan CHAPTER 4 MATTERS RELATING TO ALL ALLOCATIONS Payment schedule Transfers made in error 34.

35. Amendment of payment schedule 36.

37. Allocations not listed in Schedules

38. Authorisation of expenditure 39. 40. 41. Implementation of re-demarcations of provincial and municipal boundaries Preparations for next financial year and 2011/12 financial year Expenditure prior to commencement of Division of Revenue Act, 2010 CHAPTER 5 DUTIES OF MUNICIPALITIES, PROVINCIAL TREASURIES AND NATIONAL TREASURY

42. Duties of municipalities

43. Duties of provincial treasuries

44. Duties of National Treasury CHAPTER 6 GENERAL

45. Allocations by public entities to provinces or municipalities 46. Liability for costs governance and intergovernmental relations incurred in violation of principles of co-operative

47. Unauthorised and irregular expenditure Financial misconduct 48.

49. Delegations and assignments 10 15 20 25 30 35 40 8 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 50. 51. 52. 53. Exemptions Regulations Repeal of laws Short title and commencement Schedule 1: Equitable division of revenue raised nationally among the three spheres 5 of government Schedule 2: Determination of each province's equitable share of the provincial sphere's share of revenue raised nationally (as a direct charge against the National Revenue Fund) Schedule 3: Determination of each municipality's equitable share of the local 10 government sphere's share of revenue raised nationally Schedule 4: Allocations to provinces and municipalities to supplement the funding of programmes or functions funded from provincial or municipal budgets Schedule 5: Specific purpose allocations to provinces Schedule 6: Specific purpose allocations to municipalities Schedule 7: Allocations-in-kind to municipalities for designated special programmes Incentives to provinces and municipalities to meet targets with regards to Schedule 8: priority government programmes 15 CHAPTER 1 INTERPRETATION AND OBJECTS OF ACT 20 Interpretation 1. (1) In this Act, unless the context indicates otherwise, any word or expression to which a meaning has been assigned in the Public Finance Management Act or the Municipal Finance Management Act has the meaning assigned to it in the Act in question, and— 25 "category A, B or C municipality" has the meaning assigned to each category in terms of the Municipal Structures Act; "conditional allocation" means a conditional allocation to a province, local government or municipality from the national government's share of revenue raised nationally, contemplated in section 214(l)(c) of the Constitution of the 30 Republic of South Africa, 1996; "corporation for public deposits account" means a bank account of the Provincial Revenue Fund held with the Corporation for Public Deposits, established by the Corporation for Public Deposits Act, 1984 (Act No. 46 of 1984); "financial year" means the financial year commencing on 1 April 2009 and 35 ending on 31 March 2010; "framework" means the conditions and other information in respect of a conditional allocation published by the National Treasury in terms of section 24; "Municipal Finance Management Act" means the Local Government: Munici­ pal Finance Management Act, 2003 (Act No. 56 of 2003); "municipal financial year" means the financial year of a municipality commenc­ ing on 1 July 2009 and ending on 30 June 2010; "next financial year" means the financial year commencing on 1 April 2010 and ending on 31 March 2011; "next municipal financial year" means the financial year of a municipality 45 commencing on 1 July 2010 and ending on 30 June 2011; "organ of state" means an organ of state as defined in section 239 of the Constitution; "payment schedule" means a schedule which sets out— 40 (a) the amount of each transfer of an equitable share or any conditional 50 allocation in terms of this Act to be transferred municipality in the financial year; to a province or 10 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 (b) (c) the date on which each transfer must be paid; and to whom, and to which bank account, each transfer must be paid; "prescribe" means prescribe by regulation in terms of section 5 1; "primary bank account"— (a) (b) in relation to a province, means a bank account of the Provincial Revenue Fund held with a commercial bank which the head of the department in the provincial treasury has certified to the National Treasury as the bank account into which all conditional allocations, other than the Gautrain Rapid Rail Link Grant and the Gautrain Rapid Rail Link Loan, in terms of this Act must be deposited; and in relation to a municipality, means the bank account of the municipality as determined the Municipal Finance in Management Act; terms of section 8 of "Public Finance Management Act" means the Public Finance Management Act, 1999 (Act No. 1 of 1999); "quarter" means— (a) 1 April to 30 June; (b) 1 July to 30 September; (c) 1 October to 31 December; or (d) 1 January to 31 March; "receiving officer"— (a) (b) in relation to a Schedule 4, 5 or 8 allocation transferred to a province, means the accounting officer of the provincial department which receives that allocation or a portion thereof for spending via an appropriation from its Provincial Revenue Fund; or in relation to a Schedule 4 , 6 ,7 or 8 allocation transferred to or provided in kind the municipality; the accounting officer of to a municipality, means "this Act" includes any framework or allocation published, or any regulation, determination or request made or instruction given under this Act; "transferring national officer" means the accounting officer of a national department that transfers a Schedule 4, 5, 6 or 8 allocation to a province or municipality or spends a Schedule 7 allocation on behalf of a municipality. (2) Any determination, instruction or request in terms of this Act must be in writing. Objects of Act 5 10 15 20 25 30 35

45. The accounting officer of a provincial department or municipality that receives funds from a public entity as a grant, sponsorship or donation must disclose in its financial statements the purpose and amount of each such grant, sponsorship or donation received. 5 Liability for costs incurred in violation of principles of co-operative governance and intergovernmental relations 46. (1) An organ of state involved in an intergovernmental dispute regarding any 10 provision of this Act or any division of revenue matter or allocation must, before approaching a court to resolve such dispute, make every effort to settle the dispute with the other organ of state concerned, including exhausting all mechanisms provided for the settlement of disputes in relevant legislation. (2) In the event that a dispute is referred back by a court in accordance with section 15 41(4) of the Constitution, due to the court not being satisfied that the organ of state approaching the court has complied with subsection (1), the expenditure incurred by that organ of state in approaching the court must be regarded as fruitless and wasteful. (3) The amount of any such fruitless and wasteful expenditure must, in terms of a prescribed procedure, be recovered without delay from the person who caused the organ 20 of state not to comply with the requirements of subsection (1). Unauthorised and irregular expenditure 47. (1) The following transfers constitute unauthorised expenditure in terms of the Public Finance Management Act and the Municipal Finance Management Act, as the case may be, where relevant: 25 (a) a transfer prohibited in terms of section 26(2) of this Act; or (b) a transfer by a transferring national officer to a bank account of a province or municipality that is not— (i) (ii) (iii) the primary bank account; in respect of provinces, a corporation for public deposits account; in respect of the Gautrain Rapid Rail Link Grant, the account referred to in section 17(2); or in respect of the Gautrain Rapid Rail Link Loan, the account designated in terms of the Loan Agreement. (iv) 30 (2) Any transfer made or spending of an allocation in contravention of this Act 35 constitutes irregular expenditure in terms of the Public Finance Management Act and the Municipal Finance Management Act. Financial misconduct 48. (1) Despite anything to the contrary contained in any law, any serious or persistent non-compliance with a provision of this Act, and in particular, any non-compliance with 40 section 40, constitutes financial misconduct. (2) Section 84 of the Public Finance Management Act and section 171(4) of the Municipal Finance Management Act apply in respect of financial misconduct in terms of subsection (1). Delegations and assignments 49. (1) The Minister may, in writing, delegate any of the powers entrusted to the National Treasury in terms of this Act and assign any of the duties imposed on the National Treasury in terms of this Act, to an official of the National Treasury. (2) A delegation or assignment in terms of subsection (1) to an official of the National Treasury— 45 50 64 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 (a) is subject to any limitations or conditions that the Minister may impose; (b) may authorise that official to subdelegate, in writing, the delegated power or assigned duty to another National Treasury official; and (c) does not divest the National Treasury of the responsibility concerning the exercise of the delegated power or the performance of the assigned duty. 5 (3) The Minister may confirm, vary or revoke any decision taken by an official as a result of a delegation, subject to any rights that may have vested as a consequence of the decision. Exemptions 50. (1) The National Treasury may, on written application by a transferring national 10 officer, exempt such officer in writing from complying with a provision of this Act. (2) Any exemption granted in terms of subsection (1) must set out the period and conditions, if any, to which it is subject and must be published in the Gazette. Regulations

51. The Minister may, by notice in the Gazette, make regulations regarding— (a) anything which must or may be prescribed in terms of this Act; and (b) any ancillary or incidental administrative or procedural matter that it is necessary to prescribe for the proper implementation or administration of this Act. 15 Repeal of laws 20 52. (1) Subject to subsection (2), the Division of Revenue Act, 2008 (Act No. 2 of 2008), is hereby repealed. (2) The repeal of the Division of Revenue Act, 2008 (Act No. 2 of 2008), does not affect any duty or obligation set out in that Act, the execution of which is still outstanding. 25 Short title and commencement

53. This Act is called the Division of Revenue Act, 2009, and takes effect on 1 April 2009 or the date of publication thereof by the President in the Gazette, whichever is the later date. 66 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 SCHEDULE 1 EQUITABLE DIVISION OF REVENUE RAISED NATIONALLY AMONG THE THREE SPHERES OF GOVERNMENT Spheres of Government Spheres of Government Spheres of Government National1 -2 Provincial Local T O T AL Column A 2009/10 2009/10 Allocation Allocation R'000 Column B Forward Estimates 2010/11 R'000 2011/12 R'000 483 665 383 509 416 140 544 146 880 231 050 881 23 846 502 738 562 766 253 670 492 29 267 706 792 354 338 272 934 054 31 889 901 848 970 835

