Division of Revenue Act

Link to law: http://www.gov.za/documents/division-revenue-act-14
Published: 2012-05-18

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Division of Revenue Act 5 of 2012
Please note that most Acts are published in English and another South African official language. Currently we only have capacity to publish the English versions.
This means that this document will only contain even numbered pages as the other language is printed on uneven numbered pages.


Government Gazette
REPUBLIC OF SOUTH AFRICA

Vol. 563 Cape Town 17 May 2012 No. 35361
THE PRESIDENCY No. 393 31 March 2010
It is hereby notified that the President has assented to the following Act, which is hereby published for general information:–
No. 5 of 2012: Division of Revenue Act, 2012.

2 No. 35361 GOVERNMENT GAZETTE, 17 May 2012 Act No.5 or2012 Division of Revenue Act, 2012
(English text signed by the President) (Assented to 15 May 2012)
ACT To provide for the equitable division of revenue raised nationally among the national, provincial and local spheres of government for the 2012/13 financial year and the responsibilities of all three spheres pursuant to such division; and to provide for matters connected therewith.
PREAMBLE
WHEREAS section 214( 1) of the Constitution of the Republic of South Africa, 1996, requires an Act of Parliament to provide for-
(a) the equitable division of revenue raised nationally among the national, provincial and local spheres of government;
(b) the determination of each province's equitable share of the provincial share of that revenue; and
(c) any other allocations to provinces, local government or municipalities from the national government's share of that revenue, and any conditions on which those allocations may be made,
BE IT THEREFORE ENACTED by the Parliament of the Republic of South Africa, as follows:- ARRANGEMENT OF PROVISIONS OF ACT
Sections
CHAPTER I
INTERPRETATION AND OBJECTS OF ACT
1. Interpretation 2. Objects of Act
CHAPTER2
EQUITABLE SHARE ALLOCATIONS
3. Equitable division of revenue raised nationally among spheres of government 4. Equitable division of provincial share among provinces 5. Equitable division of local government share among municipalities 6. Shortfalls, excess revenue and additional allocations
,
5
10
4 No. 35361 GOVERNMENT GAZETTE, 17 May 2012
Act No. 5 of 2012 Division of Revenue Act, 2012
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CHAPTER3
CONDITIONAL ALLOCATIONS TO PROVINCES AND MUNICIPALITIES
Part 1
Conditional allocations
7. Conditional allocations to provinces 5 8. Conditional allocations to municipalities
Part 2
Duties of accounting officers in respect of Schedule 4 to 8 allocations
9. Duties of transferring national officer in respect of Schedule 4 allocations 10. Duties of transferring national officer in respect of Schedule 5 to 7 allocations 10 II. Duties of receiving officer in respect of Schedule 4 allocations 12. Duties of receiving officer in respect of Schedule 5, 6 and 8 allocations 13. Duties of receiving officer in respect of infrastructure conditional allocations to
provinces 14. Duties in respect of annual financial statements and annual reports for 2012/13 15
Part3
Matters relating to Schedule 4 to 8 allocations
15. Publication of allocations and frameworks 16. Spending in terms of purpose and subject to conditions 17. Withholding of allocation 20 18. Stopping of allocation 19. Re-allocation of funds 20. Conversion of allocations 21. Unspent conditional allocations
Part4 25
Matters relating to Schedule 1 to 8 allocations
22. Payment schedule 23. Amendment of payment schedule
CHAPTER4
MATTERS RELATING TO ALL ALLOCATIONS 30
24. Transfers made in error or fraudulently 25. Allocations not listed in Schedules 26. Preparations for next financial year and 2014/15 financial year 27. Expenditure prior to commencement of Division of Revenue Act, 20 13
CHAPTERS 35
DUTIES OF MUNICIPALITIES, PROVINCIAL TREASURIES AND NATIONAL TREASURY
28. Duties of municipalities 29. Duties of provincial treasuries 30. Duties ofNational Treasury 40
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Act No.5 of 2012 Division of Revenue Act, 20 12
6
CHAPTER6
GENERAL
31. Allocations by public entities to provinces or municipalities 32. Liability for costs incurred in violation of principles of cooperative governance
and intergovernmental relations 5 33. Irregular expenditure 34. Financial misconduct 35. Delegations and assignments 36. Exemptions 3 7. Regulations 1 0 38. Repeal of laws 39. Short title and commencement
SCHEDULE 1
Equitable division of revenue raised nationally among the three spheres of government
SCHEDULE2
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)
SCHEDULE3
Determination of each municipality's equitable share of the local government sphere's
15
share of revenue raised nationally 20
SCHEDULE4
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
SCHEDULE7
Allocations-in-kind to provinces and municipalities for designated special programmes
SCHEDULE 8
Provision to specifically cater for immediate release of funds to provinces and municipalities for disaster response
CHAPTER 1
INTERPRETATION AND OBJECTS OF ACT
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
30
35
"accreditation" means accreditation of a municipality, in terms of section 1 0(2) of 40 the Housing Act, 1997 (Act No. 107 of 1997), to administer national housing
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8 No. 35361 GOVERNMENT GAZETTE, 17 May 2012 Act No. S of 2012 Division of Revenue Act, 2012
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programmes, read with Part 3 of the National Housing Code, 2009 (Financial Interventions: Accreditation of Municipalities); "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 5 government or municipality from the national government's share of revenue raised nationally, contemplated in section 214(l)(c) of the Constitution of the Republic of South Africa, 1996; "corporation for public deposits account" means a bank account of a Provincial Revenue Fund held with the Corporation for Public Deposits, established by the 10 Corporation for Public Deposits Act, 1984 (Act No. 46 of 1984); "Disaster Management Act" means the Disaster Management Act, 2002 (Act No. 57 of2002); "financial year" means the financial year commencing on I April 2012 and ending on 31 March 2013; 15 "framework" means the conditions and other information in respect of a conditional allocation published by the National Treasury in terms of section 15; "level one accreditation" means accreditation to render beneficiary management, subsidy budget planning and allocation, and priority programme management and administration; 20 "level three accreditation" means an executive assignment to administer all aspects, including financial administration, of national housing programmes; "level two accreditation" means accreditation to render full programme management and administration of all housing instruments and housing programmes in addition to the responsibilities under a level one accreditation; 25 "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 I July 2012 and ending on 30 June 2013; "next financial year" means the financial year commencing on I April 2013 and 30 ending on 31 March 2014; "next municipal financial year" means the financial year of a municipality commencing on 1 July 2013 and ending on 30 June 2014; "organ of state" means an organ of state as defined in section 239 of the Constitution of the Republic of South Africa, !996; 35 "payment schedule" means a schedule which sets out- ( a) the amount of each transfer of an equitable share or any conditional allocation
in terms of this Act to be transferred to a province or municipality in the financial year;
(b) the date on which each transfer must be paid; and 40 (c) to whom, and to which bank account, each transfer must be paid; "prescribe" means prescribe by regulation in terms of section 37; "primary bank account"- (a) in relation to a province, means a bank account of the Provincial Revenue
Fund held with a commercial bank which the accounting officer of the 45 provincial treasury has certified to the National Treasury as the bank account into which all conditional allocations in terms of this Act must be deposited; and
(b) in relation to a municipality, means the bank account of the municipality as determined in terms of section 8 of the Municipal Finance Management Act; 50
"Public Finance Management Act" means the Public Finance Management Act, 1999 (Act No. I of 1999); "quarter" means the period from- ( a) 1 April to 30 June; (b) I July to 30 September; 55 (c) 1 October to 31 December; or (d) 1 January to 31 March; "receiving officer"- (a) 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 60 allocation or a portion thereof for spending via an appropriation from its Provincial Revenue Fund; or
..
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(b) in relation to a Schedule 4, 6, 7 or 8 allocation transferred to or provided in kind to a municipality, means the accounting officer of the municipality;
"receiving provincial department", in relation to a Schedule 4, 5 or 8 allocation transferred to a province, means the provincial department which receives that allocation or a portion thereof for spending via an appropriation from its Provincial 5 Revenue Fund; "this Act" includes any framework or allocation published, or any regulation made 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 I 0 municipality or spends a Schedule 7 allocation on behalf of a municipality.
(2) Any determination, instruction or request made in terms of this Act must be in writing.
(3) A reference to a specific conditional allocation refers to the allocation indicated in a Schedule to this Act and a framework by that name. 15
Objects of Act
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 predictability and certainty in respect of all allocations to provinces 20
and municipalities, in order that provinces and municipalities may plan their budgets over a multi-year period and thereby promote better coordination between policy, planning and budgeting; and
(c) promote transparency and accountability in the resource allocation process, by ensuring that all allocations are reflected on the budgets of provinces and 25 municipalities and by ensuring that the expenditure of conditional allocations is reported on by the receiving provincial departments and municipalities.
CHAPTER2
EQUITABLE SHARE ALLOCATIONS
Equitable division of revenue raised nationally among spheres of government 30
3. (I) 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 I.
(2) An envisaged division of revenue anticipated to be raised in respect of the next financial year and the 2014/15 financial year, and which is subject to the provisions of 35 the annual Division of Revenue Acts for those financial years, is set out in Column B of Schedule I.
Equitable division of provincial sbare among provinces
4. (I) 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. 40
(2) An envisaged division for each province of revenue anticipated to be raised nationally in respect of the next financial year and the 20 14/15 financial year, and which 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 (I) must be 45 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 22.

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Equitable division of local government share among municipalities
5. (I) 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 2014/15 financial year, and which 5 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 (I) must be transferred to the primary bank account of the municipality in three transfers on 6 July 2012, 30 November 2012 and 22 March 2013, in accordance with a payment schedule 10 determined by the National Treasury in terms of section 22.
Shortfalls, excess revenue and additional allocations
6. (I) If actual revenue raised nationally in respect of the financial year falls short of the anticipated revenue set out in Schedule I, the national government bears the shortfall. 15
(2) If actual revenue raised nationally in respect of the financial year exceeds the anticipated revenue set out in Schedule I, 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- 20 (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; and 25
(b) increase a conditional allocation to a province or municipality through a virement under section 43 of the Public Finance Management Act or section 28(2)(d) of the Municipal Finance Management Act, as the case may be.
CHAPTER3
CONDITIONAL ALLOCATIONS TO PROVINCES AND MUNICIPALITIES 30
Part I
Conditional allocations
Conditional allocations to provinces
7. (I) Conditional allocations to provinces in respect of the financial year from the national government's share of revenue raised nationally are set out in Column A of the 35 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; (c) Schedule 7, specifying allocations-in-kind to provinces for designated special 40
programmes; and (d) Schedule 8, specifying funds that are currently not allocated to specific
provinces, that may be released to provinces to fund disaster response within

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a period from three days up to three months following a declared disaster in terms of the conditions of the Disaster Management Act.
(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 2014/15 financial year, which is subject to the annual Division of Revenue 5 Acts for those years, is set out in Column B of the Schedules referred to in subsection (1).
Conditional allocations to municipalities
8. ( l) 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 10 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 15
special programmes; and (d) Schedule 8, specifYing funds that are currently not allocated to specific
municipalities, that may be released to local government or municipalities to fund disaster response within a period from three days up to three months following a declared disaster in terms of the conditions of the Disaster 20 Management Act.
(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 2014/15 financial year, which, with the exception of what is provided in subsection (4) in relation to the Public Transport Infrastructure and Systems 25 Grant, and 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 (1).
(3) The National Treasury must, in terms of section 15, publish the share or indicative allocation of each municipality in respect of the local government allocations contemplated in subsections (l)(a) to (d) and (2) in the Gazette. 30
(4) Despite subsection (2), in respect of the Public Transport Infrastructure and Systems Grant, funding which is specifically approved by the National Treasury in relation to transport contracts for capital projects must be regarded as being firm allocations for the next financial year and the 2014/15 financial year that will not be altered downwards in the Division of Revenue Acts in respect of those financial years. 35
(5) (a) Subject to paragraph (b), a municipality may only after obtaining the approval of the National Treasury, pledge, offer as security or commit to a person or institution future conditional allocation transfers due to the municipality for the next financial year and the 2014/15 financial year, for the purpose of securing a loan or any other form of financial or other support from that person or institution. 40
(b) Prior to granting an approval in terms of paragraph (a), the National Treasury must-
(i) inform the relevant transferring national officer of a request by a municipality for approval to pledge, offer as security or commit to a person or institution future conditional allocation transfers due to the municipality as referred to in 45 paragraph (a); and
(ii) provide a period of three working days for the transferring national officer to provide comment to the National Treasury on the municipality's request for approval, unless this period is extended by the National Treasury.
