2014 -11-3 0 II annual report pdf-1.pdf2014 -11-3 0 P,uditor General South Africa Mpurna\(lnga Business Unit . MBOMBELA LOCAL MUNICIPALITY AUDITED ANNUAL FINANCIAL STATEMENTS FOR THE

$Page 1: 2014 -11-3 0 II annual report pdf-1.pdf2014 -11-3 0 P,uditor General South Africa Mpurna\(lnga Business Unit . MBOMBELA LOCAL MUNICIPALITY AUDITED ANNUAL FINANCIAL STATEMENTS FOR THE$
Audited

By

2014 -11- 3 0

II Auditor General South Africa

r1pumalanga Business Unit

Audited

By

201~ -11- 3 0

Auditor General South Africa

Mpomalanga Business Unit --shy

AUDITED ANNUAL FINANCIAL STATEMENTS

for

MBOMBELA LOCAL MUNICIPALITY

for the year ended 30 June 2014

Province Mpumalanga

AFS rounding R (Ie oqlr cents)

Contact InfoFl1atlon

Name of Actfna MunlcllUll Manaaer Mr l S DitshEIQO

0131 759 2005

seUoditMtlolffimbombela novza lt

iMam of ChJef Financial OffIcer Vacant

Contact teJaohone number 01317592005

Contactaaddfoss NA

Nomo _n8 Doputy Chief Financial OffIcer Mr 0 P Mokoena

Contact teleohone number 013)7599050

Contact e-mall address cuoa mnkoeneregmbombela ClOV za

Name of contact at Provincial Treasurv Mr H Silaule

Contact telenhnnA number 03) 766 4292

Contact e-mail address H Silaulrnl mrvl nnv za

Name of contact at the OffIce of the c

~udltor General Mrs S Lubambo -----I

Contact number 03) 766 0800 -----d Contact e-mail address NWWansaCOza Igt~

M~ ~ 110-Of _tact at Natlono

Mr Linda Maziva south I~Trenurv

Contact leleohone number 0123155712 ~lIotO( IJ ~3 SlS~

Contact amp-mail address IIndamazi alRllreasuNOov ~ N~

MBOMBELA LOCAL MUNICIPALITY AUDITED ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

INDEX Page

General Information

Approval and Certification

Statement of Financial Position 1

UNAUDITED SUPPLEMENTARY SCHEDULES TO THE ANNUAL FINANCIAL STATEMENTS

Statement of Financial Performance 2

Statement of Changes in Net Assets 3

Cash Flow Statement 4

Statement of Comparison of Budget and Actual Amounts 5-6

Notes 10 the Annual Financial Statements 7-60

Appendix A Schedule of Inlerest Bearing Borrowings 61

Appendix B Analysis of Property Plant and Equipment 62-63

Appendix C Segmental Analysis of Property Plant and Equipment 64

Appendix D Segmental Statement of Financial Performance 65

Appendix E Deviations from Supply Chain Management 66-69

Audited

By

2014 -11-30

Auditor General South Africa I Mpumalanga Business Unit

-

MBOMBELA LOCAL MUNICIPALITY AUDITED ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENOED 30 JUNE 2014

INDEX

Abbreviations

FMG MSIG

MIG MWIG

EPWP

AFCON

INEP

OME OWS PTIG

MFMA OBSA

NT PT SARS GRAP IPSAS

lAS ASB VAT SPCA UIF PAVE

PR WCA

~

SCM MM CFO AG MMC

SALGA

SETA

Finance Management Grant

Municipal Systems Improvement Grant

Municipal Infrastructure Grant

Municipal Water Infrastructure Grant

Expanded Public Works Programme

Africa Cup of Nations

Intergrated National Electrification Programme

Department of Minerals and Energy

Department of Water and Sanitation

Public Transport Infrastructure Grant

Munici pal Finance Management Act No 56 of 2003

Development Bank of Southem Africa

National Treasury

Provincial Treasury

South African Revenue Services

Generally Recognised Accounting Practice

International Public Sector Accounting Standards

International Accounting Standards

Accounting Standards Board

Value Added Tax

Society for the Prevention of Cruelly to Animals

Unemployment Insurance Fund

~ay As You Earn

~roportional Representative Councillor

Workman Compensation Act

Supply Chain Management

Municipal Manager

Chief Financial OffICer

Auditor - General

Member of Mayoral Committee

South African Local Government Association

Sector Education and Training Authorities

Iudited By

2014 -11- 3 0

Puditor General South Africa

Mpurna(lnga Business Unit

MBOMBELA LOCAL MUNICIPALITY AUDITED ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENCED 30 JUNE 2014

General Information

Members of the Mayoral Committee amp tholr Portfolios

Cllr S P Malhonsi

ClIr J Sidell

Cllr SH Mbuyane

Cllr ZM Soroko

ellr MS Magagula

Cllr e Maseko

ellr PA Mathe

ellr M Mayinga

Cllr JM Mazibane

Cllr BN Mdhluli

Cllr FP Nkala

Cllr BA Zulu

Councillor Ward

Cllr MB Mokoena Cllr MJ Msibi Cllr MZ Malumane

Cllr KE Maziya Cllr TO Tsela Cllr JM Mazibane Cllr L Maseko Cllr JA Mkhonto Cllr BA Nyundu Cllr MS Mdluli Cllr EM Mutobovu Cllr MC Mafotha Cllr A Kumba CUr KM Mkhonto CUrF Lange Cllr H De Kock Cllr W Le Grange

Cllr JB Mashaba

Cllr NW Molubalse

Cllr TC Simelane

2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 20

Executive Mayor

Speaker

Chief Whip

Member of Mayoral Committee-Sports and Recreation

Member of Mayoral Committee-Waste Services Parks and Cemeteries

Member of Mayoral Committee- Infrastructure Development

Member of Mayoral Committee-Water and Sanitation

Member of Mayoral Committee-Financial Services

Member of Mayoral Comminee-Corpotate Services

Member of Mayoral Committee-Human Settlements Rural and Urban Development

Member of Mayoral Committee-PubliC Safety Public Ttansport Health amp Emergency SeMces Member of Mayoral Committee-Local Economic DevelOpment Tourism and Trade

Councillor Ward

Cllr MI Tlou 21 Cllr ET Mkhabela 22 Cllr ME Mhaule 23 Cllt TL Oludlu 24 Cllr MC Mhlanga 25 Cllr TM Bulunga 26 Cllr MS Mashele 27 Vacant 28 Cllr KR Mabuza 2 Cllr TMJ Grove-Morgan 30 Cllr CN Mnyambo 31 ellr 5T Nobela 32 Cllr N5 Nyalunga 33 ellr 5P Mavuso 34 Cllr PP Nyalunga 35 ellr JJ Khoza 36 Cllr FJ Zulu 37 Cllr OM Thobela Ngwenyama 38

CnrOl Nk 3------ Aud ited

By

201~ -11- 3 0 i

Auditor General South Afr~a I

Mpumalanga Business Uroit I


General information

Proportional Representative Councillors (PRl

Councillor Ward Councillor

Cllr KP Robertson Cllr 8N Mdhluli Cllr DO Ngwenyama 2 CUr TK Mabilane Cllr TP Manana Cllr BAZulubullCllr NF Dhlamini 5 Cllr SR Mabuza Cllr HK Malomane 6 Cllr HL Twaia Cllr LN Moreko 7 Cllr NB Malume Cllr MM Mlimi 8 Cilr M Maylnga Cllr EM Sebashe CllrNM Zulu bullCllr TP Manave 10 Cllr MS Magagula CllrVL Mlimo 11 Cllr S P Malhonsi Cllr SH Mbuyane 12 Cllr PV Mashego Cllr DF Maseko 13 Cllr FP Nkala

~

CllrW De Beer Cllr 51 Mokoena ClirC Maseko 14 Cllr J Sidell

Cllr 5R Schorman 15 Cllr RF Mgwenya air MK Matsemela 15 Cllr A Mbuyane Cllr A lubbe 16 Cllr 2M Soroko Cllr T M Charles 17 Cllr TG MabuZa Cllr J Kosier 17 Cllr PA Maihe Cllr WS Segage 18

Audit and Performance Audit Commlttea Mrs HC Thabelhe Chairperson Ms FZ Mabilane Member Mr M Seeker Member Ms GP Mwasi Member

Acting Municipal Manager

IMr l S DitshegO

--- Chief Financial Officer

Ivacanl

Grading of Local Authority

Auditors

Auditor-General South Africa - Mpumalanga

10 Nel Streel P OBox 2684 Nelspruit Nelspruil 1200 1200

Bankers

ABSA Bank Nelspruit 2nd Floor Absa Square POBox 1951

20 Paul Kruger Street Nelspruit Nelspruit 1200

Ward

20 21 22 2 25 26 27 2 30 32 33 3 35 37 3 36 39 39

Audited

By

201 -11-30


Mpumalanga eU$iness Unit

1201


General information

Audited By

201~ -11- 3 0


Mpurnalanga Business Unit

MBOMBELA LOCAL MUNICIPALITY AUDITED ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDEO 30 JUNE 2014

General Information (continued)

Registered Office INelsprult Civic Centre

Physical address

Postal address

Telephone number

Fax number

Website address

libraries

Hazyview

Kabokweni

Malsulu

Nelspruil

Nelsvil1e

Victory Park

W hite River

Enqulr~s

Building Plans Electricity Water amp Sewerage Consumers

Paypolnts

White River KaNyamazane Matsulu Kabokweni Hazyview Nelspruit Civic Centre

Civic Centre

1 Nel street

Nelspruit

South Africa

IP OBo45Ne ls

1200

1(013) 759 911 1

1(013)7592002

Iwwwmbombela goyza

013) 737 7220 013)796 1082 013) 778 9864

013) 759 2077

013) 755 4788

013) 759 2089

013) 750 9125

013 7592184 013 7592231

(013 752 2580 1 75 202 I 2064

12025

2014 -11- 3 0


Mpumalanga Business Unit


Approval and Certification of Annual Financial Statements

I am responsible for the preparation of these annual financial statements which are set out on peges 1 to 69 in terms of Section 126(1) of the Municipal Finance Management Act and which I have signed on behalf of the MunicipalityThe annual financial statements have been prepared in accordance with the Standards of Generally Recognised Accounting Practices (GRAP) other applicable accounting standards and reporting framework approved by the Accounting Standards Board and are based upon appropriate accounting policies consistently applied and supported by reasonable and prudent Judgements and estimates These statements fai rly presents the state of affairs of the municipa~ ly ils management of revenue expenditure assets and Ilab~ities its business activities (ts financial results and ils financial positioo as at 30 June 2014

I cert ify that the salaries allowances and benefits of Councillors as disclosed in note 29 of these annual financial statements are Nithin the upper limits of the framework envisaged in Section 219 of the Constitution read with the Remuneration of Public Officer Bearers Act and the Minister of Co-operative Governance and Traditional Affairs determination in accordance with this Act

rItL J Mr L S Dltshego Acting Municipal Manager

~ Acting Deputy Chief Financial Officer

DATE 29 August 2014

Audited

By

201~ -11-30

Auditor General South Africa Mpumalanga Business Unit

~

MBOMBELA LOCAL MUNICIPALITY AUDITED ANNUAL FINANCIAL STATEMENTS FOR THE Y AR ENE DED 30 JUNE 2014

STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2014

Note

ASSETS Current assets Inventories 2 Current portion of receivables 10 Trade and other receivables from exchange transactions 3 Trade and other receivables from non-exchange transactions 3 Other receivables from nonmiddotexchange transactions 4 VAT receivable 5 Cash and cash equivalents 6

Non-current assets Property plant and equipment 7 Intangible assets 8 Investment property carried at cost 9 Non-current receivables 10 Investments 11

Total assets

LIABILITIES Current liabilities Current portion of borrowings 12 Consumer deposits 13 Other financial liabilities 14 Current portion of provisions 15 VAT payable 5 Unspent conditional grants and receipts 16 Trade and other payables from exchange transactions 17 Current portion of employee benefit obligations 19

~

2014

R

279660608 20570005

38480 1062109 15

18085432 36 01 1806

2631868 9611 2103

5505816660 5151 359288

5471500 334 167526

434358 14383987

5785477268

842239476 16016973 22262338 39 64 1635

4638912

-295055540 459720278

4903799

Restated 2013

R

189656584 20144 197

17729 9 101 3690 20462987 38459854

-19558127

5487244454 5131020659

5693637 336360740

473009 13696409

5676901038

668455781 14259575 19817740 59328339

586191 8 5908813

138520706 419344898

5413792

Non-current liabilities 485593902 411414795 Non~current borrowings 12 225068623 189427 824 Non~current provisions 15 86 401 074 77622531 Deferred revenue 18 14481 21 2820523 Employee benefit obligations 19 172876085 141543917

Total liabilities 1327833378 1079870576

Net assets 4457643890 4597030462

NET ASSETS I

Accumulated su rplus 445 643890 4597030462Audited

By Total net assets 44 643890 4597030462

201~ -11- 3u

Audito r General Soutn I- HI~a I Mpumalanga Business UnI t _


STATEMENT OF FINANCIAL PERFORMANCE FOR THE YEAR ENDED 30 JUNE 2014

Restated Note 2014 2013

R R

Revenue

Exchange revenue 864112840 769412580 Service charges 21 709238543 635228889 Finance Income 22 26495129 18278241 Rental of facilities and equipment 24 18592109 18265561 Licences and permits 4374 20853 Agency fees 25 28456300 24834593 Other revenue 26 81326386 72784443

Non-exchange revenue 842385030 842733051

Property rates 20 290608404 274261958 Government grants and subsidies - operating 23 359287315 382170797 Government grants and subsidies - capital 23 170643340 168277079 Fines 27 15327210 16684852 Donations received 6518760 1338366

Total revenue 1706497870 1612145631

Expenses Employee related costs 28 459896516 418218486 Remuneration of councillors 29 25891785 20925396 Depreciation amortisation and impairment losses 30 217954806 240801725 Bad debts 3amp4 48538778 81139830 Finance costs 31 52684473 46638545 Collection costs 3209182 3077858 Bulk purchases 32 437830995 419564596 Contracted services 33 244593595 206544924 Grants and subsidies paid 34 23707021 25873542 General expenses 35 169421604 196222416 Repairs and maintenance 36 148019597 133783000 Total expenses 1831748352 1792790317

Operating surplus (deficit) (125250482) (180644686)

Gain I (loss) on disposal of assets 37 1816084 (1000562) Actuarial (loss) I gain on defined benefit plan liability 19 (10387843) 63766151 Fair value adjustment on provision 15 (5564331) (1760284)

Deficit for the year -~I

139386572 119639381

~

)~

__UlU~

h pJrico tera sou t dtor Ge eSs Ij(

pu Busl --shyMPurna3ga

~

2


OF CHANGES IN NET ASSETS FOR THE YEAR 30 JUNE 2014

Note

as previously reported 30 June 2011 for the period

error adjuslments 40 Balance 1 July 2012 the period Balance at 30 June 2013 the period

at 30 June 2014

I Accumulated Surplusl Total Net Assetsl D D

(25O34232a)

~ shyco - 3 0 - ) co ~ ~ -0 c - r C ~ n

~

--

c

shy-lt -

a

3

MBOMBELA LOCAL MUNICIPALITY AUDnED ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

CASH FLOW STATEMENT AS AT 30 JUNE 2014 Restated

2014 2013 Note

R R

CASH FLOWS FROM OPERATIN G ACTIVITIES

Receipts 1797603544 1601419229

Property rates 293486751 270165214 Sa te of goods and services 726037074 634719617 Grants and subsidies 736092296 652680600 Interest received 37 14173 3246046 Other recei pts 38273248 46607152

Payments 1530558005 1369866282

Employee costs and remtiOefa tion of coune~k)fS 472109653 406015067 Bull pvrcha~ 36QOI 6958 409672700 Interest paid 38630603 30 185692 Olher payments 468073969 36233806 1 Grants and subsidies 2370702 1 25673542 Repairs and maintenance 1480 19597 133763000

Net cashflows from operating activities 38 267045539 237552941

CASH FLOWS FROM INVESTING ACTIVITIES Purchase of property plant and equipment (2295371 98) (236732713) Proceeds trom disposal of propertyplant and equipment and other assets 3689518 315321 Increase I (decrease) in investments (687578) (63001) (Increase) Idecrease non-current receivables 17900 1507271 Not cah f1~ from Investing activities (226517358) (236531240)

CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from borrowklgs 5 1791488 15271968 Repayment of borroYklgs (14393291) (29860764) Deferred revenue (1 372402) Repayment of finance lease liability Net cash fl ows f rom financing actlllties (1~ bull

Net Increase I (cleuesse) in net cash and cash equtvatenb 76553976 (1 6 233861 ) Nel cash and cash equlvalenl$ at beginning of period 195561 27 35792008 Net cash end cash equlvalenl$ at end of period 39 96112103 191558 t121

Audited By

1m~ -- 3 0 south Alrica

Auditor GeneraBUsiness Ul1it Mpumalanga ---

4

( ( MBOMBELA LOCAL MUNICIPALITY

AUDITED ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

STATEMENT OF COMPARISON OF BUDGET AND ACTUAL AMOUNTS

Flql81dgtt0 OrIgIIIII BuGget Actbullbull VarianceI _A~~_ I -- I bull [Ilo s28amps31 Of The IoIFMA) ~~

Financial Prfonnnce _Ram 313814OM 2906084043049 8695 3049 18695 (143 10291) ~ 69middot

738764783Service ChalgSS 76357717 738784783 709238543 (2M28240) ~ OOmiddot (241374)S7SO2tS2 3955548 3714174Inveslrmml Revenue 395M48middot ~

TrargtsIeos Recognised - aptalonal 417459620 417439620 1393 34e325000 ~9287315 (58172305)middot 184114933 1amp4652966 184652966Other om Revenue 174822179 (9830787) -532middot

U l 1452000 1649151amp12 middot 1649751612 1537670614 ( 2080998) -679Total Revenue (Excluding Capital Tr n amp Contrlbutlonl)

449022009 (36400)Employee Costs 4648681n 448985809 459896515 109 10~7 243

Remuneration Of CcurlCb$ 22081891 26281 902 26281902 25891785 (39011 7) -148middot 17)7Detgtllmpafrmenl 75262026 9393513 (35399193) 48538778 (9993542) 58532m Depreciation and Asset ~Irmen 282~ 100 228661644 (9IW7996) 2 18 96964amp (1014842)217954806

42013805 52684473 Fance Charges 56247127 42013805 10670668 2540 middot Transfeo-s and Grants 21 1823amp3 1918000 (1803001) 1 9122313000 23080369 21277368

Malenals and Bulk Purehass 41232(1495 45451 3543 454513~3 30825905 485339448 6 78

461 879133 542 114803 -4)5 514522160 80235 670 520165177 (21949626) Ottoer~res

Tot Expenditure 1849619gt12 1771 91 31020Dal 111 4(gIm 1131 748353 112583504 095s~ISurplusI(Deflcn) (238167511) I (1V7U1306) I (370200I1) 1 (164740)117) 1 (294077739)1 (121337352)1 3 -a

Trnsfers re-cognlsed 394816000 444898014 444898014 17064334l (2742544) ~ 0 ~

SurpluslDtfciI) der c I I fgMlin amp ~rlbullons Isti648429 317177109 (37020Ofl) 2801$7628 (123434398) lt103592 02amp 144

s J- )gt- shy C 156648429 311177709 (3702008 1) 2801$762amp (123434398) (4039202amp) 1 44)0SurplU$ (Oeflclt) for the afJ) ~ bull CJJ a OOn - -lt0