2. The objects of this Act are to— (a) provide for the equitable division of revenue raised nationally among the three spheres of government; (b) promote better co-ordination between policy, planning, budget preparation and execution processes between and within government; the different spheres of 40 (c) promote predictability and certainty in respect of all allocations to provinces and municipalities in order that such governments may plan their budgets over a multi-year period; (d) promote transparency and equity in the resource allocation process; and (e) promote accountability by ensuring that all allocations are reflected on the 45 budgets of receiving provinces and municipalities. 12 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 CHAPTER 2 EQUITABLE SHARE ALLOCATIONS Equitable division of revenue raised nationally among spheres of government 3. (1) Revenue raised nationally in respect of the financial year must be divided among the national, provincial and local spheres of government for their equitable share allocations as set out in Column A of Schedule 1. 5 (2) An envisaged division of revenue anticipated to be raised in respect of the next financial year and the 2011/12 financial year, and which is subject to the provisions of the annual Division of Revenue Acts in respect of those financial years, is set out in Column B of Schedule 1. 10 Equitable division of provincial share among provinces 4. (1) Each province's equitable share of the provincial share of revenue raised nationally in respect of the financial year is set out in Column A of Schedule 2. (2) An envisaged division for each province of revenue anticipated to be raised nationally in respect of the next financial year and the 2011/12 financial year, and which 15 is subject to the provisions of the annual Division of Revenue Acts for those financial years, is set out in Column B of Schedule 2. (3) Each province's equitable share allocation contemplated in subsection (1) must be transferred to the corporation for public deposits account of the province, in accordance with a payment schedule determined by the National Treasury in terms of section 34. 20 Equitable division of local government share among municipalities 5. (1) Each municipality's share of local government's equitable share of revenue raised nationally in respect of the financial year, is set out in Column A of Schedule 3. (2) An envisaged division between municipalities of revenue anticipated to be raised nationally in respect of the next financial year and the 2011/12 financial year, and which 25 is subject to the provisions of the annual Division of Revenue Acts for those financial years, is set out in Column B of Schedule 3. (3) Each municipality's equitable share contemplated in subsection (1) must be transferred to the primary bank account of the municipality in three transfers on 7 July 2009, 30 November 2009 and 25 March 2010, in accordance with a payment schedule 30 determined by the National Treasury in terms of section 34. Shortfalls, excess revenue and additional allocations 6. (1) If actual revenue raised nationally in respect of the financial year falls short of the anticipated revenue set out in Schedule 1, the national government bears the shortfall. 35 (2) If actual revenue raised nationally in respect of the financial year exceeds the anticipated revenue set out in Schedule 1, the excess accrues to the national government, subject to subsection (3), to be used to reduce borrowing or pay debt as part of its share of revenue raised nationally, in addition to its share in Column A of Schedule 1. (3) The national government may— 40 14 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 (a) appropriate a portion of its equitable share or excess revenue contemplated in subsection (2) to make further allocations in an adjustments budget to— (i) national departments; or (ii) provinces or municipalities, as a conditional or an unconditional allocation; 5 (b) increase a conditional allocation to a province or municipality through a virement under section 43 of the Public Finance Management Act; and (c) authorise expenditure in accordance with section 38. CHAPTER 3 CONDITIONAL ALLOCATIONS TO PROVINCES AND MUNICIPALITIES 10 Parti Conditional allocations Conditional allocations to provinces 7. (1) Conditional allocations to provinces in respect of the financial year from the national government's share of revenue raised nationally, with the exception of the 15 Gautrain Rapid Rail Link Loan, are set out in Column A of the following Schedules: (a) Schedule 4 specifying allocations to provinces to supplement the funding of programmes or functions funded from provincial budgets; (b) Schedule 5 specifying specific-purpose allocations to provinces; and (c) Schedule 8 specifying incentives to provinces to meet targets with regards to 20 priority government programmes. (2) An envisaged division of conditional allocations to provinces from the national government's share of revenue anticipated to be raised nationally for the next financial year and the 2011/12 financial year, which is subject to the annual Division of Revenue Acts for those years, is set out in Column B of the Schedules referred to in subsection 25 (1). Conditional allocations to municipalities 8. (1) Conditional allocations to local government in respect of the financial year from the national government's share of revenue raised nationally are set out in Column A of the following Schedules: (a) Schedule 4 specifying allocations to municipalities to supplement the funding of functions funded from municipal budgets; (b) Schedule 6 specifying specific-purpose allocations to municipalities; (c) Schedule 7 specifying allocations-in-kind to municipalities for designated special programmes; and 30 35 (d) Schedule 8 specifying incentives to municipalities to meet targets with regards to priority government programmes. (2) An envisaged division of conditional allocations to local government from the national government's share of revenue anticipated to be raised nationally for the next financial year and the 2011/12 financial year, which is subject to the annual Division of 40 Revenue Acts for those years, is set out in Column B of the Schedules referred to in subsection (1). (3) The National Treasury must publish the share or indicative allocation of each municipality in respect of the local government allocations contemplated in subsections (1) and (2) in the Gazette in terms of section 24. 45 16 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 Part 2 Duties of accounting officers in respect of Schedule 4, 5, 6,7 or 8 allocations Duties of transferring national officer in respect of Schedule 4 allocation 9. (1) The transferring national officer of a Schedule 4 allocation is responsible for— (a) ensuring that transfers to all provinces and municipalities are— 5 (i) deposited only into the primary bank account of a province or municipality; and (ii) made in accordance with the payment schedule approved in terms of section 34, unless allocations are withheld or stopped in terms of section 27 or 28; 10 (b) monitoring expenditure and non-financial performance funded by an allocation, provided programmes programme or system— (i) (ii) does not impose any undue administrative burden on receiving provinces 15 is approved by the National Treasury; information on that any monitoring the provision of standard management and municipalities beyond information; is compatible and integrated with and does not duplicate other relevant and related national, provincial and local systems; and is consistent with sections 11(2) and 25; and (iii) (iv) 20 (c) evaluating the performance of programmes funded or partially funded by the allocation and the submission of such evaluations to the National Treasury, within four months in respect of a province, and six months in respect of a municipality, after the end of the financial year. (2) Where two or more national departments have responsibilities relating to a 25 Schedule 4 allocation, the transferring national officer must co-ordinate the roles and responsibilities of such national departments and ensure those roles and responsibilities— that (a) are exercised in a manner that does not duplicate the responsibilities as set out in subsection (1); and 30 (b) do not impose any undue administrative burden on provinces or municipali­ ties beyond the provision of standard management information. 18 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 Duties of transferring national officer in respect of Schedule 5 , 6, 7 or 8 allocation 10. (1) A transferring national officer must— (a) not later than 14 days after this Act takes effect, certify to the National Treasury that— (i) allocation frameworks, including conditions and monitoring provisions, are reasonable and do not impose an undue administrative burden on receiving provincial departments and municipalities beyond the provi­ sion of standard management information; (ii) monitoring provisions are compatible and integrated with and do not 5 (iii) (iv) duplicate other relevant and related national, provincial and local 10 systems; in respect of a Schedule 5 allocation, any business plans requested in respect of how allocations will be utilised by a province have been approved prior to the start of the financial year; in respect of a Schedule 6 allocation transferred to a municipality, any 15 business plans requested in respect of how allocations will be utilised by a municipality have been approved prior to the start of the financial year; transfer funds only after information required in terms of this Act has been secured and all relevant information has been provided to the National Treasury; transfer funds only in accordance with a payment schedule determined in accordance with section 34; 20 (b) (c) (d) deposit funds only into the primary bank account of a province or municipality, or, where appropriate, into the corporation for public deposits account of a province or the bank account designated for transfer of the 25 Gautrain Rapid Rail Link Grant in accordance with section 17, or the Gautrain Rapid Rail Link Loan in terms of section 33; and (e) ensure that all other arrangements or requirements necessary for the transfer of an allocation have been complied with prior to the start of the financial year. (2) The transferring national officer must submit all relevant information and 30 documentation referred to in subsection (l)(a) to the National Treasury within 14 days after this Act takes effect. (3) A transferring national officer who has not complied with subsection (1) must transfer the allocation in the manner instructed by the National Treasury, including as an unconditional allocation. 35 (4) Before making the first transfer of any allocation, the transferring national officer must take note of any notice in terms of section 44(1) from the National Treasury outlining the details of the account for each province or municipality. (5) Despite anything to the contrary contained in any law, a transferring national officer must in respect of any allocation, as part of the report contemplated in section 40 40(4)(c) of the Public Finance Management Act, not later than 20 days after the end of each month, and in the format determined by the National Treasury, submit to the National Treasury information for the month reported on and for the financial year up to the end of that month on— (a) (b) (c) the amount of funds transferred to a province or municipality; the amount of funds withheld or stopped from any province or municipality, the reasons for the withholding or stopping and the steps taken by the transferring national officer and the receiving officer to deal with the matters or causes that necessitated the withholding or stopping of the payment; the actual expenditure incurred by the province or municipality in respect of 50 a Schedule 5 or 6 allocation; 45 20 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 (d) (e) the actual expenditure incurred by the transferring national officer in respect of a Schedule 7 allocation; and such other issues as the National Treasury may determine. (6) The transferring national officer must evaluate the performance of programmes funded or partially funded by the allocation and submit such evaluations to the National Treasury— (a) (b) in respect of a province, four months after the end of the financial year; and in respect of a municipality, six months after the end of the financial year. Duties of receiving officer in respect of Schedule 4 allocation 11. (1) A receiving officer is responsible for— (a) complying with the framework for a Schedule 4 allocation as published in terms of section 24; and the manner in which it allocates and spends a Schedule 4 allocation. (b) (2) The receiving officer of a municipality must— 5 10 (a) ensure and certify to the National Treasury that the municipality— 15 (i) indicates or, if required, exclusively appropriates each programme funded or partially funded by this allocation in its annual budget; and (ii) makes public, in accordance with the requirements of section 21A of the Municipal Systems Act, the conditions and other information in respect of the allocation to facilitate performance measurement and the use of 20 required inputs and outputs; (b) as part of the report required in terms of section 71 of the Municipal Finance Management Act, report to the relevant provincial treasury, the National Treasury and the transferring national officer on spending and financial performance against programmes funded by the Schedule 4 allocation; and 25 (c) quarterly, within 30 days after the end of each quarter, report to the transferring national officer and the National Treasury on non-financial performance against programmes. (3) The receiving officer in a province must— (a) (b) submit, as part of the report required in section 40(4)(c) of the Public Finance 30 Management Act, reports to the relevant provincial treasury on spending and performance against programmes; and submit a quarterly performance report within 30 days after the end of each quarter to the transferring national officer. (4) The receiving officer must report against programmes funded or partially funded 35 by a Schedule 4 allocation against the relevant framework in its annual statements and annual report. financial (5) The receiving officer must, within two months after the end of the financial year, and where relevant, the municipal financial year, evaluate its performance in respect of programmes funded or partially funded by an allocation and submit such evaluation to 40 the transferring national officer. Duties of receiving officer in respect of Schedule 5, 6 or 8 allocation 12. (1) The relevant receiving officer must, in respect of a Schedule 5,6 or 8 allocation transferred to— (a) a province, as part of the report required in section 40(4)fcJ of the Public 45 Finance Management Act, report on the matters referred to in subsection (2) 22 No. 32106 G O V E R N M E NT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 and submit a copy of the section 40(4)(cj report to the relevant provincial treasury and the transferring national officer; (b) a municipality, as part of the report required in terms of section 71 of the Municipal Finance Management Act, report on the matters referred to in subsection (4) and submit a copy of the section 71 report to the relevant transferring provincial treasury, the National Treasury and the relevant national officer; and a province or a municipality, submit a quarterly performance report within 30 days after the end of each quarter to the transferring national officer. (c) 5 (2) A report by a province in terms of subsection (1)(a) must set out for that month and 10 for the financial year up to the end of that month— (a) (b) (c) (d) (e) (f) the amount received by the province; the amount of funds stopped or withheld from the province; the actual expenditure by the province in respect of a Schedule 5 allocation; the amount transferred to any national or provincial public entity to implement 15 a programme funded by a Schedule 5 allocation on behalf of a province or assist the province in implementing such a programme; the actual expenditure by a public entity referred to in paragraph (d); the extent of compliance with the conditions of an allocation provided for in a framework and with this Act; 20 (g) an explanation of any material problems experienced by the province regarding an allocation which has been received and a summary of the steps taken to deal with such problems; and such other issues and information as the National Treasury may determine. (3) (a) Subsections (1) and (2) do not apply to the receiving officer of the Gautrain 25 (h) Rapid Rail Link Grant or the Gautrain Rapid Rail Link Loan. (b) The receiving officer of the Gautrain Rapid Rail Link Grant must, at the end of each quarter, submit a report to the transferring national officer, detailing the payment made in that quarter to meet its payment obligation in terms of the public-private partnership agreement entered into by the province in accordance with regulations 30 issued under the Public Finance Management Act. (c) Copies of payment certificates issued in terms of the public-private partnership agreement must be submitted together with the report referred to in paragraph (b). (4) A report by a municipality in terms of subsection (1) must set out for that month and for the financial year up to the end of that month— 35 (a) (b) the amount of funds stopped or withheld from the municipality; the extent of compliance with the conditions of an allocation or part of an allocation provided for in a framework and with this Act; (c) an explanation of any material problems experienced by the municipality regarding an allocation which has been received and a summary of the steps 40 taken to deal with such problems; and such other issues and information as the National Treasury may determine. (d) (5) The receiving officer of the 2010 FIFA World Cup Stadiums Development Grant must, in addition to subsection (1)— (a) include in the report contemplated in that subsection the cash flow projections 45 for the stadium construction or upgrading in the format determined by the transferring national officer; and (b) attach to the report contemplated in that subsection copies of payment certificates issued in terms of the construction contract entered into by the municipality which comply with the requirements of the Municipal Finance 50 Management Act. (6) The receiving officer must, within two months after the end of the financial year, and where relevant, the municipal financial year, evaluate its performance in respect of 24 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 1 2 , 2 0 09 DIVISION OF REVENUE ACT, 2009 programmes or functions funded or partially funded by an allocation and submit such evaluation to the transferring national officer. Duties in respect of annual financial statements and annual reports for 2009/10 13. (1) The 2009/10 financial statements of a national department transferring any funds in respect of an allocation set out in Schedule 4, 5, 6 or 8 must, in addition to any requirements in terms of any other applicable law— 5 (a) (b) (c) indicate the total amount of that allocation transferred to a province or municipality; indicate the transfers, if any, that were withheld in respect of each province or municipality; indicate any re-allocations by the National Treasury in terms of section 29 or the transferring national officer in terms of section 23(7); (d) certify that all transfers to a province or municipality were deposited into the primary bank account of a province or municipality or, where appropriate, into the corporation for public deposits account of a province; and indicate the funds, if any, utilised for the administration of the allocation by the receiving officer. (e) 10 15 (2) The 2009/10 annual report of a national department transferring any funds in respect of an allocation set out in Schedule 4, 5, 6 or 8 must, in addition to any requirements in terms of any other applicable law— 20 (a) (b) (c) (d) indicate the reasons for the withholding of any transfers to a province or municipality; indicate to what extent provinces or municipalities were monitored for compliance with the conditions of an allocation provided for in the relevant framework and the provisions of this Act; indicate to what extent the allocation achieved its purpose and outputs; and indicate any non-compliance with this Act, and the steps taken to deal with such non-compliance. 25 (3) The 2009/10 financial statements of a provincial department receiving an allocation in terms of Schedule 4, 5 or 8 must, in addition to any requirements in terms 30 of any other applicable law— (a) (b) indicate the total amount of all allocations received; indicate the total amount of actual expenditure on all allocations except Schedule 4 allocations; and (c) certify that all transfers in terms of this Act to the province were deposited into 35 the primary bank account of the province or, where appropriate, into the corporation for public deposits account of a province. (4) The 2009/10 annual report of a provincial department receiving an allocation in terms of Schedule 4, 5 or 8 must, in addition to any requirements in terms of any other applicable law— 40 (a) (b) (c) indicate to what extent the province met the conditions provided for in the relevant framework of such an allocation and complied with the provisions of this Act; indicate the steps taken to deal with non-compliance with the conditions provided for in the relevant framework of such an allocation and the 45 provisions of this Act; indicate the extent to which the objectives and outputs of the allocation were achieved; and (d) contain such other information as the National Treasury may determine. (5) The 2009/10 financial statements and annual report of a municipality must be 50 prepared in accordance with the Municipal Finance Management Act. (6) The National Treasury may determine how transferring departments and receiving 26 No. 32106 G O V E R N M E NT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 municipalities report on local government allocations on a quarterly basis to facilitate the audit of allocations for both the national and municipal financial years. Part 3 Matters relating to specific Schedule 4 allocations Infrastructure Grant to Provinces 14, (1) The Infrastructure Grant to Provinces set out in Schedule 4 supplements the funding of infrastructure programmes funded from provincial budgets to enable provinces to address backlogs in provincial infrastructure. (2) A province must ensure that its provincial departments responsible for education, health and roads— (a) are responsible for all capital and maintenance budgets and spending for those functions; (b) enter into, implement and manage service delivery agreements with national or provincial departments, national or public entities and any other organs of state, where such departments, entities or other organs of state manage or undertake construction or maintenance on their behalf; and (c) participate, together with the provincial department responsible for public works in the Infrastructure Delivery Improvement Programme facilitated by the National Treasury, unless the National Treasury has exempted a department from participation. (3) (a) A province, in allocating the Infrastructure Grant to Provinces— (i) must, with the exception of the ring-fenced sectoral allocations, take into account the capacity of the receiving provincial department to spend and manage infrastructure, based on the extent of any approved roll-overs in the 2007/08 financial year and any projected roll-overs in the 2008/09 financial year; and (ii) may, where a receiving provincial department or a provincial department responsible for public works that manages or undertakes construction or maintenance on behalf of the receiving provincial department in accor­ dance with an agreement referred to in subsection (2)(b) lacks capacity, designate an amount not exceeding four per cent of the allocation for acquiring such capacity. (b) The percentage referred to in paragraph (a)(ii) must be informed by a capacity plan prepared by the receiving provincial department or the provincial department responsible for public works and approved by the provincial treasury. 5 15 20 25 30 Municipal Infrastructure Grant (Cities) 15. (1) (a) The Municipal Infrastructure Grant (Cities) set out in Schedule 4 supplements the funding of infrastructure programmes funded from the budgets of the municipalities identified in Schedule 4 to address municipal infrastructure backlogs, foster integrated built environments, as well as other investments that support the built 40 environment. (b) The Municipal Infrastructure Grant (Cities) seeks to ensure integrated planning, effective leveraging of municipal resources towards the eradication of backlogs, improved performance in integrated human settlement development outcomes, and effective asset management practices. 45 (c) Conditions associated with the grant must be restricted to output and outcome performance of the overall municipal capital expenditure programme. (2) The Municipal Infrastructure Grant (Cities) may be transferred to a municipality only if the municipality— (a) has satisfied the criteria set out in the grant policy framework; and (b) has submitted, by 30 May 2009, an infrastructure performance framework which complies with the requirements set out in the grant policy framework to the National Treasury and the transferring national officer, along with proof 50 28 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 1 2 , 2 0 09 DIVISION OF REVENUE ACT, 2009 that the performance framework and the performance therein have been ratified by a resolution of the municipal council. (3) The provisions of the performance framework ratified by the municipal council targets contained must, for the purposes of sections 27 and 28, be regarded as provisions of this Act. (4) The transferring national officer must submit copies of the infrastructure to the relevant sectoral to in subsection (2)(b) performance framework referred departments by 1 July 2009. 5 (5) A municipality receiving the Municipal Infrastructure Grant (Cities) must, report on performance against the together with the requirements of section ll(2)(b), targets provided for in the framework referred to in subsection (2)(b), in accordance and 10 in conjunction with the reporting requirements of section 71 of the Municipal Finance Management Act. (6) Reporting to the National Treasury in terms of subsection (5) must be regarded as compliance with section 9(\)(b). (7) The National Treasury must make the report submitted to it in terms of section 15 ll(2)(b) or (c) available to any other national departments that have responsibilities relating to the Grant. Municipal Infrastructure Grant 16. (1) The Municipal Infrastructure Grant set out in Schedule 4 supplements the funding of infrastructure programmes from municipal budgets, to enable municipalities 20 that do not receive the Municipal Infrastructure Grant (Cities) to address backlogs in municipal infrastructure required for the provision of basic services. (2) The Municipal Infrastructure Grant must be transferred directly to a category B or C municipality that has the powers and functions referred to in section 84 of the Municipal Structures Act, to enable the municipality to provide municipal infrastructure 25 in respect of those powers and functions. (3) The Municipal Infrastructure Grant allocation for a category B or C municipality may be transferred to the category C municipality or province within whose jurisdiction the municipality is situated if, in the assessment of the transferring national officer in consultation with the National Treasury, the municipality does not— 30 (a) have sufficient expenditure capacity to effectively carry out the infrastructure programmes; or (b) adhere to good financial governance practices. (4) A municipality receiving the Municipal Infrastructure Grant must table a three-year capital budget as part of its budget for the 2009/10 financial year in 35 accordance with the Municipal Finance Management Act, unless exempted in terms of that Act. (5) The transferring national officer of the Municipal Infrastructure Grant, in addition to the duties contemplated in section 9, must, within 20 days after the end of each month, submit a report to the National Treasury and the other national departments that have 40 responsibilities relating to the Grant, which report must include— (a) expenditure and non-financial performance information on programmes funded by an allocation; and (b) an explanation of any material problems experienced by municipalities regarding an allocation that has been received and a summary of the 45 interventions or steps taken to deal with such problems. (6) The framework for the Municipal Infrastructure Grant may— (a) include a condition requiring the registration of a project with a national department or any other organ of state prior to the financial year or municipal financial year in which the project will be implemented or such later date as 50 may be agreed upon between the transferring national officer and the receiving officer, but such later date may not delay or impede the commencement of that project in the relevant financial year; and (b) not include any condition— (i) for a national department or any other organ of state, other than the 55 30 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 1 2 , 2 0 09 DIVISION OF REVENUE ACT, 2009 relevant province or municipality or the National Treasury in respect of a public-private partnership, to approve specific projects or budgets; or requiring a report on spending other than the reports required in terms of section 11 or as approved by the National Treasury. (ii) Part 4 5 Matters relating to specific Schedule 5 allocations Gautrain Rapid Rail Link Grant 17. (1) The transferring national officer of the Gautrain Rapid Rail Link Grant must, in addition to the duties contemplated in sections 10 and 34, take appropriate steps to ensure that transfers are made timeously and in a manner that allows the province to 10 meet its payment obligations in terms of the public-private partnership agreement entered into by the province in accordance with regulations issued under the Public Finance Management Act. (2) The transferring national officer must transfer the Gautrain Rapid Rail Link Grant to the bank account designated for transfer configuration established for the transfer of the Gautrain Rapid Rail Link Grant in accordance with the directive issued by the National Treasury under section \Q(2)(a) of the Division of Revenue Act, 2006 (Act No. 2 of 2006). in the dedicated banking account 15 Integrated Housing and Human Settlement Development Grant 18. (1) The receiving officer must, in the interest of facilitating the commencement 20 and continued implementation of the housing programme, consider advancing a portion of the allocation for the financial year, on such conditions as it may determine, to a municipality, when requested to do so by the municipality. (2) Where a dispute arises between a receiving officer and a municipality in respect of the need for an advance referred to in subsection (1), the municipality may request the 25 transferring national officer to mediate the dispute. (3) The transferring national officer must, on receipt of a request referred to in subsection (2), take all necessary steps to resolve the dispute as soon as possible, but no later than 60 days after the request was received. (4) No advance in terms of subsection (1) may be made in respect of implementation 30 activities to be undertaken in the next financial year. Part 5 Matters relating to specific Schedule 6 allocations 2010 FIFA World Cup Stadiums Development Grant 19. (1) The transferring national officer of a 2010 FIFA World Cup Stadiums 35 Development Grant must, in addition to the duties contemplated in section 10, take appropriate steps to ensure that— (a) spending on stadiums in each World Cup Host City— (i) does not exceed the amounts appropriated for that purpose on municipal budgets; and (ii) are in accordance with the approved payment schedule; the Municipal Finance Management Act is adhered to; and (b) (c) expert technical, engineering and project management support necessary to ensure the construction or upgrading of the relevant stadiums are provided to the World Cup Host Cities. (2) A receiving officer must, in addition to complying with the duties and reporting requirements contemplated in section 12— 40 45 32 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 (a) ensure that the amount budgeted for the construction or upgrading of the the relevant stadium and supporting allocation and indicative allocations for the grant set out in Column B of Schedule 6; into account infrastructure takes (b) ensure that spending is in accordance with the approved payment schedule; (c) ensure, by no later than 30 September 2010, that all stadium final financial reports are submitted by the transferring national officer to the National Treasury; 5 (d) provide such information and reports, within the specified timeframes, to the transferring national officer as he or she may request in the performance of the 10 duties provided for in subsection (1). (3) (a) The transferring national officer must, after consultation with receiving officers, not later than 30 days after this Act takes effect, submit a monitoring plan to the National Treasury. (b) The monitoring plan must set out the key performance indicators, financial 15 procedures, internal audit processes and monitoring and reporting mechanisms of the national department, in order to ensure the effective and efficient construction or upgrading of the relevant stadiums. (4) Any expenditure by a municipality on a stadium that exceeds the allocation and anticipated allocations set out in Schedule 6 must be funded from the municipal budget. 20 (5) In addition to the requirements of the Municipal Finance Management Act, the disposal of a stadium by the municipality is subject to the approval of the transferring national officer and the National Treasury. (6) (a) The transferring national officer and the receiving officer of a 2010 FIFA World Cup Stadiums Development Grant may enter into an agreement to further clarify the 25 provisions of this Act and the relevant framework, and to enhance the implementation of the allocation. (b) Any provision of an agreement referred to in paragraph (a) that contradicts, conflicts with or purports to amend or negate the provisions of this Act, the relevant framework, any provision of the Public Finance Management Act or any provision of 30 the Municipal Finance Management Act, is invalid. Part 6 Matters relating to specific Schedule 7 allocations Integrated National Electrification Programme Grant 20. (1) The transferring national officer must ensure that Eskom Holdings Limited's 35 implementation of the National Electrification Programme within a municipality is aligned with the Integrated Development Plan of that municipality, and prepared in accordance with the Municipal Systems Act. (2) Eskom Holdings Limited must, within 30 days after the end of each month, report to the relevant municipality, the transferring national officer and the National Treasury 40 on the amount spent on the implementation of the National Electrification Programme. Regional Bulk Infrastructure Grant