Part 2
Duties of accounting officers in respect of Schedule 4 to 8 allocations
Duties of transferring national officer in respect of Schedule 4 allocations
9. ( 1) The transferring national officer of a Schedule 4 allocation is responsible for- ( a) ensuring that transfers to all provinces and municipalities are-
50
(i) deposited only into the primary bank account of a province or 55 municipality; and

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(ii) made in accordance with the payment schedule approved in terms of section 22, unless allocations are withheld or stopped in terms of section 17 or 18;
(b) monitoring expenditure and non-financial performance information on programmes funded by an allocation, in accordance with subsections (2) and 5 (3) and the requirements of the applicable framework;
(c) complying with the requirements of the applicable framework; (d) submitting a quarterly performance report within 45 days after the end of each
quarter to the National Treasury, in accordance with the requirements of the relevant framework; and 1 0
(e) 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) (a) Subsection ( 1 )(b) does not apply to the Urban Settlements Development Grant. 15 (b) The transferring national officer must publish the information provided for in
terms of section 13( 1) in the Gazette, in a format determined by the National Treasury, not later than 28 days after this Act takes effect.
(3) With respect to Schedule 4 allocations, any monitoring programme or system that is utilised to monitor expenditure and non-financial performance information funded by 20 an allocation must-
(i) be approved by the National Treasury; (ii) not impose any excessive administrative responsibility on receiving officers of
provincial departments or municipalities beyond the provision of standard management information; 25
(iii) be compatible and integrated with and not unnecessarily duplicate other relevant and related national and provincial systems; and
(iv) be consistent with section 11 (2).
Duties of transferring national officer in respect of Schedule 5 to 7 allocations
10. (1) A transferring national officer must- 30 (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 excessive administrative responsibility on receiving provincial departments and municipalities beyond the 35 provision of standard management information;
(ii) monitoring provisions are compatible and integrated with and do not duplicate other relevant and related national, provincial and local systems;
(iii) in respect of a Schedule 5 allocation, any business plans requested in 40 respect of how allocations will be utilised by a province have been approved prior to the start of the financial year;
(iv) in respect of a Schedule 6 allocation transferred to a municipality, any 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; 45
(b) in respect of Schedule 5 and 6 allocations- (i) 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;
(ii) transfer funds only in accordance with a payment schedule determined in 50 accordance with section 22; and
(iii) 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; and
(c) ensure that all other arrangements or requirements as stipulated in this Act or 55 in the relevant framework for the particular allocation necessary for the transfer of an allocation have been complied with prior to the start of the financial year, and are complied with throughout the financial year.
(2) The transferring national officer must submit all relevant information and documentation referred to in subsection (l)(a) to the National Treasury within 14 days 60 after this Act takes effect.
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(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 transferring the allocation as an unconditional allocation.
( 4) Before making the first transfer of any allocation, the transferring national officer must take note of any notice in terms of section 30(1) from the National Treasury 5 outlining the details of the account for each province or municipality.
(5) The transferring national officer of a Schedule 6 allocation is responsible for monitoring expenditure and non-financial performance information on programmes funded by an allocation.
( 6) Despite anything to the contrary contained in any law, a transferring national 10 officer must in respect of any allocation, as part of the report contemplated in section 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- 15
(a) the amount of funds transferred to a province or municipality; (b) 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; 20
(c) the actual expenditure incurred by the province or municipality in respect of a Schedule 5 or 6 allocation;
(d) the actual expenditure incurred by the transferring national officer in respect of a Schedule 7 allocation;
(e) any matter or information that may be prescribed in the relevant framework 25 for the particular allocation; and
(f) such other matters as the National Treasury may determine. (7) A transferring national officer must submit a quarterly performance report within
45 days after the end of each quarter to the National Treasury, in accordance with the requirements of the relevant framework. 30
(8) 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, within four months in respect of a province, and six months in respect of a municipality, after the end of the financial year.
(9) The transferring national officer for the Human Settlements Development Grant, 35 in consultation with the receiving officer and the National Treasury, must-
(a) determine the allocations for the Medium Term Expenditure Framework period from the Human Settlements Development Grant for each municipality that has level one and two accreditation; and
(b) submit those allocations to the National Treasury not later than 28 days after 40 this Act takes effect.
(10) The transferring national officer must publish the allocations referred to in subsection (9) in the Gazette within 14 days after submitting the allocations to the National Treasury.
Duties of receiving officer in respect of Schedule 4 allocations
11. (1) A receiving officer of a Schedule 4 allocation is responsible for- ( a) complying with the framework for a Schedule 4 allocation as published in
terms of section 15; and (b) the manner in which a Schedule 4 allocation is allocated and spent.
45
(2) The receiving officer of a municipality must- 50 (a) ensure and certify to the National Treasury that the municipality-
(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 Local Government: Municipal Systems Act, 2000 (Act No. 32 of 2000), 55
..
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the conditions and other information in respect of the allocation, to facilitate performance measurement and the use of required inputs and outputs;
(b) report to the transferring national officer, the relevant provincial treasury and the National Treasury, on- 5 (i) spending and financial performance against programmes funded by a
Schedule 4 allocation, other than the Urban Settlements Development Grant; and
(ii) in the case of the Urban Settlements Development Grant, spending and financial performance against the municipality's entire capital budget 10 and performance against the targets stipulated in the infrastructure performance framework that is required in terms of the framework,
when the municipality prepares its monthly budget statements as required in terms of section 71 of the Municipal Finance Management Act for the months of September 2012, December 2012, March 2013 and June 2013; and 15
(c) within 30 days after the end of each quarter, report to the transferring national officer and the National Treasury on- (i) non-financial performance against programmes, in respect of Schedule 4
allocations other than the Urban Settlements Development Grant; and (ii) performance for that quarter against the targets stipulated in the 20
infrastructure performance framework that is required in terms of the framework, in respect of the Urban Settlements Development Grant.
(3) The National Treasury must make the report submitted to it in terms of subsection (2)(b) or (c) available to any other national departments that have responsibilities relating to the allocation. 25
(4) The receiving officer in a province must- ( a) submit, as part ofthe report required in section 40(4)(c) ofthe Public Finance
Management Act, reports to the relevant provincial treasury and the transferring national officer on spending and performance against programmes; and 30
(b) submit a quarterly performance report within 30 days after the end of each quarter to the relevant provincial treasury, the National Treasury and the transferring national officer.
(5) The receiving officer must report against programmes funded or partially funded by a Schedule 4 allocation against the relevant framework in its annual financial 35 statements and annual report.
(6) (a) The receiving officer must, within two months after the end of the financial year, and where relevant, the municipal financial year, evaluate the performance of the province or municipality, as the case may be, in respect of programmes funded or partially funded by an allocation and submit such evaluation to the transferring national 40 officer and the relevant provincial treasury.
(b) Municipalities that receive the Urban Settlements Development Grant must report expenditure and non-financial performance information against their capital budgets, in accordance with the requirements of section 71 of the Municipal Finance Management Act. 45
(c) With respect to the Urban Settlements Development Grant, reporting on performance will be based on the infrastructure budget of the municipality concerned.
Duties of receiving officer in respect of Schedule 5, 6 or 8 allocation
12. (1) The receiving officer of a Schedule 5, 6 or 8 allocation must ensure compliance with the requirements of the relevant framework. 50
(2) 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)(c) of the Public Finance Management Act, report on the matters referred to in subsection (3) and submit a copy of the section 40(4)(c) report to the relevant provincial 55 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 provincial treasury, the National Treasury and the transferring national officer; 60 and
(c) a province or a municipality, submit a quarterly performance report within 30 days after the end of each quarter to the relevant provincial treasury, the National Treasury and the transferring national officer.
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(3)A report by a province in terms ofsubsection(2)(a) must set out for that month and for the financial year up to the end of that month-
( a) the amount received by the province; (b) the amount of funds stopped or withheld from the province; (c) the actual expenditure by the province in respect of a Schedule 5 allocation; 5 (d) the amount transferred to any national or provincial public entity to implement
a programme funded by a Schedule 5 allocation on behalf of a province or to assist the province in implementing such a programme;
(e) the available figures regarding the expenditure by a public entity referred to in paragraph (d); 1 0
(f) the extent of compliance with this Act and with the conditions of an allocation provided for in a framework, based on the available information at the time of reporting;
(g) an explanation of any material problems experienced by the province regarding an allocation which has been received and a summary of the steps 15 taken to deal with such problems;
(h) any matter or information that may be prescribed in the relevant framework for the particular allocation; and
(i) such other issues and information as the National Treasury may determine. (4)Areport by a municipality in terms of subsection (2)(b) must set out for that month 20
and for the financial year up to the end of that month- ( a) the amount received by the municipality; (b) the amount of funds stopped or withheld from the municipality; (c) the extent of compliance with this Act and with the conditions of an allocation
or part of an allocation provided for in a framework; 25 (d) an explanation of any material problems experienced by the municipality
regarding an allocation which has been received and a summary of the steps taken to deal with such problems;
(e) any matter or information that may be prescribed in the relevant framework for the particular allocation; and 30
(f) such other issues and information as the National Treasury may determine. (5)A 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 or functions funded or partially funded by an allocation and submit such evaluation to the transferring national officer. 35
( 6) The receiving officer of the Human Settlements Development Grant, in consultation with the transferring national officer, must publish in the Gazette within 14 days of this Act taking effect, the expenditure planned from the Human Settlements Development Grant, over the Medium Term Expenditure Framework period per municipality with level one and level two accreditation, separately indicating the 40 spending to be undertaken directly by the province, as well as transfers to each municipality.
Duties of receiving officer in respect of infrastructure conditional allocations to provinces
13. (I) Receiving provincial departments for the Education Infrastructure Grant, the 45 Health Infrastructure Grant and the Provincial Roads Maintenance Grant must provide the transferring national officer, not later than 14 days after this Act takes effect, with a list of infrastructure projects for education, health and roads that will be fully or partially funded from the allocations during the 2012/13 and 2014/15 financial years, in a format that will be determined by the National Treasury. 50
(2) Receiving officers of the Health Infrastructure Grant, Education Infrastructure Grant, Hospital Revitalisation Grant, Nursing Colleges and Schools Grant and the Provincial Roads Maintenance Grant are responsible for-
(a) submitting to the transferring national officer and the National Treasury prior to 3 September 2012 or another date agreed to in writing by the National 55 Treasury and the transferring national officer, approved organisational structures which- (i) are in compliance with any directives by the Minister for the Public
Service and Administration relevant to infrastructure delivery in the sector; and 60

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(ii) include- (aa) an indication of the number of posts per profession and the
highest educational qualifications of the incumbent and years of experience in the management or operationalisation of infrastructure in the public service; and 5
(bb) an indication of the number of vacancies and existing positions filled;
(b) ensuring that all infrastructure expenditure partially or fully funded by conditional allocations is reported through the Project and Asset Segment in the Standard Chart of Accounts; 1 0
(c) maintaining up to date databases of all contracts that are fully or partially funded by conditional allocations that are compliant with the Register of Projects and i-Tender system; and
(d) ensuring that infrastructure projects comply with best practise standards and guidelines contained in Practice Note 22 that was issued in terms of section 5 15 of the Construction Industry Development Board Act, 2000 (Act No. 38 of 2000).
(3) Non-compliance with any of the requirements in subsection (1) or (2) that is discovered by the National Treasury or the transferring national officer during the 2012/13 financial year may result in the withholding or stopping of the relevant 20 allocation in terms of sections 17 and 18.
(4) (a) The receiving officer of the Education Infrastructure Grant, the Provincial Roads Maintenance Grant or the Health Infrastructure Grant must, within two months after the end of the financial year, evaluate the performance of the province in respect of programmes funded or partially funded by those allocations, and submit such evaluation 25 to the transferring national officer and the relevant provincial treasury.
(b) Provinces that receive the Education Infrastructure Grant, the Provincial Roads Maintenance Grant or the Health Infrastructure Grant must report expenditure and non-financial performance information against their infrastructure budgets, in accor- dance with the requirements of section 32 of the Public Finance Management Act. 30
(c) Reporting on performance referred to in paragraph (b) must be based on the infrastructure budget of the province concerned.
Duties in respect of annual financial statements and annual reports for 2012/13
14. ( 1) The 2012/13 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 35 requirements in terms of any other applicable law-
( a) indicate the total amount of that allocation transferred to a province or municipality;
(b) indicate the transfers, if any, that were withheld or stopped in respect of each province or municipality; 40
(c) indicate any re-allocations by the National Treasury in terms of section 19; (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
(e) indicate the funds, if any, utilised for the administration of the allocation by 45 the receiving officer.
(2) The 2012/13 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, indicate-
(a) the reasons for the withholding or stopping of any transfers to a province or 50 municipality;
(b) to what extent provinces or municipalities were monitored for compliance with this Act and the conditions of an allocation provided for in the relevant framework;
(c) to what extent the allocation achieved its objectives and outputs; and 55 (d) any non-compliance with this Act or the relevant framework, and the steps
taken to deal with such non-compliance.