Ilr Fn -gt ~ Cpiligtl ependHu(1l s C =

Tmifers Recognisad 8pi ~

PublIC ConL1butions ~~

BorrooYIng s InlefMallyGenerated g

ITotlll Sources Of Capital ~---_____-l

332813472

2500000

105050000

135555197

441455840

4499813

88798290

7069a359

(635355)

(681~79Gl

(9032435)

440820485

4499813

61983494

61665924

165614338

2126835

25SJe192

37623701

(275205649)

(2372918)

(56445302)

(204222~)

middot624~

-527(4

middot66$5 389)

$7$9269 605452302 (15482$85) 588969716 230903554 (358066153) oUil Budgel 2425538841 23B292A219 240346t7t5 2062651 916 (340609799)

5



Budget AdjUltmtnm Vrement itoCound DeKription Origlllli Budget OLo 128 amp 31 Of The MFMA) p~OfdIrtmt polky) Final Budget Actual Variance Vtrlance

F I IP n po Tolaliurrenasseramp ~ C 319138811 300214693 - 306214693 279660608 (26554(85) -667

~ Tolaloonamenl~ 0 ~_ 5701656207 ~96982 1 6 14 - 5969821614 5505816660 (464004954) 77~r

otaIAmts 1 ~ 6021394818 6276036307 62761)36307 5785477268 (490559039) -782

ToIiIawrenllabiIi~ () ~ l 208559667 3(l398MOI - 363988501 842239476 4782ro975 131 M ToIiIInoroalllllntrlllbilles GS W - t 559 187128 406891345 - 406891345 485593902 78702557 193t

TotaIliJIIiities ~ ~ I tP I 767146794 770879848 bull nO879846 1327833378 556953532 n2l

tlel~ ~ ~ =f I 5253aa023 I 5505156461 I - I 55051564611 4457643890 I ( 1 047gt~12571)1 -1903 Total NeIA$$ets 1 c Vi ~ ~25368023 5505156461 - 5gt5051~6461 4457643890 (11l47512571) middot19G3

~ 0 c=I Cash flows ~ = S

NetCash ffom(Used) 4 -r 452793778 587966711 1 bull 5679M711 26700539 (30092 1172) -5298 1Net CashFmm (Used) IA~~e ~ (489876777) (5 382413)1 bull (5382413) (22651735lt1) 284865055 -$J)f ~

Net Cash from (Used)Fona~ r 148S06S88 105283936 bull 105283938 36025795 (69258141) -ampi7~

CashtCash Equivalents At The ~nlrqr -~ 110156164 19558127 - 19556127 19558127 (OJ 300 CashICash EqulvalentsAtTheynre~ 221amp79173 181 426362 bull 181426362 9611 2103 85314259 -4707

Refer to Note 49 for the management explanll t lons of significant variances grelltlr than 10

Refer to Note 491 for the explanation of the differences and reconciliat ion botween thl budgetl d sl ll lement of fl nllnclal performance lind actulIl statement of financial performance

6

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The principal accounting policies adopted in the prep8ralion of these annual financial statements are set out below The accounting policies applied are consistent with Ihose used to present the previous yea(s financial statements unless explicitly stated Details of any changes in accounting policies are explained in the relevant policy Assets liabilities revenues and expenses have not been offset except when offsetting is required or permitted by a Standard of GRAP

11 BASIS OF PRESENTATION

The Annual Financial Statements have been prepared on an accrual basis of accounting and are In 8CCOfdance with historical cost COIlventioo unless specified otherwise The annual financial statements have been prepared in accordance wilh lhe eHective standards of Generally Recognised Accounting Practice (GRAP) Indudlng any interpretations guidelines and directives issued by lhe Accounting Standards Board In accordance with Section 122(3) of the Municipal Finance Management Act (Act No 56 of 2003)

List of EffectIve Standards of GRAP

IGRAP

~ 2 Cash Row~

IGRAP IGRAP 8 IGRAP 9

0 Joo (a ceed 0 2010)

IGRAP

IGRAP IGRAP 16

_eae

Ihe

~ed o~ ~ ~~~

~ ed 0 2010)

~ n 2010)

s and Ass IGRAPi

s Tas aod i 1 in I I

of Cashshy

I ~~ ~ shy curreo~ h~dioae eod 103 At 104

List of effective Interpretations of the Standards of GRAP IGRAP 1 Apptying the PrObability Test on Initial Recogni tion of Revenue (as revised in 2012)

IGRAP 2 Changes In Existing Decommisioning Restoration and Similar liabilities

IGRAP 3 Determining whether an Arrangement Contains a Lease IGRAP 4 Rights to Interests Arising from Decommisionln Restofation and Envito Rehabilitation Funds Audited

ByApproved not yet Effectivo Standard of GRAP used to dis lose InformaUon

ltuIGRAP20 Related Party Oisdosures


7

I

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAl FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

11 BASIS OF PRESENTATION (coot)

New Standards Amendments and Interpretations to GRAP Standards Approved But Not yet Effectlve

The fOllowing GRAP standards have been approved by the Accounting Standards Board and effective dates have been determined by the Min$ter as indicated below except where effective date has not been determined The standards have not been early adopted nor an accounting policy developed by the Municipality The impact on the appliCation of the new Standards could not be reasonably estimable as al the reporting date and it is not anticipated that these Standards wi ll have a significant Impact on the Municipality

common control

12 PRESENTATION CURRENCY

These annual financial statements are presented in Soulh African Rand which is the functional currency of the Municipality The figures are rounded off to the nearest Rand

13 GOING CONCERN ASSUMP1l0N

These annual financial statements have been prepared on Ihe assumption that the municipality will continue to operate as a going concern for at least the next 12 months

14 COMPARATIVE INFORMATION

When the presentation or classlftcatioo of i tems in the annual financial statements is amended prior poriOd oompamtive amounts are restated The nature and reason for the reclassif ication is disclosed Whe-e accounting errors have been identified in the current year the corroction is made retrospectively as far as s practicable and the prior year comparatives are restated accordingly Where there has been a Change in accounting policy In the current year the adjustment Is made retrospectively as far as is practicable and the prior y681 comparatives are restated accordingly If a change in accounting policy results from initial application of a standard of GRAP that has Specific transitional provisions the municipali ty acagtUnt for the change in accordance with the specifIC transitional provisions of that accounting standard

pudited

By

20~ _-30 south ofrlca

dtOl Genera t 11 3 BusinesS Unl MplJr(la1ang

8


15 PROPERTY PLANT AND EQUIPMENT

1S1INITIAl RECOGNITION

Proper1y plant and equipment are tangible non-currenl assets (including infrastructure assets) that are held to( use in the production or supply of goods or services rental to others or for adrnnistrative purposes and are expected to be LlSed during more than one year Items of property plant and equipment ere initially recognised CIS assets on acquisition date and are Initially recorded al cost

The cost of an item of propeny plant and equipment is the purchase price and o ther costs attributable to bringing the asset to the IocaliOll and condition necessary for it 10 be capable o f operating In the manner inleflded by the Municipality Trade discounts and rabates are deducted in arriving at the oosi The cost also includes the initial estimate of the costs of dismantling and removing the asset and restoring the site on which it is located including import duties arid non-refundable taxes

When significant components of an item of property plant and equipment have dillerent useful lives they are accounted for as separate items (maor components) of property plant and equipment

W here an asset is acQuired by the Municipality for no or nominal consideration (ie a non-exchange transaction) the cost is deemed to be equal to the fair value of that asset on the date acqUired Where an ilem Of property plant and equipment is aCQuired in exchange for a non-monetary asset or monetary assets or a combination of monetary and non-monetary assets the asset acquired Is initially measured a fair value (the cost) If Ihe acquired ilemmiddots fair value was not deerminabte iIs doomed cost Is the carrying amount of the asset(s) given up

The cost of an item of property plant and equipment shall be recognised as an asset If It Is probable that future economk benefits or service potential associated with the item will flow to the Municipality and the cost of the Item can be measured reliably

Major spore parts and servicing equipment Qualify as property plant and equipment when the Municipality expects to use them during more than one period Similarty if the major spare parts and servicing equipment can be usod only in connection with an item o f property plant and equipment they are accounted for as property plant and equipment

Recognition of costs In the carrying amount of an item of property plant and equipment ceases when tne item is in the location and condition necessary for it to be C8p)ble of operating in the manner intended by management Costs incurred in using or redeplOying an item are not included in the carrying amount of thai ilem

152 INITiAl MEASUREMENT

The cost of an Item of property plant and equipment is the casn prke equivalent al the recognition date lf the payment is deferred beyond normal credit terms the difference between the cash price equivalent and the total payment Is racognised as interest over the period of credit unless such interest is recognised In tne carrying amount 01 the item in accordance Ih the Stendard of GRAP on BOfIONing Costs

153 SUBSEQUENT MEASUREMENT

Subsequent to Inltill l recognition items of property plant and equipment are measured at cost tess accumulated depreciation and impairment losses in accordance with the cost model l and is not depreciated as it is deemed to have an indefinile useful life

Where an 3Ssel is acquirod through a non-exchange transaction its cost shall be measured at fair value

as at the date of acquisition

Where the Municipality replaces parts of an asset it derecogn[ses the pari of the assai being replaced and capitalises the new component Subsequent expenditure incurred on an item of Proper1y Plant and

EQuipment is capitalised when It meets the definition and reoognitiorimiddotIeri~-____- --- Audited

By

20~ - - 3 0

Auditor General South Africa Mpuma langa Business Un it

9


15 PROPERTY PLANT AND EQUIPMENT (cont)

153 DEPRECIATION

DeprOCiation is calculated on the depreciable amount using the straightline method over the estimated useful lives of Ihe assets Components of assets thai are significant in relation 10 Ihe whole assai and Ihat have different useful lives are depreciated separately The depreciation charge for each period shall ba recognised in the statement of financial performance unless it is included In the carrying amount of another asset The annual depredation rates 3(8 based on the following estimated average assellives

Infrastructure Useful lives Roads and Paving 3middot80 Pedestrian Malls 15middot30 Electricity 3middot50 Water 5middot55 $eweage 10-55

Community Buildings 25-30 Recreational Facilities 25-30 Security 10-25 Halls 25-30 Libraries 25-30 Other assets

Finance lease assets

Office equipment 3-15 Other assets 2-10

Other Buildings 25-30 Specialised vehicles 5-10 Other vehicles 4middot Office equipment 3-15 Furniture and fittings 5middot Watercraft 4middot Bins and containers 5-10 Specialised plant and equipment 2-20 Other items of plant and equipment 2-10 Landfill sites 10-55 Emergency equipment 5-10 Computer equipment 3middot5

The residual value the useful life of an assel and the deprecietion method is reviewed annually and any changes are recognised as a change in acoounting estimate in accordance with the Standard of GRAP on accounting policies changes in accounting estimates end errors

1_54DERECOGNITION

Ilems of property plant and equipment are dereoognised when the asset is disposed of or when there are no further economic benefits or service potentia expected from the use of the asset

Gains or losses ali gm-the rlfirement ~iSposal of investment property is det~rmined ~s t~ differen the ~~$bQdIl proceeds and the carrying amount of the asset and IS recognised In

the Stat menl of Rnancial P~rmance

101~ --30

I south Africa dtor Genera

Au I 8 sinesS Unlt Mpumalanga u __ _

10


16 INTANGIBLE ASSETS

161 INITIAL RECOGNITION An intangible asset is an identifiable non-monetary assel without physical substance Examples indude computer software licences and development costs The Municipality recognises an intangible asset in its Statement of Financial Position only when it is probable thai the expecled future economic benefits or service potential that are attributable 10 the asset will flow to the Municipality and the cost Of fair value of the asset can be measured reliablv

Internally goo8faled intangible assets are subject 10 strict recognition criteria before they are capitalised Research expenditure Is never capitalised Nhile development expenditure is only capitalised to the extent that bull the Municipality intends to complete the intangible 8ssel for use or sale bull il is technically feasIble to complete the intangible asset bull the Municipality has the resources to complete the project and bull it is probable that the municipality will receive future economic benefits or service potential bull the expenditure attributable to the intangible asset during its development can be re liabfy measured by the Municipality

Intangible assets are initially recognised at cost Where an intangible asset is acquired by lhe Municipatity for no 0( nominal consideration (Ie a non-exchange transaction) the cost is deemed to be equal 10 Ihe fair value of thai asset on the date acquired Where an intangible asset is acquired in exchange for a nonshymonetary asset or monetary assets or a combination of monetary and non-monetary assets the asset acquired is initially measured at fair value (the cost) If the acquired items fair value was not determinable its deemed cost is the carryirIQ emount of the asset(s) given up

162 SUBSEQUENT MEASUREMENT Intangible assets are subsequently carried at cost less accumulated amortisation and impairments The cost of an intangible asset Is amortised over the useful life where that useful life is finile Where the useful life Is indefinite the assel is 101 amortised but is sub)ec1to an annual impairment tesl end the useful life is reviewed at each reporting date if the useful life has changed from indefinite and definite it is treated as a change in accounting estimate in Statement of Financial Performance

163 AMORnSATIQN

Amonisation is charged so as to write off the cost or valuation of intangible assets over their estimated useful lives using the straight line method The annual amortisation rates are based on the following estimated average asset lives

Computer software 2-5

Each item of intangible assel is amortised separately Rights roosist mainly of servitudes Rights are not amortised as they have an indefinite useful life A servitude right is granted to the Municipality for an indefinite period The life of the servitude will remain in force as the Municipality eKercises its rights under suCh servitudes The amoflisalion period and Ihe amortisation melhod for an intangible asset with a finite usefullile are reviewed at each reporting date and any changes are recognised prospectively as a change in accounting estimate in the Statement of FlnanrJal Penormance

164 DERECOGNITION Intangible assets are derecognised when the asset is disposed of or when there are no further economk benefits or service potential expected from the use of the asset The gain Of loss arising on the disposal or

retirement of an intangible asset is determined as the difference between Ihe sales proceeds and the

carrying value and is recognised in the Statement of Financial perfo~~ma~ce -----------1=-

Audited By

201~ -11- 3 0

Auditor Gene ral South Africa


11

MBOMBELA LOCAL MUNICIPALllY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

17 INVESTMENT PROPERTY

171 lNITIAL RECOGNITION

Investment property includes property land Of a building or part of a building or both land 0( buildings held (by the owner Of lessee under a finance lease) to earn rentals andlor for capital appreciation rather than held to meet service delivery objectives the production or supply of goods or services or the sale of an assel in the ordinary course of operations

Investment property is recognised as an asset when it is probable thai future economic benefits or service potential that are associated with the investment property will now to the enuty and the cost Of lair value 01 the Investment property can be measured reliably

172 MEASUREMENT AT RECOGNITION

At initial recognition the Municipality measures Investment property at cost including transaction costs once it meets the definition of Investment property However where an investment property was acquired through a non-exchange transaction (ie where it acquired the inveslment property for no ()( a nominal value) its cost is its fair value as at the date of acquisition The cost of self-constructed investment property is the cost at date of completion

173 SUBSEQUENT MEASUREMENT - COST MODEL

Investment property is measured using the cost model Under the cost model investment property is carried at cost less any accumulated depreciation and any accumulated impairment losses

Depreciation is calcutated on the depredable amount using the straight-line method over the estimated useful lives Of the assets Components of assets that are significant in relation to the whole asset and that have different useful lives are depreciated separately The annual depreciation rates are based on the following estimated average asset lives

Transfers to or from investment property shall be made v1Ien there is a change in use evidenced by commencement or ending of owner occupationcommencement of operating lease to another party and development with a view to sale

Investment properties (excluding land) - 15 to 30 years

174 DERECOGNITION

An investment property is derecognlsed on disposal including disposal through non-exchange transactions or when the investment property is permanently withdrewn from use and no future economic benefits or service potentiamp1 are expected from its disposal

Gains or losses arising from lIe retirement or disposal of investment property is determined as the difference between the net disposal proceeds and the carrying amount of the asset and is recognised in the Statement of Financial Performance

pudited

S~

1~~ -l- 3~ th p~rica

eral SoU Auditor Gen Busioess UnIt IIiIPuaanga shy

12


18 HERITAGE ASSETS

A heritage assaI is defined as an assel thaI Is held and preserved for cultural environmental historical natural scientific technological and artistic significance for the benefit of present and future generations

181 INITIAL RECOGNITION

A heritage asset is recognised as an asset if it is probable that future economic benefits or service potential associated with the assel wi ll flow to the Municipality and the cost or fair value can be measured reliably

If the Municipality holds an asset thai might be regarded as a heritage assel but on initial recognition it does nol meet the recognitioo criteria of a heritage asset because it cannot be reliably measured relevent and useful information about the asset shall be disclosed in the notes to the financial statements

The municipality uses judgement to assess the deg ree of certainty attached to the flow of future economic benefits or service potential that are attributable to the heritage asset on the basis of the evidence available at the time of initial recognition

182 INITIAL MEASUREMENT

An asset that has met Ine recognition requirement criteria for heritage assets shall be measured at its cost if such an asset has been acquired through an exchange transaction

W here a heritage asset has been acquired through a non-exchange transaction Its cost shall be measured at its fair valve as al the dale of acquisition

Costs incurred to ennance or restore the heritage asset to preserve its indefinite useful life is capitalised as part of its cost

The cost of the heritage asset is the cash price eQuivalent at the recognition datelf the payment is deferred beyond normal credil terms the difference between the cash price equivalent and the lolal

183 SUBSEQUENT MEASUREMENTmiddot COST MODEL

Heritage assets are measured using the cost model which is cost less accumulated impairment losses subSequent to initial recognition Heritage assets are not depreciated due its nature however the municipality assess at each re~rting date whether there are indications of impairment and if any impairment exists the Municipality estimates the recoverable amount or recoverable service amount of the heritage asset

Transfers from heritago assets is made when a particular asset no longer meets the definition of a heritage asset and transfers to horitage assets is made when the asset meets the definition of a heritage asset

184 DERECOGNITION

The carrying amount of a heritage asset is d8l8COgnised on disposat or when no future economic benefits or service potential are expected from its use or disposal

The gain or loss arising from the derecognitioo of a heritage asset is determined as the difference between the net disposal proceeds if any and the carrying amount of the heritage assel Such difference is recognised in the Statement of Financial Performance wtIen the heritage asset is derecog nised

19 NON-CURRENT ASSETS HELD FOR SALE


Non-current assets and disposal groups are classified as held for 531e-if their oun WI be reoov8Ied through a sale transact ion rather than through continuing ~ This conditio~~ as met only when the sale is highly probable and the asset (or disposal group)is availa~le for imrntii~le sale in its present condition Properties assets are identified as held for sale folloyingmiddota Council resolUtibn 10 dispose off such prope1ies that are no longer required for municipal purposes land the sale should be eXReRted to qualify for recognition as a complete sale within one year from the date of classiRWtgtn-raquoarih~ment must be committed to the sale which should be expected to qualify f r recognition as a completed sale

wlhin one year from the date of classification d G erl South Africa Au Itor en CI


13


19 NON-CURRENT ASSETS HELD FOR SALE (cont)


Non-current assets hek for sale (or disposal group) are measured at the lower of canylng amount and fair value less costs to sen

A non-currenl asset is not depreciated (or amortised) while it is classified as held for sale or while it is part Of a disposal group dassified as held for sale

Interest and other expenses attributable 0 the liabilities of a disposal group classified as held for sale are recognised in surplus or deficit