25. The framework for a Schedule 4 allocation must be designed to promote comprehensive reporting on outputs for a programme or function funded or partially funded by the allocation. Spending in terms of purpose and subject to conditions 26. (1) Despite anything to the contrary contained in any law, an allocation referred to 30 in Schedule 4, 5,6, 7 or 8 may only be utilised for the purpose stipulated in the Schedule concerned and in accordance with the framework published in terms of section 24. (2) A receiving officer may not transfer any Schedule 5 or 6 allocation or a portion of such allocation to any other entity for the performance of a function envisaged in terms of the allocation, unless— 35 (a) (b) (c) it is a transfer that is approved in the budget of the receiving province or municipality or a framework published in terms of section 24; it is a payment for services rendered or goods received, which services or goods were procured in accordance with the supply chain management policy or procurement policy of the relevant province or municipality and for which 40 adequate documentation for payment has been received; or in the case of an advance payment or a transfer not consistent with the budget of the receiving province or municipality— (i) the receiving officer has certified to the National Treasury that the transfer is not an attempt to artificially inflate its spending estimates and 45 that there are good reasons for the advance payment or transfer; and the National Treasury has approved the advance payment or transfer. (ii) 40 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 1 2 , 2 0 09 DIVISION OF REVENUE ACT, 2009 Withholding of allocation 27. (1) Subject to subsections (2) and (3), a transferring national officer may withhold the transfer of a Schedule 4, 5 or 6 allocation or any portion of such allocation for a period not exceeding 30 days if— (a) (b) the province or municipality does not comply with the provisions of this Act or conditions to which the allocation, as provided for in the relevant framework, is subject; roll-overs of conditional allocations approved by the National Treasury in accordance with section 31 have not been spent; or 5 (c) expenditure on previous transfers during the financial year reflects significant 10 under-spending, for which no satisfactory explanation is given. (2) Despite subsection (1), the Health Professions Training and Development Grant and National Tertiary Services Grant may not be withheld in terms of this section. (3) A transferring national officer must, seven working days, or such shorter period as may be approved by the National Treasury, prior to withholding an allocation in terms 15 of subsection (1)— (a) give the relevant receiving officer— (i) written notice of the intention to withhold the allocation; and (ii) an opportunity to submit written representations, within those seven days or that shorter period, as to why the allocation should not be withheld; 20 and (b) inform the relevant provincial treasury and the National Treasury and, in respect of the Municipal Infrastructure Grant (Cities) and the Municipal Infrastructure Grant, also the provincial department responsible for local government of its intention to withhold the allocation. 25 (4) A notice contemplated in subsection (3) must include the reasons for withholding the allocation and the intended duration of the withholding. (5) (a) The National Treasury may, when a transferring national officer is withholding that an allocation in terms of subsection (1), instruct or approve a request from transferring national officer to withhold an allocation for a period longer than 30 days, 30 but not exceeding 120 days, if the withholding will— (i) facilitate compliance with this Act or the conditions to which the allocation is subject; or (ii) minimise the risk of under-spending. (b) A transferring national officer must, when requesting the withholding of an 35 allocation in terms of this subsection, submit proof of its compliance with subsection (3) and any representations received from the receiving officer, to the National Treasury. (c) The transferring national officer must again comply with subsection (3) when the National Treasury instructs or approves a request by him or her in terms of paragraph (a). 40 Stopping of allocation 28. (1) Despite section 27, the National Treasury may, in its discretion or at the request of a transferring national officer, stop the transfer of— (a) a Schedule 4, 5 or 6 allocation referred to in section 27(1) to a province or municipality on the grounds of persistent and material non-compliance 45 with— (i) (ii) a condition to which the allocation, as provided for in the relevant the provisions of this Act; or framework, is subject; or 42 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 (b) a Schedule 4, 5 or 6 allocation referred to in section 27(1), if the National that a province or municipality will substantially Treasury anticipates under-spend on that programme or allocation in the financial year. (2) The National Treasury must, when stopping an allocation in terms of this section— 5 (a) comply with section 27(3)(a), and in respect of a municipality, also with section 38 of the Municipal Finance Management Act; and inform the relevant provincial treasury of its intention to stop the allocation. (3) Any stopping of an allocation contemplated in subsection (1) must, together with (b) an explanatory memorandum, be published by the National Treasury in the Gazette. 10 (4) (a) The Minister may, by notice in the Gazette, approve that an allocation or any portion of such allocation stopped in terms of subsection (1), be utilised to meet that province's or municipality's outstanding statutory and contractual financial commit­ ments. (b) The utilisation of funds contemplated in this subsection is a direct charge against 15 the National Revenue Fund. Re-allocation after stopping of allocation 29. (1) (a) The National Treasury may, where it stops an allocation in terms of section 28, after consultation with the transferring national officer, determine that a portion of the allocation that will not be spent be reallocated to one or more provinces or 20 municipalities, on condition that the allocation will be spent in the financial year or the next financial year. (b) The reallocation of a portion of an allocation or the full allocation on condition that the allocation will be spent in the next financial year, referred to in paragraph (a), must be deemed to be a roll-over approved by the National Treasury in terms of section 25 31(2)(aj. (2) (a) Despite subsection (1), the National Treasury may, when an intervention in terms of the Constitution or section 150 of the Municipal Finance Management Act is taking place, on such conditions as it may determine, authorise— (1) (ii) (iii) in relation to section 100 of the Constitution, the transferring national officer to 30 spend an allocation stopped in terms of section 28 on behalf of the relevant province; in relation to section 139 of the Constitution, the intervening province to spend an allocation stopped in terms of section 28 on behalf of the relevant municipality; or in relation to section 150 of the Municipal Finance Management Act, the relevant transferring national officer to spend an allocation stopped in terms of section 28 on behalf of the relevant municipality. 35 (b) An allocation that is spent by the transferring national officer or intervening province referred to in paragraph (a) must, for the purposes of this Act, be regarded as 40 a Schedule 7 allocation from the date on which the authorisation is given. Conversion of Schedule 7 to Schedule 6 allocation 30. (1) The National Treasury may, in its discretion or at the request of the transferring national officer, convert a Schedule 7 allocation to a Schedule 6 allocation, if the National Treasury is of the opinion that the conversion will prevent under-spending on 45 the allocation. (2) A conversion referred to in subsection (1) takes effect on the date of the publication referred to in section 24(2)(c). (3) The National Treasury must inform the transferring national officer and each affected receiving municipality of a conversion. 50 44 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 1 2 , 2 0 09 DIVISION OF REVENUE ACT, 2009 Unspent conditional allocations 31. (1) Despite the provisions of the Public Finance Management Act or the Municipal Finance Management Act relating to roll-overs, any conditional allocation, excluding the Gautrain Rapid Rail Link Grant, the Gautrain Rapid Rail Link Loan and the Expanded Public Works Programme Incentive, that is, in the case of a province, not spent at the end of a financial year or, in the case of a municipality, at the end of a municipal financial year, reverts to the National Revenue Fund, unless the relevant receiving officer can prove to the satisfaction of the National Treasury that the unspent allocation is committed to identifiable projects. 5 (2) The National Treasury may, at the request of a transferring national officer, 10 provincial treasury or municipality, approve— (a) a roll-over from a conditional allocation to the next financial year; and (b) spending of a portion of a conditional allocation on activities related to the purpose of that allocation, where the province or municipality projects significant unforeseeable and unavoidable over-spending on its budget. 15 Allocations to public entities for provision of municipal service or function