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(3) The 2012/13 financial statements of a provincial department recetvmg an allocation in terms of Schedule 4, 5 or 8 must, in addition to any requirements in terms of any other applicable law-
( a) indicate the total amount of all allocations received; (b) indicate the total amount of actual expenditure on all allocations except 5
Schedule 4 allocations; and (c) certify that all transfers in terms of this Act to the province were deposited into
the primary bank account of the province or, where appropriate, into the corporation for public deposits account of a province.
( 4) The 2012/13 annual report of a provincial department receiving an allocation in 1 0 terms of Schedule 4, 5 or 8 must, in addition to any requirements in terms of any other applicable law-
(a) indicate to what extent the provincial department complied with the provisions of this Act and met the conditions provided for in the relevant framework of such an allocation; 15
(b) indicate the steps taken to deal with non-compliance with any of the provisions of this Act or the conditions provided for in the relevant framework of such an allocation;
(c) indicate the extent to which the objectives and outputs of the allocation were achieved; 20
(d) contain any other information that may be specified in the relevant framework for the allocation; and
(e) contain such other information as the National Treasury may determine. (5) The 2012/13 financial statements and annual report of a municipality must be
prepared in accordance with the Municipal Finance Management Act. 25 ( 6) The National Treasury may determine how transferring departments and receiving
municipalities report on local government allocations on a quarterly basis, to facilitate the audit of allocations for both the national and municipal financial years.
Part3
Matters relating to Schedule 4 to 8 allocations
Publication of allocations and frameworks
15. ( 1) The National Treasury must, within 14 days of this Act taking effect, publish in the Gazette-
( a) the allocations per municipality, in respect of Schedule 4 and 6 allocations;
30
(b) the indicative allocations per province and municipality, in respect of 35 Schedule 7 allocations; and
(c) the framework for each allocation in Schedules 4 to 8. (2) The National Treasury must publish in the Gazette-
( a) any revisions of or amendments to the allocations and frameworks published in terms of subsection (1 )(a) and (c); 40
(b) any virement which is made in accordance with the requirements of section 6(3) and the Public Finance Management Act;
(c) any revisions of or amendments to the allocations and frameworks published in terms of subsection ( 1) necessary to give effect to the conversion of an allocation in terms of section 20; and 45
(d) any revised allocations in respect of Schedule 7 allocations. (3) The National Treasury may, at any time-
(a) after consultation with or at the written request of a transferring national officer; and
(b) after submitting a revised framework to Parliament for parliamentary 50 comment for a period of 14 days when Parliament is in session,
revise or amend a framework published in terms of subsection (1 )(c) or (2)(a), to correct any error or omission.
(4) An amendment, revision, virement or re-allocation takes effect on publication thereof in the Gazette, with the exception of a Schedule 8 allocation. 55 ..
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Spending in tenns of purpose and subject to conditions
16. (I) Despite anything to the contrary contained in any law, an allocation referred to in Schedules 4 to 8 may only be utilised for the purpose stipulated in the Schedule concerned and in accordance with the framework published in terms of section 15.
(2) A receiving officer may not transfer any Schedule 5 or 6 allocation or a portion of 5 such an allocation to any other entity or other sphere of government for the performance of a function envisaged in terms ofthe allocation, unless the receiving officer has entered into a payment schedule that has been approved by the National Treasury with the entity or other sphere of government that will be performing the function, and-
( a) it is a transfer that is approved in the budget of the receiving provincial 10 department or municipality or a framework published in terms of section 15;
(b) 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 adequate documentation for payment has been received; or 15
(c) in the case of an advance payment or a transfer which is not consistent with the budget of the receiving provincial department 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 that there are good reasons for the advance payment or transfer; and 20
(ii) the National Treasury has approved the advance payment or transfer. (3) No public entity, other than Eskom Holdings Limited in respect of funds received
from the Department of Energy and water boards and in respect of funds received from the Department of Water Affairs and the Department of Human Settlements for the implementation of Schedule 7 allocations, may receive funds for the provision of a 25 municipal service or 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 considers to have low capacity.
(4) (a) In respect of the Human Settlements Development Grant, a receiving officer 30 and a municipality with level one, two or three accreditation as at I April 2012, must within any deadline determined by the National Treasury, comply with the requirements of subsection (2), by-
(i) entering into a payment schedule; and (ii) submitting the payment schedule to the National Treasury for approval. 35 (b) If a municipality receives accreditation after I April 2012, paragraph (a) may
apply if approved by the National Treasury. (5) A receiving officer must request the National Treasury to amend the payment
schedule referred to in subsection ( 4), in accordance with the procedure set out in section 23, in instances where a transfer to a municipality with level three accreditation has been 40 withheld or stopped in terms of section 17 or 18.
Withholding of allocation
17. (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- 45
(a) 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;
(b) roll-overs of conditional allocations approved by the National Treasury in accordance with section 21 have not been spent; or 50
(c) expenditure on previous transfers during the financial year reflects significant under-spending, for which no satisfactory explanation is given.
(2) A maximum of five per cent of the next transfer as contained in the payment schedule for the Health Professions Training and Development Grant and the National Tertiary Services Grant may be withheld in terms of this section. 55
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(3) A transferring national officer must, at least seven working days prior to withholding an allocation in terms of subsection (I)--
(a) give the relevant receiving officer- (i) written notice of the intention to withhold the allocation; and
(ii) an opportunity to submit written representations as to why the allocation 5 should not be withheld; and
(b) inform the relevant provincial treasury and the National Treasury, and in respect of any conditional allocation to local government, also the provincial department responsible for local government.
( 4) A notice contemplated in subsection (3) must include the reasons for withholding I 0 the allocation and the intended duration of the withholding.
(5) (a) The National Treasury may, when a transferring national officer is withholding an allocation in terms of subsection (I), instruct or approve a request from that transferring national officer to withhold an allocation for a period longer than 30 days, but not exceeding 120 days, if the withholding will- IS
(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
allocation in terms of this subsection, submit proof of its compliance with subsection (3) 20 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 the transferring national officer in terms of paragraph (a).
Stopping of allocation 25
18. (I) Despite section 17, the National Treasury may, in its discretion or at the request of a transferring national officer, or a receiving officer, stop the transfer of a Schedule 4, 5 or 6 allocation referred to in section 17( I) to a province or municipality-
( a) on the grounds of persistent and material non-compliance with- (i) this Act; or 30
(ii) a condition to which the allocation, as provided for in the relevant framework, is subject;
(b) if the National Treasury anticipates that a province or municipality will substantially under-spend on that programme or allocation in the financial year; 35
(c) if a function is reassigned from a province to a municipality; or (d) if a province implementing an infrastructure project does not comply with best
practise standards and guidelines contained in Practice Note 22 that was issued in terms of section 5 of the Construction Industry Development Board Act, 2000 (Act No. 38 of 2000). 40
(2) Except where a function is reassigned from a province to a municipality, the National Treasury must, when stopping an allocation in terms of this section-
(a) comply with the requirements set out in section I7(3)(a), and in respect of a municipality, also with the requirements of section 38 of the Municipal Finance Management Act; and 45
(b) inform the relevant provincial treasury of its intention to stop the allocation. (3) Any stopping of an allocation contemplated in subsection (I) must, together with
an explanatory memorandum, be published by the National Treasury in the Gazette. (4) (a) The National Treasury may, by notice in the Gazette, approve that an allocation
or any portion of such allocation stopped in terms of subsection (I), be utilised to meet 50 that province's or municipality's outstanding statutory and contractual financial commitments.
(b) The utilisation of funds contemplated in this subsection is a direct charge against the National Revenue Fund.
J
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Re-allocation of funds
19. (1) (a) The National Treasury may, when it stops a Schedule 4, 5 or 6 allocation in terms of section 18, after consultation with the transferring national officer and the relevant provincial treasury, determine that a portion of the allocation that will not be spent be reallocated, as the same type of allocation as it was allocated originally, to one 5 or more provinces or 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, in terms of paragraph (a), must be deemed to be a roll-over approved by the National Treasury in terms of section I 0 2!(2)(a), and the roll-over process set out in Treasury Regulation 6.4.2, made in terms of section 76 of the Public Finance Management Act, does not need to be followed.
(2) (a) Despite subsection (1), the National Treasury may, when an intervention in terms of the Constitution or section 137, 139 or 150 of the Municipal Finance Management Act is taking place, on such conditions as it may determine, authorise- 15
(i) in relation to section I 00 of the Constitution, the transferring national officer to spend an allocation stopped in terms of section 18 on behalf of the relevant province;
(ii) in relation to section 139 ofthe Constitution and sections 137 and 139 of the Municipal Finance Management Act, the intervening province to spend an 20 allocation stopped in terms of section 18 on behalf of the relevant municipality; or
(iii) in relation to section !50 of the Municipal Finance Management Act, the relevant transferring national officer to spend an allocation stopped in terms of section 18 on behalf of the relevant municipality. 25
(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 a Schedule 7 allocation from the date on which the authorisation is given.
(3) The National Treasury may, after consultation with the transferring national officer, determine a portion of the allocation that will be reallocated in the event of the 30 reassignment of a function from a province to a municipality.
Conversion of allocations
20. (I) The National Treasury may, in its discretion or at the request ofthe transferring national officer, convert an allocation listed in Schedule 6 to become an allocation listed in Schedule 7, or convert an allocation listed in Schedule 7 to become an allocation 35 listed in Schedule 6, if the National Treasury is satisfied that the conversion will prevent under-spending on the allocation.
(2) In respect of the School Infrastructure Backlogs Grant, the National Treasury may, at the request of the transferring national officer and a receiving province, convert the allocation to the province to become an allocation to the Education Infrastructure Grant, 40 if the National Treasury and the transferring national officer are satisfied the province has demonstrated the capacity to implement projects and that the conversion will not be likely to result in-
( a) underspending on the allocation; or (b) a lesser level of service delivery compared to if the allocation is provided to 45
the province as a Schedule 7 grant-in-kind. (3) An allocation that is converted in terms of this section must be paid to or expended
on behalf of the same province or municipality to which the allocation was originally made.
(4) A conversion referred to in subsection (1) or (2) takes effect on the date of 50 publication referred to in section I5(2)(c).
(5) The National Treasury must inform the transferring national officer and each affected receiving province or municipality of a conversion.
Unspent conditional allocations
21. (1) Despite the provisions of the Public Finance Management Act or the 55 Municipal Finance Management Act relating to roll-overs, any conditional allocation 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. 60
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(2) The National Treasury, and a provincial treasury in the case of a provincially funded allocation, may, at the request of a transferring national officer, 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 5
purpose of that allocation, where the province or municipality projects significant unforeseeable and unavoidable over-spending on its budget.
(3) (a) Any funds which must revert to the National Revenue Fund in terms of subsection (1), and which have not been approved by the National Treasury to be retained in terms of subsection (2), must be repaid to the National Revenue Fund. 10
(b) A receiving officer must ensure that all funds referred to in paragraph (a) are repaid to the National Revenue Fund.
(4) The National Treasury, in accordance with subsection (5), may offset any funds which must be repaid to the National Revenue Fund in terms of subsections (1) and (3), but which have not been repaid- 15
(a) in the case of a province, against future advances for conditional allocations to that province; and
(b) in the case of a municipality, against future advances for the equitable share or conditional allocations to that municipality.
(5) Prior to the National Treasury offsetting any amounts against allocations to a 20 province or municipality in terms of subsection (4), the National Treasury must give the relevant transferring national officer, province or municipality-
( a) written notice of the intention to offset amounts against upcoming advances for allocations; and
(b) an opportunity, within 14 days of receipt ofthe notice referred to in paragraph 25 (a), to- (i) submit written representations and other documentary proof that the
unspent allocation was either spent in accordance with the relevant framework, or is committed to identifiable projects;
(ii) propose alternative means acceptable to the National Treasury by which 30 the unspent allocations can be repaid to the National Revenue Fund; and
(iii) propose an alternative payment schedule in terms of which the unspent allocations will be repaid to the National Revenue Fund.
(6) A notice contemplated in subsection (5) must include the intended amount to be offset against allocations, and the reasons for offsetting the amounts. 35
(7) The retention of funds which should revert to the National Revenue Fund in terms of subsections (1) and (3), and which have not been approved by the National Treasury to be retained in terms of subsection (2), constitutes financial misconduct by the receiving officer in terms of section 34.
Part4
Matters relating to Schedule I to 8 allocations
Payment schedule
22. (1) (a) The National Treasury determines the payment schedule for the transfer of a province's equitable share allocation, after consultation with the accounting officer of
40
the provincial treasury. 45 (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.
(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 50 of section 100 of the Constitution is taking place, on such conditions as it may 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 offset against transfers to the province which would otherwise become due in terms of that payment schedule. 55
(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.
..
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(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 section 139 of the Constitution or sections 137, 139 or 150 of the Municipal Finance Management Act is taking place, on such conditions as it may determine, approve a 5 request or direct that the equitable share or a portion of the equitable share 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 offset against transfers to the municipality which would otherwise become due in terms of that payment schedule. 10
(3) (a) The National Treasury must approve the payment schedule for the transfer of an allocation listed in Schedules 4 to 8 to a province or municipality.