110 INVENTORIES


Inventories comprise current assets held for sale consumption or distribution during the ordinary course of business Inventories are initially recognised at cost Cost generally refers to the purchase price plus taxes transport costs and aoy other costs in bringing the inventories 10 their current ~tion and condition Where inventory is manufactured constructed or produced the cost indudes the cost ot labour materials and overheads used during the manulilCluring process

Where inventory is acquired by the Municipality tOf no or nominal consideration (Ie a non-exchange transaction) the cost is deemed to be equal to the fair value of the item on the date acquirod

1102 SUBSEQUENT MEASUREMENT Inventories consisting of consumable stores raw materials work-in-progress and finished goods are valued at the lower of cost and net realisable value unless they are to be distributed at no or nominal charge in which case they are measured at the lower of cost and current replacement cost Redundant and slowmiddotmoving Inventories are identified and written down in this way Differences arising on the valuation of inventory are recognised in the Statement of Financial Performance in Ihe year in which they arose The amount of any reversal of any writeoown of inventories arising from an increase in net realisable value or current replacement cost is recognised as a redllC1ion in the ilmount of invenlories recognised as an expense in the period in which the reversill occurs

The Cilnying amount of invenmes is recognised as an expense in the pefiod that the inventory was sold distributed written off or consumed unless that cost qualifies for capitalisation to the cost of srother asset

Unsold properties are valued at the lower of cost and net realisable value on a specific identification cost basis Direct costs are accumulated for each separately Identifiable development Costs also Include a proportion of overhead costs

In general tho basis of allocating cost to inventory items Is the first-in first-out method OR the weighted average methOd

14


111 FINANCIAL INSTRUMENTS

1111 INITiAl RECOGNITION

The municipality recognises a financial assel or a financialliabilily in the Statement of Financial Position when it becomes a party to the contractual ptOvislons of the instrument Financial assets are recogniSed through the application of trade date acoounling

Upon initial recognition the municipality classifies financial instruments or their component parts as financial1iabilities financial assets or residual interests in conformity with the substance of the contractual arrangement and to the extent that the instrument satisfies the definitions of a financialliabilily a financial asset or a residual interest

The municipality measures finanCial instruments that are designated at fair value on recognition at its fair value at the date of recognition Financial Instruments designated at amortised cost and those designated at cost are initially measured at the date 01 recognition at its lair value plus transaction costs directly attributable to the acquisition or issue of the instrument

1112 FINANCIAL ASSETS

The classification of financial assets depends on their nature and purpose and is determined at the date of initial recognition

bull Financial assets at fair value

These comprise of financial assets held for trading derivative financial assels non-derivative financial assets deSignated at fair value and investments in residual interest for which fair value can be measured reliably Subsequent 10 initial recognition all changes to fair value are recognised through Ihe statement of financial performance

bull Financial assets at amortised cost

These comprise of non-derivative finandaJ assets with fixed or determinable payments Subsequent to initial recognition such assets are measured at amortised cost using the effective interest method less any impairment andor plus reversal of impairment

bull Financial assets at cost

These comprise of investments in residual interest that does not have a quoted market price in an active market and the fair value cannot be measured reliably Subsequent to Initial recognition such investments are measured at its carrying amount less any impairment

bull Impairment of Financial Assets

Financial assets other than those held at fair value are assessed for Impairment at the end of each reporting period Impairment is considered when there is objective evidence that as a result of events occurred after initial recognition of the asset the expected value to be derived from the assel have been materially reduced The municipality recognise impairment losses or impairment reversals in the statement of financial performance during the financial year in Which the toss or reversal OCCUlTed

Financial assets are derecognised when rights to receive cash flows from an asset have expired ()( have been trltnsferred to another party or the municipality loses control of contractual rights such that the municipality no longer retain significant risks and rewards associated with ownership

bull Accounts Receivables

Receivables ale initially recognised at its fair value Bad debts are written off in the year in -hich they are identifleltl as irrecoverable subject to approval by appropriate delegfltd-au1O--- Within 12 months from the date of reporting are classified as cur nt A provlslon4adra~ment of receivables is established -hen there is objective evidence that the m nicipality will not bEhable to collect all amounts due according to the initial terms receivables The amou t of the provision is9tVat difference between the assets carrying amount and its present value of 6stimal d future cash flows discounted at the initial effective interest rate An estimate of doubtful debts is made at the end oQ64~ retprti~eriod taking in to consideration past default experiences Interest is charged n overdue amounts

Auditor General South Africa 111 FINANCIAL INSTRUMENTS (cont)


15


bull Cash and Cash Equivalents

Cash and cash equivalents are measured at amortised cost Cash includes cash on hand and cash with banks Cash equivalents are short-term highly liquid investments that are held with registered banking institutions with maturities of three months or less and are subject to an insignificant risk of change in value

For the purposes of the cash flow statement cash and cash equivalents comprise cash ()(l hand and deposits held on call with banks

1113 FINANCIAL LIABILITIES

After Initial recognitIOn the municipality measures all financial liab1lities induding payables at amortised cost using the effective interest rate method Financial liabilities include borrowings other non-cu(rent liabilities and payables and exclude provisions Finance charges including premiums payable are accounted for on an accrual basis

Financial liabilities are derecognised when the obligation specified in the contract is discharged or cancelled or when it expires

1114 GAINS AND LOSSES

The municipality recognise gains Of losses arising from a Change in the fair value of financia l instruments measured at fair value in surplus or deficit For finanCial instruments measured at amortised cost or financial instruments measured at cost gains or losses are recognised in surplus or deficit when the financial assets or linancialliabilities are d8fecognised or Impaired or throogh the alTlOftisation process

112 PROVISIONS CONTINGENT LIABILITIES AND CONTINGENT ASSETS

Provisions are recognised when the Municipality has a present obligation (legal or constructive) as a resuli of past events it is probable that an outflow of resources embodying economic benefits wi ll be required to settle the obligation and a reliable estimate of the provision can be made Provisions are re iewed at each reporting date and adjusted to reflect the current best estimate Where the effect is material non-current provisions are discounted to their present value using a pre-tax discount rate that reflects the markets current assessment of the time value of money adjusted for risks specific to the liability (for example in the case of obligations fOf the rehabilitation of land)

The Municipality does not recognise a contingent liability or contingent asset A contingent liability is diSClosed unless the possibility of an outflow of resources embodying economic benefits is remote A conUngent asset is disclosed vhlere an inflow of economic benefits is probable

A contingent liability is a possible obligation whose eodstence will be confirmed only by Ihe occurance or non-ltlccurance of one or more uncertain future events not wholly wilhin the control of the muniCipality shyA contingent liability can also be a present obligation that is not recognised because the outflow of economic benefits or service potential is not probable or a real present obligatiOfl that may not be recognised either because the timing or measurement is not known

Future events thai may affect the amount required to sellie an obligation are reflected in the amount of a provision where there is sufficient objective evidence that (hey will occur Gains from the expected disposal of assets are not taken into account In measuring a pro ision Pro isions are not recognised for future operating losses The present obligation under an onerous contract is recognised and measured as a provision

Subsequent in the me~fkPf proisions relating to rehabilitation of landfill siles as a result of change in est maled cash fJoWs regulred to sellte lhe obligation will result in increased carrying amounts of the landfill sit 10 which the pro~l6n retates The adju ad depreciable amount of the landlill sites will be depreciated ver the remaining useful life of the lalldfi11 ite Once the landlill site has reached the end ~f its ~sefullifebull ali subsequ~tn~a~ffj3 tr value of I liability wi11 be recognised in the statement of fInanCIal perfo nee

113 LEASES Auditor General South Africa Mpumalanga Business Unit

16


1131 MUNICIPALITY AS lESSEE

Leases are classified as finance leases where substantially all the risks and rewards associated with ownership of an asset are transferred to Ihe Municipality Property plant and equipment or intangible assets subject 0 finance lease agreements are initially recognised at the lower 01 the assets fair value and Ihe present value of Ihe minimum lease payments The corresponding liabilities are initially recognised at the inception of Ihe lease and are measured as Ihe sum of Ihe minimum lease payments due in terms of the lease agreement discounted for the effect of Interest In discounting the lease payments Ihe Municipality uses the inlefest rate that exactly discounts the lease payments and unguatanteed residual value to Ihe fair value of the asset plus any direC costs incurred

Subsequent to inilial recognition the leased assets are accounted for in accordance with the slated accounting policies applicable to property plant equipment or intangibles The lease liability is reduced by the lease payments which are allocat~ between the lease finance cost and the capital repayment using the effective interest rate method Lease finance costs are expensed when incurred The accounting policies relating to derecognition of financial insiruments are applied 10 lease payables The lease asset is depreciated over the shorter of the assets useful life Of the lease term

Operating leases are those leases that do not fall within the SCOpe of the above definition The aggregate benefit of incentives of Operating lease are recognised as a reductkln of rental expense on a straight-line basis over the term of Ihe relevant lease

1132 MUNICIPALITY AS LESSOR

Under a finance lease the Municipality recognises Ihe lease payments to be received in leons of a lease agreement as an asset (receivable) The receivable is calculated as the sum of all the minimum lease payments to be received plus any unguaranteed residual accruing to the MuniCipality discounted at the interest rate implicit in the lease The receivable is reduced by the capital portion of the lease instalmanls received with the inleres portion being reoognised as interest revenue on a time proportionate basis The accounting policies relating to dereoognition and impairment of financial instruments are applied to (ease receivables

Rental income from operating leases is recognised on a straight-line basis over the lerm of lhe relevant lease

Audited BV

204 -- 3 0

Auditor General South AlriC Mpumalanga Business Un

17


114 REVENUE

Revenue shall be measllreltl al the fair value of the consideration received or receivabla Revenue is reduced for estimated customer returns rebates VAT and other similar allowances

1141 REVENUE FROM EXCHANGE TRANSACTIONS

Revenue from exchange traJlSaCtioos refers to revenue Ihal accrued to Ihe Municipality directly in return for services rendered goods sold Ihe value of which approximates Ihe consideration received or receivable

bull Service eharges

Flat rate sell ice charges relaling to eledricily and waler which are based on consumption are metered and an estimate of consumption between the latest meter reading and Ihe reporting date shall be recognised gtMIen

- It is probable Ihal the economic benefits Of service potential associated with the transaction will flow to the Municipality and

- The amount of the revenue can be measured reliably

Meters are read on a monthly basis and are recognised as revenue when invoiced Provisional estimates of consumptions are made monthly when meter readings havo not been pertormed and are recognised as revenue when invoiced Adjuslments to provisional estimates of consumption are made then recognised in the statement of financial performance in the invoicing period in which meters have been read In respect of estimates of consumption between the last reading date and Ihe reporting date an accrual is made based 00 based 0f1 the average monthly consumplioo of consumers

Revenue from the sale of electricity prepaid meter credit is recognised at the point of sale An adjustment for an unutilised portion is made at year-end based on average consumption history

Service charges relating to refuse removal are recognised on a monthly basiS by applying the approved tariff to each property that has improvements Tariffs are determined per category of property usage and are levied monthly based on the number of refuse containers on each property regardless of whether or not containers are emptied during the month

Service charges from sewerage and sanitation are based on the size of the property number of dwelling on each property and connection using Ihe tariffs approved by Council and are levied monthly

Reveoue from reltl lat of facitities and equipment is recognised on a straight-line basis over the term of the

lease agreement

bull Sale of goods

Revenue from the sale of goods Is recognised when substantially ailihe risks and rewards o f ownership o f

the goods is passed to the oonsumer

Revenue from the sale of eIVen is recognised when all conditions associated with the deed of sale have

been met

bull Interest royalties and dividendS

tnterest shalt be recognised 00 a time proportionate basis that takes Into accountlhe effective yield on the

asset

Royalties are recognised as they are earned on a time basis fs recognised on a straight-line basis over the period of the agreement Royalty rev)IJe-~al is based on producl ion sales and o ther measures is

recogni~-su6Stance ~ the relevant agreement

Divi 15 are reoog~bet~e date thai the M nicipality becomes entilled to receive the dividend

l~

l~~ --~ tl ~~nC3

tal SoU middott J tO GBre ess unl

lang~~~V~~~~~a~l~U~S~~~----Mptlflta18

MBOMBELA LOCAL MUNICIPALITY NOTes TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

114 REVENUE (cont)

bull Agoncy Services

Incomo for agency services is recognised on a monthly basis once the income collected on behalf of agents has been quantified The revenue recognised by the municipality is in terms of the agency agreoment and Is limited to the amount of any fee or commission payable to the Municipality as compensation for executing the agreed services

Collection Charges are recognised when such amounts are incurred

1142 REVENUE FROM NONmiddotEXCHANGE TRANSACTIONS

Revenue from non-exchange transactions refers to transactions between one or more par1ies where the Municipality received revenue rom another Municipality without directly giving approximately equal value in exchange Revenue from nonmiddote)(change transaction Is generally recognised to the extent that the related receipt or receivable qualifies for rocognillon as an asset and satisfy the recognition criteria

11421 TAXES

Taxes are economic benefi ts or service potential compulsory paid 01 payable to the municipality in accordance with the laws and or regulations eslablished to provide revenue 10 Ille municipality Taxes do not include fines or othcr penaHles imposed for breaches of the law

The municipality recognises an asset in respect of taxes when the laxable even occurs and the asset recognition criteria are mel

bull Property Rates

Revenue from propeny rates is recognisod When the legal enlillement to this revenue arises Rebates are respectively granted to owners of land on which not more than two dwelling units are ereeted provided that such dwelling units are solely used for residential purposes Additional rel ief is granted to needy aged andor disabled owners based on inoome The rebates gfElntod Eire deducted from revenue

Property rates revenue is recognised once a rates account has been iSsued to ratepayers Adjustments or interim rates are recognised once Ihe municipal valuer has valued Ihe change to properties

11422 TRANSFERS

Transfers are inflows of future economic benefits or saNice potential from nonmiddotexchange transactions other than ta)(es

The municipality recognises an asset in respect of transfers wen the transferred resources meet the definition of an Elssel and SEitisfy the criteria 101 recognition as an assel

bull Government Grants and Donations

Government Grants can be in the form of grants to acquire 01 construct fixed assets (capital grants) grants for tile furtherance of national and provincial government policy objectives and general grants to subsidise the cost incurred by municipalities rendering services

Capital grants and general grants for the furtherance of government policy objectives are usually restricted revenue in that stipulations are imposed in their use

Conditional grants donations and funding were recognised as revenue in the Statement of Financial Performance to the extent that the Municipality has complied with any criteria conditions or obligations embodied in the agreementarrangement To the extent that the criteria conditions and obligations have not been met a liability is raised in the Statement of Financial Positio and funding are recognised as revenue in the Statement of Financial receipt or when the amount is receivable

Contributed assets are recognised at fair value when the risks and rewa transfer to the Municipality

dlOOAa4r~aliggt----

sition at the e~eurofdft~I date of

By ds associated with such asset

2014 -11- 30

Auditor General South Afri ca Mpum alClnga Bu siness Uni t

19

MBOMBELA LOCAL MUNICIPALiTY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

114 REVENUE (cont)

bull Fines

Fines are economic benefits Of service potential received or receivable by the municipality from an individual 01 other enlily as determined by a court or other law enforcement body as a consequence of of the individual or other entity breaching the requireJn6f1ts of laws and regulations

Fines constitute notices of intended prosecution- section 341 spot fines) and written notices (summonsesshysection 56)

Initial recognition and measurement

fines are recognised as revenue when the receivable meets the definition of an assel and satisfies the criteria for recognition of an asset

Assets arising from fines are measured at the best esUmate of the inOow of resources to the municiPlillity

Subsequent measurement

Subsequenlly assets arising from the receivables from traffic fines are impaired based on the collection trends of tne previOus three financial years

bull Other

Revenue from the recovery of unauthorised irregular fruitless and wasteful expenditure is based on legislated procedures Including those set out in the Municipal Finance Msnagement Act (Act No56 of 2003) and is recognised when the recovery thereof from the responsible councillors or officials is virtually certain

Collection charges are recognised when such amounts are legally enforceable Penalty interest on unpaid rates is recognised on a time proportionate basis

115 BORROWING COSTS

Borrowing costs that are direclly attributable to the acquisition construction or production of qualifying assets are capitalised to the cost of that asset unless it is inappropriate to do so The Municipality ceases tile capi lalisation of borrowing cosls when subslantially all the activities to prepare Ihe assel for its inlended use or sale are complele 11 is coosidered inappropriate to capitalise borrowing costs where the link betweell the funds borrowed and the capital assel acquired cannot be adequately established

Borrowing costs incurred other Ihan on qualifying assets tire recognised as an expense in surplus or deficit vmen Incurred

116 EMPLOYEE BENEFITS

1161 SHORT-TERM EMPLOYEE BENEFITS

The cost of short-term employee beoefits which Indude salaries and wages shOrt-term compensated absences non-mone3() beneOls sucl1 as medical aid and perfonnance plans are expensed in the Statement of Financial Performance in the financial year during which the payment is made

Liabilities for short-term employee benefits that are unpaid at year-end are measured at the undiscounted amount that the Municipality is expected to pay in exchange for that service Ihat had accumulated at the reporting date

1162 TERMINATION BENEFITS

Termination en ayenons have been laken to indicate that the Municipality is d nstrably commj1l~eitber terminate Ih employment 01 an employee or group of emp lo~ees before the normal retirement ~te or provide termi atien benefits as a result of an offer made In order to en ragemiddotvolunt3() redaitJancy

20~ -11-30

Is uth Afico Auditor Genera 0

Mpumalanga Business Urlt

20


116 EMPLOYEE BENEFITS (cont)

1163 POST-EMPLOYMENT BENEFITS

The Municipality provides post eJnploymenl benefits for its employees and oounciUors These benefits are provided as either defined contribution plans Of defined benefit plans

bull Defined contribution plans

Contributions made towards the fund are recognised as an expense in the Statement of Financial Performance in the period thai such contributions become payable (ie when employees and councillors have rendered the employment service or served office entitling them to the contributions) This contribution expense is measured a the undlscounted amount of the contribution paid or payable to the fund A liability is recognised to the extent that any of the contributions have not yet been paid Conve~ely an asset is recognised to the extent that any contributions have been paid in advance

bull Definolt benefit plans

Pursuant to the municipalitys obligation to fund the post-employment benefits provided through a defined benefit plan the municipality recognises a defined benefit obligation or asset with reference to the funds financial position To the extent tha lhe future benefits payable under the fund exceeds the value assets held to finance those benefits the munidpality recognises as defined benefit obligation To the extent that the value of plan assets exceeds the future benefits payable by the fund the municipality recognises as defined benefit asset Plan assets are assets that are held by long-term employee benefit funds or qualifying insurance pol icies Plan assets are not available to the creditors of the municipality nor can they be paid directly to the municipality

The defined benefit asset or obligation recognised is recognised as the net d ifference between the value of the plan assets and plan liabilities and alSo laking past service cost Into consideration

Plan assets Included in the definod beoefil plan asset or liability recognised is measured at their fair values Fair value is based on market price information and in the case of quoted securities is the published bid price The plan liabilities are measured at the present value of the future benefits payable This ptesetlt value of the plan liabilities is determined through actuarial valuation techniques

The cost of providing benefits under the defined benefit plans is determined separately for each plan using the projected unit credit method Actuarial valuatiOns are conducted on an annual basis by independent actuaries for each plan

Aduarial gains and losses are recognised in full in tl1e Statemenl of Financi81 Perfonnarce in the year that they occur or arise

Past service cost is recognised as an expense in lhe reporting periOd in which the plan is amended Past service cost arises when the municipality Introduces a defined benefit plan that attributes benefits to past service or or changes the benefrts payable for past service under an existing defined benefit plan Negative past service costs arises Negative past service cost arises when the municipality changes Ihe benefits attributable to past service so that the presenl value of the defined benefit obligation decreases