32. No public entity, other than Eskom Holdings Limited in respect of funds received from the Department of Minerals and Energy and water boards in respect of funds received from the Department of Water Affairs and Forestry for the implementation of Schedule 7 allocations, may receive funds for the provision of a municipal service or 20 municipal function on behalf of a municipality from a national or provincial organ of state except via the municipality responsible for that service or function, unless the National Treasury approves otherwise in respect of municipalities it deems to have low capacity. Part 9 Other allocations 25 Gautrain Rapid Rail Link Loan 33. (1) An amount of R4.2 billion is allocated to the Gauteng Province for the implementation of the Gautrain Rapid Rail Link Project, subject to a loan agreement being entered into between the Minister of Finance and the Premier of the Gauteng 30 Province and the Province's continued compliance with the loan agreement once entered into. (2) The loan agreement referred to in subsection (1) is subject to the provisions of this Act. (3) Any non-compliance by the Gauteng Province with the requirements of the loan 35 agreement constitutes financial misconduct contemplated in section 48. CHAPTER 4 MATTERS RELATING TO ALL ALLOCATIONS Payment schedule 34. (1) (a) The National Treasury determines the payment schedule for the transfer of 40 a province's equitable share allocation, after consultation with the head of department in the provincial treasury. the (b) In determining the payment schedule, the National Treasury must take account of the monthly spending commitments of provinces and seek to minimise risk and debt servicing costs for national and provincial government. 45 (c) Despite paragraph (a), the National Treasury may, for cash management purposes relating to the corporation for public deposits account or when an intervention in terms of section 100 of the Constitution is taking place, on such conditions as it may 46 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 1 2 , 2 0 09 DIVISION OF REVENUE ACT, 2009 determine, advance funds to a province in respect of its equitable share or a portion of it which has not yet fallen due for transfer in accordance with the payment schedule. (d) Any advances in terms of paragraph (c) must be set off against transfers to the province which would otherwise become due in terms of that payment schedule. (2) (a) The National Treasury determines the payment schedule for the transfer of a municipality's equitable share allocation, after consultation with the accounting officer of the national department responsible for local government. 5 (b) Despite paragraph (a), the National Treasury, after consultation with the accounting officer of the national department responsible for local government, may, for cash management purposes in the municipality or when an intervention in terms of 10 section 139 of the Constitution or section 150 of the Municipal Finance Management Act is taking place, on such conditions as it may determine, approve a request or direct that the equitable share or a portion of it which has not yet fallen due for transfer in accordance with the payment schedule, be advanced to a municipality. (c) Any advances in terms of paragraph (b) must be set off against transfers to the 15 municipality which would otherwise become due in terms of the applicable payment schedule. (3) (a) The National Treasury must approve the payment schedules for a Schedule 4, 5, 6 or 8 allocation transferred to a province or municipality. (b) The transferring national officer of a Schedule 4, 5, 6 or 8 allocation must submit 20 a payment schedule to the National Treasury for approval before 14 April 2009. (c) Prior to the submission of a payment schedule in terms of paragraph (b), the transferring national officer must— (i) (ii) in relation to a Schedule 4 allocation, consult the relevant receiving officer; in relation to the Gautrain Rapid Rail Link Grant, ensure that the payment 25 schedule— (aa) is consistent with the projected dates for payments to the private party in terms of the public-private partnership agreement entered into by the relevant province in accordance with regulations issued under the Public Finance Management Act; and 30 (bb) reflects the portion of any payments due under the agreement referred to in subparagraph (aa) payable from the allocation; and (iii) in relation to a Schedule 5 or 6 allocation, consult the relevant province or municipality. (4) The transferring national officer of a Schedule 4 ,5 or 6 allocation must provide the 35 receiving officer with a copy of the approved payment schedule prior to making the first transfer in accordance therewith. Amendment of payment schedule 35. (1) Subject to subsection (2), a transferring national officer of a Schedule 4, 5 or 6 allocation must, within seven days of the withholding or stopping of an allocation in 40 terms of section 27 or 28, amend a payment schedule as a result of the withholding or stopping of an allocation in terms of this Act and submit the amended payment schedule to the National Treasury, prior to any further transfers being made. (2) The National Treasury may, in the interest of better debt and cash-flow management or to deal with financial mismanagement, slow spending or accelerated 45 spending, amend any payment schedule for an allocation listed in Schedule 2, 3 , 4, 5 or 6 on notification to— (a) (b) the accounting officer of a provincial treasury, in the case of a provincial allocation; and the accounting officer of the national department responsible for local 50 government, in the case of a local government allocation. (3) A payment schedule amended in terms of subsection (1) or (2) must take account of— 48 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 1 2 , 2 0 09 DIVISION OF REVENUE ACT, 2009 (a) (b) (c) the monthly spending commitments of provinces or municipalities; the revenue at the disposal of provinces or municipalities; and the minimisation of risk and debt servicing costs for all three spheres of government. (4) An amendment of a payment schedule in terms of subsection (2) prevails over any 5 amendment made in terms of subsection (1). (5) The transferring national officer must immediately inform the receiving officer of any amendment to a payment schedule in accordance with subsection (1) or (2). Transfers made in error 36. (1) Despite anything to the contrary contained in any law, the transfer of an 10 allocation to a province, municipality or public entity in error is regarded as not legally due to that province, municipality or public entity, as the case may be. (2) A transfer contemplated in subsection (1) must be recovered, without delay, by the responsible transferring national officer. (3) Despite subsection (2), the National Treasury may instruct that the recovery 15 contemplated in subsection (2) be effected by set-off against future transfers to the in province, municipality or public entity, which would otherwise become due accordance with a payment schedule. Allocations not listed in Schedules 37. (1) An allocation, other than— (a) a re-allocation referred to in sections 23(7) or 29; (b) a revised indicative allocation in respect of a Schedule 7 or 8 grant; or (c) the Gautrain Rapid Rail Link Loan referred to in section 33, which is not listed in the Schedules referred to in sections 7 and 8, may only be made in terms of section 6(3). (2) The National Treasury must publish the allocations and frameworks for such allocations in the Gazette, prior to the transfer of any funds to a province or municipality. Authorisation of expenditure 20 25 38. (1) Despite anything to the contrary contained in any other law, to defray expenditure of an exceptional nature which cannot, without serious prejudice to the 30 public interest, be postponed to a future appropriation of funds— (a) (b) the Minister may, in accordance with section 16 of the Public Finance Management Act and subject to conditions, make an allocation to a province or municipality from the National Revenue Fund; and the MEC for Finance in a province may, in accordance with section 25 of the 35 Public Finance Management Act and subject to conditions, make an allocation to a municipality from the Provincial Revenue Fund. (2) The relevant treasury must publish any allocation and the conditions subject to which the allocations were made, if any, in the Gazette. (3) In addition to what is provided in subsection (1), and despite any contrary 40 provision contained in any other law, the Minister may approve expenditure qualifying for inclusion in an adjustments budget in terms of section 30(2) of the Public Finance Management Act before such an adjustments budget is passed. (4) Expenditure approved in terms of subsection (3) — (a) may not exceed the total amount set aside as a contingency reserve in the 45 national annual budget for the current financial year; is a direct charge against the National Revenue Fund; and (b) (c) must be included either in the next national adjustments budget or in other appropriation legislation tabled in the National Assembly for the financial year in which the expenditure is authorised. 50 50 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 (5) An approval granted by the Minister in respect of money to be appropriated for expenditure already announced by the Minister during the tabling of the annual budget, may be made subject to conditions. (6) The application of this section may be regulated by regulation or treasury instruction. 5 Implementation of re-demarcations of provincial and municipal boundaries 39. (1) (a) Despite any conflicting provisions contained in legislation which re-demarcates provincial boundaries and addresses associated matters, a province (the releasing province) from which a particular area is relocated at the commencement of the legislation effecting the re-demarcation of provincial boundaries, must continue to 10 spend its allocations for the 2009/10 financial year made in terms of this Act in that particular area, as if that area was not reallocated to another province (the receiving province), unless the affected provinces have entered into an implementation protocol or any other agreement that ensures that the relocated area is not negatively affected. (b) The transferring national officer of an allocation made in terms of this Act and the 15 provincial treasury of the receiving province must monitor that the releasing province complies with paragraph (a). (c) The provincial treasury of the releasing province must, at the request of the transferring national officer, the receiving province or the National Treasury, demon­ strate compliance with paragraph (a). 20 (2) (a) Sections 27 and 28, with the necessary changes, apply where a releasing province fails to comply with subsection (\)(a) or (c) in respect of a Schedule 4, 5 or 6 allocation. (b) The National Treasury may, where it stops an allocation in terms of paragraph (a), after consultation with the transferring national officer, determine that a portion of the 25 allocation be reallocated to the receiving province. (3) The National Treasury may, where a releasing province fails to comply with subsection (l)(a) or (c), after complying with the provisions of section 216(3) of the Constitution, reallocate a portion of the releasing province's equitable share allocation referred to in section 4 to the receiving province. 30 (4) (a) The allocations referred to in sections 4(2) and 7(2) are subject to adjustments necessitated by the implementation of the legislation which re-demarcates provincial boundaries. (b) The transferring national officer of a Schedule 4, 5 or 6 allocation must, by 15 September 2009, inform the National Treasury of any adjustments to the allocations 35 referred to in section 7(2) that must be reflected in the Division of Revenue Act for the next financial year. (5) (a) A category C municipality (the releasing municipality) from which a particular area or a category B municipality is transferred at the commencement of legislation which re-demarcates municipal boundaries and addresses associated matters, must 40 continue to spend its allocations for the 2009/10 financial year made in terms of this Act in that particular area or category B municipality, as if that area was not transferred to another category C municipality (the receiving municipality), unless the affected municipalities have entered into an agreement that ensures that the relocated area or category B municipality is not negatively affected. 45 (b) The transferring national officer of an allocation made in terms of this Act and the receiving municipality must monitor that the releasing municipality complies with paragraph (a); (c) The releasing municipality must, at the request of the transferring national officer, the receiving municipality or the National Treasury, demonstrate compliance with 50 paragraph (a). (6) (a) The provisions of sections 27 and 28, with the necessary changes, apply where a releasing municipality fails to comply with subsection (5)(a) or (c) in respect of a Schedule 4, 6 or 7 allocation. (b) The National Treasury may, where it stops an allocation in terms of paragraph (a), 55 after consultation with the transferring national officer, determine that a portion of the allocation be reallocated to the receiving municipality. (7) The National Treasury may, where a releasing municipality fails to comply with 52 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 subsection (5)(a) or (c), reallocate a portion of the releasing municipality's equitable share allocation referred to in section 5 to the receiving municipality. (8) (a) The allocations referred to in sections 5(2) and 8(2) are subject to adjustments necessitated by the implementation of the legislation which re-demarcates the municipal boundaries. 5 (b) The transferring national officer of a Schedule 4, 6 or 7 allocation must, by 15 September 2009, inform the National Treasury of any adjustments to the allocations referred to in section 8(2) that must be reflected in the Division of Revenue Act for the next financial year. Preparations for next financial year and 2011/12 financial year 10 40. (1) (a) The receiving officer of an Infrastructure Grant to Provinces must, by 30 June 2009, submit detailed infrastructure plans in a format determined by the National Treasury, to the provincial treasury. (b) The infrastructure plans must indicate the prioritised projects to be funded from the allocations for the next financial year and the 2011/12 financial year, as set out in 15 column B of Schedule 4. (c) The provincial treasury must— (i) (ii) (iii) review the infrastructure plans of all receiving officers, and must assess the extent to which those plans are aligned to the Integrated Development Plan of each affected municipality, and submit the integrated plans to the 20 National Treasury by 28 August 2009, together with the provincial budget submission; ensure that the infrastructure budgets of the receiving departments include an allocation for project design and the initiation of procurement for projects to be implemented in the next financial year and the 2011/12 25 financial year, and that infrastructure budgets are aligned with cash flow requirements of the planned projects in a given year; and ensure that the infrastructure budgets of the receiving departments make adequate provision for operations and maintenance associated with newly constructed or upgraded infrastructure. 30 (2) The receiving officer of a Municipal Infrastructure Grant (Cities) must, by 30 October 2009, submit an infrastructure performance framework referred to in section I5(2)(b) to the National Treasury and the transferring national officer for the next financial year and the 2011/12 financial year. (3) (a) The receiving officer of a Municipal Infrastructure Grant must, by 30 October 35 2009, submit a detailed infrastructure plan to the transferring national officer for the next financial year and the 2011/12 financial year. (b) The infrastructure plan referred to in paragraph (a) must address those matters and be in a format determined by the transferring national officer with the concurrence of the National Treasury. 40 (4) (a) The receiving officer of an Integrated Housing and Human Settlement Development allocation must, using the envisaged conditional allocations to that province for the next financial year and the 2011/12 financial year as set out in Column B of Schedule 5, by 1 October 2009— (i) (ii) agree on the provisional allocations and the projects to be funded from the 45 allocations in the next financial year and the 2010/11 financial year with each municipality identified by the transferring national officer in consultation with the National Treasury; and submit to the transferring national officer— (aa) the provisional allocations referred to in subparagraph (i); (bb) the prioritised projects referred to in subparagraph (i), listed per municipality, to be funded from the allocations for the next financial year and the 2011/12 financial year; and 50 54 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 (cc) a housing development plan indicating how the projects referred to in subparagraph (i) give effect to the Integrated Development Plan of each municipality; (b) The National Treasury may identify the municipalities referred to in paragraph (a)(i) if the transferring national officer has not done so by 1 August 2009. 5 (c) Where a municipality and a receiving officer cannot agree on the allocations and the the receiving officer must request to in subsection (4)(a), projects referred transferring national officer to facilitate agreement. (d) The transferring national officer must take all necessary steps to facilitate agreement as soon as possible, but no later than 60 days after receiving a request. 10 (e) Any proposed amendment or adjustment of the allocations published in terms of section 43 must be agreed with the relevant municipality, the transferring national officer and the National Treasury prior to the submission of the allocations referred to in paragraph (a)(ii). (5) (a) A category C municipality that receives an equitable share, a conditional 15 allocation, or both, in terms of this Act must, using the envisaged conditional allocations to that municipality for the next financial year and the 2011/12 financial year as set out in Column B of the Schedules, by 1 October 2009— (i) (ii) agree the provisional allocations and the projects to be funded from those allocations in the next financial year and the 2011/12 financial year with each 20 category B municipality within the category C municipality's area of jurisdic­ tion; and submit to the transferring national officer— (aa) the provisional allocations referred to in subparagraph (i); and (bb) the prioritised projects referred to in subparagraph (i) listed per 25 municipality to be funded from the allocations for the next financial year and the 2011/12 financial year. (b) Where a category C municipality and a category B municipality cannot agree on the allocations and projects referred to in paragraph (a), the category C municipality must request the relevant transferring national officer to facilitate agreement. 30 (c) The transferring national officer must take all necessary steps to facilitate agreement as soon as possible, but no later than 60 days after receiving a request. (d) Any proposed amendment or adjustment of the allocations published in terms of section 43(3)(b) must be agreed with the relevant category B municipality, transferring national officer and the National Treasury, prior to the submission of the allocations 35 referred to in paragraph (a)(\\). (e) Should agreement not be reached between the category C municipality and the category B municipality on the provisional allocations and projects referred to in paragraph (a) prior to 1 October 2009, the National Treasury may proceed to determine the provisional allocations and provide those provisional allocations to the municipali- 40 ties concerned and the transferring national officer. (6) (a) The transferring national officer of a conditional allocation, using the envisaged conditional allocations for the next financial year and the 2011/12 financial year as set out in Column B of the Schedules to this Act, must, by 31 July 2009 submit to the National Treasury for approval— (i) (ii) (iii) the provisional allocations to each province or municipality in respect of new conditional allocations to be made in the next financial year; any amendments to the envisaged allocations for each province or municipality set out in Column B of the Schedules in respect of existing conditional allocations; and the draft frameworks for the allocations referred to in subparagraphs (i) and (ii) in the format to be determined by the National Treasury. (b) Any proposed amendment or adjustment of the allocation criteria of an existing conditional allocation from the financial year to the next financial year must be agreed 45 50 56 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 with the National Treasury prior to the submission of the provisional allocations and draft frameworks referred to in paragraph (a)(ii) and (iii). (c) The National Treasury may, if the transferring national officer fails to comply with paragraph (a) by 31 July 2009, determine— (i) (ii) the provisional allocations in paragraph (a)(i); any amendments to the envisaged allocations contemplated in paragraph (a)(ii); and the draft frameworks for the allocations referred to in paragraph (a)(iii), and submit that information to the relevant provinces or municipalities. (d) (i) The final allocations based on the provisional allocations referred to in 10 (iii) 5 paragraph (a)(\) and (ii) must be submitted to the National Treasury by 7 December 2009. (ii) If the transferring national officer fails to submit the allocations referred to in subparagraph (i) by 7 December 2009, the National Treasury may determine the appropriate allocations, taking into consideration the envisaged allocations for the next 15 financial year. (7) The National Treasury may, in preparation for the next financial year, instruct transferring national officers, receiving officers and municipalities to submit to it such plans and information for any conditional allocation as it may determine at specified times prior to the start of the next financial year. 20 Expenditure prior to commencement of Division of Revenue Act, 2010