(b) The transferring national officer of a Schedule 4, 5 or 6 allocation must submit a payment schedule to the National Treasury for approval within 14 days after this Act takes effect. 15
(c) Prior to the submission of a payment schedule in terms of paragraph (b), the transferring national officer must-
(i) in relation to a Schedule 4 allocation, consult the relevant receiving officer; and (ii) in relation to a Schedule 5 or 6 allocation, consult the relevant province or
municipality. 20 ( 4) The transferring national officer of a Schedule 4, 5 or 6 allocation must provide the
receiving officer and the relevant provincial treasury with a copy of the approved payment schedule prior to making the first transfer in accordance therewith.
(5) Schedule 4 and 6 transfers must accord with the municipal financial year.
Amendment of payment schedule 25
23. ( 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 terms of section 17 or 18, 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. 30
(2) The National Treasury may, in the interest of better debt and cash-flow management or to deal with financial mismanagement or financial misconduct, slow spending or accelerated spending, amend any payment schedule for an allocation listed in Schedules 2 to 6, on notification to-
(a) the accounting officer of a provincial treasury, in the case of a provincial 35 allocation; and
(b) the accounting officer of the national department responsible for local 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- 40
(a) the monthly spending commitments of provinces or municipalities; (b) the revenue at the disposal of provinces or municipalities; and (c) 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 45
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).
CHAPTER4
MATTERS RELATING TO ALL ALLOCATIONS
Transfers made in error or fraudulently
24. ( 1) Despite anything to the contrary contained in any law, the transfer of an allocation that is an overpayment to a province, municipality or public entity in error or fraudulently is regarded as not legally due to that province, municipality or public entity,
50
as the case may be. 55 (2) A transfer contemplated in subsection ( 1) must be recovered, without delay, by the
responsible transferring national officer.
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(3) Despite subsection (2), the National Treasury may instruct that the recovery contemplated in subsection (2) be effected by offset against future transfers to the province, municipality or public entity, which would otherwise become due in accordance with a payment schedule.
Allocations not listed in Schedules
25. ( 1) An allocation, other than- ( a) a re-allocation referred to in section 19; or (b) a revised indicative allocation in respect of a Schedule 7 allocation,
which is not listed in the Schedules referred to in sections 7 and 8, may only be made in
5
terms of section 6(3). 10 (2) The National Treasury must publish the allocations referred to in subsection (1)
and frameworks for such allocations in the Gazette, prior to the transfer of any funds to a province or municipality.
(3) The transferring national officer must notify the relevant provincial treasury and the National Treasury of the excess incentive payment earned. to be appropriated either 15 in the provincial adjustments appropriation bill, if made before the end of November each year, or in the appropriation bill for the next financial year.
(4) Subsection (2) does not apply to Schedule 8 allocations. (5) A transfer to a province or municipality as a Schedule 8 allocation may only be
made after the National Treasury has approved the transfer. 20 (6) (a) The transferring national officer must notify the relevant provincial treasury
and the National Treasury in writing within 14 days of a transfer of a Schedule 8 allocation to a province or municipality.
(b) The National Treasury must publish a Schedule 8 allocation in the Gazette within 16 days after being notified in terms of paragraph (a). 25
(7) Schedule 8 allocations must be appropriated either in the provincial adjustments appropriation legislation, municipal adjustments budgets or other appropriation legislation.
(8) Any transfer received as a result of a performance in terms of a Schedule 8 Grant under the Division of Revenue Act, 2011 (Act No. 6 of 2011 ), must be used in 30 accordance with the conditions that applied to Schedule 8 conditional allocations in terms of that Act.
Preparations for next financial year and 2014/15 financial year
26. (1) (a) A category C municipality that receives a conditional allocation in terms of this Act must, using the envisaged conditional allocations to that municipality for the 35 next financial year and the 2014/15 financial year as set out in Column B of the Schedules, by 2 October 2012-
(i) agree on the provisional allocations and the projects to be funded from those allocations in the next financial year and the 2014/15 financial year with each category B municipality within the category C municipality's area of jurisdic- 40 tion; and
(ii) submit to the transferring national officer- (aa) the provisional allocations referred to in subparagraph (i); and (bb) the projects referred to in subparagraph (i), listed per municipality to be
funded from the allocations for the next financial year and the 2014/15 45 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.
(c) The transferring national officer must take all necessary steps to facilitate 50 agreement as soon as possible, but no later than 60 days after receiving a request referred to in paragraph (b).
(d) Any proposed amendment or adjustment of the allocations that is intended to be published in terms of section 29(3)(b) must be agreed with the relevant category B municipality, the transferring national officer and the National Treasury, prior to 55 publication, and prior to the submission of the allocations referred to in paragraph (a)(ii).
(e) If agreement is not reached between the category C municipality and the category B municipality on the provisional allocations and projects referred to in paragraph (a) prior to 2 October 2012, the National Treasury may proceed to determine the provisional 60 allocations and provide those provisional allocations to the municipalities concerned and the transferring national officer.
! t
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(j) (i) The final allocations based on the provisional allocations referred to in paragraphs (a)(i) and (ii) and (e) must be submitted to the National Treasury by 7 December 2012.
(ii) If the transferring national officer fails to submit the allocations referred to in subparagraph (i) by 7 December 2012, the National Treasury may determine the 5 appropriate allocations, taking into consideration the envisaged allocations for the next financial year.
(2) (a) The transferring national officer of a conditional allocation, using the envisaged conditional allocations for the next financial year and the 2014/15 financial year as set out in Column 8 of the Schedules to this Act, must, by 2 October 2012, 10 submit to the National Treasury for approval-
(i) the provisional allocations to each province or municipality in respect of new conditional allocations to be made in the next financial year;
(ii) any amendments to the envisaged allocations for each province or municipality set out in Column 8 of the Schedules in respect of existing conditional 15 allocations; and
(iii) 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 for the next financial year of the allocation criteria of an existing conditional allocation must be agreed with the National 20 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 2 October 2012, determine--
(i) the provisional allocations in paragraph (a)(i); 25 (ii) any amendments to the envisaged allocations contemplated in paragraph (a)(ii);
and (iii) 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 30
paragraph (a)(i) and (ii) must be submitted to the National Treasury by 7 December 2012.
(ii) If the transferring national officer fails to submit the allocations referred to in subparagraph (i) by 7 December 2012, the National Treasury may determine the appropriate allocations, taking into consideration the envisaged allocations for the next 35 financial year.
(3) 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. 40
Expenditure prior to commencement of Division of Revenue Act, 2013
27. 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 April2013, 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 45 province or municipality as a direct charge against the National Revenue Fund.
CHAPTERS
DUTIES OF MUNICIPALITIES, PROVINCIAL TREASURIES AND NATIONAL TREASURY
Duties of municipalities
28. (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 days after this
50
Act takes effect, submit to the National Treasury and all category B municipalities within that municipality's area of jurisdiction, the budget, as tabled in accordance with section 16 of the Municipal Finance Management Act, for the 2012/13 municipal 55 financial year and the two following municipal financial years.
(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
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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 5 project will be implemented, and agree in writing which municipality is responsible for the operational costs and the collection ofuser 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 I 0 that is providing municipal services, irrespective of the fact that-
(a) the category C municipality retains the power or function in terms of the Municipal Structures Act; and
(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. 15
(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 which is authorised to perform the function in terms of the Municipal 20 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 25 the allocations referred to in subsection (I)(b) to be transferred to the category B municipality in that financial year, and the category C municipality must submit that payment schedule to the National Treasury before the commencement of a municipal financial year.
{b) A category C municipality must make transfers in accordance with the payment 30 schedule submitted in terms of paragraph (a).
(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---
(i) make allocations referred to in subsection (l)(b); 35 (ii) reach an agreement contemplated in subsection (2); or (iii) submit a payment schedule in accordance with subsection (5)(a}.
(b) Sections 17(3) and 18(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 accordance with paragraph (a). 40
(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.
(7) A municipality must ensure that any allocation made to it in terms of this Act, or 45 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.
(8) In respect of the Human Settlements Development Grant, the financial and 50 non-financial reporting that is required to be submitted by a municipality with a level three accreditation in terms of the framework must relate to the requirements specified in the framework.
(9) A municipality with a level three accreditation must submit the required monthly financial and quarterly performance reports to the receiving officer, the transferring 55 national officer and the National Treasury.
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Duties of provincial treasuries
29. ( 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 5 than 14 days after this Act takes effect, publish the following in the Gazette:
(i) The indicative allocation per municipality for every allocation to be made by the province to municipalities from the province's own funds;
(ii) the indicative allocation to be made per school in the province; (iii) the indicative allocation to any national or provincial public entity for the 10
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;
(iv) the envisaged division of the allocation contemplated in subparagraphs (i) and (ii), in respect of each municipality and school, for the next financial year and the 15 2014/15 financial year;
(v) the conditions and other information in respect of the allocations referred to in subparagraphs (i), (ii) and (iii) to facilitate performance measurement and the use of required inputs and outputs; and
(vi) the budget of each hospital in a format determined by the National Treasury. 20 (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) If 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, which allocations must align to 25 the appropriation bill as passed by the legislature, and which must be deemed to be final.
(3) (a) Despite subsection (2) or 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). 30
(b) Any amendments to the allocations published in terms of subsection (2)(a) must be published in the Gazette not later than 14 February 2013.
(c) The allocations referred to in paragraph (a) must be deemed to be final if they are published in the Gazette in accordance with paragraph (b).
(4) (a) A provincial treasury must, as part of its consolidated monthly report in terms 35 of section 32 of the Public Finance Management Act, in the format determined by the National Treasury, report on-
(i) 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 40 (iii) actual transfers made by the province to municipalities, and actual expenditure
by municipalities on such allocations, based on the information available from municipalities at the time of reporting.
(b) The report contemplated in paragraph (a) must include reports for each quarter, and be in the format and include the information as may be determined by the National 45 Treasury.
(5) A provincial treasury must- ( a) ensure-
(i) that a payment schedule is agreed between each provincial department and receiving institution referred to in subsection (2)(a); and 50
(ii) that transfers are made promptly in accordance therewith; and (b) submit the payment schedules to the National Treasury within 14 days of this
Act taking effect. (6) Should a provincial treasury fail to comply with the requirement to make transfers
promptly to a receiving officer in accordance with the agreed payment schedule, as 55 required in terms of subsection (5)(a), the receiving officer concerned may request the provincial treasury to immediately make the transfer to the receiving officer, or to provide written reasons within three business days as to why the transfer has not been made.
46 No. 35361 GOVERNMENT GAZETTE, 17 May 2012 Act No. 5 of 2012 Division of Revenue Act, 2012
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(7) If a provincial treasury fails to either make the transfer requested by the receiving officer or provide reasons within the period stipulated in subsection (6), or if the receiving officer disputes the reasons provided by the provincial treasury as to why the transfer has not been made, then the receiving officer may request the National Treasury to investigate the matter with the provincial treasury concerned. 5
(8) When the National Treasury is requested to investigate a failure by a provincial treasury to promptly effect transfer to a receiving officer in terms of subsection (7), the National Treasury must investigate the matter, assess any reasons given by the provincial treasury as to why the transfer was not effected, and either direct the provincial treasury to immediately effect the transfer, or provide reasons to the receiving 10 officer concerned confirming why the provincial treasury was correct in not effecting the transfer, and advise the provincial treasury and the receiving officer as to what steps must be taken.
Duties of National Treasury
30. ( 1) The National Treasury must, within 14 days of this Act taking effect, submit a 15 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 of all allocations listed in the Schedules referred to in sections 7 and 8 or made in terms 20 of section 25.
(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 report on the equitable share and conditional allocations provided for in this Act. 25
CHAPTER6
GENERAL
Allocations by public entities to provinces or municipalities
31. 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 30 financial statements the purpose and amount of such grant, sponsorship or donation received.
Liability for costs incurred in violation of principles of cooperative governance and intergovernmental relations
32. (1) An organ of state involved in an intergovernmental dispute regarding any 35 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) If a dispute is referred back by a court in accordance with section 41( 4) of the 40 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 the prescribed procedure, be recovered without delay from the person who caused the organ 45 of state not to comply with the requirements of subsection ( 1 ).
Irregular expenditure
33. The following transfers constitute irregular expenditure in terms of the Public Finance Management Act and the Municipal Finance Management Act, as the case may be: 50
(a) A transfer prohibited in terms of section 16(2);
48 No. 35361 GOVERNMENT GAZETTE, 17 May 2012 Act No. 5 of 2012 Division of Revenue Act, 20 12
48
(b) a transfer by a transferring national officer to a bank account of a province or municipality that is not- (i) the primary bank account; or
(ii) in respect of provinces, a corporation for public deposits account; (c) a transfer made in error or fraudulently as referred to in section 24(1 ); or 5 (d) any transfer made or spending of an allocation in contravention of this Act or
a framework published in terms of this Act.