Where the municipality reduces benefits payable under an existing doflned benerlt plan the resul ting redvction in the defined benefit liability is recogniSed as (negative) past service cost in the reporting period in which the plan is amended

Where the municipality reduces certain benefits payable under an existing defined benefit plan and at the same time increases other berlefits payable under the plan for the same employees the municipa lity

treats the change as a single net change

bull Post employment medical care benefits

The Municipality provides post employment medical care benefits 10 its F~leyees 9Ad spouses The entitlement to post employmenl medical benefits IS basfd on empJOYefAlf~9 In service up 10 retirement age and the completion of a minimum seflice periOd The expected exgt of these

benefits is accrued over the period of employment V

201~ -11- 3 0

Auditor General South Africa MpumalangCl BuslMess Unit

21


117 CONSTRUCTION CONTRACTS AND RECEIVABLES

Where the outcome of a construction contract can be estimated reliably contract revenue and costs are recognised by reference to the slage of oompletion of the contract activity at the reporting date as measured by the proportion that contract costs incurred for work performed to dale bear to the estimated total contract oosts

Variations in contract work claims and incentive payments are induded 10 the extent that they have been agreed wilh the customer

W hen the outcome of a construction contract cannot be eslimated reliably contract revenue is recognised to the extent that contract costs incurred are recoverable Contract costs are recognised as an expense in the period in which they are incurred

When it is probable that total contract costs will exceed lotal contract revenue the expected loss is recognised as an expense immediately

118 UNAUTHORISED EXPENDITURE

Unauthorised expenditure is expenditure that has nol been budgeted expenditure that is not in terms of the conditions of an altocation received from another sphere of government Municipality or organ of Slate and expenditure in the form 01 a grant that is not permil1ed in terms of me Municipal Finance Management Act (Act NO56 of 2003) Unauthorised expenditure is accounted lor as an expense In the Statement of Financial Performance and where recovered it is subsequently accounted for as revenue in the Statement of Financial Performance

119 IRREGULAR EXPENDITURE

Irregular expenditure is expenditure that is contrary to the Municipal Finance Management Act (Act NO 56 of 2003) the MuniCipal Systems Act (Act NO32 of 2000) the Public Office Bearers Act (Act No 20 of 1998) or is in contravention of the Municipalitys supply chain management policy Irregular expenditure exCludes unauthorised expenditure Irregular expenditure is accounted for as expenditure In the Statement of Financial Performance and where recovered it is subsequently accounted for as revenue in the Statemenl of Financial Performance

120 FRUITLESS AND WASTEFUL EXPENDITURE

Fruit less and wasteful expenditure is expenditure that was made in vain and would have been avoided had reasonable care been exercised Fruitless and wasteful expenditure is accounted for as expenditure in the Statement 01 Financial Performance and where recovered it is subsequently accounted (or as revenue in the Statement of Financial Performance

121 VALUE ADDED TAX (VAT)

The Municipality accounts for Value Added Tax on the payments basis

122 BUDGET INFORMATION

The annual budget figures have been presented in ce with the GRAP reporting framework A separate statement of et nd actual amou ts tIlctl forms part of the annual financial statemenl$ has prepared ThxttdtipamplQon of budget a~d actual amount will be presented on the same accounting b is same classif~ign basis and lor th~ same Municipality and period as for the approved budget T e budget ~f the murnCipalily is taken for a takeholder consultative process and upoo approval the appro budget Is made PUbliCly3aK8ilabie

nl~ -1- U Material differences n terms of theOasls tllmg or entity have been disclosed In the notes to the annual

financial statements South Mrica The most recent ap ~BVeA~~~~il is thst1~ PA~glt for the purpose of comparison with the actual amounts MPurnala nga ~us n _~

22


123 IMPAIRMENT OF CASHmiddot GENERATING AND NON-CASH GENERATING ASSETS

The municipality classifies all assets held with the primary objective of generating a commercial return as cash generating assets and assets held primarily for service delivery purposes as non- cash generating assets

Impairment loss is the amount by which the carrying amount of an asset exceeds its recoverable amount or recoverable service amount

The municipality assesses at each reporting date whether lhere is any indication that cash and non-cash generating assets may be impaired If any such indication exists the recoverable amount or recoverable service amount of the asset is determined in order to establish the extent of impairmenl lOss (if any)

Intangible assets with an indefinite useful lives and intangible assels nol yet available for use are tested for impairment annually by comparing its carrying amount wi lh ils recoverable amount or recoverable service amount This impairment test is performed annually al the same time every period and when there is an indication fOf impairment

W here it is not possible to estimate the recoverable amount of an individual cash generating asset the recoverable amount of the cash-generaling unillo which the asset belongs is determined Cash generating units shalt be identified conSistently from period 10 period for the same asset Of types of assets unless the change is justified

The recoverable amount of a cash generating unit is the higher 01 its fair value less costs to sell and its value in use The value in use is the Plesefll value of the estimated future cash flows expected to be derived from the continuing use 01 an asset and from its disposal at the end of ilS useful life

The recoveFcible service amount of a non-cash-generating asset is the higher of its fair value less costs to sell and its value in use The value in use is Ihe present value of the remaining service potential of the asset and is determined using the most appropriate approach of the depredated replacement cost reslofation cost Of service units approach

The discount rate used is a pre-lax discount rate Ihat reflects the current market assessments of the time value of money and the risks specific to the asset lor which the estimates of future cash flows has nol been adiJsted

If the recoverable amount or recoverable service amount of an asset Is estimated to be less than its carrying amount the carrying amount of the asset is reduced to its recoverable amount or recoverable service amount An impairment loss is recognised immediately in surpluS or deficit to the Statement of Financial Performance Any impairment loss of a revalued asset is treated as a revaluation decrease

Where an impainnent loss subsequently reverses the carrying amount of the asset Is Increased to the revised estimate of its recoverable amount or recoverable service amount such that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years A reversal of impairment loss Is recog nised immediately in surplus or deficit to the Statement of Financial Performance Any increase of value due to a revalued asset is treated as a revaluation increase except when it relates to previously recognised Impairments

Audited

By

201~ -11-30

Auditor General South Afr ica


23

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDeD 30 JUNE 2014

124 RELATED PARTIES

The municipality has processes and controls in place to aid in the identification of related parties Parties are considered to be related if one party directly or indirectly has the ability to control or jointly control the other party or exercise significant influence over the other party or vice versa

Manegement are those persons responsible for planning directing and controlling the activities of the municipality including those Chatged with govemanoo of the municipality in accordance IoYith the legislation bull in instances where they are required 10 perform such func1ions

Management is regarded as a related party and comprises counci llors Executive Mayor Mayoral Committee members Municipal Manager Chief Operations Officer and General Managers

Close members of family of a person are considered to be those family members who may be expected to influence or be influenced by that management In their dealings with the municipality As a minimum a person is considered to be a close member of the femily of another person if they

Are married or live together in a relationship similar 10 a mirriage or separated by no mOfe Ihan twobull degrees of natural Of legal consanguinity or affinity

Related party transactions are disclosed in the notes to the annual finanCiat s tatements Related party transactions where control exists shall be disclosed irrespective of whether there have been transactions between the related parties

125 GRANT IN AID The municipality transfers funds to individuals Ofganisationssocleties and other sectors 01 government from time to lime in accordance wi th the Iocat government prescripts

When the transfers are made the municipali ty does not - receive any goods Of services directly in return as would be expected in an acquisition or sale - expect to be repaid in futureor - expect a financia l return as NOuld be exoecled from an investment

The transfers are recognised in the Statement of Financial Performance as expenses in the period that the event giving rise to the transfer occurred

126 CHANGES IN ACCOUNTING POLICY ACCOUNTING ESTIMATES AND CORRECTION OF ERROR

Changes in accounting policies are applied retrospectively in accordance with the requirements of Generally Recognised Accounting Practice (GRAP) 3 except 10 the extent that it is impractical to determine the periOd specific effects or the cummulative effect of the change in accounting policy In such instances the muniCIpality shall restate the opening balances of assets liabilities and net assets for the earliest period for which the retrospective restatement is practical

Changes in accounting estimates are applied prospectively in accordance with the requirements of Generally Recognised Accounting Practice (GRAP) 3 The detailed information of the change in accounting estimates is disclosed in the notes 10 the annual financial statemenls

Correction of errors is applied retrospect ively in the perOO to which Ihe error has occurred in accordance with the requlremonts of Generally Recognised Accounting Practice (GRAP) 3 except to the extent that it is impractical 10 determine the period specific effects or the Cummulative Mfect of the error In such instances the municipal ity shall restate the opening balances of assets liabilities and net assets for the earliest period for which the retrospective restatement is Dr

Audited

By

201~ -11- 3 0


ctical

24


127 EVENTS AFTER THE REPORTING DATE

Events after the reporting dale are thOse events both favourable and unfavourable thai occur between the reporting date and the date when the financial statements are authorised for issue Two types of events can be identified

-those lhal provide evidence of conditions that existed althe reporting dale (adjusting events after the reporting date) and -those lhal are indicative of condilionslhal arose after the reporting date (non-adjusting events after the reporting date)

The municipality adjust the amounts recognised in the financial statements to reflect the adjusting events afler the reporting date

The municipality does not adjust the amounts recognised in the annual financial statements to reflect nonshyadjusting events after the reporting date If the municipality receives information after the reponing dale bul beforo the financia l statements are authorised for Issue about conditions that existed at the reporting date the diSClosure thai relate to those conditions shall be updated in light of the new information

128 CAPITAl COMMITMENTS

Capita oommilments disclosed in the notes 10 the annual financial statements represents the balance committed to capital projects as at the reporting date which will be incurred in the period subsequent to the specific reporting period

129 KEY SOURCES OF ESTIMATION UNCERTAINTY AND JUDGEMENTS

The following areas involve a significant degree of estimation uncertainty

bull UsefIJl lives and residual values of property plant and bull Recoverable amounts of property plant and equipment bull Provision for rehabilitation of landfill sites (discount rate vsed) bull Present value of defined benefit obligation bull Fair value of plan assets bull Provision for doubtful debts bull Impairment Of assets bull Provision for long service awards

The following areas involved judgements apart from those involving estimations disclosed above that management has made In the process of applying the Municipalitys accounting policies and that have the most significant effect on the amounts recognised in the financial statements

bull Impairment of assets bull Provisions

Audited

By

2014 -1-30


25

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL FINANCiAl STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

2 INVENTORIES

Opening balance of Inventories Coosumable stores - at cosl Mailliernmce male rials - at cost Spare parts - cost Mediltioo- at current replacemenl cost Water - cost Additions Consumable stores Mailltenance materials

- P MedicineW IssUlld (expensed) Consumable stoms Mainteoance materials Spare parts Medicine Waler Ctoslng balance of inventories Consumable stoo-es - at cost Maintenance matetials - al cost Spare parts - cost Water - cost

3 TRADE AND OTHER RECEIVABLES

Trade receivables from exchange transactions as at 30 Jun 2014 Electricity Water Sewerage Refuse

Totlll trade receivables Other

Total Trade and other receivables from exchange transactions

Trade rtlceivables from non-exchange transaetlons as at 30 J ne 2014

Tde and other receivables fom non-exchange transactions

Trade rampcatvbl ITom exchange transactions as at 30 June 2013 Electricity Waw SewerllQa Refuse AuditedTotal trade recelva 0Ihelt By

Total trada nd oth r receivables

amplnOn-excha~~al1S~~3sQs at 30 June 2 13 Trade recelvabl~S

Rates Intarest Auditor G~neral South A l rl~3

Mpumalanga Business Unit - -== =

Rtstllted 2014 2013

R R

Gross Allowance for debt balances Impairment

R R

91130472 13954313 19276615 13239930

7489074 51 98586 44093785 34066355

161990005 66459184 24200170 13520076

18t111901115 799192amp0

104657481 87633397 5O t 77511 49116164

154834992 136749561

Gross Allowance for dllbt balllnclII Impairment

82186534 17174151 26626828 20391825 11271140 8811 357 68354451 5608944

188440954 102586277 36863137 31724724

Net balance R

77176J58 6036745 2290488

10027430 95530821 10680094

106210915

17024084 1061 347

18085432

Net balance

65014383 6235003 2459784

12145507 85854677

515901 4 225324891 134311001 91013 6901

122043134 19902431

3 TRADE AND OTHER RECEIVABLES (cont)

AGEING OF TRADE RECEIVABLES FROM EXCHANGE TRANSACTIONS

Electricity Ageing Currllllt (0 - 30 days) 31 -60 Days 61 - 90 Days 91 -120 Days 121 - 365 Days +365 Days Total

Water Ageing CUfrent (0 - 30 days) 31 - 60 Days 61 - 90 Days 91 -120 Days 121 - 365 Days +365 Days Total

Sewerage Ageing Current (0 - 30 days) 31 - 60 Days 61 - 90 Days 91 -120 Days 121 _365 Days +365 Days Total

Refuse Ageing Current (0 - 30 days) 31 - 60 Days 61 - 90 Days 91 -120 Days 121 - 365 Days +365 Days Total

Other Ageing Current (0 - 30 days) 31 -60 Days 61 - 90 Days 91 -120 Days 121 - 365 Days +365 Days Total

Total ageing from exchange transactions

Current (0 - 30 days) 31 - 60 Days 61 - 90 Days 91-120Days 121 - 365 Days +365 Days Total

AGEING OF TRADE RECEIVABLES FROM NON _ EXCHANGE TRANSACTIONS

Rates Ageing Current (O - 30 days) 31 -60 Days 61 - 90 Days 91 -120 Days 121 - 365 Days +365 Days Total

27


2014

R

70865693 4328433 3372211 1549811 5485202

3466607 742825

1434795 775588

3562885 9293974

19276675

1160992 364130 713352 326078

1573724 3350799 7489074

4617056 2141064 1918237 1691799

11410388 22315241 44093785

3730594 911539

1403061 333276

1477132 16344568 24200170

83840942 8487991 8841656 4676553

23509330 56 833 703

186190 1751

Audited

2014

Audito

Restated 2013

R

35023793 3476236 1958310 1324420 8566371

1832225 763302 800078 927216

3662558 17493462 25478841

1123920 324532 454812 247182

1442207 7678387

11271140

4207506 1822615 1273236 1224282 8646489

51180323 68354451

3056429 562156 229165 264952

3622887 29148148 36883737

45243873 6948940 4715601 3988052

25940513 112161643

~Y273269 5 88~

- 1~ 7 946 bull 33O552

104657 81

198998623

I

19957 37 6697 51 4928 50 4750 17

Ar~ 1 9

1 t45 5 Mpumaans- Due v

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JU NE 2014

3 TRADE AND OTHER RECEIVABLES (conI)

inleres Agtlng Cullenl (O - 30 days) 31 middot 60 Oays 61 middot 90 Days 91 120 Days 121 middot365 Days +365 Days Total a941 in-g from non exehaoQII Iraosactlons

Currefl (0 - 30 days) 31middot60Days 61 90 Days 91 middot120 Days 121 365 Days +365 Days

0 Summary of Receiyabl bv cuslomer dasllt1Cftlon

30June 2014 Cunent (0 - 30 days) 31middot00 0ay$ 61middot 90 Days 91 middot 120 Days 121 middot 355 Days +365 Days Total receivablts by customer claSllficatlon

30 June 2013 Current (0 - 30 days) 31 middot60 Days 61 middot 90 Days 91 120 Days 121 365 Days +365 Days Total rlxelvables by customer clau tneation

Rceneillatien of th ImRlrmtnt allowanc

Balance at begiming of he year

Corotflbutlons 0 proviSiOn

Impaired debtors written of agairst provrsion Balanco at nd of yOlr

-shy gtudited

BV

20~ _-30

I

26

Residential

bull

Residential

32546615 10491363

7689417 7282489

60920887 209006709 317937540

Restated 2014 2013

R

2090801 20 201687237 197469 169 18934 1401

1329103448 289106971 2

bull 1940764 1861317 1796675 1740345

12231 204 11292709

5017751 I

19364070 7897109 6890199 641 1360

Industrial I Commercl3l

bull 3811 5501 114fl621 2883378

924349

Industrial Commercial

30883124 4093020 2659602 2094597

12727523 47930479

10deg3881544

346230919

37337191

(166839289)

90663074

R

Government

3712736 923486

1092047 1101629 398a669 2652614

1348179

3152654 14

70537405

39591900) 216728 821 346230919

1

MBOMBELA LOCAl MUNICIPALITY NOTES TO THE ANNUAl fiNANCiAl STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

4 OTHER RECEIVABLES FROM NON EXCHANGE TRANSACTIONS

Flnanci1 Condi~onll grants Deposits Intelllst received insurance claim Sundry deblOI$ MbombeIa Stadtum Management

Traffic f ineS Balance al the beginning of the year Fines Issued Less Rocelved Balance It lind of year

Reconciliation of impairment allowance Balance It the begilYl ing Ii lhe year ConiribIJions 10 allowance Impaired (lebtOlS wrillen 01 agaillSt allowance Balance at 811d of year

Nelt Traffic flnes receivables

Total Other receivables from nonmiddot exchango transactions

5 VAT (PAYABLE) I RECEIVABLE

VAT (payable) Il1Icell3b1e

VAT is payable on the paymem basis VAT is paid 0Ye to SARS only once paymool is received from receivables

6 CASH AND CASH EQUIVAlENTS

Cash and cash eQUivelents consist of the folkMing Cash at bank Operatirog acCOUflI Cash on hand

Shown on the Statement of Financial Position as middot Cash and cash eqvlvalurts Bank overdr1fts (cash book balance)

The municipality M S the following bank a~ts bull

Current Account (Primary Bank Account) Bank ABSA NtIspruit Accourol Number 40-5321-5785

Cash book balance allleglnnlng of year

Cash book lIalance at end of year

Bank statement balance al ~nning of year

Bank statemem balance 81 end of yea

2014

bull 32532 811

1598342 98 1441

1390 22681 044

5490530 179934

1600123

53071483 14892487 2546329

65411641

50137059 11 201 587

61938646

3478995

36011806

2631868

9528527 1 767947

58885

Restated 2013

bull 36125430 26169545

414123

390

5496931 2691538 1351903

401 34634 16125850 3189001

SJ071483

40 134634shy10602425

SO737059

2334424

38459854

15908813)

15891105 10158257

sl~5

96112103 28109047

96112103 26109047

Audited By

201 -11-30


29

MBOMBELA lOCAL MUNICIPALITY NOTES TO llIE ANNUAl FINANCIAl STATEMENTS FOR THE tEAR ENDED 30 JUNE 2014

Restated

bull CASH AND CASH EQUIVAlENTS (eonl)

Splrat Plan Bank ABSA NeIspnIt AccOUnl NlWTlber 9()6703-3766

(ash book balance al beginning o f year Ca$h book baIaoce al end 01 year

Bank SlalemellC balance ill ~floing of)Nr

Bank stalOlTMlnl balance al end of year

Svlng Account Bank ABSA NeI$pnA Accoun Number 91)6916-i741

Cash book bllance al be(liflning of year

Cash book balance at end 01 year

Ballllt slalament balance bullbull beginning of year

Bank stallmllnt OaIneeI end of year

Call ~nt (Water Deposits) Bank A8SA Nelspruil ACCOIJIII Number 9O-6983-a611

ellSn book ba~nce e( beginning of year

Cash book balance al end of year

Bank alemanl balance II beginning of year Barlk statemant balance III md of yllllr