41. Despite sections 3(2), 7(2) and 8(2), if the annual Division of Revenue Act for the next financial year has not commenced before or on 1 April 2010, the National Treasury may determine that an amount not exceeding 45 per cent of the total amount of each allocation made in terms of sections 3(1), 7(1) and 8(1) be transferred to the relevant 25 province or municipality as a direct charge against the National Revenue Fund. CHAPTER 5 DUTIES OF MUNICIPALITIES, PROVINCIAL TREASURIES AND NATIONAL TREASURY Duties of municipalities 30 42. (1) (a) In addition to the requirements of the Municipal Finance Management Act, the accounting officer of a category C municipality must, no later than 14 April 2009, submit that municipality's area of jurisdiction, the budget, as tabled in accordance with section 16 of the Municipal Finance Management Act, for the 2009/10 municipal financial year, and 35 the two following municipal financial years. to the National Treasury and all category B municipalities within (b) The budget must indicate all allocations from its equitable share and conditional allocations to be transferred to each category B municipality within the category C municipality's area of jurisdiction and disclose the criteria for allocating funds between the category B municipalities. (2) A category C municipality that is providing a municipal service must, before implementing any capital project for water, electricity, roads or any other municipal service, consult the category B municipalities within whose area of jurisdiction the project will be implemented, and agree in writing which municipality is responsible for the operational costs and the collection of user fees. (3) A category C municipality must ensure that it does not duplicate a function currently performed by a category B municipality, and must transfer funds for the provision of services, including basic services, to the relevant category B municipality that is providing municipal services, irrespective of the fact that— 40 45 (a) the category C municipality retains the power or function in terms of the 50 Municipal Structures Act; and 58 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 (b) a service delivery agreement for the provision of services by the category B municipality on behalf of the category C municipality has not been concluded. (4) A category B municipality which is not authorised to perform a function in terms of the Municipal Structures Act may not extend the scope or type of services that it currently provides, without— (a) entering into a service delivery agreement with the category C municipality the function in terms of the Municipal which is authorised to perform Structures Act; or (b) obtaining the legal authorisation to perform the function in terms of the Municipal Structures Act. (5) (a) A category C municipality and a category B municipality must, before the commencement of a municipal financial year, agree to a payment schedule in respect of the allocations referred to in subsection (l)(b) to be transferred to the category B municipality in that financial year, and the category C municipality must submit the payment schedule to the National Treasury. (b) A category C municipality must make transfers in accordance with the payment schedule submitted in terms of paragraph {a). 5 10 15 (6) (a) The National Treasury may withhold or stop any allocation to the category C municipality and reallocate the allocation to the relevant category B municipalities if a category C municipality fails to— 20 (1) make allocations referred to in subsection (l)(b); (ii) (iii) reach an agreement contemplated in subsection (2); or submit a payment schedule in accordance with subsection (5). (b) Sections 27(3) and 28(3) and (4) of this Act and section 216 of the Constitution apply, with the necessary changes, to the withholding and stopping of an allocation in 25 accordance with paragraph (a). (c) The National Treasury may, where it stops an allocation in terms of this section, after consultation with the transferring national officer, determine that a portion of the allocation that will not be spent be reallocated to one or more municipalities, on condition that the allocation will be spent in the financial year or the next financial year. 30 (7) A municipality must ensure that any allocation made to it in terms of this Act, or by a province or another municipality, that is not reflected in its budget as tabled in accordance with section 16 of the Municipal Finance Management Act, is reflected in its budget to be considered for approval in accordance with section 24 of the Municipal Finance Management Act. 35 Duties of provincial treasuries 43. (1) The provincial treasury must reflect Schedule 5 allocations separately in the province's appropriation Bill or a schedule to its appropriation Bill. (2) (a) The provincial treasury must, on the same day that its budget is tabled in the provincial legislature, or a later date approved by the National Treasury, but not later 40 than 14 April 2009, publish the following in the Gazette: (i) (ii) (iii) (iv) (v) (vi) the indicative allocation per municipality for every allocation to be made by the province to municipalities from the province's own funds; the indicative allocation to be made per school in the province; the indicative portion of the Integrated Housing and Human Settlement 45 Development allocation to each municipality; the indicative allocation to any national or provincial public entity for the implementation of a programme funded by a Schedule 5 allocation on behalf of a province or for assistance provided to the province in implementing such a programme; the envisaged division of the allocation contemplated in subparagraphs (i)-(iv), in respect of each municipality and school, for the next financial year and the 2011/12 financial year; the conditions and other information in respect of the allocations referred to in subparagraphs (i), (ii) and (iii) to facilitate performance measurement and the 55 use of required inputs and outputs; and 50 60 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 (vii) the budget of each hospital in a format determined by the National Treasury. (b) The allocations and budgets referred to in paragraph (a) must be deemed to be final if the legislature passes the appropriation Bill without any amendments. (c) In the event that the legislature amends the appropriation Bill, the accounting officer of the provincial treasury must publish amended allocations and budgets in the Gazette within 14 days of the legislature passing the appropriation Bill. 5 (3) (a) Despite anything to the contrary contained in any law, a provincial treasury may, in accordance with a framework determined by the National Treasury, amend the allocations referred to in subsection (2) or make additional allocations to municipalities that were not published in terms of subsection (1) or (2). (b) The amended allocations and allocations referred to in paragraph (a) must be included in the province's budget documents that are submitted with an adjustment appropriation Bill to its legislature. (c) The provisions of subsection (2), with the necessary changes, apply in respect of allocations referred to in paragraph (b). 10 15 (4) Where a function for which a province receives a Schedule 5 allocation is assigned to a municipality during a financial year and the province has not appropriated funds to that municipality for the performance of that function, the province must transfer the allocation to the municipality in terms of section 226(3) of the Constitution as a direct charge against that province's Revenue Fund and must inform the National Treasury of 20 the transfer. (5) (a) A provincial treasury must, as part of its consolidated monthly report in terms of section 32 of the Public Finance Management Act, in the format determined by the National Treasury, report on— (1) actual transfers received by the province from national departments; (ii) actual expenditure on such allocations, excluding Schedule 4 allocations, up to the end of that month; and actual transfers made by the province to municipalities, and actual expenditure by municipalities on such allocations. (iii) 25 (b) The report contemplated in paragraph (a) must include reports for each quarter, 30 and be in the format and include the information as may be determined by the National Treasury. (6) A provincial treasury must— (a) ensure— (i) (ii) that a payment schedule is agreed between each provincial department and 35 receiving institution referred to in subsection (2)(a); and that transfers are made in accordance therewith. (b) submit the payment schedules to the National Treasury within 14 days of the commencement of the financial year. Duties of National Treasury 40 44. (1) The National Treasury must, within 14 days of this Act taking effect, submit a notice to all transferring national officers, containing the details of the bank accounts of each province and municipality. (2) The National Treasury must, together with the monthly report contemplated in section 32(2) of the Public Finance Management Act, publish a report on actual transfers 45 of all allocations listed in the Schedules referred to in sections 7 and 8 or made in terms of section 37. (3) The National Treasury may, in any report it publishes that aggregates reports published by provincial treasuries contemplated in section 71(7) of the Municipal Finance Management Act, and in any report in respect of municipal finances, include a 50 report on the equitable share and conditional allocations provided for in this Act. 62 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 CHAPTER 6 GENERAL Allocations by public entities to provinces or municipalities

1. National share includes conditional allocations to provincial and local spheres, general levy sharing with metropolitan municipalities, debt service cost and the contingency