Financial misconduct
34. (I) Despite anything to the contrary contained in any law, any wilful or negligent non-compliance with a provision of this Act or a framework published in terms of this I 0 Act constitutes financial misconduct.
(2) Section 84 of the Public Finance Management Act and section 171 of the Municipal Finance Management Act apply in respect of financial misconduct contemplated subsection (I).
Delegations and assignments
35. ( 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
15
Treasury- 20 (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. 25 (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.
( 4) A Member of the Executive Council responsible for financial matters in a province may, in writing, delegate any of the powers entrusted to the Provincial Treasury of that 30 province in terms of this Act and assign any of the duties imposed on the Provincial Treasury in terms of this Act, to an official of the Provincial Treasury.
(5) Subsections (2) and (3) apply with the necessary changes to a delegation or assignment in terms of subsection ( 4).
Exemptions 3 5
36. (1) The National Treasury may, on written application by a transferring national officer, province or municipality, exempt such officer, province or municipality 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. 40
Regulations
37. 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 45 Act.
50 No. 35361 GOVERNMENT GAZETTE, 17 May 2012 Act No. S of 2012 Division of Revenue Act, 20 12
50
Repeal of laws
38. (1) Subject to subsection (2), the Division of Revenue Act, 2011 (Act No.6 of 2011), with the exception of sections 15 and 38(1), is hereby repealed.
(2) The repeal of the Division of Revenue Act, 2011 (Act No. 6 of 2011 ), does not affect any obligation set out in that Act, the execution of which is still outstanding. 5
Short title and commencement
39. This Act is called the Division ofRevenueAct, 2012, and takes effect on l April 2012 or the date of publication thereof by the President in the Gazette, whichever is the later date.
52 No. 35361 GOVERNMENT GAZEITE, 17 May 2012 Act No.5 of2012 Division of Revenue Act, 20 12
52
SCHEDULE 1
EQUITABLE DIVISION OF REVENUE RAISED NATIONALLY AMONG THETHREESPHERESOFGOVERNMENT
ColumnA Column 8
Spheres of Government 2012/13 Forward Estimates Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO National1'2 622 434 681 684 327 086 746 588 676 Provincial 309 057 382 328 920 693 349 350 999 Local 37 873 396 40 581 787 43 638 905 TOTAL 969 365 459 I 053 829 566 1139 578 580 1. National share includes conditional allocations to provincial and local spheres, genera/fuel
levy sharing with metropolitan municipalities, debt service cost and the contingency reserve.
2. The direct charges for the provincial equitable share are netted out.
SCHEDULE2
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)
ColumnA ColumnB
Province 2012/13 Forward Estimates Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO Eastern Cape 46 940 272 49 602 467 52 215 629 Free State 18 531 165 19 466 736 20412571 Gauteng 54 545 389 58 613 875 62 880 944 KwaZulu-Natal 67 802 913 72 579 341 77551103 Limpopo 38 721 016 40 969 082 43 170 325 Mpumalanga 24 874 453 26 287 888 27 698 217 Northern Cape 8 255 155 8 742 528 9 230 224 North West 20 614 831 21 905 865 23214536 Western Cape 28 772 188 30 752 911 32 977 450 TOTAL 309057 382 328 920693 349350999
54 No. 35361 GOVERNMENT GAZETTE, 17 May 2012
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SCHEDULE3
DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY
National Financial Year
ColumnA Column 8
2012/13 Forward Estimates Number Municipality Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO EASTERN CAPE
A BUF Buffalo City 651 565 698 242 750 687 A NMA Nelson Mandela Bay 729 226 781 838 841201
B ECIOI Camdeboo 37 264 40 259 43 479 B ECI02 Blue Crane Route 39 254 42 313 45 631 B EC103 Ikwezi 15 627 16 837 18 061 B EC104 Makana 67 002 71 985 78 142 B ECI05 Ndlambe 55 952 60 093 65 146 B EC106 Sundays River Valley 36 314 39288 42 463 B EC107 Baviaans 17 189 18 509 19 857 B EC108 Kouga 47 299 50 948 55 655 B EC109 Kou-Kamma 29 210 31 556 34077 c DCIO Cacadu District Municipality 71 325 74 517 78 566 Total: Cacadu Municipalities 416 436 446 305 481 077
B EC121 Mbhashe 120 099 129 065 140 344 B EC122 Mnquma !54 089 165 479 179 494 B EC123 GreatKei 31 853 34 435 37 199 B EC124 Amah1athi 90 283 96 982 105 295 B EC126 Ngqushwa 62 426 67 037 72 708 B EC127 Nkonkobe 86 351 92 780 100 812 B EC128 Nxuba 20 983 22 670 24 483 c DC12 Amatole District Municipality 583 540 629 005 679 327 Total: Amatole Municipalities 1 149 624 1 237 453 1339 662
B EC131 Inxuba Y ethemba 40 558 43 575 47 324 B EC132 Tsolwana 24 741 26 641 28 581 B EC133 Inkwanca 17 833 19 199 20 599 B EC134 Lukhanji 109 210 117 362 127 591 B EC135 Intsika Yethu 88 676 96 006 103 803 B EC136 Emalahleni 69 797 75 590 81 744 B EC137 Engcobo 76 102 81 794 88 980 B EC138 Sakhisizwe 38 813 41 691 45 258 c DC13 Chris Hani District Municipality 359 914 386 308 415 728 Total: Chris Hani Municipalities 825 644 888166 959 608
B EC141 Elundini 73 466 79 520 85 966 B EC142 Senqu 89 723 96 358 104 540 B EC143 Maletswai 22 944 24 872 26 915 B EC144 Gariep 24997 27 021 29190 c DC14 Joe Gqabi District Municipality 166 056 178 286 192 423 Total: Joe Gqabi Municipalities 377 186 406 057 439 034
B EC!53 NgquzaHill Ill 157 119 498 130 097 B EC154 Port St Johns 67 852 73 630 79 720 B EC155 Nyandeni 127 388 136 871 148 729 B EC156 Mhlontlo 99 507 106 947 116 335 B EC157 King Sabala Dalindyebo 169 531 181 579 195 070 c DC15 O.R. Tambo District Municipality 449 945 482 839 519 518 Total: O.R. Tambo Municipalities 1 025 380 1 101 364 1 189 469
B EC441 Matatiele 105 328 113 183 123 036 B EC442 Umzimvubu 106 050 113 969 123 934 B EC443 Mbizana 112 442 121 927 131 953 B EC444 Ntabankulu 62 559 67 888 73 504 c DC44 Alfred Nzo District Municipality 297 598 319472 344 702 Total: Alfred Nzo Municipalities 683 977 736 439 797 129
Total: Eastern Cape Municipalities 5 859 038 6 295 864 6 797 867
56 No. 35361 GOVERNMENT GAZETTE, 17 May 2012
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SCHEDULEJ
DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY
National Financial Year
ColumnA ColumnB
2012/13 Forward Estimates Number Municipality Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO
FREE STATE
A MAN Mangaung 608 634 652 171 701 138
B FSI61 Letsemeng 50 533 54 390 58 601 B FS162 Kopanong 88 546 94 938 102 399 B FS163 Mohokare 51002 54 893 59 143 B FSI71 Naledi 37 182 40 019 43 117 c DCI6 Xhariep District Municipality 22 802 24 390 25 981 Total: Xhariep Municipalities 2SO 06S 268 630 289 241
B FS181 Masilonyana 81 091 86 995 94013 B FSI82 Tokologo 43 058 46228 49628 B FSI83 Tswelopele 62 058 66 570 71 927 B FS184 Matjhabeng 432 357 463 211 497 815 B FSI85 NaJa 134 966 144 722 156 133 c DC18 Lejweleputswa District Municipality 97 137 101 178 105 517 Total: Lejweleputswa Municipalities 8SO 667 908 904 97S 033
B FS191 Setsoto 165 468 177 472 191 625 B FS192 Dihlabeng 129 367 138 891 !50 388 B FS193 Nketoana 77 933 83 599 90 308 B FS194 Maluti-a-Phofung 338 076 362 119 389 051 B FS195 Phumelela 56 039 60124 65 001 B FS196 Mantsopa 66 714 71 652 77 449 c DC19 Thabo Mofutsanyana District Municipality 76 578 80 100 83 914 Total: Thabo Mofutsanyana Municipalities 910 17S 973 9S7 1 047 736
B FS201 Moqhaka 163 244 175 215 189641 B FS203 Ngwathe !53 983 165 209 178 575 B FS204 Metsimaholo 97 653 104 647 112 501 B FS205 Mafube 75 102 80 555 87 006 c DC20 Fezile Dabi 131 146 135 887 140 897 Total: Fezile Dabi Municipalities 621 128 661 S13 708 620
Total: Free State Municipalities 3 240 669 3 46S 17S 3 721 768
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58
SCHEDULE3
DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY
National Financial Year
ColumnA Column 8
2012/13 Forward Estimates Number Municipality Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO
GAUTENG
A EKU Ekurhuleni I 825 341 I 957 841 2 107 743 A JHB City of Johannesburg 2 125 543 2 281 428 2 458 593 A ISH Citv ofTshwane I 040 630 I 117 278 I 204 520
B GT421 Emfuleni 597 485 640 148 688 010 B GT422 Midvaal 50 833 54 698 59 601 B GT423 Lesedi 59 701 64 159 69 690 c DC42 Sedibeng District Municipality 226 009 234 056 242 549 Total: Sedibeng Municipalities 934 028 993 061 1059 850
B GT481 Mogale City 210 117 225 189 242 126 B GT482 Randfontein 92 992 100 007 108 795 B GT483 Westonaria 98 840 106 089 114 838 B GT484 Merafong City 185 846 199 081 213 914 c DC48 West Rand District Municipality 166 903 173 274 180 056 Total: West Rand Municipalities 754 698 803 640 859 729
Total: Gauten2 Municipalities 6 680 240 7153 248 7 690 435
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SCHEDULE3
DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY
National Financial Year
ColumnA ColumnB
2012/13 Forward Estimates Number Municipality
Allocation 2013/14 2014/15 R'OOO R'OOO R'OOO
KWAZULU-NATAL
A Ern eThekwini I 769 412 I 899 944 2 048 545
B KZN211 Vulamehlo 35 614 38 287 41 687 B KZN212 Urn doni 27 805 29 934 32 712 B KZN213 Umzumbe 86 177 93 230 100 756 B KZN214 UMuziwabantu 43 500 46 725 50 723 B KZN215 Ezinqoleni 26036 28 154 30 418 B KZN216 Hibiscus Coast 85 382 91 574 98 560 c DC21 Ugu District Municipality 260 269 279 554 301 024 Total: U~tu Municipalities 564 783 607 458 655 880
B KZN221 uMshwathi 55 649 60240 65 128 B KZN222 uMngeni 35 302 38 035 41 588 B KZN223 Mooi Mpofana 21 925 23 656 25 526 B KZN224 Impendle 23 775 25 561 27 431 B KZN225 Msunduzi 338 903 363 502 391 259 B KZN226 Mkhambathini 28 180 30 526 33 016 B KZN227 Richmond 29266 31 689 34 266 c DC22 Umgungundlovu District Municipality 314 311 339 503 367 300 Total: Umgungundlovu Municipalities 847 311 912 712 985 514
B KZN232 Emnambithi!Ladysmith 106 393 114388 124 440 B KZN233 Indaka 59 607 64 330 69422 B KZN234 Umtshezi 29644 31 893 34 766 B KZN235 Okhahlamba 62494 67 133 72 896 B KZN236 Imbabazane 64 585 69 783 75 360 c DC23 Uthukela District Municipality 253 410 272 002 292 725 Total:Uthukela Municipalities 576 133 619 529 669 609
B KZN241 Endumeni 32 355 34 927 38 510 B KZN242 Nquthu 71 672 77027 83 774 B KZN244 Msinga 69 621 75 475 81 668 B KZN245 Umvoti 41 962 45 103 49 070 c DC24 Umzinyathi District Municipality 177 373 190 325 204 767 Total: Umzinyathi Municipalities 392 983 422 857 457 789
B KZN252 Newcastle 270 475 289 781 311 436 B KZN253 Emadlangeni 13 989 15 082 16 177 B KZN254 Dannhauser 47 617 51 514 55 674 c DC25 Amaiuba District Municipality 97 319 105 075 113 636 Total: Amajuba Municipalities 429 400 461 452 496 923
..