C l1 Account (Grant Funding) Bank ABSA Nelspruil Account Number 91Hi98J9003

Cash book balance al begrming of yaar Cash book balance al end of year

8ellk slalement balaflCe al begron9 of year Bank statement balance at end of year

Call Account (Service Contribution) Bank ABSA Nelspruil Accoufll Number 91)middot7568middot1173

Cash book ballmce at beginning of year Cash book ba~nce at end of year

Barlk statement balance at beginning of yeilf

Bank statemant baanCfl al end of year

Call Account (Taxi Diluter) Bank ARM Nelspnit Accoum N~ 91-2127-3547

Cash book bala~ at beltJlnning of year Cash book balance at 8fld of year

Bank statemenl balafCe at begonning 01 year Sa $l8enI baance at end ol ear

i

27 109 26981 27 1091

24133

21 09

2013

R R

4467 4443

4472 4467

557829 557271

558965 557829

27 2681

2709 27268

JO

6


CASH ANO CASH EQUIVALENTS (cont)

Call Accounl(Grmts) Bank ABSA NelspnJit Account NIIIIber 40-8341-7222

Cash book balance at ~iMlI1g of year Cash book balallfe al eocI of year

Bank statement balance 01 beginning of year Bank statement balance al orn of year

Filled Deposi t (Grants) Bank N9dbanllt Capilal Account Nu(llbe( 03l7B8103Q909OOOOO7

Cash book balance at be~lnllin~ of year Cash book balance al end of year

Bank stalement balance at beginniog 01 year Bank statement balat1(e at end 01 year

CaLI Account (2010 Scent Worid Cup) Bank ABSA NftIspni1 Accooot t+J mbe r ~774middot2380

Cash book balance at beginning of yea

Cash book balance al end 01 year

Bank stlternent balance 131 beginning of year Bank statement balat1(e at end of year

Mbombela Mayoral Fund Banle ABSA NelspnJit Account Nutlbe( 40-788middot9377

Casl1 book balance al beginning of year


Reslated 2014 2013

R R

840418S

8183317

50000000

50000000

25lt1879Bank sta temet1t balance al beginning QI year 2S4879 Bank statement balance ot end of year

Call Account (Mbomtxlla 2010 Host City) Bank ABSA Nelspfuit AoooII1I Number 40-7502middot7910

4911S085Cash book balarloo at beginning of year 5273 510S SCash book balance at end of year

Bank stalement balance al beginnirlg of year Bank statement balance al end of year

Call Account (Mbombela 2010 Fan Park Operator) Bank A6SA Nelspruil Accounl Number 40middot7611-2661

Cash book balance at beginning of year Cash book balance at end of year

Bank statoment balance al beginning of year Bank slatement balance at end of year

Audited 1 055 t 141 109

1093

Auditor Gener31 South Africa Mpumalango Bulne Unit

31

6


CASH AND CASH EQUIVALENTS (conI)

CheqUE Account (White River Disaster Fund) Bank A8SA Nfllsprut Acolunt NIIIToboc 40-5141middot9472

Cash book balance al beginning of year Cash book ba~nce al end of year

Bank satemetll balance at begilVling of year Bank sUllement balance 8 end of year

Cheque AccoonllMbombela Condltlonll Grants) Bank ABSA Nelsprurt Acco~1 Number 4O-78D4-8048

Cash book balance al beginning of year

csh book balance at d 01 year

Bank statement balance 1 beginng of year Bank statement balance at end ol)6ll r

Catl Account (Lottery Distribution Trust Fund Mbombela) Sarlk ASSA Nelspruit Account NlII1Iber 4lJ6S58-1426

Castl book balalCe at begrning of year

Castl book ba la nce al end of year

Bank s18temenl balance Illgteginning of filii Bank stalement balance at end of year

Cheque Account (Stadraad van NST) Sarlk ASS Nalsprvil Account NtKOber 10-7000middot0209

Cash book balance at beglnnirog of year Castl book balance at end of year

63nk sUitemenl balance at begilVling of year Bank sta tement balance 1 end 01 year

Cheque Account Bank ABs Prime Link Account Account Number 40-6653-7243

Cash book balance It beglmlng ol)Nr Cash book balanoe alend of year

Bank statement balance at beginning 01 year Bank Matlmanl balanca 81 end 01 )Oar

20

R R

22816 26535

52106 SO038 54325 52106

52106 50008 54325 52106

101158 257 270801 767947 IOJ58257

10158255 270601

7671945 10158255 -

6

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENoeo 30 JUNE 2014

CASH AND CASH eQUIVALENTS (cont)

Fixed Deposit Bank ABSA Nelspruil Account Number 20middot7075middot3384

Cash book balance al beglnnirg of thl year Cash book balance II end 01 year

Bank statement baluCe al beginning of year Barlllt S(atemenl balance al end 01 year

The fixed deposil IICCOVrll number 20-7075-3384 was closed dlring the reporting pariod

Bank ABSA Nelsprull Account Number 20middot7400middot3363

Cash book balance a btlg lnnlng of the year Cash book balance al end of year

Bank sl8temenllJalance al beginning olyeal

Baok SlatemenllJalance al end of year

A fixed deposit amounling to R23 750 41 096 has been invested with AB5A as collateral for a loan 01 R200 000 000 at Development Bank of Southem Afri ca (DBSA)

Pltty Cash Total cash on hand

Restated 2014 2013

R R

1101 4737 537777 l1m437

24376706

24376706

Audited

By

2014 -11-30

Auditor General South Africa Mpumalanga BusIness Unit

33

J

i

i r

fmiddot I j

1

I bull

~ middot middotmiddotmiddotmiddotU e ~ i

1 I

t i I I j

I I

bullI n

qI IIi I

Ii bull I

I bull I i t - t I

ibull ltf

I middot 1- j r~ fI It Ii

south Africa

tuditor Genera ness Unit Mpurnalanga euSI

8

9


INTANGIBLE ASSETS

Re(Onclllatlon of carrying value 30 June 2014

Carrying values at beginning of the year Cost Accumulated amortisation and impairment losses

Under construction Acquisitions Amortisation

Carrying values at the end of the year Co Accumulated amortisation and impairment losses

Reconciliation of carrying value 30 June 2013

Carrying values at beginning of the year

eo Accumulated amortisation and impairment losses

Computer SoftNare Servltudos

R R

1103069 4590568 5770933 4590568

4667864

Total R

5693637 10361501 4667864

(222137) (222137)

Computer Software Servitudes Total

R R R

Under construction Acquisitions Amortisation (287915) (287915)


A register containing the information as required by section 63 of the MFMA is available for inspection at the registered office of the municipality No intangible assets were pledged as security fo r liabWilies

INVESTMENT PROPERTIES

Reconciliation of carrying value

Carrying values at beginning of the year Cost Correction of prior year cost Correction of prior year accurrulated depreciation Accumulated depreciation and impairment losses

Depreciation Reclassification from Property plant and equipment

Oisposal

2014 R

336360740 348213238

11852498)

(2260143) 66930

Restated 2013

R

338711930 350977357 (2764119)

165963 (9667271)

(2351190)

Cost IAccumulated depreciation

Carrying values at the end of the year Cost Accumulated depreciation and Impairment losses I

ZU1~ -lI-JU

A register containing the information re(JJlred as by section 63 of he MFMA middot ava~able for inspection at Ihe regislered offICe at the municipality No investment properlies were p~ 9AIJcl~r6$JTteral South Africa liabilities Mpumalanga Business Unit

35

MBOMBELA LOCAL MUNICIPAUTY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30JUNE 2014

Restated 2014 2013

10 NON CURRENT RECEIVABLES

HousinQ sellng scheme loans Im~illnenl (refer below) Cutten Portion T01 I11 NOJl- CurreJl Reltelvabie$

RecoJlctIJII110Jl of Impairment allowaJlCe ealance at beginning 01 year Colt1Ilt1tMr1ion tIvrong the year Ba1ance at end of year

11 INVESTMENTS

fld to flllturltv Invnlments Fbd deposits Leu Fixed term partioo T~ Held to Maturity Investments

A can ltleposll amounllng 10 R10 172 444 ha been Invested 11 NeltIbltInk Bank $eCurllytor a loan of R22 000 000 at DBSA

12 BORROWINGS

Local Registered Stock Loans Annuity Loans

Less Current portion trlrlslerred to current liabilitiu 16016973 14259575

Local Registered Stock Loans 3000 A((IIJijIy Loans 14256575

Totlll Non-Current borrowings

Certain investments have been pleoleo as security lor bolTOWings as Indicated in oote 11 The loans are disclosed as 101lows

Instltutlon Inttial date Redeemllble dl e PrincipII Imount

DBSA OBSA DBSA OBSA Standard BaAk I tJ1C3

13 CONSUMER DEPOSITS

CURRENT ~andWaAef Total consumer deposltl

922239 9071939

14 OTHER FINANCIAL UABILlTtES

Consumer debt - VAT Llabil~y Service contributions Water SIfVice contribul~ Sewerape Deposits in lieu 01 services AmOlJnts paid In advaJlCe

Tottll Other LIlbllltleamp -

1998 21600000 1999 2016 22000000

2016 138600000

2030 200000000 2005 25000000

3770983 4495535 (3298144) (4004797)

jgS4S0) (17729) 4358 473009

14383961 13696409

14333987 13696409

3000

225068623 189 4278241

IJlterest rate Batance 1074 2925781 1550 8314724 1262 4$728995 1262 167028584

1050 ==~~~ 59624082O~~~5~3t 1

36

39641635 -9328339

24119371 1IIO~ 90$914

5-46926 1323414 1016481

26598420 22593973 10609534 10145674

-

bull bull


Restated 2014 2013

15 PROVISIONS

Provision for rehabil~alion of Imdfi sites ==== Total Provisions The provision for rehabitation 01 landi ~e re l8 leS to lhoe Ie$aI obIogatkgtn kgt rehabillalfl used for waste disposal in accordance with the National ErwlroMlollntal MaoaQemenI Acll07 01 1998 and the Environment Cooservation Act No 73 01 1969 The landfill S~amp$ ~ e rehabililaled al me efId 01 each usefu l life II is calcvlated ~s the present value 0I 11Ie expenditUf expecled kgt be required to settle the fuMe obIIgatlon 10 rehabiltall the 1aJl(f( s~e$

The discount rale used relleltt lhe currellt maJ1cel asse-5SR1eflI 01 the hme value 01 money and tile nsks specifIC 10 tile iabiity The valWl lloo for the provi$iOll 01 he Iancl611 ailes was reviewed by an ndependent laridf site and envinmmenlal SpeCIaIl$t

The Ioog-service award is payable aller PIlaquoy 5 yea($ of eotIInuous service The prOYision is an esUmate of the Iong~rvice based on hisIorrcal staff lullOVef and has been detefmioed by an actuary

Flnane1 AssumptionS used lor th provision of landnil lies renabOltliltion

The OnallCial asSUlTl$)ltons used focth e landfill site closure costing mod~ at 30 June were as ollows

Adjustments of unit costs 753 Consumer price lode~ (CP1) - Three months average 627 DISCOtJllt rate Tekwane L8i1dfill site 852 Nelsproil Mbo~sweni and Kaz)liew landfill sites 727

Net effective discount rate (Inflation linked bond rates) abOvO Consumer Price Index (CPI) Tllkwane landfin site 225 NelspMt Mbonisweni and Hal)Iiew landf~1 sites 100

The movement in the flOn-ltUlTent provision is recofl(iled as follows bull

Provltlon for rehabilitation of landfill sites

Balance at the beginning of year 83484449 l fl(rllaSll in assetlliabilities due to change In accountl~ IIStlmate 1695560 Fair value adjustment on provisklns 5564331 lnerllase In proYision due 10 discounting 295646

579 577

802 6 77~

225 100

81136147

1760264 5118018

Balanee at thbullbullnd of YIIar 9 1039986 83484449

Olsclosed In tM Statement of Flnanclal Position lIS follows

NorKUrrefll pcl(tion 86401014 77622531 Currenl portion 4638912 5861918 Tota l IiIndtili lite rehabilitation provisIon 91039986 83

t484449

j6 UNSPENT CONDITIONAL GRANTS AND RECEIPTS

Unspotnt CoRditio1 Govetnment Grants-Capital ~ Inm$lrudilre Grant (MIG) 1cipaI W8kt SeNkes Granl (DWS) 4359601 2169542

4732299 Integrated N allonal ElectrifICation Programme Grant (INEP) Munlcipltlt Water InfrasUUdul e GiantMWIG)

4316065 4 1177177

Eleclricity Demand Sfde ~anagement Grant (EDSM) Public Transport WraSIICIIIoe Golnt (PTIG)

2186000 expnded Public Works P~1TVl1e Grant (EPWP)

Unspent Conditional Gonrnment Grants-Operatlng Finance ~anagement Grant (FMG) Mvnlelpal Syslems Improvement Grant (MSIG) Provirocia l Grants DlsaSler Relief Grant

Total Unspent Conditional Government GrInts and Receipts

Other unpent cond itional grants

National Lonery Granl

Total unspem cond itional government grants and public contributions AlditoRefer to note 23 Grants and subsidieS for the reconcili ation PO ~_I

~

9619036

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENoeo 3(1 JUNE 2014

17 TRADE AND OTHER PAYABLES FROM EXCHANGE TRANSACTlONS

TraOe paJ8bIf~

~ Oeoanment ofWa~ and Sanilli l ion l DWS) R~le nlions

Accnted staff -ave

MoIor vehke licenses province 00wr payables Salaries Employee ~ COSts dedocUons and social COfI1Jibutions Sala SQII111 African Revenae SeMcM T018l eredhors

Th~ fa value of rrade and Olliei payabIes aPIXoximales heir call)lng amounts

18 OEFERRED RE VENUE

Della EM( Opening Balan~ Re~nle reoognlsed TOUI defeTTed re~ue

This wn at advance Pi)fIlOO1 by Oelll EIjD (Pty) ltd fof the constroxtion of a landfill SIIe Delta EMD (Pty) Lid reelves pre4erentlaJ Ullage of th ~ landfill sil8 and the reven LJe recognised is the amount biljed 10lt Ile 1I~lIeatlon of the landfill site This net balance amooot is tnerefore treated as deferred revenue

1~ EMPLOVEE eENEFIT OBLIGATIONS

l1l1 POST RET1REMENT HEALTH CARE ~MPLOVEE BENEFITS

The munlCipalll provides certatn PQst-re~rement health ellre benefits 10 staff These health care benef~s 1(8 Uflfunded The municipality provides a 60 subsidy of medical scheme contribution 0 eligible In servlee and continuatlon members upon rfItirement subject to a m~ximum rmd cap 01 R3558 irrespective of marital status

l1l11 Medical Aid 6enef1 EIInn

CUrr1nt service cost tnterest tost Actllilrilli fillloJllosses Actu~1 post-retirement hea lth care benefts payments

bull 151332653 134083127 28261065 27965892 29399654 9399432

49245885 4467962

19773593 5785016

459720218

2820523 (372 402) 1448121

7457202 10670766

7725980 (225788Z)

bull 1904$6 15

739397$3 30596372 27345051 27876954 8925338

340~ 2 loa

5809609 15754429 4598640

419344898

54 5727 (2595204) 2 8205231

1I68i92 133~ 1495

(6493a870) (2173001)

Net post retirement health eare benef expense 23596066 (~21OS12~)

Th Medlell Aid Benefit ellpenn Is Included In emplo~e remuneration

1912 Assllmptions for attuarllli vlllullon

The assumptions made for the 8CtUlil~a l valo8tioo 8S 8130 June 2()14 were as folkws E~pected madiar aid benefit weases DisCOIJnt ralf Salary Inflation E~pected retirement age (years)

A 1 perntagt 9 In the assumed rate oIlnctease of meltllea l aid benellts would halrfllhe klIIowIl19 effect

30 June 2014

Heatth cos inflation eIJect on the CUfreilt srtrvlee~~I__p d Health oot inIIiolion effed on the defoned ~~ pudite Discount rate effect 0Il1he COOerlt servite t Discoml rate effect on Ihe health care benefol lability SI 30 June 2013 Heallll cost inftation effect on the oonent eosI

l1bi~ty 1Q~ _-3 Q

Health eost illllation effect on the deflfgted beneIi Discount rat effect oro he culrool seMce cost

868 pa 967 pa

65

Oecrease

bull (2153715)

(24950535) ~988963

3033464

(17761 39) (19639009)

2 427061 25596212

763 pa 927 pa

65

Increase

bull 2988640

lJ046849 (21 20778)

(24S40~76)

2443972 25185191 (1139777)

(19215665)

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNU L FIN ANCIAL STATEMENTS FOR THE YEAR ENDED 31l JUNE 2014

Re$tated 21l1

Net Poslmiddotemployment Health Care Benefit Liability 151472753 121571000

21110 200

Present value of defined obligation 93911000 8 597000 Net Post-employment Health Car BenfIt Liability 93911000 81971000

7590080

Employe benefit obligations disclosed In the statement of financIal pOSItion S 10110

Nof-(oooot portion

Total proviSion for lorg letV(e wards 4461 189

Cumtnt portion Total Employa beneflt obligations

20 PROPERTY RATES

39

R 19 EMPLOYEE BENEFIT OBLIGATIONS (oont)

1913 Poslpoundmployment Health Car Bnlflt Liabil ity 201

Present value 01 defined obligation (tete 19 14 belOw) 132963S95 NRI POSIemployment Health Care B~nem Llabllily 132963695

D isclosure of present value of defined benefit obligation tor the previous four reported periods

21112

Present value of defined oblgation 151472753

191A Changes In post-employment Health Car BeneAul Liability

Changes In the present value of the dfined benefit liblllty are as follows bull

Balance at beginning of the year 1119367629 Current service cost 7457202 Inef(lsl cost lO67Q766 Actuanal (1I3In) loss 7725980 AltUIII posl-retllfll1len l health care beflefots ~nts (2257882) Balance al end of year 132963695

Classification of posl-employment Health C~llte 8en0efit5 Liability Non-(urrenl poWon 130482003 Curten ponion 2481692 Total Postempioyment Health C are Uabllity 132963695

192 Provision fo r Ionllmiddotservice awds

Ballnce at the bampglnnrng of year 37590080 CotIUlbutions to proYl sion 3977444 Interest cost 3087452 Actuarlal (gain) I10s$ 2661863 Expenditure lneurred I Balance at the end of year

Auumptlons for actuarial valuation

Tne assumptions made for the actuarial valuation as al30 June were as loIoyenl$ bull Oi$OOVlll law 846 P_II Salary Inflation 11710 pa

A05 percentage chanoe in the assumed rate of inaease of long service awards woukIhave the Iollowl~ effecl

Oe(rease 30June201 4

DIscount Illie eHvc on the currenr ampervice COS 200930 Discount rate effecl on he dehned benef~ liability 2086843

30 June 2013 Discount flIlte effect on the CUffent service cost Di$COunl rtlte effeeron the defned befleftt tlaOlMty

Clastfkalloltl of Provision for IonIJHMCe awvds ( Iloeo NotHurrent POrtiOl Po 0 42194082 Cumlnt porlioll 1 2422 107

R

2013

109367629 1093676211

2011

127571000

1514 127 11685912 1332 149$

(64938870) (217366)

109367629

107086568 2281061

1119 367 629 1 1

30626220 3472979 2543142 1172119

7_73 P II 700p1I

Im rell5e

(239906) (1936735)

(2t2165) (1518102)

34457349 3132731


2014 Restated

2013

R R

Actual Residential Commercial Agricultural Government Other Total Property rates - penalties imposed and collection charges Total property rates