2. The direct charges for the provincial equitable share are netted out. fuel reserve. SCHEDULE 2 DETERMINATION OF EACH PROVINCE'S EQUITABLE SHARE OF THE PROVINCIAL SPHERE'S SHARE OF REVENUE RAISED NATIONALLY (as a direct charge against the National Revenue Fund) Province Province Province Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape T O T AL Column A 2009/10 2009/10 Allocation Allocation R'000 35 940 398 14 236 280 38 896 845 49 989 762 29 861 344 19 005 445 6 192 507 16 121 174 20 807 126 231 050 881 Column B Forward Estimates 2010/11 2011/12 R'000 38 983 317 15 466 344 43 336 279 54 742 454 32 567 740 20 819 407 6 801 249 17 813 857 23 139 845 253 670 492 R'000 41 431 044 16 465 163 47 305 421 58 748 345 34 806 606 22 350 564 7 320 267 19 290 052 25 216 592 272 934 054 68 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 S C H E D U LE 3 D E T E R M I N A T I ON OF E A CH M U N I C I P A L I T Y 'S E Q U I T A B LE S H A RE OF T HE L O C AL G O V E R N M E NT S P H E R E 'S S H A RE OF R E V E N UE R A I S ED N A T I O N A L LY Number Municipality Municipality EASTERN CAPE National Financial Year Column A 2009/10 2009/10 Allocation R'000 Column B Forward Estimates 2010/11 R'000 2011/12 R'000 A NMA Nelson Mandela 456 625 579 518 636 311 B B B B B B B B B C Total: Cacadu Municipalities EC101 EC102 EC103 EC104 EC105 EC106 EC107 EC108 EC109 DC10 Camdeboo Blue Crane Route lkwezi Makana Ndlambe Sundays River Valley Baviaans Kouga Koukamma Cacadu District Municipality EC121 B EC122 B EC123 B ECI24 B EC125 B EC126 B EC127 B EC128 B C DC12 Total: Amatole Municipalities Mbhashe Mnquma Great Kei Amahlathi Buffalo City Ngqushwa Nkonkobe Nxuba Amatole District Municipality EC131 B EC132 B EC133 B EC134 B EC135 B EC136 B EC137 B EC138 B C DC13 Total: Chris Hani Municipalities Inxuba Yethemba Tsolwana Inkwanca Lukhanji Intsika Yethu Emalahleni Engcobo Sakhisizwe Chris Hani District Municipality B B B B C Total: Ukhahlamba Municipalities EC141 EC142 EC143 EC 144 DC14 Elundini Senqu Maletswai Gariep Ukhahlamba District Municipality EC151 B EC152 B EC153 B EC154 B EC155 B EC156 B EC157 B C DC15 Total: O.R Tambo Municipalities Mbizana Ntabankulu Ngquza Hill Port St Johns Nyandeni Mhlontlo King Sabata Dalindyebo OR. Tambo District Municipality EC442 B EC441 B C DC44 Total: Alfred Nzo Municipalities Umzimvubu Matatiele Alfred Nzo District Municipality 23 014 24 450 9 111 41 807 34 983 20 232 9 535 26 991 17 875 63 569 271 569 61 253 88 519 18 944 54 635 392 875 37 180 57 125 12 780 401 480 1 124 791 25 732 15 020 10 639 68 291 54 631 40 449 37 019 21 399 223 806 496988 39 444 52 274 13 908 15 083 100 602 221 312 59 746 33 103 57 934 35 278 69 802 53 515 100 474 324 580 734 433 56 261 56 549 99 863 212 672 28 512 30 271 11 236 51 979 43 437 24 992 11 764 33 255 22 118 68 769 326333 75 599 109 454 23 419 67 538 492 572 45 956 70 637 15 805 473 073 1 374 054 31 886 18 509 13 131 84 457 67 357 49 912 45 691 26 469 275 094 612 505 48 634 64 668 17 174 18 681 122 888 272 046 73 660 40 791 71 450 43 472 86 232 66 089 125 001 396 607 903 301 69 453 69 808 122 097 261 358 31 135 33 049 12 260 56 819 47 462 27 275 12 836 36 616 24 146 72 080 353 679 82 488 119 467 25 558 73 704 545 235 50 151 77 092 17 251 497 259 1 488 206 34 817 20 189 14 327 92 182 73 479 54 455 49 854 28 890 300 385 668 578 53 058 70 581 18 742 20 396 134 158 296 936 80 355 44 497 77 952 47 421 94 100 72 116 136 577 433 096 986113 75 784 76 174 133 290 285 248 Total: Eastern Cape Municipalities 3 518 390 4 329 116 4 715 072 70 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 S C H E D U LE 3 D E T E R M I N A T I ON OF E A CH M U N I C I P A L I T Y 'S E Q U I T A B LE S H A RE OF T HE L O C AL G O V E R N M E NT S P H E R E 'S S H A RE OF R E V E N UE R A I S ED N A T I O N A L LY Number Municipality FREE STATE B B B C Total: Xhariep Municipalities FS161 FS162 FS163 DC16 Letsemeng Kopanong Mohokare Xhariep District Municipality B B B C Total: Motheo Municipalities FS171 FS172 FS173 DC17 Naledi Mangaung Mantsopa Motheo District Municipality B B B B B C Total: Lejweleputswa Municipalities Masilonyana Tokologo Tswelopele Matjhabeng Nala Lejweleputswa District Municipality FS181 FS182 FS183 FS184 FS185 DC18 B B B B B C Total: Thabo Mofutsanyana Municipalities Setsoto Dihlabeng Nketoana Maluti-a-Phofung Phumelela Thabo Mofutsanyana District Municipality FS191 FS192 FS193 FS194 FS195 DC19 FS201 B FS203 B FS204 B FS205 B C DC20 Total: Fezile Dabi Municipalities Moqhaka Ngwathe Metsimaholo Mafube Fezile Dabi District Municipality National Financial Year Column A 200Q/10 Allocation Column B Forward Estimates 2010/11 2011/12 31 915 57 098 32 087 11 557 132 656 23 469 384 373 42 289 142 772 592 904 51 953 27 147 38 340 278 382 87 860 83 578 567 260 105 206 80 146 48 893 208 757 34 749 53 417 531 167 106 449 99 420 61 351 48 454 116 094 431 766 39 535 70 795 39 750 13 128 163 209 29 068 481 570 52 423 151 579 714 639 64 372 33 594 47 493 348 025 108 945 90 250 692 679 130 421 99 843 60 584 259 702 43 021 59 196 652 767 131 969 123 251 77 036 60 026 122 511 514 792 43 166 77 307 43 403 13 992 177 868 31 737 533 031 57 249 139 253 761 269 70 289 36 673 51 855 380 804 118 975 94 499 753 094 142 422 109 194 66 154 283 804 46 968 62 511 711 053 144 121 134 598 84 388 65 541 127 284 555 933 Total: Free State Municipalities 2 255 754 2 738 086 2 959 217 72 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 S C H E D U LE 3 D E T E R M I N A T I ON OF E A CH M U N I C I P A L I T Y 'S E Q U I T A B LE S H A RE OF T HE L O C AL G O V E R N M E NT S P H E R E 'S S H A RE OF R E V E N UE R A I S ED N A T I O N A L LY Number Municipality GAUTENG A A A EKU TSH JHB Ekurhuleni City of Johannesburg City of Tshwane GT461 B GT462 B C DC46 Total: Metsweding Municipalities Nokeng tsa Taemane Kungwini Metsweding District Municipality GT421 B GT422 B GT423 B C DC42 Total: Sedibeng Municipalities Emfuleni Midvaal Lesedi Sedibeng District Municipality GT481 B GT482 B GT483 B C DC48 Total: West Rand Municipalities MogaleCity Randfontein Westonaria West Rand District Municipality National Financial Year Column A 2009/10 2009/10 Allocation Allocation Column B Forward Estimates 2010/11 2011/12 1 099 319 1 234 256 512 149 1 404 710 1 626 603 675 636 1 543 160 1 804 526 747 670 22 439 50 363 23 617 96 419 388 199 28 363 37 541 201 583 655 685 132 729 56 171 62 218 142 585 393 703 27 999 63 690 25 739 117 429 485 954 35 906 46 817 212 437 781 114 167 331 70 747 77 134 151 127 466 339 30 630 69 936 27 051 127 617 531 822 39 439 51 216 220 612 843 089 183 456 77 601 84 223 157 251 502 531 Total: Gauteng Municipalities 3 991 530 5 071 829 5 568 593 74 No. 32106 G O V E R N M E NT G A Z E T T E, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF R E V E N UE ACT, 2009 S C H E D U LE 3 D E T E R M I N A T I ON OF E A CH M U N I C I P A L I T Y 'S E Q U I T A B LE S H A RE OF T HE L O C AL G O V E R N M E NT S P H E R E 'S S H A RE OF R E V E N UE R A I S ED N A T I O N A L LY Number Number Municipality Municipality KWAZU LU-NATAL National Financial Year Column A 2009/10 2009/10 Column B Forward Estimates Allocation 2010/11 2011/12 A ETH eThekwini I 095 568 1 336 019 1 472 018 B B B B B B C Total: Ugu Municipalities KZN211 KZN212 KZN213 KZN214 KZN215 KZN216 DC21 Vulamehlo Umdoni Umzumbe uMuziwabantu Ezinqolweni Hibiscus Coast Ugu District Municipality B B B B B B B C Total: uMgungundlovu Municipalities uMshwathi uMngeni Mooi Mpofana Impendle Msunduzi Mkhambathini Richmond uMgungundlovu District Municipality KZN221 KZN222 KZN223 KZN224 KZN225 KZN226 KZN227 DC22 KZN232 B KZN233 B KZN234 B KZN235 B KZN236 B C DC23 TotahUthukela Municipalities Emnambithi/Ladysmith Indaka Umtshezi Okhahlamba Jmbabazane Uthukela District Municipality KZN241 B KZN242 B KZN244 B KZN245 B C DC24 Total: Umzinyathi Municipalities Endumeni Nquthu Msinga Umvoti Umzinyathi District Municipality KZN252 B KZN253 B KZN254 B C DC25 Total: Amajuba Municipalities Newcastle eMadlangeni Dannhauser Amajuba District Municipality KZN26I B KZN262 B KZN263 B KZN265 B KZN266 B DC26 C Total: Zululand Municipalities eDumbe uPhongolo Abaqulusi Nongoma Ulundi Zululand District Municipality 19 326 16 484 48 056 23 904 14 261 53 663 161 248 336 941 32 399 19 999 13 106 12919 199 824 16 242 17 073 218 249 529 810 64 822 34 737 16 648 35 045 37 738 159 193 348 183 15 160 37 377 36 575 23 720 105 793 218 625 178 204 7 6 15 27 230 66 487 279 536 20 763 34 490 45 536 38 960 44 577 159 047 343 372 23 814 20 444 59 284 29 532 17616 67 774 195 518 413 982 40 030 25 415 16 228 15 941 255 504 20 028 21 080 254 738 648 965 80 658 42 935 20 811 43 307 46 644 193 675 428 031 19 045 46 137 45 039 29 296 128 955 268 473 222 180 9 352 33 620 77 255 342 407 25 665 42 663 56 210 48 036 54 982 194 146 421 701 25 977 22 338 64 679 32 229 19 223 74 351 213 473 452 269 43 681 27 949 17717 17 392 284 638 21 849 23 002 264 245 700 471 88 183 46 856 22 786 47 261 50 901 211 480 467 466 20 878 50 343 49 126 31 971 140 814 293 132 242 927 10 197 36 684 84 299 374 106 28 011 46 565 61 329 52 403 59 989 211 993 460 290 76 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 S C H E D U LE 3 D E T E R M I N A T I ON OF E A CH M U N I C I P A L I T Y 'S E Q U I T A B LE S H A RE OF T HE L O C AL G O V E R N M E NT S P H E R E 'S S H A RE OF R E V E N UE R A I S ED N A T I O N A L LY Number Municipality National Financial Year Column A 2009/10 Allocation Column B Forward Estimates 2010/11 2011/12 B B B B B C Total: Umkhanyakude Municipalities Umhlabuyalingana Jozini The Big Five False Bay Hlabisa Mtubatuba Umkhanyakude District Municipality KZN271 KZN272 KZN273 KZN274 K.ZN275 DC27 KZN281 B KZN282 B KZN283 B KZN284 B KZN285 B KZN286 B C DC28 Total: uThungulu Municipalities Mbonambi uMhlathuze Ntambanana Umlalazi Mthonjaneni Nkandla uThungulu District Municipality B B B B C Total: iLembe Municipalities KZN291 KZN292 KZN293 KZN294 DC29 Mandeni KwaDukuza Ndwedwe Maphumulo iLembe District Municipality B B B B B C Total: Sisonke Municipalities KZN431 KZN432 KZN433 KZN434 KZN435 DC43 Ingwe Kwa Sani Greater Kokstad Ubuhlebezwe Umzimkhulu Sisonke District Municipality 28 225 38 298 7 723 31 052 9 664 106 085 221 045 24 661 111 841 11 668 46 142 14313 27 118 216 528 452 270 39 016 39 868 34 274 26 408 145 775 285 341 27 744 6 892 28 639 27 970 46 771 124 778 262 794 34 756 47 196 9 478 38 158 11 941 130 048 271 577 30 367 140 698 14 332 56 884 17 684 33 372 256 570 549 907 48 229 50 796 42 222 32 563 175 065 348 876 34 243 8 501 35 625 34 493 57 767 152 495 323 123 37910 51 486 10 332 41 604 13 034 142 007 296 374 33 118 154 205 15 624 62 058 19 300 36 397 279 951 600 654 52 636 55 846 46 054 35 525 191 123 381 183 37 362 9 277 38 936 37 631 63 035 166 488 352 730 Total: KwaZulu-Natal Municipalities 4 373 485 5 353 061 5 850 693 78 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12,2009 DIVISION OF REVENUE ACT, 2009 S C H E D U LE 3 D E T E R M I N A T I ON OF E A CH M U N I C I P A L I T Y 'S E Q U I T A B LE S H A RE OF T HE L O C AL G O V E R N M E NT S P H E R E 'S S H A RE OF R E V E N UE R A I S ED N A T I O N A L LY Number Municipality Municipality LIMPOPO B B B B B C Total: Greater Sekhukhune District Municipalities Makhuduthamaga Fetakgomo Greater Marble Hall Elias Motsoaledi Greater Tubatse Greater Sekhukhune District Municipality LIM473 LIM474 LIM471 LIM472 LIM475 DC47 B B B B B C Total: Mopani Municipalities LIM331 LIM332 LIM333 LIM334 LIM335 DC33 Greater Giyani Greater Letaba Greater Tzaneen Ba-Phalaborwa Maruleng Mopani District Municipality LIM341 B LIM342 B LIM343 B L1M344 B C DC34 Total: Vhembe Municipalities Musina Mutale Thulamela Makhado Vhembe District Municipality LIM351 B LIM352 B LIM353 B LIM354 B LIM355 B C DC35 Total: Capricorn Municipalities Blouberg Aganang Molemole Polokwane Lepelle-Nkumpi Capricorn District Municipality LIM361 B LIM362 B LIM364 B LIM365 B LIM366 B L1M367 B C DC36 Total: Waterberg Municipalities Thabazimbi Lephalale Mookgopong Modimolle Bela Bela Mogalakwena Waterberg District Municipality National Financial Year Column A 2009/10 2009/10 Allocation Column B Forward Estimates 2010/11 2011/12 84 451 26 136 41 102 78 757 74 350 219 940 524 736 78 723 78 967 121 187 37 516 30 972 292 547 639 912 18 878 23 650 158 199 145 224 296 093 642 043 47 239 43 526 44 890 240 219 73 707 258 677 708 258 35 341 56 497 14 514 35 196 27 857 151 839 78 598 399 842 104 379 32 179 50 836 97 378 91 888 268 134 644 794 97 281 97 676 150 776 46 403 38 233 355 311 785 678 23 372 29 139 196 656 180 560 362 362 792 088 58 358 53 683 55 524 299 207 91 091 311 507 869 369 43 839 70 041 17 976 43 664 34 613 188 739 84 623 483 496 113 904 35 096 55 480 106 269 100 280 292 774 703 802 106 154 106 603 164 719 50 649 41 714 387 965 857 804 25 514 31 784 214 802 197 222 395 708 865 030 63 681 58 565 60 597 327 054 99 402 339 997 949 296 47 887 76 490 19 630 47 694 37 829 206 193 88 519 524 243 Total: Limpopo Municipalities 2 914 792 3 575 426 3 900174 80 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 1 2 , 2 0 09 DIVISION OF REVENUE ACT, 2009 S C H E D U LE 3 D E T E R M I N A T I ON OF E A CH M U N I C I P A L I T Y 'S E Q U I T A B LE S H A RE OF T HE L O C AL G O V E R N M E NT S P H E R E 'S S H A RE OF R E V E N UE R A I S ED N A T I O N A L LY Number Municipality MPUMALANGA B B B B B B B C Total: Cert Sibande Municipalities MP301 MP302 MP303 MP304 MP305 MP306 MP307 DC30 Albert Luthuli Msukaligwa Mkhondo Pixley Ka Seme Lekwa Dipaleseng Govan Mbeki Gert Sibande District Municipality MP311 B MP312 B MP313 B MP314 B MP315 B MP316 B C DC31 Total: Nkangala Municipalities Delmas Emalahleni Steve Tshwete Emakhazeni Thembisile Dr JS Moroka Nkangala District Municipality MP321 B MP322 B MP323 B MP324 B MP325 B DC32 C Total: Ehlanzeni Municipalities Thaba Chweu Mbombela Umjindi Nkomazi Bushbuckridge Ehlanzeni District Municipality National Financial Year Column A 2009/10 Allocation Column B Forward Estimates 2010/11 2011/12 93 696 65 007 57 623 52 359 49 169 27 759 121 570 226 184 693 368 31 595 113 700 53 235 22 224 135 892 141 939 268 516 767 101 46 970 193 016 28 855 154 048 266 721 153 454 843 064 115 968 80 600 71 315 64 859 61 026 34 374 152 753 237 366 818 260 39 247 143 084 67 613 27 515 168 240 175 641 281 412 902 751 58 242 240 616 35 776 191 348 330 672 165 094 1 021 749 126 602 88 035 77 858 70 818 66 673 37 533 167 362 246 286 881 167 42 888 156 814 74 302 30 044 183 657 191 722 291 907 971 334 63 608 263 058 39 072 209 017 361 059 172 654 1 108 467 Total: Mpumalanga Municipalities 2 303 533 2 742 759 2 960 968 82 No. 32106 G O V E R N M E NT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 