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SCHEDULE3
DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY
National Financial Year
ColumnA Column B
2012/13 Forward Estimates Number Municipality Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO
B KZN261 eDumbe 36 417 39 110 42431 B KZN262 uPhongolo 59 760 64 198 69 715 B KZN263 Abaqulusi 79 053 84 983 92 518 B KZN265 Nongoma 72 001 77 416 84 334 B KZN266 Ulundi 78 231 84 129 91 692 c DC26 Zululand District Municipality 258 854 277 840 299 001 Total: Zululand Municipalities 584 316 627 676 679 691
B KZN271 Umhlabuyalingana 56 693 61 556 66 670 B KZN272 Jozini 73 817 80044 86 626 B KZN273 The Big Five False Bay 14 141 15 245 16 350 B KZN274 Hlabisa 25 755 27 978 30 311 B KZN275 Mtubatuba 48 763 53 165 57 725 c DC27 Umkhanyakude District Municipality 176 384 189 272 203 644 Total: Umkhanyakude Municipalities 395 553 427 260 461326
B KZN281 Mfolozi 43 392 47 213 51 199 B KZN282 uMhlathuze 179 139 191 975 206 393 B KZN283 Ntambanana 20 311 22 148 24 049 B KZN284 uMialazi 79 831 85 881 93 715 B KZN285 Mthonjaneni 25 107 26 969 29 278 B KZN286 Nkandla 50 777 55 046 59 564 c DC28 uThungulu District Municipality 328 762 355 051 384 065 Total: Uthun2ulu Municipalities 727 319 784 283 848 263
B KZN291 Mandeni 65 009 69 874 76 014 B KZN292 KwaDukuza 72 649 77 913 83 848 B KZN293 Ndwedwe 58 371 62 782 68 474 B KZN294 Maphumulo 48 830 52 838 57 III c DC29 iLembe District Municipality 228 010 245 123 264 146 Total: iLembe Municipalities 472 869 508 530 549 593
B KZN431 lngwe 50 739 54 883 59 308 B KZN432 KwaSani 12 054 13 013 13 957 B KZN433 Greater Kokstad 48 477 52 054 56 391 B KZN434 Ubuhlebezwe 50 309 54472 58 900 B KZN435 Umzimkhulu 85 299 91643 99 559 c DC43 Sisonke District Municipality 203 556 218 521 235 753 Total: Sisonke Municipalities 450 434 484586 523 868
Total: KwaZulu-Natal Municipalities 7 210 513 7 756 287 8 377 001
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SCHEDULE3
DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY
National Financial Year
ColumnA Column 8
2012/13 Forward Estimates Number Municipality Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO
LIMPOPO
B LIM331 Greater Giyani 132 615 142 462 154 706 B LIM332 Greater Letaba 133 166 143 030 155 233 B LIM333 Greater Tzaneen 195 684 209 576 225 129 B LIM334 Ba-Phalaborwa 61 461 66094 72 018 B LIM335 Marui eng 53 513 57 977 62 712 c DC33 Mopani District Municipality 463 410 497 516 535 513 Total: Mopani Municipalities 1 039 849 1116 655 I 205 311
B LIM341 Mus ina 31 447 33 978 36 696 B LIM342 Mutale 42 892 46 578 50 453 B LIM343 Thu1ame1a 260 695 279 187 299 881 B LIM344 Makhado 235 434 252 135 270 826 c DC34 Vhembe District Municipality 476 439 511 035 549 640 Total: Vbembe Municipalities 1 046 907 1 122 913 I 207 496
B LIM351 Blouberg 90 331 97 038 105 381 B LIM352 Aganang 75 680 81 964 88640 B LIM353 Molemole 74498 80 450 86 851 B LIM354 Polokwane 388 232 415 871 446 844 B LIM355 Lepelle-Nkumpi 124 157 133 381 144 867 c DC35 Capricorn District Municipality 402 162 433 214 467 620 Total: Capricorn Municipalities 1 155 060 1 241 918 1340 203
B LIM361 Thabazimbi 60 104 64 551 70003 B LIM362 Lephalale 80984 86 919 94 055 B LIM364 Mookgopong 25 758 27 837 30070 B LIM365 Modimolle 56 393 60 536 65 544 B LIM366 Bela-Bela 45 008 48 339 52 420 B LIM367 Mogalakwena 249 145 266 832 286 633 c DC36 Waterberg District Municip_ality 90 530 94 219 98 171 Total: Waterberg Municipalities 607 922 649 233 696896
B LIM471 Ephraim Mogale 68 729 73 838 80 210 B LIM472 Elias Motsoa1edi 129 556 139 187 151 191 B LIM473 Makhuduthamaga 143 213 153 818 166 931 B LIM474 Fetakgomo 46115 50 004 54 116 B LIM475 Greater Tubatse 129 796 139 462 151 546 c DC47 Sekhukhune District Municipality 365 585 392 479 422 445 Total: Sekbukbune Municipalities 882 994 948 788 I 026 439
Total: Limpopo Municipalities 4 732 732 5 079 507 5 476 345
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SCHEDULE3
DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY
National Financial Year
ColumnA Column B
2012/13 Forward Estimates Number Municipality Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO
MPUMALANGA
B MP301 Albert Luthuli 159 110 170 758 184 796 B MP302 Msukaligwa 105 157 112 916 122 383 B MP303 Mkhondo 100 346 107 747 116 808 B MP304 Pixley Ka Seme 84113 90238 97 522 B MP305 Lekwa 79 067 84916 92 081 B MP306 Dipaleseng 44 041 47 466 51 183 B MP307 GovanMbeki 189 937 203 551 218 845 c DC30 Gert Sibande District Municipality 252 910 261 780 271 123 Total: Gert Sibande Municipalities 1 014 681 1 079 372 1154 741
B MP311 Victor Khanye 50 861 54 608 59 155 B MP312 Emalahleni 181640 194 669 209 309 B MP313 Steve Tshwete 85 818 92016 98 998 B MP314 Emakhazeni 35 648 38 555 41 666 B MP315 Thembisile Hani 221 044 237 192 256 569 B MP316 Dr JS Moroka 230 199 248 061 267 452 c DC31 Nkangala District Municipality 299 711 310 161 321 160 Total: Nkan2ala Municipalities 1104 921 1175 262 1254 309
B MP321 ThabaChweu 75 312 80 866 87 638 B MP322 Mbombela 312 298 334 542 359 474 B MP323 Umjindi 48 789 52 391 56 793 B MP324 Nkomazi 259 653 278 075 298 694 B MP325 Bushbuckridge 445 036 477 143 514 585 c DC32 Ehlanzeni District Municipality 178 734 186 053 193 896 Total: Ehlanzeni Municipalities 1 319 822 1409 070 1 511 080
Total: Mpumalanga Municipalities 3 439 424 3 663 704 3 920130

68 No. 35361 GOVERNMENT GAZETTE, 17 May 2012
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SCHEDULE3
DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY
National Financial Year
ColumnA Column 8
2012/13 Forward Estimates Number Municipality Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO
NORTHERN CAPE
B NC061 Richtersveld 11904 12 950 14044 B NC062 NamaKhoi 32 468 35 199 38 095 B NC064 Kamiesberg 12 477 13 463 14 438 B NC065 Han tam 20014 21659 23 414 B NC066 Karoo Hoogland 13 175 14209 15 238 B NC067 Khai-Ma 12 489 13 476 14451 c DC6 Namakwa District Municipality 32 116 33 572 35 447 Total: Namakwa Municipalities 134643 144 528 155127
B NC071 Ubuntu 17 705 19161 20713 B NC072 Umsobomvu 29 319 31648 34159 B NC073 Emthanjeni 34322 37112 40103 B NC074 Kareeberg 11941 12963 14039 B NC075 Renosterberg 14691 15 834 16984 B NC076 Thembelihle 14630 15 769 16 915 B NC077 Siyathemba 20108 21 735 23 480 B NC078 Siyancuma 35 680 38485 41 518 c DC7 Pixley Ka Seme District Municipality 27054 28 797 30 532 Total: Pixley Ka Seme Municipalities 205450 221504 238443
B NC081 Mier 9959 10766 II 541 B NC082 Kai !Garib 46950 5040 54622 B NC083 //Khara Hais 52 652 56623 61632 B NC084 !Kheis 15 852 1707 18 318 B NC085 Tsantsabane 25 422 27 500 29 720 B NC086 Kgatelopele 14659
15 ~~~ 17207 DC8 Siyanda District Municipality 42 890 448 47 435 Total: Siyanda Municipalities 208 384 223 141 240 475
B NC091 Sol P1aatje 146 493 157 014 168 840 B NC092 Dikgatlong 44 948 48459 52 263 B NC093 Magareng 28 704 30 964 33 406 B NC094 Phokwane 63 719 68 373 73 950 c DC9 Frances Baard District Municipality 87 442 91004 99 640 Total: Frances Baard Municipalities 371306 395 814 428 099
B NC451 Joe Moro1ong 72127 77 961 84209 B NC452 Ga-Segonyana 65 874 70737 76 691 B NC453 Gamagara 20705 22428 24 263 c DC45 John Taolo Gaetsewe District Municipality 55 361 58 251 61 815 Total: John Taolo Gaetsewe Municipalities 214067 229377 246 978
Total: Northern Cape Municipalities 1 133 850 1214364 1309122
..
+
70 No. 35361 GOVERNMENT GAZETTE, 17 May 2012 ActNo.5of2012 Division of Revenue Act, 20 12
70
SCHEDULE3
DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY
National Financial Year
ColumnA Column B
2012/13 Forward Estimates Number Municipality Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO
NORTHWEST
B NW371 Moretele 155 654 168 055 181 403 B NW372 Madibeng 273 733 293 205 315 018 B NW373 Rustenburg 256 520 274 824 295 354 B NW374 Kgetlengrivier 42 641 45 963 49 565 B NW375 Moses Kotane 228 799 245 488 265 434 c DC37 Boianala Platinum District Municipality 239 064 248 045 257 581 Total: Bo.ianala Platinum Municipalities 1196 411 1275580 1364 355
B NW381 Ratlou 67 258 72 722 78 566 B NW382 Tswaing 63 830 68 580 74 508 B NW383 Mafikeng 121 440 130 078 139 755 B NW384 Ditsobotla 79407 85 348 92 853 B NW385 Ramotshere Moiloa 80 152 86 125 93 607 c DC38 Ngaka Modiri Molema 394 002 423 958 457 207 Total: Ne;aka Modiri Molema Municipalities 806 089 866 811 936 496
B NW392 Naledi 33 235 35 740 38 918 B NW393 Mamusa 31940 34 578 37 385 B NW394 Greater Taung 100 547 108 941 117 842 B NW396 Lekwa-Teemane 28 302 30 659 33 163 B NW397 NW397 66 113 71 545 77 334 c DC39 Dr Ruth Segomotsi Mompati District Municipality 209 603 225 141 196 841 Total: Dr Ruth See;omotsi Mompati Municipalities 469 740 506 604 501 483
B NW401 Ventersdorp 45 869 49420 53 279 B NW402 Tlokwe 85 150 91 264 98 136 B NW403 City of Matlosana 335 773 359 709 386 545 B NW404 Maq uassi Hills 77 840 83 519 90 304 c DC40 Dr Kenneth Kaunda District Municipality 156 438 156 023 161 865 Total: Dr Kenneth Kaunda Municipalities 701 070 739 935 790 129
Total: North West Municipalities 3 173 310 3388 930 3 592 463
72 No. 35361 GOVERNMENT GAZETTE, 17 May 2012
Act No. 5 of 2012 Division of Revenue Act, 2012
72
SCHEDULE3
DETERMINATION OF EACH MUNICIPALITY'S EQUITABLE SHARE OF THE LOCAL GOVERNMENT SPHERE'S SHARE OF REVENUE RAISED NATIONALLY
National Financial Year
ColumnA Column 8
2012/13 Forward Estimates Number Municipality Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO
WESTERN CAPE
A CPT City of Cape Town I 084416 I 165 272 I 257 857
B WCOII Matzikarna 36 388 39 092 42429 B WCOI2 Cederberg 26 013 28 144 30 429 B WCOI3 Bergrivier 22 679 24 627 26689 B WCOI4 Saldanha Bay 34 054 36 735 40276 B WCOI5 Swartland 26 752 28 867 31 723 c DC! West Coast District Municipality 70 000 72 212 74 954 Total: West Coast Municipalities 215 886 229 677 246 500
B WC022 Witzenberg 46 200 49 664 54 018 B WC023 Drakenstein 69 397 74441 80 136 B WC024 Stellenbosch 41 241 44284 47 736 B WC025 Breede Valley 62 986 67 524 72 632 B WC026 Langeberg 51 280 55 105 59 863 c DC2 Cape Winelands District Municipality 205 814 210 513 217 832 Total: Cape Winelands Municipalities 476 918 501 531 532 217
B WC031 Theewaterskloof 53 343 57 332 62 316 B WC032 Overstrand 36146 38 984 42 707 B WC033 Cape Agulhas 16 877 18 315 19 845 B WC034 Swellendam 18 897 20 474 22 158 c DC3 Overberg District Municipality 43 926 45 929 48 516 Total: Overberg Municipalities 169189 181 034 195 542
B WC041 Kannaland 18 989 20 515 22 158 B WC042 Hesse qua 26 522 28 810 31 232 B WC043 Mossel Bay 42 495 45 755 49973 B WC044 George 80 370 86 196 92 766 B WC045 Oudtshoom 43 034 46 290 50 452 B WC047 Bitou 23 375 25 403 27 568 B WC048 Knysna 30 859 33 272 36 395 c DC4 Eden District Municipality 125 699 129 788 134 520 Total: Eden Municipalities 391 343 416 029 445 064
B WC051 Laingsburg 9 536 10 316 II 060 B WC052 Prince Albert 10 586 II 438 12 262 B WC053 Beaufort West 32 765 35 411 38 273 c DC5 Central Karoo District Municipality 12 981 14 000 14999 Total: Central Karoo Municipalities 65868 71165 76594
Total: Western Cape Municipalities 2 403 620 2 564 708 2 753 774
National Total 37 873 396 40 581 787 43 638 905

SCHEDULE4
ALLOCATIONS TO PROVINCES TO SUPPLEMENT THE FUNDING OF PROGRAMMES OR FUNCTIONS FUNDED FROM PROVINCIAL BUDGETS > _,
::. ... :2! ?