110128338 143197678

11249227 21806971

4226191 290608404

2906ot1404

109775382 130344585

10111027 19944561 4086403

274261958

274261958

Valuations

Residential Commercial Government Municipal Aroriculture Other Total Property Valuations

22 I73440593 10456526633

945971015 2263343200 5981003584 2386089987

44207275012

22059245547 10420552629

945971015 2258262523 6025763579 2536334990

44246170283

Valuations on land and buildings are performed every four years The tast valuation compiled in accordance with the Mllflicipal Property Rates Act 2004 came Into effect on 1 July 2009 Interim valuahons are processed on a bi-annual basis to take into accovnt changes in individual property values due to alterations The next general valuation will come into effect on 1 July 2014

A general rate of 07915 cent in a Rand (2013 07432) Is applied to property valuationS to determine property rates Various rebates are granted 10 residential business agricultural arid other properties aridOf categories of owners fr1 terms of the approved Property Rates 8y-Law A compulsory phasing-in discount is applioo on all newly rateable properties in terms of section 21 of the Municipal Property Rates Act 2004 Rates are Ifvied on a monthly basis on property owners Interest at 95 to per annum 2013 10 is levied on outstanding rates

21 SERVICE CHARGES

Sale of electricity Refuse removal Sale of water Sewerage and sanitation charges Total Service Chllrges

6OO816891 65065595 27481996 15874061

709238543

536398751 59029266 24666699 15134173

635228839

22 FINANCE INCOME

Outstanding consumer receivables Cash and cash equivalent and Investments Other receivables Interest- Other Total Finance income

22596148 3714173

169780 15027

26495129

14799431 3246046

232763

18278241

23 GOVERNMENT GRANTS AND SUBSIDIES

Capital Grants Municipal Infrastructure Grant (MIG) Water SelVices Grant tntegrated National Electrification Programme Grant (INEP) Public Transport Infrastructure Grant (PTIG) National Lottery Grant Electricity Demand Side Management EOSM Olsaster Relief Grant Expanded Public Works Progr(lmme Grant EPWP Neighbourhood DevelopmenfPartnership Grant NDPG __

101071863 6131527

264617 52758786

4763B88 3014785

69717

106072831 7557013 4055932

43604499 433287

726398 596220 909654

2568159 4321244

Municipal Water Infrastructure Grant (MWIG) 2013 Africa Cup of Nations Gran r

170643340 168277079Total Governme and SUbsld~UcM~lr

BV

UIII _-3~ Ih plrica

nera SOU AlJditor Ge BUsineSS Un1t-

MPUl1alanga 4Q

MBOMBELA LOCAL MUNICI PALITY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

23 GOVERNMENT GRANTS AND SUeSIDIES (ConI)

Operating Grants EQviitbIe Shyene Oepal1meflt 01 Hoor$ing SettIemetIt Grant (OHS) Mvnicjpel Systems Improvement Gfanl (MStG) Fonance Managemefll Granl (FMG) Water $ervice$ ()peqting SubsIdy Grant Mvnicipal tnla~ructvre ~rtaoelltjll9 projects) Pubk T~rtSpOlt1 lnmtruc1Jfe Grant Disaster Relief GllIInl Expanded Publil WOIb PIOgrlImtM Gralll (EPWPI 2013 Afnca CuP 01 NoltiorJs 0-1gt1 (AFCON) Total Government Grant IIlld Subsi dies (Operlllllng)

Total Govemmtflt 9ants and ~bsJdI8t (Opeflllrg and Capital)

Equltab6e Share This gumt is unconditional and 15 pal1laly u~l ised tot Ihe locIipeflt support tIIrovgh fM

Department of Housing Sttlemttnt Grant (OHS)

R

342 190000

6 92658 1476 171

129387116

150367 1639323

359287315

529930655

Restated 2013

R

312298000 1000000 104(1992 1560692 3009000

26740454 75361186

280904 2129987

26573762 382170797

550447876

3421goOOO 312298000 bOl$1e services

1000000

This grant is ul1COllditinal and municipality

was us~ rOf human settlement operational expenses within Ihe

Water Serviceli Operating Subsidy Grant (DWS)

This grant is vncondltional and was used for the operations lind maintanrlanc8 0l lh8 wlI8f servies function Wlthln the municipality

3009000

Flnanc Management Grant (FMG) Balance unspent at beginning of ~r

ClITent year receipts Conditions met shy transferred to revenue - operating Unspent amount trmsferred to abilities (See Note 16)

16718 1550000

(1476171) 90547

77410 1500000

(1560692) 16718

The ~rant was used to promote and support reforms In financial management thrOIIgh nna~a t management internship and reforms programmes The revenu e rficogniSld met the corniitons of the grant The unspent balance is committed

Municipal Systems Improvement Granl (MSIG) Balance unspent at beQinnjng of year Current year receipts conditions met - transferred to revenue - operating Unspent amount transfered to l iabiWties (See Nole Hi)

(0) 890000

(692658) 191341

240992 800000

(1040992) (0)

Tna ~ant was used (0 the implementation 01 revenue enNIIlCemefit strategy strengtllenlng administratIVe systems for effective imple~ation of ward participaticm S)$tem flnaflCial S)$temS support and improving municipa l aud it outcome The revenue recogni ~ met the cond1on$ of tile grant The unspent balance Is ccrnmlUed

Water Services Grant Balance unspent al beglnnlng of year Current yea recetpls COIId itions met - transferred to levenue - capilal Conditions mel - VallIe AOOed Tax - transferred 100ther reverue Unspetll amount transferred to liabiities (See Hole 16)

This grant was used lor reftrbishmem 01 the water schemes and _ter elloted

2169542 4284 537 9 1amp0000 6500000

(6 131527) ( 7557013) (8SS4) ( 1os7982)

43S96l)1 2169542

inlras ____ __~~ ------l revenlle recognised met the condQor5 01 he granL I he ul1speflt balaxe Is committed

Audited By

2014 -11-30

Auditor General South Afr ~ a Mpumalang tl Business Unit

41

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDEO 30 JUNE 2014

23 GOVERNMENT GRANTS AND SUBSIDIES (Cont)

Municipal Watr Intrastructur Grant (MWlG) Balance unspent at beglnrling of year Current year receipts Cond~ions met - 1~Hrred 10 revenue middot capital Condllions metmiddot Value Added Tax - transened 1000000r rllImllle

Unspenl anlOllnllransierred O laablliies (See Note 16)

The granl was used for planning aoceIafatioo alld impiementalion of various Pfojecls that will ensure water $UPPIy 10 cooIltIllInlies iden~fled as not receiYing basic water supply 5ervooes The revenue recognised IMl ttIe coolons of the grall The unspent balaoce is committed

MunldpallnfrKuuctufll Grant (MIG) Balance unspent a l beglnnklO of ye3r Current year reuipts CONIiliOn$ met -I~ferrtd 10 fewmue middot Cltlpjtal Conditions mel middot tnnsfetJed 10 r_n1lll operating Condilions mel middot Value Added Tax middot transfeired 10 othel revenue

This IlIn4 was used 10 aelaquolaorale basic infrastructure bactltlogs for the benefit of poor roouseroolds The a~ translered to Q91)fa~ng r~ates to projects blgtdgeltd for as capital and service deWvery was clone bul tor linanelal re)Ol1iog PVlp05lt$ the asset recognkion criteria is not met The revenLU recogniselt met tile eondilOnS oflhe grant Tile unspent balance is committed

Public Tnspor1 Instructure and Systems Grant (PTIG) Balance unspenl at be~ng of year Cunent year ree~$

Conditions met - transferred 10 revenue middot Cllpital Condilions melmiddot translerred to reellUe OPIIratin Conditions mel middot Value Added Tax transferred to other revellOfl Uns~nt amount trampflsferred to Nabilitles (receivables) (Soo Note 16)

The grant was used for accelarated planning ~onstruction end Improvement of public and rgtOIgtshy

motorised tranSPOrt Inll1lSlruclure and $Orvlees Tne reveooe recognised met the eondltons of the Qrant The unspent balance Is committed

Integrated Natlonlll Elecllif1~llon Programme Grant (INEPj Balance unspent at bebiooing of year Current yea r receipts Conditions met - transferred 10 revenuemiddot C3$lltal Conditions metmiddot Value Added Tallt tran$furrecllO other revenlHl

bull

7660000 (2568159)

(3595lt12)

4732299

123048282 24 t164ooo

(101071863) (12938796) 15961192)

Unspenl aml)Unt uanseet to liabj~tles(See Note 16 ) 234240132 123 048282

(22439808) 123762000 (52758786)

(33-62252) 8000000 (264617)

(37046)

bull

85076e93 188062000

(10607283 1) (26740454) (1 7277426)

1

(62641514) 98703000

I

1241511

(4055932) (567831)

Unspent amounllransferred to liabi~bul (receIVables) (SeI Nltlte t 6) 4316085 (338222)

The lOfaot was used to addntss the electrlficallon bampeklogs of oeeuped residential dwel lings alld the instaMation of bulk infrastructure rehabilitation and refurbishment of eleelrlelly Infrastrudllle 111 order 10 improve the quanty 01 supply The revenue recogn ised met the conditOIlS 01 the oranl The unspent balance is committed

Elelttrlclty Demand Sick Management GraM (EOSM) Ba~nce vnspent al beQinning 01 year Cummt ye r receipts Condrtions metmiddot transferred to revenue Condrtions mel middot Vakle AOded Taxmiddot transfeo-ed to olhef I~nue

2186000

(30t4785) (422070)

(2814000) 5000000

Unspent alTlOllfl trallSlamprred to I~biiesl (reeembles) (See Nole 4) 2186000(1250855)

The gram was used fof implemertation oIlhe flleclricity consumption and

689516


2014

R 23 GOVERNMENT GRANTS AND SUB SIDIES (Corn)

Ntlilhbourhoocr Development PrWler1ohip Grant (NDPG) Balance uospenl al beginning 01 yellf (341488) CwreoI year reG4l lptll Cooo~ioos me1 - 1raMIefred to reveooe - caJ)i1a1 COrldltloos meLmiddot Value AOded Tax - lraflsiened 1000Mr rev-e Unspefll mount traflsfenelt110 relteivablesSee Note 4)

The grnl was uselt lor plalllliog rid development 01 oeighboufhood dll~ PfOIIrarnme5 with Spefidc regard 10 the re-ltIeYeIoprnentln lormer R 293IOM1$h1ps The CQfI(~i)n$ of the gtltlnt ~ met

Nallonal Lottery Grant Balance unspent al beginning of yealt 9619036 Curretlt ye4lr receiDis 11 4D CoUbons mel - IfaRSiefrod Q ~ - capital (4763SSS) Unsoent amOUN transferred to liabilitles (See No1ll 16) 4856289

The grant was used lor Sports Development programmes The revenue ritCOQOO$IId mitt tiIe eonditon$ 0( Ih graflL The nspenl 00Iargtee is wmmitled

Disaster Relief Grant Balance unspent at begiMing of year 1309695 Current year receipts Condilion$ met -1ransferred to revenue Clllpil8l Conditions met - transferrecl to revenue operatng Conditions met- Value AcIded Ta~ - trllnsferrecllO other revampnve Unspent amount transferred 10 Wabilities (See Note 16)

The gran t was used for Immediate responses to disaster within Ihe munlcltlality

Expanded Public Works Programme (EPWP) Grant Balance unspent at begirvling of year 144323 Current year recfipt$ l69MOO COIlditioos met - transferrecllO reve n~ - ca ~lta l

Cond~lons met - transferred to revefllle operating (1839323) Cond~ions met - Value Added Ta~ - transferred to other revefllle Unspent amount transferred to HabillUes See Note 16) OJ

The grant was used to expand emplo)ment creation efforts as a national prklrlty ttvOligh the use of labour Intensive clelilery methods within the municipality The OOnditlOflS of t~ grant wefe mel

2013 Afrka Cup of Nations Grant (AFCON) Balance unspent at beginning of year Current year receipts COIldi11011s met - transferrecl to revenue - capital ConditionS met - tranSferred to revenue - operational Condjtions met - Value Added Tax - transferred to other revenue Unspent amount transferred 10 liabil~ifls

This fant was used for the hosting of the 2013 Africa Cup 0( NatIOnS held by tile mumcipal ty ill tenns of the host city agreement

Other ProvincUiI Grants Balance unspent al be~ng 01 year 27110 CurrOO year relteiSlIs 60 Conditlons 1TlflI-lransferred 10 revenue (Operaung PrOVlrlClllt Housrng) Conditlons met - transferred to rev-e laquo()pera1inO Comrrulity Libraries lOT) Unspent lInooll transfened 10 llabit~jfs (See Note 16)

The grants Yefe UI~ised for various ~rcew as set otJ in me conditions 01 toe grants Audited By

2014 -II- 3 0

R

(9096gt4)

10036218 16105

(433287) 9619036

2458020

2954000 (596219)

(2 129987) (83471) 144323

3 1500000 (4321244)

(26573782) (604974)

26982

27110


27270

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL FlNANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

Restaled 2014 201 3

24 REN TAL Of FACIUTIES AND EQUIPMENT

AdYeI1lslng $igM Concu~ feAlal Suldry grounds and tgtuikmgs Personnel housing Hal$ ho MborntIeQI $ladillm Total Rltnlill of h cliitles and Equip ment

25 AGENCY FEE

Oelrtmenl of Road amp Trlnsport

RevtnJe leeeiwId on OINt 01 me DeoInmenl Leu Uoense Cam F$ Len VAT on Agency Fee Len Accruals and P l yfI)MIS to tile Department

Agency Fee

The mul1Qparlty 11(($ lt15 an ampgerll fOf the Department of Roads and TranspolT In cdlecling rrdor vehicle licerlCe len TM gency 1M GClmpll$ Of a pereen8ge of the 1M3 coHected

OTHER REVENUe

AdmlniSIf3ion Ius (Debt CoHeetlon) BuIlding P1all Fees -CleatllllOe Certlfcales Concession Fee Eleetrleal Connedlotl$ IroampIlJllll(fitQaims licencing amp TesIng GmlInds Prepaid Convnlsslon Pre$CIWJeltj Cteditors Ref~nd - Sector Education arod Trlnln Aulhori1fe5 (SETA) Refund - WorIIrnall$ CompetsIUon Act (WCA) Sale of Bid Documeots 531 SIIfICky Service CC01ribUOOrl$ S~nclry Income TOMISh Recovery Cost VAT Revenue on Condillonal GI1IflIS WatlM Cost Recovery (S~ul~mlnril Total OIher Revenue

77 FINES

Traffic Fines bull Tfaftic fines IS50ed - Leu WihdarawaIs and DiSCOJnlS - Add Trde ftnea 110m ~I Coon FInH - EleclJidty Meier AultIt Finesmiddot lb-ary 8001lt$

R

U32003 227$995 1726683

471463 3361)6lt 74120

11 7410 9993404

1a 592109 1

11 634 1308 (2077340) (3983e82)

(81823786)

2M56300

219441 1306220

433958 30933 717322

2414832 3990841

2007$562 2077340 I ~480

4S42778 1141 063

604311 322653

96718 82351110 45998 18

20715 251Wgt606

3738675

R

241 9 349 221599$ 2419972

547428 341 3$7

94950 sa 99

10008249 182~S$1

96017160 (21lOo97) (378845)

(6570022gtJ

24 834593 1

336 1695052

357009 6 11 818

23S7039 229818 1

898521 21lOo497 1481525 7152461 1969951 ~2~23

296178 770 17

t3 417ltl2tI 6792lt11 9

676857 27019865

2632165 11 32amp386 727 604+43

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENOEO 30 JUNE 201

28 EMPLOYEe RELATED COSTS

Emplo)M relaled COSts middot Slries end W~ e~ reale4 COSts - Conlflbutlolltllor U1F pensIOnS ancllll8(flcal aidS T mOOr ear ~Ilon subsillence IJId Qlhel li~s HousinQ beneIll$ and allowences Overtime payrrIIIls LOf9seMee _ ds PO$l retirement rnedieal berMlrls Totll Employee Related COItli

RemulMlrll1lon of the Munlcl~1 Mlnllll lltr Annuaf RernoKleIiIti Vehicle amp Other ~nces

ConVtluticlIls to UrF Medlcllnd Pension Funds Tobullbull

R munerJlioft of ttl e Chief Open tJons OffIcIII AIInual Remuneltallon Vehicle amp OIler AIowances Coolributions to UIF MedkaI IJld PeniOln FUncl$ T

Remunerll1lon of Individual GI ManaQtrs Technical SNlces

201 Annual Remuroeflllon Vehicle amp Oher AIowarMas CoolribI1tions to UF Medicll and Pension Fullds To

Restliled 2014 2013

bull 273309594

7IU45044 40499413

2524635 53883183

bull 2503781757

72334086 34933486

2735701 39274564

629297 m 13amp771 9i7653

606038 304180 1862n

12f17MlO

~104 681 057

Communlly CorpOll Services SeNices

Planning Performance Remunenrtion of Individual Genet11 Man ll9lfS

Monltorlnll end EVl lullllon CommunleMlons and InfOlmation Technology

M nual Remunemtlon 896531 Vehicle amp Other AIowanceamp 41 470

LEO Human

Senlomenl Urban

and Rural

Development

716576 168000

Corrtributiors to UIF Medlral ancl Pellkln Funds T

Rl muneration of Individual G4IDlrai Mlln~1$ Techlcal Services

2013 Annulll Remuneration 594918 Vehicle amp Other Allowances 153393 ConIIobuOons to UlF Medical and Pengtion Funds 109556

Corporata ServiceS

7381156 2BO779 187533

Chid FInancial

OffICI

Tolal 1120$1268

LEO Humin

PI n1na PlrfOflTllNlampe Scl1lement Urban

D~ooGIItit ed

lobull06O



Remllneration oflndMduai Genera Man~~

Annual Remurlertllion Veh~1e to Other Allowances Conlribulions to UIF MediCal and Pens ion Funds Total

2Q REMUNERATlON OF COUNCILLORS

Commllnlty SamprVlcas

87611 9 160000 176430

M32549

Chle FlnancllI

2013

30


Restated 2014 2013

ExeeUllvfl MayorS_H Executive Committee Membefs Section 19 Coomtte( Councillors CounciIQrs pension and mediC(lI a iO OOOhibutioos Counclllors llilowaflCeS

Total Councillors Rmunerton 25891 785

RemuneratiorJ paid to 11 COIIncIIIors are Within the upperllmils set by the MinIser lor Co-Operativi Govefnance ano TradiliOlillI Mairs as per his vested power set out in the R~ Df PuOic OffICe ~ Act no 20 of 1998

In-kind Benffits

Tile EJceeulive MajlOf Speake- and Members of the Mayoral CMlmittee arfl loUmiddotlimI Each is proWled vitb an offICe and secretarial support at the cost of the ewrd

The executive l4a)Ol hu tlle se 01 it Council ownocI vet1icle lor offIcla l duties Council turther r1j~ted an official ~ tor the Executive Mayor In aecordance with legislative prescripts and stlbs~ ent resolution taken ~ eooJnci l The E~fICIive Mayor has been alloocltlted staff lor protflctive seMceS

CouncN provided security lit lhe privale residences of Ine EoIICOJive Mayor I nd Sflveral other COIIocillof$ through privatfl SGellrlty fimls at he ~ 10 Covn eM

301 DEPRECIATION AMORnSATION AND IMPAIRMENT LOSSIS

Depredalion Property plant and eqiproenl lmpailTllfltl tosses Property plant aoCl ~vipment