S C H E D U LE 3 D E T E R M I N A T I ON OF E A CH M U N I C I P A L I T Y 'S E Q U I T A B LE S H A RE OF T HE L O C AL G O V E R N M E NT S P H E R E 'S S H A RE OF R E V E N UE R A I S ED N A T I O N A L LY Number Municipality Municipality NORTHERN CAPE NC451 B NC452 B NC453 B C DC45 Total: Kgalagadi Municipalities Moshaweng Ga-Segonyana Gammagara Kgalagadi District Municipality NC061 B NC062 B NC064 B NC065 B NC066 B NC067 B C DC6 Total: Namakwa Municipalities Richtersveld Nama Khoi Kamiesberg Hantam Karoo Hoogland Khai-Ma Namakwa District Municipality B B B B B B B B C Total: Karoo Municipalities NC071 NC072 NC073 NC074 NC075 NC076 NC077 NC078 DC7 Ubuntu Umsobomvu Emthanjeni Kareeberg Renosterberg Thembelihle Siyathemba Siyancuma Karoo District Municipality B B B B B B C Total: Siyanda Municipalities NC081 NC082 NC083 NC084 NC085 NC086 DC8 Mier !Kai! Garib //Khara Hais !Kheis Tsantsabane Kgatelopele Siyanda District Municipality B B B B C Total: Frances Baard Municipalities NC091 NC092 NC093 NC094 DC9 Sol Plaatje Dikgatlong Magareng Phokwane Frances Baard District Municipality National Financial Year Column A 2009/10 2009/10 Allocation Column B Forward Estimates 2010/11 2011/12 37 385 38014 12 649 43 519 131 568 7 270 21 375 7 460 12 329 8 031 7 572 27 068 91 105 11 006 18 589 21 931 7 122 8 904 8 551 12 131 20 285 22 939 131 459 5 265 28 109 31 243 9 322 14 301 9 147 39 486 136 872 93 127 27 115 17 808 39 776 67 847 245 673 46 188 47 111 15 722 48 247 157 267 8 978 26 432 9 160 15 234 9 860 9 298 29 055 108 016 13 592 22 985 27 181 8 785 10 945 10514 15 001 25 108 25 335 159 446 6 462 34 801 39 101 11 464 17 678 11 280 43 086 163 871 117 444 33 534 22 025 49 259 75 852 298 112 50 406 51 446 17 185 50 974 170 011 9 801 28 855 9 987 16 628 10 749 10 137 30 379 116 537 14 834 25 089 29 692 9 588 11 935 11 465 16 377 27411 26 747 173138 7 046 37 991 42 823 12 502 19 298 12 306 45 290 177 255 128 806 36 605 24 042 53 778 82 679 325 910 Total: Northern Cape Municipalities 736 677 886 713 962 852 84 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 S C H E D U LE 3 D E T E R M I N A T I ON OF E A CH M U N I C I P A L I T Y 'S E Q U I T A B LE S H A RE OF T HE L O C AL G O V E R N M E NT S P H E R E 'S S H A RE OF R E V E N UE R A I S ED N A T I O N A L LY Number Municipality NORTH WEST B B B B B C Total: Bojanala Platinum Municipalities Moretele Madibeng Rustenburg Kgetlengrivier Moses Kotane Bojanala Platinum District Municipality NW371 NW372 NW373 NW374 NW375 DC37 B B B B B C Total: Ngaka Modiri Moiloa Municipalities Ratlou Tswaing Mafikeng Ditsobotla Ramotshere Moiloa Ngaka Modiri Moiloa District Municipality NW381 NW382 NW383 NW384 NW385 DC38 NW391 B NW392 B NW393 B NW394 B NW395 B NW396 B C DC39 Total: Bophirima Municipalities Kagisano Naledi Mamusa Greater Taung Molopo Lekwa-Teemane Dr Ruth Segomotsi Mompati District Municipality NW401 B NW402 B NW403 B NW404 B NW405 B C DC40 Total: Southern Municipalities Ventersdorp Tlokwe City of Matlosana Maquassi Hills Merafong City Dr Kenneth Kaunda District Municipality National Financial Year Column A 7 0 0 9 / 10 Allocation Column B Forward Estimates 2010/11 2011/12 91 015 169 609 159 996 25 638 140 734 210 564 797 556 38 795 37 810 75 669 48 005 47 298 259 788 507 365 33 735 20 560 19 204 57 080 6 838 17 160 132 663 287 239 27 707 52 835 221 440 46 325 116 251 140 787 605 344 112 524 211 184 200 355 31 731 174 320 223 605 953 719 47 963 46 762 94 194 59315 58 482 309 947 616 662 41 672 25 560 23 738 70 437 8 366 21 225 161 509 352 507 34 305 66 652 276 565 57 399 144 947 150 338 730 206 122 810 230 810 219 285 34 639 190315 232 819 1 030 678 52 341 51 036 102 917 64 722 63 824 338 343 673 183 45 470 27 942 25 906 76 847 9 114 23 168 176 320 384 767 37 453 73 102 302 504 62 674 158 422 156 827 790 982 Total: North West Municipalities 2 197 504 2 653 094 2 879 610 86 No. 32106 GOVERNMENT GAZETTE, 3 APRIL 2009 Act No. 12, 2009 DIVISION OF REVENUE ACT, 2009 S C H E D U LE 3 D E T E R M I N A T I ON OF E A CH M U N I C I P A L I T Y 'S E Q U I T A B LE S H A RE OF T HE L O C AL G O V E R N M E NT S P H E R E 'S S H A RE OF R E V E N UE R A I S ED N A T I O N A L LY Number Municipality WESTERN CAPE National Financial Year Column A 2009/10 Allocation Column B Forward Estimates 2010/11 2011/12 A CPT City of Cape Town 609 313 817 886 910 454 WC011 B WC012 B WC013 B WC014 B WC015 B C DC1 Total: West Coast Municipalities Matzikama Cederberg Bergrivier Saldanha Bay Swartland West Coast District Municipality B B B B B C Total: Cape Winelands Municipalities Witzenberg Drakenstein Stellenbosch Breede Valley Breede River Winelands Cape Winelands District Municipality WC022 WC023 WC024 WC025 WC026 DC2 WC031 B WC032 B WC033 B WC034 B C DC3 Total: Overberg Municipalities Theewaterskloof Overstrand Cape Agulhas Swellendam Overberg District Municipality B B B B B B B C Total: Eden Municipalities WC041 WC042 WC043 WC044 WC045 WC047 WC048 DC4 Kannaland Hessequa Mossel Bay George Oudtshoorn Bitou Knysna Eden District Municipality B B B C Total: Central Karoo Municipalities WC051 WC052 WC053 DC5 Laingsburg Prince Albert Beaufort West Central Karoo District Municipality 21 126 16817 14 500 20 875 15 690 64 006 153 015 28 541 44 586 25 651 40 544 32 673 185 963 357 958 34 242 21 988 10 324 11 918 37 187 115 660 11 943 16 138 26 117 43 471 27 757 14 002 18 849 117 863 276 140 5 457 6 300 17 581 13414 42 752 26 285 20 905 18 088 25 415 19 983 68317 178 992 35 517 57 117 32 398 51 342 40 648 194 870 411 891 42 565 25 419 12 965 14 861 39 974 135 784 14 836 20 366 32 888 55 722 34 491 16 648 20 956 125 454 321 361 6 709 7 732 21 828 15 438 51 707 28 732 22 853 19 793 28 050 21 990 71 255 192 674 38 834 62 882 35 862 56 362 44 435 202 162 440 537 46 521 28 102 14216 16 264 41 816 146 918 16219 22 363 36 077 61 369 37 700 18 360 23 208 130 723 346 020 7319 8 430 23 858 16515 56122 Total: Western Cape Municipalities 1 554 837 1 917 621 2 092 724 National Total 23 846 502 29 267 706 31 889 901 A L L O C A T I O NS TO P R O V I N C ES TO S U P P L E M E NT T HE F U N D I NG OF P R O G R A M M ES OR F U N C T I O NS F U N D ED F R OM P R O V I N C I AL B U D G E TS S C H E D U LE 4 Vote Name of allocation Purpose Type of allocation Province Agriculture (Vote 23) Comprehensive Agricultural Support Programme Grant To expand the provision of agricultural support services, and promote and facilitate agricultural development by targeting subsistence, emerging and commercial farmers. General conditional allocation to Eastern Cape provinces Health (Vote 14) (a) Health Professions Training and Development Grant Support provinces to fund costs associated Nationally assigned function to with training of health professionals; development and recruitment of medical specialists in under-served provinces, and support and strengthen undergraduate and post graduate teaching and training processes in health facilities. provinces (b) National Tertiary Services Grant To compensate provinces for the supra- provincial nature of tertiary services provision and spill over effects. Nationally assigned function to provinces Column A 2009/10 Allocation R'000 120 364 65 659 33 844 117 762 108 483 70 892 49 232 91 518 57 640 715 394 151 362 110755 614812 222 425 88 759 71 839 58 304 78 608 362 935 1 759 799 509 429 642 835 2 328 301 983 948 176 871 81 410 173 241 134416 1 583 991 6 614 442 Column B Forward Estimates 2010/11 R'000 2011/12 R'000 145 092 79 149 40 797 141 954 130 771 85 456 59 346 110319 69 481 862 365 160 444 117 400 651 701 235 771 94 085 76 149 61 802 83 324 384 711 1 865 387 557 137 659 469 2 561 154 1 102 585 257314 91 879 225 948 179 280 1 763 234 7 398 000 170 557 88 894 43 965 160 176 148 123 95 691 63 954 129 485 78 476 979 321 170 071 124 444 690 803 249 917 99 730 80 718 65 510 88 323 407 794 1 977 310 588 135 695 631 2 703 835 1 164 255 272 409 97 025 238 964 189 648 1 848 976 7 798 878 Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL A L L O C A T I O NS TO P R O V I N C ES TO S U P P L E M E NT T HE F U N D I NG OF P R O G R A M M ES OR F U N C T I O NS F U N D ED F R OM P R O V I N C I AL B U D G E TS S C H E D U LE 4 Vote Name of allocation Purpose Type of allocation Province National Treasury (Vote 7) Infrastructure Grant to Provinces General conditional allocation to Eastern Cape To help accelerate construction, maintenance, upgrading and rehabilitation provinces of new and existing infrastructure in education, roads, health and agriculture; to enhance the application of labour intensive methods in order to maximise job creation and skills development as encapsulated in the EPWP guidelines; and to enhance capacity to deliver infrastructure. capacity to deliver infrastructure. Transport (Vote 33) Public Transport Operations Grant To provide supplementary funding towards Nationally assigned function to public transport services provided by provincial departments of transport. provinces Column A 2009/10 Allocation Column B Forward Estimates 2010/11 2011/12 R'000 1 661 391 717 182 770 400 1 970 933 1 407 445 771 968 492 388 807 577 649 963 9 249 247 126 540 151 805 1 403 826 647 396 174 507 370 650 22 159 41 252 593 774 - 3 531 909 R'000 2 028 135 867 987 936 879 2 397 899 1 753 105 973 877 593 564 976 571 786 894 11 314 911 - - - - - - - - - 3 863 033 3 863 033 R'000 2 341 246 1 000 756 1 082 318 2 740 202 2 099 813 1 126 770 675 819 1 122 285 901 981 13 091 190 - - - - - - - - - 4 153 232 4 153 232 Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape Unallocated TOTAL A L L O C A T I O NS TO M U N I C I P A L I T I ES TO S U P P L E M E NT T HE F U N D I NG OF F U N C T I O NS F U N D ED F R OM M U N I C I P AL B U D G E TS S C H E D U LE 4 Vote Vote Vote Name of allocation Name of allocation Name of allocation Purpose Purpose Purpose City City City Provincial and Provincial and Provincial and Local Local Local Government Government Government (Vote 29) (Vote 29) (Vote 29) Municipal Infrastructure Grant Municipal Infrastructure Grant Municipal Infrastructure Grant To supplement capital finance for basic municipal infrastructure for poor To supplement capital finance for basic municipal infrastructure for poor To supplement capital finance for basic municipal infrastructure for poor households, micro enterprises and social institutions. households, micro enterprises and social institutions. households, micro enterprises and social institutions. of which: of which: of which: Municipal Infrastructure Grant (Cities) Municipal Infrastructure Grant (Cities) Municipal Infrastructure Grant (Cities) Supplements the capital revenues of selected large urban municipalities in Supplements the capital revenues of selected large urban municipalities in Supplements the capital revenues of selected large urban municipalities in order to support their infrastructure investment programmes. order to support their infrastructure investment programmes. order to support their infrastructure investment programmes. Nelson Mandela Nelson Mandela Nelson Mandela Ekurhuleni Ekurhuleni Ekurhuleni City of Johannesburg City of Johannesburg City of Johannesburg City of Tshwane City of Tshwane City of Tshwane eThekwini eThekwini eThekwini City of Cape Town City of Cape Town City of Cape Town Column A 2009/10 2009/10 Allocation Allocation R'000 Column B Forward Estimates 2010/11 R'000 2011/12 R'000 11 084 860 12S28 884 15 068 551 2 224 349 156016 428 253 475 257 328 083 508 950 327 790 2 604 084 182 532 501 395 556 450 384 068 595 913 383 726 3 131 944 219 532 603 030 669 245 461 921 716 707 461 509 z o a < O Z o < en Z c > n „H o o S C H E D U LE 5 S P E C I F IC P U R P O SE A L L O C A T I O NS TO P R O V I N C ES Vote Name of allocation Purpose Type of allocation Province Agriculture (Vote 23) (a) Agricultural Disaster Management Grant To relief farmers from the effects of drought/veldfire, cold spell, hail storm and flood in identified areas. Conditional allocation (b) llima/Letsema Projects Grant Universal access to agriculture support services. Conditional allocation (c) Land Care Programme Grant: Poverty To enhance a sustainable conservation of Conditional allocation Relief and Infrastructure Development natural resources through a community- based participatory approach; create job opportunities through the Expanded Public Works programme; and improve food security within previously disadvantaged communities. Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Column A 2009/10 Allocation R'000 Column B Forward Estimates 2010/11 R'000 2011/12 R'000 4 000 11 000 10 000 5 000 5 000 5 000 5 000 5 000 10 000 60 000 5 000 6 500 2 500 7 500 5 000 5 000 7 500 5 000 6 000 50 000 8 227 4 113 3 599 8 227 7713 4 627 5 656 6 170 3 085 51 417 - - - - - - - - - - 20 000 26 000 10 000 30 000 20 000 20 000 30 000 20 000 24 000 200 000 8 721 4 360 3 815 8 721 8 176 4 904 5 995 6 540 3 270 54 502 - - - - - - - - - - 40 000 52 000 20 000 60 000 40 000 40 000 60 000 40 000 48 000 400 000 9 244 4 622 4 044 9 244 8 667 5 198 6 355 6 932 3 466 57 772 S C H E D U LE 5 S P E C I F IC P U R P O SE A L L O C A T I O NS TO P R O V I N C ES Vote Name of allocation Purpose Type of allocation Province Arts and Culture Community Library Services Grant (Vote 12) To transform urban and rural community Conditional allocation library infrastructure, facilities and services (primarily targeting previously disadvantaged communities) through a recapitalised programme at provincial level in support of local government and nationa initiatives. Education (Vote 13) (a) HIV and Aids (Life Skills Education) To provide education and training for Grant school management teams and educators to develop, implement and manage life skills education in line with HIV and Aids, drug and substance abuse, gender equity policies and national strategic plans on HIV and Aids. Conditional allocation (b) National School Nutrition Programme To provide nutritious meals to learners. Grant Conditional allocation Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Column A 2009/10 Allocation R'000 55 515 40315 46 043 34 147 55 956 55 956 58 820 52 872 40 976 440 600 30 168 10 341 25 253 39 765 25 882 14 626 3 828 12 912 14 626 177 401 486 695 122 306 251 590 555 917 419 185 229 534 55 690 161 063 112 548 2 394 528 Column B Forward Estimates 2010/11 R'000 2011/12 R'000 62 240 45 197 51 619 38 282 62 733 62 733 65 943 59 275 45 938 493 960 32 156 10 719 27 078 42 686 27 454 15 420 3 573 13 539 15 420 188 045 702 936 195 194 388 884 855 285 659 233 354 341 84 536 249 599 173318 3 663 326 65 974 47 909 54 716 40 579 66 497 66 497 69 900 62 832 48 694 523 598 34 086 11 362 28 703 45 247 29 101 16 345 3 788 14 351 16 345 199 