ColumnA ColumnB (JI z Q 9 .... "'
...., :: v. ...., "' 0\
Vote Name ofaUocation Purpose Type of allocation Province 2012/13 Forward Estimates Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO Agriculture, Comprehensive Agricultural Support To expand the provision of agricultural General conditional allocation to Eastern Cape 197 209 217 565 228 810 Forestry and Programme Grant support services, promote and facilitate provinces Free State 126 829 140 305 146 531 Fisheries agricultural development by targeting Gauteng 48 016 53 481 60 816 (Vote 26) smallholding and previously disadvantaged KwaZulu-Natal 183 726 202 522 212 632
farmers thereby contributing to the Zero Limpopo 192 243 205 597 215 561 Hunger Strategy. Mpumalanga 114 829 130 683 134 547
Northern Cape 424 999 375 329 378 390 North West 155 277 169 679 179 410 Western Cape 91 863 104 859 108 394 TOTAL I 534 991 I 600 020 I 665 091
Basic Education Education Infrastructure Grant To help accelerate construction, General conditional allocation to Eastern Cape 883 403 I 026 115 I 023 645 --.1 (Vote 15) maintenance, upgrading and rehabilitation provinces Free State 459 635 476 004 487 142 .j::>.
of new and existing infrastructure in Gauteng 512 866 546 004 537 105 education; to enhance capacity to deliver KwaZulu-Natal I 247 477 1318435 I 373 989 infrastructure in education; to address Limpopo 942 091 988 433 918 075 damage to school infrastructure caused by Mpumalanga 530 711 539 520 593 387
Q 0 <
disasters. Northern Cape 307 609 321 714 337 252 North West 507 200 529 489 543 350 Western Cape 431 397 451 931 455 916 TOTAL 5 822 389 6 197 645 6 269 861
Health (a) Health Infrastructure Grant To supplement provincial funding of healtli General conditional allocation to Eastern Cape 258 862 276 982 305 244 (Vote 16) infrastructure to address backlogs, provinces Free State 139 073 147 417 158 293
accelerate the provision of health facilities Gauteng 110 361 116 983 127 859 and ensure proper life cycle maintenance o KwaZulu-Natal 393 367 416 969 427 845
~ ::: 0 ~ 3: ..., "' Q s· = ~ 0 ..., trl :;.::1 ..., ~
..., "' J!1 provincial health infrastructure. Limpopo 267 888 283 961 294 837
Mpumalanga 108 971 115 509 126 385 a _, "' > :::
Northern Cape 98 258 104 154 115 029 jl. ~ North West 112 790 119 863 130 739 t-> t-> 0 0 Western Cape 131411 139 296 ISO 171 ;::; t-> TOTAL I 620 981 I 721 134 I 836 402
SCHEDULE4
ALLOCATIONS TO PROVINCES TO SUPPLEMENT THE FUNDING OF PROGRAMMES OR FUNCTIONS FUNDED FROM PROVINCIAL BUDGETS > ..._, ~
0\
ColumnA ColumnB 2 ~
Vote Name of aUocation Purpose Type of allocation Province 2012/13 Forward Estimates Ul z AUocation 2013/14 2014/15
R'OOO R'OOO R'OOO
C> !=> ... .... ...., = \Jo ..... ...., .... 0\
Health (b) Health Professions Training and Support provinces to fund service costs Nationally assigned function to Eastern Cape 178 730 188 560 199 874 (Vote 16) Development Grant associated with training of health science provinces Free State 130 930 138 131 146419
trainees on the public service platform; co- Gauteng 725 310 765 202 811 114 funding of the National Human Resource KwaZulu-Natal 261 860 276 262 292 837 Plan for Health in expanding Limpopo 103 913 109 628 116206 undergraduate medical education for 2012 Mpumalanga 85 208 89 894 95 288 and beyond (2025). Northern Cape 68 583 72 356 76 697
North West 93 522 98 666 104 586 Western Cape 428 120 451 667 478 767 TOTAL 2 076176 2 190 366 2 321 788
(c) National Tertiary Services Grant Ensure provision of tertiary health services Nationally assigned function to Eastern Cape 682 445 743 621 786 007 for all South African citizens; to provinces Free State 786 724 849 661 898 091 compensate tertiary facilities for the costs Gauteng 3 044 567 3 305 931 3 493 891
-.1 0"1
associated with provision of these services KwaZulu-Natal I 323 114 I 415 731 I 496 427 including cross border patients. Limpopo 288 427 305 732 323 158
Mpumalanga 91 879 91 879 97116 0 Northern Cape 266 621 282 618 298 727 North West 211 765 224 470 237 264 Western Cape 2 182 468 2 400 714 2 537 554 TOTAL 8 878 010 9 620357 10 168 235
Higher Further Education and Training Colleges To ensure the successful transfer of the General conditional allocation to Eastern Cape 688 593 769 713 813 208 Education and Grant Further Education and Training college provinces Free State 317 955 355 412 375 496 Training function to the Department of Higher Gauteng I 113 533 I 244 713 I 315 050 (Vote 17) Education and Training. KwaZulu-Natal 839 837 938 774 991 823
Limpopo 536 612 599 828 633 723 Mpumalanga 342 696 383 067 404 714 Northern Cape 76 599 85 623 90462 North West 257 233 287 536 303 784
0 ~
~ 0 m :;;:· z ~· -l i5" 0 = > 0 ~ ...., ~ -l -l < p1 g c ::::; ,., > a: Jl ~
Western Cape 584 213 653 036 689 938 .... .... 0 0 TOTAL 4 757 271 5 317 702 5 618 198 .... ;::;
..
SCHEDULE4 > !l
_, 00
'Z ?
Vote Name or allocation Purpose Type or allocation Province 2012/13 Forward Estimates Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO
"' z 0 !" .... .... ..., ~ "' ..., .... 0'-
Agriculture, (a) Ilima/Letsema Projects Grant To assist vulnerable South African farming Conditional allocation Eastern Cape 42 000 43 845 46 062 Forestry and communities achieve an increase in Free State 54 600 57 999 60 802 Fisheries agricultural production and increased Gauteng 16 798 17 538 20 126 (Vote 26) income, invest in infrastructure that KwaZulu-Natal 63 000 65 768 69 093
unlocks agricultural production and supply Limpopo 42 000 43 845 46062 government markets with agricultural Mpumalanga 42000 43 845 46062 products thus releasing them from the Northern Cape 63 000 70 034 72 003 poverty trap. North West 42 000 43 845 46062
Western Cape 50 400 51 737 54 353 TOTAL 415 798 438 456 460 625
(b) Land Care Programme Grant: Poverty To enhance the sustainable conservation of Conditional allocation Eastern Cape 16 823 IS 866 10 853 Relief and Infrastructure Development natural agricultural resources through a Free State 8 953 8 571 5 427
community-based participatory approach; Gauteng 6 246 6 163 4 748 00 N
to create job/work opportunities through KwaZulu-Natal 20 304 18 746 10 854 the Expanded Public Works Programme; tc Limpopo 20 356 19 562 10 178 create an enabling environment for Mpumalanga 10 958 10249 6 !OS 0 improved food security and poverty relief. Northern Cape 12 724 12 055 7 462 0 < North West II 557 10 552 8 140
Western Cape 7 740 7 233 4 070 TOTAL 115 661 108 997 67 837
Arts and Cultun Community Library Services Grant To transfonn urban and rural community Conditional allocation Eastern Cape 78 058 74633 69 171 (Vote 14) library infrastructure, facilities and services Free State 50 304 55 070 63 379
(primarily targeting previously Gauteng 56 452 60 611 64 247 disadvantaged communities) through a KwaZulu-Natal 48 619 56 297 69 674 recapitalised programme at provincialleve Limpopo 68 822 72 662 72 081 in support of local government and nationa Mpumalanga 68 822 72662 77 081 initiatives. Northern Cape 72 395 76431 76 076
North West 64 973 69 210 67 077
r:T1
~ ~
t::l ~ -
appropriate decision making among KwaZulu-Natal 46 806 49 368 52 261 learners and educators; to mitigate the Limpopo 29942 31 586 33 412 impact ofHIV by providing a caring, Mpumalanga 17 416 18 371 19404 supportive and enabling environment for Northern Cape 4 579 4 828 5 049 learners and educators; to ensure the North West IS 616 16 478 17 398 provision of a safe, rights-based Western Cape 17 416 18 371 19404 environment in schools that is free of
Cl 0
~
~ discrimination, stigma and any form of sexual harassment/abuse. TOTAL 208665 220 110 232 697
(c) National School Nutrition Programme To provide nutritious meals to targeted Conditional allocation Eastern Cape 903 644 954 674 I 013 124 Grant learners. Free State 261 367 272 852 290 394
Gauteng 548 690 578 868 609 471 KwaZulu-Natal I lSI 644 1214985 I 283 755
t:l t;2 :;::· t;;• o-J s· Cl c ~ 0 ...., t"rl ~ o-J (I) o-J < Jil (I) c
Limpopo 879 338 937 023 994 466 Mpumalanga 474 560 495 661 526 572
= ..., (I) > s::: n ~ r
Northern Cape 113 136 119 359 122 392 North West 329 301 347 412 364 128
N N 8 8 N N
Western Cape 244 784 258 247 269 613 TOTAL 4 906 464 5 179 081 5 473 915
" -
SCHEDULES
SPECIFIC PURPOSE ALLOCATIONS TO PROVINCES > 00 a 0\
ColumnA ColumnB z ?