Amortisation Inallgible assets Depreciation Investmeol PfQPerty carried at cos Total Deprflclatlon Amortisation and Impairment L~u

302 IMPAIRMENT LOSSON PROPERTY PLANT AND EQUIPMENT

TIIe irroa ~rment loSS relOlltfls to cemeteries classilled unaer community n SlHs vnich were physictlll V damaged This was tQtntified dutlng the annual physical veMcaUon Plo~ess of all assets whICh was conducted a bull e end

31 FINANCE COSTS

Finane eosts on borfowings InWest provldeO on proviSIon for employee oenef1$ and rehabilitation oftand~1I $itas InlftrMlon trade payables Total Finane Cou

Audited

By

201~ -11- 3 0

Auditor General south Afri~3 Mpumalanga Business Uni t

bull 848997 683976

6365207 26 15010 9231447 1551300 4605766

bull 700005 559701

5 261 670 1881 97~ 6942596 1 ~ 52 284

4120965

215m267 73256

222137 22laquo1143

238162620

287915 2351190

2179S4a06 240 8G17251

2ii245980

--

MBOMBELA LOCAL MUNICIPALITY NOTES TO TliE ANNUAL FINANCIAl STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

32 BULK PURCHASES

Electl1elty Water Total Bu lk Purchase$

33 CONTRACTED SERVICES

Cootraeted seyenWes klf Aud~ Feu Clearing Illegal dumping Consu ltation and development Devekgtpmenl 01 Master amp BuPiess PiaM Feasllil ity studies FOIIIlall$$lion and township GeveIopment Household eleclrilicatioo amp $amphitation projects HlMnan resource progmmmamps Inlorm lion teehnology (IT) services Legal ~osts Mbombel3 Stadium Managenltnl amp OpltOratkmal COS$ MeWlr rea~ services

ProIessiooal engineeritgtg seltlvces SectJf1ty SeyenW8S Solid waSWI services Valuation roM costs Water pvrifleation and distribution Totamp1 ContrtCted Services

14 GRANTS AND SUBSIDIES PAID

Free baS ilt electricity Free basilt water Indigent svl)sldy Grant to SPCA klr animal ca re To1amp1 Grants and Subsidies Pald

Rampstated 2013

R R

422494179 405581 815

2W674O 1500558 564526amp 4160235 1070262 2084J39

954512 2318844 26 1314(1 3230596 8435922 26402854 2619443 148083

1 2~96657 11487034 5745865 3227479

21167900 24600490 3306445 2701387 9971674 2 5581~2

34396391 81 61826 43053491 22277526 19301307 18643985

1314J 72 21)59769 89834387 70178765

U459Jsts 206S44924

2767755 3810084 17500000 17500000 3039291 4281244

399975 282214 23707021 2$873$42


35 GENERAL EXPENSES

Indoded In general expenses are the followingshy

AOvertigting Agency Pfepaid commissioo Asset reglstef updatll Audil fees Bmk chafgll$ 8a~ study Bursalles

Conferences ~ 6elega00iv Orivero licence C3fds EIecIIIcolI coonectIons EIectricityown usaae) Eneftalnrrletlt amp re fA$hmerts EPWP programrre AOltIIlciiI I management grant Hostiog of rica Cup 01 Natioos Hvman resotIfces progrommes Integrated De-ielopmenl Ptan (VP) opefating PfOIeeI~ losurtlOCe Ucencefees Lacel e~onomic development progrommes Ma1Ieting Membershjp fees ~unicipill Systems Improvement Granl 00 Postage Printing and stationery ProtectNII amp official dolhing Public participation Public transport management funclion Recruitment and sele~lion

Sewerage amp water Sliulumanzi Skills development levies Sports progranvnes Telephone Tourism development Traintng amp Capacily Building Transversal progranvnes Travel and subSistence Ward corrrnltlftftS Total Generol Expenslll

36 REPAIRS AND MAINTENANCE - Dirt roads Sueets amp stofm watet WalJr and sewetag~ 1nfrastrudult amp seMees Vehicles Eleclrical infrastructure amp seMc6s PAIks prcIetiS and open ~ Buidings Machinery amp equlpmenl

ndf siIe and Was16 ~1~ port laeIiIIles AUa l(ea

By

ROFIT (LOSS~WS1~Lj~ASSETS Property plan lind equipment

T~ffmiddotfi IL9Sl on OII IJ01a1 of Ants a to ueneral louth Afrie


Restated 2014 2013

bull

306843 2468281

~282 203 2546 240

3202128 1274966 45 1 56~

2016260 2240517

35619597 184 971

10684583 1476 17 1

5367329 9111342 8575183 4720852 2380234

gtIll058 4474754

amp92658 8825867 1592328 3307854 19amp7808 4145741

269070 14529549 4000776 2427276 5425415 1449280 4629041 3479111 4123963 4481565

169421604

47802611 29850471 17952140

4860634 31830242 35372573

6557605 101Kl2844

2376275 1284480 12989 1 2323245

bull

446980 2182800 3054414 3261252 2509319 2419798 3297307 1121850

283637 2009850 1667859

31478190 1315027 1260060 1574379

41433949 ~2304316

152500 5938970 3542025 7526208 1095990 3365007

999 17144331

1530979 3150012 1854897 2561 167 7536986

456666 10663244 3442168 2655510 4957007 1800293 29743et 2453385 4214639 45844 18

196222416

~

49~1 9 4 30

28601209 I 20918221

8454590 26407153 25709897 9~ 1 9252

8374673 1199010 1624309

847333 832534

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAl FINANCIAL STATEMENTS FOR THE YEAR ENDED 30JUNE 2014

38 RECONCILIATION OF NET CASH FLOWS FROM OPERATING ACTMTtES TO $URPLUSI(DEFICIT)

Surplus(deflclt) for tile year

Non -CHh MovlrWInt

(Gain) IIors on sal of ltlSlIel$ Increase irgt provislorl$ relatillg to emptoyee com Depredallon ~1Ion and Impaiflllefll Io$se$ Actuanal (galnV~

Fair vlue adluslmllnl Orgt provl$lOt Dooalioos receive( (assets) Increase In ~rmergtt of reGelvables

Opelatlng rpls before wortlng eapilal changes

(Inaease) decrease In Invent(We$ (Increase) decrease In trMIe recelVlllbles IIICfeaSe)ldecroase Irgt 0Ilter ~Mlbles

( Increase)fdecnase in Val lH1 A(I(Ie(I TaJ klcreaAI (Decrease) in CQtl(Iitional grlIflts anltl receiptS

lflefeaselltIeCfease) in If~ pJIyaQ$

Increaseldecfease) In COOlSlJ(lIef deposils IlICfease(decrease) in oIhllf IlabiliOes

Net cuh flows from operatln9 eellvltles

39 CASH AND CASH EQUIVALENTS

Cash and cash equivalents included In th cuh flow Slatemnt comprise tht following

Bank balances and cash Bank ovedrafts (cash book baiarlCe) Net cash and cash equlnlents (net of bank overdrab) 96112 103 19 553127

40 CORRECnON OF ERROR

TM reported net deficit for tM prflvlous frnanci al yaa r has Deen adj~$ted by thfl following erforamiddot

DlKing the CUlTent reporting period the m~nicip3~ty discovered transactions which rel ated tQ the prflvkgtus financial year relating to the following

Increase in payablesmiddot Trade payables not accrLMld for the 201212013 f lnanelll )ear Increase in accrued incomemiddot Straighlining of operating lease receipts Decrease in inventory - Inventory written ofl during 201212013 finaneial year

R

(139386512)

(1816()84 ) 20529978

217954806 10387843 5504331

(6518760) 48538778

155254320

Re~to1Iteltl R

(119639331)

1000562 33621587

240801725 (637SS 151)

1760284 (1082366) 81 139830

173836091

(425808) (81358448)

2448048 (8540581)

156534834 40375380

2444599 (19686704)

267045539

(666785) (71 682604) 32825130

8957155 34388525 62818476

9655187 (10578228)

237552947

96112103 26109047 (65SO920)

1 1

(90825482)

(11217169) 47786

(25942) Increase In receivables from non- exchange and revenue - Traffic fones noc recogni sed in accordance with GRAP 23 12936849 Increase in repairs and malntannance - Correction of expenditure irlCOrreetly recognised as work In Pfogre$$ (4341752) Decrease in receivables from noo-exchange trargtsactioos -Impllirment of trilffic fine receivables (10602425) Decrease In receivables from noo-exchange tran5actiOfls - Loss Ofl di$pO$at of assets (882472) Decrease in finance income - Reversal of fair adJustmelll5 Ofl consumer deposits (6780045) Decrease in payables - Correctfon incorrect accrual 01 bonuses 76418

Decrease in revenue - Accrual of service charges biUed dIKIng the month 01 00 2013 (8078205)

Increase m loss Ofl sale of assets (433412)

Decrease in depreciation - Reversal of depredation on dosed ~I sites 488469

Net effect on surplus (28813899)

Restated surplus forth period (119639381)

10~ _-3 0

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30JUNE 2014

2014

R 40 CORRECTION OF ERROR (cont)

The opnlng accumulated s~rpl ~ has been adJ ysted for the Io llowillg errors

Net effect 00 surplus

Priorto plfor year adjustments effeltt

Increase ill payablesmiddot Trade paytilles not accrued for the 20112012 finall(lal year tncrease ill receivables from non exchange and revemle bull Traffic fIn es not recognied In accordance with GMP 23 Decrease in receivables from oonmiddotexchange Ir~ nsactionsmiddot Imp~irment of traffIC fine receivebles Decrease in receivables - Cancellation of housing stands sales agrement

Decrease In property piant and equipment- Sale of assets conchoded in prior to priOr fonancial years Decrease in property plant and equipment - Reversal of provision incorrectly capitalised on closeo landf~1 sites Decrease in investment propertymiddot Sale of assets conduded dyrlng 2002 ~ nd 2003 flna ncJal years Decrease in other receivablesmiddot Refer to Drawer cheques written off Increase in accrued income - Straightlining of operating lease receipls Increase in revenue - Accrual of service charges billed duo1ng the month of J~ne 2012 and pnor years Decrease in receivablesmiddot Reversal of Interest incorrectly Ievleo

Net effect on the opening balance of the accumulated surplus

Restated balance

Assets Liabilities Net effect on Statement of RnancJal Position

41 CHANGE IN ACCOUNTING ESTIMATE

Ru tated 201 3

R

46S0182~

(28813899)

24 338183

(2678572) 40 134634

(40 t 34633) (2~ 1 45J)

(69501) (52196851)

(259a156) (100025) 183841

34404273 42S73S

(24338183)

27016755 2678572

24338183

Troe provision for the rehabilitation of tlndr~ 1 sites was revlsld al )ear end and a change ill the eslimakld cashlows reqllif~ 10 setile lhe obhQalion was subse~nUy rea~sed

There was no effect on the current yea ~s depreciation anod intereampt cost few lting from the challlJe in tlle accounting estimr te as the eview wn conducled al financial year end The change was added to the cost 01 he re taed asset in thoe current reporting period The overall effect of the utu~ perIOds Is a cumulative increase deprec iation cost 01 R 17 millon (Wer lhe remaining llseflll lltle 01 the elaled asset The efle(t 01 the change lor the next reoortinCl oeried wil l arnovnl kl R 11 million irocrease In decreclatlon and RII Ihollsands irlcrease in fiMIlCI costs

42 UNAUTHORISED IRREGULAR FRUITLESS AND WASTEFUL EXPENDITURE DISAUOWED

421 Unauthorised expeflditure

Opening balance Unauthorised expend[tu~ CUllfllt year CondoIed or wrlttetI aff by Coooril UnauthoJsed expend tllM awa~ing authoJisalionf ccndonment

70 74 4 81 6190876 883611

Audited By

2014 -1 1- 3 0

Auditor Gene ral South Afr ic~ Mpumalanga Business Un it

50

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANN UAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

2lt) RHtated

2013

42 UNAUTHORISED IRREGULAR FRUITLESS AND WASTiFUL EXPENDITURE DISALLOWED (contj R R

422 Fruitless and wasteful ellpendtture

ReconcWation of Frutless and wasteful expenditure

Opening balance Fruitless and wasteful expenditure current year Condoned or written off by Cound Transfertorece abl f es or recovery Unauthorised expenditure awaiting condonment

13339745 14486283

27826028

7873134 5466612

131~P45

Incident

IntereSt chclrged by suppl~rs for late payments made after 30 OIlY on reltA lpi 01 invoices

Amount

14lt1186283

Tot1 frultt ess nd wuteful expenditure for the Cllrrent yeal

423 Irregul upandlture

Reconciliallon of Irregular Expendllure

Opening balance IIfegOAar ~tUl1 eorrent year Condoned or mtten off by Could Transltr 10 receivables lor recovery ArT10Ilnt reeoYered Unauthorised elliXlId ltUII awaiting condonement

14[446283

77726913 43 196325 6626666 3453O5S7

863535118 777281113

Inc ldunt

Supply Chain Milnagflment processes not followed on the appointment of servgtCfI proviclefs to provide secUllty services 10 COUrleY

Awards made to suppliers prohbited by NalioNl l Trellwry

Supply Chain Managemenl processes nol fdkmed 10 the lalef 011 the 3ppointtntnt of H rY1Ce providers lor cater 01 clltt o6s and services

Contraas 3Warded 10 (ilion tempollll) expaOOed public works plogramme (EPWP) ~

Amount

7175177

055

524456

221997

Total Irregular upendi1u fo the current year

424 MliteriaJ Lou

42011 EIctrlclly 10

Electricity Purchasampd (KW) ElectricMy Sold (KW)

Electricity losses in KW loss Unit cost Pftr KW

Electricity losses In Rand alut

8626688

627149351 640412055 577111 3(14 570624889

5lt1038(147 69587168 amp0 109

R 069 R 051

34526252 39664amp85

The loCal electricity tosses cotnpIists 01 both technical ~nd 0l(WI- leehnical esse$ Tecltlical los$ts arft 3S a rew lt of various reasons i~ he ageinO 01 he nelwolk etectncal resistivity and incotfed meter calibt3hon Non-4fIdInlcallosses Ife mainly as a result of ille9al oonneltiot1S heft incooect meter leading and billings

Audited

S

2019 --~n

Auditor Gener SOllth

MpUnlaHigltgt B~~~~

51

bull bull

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDeD 30JUNE 2014

Restated 2014 2013

42 UNAUTHORISED IRREGULAR FRUITLESS AND WASTEFUL EXPENDITURE DlSAlLOWED (~ont)

4242 Wate IQliu

Watllf putllped and distnbuled (lltl) 3684055 3526 143 Water $Old (KI) 2413362 25363~7

Waier ltIIstTibltlon Io$5eS In KI 1270693 989806 4 Loss 345 281 Avei COSI per KI R 308 R 276

Waler Ios$e$1II Rand va lue 3 91 3734 21318651

bull KW middot KNcwatts

bull KI KI lOliters cubic mfttllls (m)

The 10131 water lOSses comprises of boIh technical and rlOn leeM icalossll$ Teehnical losses indudeshe 6eea)IIng elICtQIIM system as a result 0( inadequalft ~lurbI$hmenl and mainlannace 01 the system Ncf Tedlnleal losses includes leaks l1(lltI revenue WlIler and ~legal COfIneaions 10 the system

Statistia fOf the KtbcIltweni alea has not been included due 10 Ille lack 01 II 24 holws waler supply dlich an-eels the metering sYJMl 110110 registelt - property

43 ADDITIONAL DISCLOSURES IN TERMS OF MUNICIPAL FINANCE MANAGEMENT ACT AND APPLICABLE

REGULATIONS

Seolion 125 of 1M Mulnlelpal Finance Management Act Ng 56 of 2003

Contr ibutions 10 the South Al rlcan Local Government Association (SALG A)

Opening balance 11 8196 91)2821 Counc~ $ub$c~ ptlon$ 4436352 3361 300 Amount paidmiddot current Amount pa id middot prevlOll$ years Balance unpllid (Inc luded In payables)

Audit lees

Opelling balance 30951

Curref yea audillee 4282203 3261252

AIooUlll paid bull turrelll )laquoV (4282203) (78439)

Amoum paid bull prevW5 years (3215784)

Balarlee unpaid Included III payabIH)

VAT

(5908812) 1048342

Tolal Amount claimed from SARS during the yelI r 53210233 44919513

Total Amount received during the year (36359 59) (50414189) (8310 394) ( t46 247B)

Opeoing Balance

Adjustments lifter 30 June (5iOli81 2)VAT (payable) Jrecelvablo 2631 868

VAT Input receivables are shoYm In nole 5 All VAT returns haVtl been subm1Ied by the due d2te

throughout the year

PAYEend UIF

~ 11~ 774 3B51639Openillg balallCll 43660393Ct rent yampar payloI deducioros 61621236

Amount paid bull QIIlelil year (56188136) (44545619) (4114774) (3851639) Amountpadmiddot previou3 yealS 5439100 4114774 Balance unpaid (included ill payables)

ThiC-~I~iJ~M 20~ ~ ~yentich was payab le in July 2014

P s lon and Medical ~ne~n

I 8660120 8018821o ning balance ~y I

l11J53748 101848897 C ent year paifOll dedlJdOO5 and Counci l Contributlorts (101198610) (93188777)