328 845 166 244 699 509 798 1 070 013 829 669 440 923 105 116 305 935 227 433 4 578 752 S C H E D U LE 5 S P E C I F IC P U R P O SE A L L O C A T I O NS TO P R O V I N C ES Vote Name of allocation Purpose Type of allocation Province Education (Vote 13) (c) Technical Secondary Schools Recapitalisation Grant Conditional allocation To increase the number of learners with key technical skills by supporting quality curriculum delivery of the NCS technical subjects by providing facilities, equipment and training to teachers at technical high schools. Health (Vote 14) (a) Comprehensive HIV and Aids Grant To enable the health sector to develop an Conditional allocation effective response to HIV and Aids and to support the implementation of the National Operational Plan for Comprehensive HIV and Aids treatment and care. (b) Forensic Pathology Services Grant To continue the development and provisior Conditional allocation of adequate mortuary services in all provinces Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape Unallocated TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Column A 2009/10 Allocation R'000 - - - - - - - - - - - 401 727 235 792 760 879 880 659 291 474 200 226 113 703 281 813 309 913 3 476 186 61 214 32 855 81 584 134 538 35 233 44 233 20 187 23 334 58 484 491 662 Column B Forward Estimates 2010/11 R'000 2011/12 R'000 - - - - - - - - - 80 000 80 000 497 599 326 658 866 452 1 013 082 403 280 261 544 157 150 337 158 448 834 4 311 757 69 345 37218 92 421 152 406 39 913 50 107 22 868 26 433 66 251 556 962 - - - - - - - - - 200 000 200 000 533 965 350 365 932 511 1 090 268 432 554 281 080 168 559 362 666 480 994 4 632 962 73 506 39 451 97 966 161 550 42 308 53 114 24 240 28 019 70 226 590 380 S C H E D U LE 5 S P E C I F IC P U R P O SE A L L O C A T I O NS TO P R O V I N C ES Vote Name of allocation Purpose Type of allocation Province Health (Vote 14) (c) Health Disaster Response (Cholera) Grant To support and enable a response to the Cholera epidemic including treatment, public health response and prevention. Conditional allocation (d) Hospital Revitalisation Grant To provide funding to enable provinces to Conditional allocation plan, manage, modernise, rationalise and transform the infrastructure, health technology, monitoring and evaluation of hospitals; and to transform hospital management and improve quality of care in line with national policy objectives. Housing (Vote 26) (a) Housing Disaster Relief Grant To provide emergency relief in support of Conditional allocation reconstruction work to housing and related infrastructure damaged by storms in KwaZulu-Natal. Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Column A 2009/10 Allocation R'000 Column B Forward Estimates 2010/11 R'000 2011/12 R'000 - - - - 50 000 - - - - SO 000 238 611 247 886 755 190 449 558 206 931 304 441 340 197 254 644 388 845 3 186 303 - - - 150 000 - - - - - 150 000 - - - - - - - - - - 360 660 378 426 798 609 500 815 323 425 331 657 420 218 326 303 440 554 3 880 667 - - - - - - - - - - - - - - - - - - - - 386 048 421 883 805 967 551 698 375 672 360 557 410 892 374 074 485 501 4 172 292 - - - - - - - - - - S C H E D U LE 5 S P E C I F IC P U R P O SE A L L O C A T I O NS TO P R O V I N C ES Vote Name of allocation Purpose Type of allocation Province Housing (Vote 26) (b) Integrated Housing and Human Settlement Development Grant Conditional allocation To provide for the facilitation of a sustainable housing development process by laying down general principles applicable to housing development in all spheres of government through the Division of Revenue Act. Public Works (Vote 5) Devolution of Property Rate Funds Grant To facilitate the transfer of property rates Conditional allocation expenditure responsibility to provinces; and to enable provincial accounting officers to be fully accountable for their expenditure and payment of provincial property rates. Sport and Recreation South Africa (Vote 17) Mass Sport and Recreation Participation Programme Grant Conditional allocation To promote mass participation within communities and schools through selected sport and recreation activities. empowerment of communities and schools in conjunction with stakeholders and development of communities through sport Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Column A 2009/10 Allocation Column B Forward Estimates 2010/11 2011/12 R'000 1 313 378 962 759 3 187 086 2 180 448 996 667 795 447 325 011 1 100 055 1 581 425 12 442 276 134 061 140 144 173 983 236 264 13 776 40 340 26 998 66 107 164 865 996 538 62 765 26 591 63 834 85 148 45 023 29 870 19 686 31 096 38 237 402 250 R'000 1 598 646 1 300 691 3 771 831 2 714 109 1 234 750 975 863 273 260 1 288 770 1 868 843 15 026 763 147 467 154 158 191 381 259 891 15 154 44 374 29 698 72 718 181 351 1 096 192 66 531 28 186 67 664 90 256 45 604 31 663 21 927 34 022 40 532 426 385 R'000 1 802 873 1 380 185 4 322 945 3 149 500 1 415 163 1 118 449 313 187 1 578 161 2 141 905 17 222 368 156 315 163 408 202 864 275 485 16 063 47 036 31 480 77 081 192 232 1 161 964 70 523 29 877 71 724 95 671 48 340 33 563 23 243 36 063 42 964 451 968 Reproduced by Sabinet Online in terms of Government Printer’s Copyright Authority No. 10505 dated 02 February 1998 S C H E D U LE 5 S P E C I F IC P U R P O SE A L L O C A T I O NS TO P R O V I N C ES Vote Name of allocation Purpose Type of allocation Province Transport (Vote 33) (a) Gautrain Rapid Rail Link Grant To provide for national government funding contribution over a period of five years to the Gauteng Provincial Government for the construction of a fully integrated Gautrain Rapid Rail network. Conditional allocation (b) Overload Control Grant To successfully implement the National Overload Control Strategy and ensure that overloading practices are significantly reduced. Conditional allocation (c) Sani Pass Roads Grant Conditional allocation To allow commuters from both the Republic of South Africa and the Kingdom of Lesotho to travel and access opportunities and markets; and to improve safety and create the opportunity for extended border control hours. Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape TOTAL Column A 2009/10 Allocation R'000 - - 2 832 691 - - - - - - 2 832 691 - - 5 034 - 5 035 - - - - 10 069 - - - 34 347 - - - - - 34 347 Column B Forward Estimates 2010/11 R'000 2011/12 R'000 - - 340 660 - - - - - - 340 660 5 519 - - - - 5 519 - - - 11038 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Reproduced by Sabinet Online in terms of Government Printer’s Copyright Authority No. 10505 dated 02 February 1998 S C H E D U LE 6 S P E C I F IC P U R P O SE A L L O C A T I O NS TO M U N I C I P A L I T I ES Vote Vote Vote Name of allocation Name of allocation Name of allocation Purpose Purpose Purpose Column A 2009/10 2009/10 Allocation Allocation R'000 Column B Forward Estimates 2010/11 R'000 2011/12 R'000 RECURRENT GRANTS Provincial and Local Government (Vote 29) National Treasury (Vote 7) Water Affairs and Forestry (Vote 34) Sport and Recreation SA (Vote 17) Municipal Systems Improvement Grant Local Government Financial Management Grant Water Services Operating Subsidy Grant 2010 World Cup Host City Operating Grant To assist municipalities in building in-house capacity to perform their functions and stabilise institutional and governance systems. 200 000 200 000 212 000 212 000 224 720 224 720 To promote and support reforms in financial management by building the capacity in municipalities to implement the Municipal Finance Management Act. 299 990 364 589 384 641 To subsidise water schemes owned and/or operated by the department or by other agencies on behalf of the department and transfer these to local government. 978 579 570 000 380 000 To assist host cities with the operational response associated with the hosting of the 2009 Confederations Cup and the 2010 FIFA World Cup competition. 507 557 210 280 - I TOTAL 1 986 126 1 356 869 989 361 INFRASTRUCTURE GRANTS Minerals and Minerals and Energy Energy (Vote 28) (Vote 28) (a) Integrated National Electrification Programme (Municipal) Grant (b) Electricity Demand Side Management (Municipal) Grant Neighbourhood Development Partnership Grant (a) Public Transport Infrastructure and Systems Grant (b) Rural Transport Services and Infrastructure Grant 2010 FIFA World Cup Stadiums Development Grant National Treasury (Vote 7) Transport Transport (Vote 33) (Vote 33) Sport and Recreation SA (Vote 17) To implement the Integrated National Electrification Programme (INEP) by providing capital subsidies to municipalities to address the electrification backlog of permanently occupied residential dwellings, the installation of bulk infrastructure and rehabilitation and refurbishment of electricity infrastructure in order to improve quality of supply. To implement the EEDSM programme by providing capital subsidies to licensed distributors to address the Energy Efficiency Demand Side Management in residential dwellings, community and commercial buildings in order to mitigate the risk of load shedding and supply interruptions. To provide municipalities with capital subsidies for property developments in townships and new residential neighbourhoods that include the construction or upgrading of community facilities, and where appropriate, attract private sector funding and input. To provide for accelerated planning, establishment, construction and improvement of new and existing public transport and non-motorised transport infrastructure and systems. To improve mobility and access in rural municipalities in support of Integrated Development Plans. 932 957 932 957 1 020 104 1 020 104 1 096 612 1 096 612 175 000 220 000 280 000 582 000 630 000 840 440 2418 177 4 289 775 5 149 008 9 800 10 400 11 100 To fund the design and construction of new designated stadiums or the design and upgrading of designated existing stadiums and supporting bulk services infrastructure in the World Cup host cities 1 661 107 302 286 - |TOTAL 5 779 041 6 472 565 7 377 160 4 Reproduced by Sabinet Online in terms of Government Printer’s Copyright Authority No. 10505 dated 02 February 1998 A L L O C A T I O N S - I N - K I ND TO M U N I C I P A L I T I ES F OR D E S I G N A T ED S P E C I AL P R O G R A M M ES S C H E D U LE 7 Vote Vote Vote Name of allocation Name of allocation Name of allocation Purpose Purpose Purpose National Treasury (Vote 7) Minerals and Minerals and Minerals and Energy Energy Energy (Vote 28) (Vote 28) (Vote 28) Neighbourhood Development Partnership Grant To provide municipalities with technical assistance to develop appropriate project proposals for property developments in townships and new residential neighbourhoods that include the construction or upgrading of community facilities, and where appropriate, attract private sector funding and input. (a) Integrated National Electrification Programme (Eskom) Grant To implement the Integrated National Electrification Programme (1NEP) by providing capital subsidies to Eskom to address the electrification backlog of permanently occupied residential dwellings, the installation of bulk infrastructure and rehabilitation of electrification infrastructure. Column A 2009/10 2009/10 Allocation Allocation R'000 Column B Forward Estimates 2010/11 R'000 2011/12 R'000 79 954 125 000 100 000 1 477 709 1 769 475 1 902 186 (b) Backlogs in the Electrification of Clinics and Schools Grant To implement the INEP by providing capital subsidies to Eskom to address the electrification backlog of schools and clinics. 150 000 - - (c) Electricity Demand Side Management (Eskom) Grant To implement the EEDSM programme by providing capital subsidies to Eskom to address the Energ; Efficiency Demand Side Management in residential dwellings, community and commercial building! in order to mitigate the risk of load shedding and supply interruptions. 75 000 110 000 120 000 (a) Water Services Operating Subsidy Grant To subsidise water schemes owned and/or operated by the department or by other agencies on behalf of the department and transfer these to local government. 135 199 - - Water Affairs Water Affairs Water Affairs and Forestry and Forestry and Forestry (Vote 34) (Vote 34) (Vote 34) (b) Regional Bulk Infrastructure Grant (c) Backlogs in Water and Sanitation at Clinics and Schools Grant To develop regional bulk infrastructure for water supply to supplement water treatment works at resource development and link such water resource development with the local bulk and local distribution networks on a regional basis cutting across several local municipal boundaries. In the case of sanitation to supplement regional bulk collection as well as regional waste water treatment works. To eradicate the water supply and sanitation backlog of all clinics and schools. 611 500 839 000 1 475 340 350 000 - - |TOTAL 2 879 362 2 843 475 3 597 526 Reproduced by Sabinet Online in terms of Government Printer’s Copyright Authority No. 10505 dated 02 February 1998 I N C E N T I V ES TO P R O V I N C ES TO M E ET T A R G E TS W I TH R E G A R DS TO P R I O R I TY G O V E R N M E NT P R O G R A M M ES S C H E D U LE 8 Vote Name of allocation Purpose Type of allocation Province Public Works (Vote 5) Expanded Public Works Programme Incentive Grant To incentivise provinces to increase labour intensive employment through programme; that maximise job creation and skills development as encapsulated in the EPWP guidelines. Incentive allocation to provinces Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga Northern Cape North West Western Cape Unallocated TOTAL Column A 2009/10 Allocation R'000 Column B Forward Estimates 2010/11 R'000 2011/12 R'000 29 992 23 008 500 84 180 500 5 047 500 7 192 500 151 419 400 000 400 000 800 000 800 000 Reproduced by Sabinet Online in terms of Government Printer’s Copyright Authority No. 10505 dated 02 February 1998 I N C E N T I V ES TO M U N I C I P A L I T I ES TO M E ET T A R G E TS W I TH R E G A R DS TO P R I O R I TY G O V E R N M E NT P R O G R A M M ES S C H E D U LE 8 Vote Vote Vote Name of allocation Name of allocation Name of allocation Purpose Purpose Purpose Column A 2 0 0 9 / 10 2 0 0 9 / 10 Allocation Allocation Column B Forward Estimates 2 0 1 0 / 11 2 0 1 1 / 12 R ' 0 00 R ' 0 00 R ' 0 00 Public Works 5) (Vote Expanded Public Works Programme Incentive Grant for Municipalities To incentivise municipalities to increase labour intensive employment through programmes that maximise job creation and skills development in line with the EPWP guidelines 201 748 554 000 1 108 000 I T O T AL 2 01 7 48 5 54 0 00 1 1 08 0 00 Reproduced by Sabinet Online in terms of Government Printer’s Copyright Authority No. 10505 dated 02 February 1998