Vote Name of allocation Purpose Type of allocation Province 2012/13 Forward Estimates Allocation 2013/14 2014/IS
R'OOO R'OOO R'OOO
"' z Q !=' ... ... ...., = v. .... ...., ... 0\
Basic Education (d) Technical Secondary Schools To recapitalise up to 200 technical schools Conditional allocation Eastern Cape 30 000 31 649 33 560 (Vote IS) Recapitalisation Grant to improve their capacity to contribute to Free State 19 870 20 963 20 942
skills development and training in the Gauteng 25 000 26 375 30 549 country. K waZulu-Natal 40490 42 716 45 193
Limpopo 26 700 28 169 29 802 Mpwnalanga 25 678 27 058 28 627 Northern Cape 12 500 13 188 13 568 North West 17 867 18 850 19 206 Western Cape II 264 II 884 12 035 TOTAL 209 369 220852 233 482
Health (a) Comprehensive HIV and Aids Grant To enable the health sector to develop an Conditional allocation Eastern Cape I 060 852 I 273 296 I 473 053 (Vote 16) effective response to HIV and Aids Free State 615 160 742 984 861 713
including universal access to HIV Gauteng I 901 293 2 258 483 2619375 00 0'1
Counselling and Testing; to support the KwaZulu-Natal 2 225 423 2 652 072 3 073 536 implementation of the National Operationa Limpopo 713 432 861 143 I 000 811 Plan for comprehensive HIV and Aids Mpwnalanga 575 032 690 591 800 153 treatment and care; to subsidise in-part Northern Cape 248 372 302 468 349 998 funding for the antiretroviral treatment North West 685 204 825 302 958 196 programme. Western Cape 738 080 927 547 I 074 487
TOTAL 8 762 848 10 533 886 12 2ll 322 (b) Hospital Revitalisation Grant To provide funding to enable provinces to Conditional allocation Eastern Cape 402 679 408 719 485 251
plan, manage, modernise, rationalise and Free State 472 384 479 470 486 662 transform health infrastructure, health Gauteng 795 439 807 371 896 882 technology, monitoring and evaluation of K waZulu-Natal 566 605 575 104 661 132 the health facilities in line with national Limpopo 301 193 310 211 399 266 policy objectives; to supplement Mpumalanga 300 000 300 000 304 500 expenditure on health infrastructure Northern Cape 346 083 351 274 356 543 delivered through public-private North West 423 127 448 258 454 982 partnerships. Western Cape 496 085 503 526 511 079
0 0
~
0 I ~ ~ ~ N N 0 0
TOTAL 4103 595 4 183 933 4 556 297 -N N
.. -
SCHEDULES
SPECIFIC PURPOSE ALLOCATIONS TO PROVINCES > 00 " 00 ... ColumnA ColumnB 2: ~
Vote Name of allocation Purpose Type of allocation Province 2012/13 Forward Estimates Ul z AUocation 2013/14 2014/15
R'OOO R'OOO R'OOO Health {c) National Health Insurance Grant Test innovations necessary for Conditional allocation Eastern Cape II 500 26 835 38 334
0 p .... .... w = v. - w .... ~
{Vote 16) implementing National Health Insurance; Free State 16 500 38 500 55 000 to undertake health system strengthening Gauteng 31 500 73 500 lOS 000 initiatives and support selected pilot KwaZulu-Natal 33 000 77 000 110 000 districts in implementing identified service Limpopo II 500 26 833 38 334 delivery interventions; to strengthen the Mpumalanga II 500 26 833 38 333 resource management of selected central Northern Cape II 500 26 833 38 333 hospitals. North West II 500 26 833 38 333
Western Cape II 500 26 833 38 333 TOTAL 150 000 350 000 500 000
(d) Nursing Colleges and Schools Grant To supplement provincial funding ofhealtt Conditional allocation Eastern Cape 14 660 21 257 25 760 infrastructure to accelerate the provision of Free State 9160 14 282 19 995 health facilities including office furniture Gauteng 12 480 19096 24 734
00 00
and related equipment, and to ensure KwaZulu-Natal 16 480 23 896 29 454 proper maintenance of provincial health Limpopo 12 400 18 980 26 572 infrastructure for nursing colleges and Mpumalanga 9 740 14 123 19772 schools. Northern Cape 6 080 10 816 IS 143
North West 8 680 12 586 17 620 Western Cape 10 320 14 964 20 950 TOTAL 100 000 150 000 200 000
Human Human Settlements Development Grant To provide funding for the creation of Conditional allocation Eastern Cape 2 292 859 2472919 2 538 910 Settlements sustainable human settlements. Free State 961619 I 034 905 I 026 409 {Vote 31) Gauteng 4 003 776 4 329 066 4 620 481
KwaZulu-Natal 2 915 297 3 148 736 3 305 541 Limpopo I 471 617 I 588 823 I 657 732 Mpumalanga 965 127 I 043 499 I 113 121 Northern Cape 339 55 I 366 002 372 298 North West I 050 933 I 134 578 I 182 890
Cl 0
~ s:::
~ ~ o;· ..., g· Cl 0 ~ ...., til ~
..., ..., < .til g c -(I) ..... > s:::
.!4- ~ Western Cape I 725 180 I 865 344 I 990 939 N N 0 0 TOTAL 15 725 959 16 983 872 17 808 321 N N
SCHEDULES
SPECIFIC PURPOSE ALLOCATIONS TO PROVINCES > \() !!. 0
ColumnA ColumnB z ?
Vote Name of allocation Purpose Type of allocation Province 2012/13 Forward Estimates Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO Public Works (a) Devolution of Property Rate Funds To facilitate the transfer of the property Conditional allocation Eastern Cape 200 825 210 376 222 243
Ul z s. ? !; ...... '-" .... ...... .... ~
(Vote 7) Grant rates expenditure responsibility to Free State 231 399 244 755 258 561 provinces. Gauteng 281 469 294 376 310 982
KwaZulu-Nata1 551 100 5&8 180 621 359 Limpopo 35 399 37 024 39 113 Mpumalanga 76 &70 83 029 &7 712 Northern Cape 43 911 46424 49042 North West 178 1&5 202 408 213 825 Western Cape 319 SOl 345 421 364 906 TOTAL 1 918 659 2 051 993 2 167 743
(b) Expanded Public Works Programme To incentivise provincial departments to Conditional allocation Eastern Cape 60 333 - - Integrated Grant for Provinces expand work creation efforts through the Free State 21 391 - -
use of labour intensive delivery methods in Gauteng 18 835 - - 1.0 0 identified focus areas, in compliance with KwaZulu-Natal 79 506 - - the Expanded Public Works Programme Limpopo 48 983 - - (EPWP) guidelines. Mpumalanga 26 255 - - Cl
Northern Cape 9 915 - - North West 10 444 Western Cape 17 099 - - Unallocated - 361 624 383 255 TOTAL 292 761 361 624 383 255
(c) Social Sector Expanded Public Works social sector !Conditional allocation Eastern Cape 22 121 - - Programme Incentive Grant for Provinces the 2012 Social Free State 23 90& -
Sector EPWP Log-frame to increase job Gauteng 41945 - - creation by focusing on the strengthening KwaZulu-Natal 1673 - - and expansion of social service Limpopo 57 734 - - programmes that have employment Mpumalanga 13 659 . potential. Northern Cape 2 073 . .
0 tii ~ s::
C) tTl
~: ~ o· Cl =
~ s, ; U> ;::; w "' -
CURRENT GRANTS Cooperative Municipal Systems Improvement Grant To assist municipalities build in-house capacity to perform their functions and stabilise institutional Governance and and governance systems as required in the Municipal Systems Act and related legislation, policies 230 096 242 734 257 298 Traditional and the local government turnaround strategy. Affairs Vote 3)
PubHeWorki Expanded Public Worlcs Programme To incentivise municipalities to expand worlc creation efforts tbrough the use of laoour intensive (Vote 7) Integrated Grant for Municipalities delivery methods in identified focus areas, in compliance with the Expanded Public Works 599 240 701 924 743 912
Programme guidelines. National (a) Infrastructure Skills Development To strengthen the capacity oflocal government to effectively and efficiently deliver quality Treasury Grant infrastructure, by increasing the pool of slcills available and to facilitate lifelong learning and the 75 460 100 000 106 000 (Vote 10) transfer oflcnowledge to municipalities.
(b) Local Government Financial To promote and support reforms in financial management by building capacity in municipalities to 402 753 424 798 449 138 Management Grant implement the Municipal Finance Management Act. Energy Electricity Demand Side Management To provide subsidies to municipalities to implement Electricity Demand Side Management in 200 000 200000 200 000 (Vote 29) "'rant municipal infrastructure in order to reduce electricity consumption and improve energy efficiency. Water Affairs Water Services Operating Subsidy Grant To subsidise and build capacity in water schemes owned and/or operated by the Department ofWate
\0 .j:>.
(Vote 38) Affairs or by other agencies on behalf of the department and transfer these schemes to local 562 434 420945 449 558 government.
!TOTAL 20 2 090 401 22059061 0 0 INFRASTRUCTURE GRANTS Cooperative Municipal infrastructure Grant To provide specific capital finance for basic municipal infrastructure backlogs for poor households, Governan~e and micro enterprises and social institutions servicing poor communities. 13 881 633 14 643 465 15 764 200 Traditional Affairs (Vote 3) Energy Integrated National Electrification To implement the Integrated National Electrification Programme by providing capital subsidies to (Vote 29) Programme (Municipal) Grant municipalities to address the electrification backlog of occupied residential dwellings, clinics and the I 151 443 1314772 I 487 658
installation of bulle infrastructure and rehabilitation and refurbishment of electricity infrastructure in order to improve quality of supply.
National Neighoourhood Development Partnership To support neighbourhood development projects that provide community infrastructure and create tb Treasury Grant platform for other public and private sector development, towards improving the quality of life of 578 132 598 041 591 179 (Vote 10) residents in targeted underserved neighbourhoods (townships generally).
<
~ !;;?. ~ < ;;;· g· 0 0 ~ ...... til ~
,...., ,...., < !'1 s -c: -...) ... ~ :: ~ N N 0 0
N ;::; Transport (a) Public Transport Infrastructure and To provide for accelerated planning, construction and improvement of public and non-motorised 4 988 !03 5 549 981 5 870 846 (Vote 37) Systems Grant transport infrastructure and services.
(b) Rural Roads Asset Management Grant To assist rural district municipalities to set up rural Road Asset Management Systems, and collect 37 295 39 154 41 418 road and traffic data in line with the Road Infrastructure Strategic Framework for South Africa. I TOTAL 20 636 6D6 22145 413 23 755301
SCHEDULE7
ALLOCATIONS-IN-KIND TO PROVINCES FOR DESIGNATED SPECIAL PROGRAMMES > \0 ~
0\
:z ? Ul z Q ? ... ColumnA ColumnB N w = v. ... w N ~
Vote Name of allocation Purpose Province 2012/13 Forward Estimates Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO Basic Education School Infrastructure Backlogs Grant Eradication of inappropriate school infrastructure; provision of water, Eastern Cape I 526 635 4 689 000 - (Vote 15) sanitation and electricity to schools. Free State 160 730 100 000 -
Gauteng 45 540 - - KwaZulu-Natal 159 089 60 000 - Limpopo 144 368 60 000 - Mpumalanga 141 519 100 000 - Northern Cape 14 590 - - North West 109 469 80 000 - Western Cape 13 060 100 000 - Unallocated - - 5 500 340 '-0 TOTAL 2 315 000 5 189 000 5 500 340 0\
0 0
tii ~
t:1 ~ :;;:· c;;· .., s· 0 ::; > 0 N -. tTl ::0 .., ... _til < g "' -.J ... > 3:: _fl. ., '< N ..., 8 8 N ...,
• - ...
SCHEDULE7
ALLOCATIONS-IN-KIND TO MUNICIPALITIES FOR DESIGNATED SPECIAL PROGRAMMES > '-0 .... 00 ... z !' w = V> ... w to.> ~
Vote Name of aUoeation Purpose 2012/13 Forward Estimates Allocation 2013/14 2014/15
R'OOO R'OOO R'OOO National !Neighbourhood Development Partnership To support neighbourhood development projects that provide community infrastructure and create th Treasury I Grant platform for other public and private sector development, towards improving the quality of life of 80 000 55 000 58 300 (Vote 10) residents in targeted underserved neighbourhoods (townships generally). Energy Integrated National Electrification To implement the Integrated National Electrification Programme by providing capital subsidies to (Vote 29) Programme (Eskom) Grant Eskom to address the electrification backlog of occupied residential dwellings, the installation of I 879 368 I 982 596 2 098 903
bulk infrastructure and rehabilitation and refurbishment of electricity infrastructure in order to improve quality of supply.
Water Affairs To subsidise and build capacity in water schemes owned and/or operated by the Department of Wate (Vote 38) Affairs or by other agencies on behalf of the department and transfer these schemes to local 132 598 312 584 327 625
(b) Regional Bulk Infrastructure Grant To develop infrastructure required to connect or augment a water resource, to infrastructure serving \0 00 extensive areas across municipal boundaries or large regional bulk infrastructure serving numerous communities over a large area within a municipality, and in the case of sanitation, to supplement 2516641 2921728 3 351 460 regional bulk collection as well as regional waste water treatment works.
Human Rural Households Infrastructure Grant To provide specific capital funding for the eradication of rural water and sanitation backlogs and is 0 0 Settlements targeted at existing households where bulk-dependent services are not viable. The grant also funds 479 500 389 000 - til (Vote 31) training for beneficiaries on health and hygiene practices and how to maintain the facilities provided.
!TOTAL 5 088 107 I 5 660908 5 836 288 0 ~ :::- z !;;'
..., s· 0 ::I ~ 0 ....., m ~ ~ < !'l = c: "" > :s:: Jl ~ "' "' 8 8 "' "'
... -
SCHEDULES
UNALLOCATED PROVISIONS FOR PROVINCES FOR DISASTER RESPONSE > 0 !:£. Q z ? \II z
Column A ColumnB 2. ? .... w 0
._, ""
w .... a, Vote Name of allocation Purpose Provioc:e 2012/13 Forward Estimates Allocation 2013/14 2014/15 =
R'OOO R'OOO R'OOO Cooperative Provincial Disaster Grant To provide for the immediate release of funds for disaster response. Eastern Cape - - - Governance and Free State - - - Traditional Gauteng - - Affairs K waZulu-Natal - - - (Vote 3) Limpopo - - -
Mpumalanga - - - Northern Cape - - - North West - - - Western Cape - - Unallocated 180 000 190000 201 400 TOTAL 180 000 201400
-0 0
UNALLOCATED PROVISIONS FOR MUNICIPALITIES FOR DISASTER RESPONSE 0 0
ColumnA ColumnB ~ 3:
v ~ :;;· f2i:
...., 0 8 ~ 0 ..... tTl
?:: ::l < p-1 g -c I "'
Vote Name of allocation Purpose 2012/13 Forward Estimates Allocation 2013/14 2014115
R'OOO R'OOO R'OOO Cooperative Municipal Disaster Grant To provide for the immediate release of funds for disaster response. Governance and 330 000 350 000 371 000 Traditional Affairs
> 3: ~ .. '< ...., ...., !(Vote 3) !TOTAL 330000 350 000 371000 0 0 ;:::; ....,
- -