(8660120) 80188211A ~~ ~~lt~rs11- 3 0

9355078 8amp60120 B lallco unpaid ( Included III pa~bl es)

~~~~tft~ Jllrrrcr was payable in July 2014

Mpumalanga Busin ess Un i

52

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL FINANCIAL STATEMINTS FOR THE YEAR ENOEO 30 JUNE 2014

R R

43 ADDITIONAL DISCLOSURES IN TERMS OF MUNICIPAL FINANCe MANAGEMENT ACT AND APPLICABLE REGULATIONS (cont)

Section 124 of the Mulnlclpal Finance Management Act No 56 of 2003 Councillors arrear consumer accoLlnt1l

Less than 90 Days 90 Days and + Total

The fol lowing Counc11lors had arrear consumer accountlJ aa al 30 June 2014

CounciHor A Kumba 6936 CltlvndUor B A Zulu 1598 21409 19811 Coundllo B N MdIoAi 1036 10977 120 12 Councillx H l Thwala 80 9lt30 1140 CJunciIlx t Tlou U96 5760 7 1 ~1

CooJnciIor J ~I 1474 3517 4990 Councillor K E Maziya 27 006 Councillor U J Msibi 36 3069 3434 Councillor U S Magagvla 1358 33755 35 14 Cooncillo N W MolubaSe 5183 6232049 CouncilloJ S N Nyalunoa 31 722 13692 45414

Councillor S R Mabuu 7987 e

Total councillors arrear consumer accounts 41249 tnlib 153138t

The following Councillors made arrangements l or peymtnts or settled tile amounts outstanding alter the reponing per iod

Council lor I M Tleu CounciHor J Sidell Councillor S N Nyalunltl3

Less than 91 Oays lO DaYI Md + The fOllowlnltl Councillors had ar rear conSumor accounts as at 30 June 2013

Cooocjlor A Kumbil 447 11 560 12007 Councillor B A ZUlu 1714 25743 27456 Councilor B N Mdluli 1031 1 42~ 12456 Councilor J A ~IO 23702 24462 Coundllol K E Maziya 3 188 3230 Cooncilof ~ J ~sibi 305 1801 2113 Coundlklf S M21g8gUI3 19982 20953 Councillor S N Nyalunga 35154 1159 36111 3 COtnillor S R Mabuu 537 20028 20565

10181 councilors _ea COf1$OOOC1 aceoun$ 153189 160155

Section 36 of t he Supply Chain Manll9flmenl RltI1Iulatloos

Oevialioos from Supply Chain Management Policy Total ~yfatlanl from Supply Clulln ~~ent

Refer to Appandlx E far detalll a f the Supply Chain Management devLatla~

44 COMMITMENTS

441 CommJtmena In ru peel of capita l expenditure

Approved and contracted tor InfrastnlCture Community

0 The expenditure w ill be nnlnc~d from Accumulated Surplu External loans Government Glants


Restate(l 2014 2013

R R 44 COMMITMENTS (tom)

442 Opflrillllng l UsH

At thtl reporting date the entity has ootstarnllng commllments uncIer operaMg leases which fall (lve as follows

4421 Operalllllllses -lessee

Not lale han 0fIe )ear 692018 136178781 later than one year alld not laiel Illall fiva years 2132738 792984 laef than five years

Toto 2824754

Operating leases oonsisls 01100 lollowing

Operaling lease payments represeflt rentals payable by the munieipalfty for cena ln olliS properties and motor vehlcills Leases are negoUate(l for an a~erage term of five years No eontlngent rent is payable

4422 Operating leases - lessor

Minimum leaH payments due

NoI laler IhatI 0fIe year 12961122 2865593 Latftf than 01$ yeaf and not latef lllan five years 945871 2179945 Laef INn rove years

T

Operating Leases consists of Ihe fOllowing

OperetlrlQ leases revenue consists of rM1lI1 receivable to the municipality for certain properties leased

crtaln oIlhe mUllicipalitys propeny plant and equipment Is leased [0 the water concessionaire The renal amDUlt afte five ~ has not (li$d~ (lUt 10 the five year peltIQdIIll I review

cnain inve5lmenl propet1y ald land IS leaud to various lessees hough $iglfld lease agreemeol The lease peo-iod varies from 01111 to nve years depending on each cicum~alltls cooLaioeltl in he lease agreement No contl)lnl llln fKOgIIisIId as revenue in the fepotlilloQ PIIfIOd

45 RELATED PARTIES

Remuneration 01 management is diSClosed Note 28 to these annual financia l statements

Remuneration of ~Iors and OIher In-lltiod benefils Is disclosed in Note 29 to these annual financial statementS

MOombeIa Economic Development Apency (MEDA) was ItSlabiished by the Municlpal~y as a service utility In lerms 01 Section 86H of the Municipal SyStltlO$ Act No 32 of 2000 IhrOUtllhe ~ of the by-I~w The mlJflielP8l ~y has slgnWtcantlnflueoce over 1M agerlCy The agency Is I dormant sedion 2 1 company_

451 Related party ba lancu

There IS no rll iated party indebtness lor the feportlng plriod

452 Relate(l party transactions

Contr~$ awarded to close family members 01 munieipal oIficlals 193493 765621

Contractgt awarded to OIMI telTpOfaty e~panOed ptlbllc works programme (EPWP) emplo)lees 221997 415490 165621

By

201~ -11 - 3 0



MBOMBELA LOCAL MUNK IPALITY NOTes TO THE ANNUAL f f-lAHCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

RU$II1

13 R R

45 RELATED PARTIES (conI)

4$21 Contracts awtrdeltllo c lose famil y meml)c of municipal official$

Name of a company Name of Officl1lll Relationship Amount

Msudub Trading CC NC CleanIng Setvices GM SihIangv Consltlctioo

l Lubisl JCBrood P J Sihlal1lU

Spouse Spouse

Spoo

108955 54588 29 950

193493

46 fINANCIAL RJSK MANAGEMENT OBJECTiVeS AND POLICIES

The -4unicijlality hn exposvre 10 he fokIv1fIQ lIampkS from use of f nanelallnsfuments -Cred~ r~

- Liquidity Iisllt - Malket r1sk

TIlts note Pfesents information about the Imiddotmlcipa lkya exposure to taCh of the above risks and the MUolidpalitys objectives pohcies and processes for meawrlng and managi rJg Msk Further quantitative dl$Closures are irlcillded throughout the annual finanei1 statements

Cooocil has estatllished iI risk management COrromjttee which Is resporlsible for reveWj11l the effeetiveness 01 the institutfonal risk management systems policy procedlKes and practices

Credit risk

Is the risk of financial loss 10 the Municlpa~ty if a consumer or counterparty to II flnancal lnstrumenl fa~ to melll Its contractual obl igations

Trndll and other receivatlles from exchange transactions - Non-curren receivatlles from exchange transactions - Investments - Non-curren Investments - Other non- curren( financial assets - Cash and cash equivalents

Trade and laquoher receampbies from e)chOOQ tawsacliqoS

The MuoicipaWtys trackl and oUlfIr rfICetvailles eXiXlSJre to cred~ risk Is IflRueoced mainly by the indIIidUlll lbk (hafllctenslics of each consumei Consumer receivables comprise of servtces suppled by the = iPOl I~y $IOch as water $8oOILalion and ales levied The Municipalitys ~e is continoou$y monitored The Munlcipa l~y estabtishes an alowiJlee lor imDlllrrnenl that fctpfesenl$ Its estimale 01 lnarred losses in resl)ed of consumer and WIer rece lllllles No consumer or other receivbles have been ~ as security Certain conwmer and olller receivables lhat were past dUfl have been defaulted on by rotrnterpal1ie$ thus Ie9aI action has bMtI instituted lnSl these traquortles In a1l a ttempt 10 recoYef lhisdebt yentoere debt is recoverable ~ has been wr[tsn oft No condiIion5 or eltrTl$ of the COfISUfnef and otMf rflCelvablfls have been re-(lfljjQliated wim coomelp3rtie$

Inestmenfs Ills ltM Mlmicipalitys practice to Iim~ it credit risk byonly inYesUng In regl$lered banraquo In etmS of the BanIlt$ Act 94 of 1990 GIven me high aedit fillings of Ihese ronancial instlWllons the M1ricipality does not fIlIpect ny eountetparty 10 fall 10 meet its obI~tion

Cash ana cam equivaletts

The Utricipalilytirrits itsaedit rislI by only banki~ Wlm rfl9SlflfeO ftnanclal instilltionS in tem1S of the Banks Act 94 011990 operaung in South A~

2014 2013 R

Maximum exposure to credit risk at reponlog date for each dassof financia l asSflts was

Cash and cash eQUiY3lents NonltUtTent Investments Tmde and other recelvallles from excharoge tralS3ctioos 0ltMt receivables from rlOn-egtdlaroge transactions Non-cJrrent receivables from exchange transactions Culfe(lt pOflion of non-cvrrent receiv~s from exchange transactions Total mulmum exposure to credit risk

I g558127 13696409 84687623 36Si62S2

473009 17729

7 1


Restated 2014 2013

R R 46 FINANCIAL RISK MANA GEMENT OBJECnVES AND POLICIES (cant)

Impatment disdosltce$ forCW() fInwltiaISS9IS carriOO IIf llmortised cosff

All of te Municlpalitfs flOallcial assets haV9 been reviewed fOf lndicatCIfS 0( Im(lllirrne-nt ~In receivab lu and Investments were found to be Impaired and a proyisiol1 0( R261 442 ill (2)13 R 34fj 230 919) has been relaquogtrded accordingly The impaired consumer receivables arft rnosUy due rom consumers defaoA~ng on seltvice costs levied by the Municipality Reter tl) Note 3 lor thft Impillrment re~latioo 01 CQrlS-IJmer nd ol her - Some of the unimpalled consumer receivables lire J)3st d lJamp as at the reponing date The aQe 01 faneial assetS pest de but 1101 impaired fs as

shy201 4 2013

R R

Nol more thaigt 18() days 99 11 5540 88779360 More haI1 18() days but not molte mall 3 years More han 3 years

11 741959 8634896

15507992 7189325

114 2 07 111416677

The balances reflected as unimpaired debtors 3fe

The ageing 01 impaired consumer receivables 81 rtporting date was as follows

Not more than 180 days 58901843 52266761 More than 180 days but 001 more han 3 years 158633299 1013 9958 13 More than 3 years

Gron BIlLances Anowlloc for debt Net Balance Reconcili ation between gross and net balances impai menl

R R R 2014 Trade and other receivables from exchange transactions Trade and other receivables from non-excnange tnlnsactlons

2013 Trade and other receivables from exchange transactiOrls Trade and other receivables from non-exehange transactions

Reconciliation of the al10wanu for Im pai rm ent

Balance at beginning of the yNr 346230919 31526~41 4

Contributions to provision Doootut debts wrttten off against provtslOn Batance at end of year

Mar(et r isk h Ih Iue f IMarket risk fs the rlsJlt tnat ehangas I~ e market prices such as interest rates and eq ~ ity prieM wil l affecllhe Murnclpa 1 s ncome or e va 0 I i holdings 04 fnaneiat nstruments

Inrerem rale risk ~ Munlcip3i1lTy Imi$ $ nefeel rate rI$I( on financiat l iabilities by ensurlrlg thaI re~sonable fixed iole~esl rates are negotiated on long term borTowings aAd ale therefore ~ l inked 10 the mtllltest bank re~se rale The municipa li ty ~as on ly four mterest healing borrowiogs as Indiealad n AppeocIU A

Atlllar end ftnaAelal ~I1Ime1li$ expo$e(l 10 InMrest rate nsI( were IIIS~ -tnveslllnlS Fair V8hJ6 wnsifMty anaJy$I$ (It) IIxeltJ raI n8trurrlenfs 1 aecooot lot any mad rate financial assets alld l iabil ~Mi 8 fall vaIoe throogh SUfplus and defICit therefore a change In

In rest rates 81 lepor1i~ datt Of anec su yearAUO l t eCl

By

2014 -11- 3 0

Aud itor Gene ral Sout h Africa MpUnla langa Business Unit

373371 91 70537405

MBOMBELA LOCAL MUNICIPALITY NOTES TO THE ANNUAL F1NANCIAL STATEMENTS FOR THE YEAR ENDED 30JUNE 2014

Restated 2014 2013

R R 46 FINANCIAL RISK MANAGEMENT OBJe CTi VeS AND POLICIES (cont)

Liquidity risk

liquidity risk Is the risk that the Municipality wi ll not be sble 10 meet Its finaooal obWgations as they fa due The Municlpalilys approach kl manaljlirli liquidity is to enSUrf as far as possible that it win always have suffICient liquidity to meet its l iabltWties when due under both nomJal and stressed conditions without imurring unauthOrisad expenditure The mvnelpaWty mana9fs liqu id ity risk Ihroogh an ongoing review 0( future commitments anlt credit faciliti es Cash flow forecasts are prapared snd edeCiValfl uII~sed boITowing fadWties are monitored The MunicipaWty has not delau l~ on extemalloans payables and lease commitment payments being eitner Ierest or capita l aod no re-fle9Otiation of terms were made m any 01 these instruments

The table below analyses the entitys financiall3bilitles intc relevant maturity groupings baslMi on the remaining p00d atille SllItemIn ct f inancial Position 10 the contractual matunty ltla The amounts ~Iosed In the table we the contractua l undiscountlMi cash ~

At 30 June 2014 Up to 1 year I _ 5 years gt5yelt1

Borrowill)s 168 589 420middot~1 56479204 1

Other rancia l labil~ies JmIl 1 Trade al)(l otler payables 459170278

At30June2013 UPo 1 1tar 1 -5pars gt 5yeaB

Bltlrmwings OtIlef fnancial iabililies Tratle and Olher payabIes

Concentration of credit risk The eoneentnllion 01 the credit rtsk associated with EIotTtrooIilgS

Other r--ancial iabilities Trade and oilier payables

41 CONnNGENT l lABILJnES R

Damage Claims 3126166

Prollus FB 1Mbombeta Local Municipality - A defamation c~im aQast coundl and Cflltain employees with Case number 10377107 has been instituted Council has appointed K T Mokoena as legal representatives The claim against Counc~ amounts to R100 00000 and RIOO 00000 is aglinst an employee of Council The coon date has been set for 7 July 2014 (2013 R 100 000)

R K Phelembe I Minister 0( Police I Mbombala local Municipality (MlM) A claim against council was instituled through High Court SUIlVTlOrlS

received for unlawful arrest and defamation The municipality is contesting Ihe claim based on extemal legal advice through the appolmment 0( K T Mokoena attorneys as legal representative A court date was set for October 2013 and plaintiff passed away (2013 R 2 050 000)

Finishing Touch 544 (Pty) ltd IS Mbombeta local nlcipal~y A damag9 claim against cooncll throogh high Court Combined Summons seNed with ca5e 66425112 of the UB 40 concert to Ihe amovnl 01 R 1 7 16600 Council is contesll~ the case through appolrraquoed legal -presenlllliYes Kruger amp Parlnes Coone1 requestlMi securtty 01 costs 01 which the pl8liff did no comply with tile request (2013 R 1 557

l A claim againsl council hasS Mlalle V$ Mbombela Local Munclpa ~y

been ln$~tuIed through combined summons - Magistrltes Court with a

C3Se fIlWnber 99612013 10 lIle amoool of R 1900000 IOf Icfbal egrMmefif The case is oeiended through appointed legal reprnentativu - NkoSi Attomeys and Associaes 2013 RO

100000

2050000

1557166


47 CONTINGENT LIABILITIES (coni)

ConlrllCl Claims

EnSfimble Trading 546 LTO I ~bombela Local I+yenoicIpaIlly (l4lM) _ A procurement dtspJtI cIa1m through HIgh Court WIIIInO$ emitllating from a forged cession of paymenl agreement which was roI hoooured by council Cooocil Is contesting the ~aim bned on e)rtemal legal advice CouncW was granted leave to appeal 10 defend and an undertaking not to proceed with the SUrTVnary Judgement was made by the applicants legal representatives The case Is cIorrnant (2013 R 2 540 043)

SCtFlN (Ply) L TO I Mbombela locall1unleipall ty (MLM) - A procurement clalm against counc~ due to termination of a service contract between council and Gestetnef which was ceded to SCINFIN Counci l is contes~ng the claim based OIl external 1eg1 advice thrOjh appointed legal representatives- Mwzu Anomeys A court date was set for 6 Augus1 2013 and tI1e CIlse was therefore pos1pOf1elti sine die Negotiations ase underway by both partieS (2013 R 535 358)

Sasil ReadJMbotnbela Local MuroicIpaMty _ A eta againsl council has been iostitulld througl summons lor 0PeflI1iona1 ~ goods supplied amp services rendered to the amount of R I 142 863amp4 The claim is delended tIlrough Siroky NkosilMeln~ies and KhoD Atomey as legal representatives 01 the total amount claimed an amount 01 R314 35760 plus VAT and 155 Inlampfest was settled out of COUf1 as council was no in desputeleaYfl to defend the ba lance amountlnQ to R768 50604 was granted

The entire claim Is currently bel ~ g dlPUted due to Suppl) Charn Management proceS$ not being complied with kI the latter A supplementary affidavrt in this regard ~as been filed by COllncJ l (2013 7f1il 1)()fI

Oepanment of Water AffairS Mbombela Locat MurlicipaMIy - UnWateral1y amended agreement for he ~rovlslon of free raw water for a period of 6 years within the NstkazV KmyamaUine area (20 1 ~ R 11 510 110)

Tota l Contlngenl Llabllitlo

RelUlI1ed 2014 2013

R R

R 1$354017

535358

168506

11510110

191deg8deg1183

Audited By

2014 -11- 3 0




48 CONTINGENT ASSETS

Contract Claims

MOOmbeIa Local MiJJ1clpal1y I au TOIl Smuts and Mathews Phosa Attorneys - Council is claiming lor ~ of wnlrampel lor gv8rtntHS not sustained The claim is plJNiued tllrough Uemal lega f et)lesen tatives appoklted - K T Mokoena (2013 Rl 135 483)

Mbombela local loI uAicilgtali1y I Desert WIo(I PlOP$ftles - CouncM is claiming lor recltJVefy of servi ce contrlbutioo Ild breach 01 service agreem ent The claim Is pursued ttuuugh external legal representatives appoinled - K T Molltoeoa (ro13 R 7 000 (00)

R

813S463

113S4e3

7000000

R 2013

R

Total Contigent Assets 8135463

49 COMPARISON WITH THE APPROVED BUDGET

Actual Amount 011 comparable basis as presented III the Budget and Actual Comparative Statement

n approved bltJdget was prepared on an accrual baSis of accounling ~nQ similar classifICation WIth Jew ex~eptioros Thoe final budget represen1S the last bltJdget approved by Counc~ The approved budget covers th l fseal period from I Jutv 2013 10 3OAJrle 2014

The annual finlln~ial statements and the apprgyed budgoet are preNred on the same bagtl excfl$llior presentauon and Clllaln accoonl~ emlles IYhicI1 are performed al year end This Incilldes he movement of PfOY~s lI(IuaOitl wklation of delilled benef~ plan obIi9ation alld IonsI seltVice llwatds

491 Reconcilliation of accounting surplus (deiic ll) for the period and budgeted operating actual surplus (deficit) amoun~

TOUI Revenue ElckKIr)g Capkal Transfers amp Contriboltlior$) 153767061 4 TOtal Elq)endture 1831 7433S3 SurpiusIDe-fiCill (294077739)

TllInsfefs recogrised 1706433laquo1 Surplus(Deflcit) after caphlll transfen amp contrlbutiOn$ 1123434398)

Actuarial gain Iosj on def1ed beoefit tiabiily (10387843) Fair value adjuSITIellt oo provision for rehabi_tatlOn of landfill sUes (5 564331 )

Surplus (Dellcil) for the Y8llr (sfatement of financial pernxmancej (139386572)

492 E~planation of signifICant variances grealer than 10

Stlltement of Financial Performance

RlVenue

Transfers recognised - Operational

The varla ~ce Is due to the overa underspenOing on projects funded through grants and w bsidiu The ~venue on cond it~ grants is recognised only wnen the conditions of the grants are meL Projects whkl are blJdgeled for under the capital budget whieh do nol meet the assel deflllttion and recogniOon enlerla a~ expe~sed to the operational expenditure and thoe budget Is afso IflImrened

Transfers reC09 ~I ~ed Capital

The varbnce on capital grants Is due to tile overall lInGerspell(llng on capital pl0jectS uocIed grants lind $Ub$ldles The revenue on the capial conditional pran tsl$ f8COIni~ onlyvtien the condltioos aI he grants ~re mel There are numetOU$ eotgtltil)Ulirg faclOrs 10 lhe overall ondetspertdirlll whICh Irlcluded among$ others the unstable cash Ilow siloolioo and other Instilllli0n21 anallOlments chaltenge-s

Debllmptlirrntnt

The vill1arlce is as a result of 1M MIte off of Ilaquoecoverable debts agalnst provisioll lor 1M yeal

Finance charges

TIle va iance i$ IS a result of Interest clls rged tor bulk purchases wtlich were disclosed as trulllt$$ and waSllul axpenQlture

59

MBOMBELA LOCAL MUNICIPALITY NOTES TOTHE ANNUAL FINANCiAl STATpoundMEHTS FOR THE YEAR ENDED 30 JUNE 2014

RUtat~d 2014 2013

49 COMPARISON WITH THE APPRoveD BUDGET (conl) bull bull Statement lt11 Flnanclat P()$tUOfl

Current lIabilitllS

Th~ variance 1$ as a result of the underperformance on the spendjng of capital cond~ional government lrants and trade and ottMr paal)les from excnange trsnsactlOns The budgeted amount for trade and other payablM ilmounled 10 R 186 milion In compaOscn wilII l lM actualmount 01 R459 mmion thus giving II Va rflIlCe of R273 mHIiorI t47) The budge(ed amount for unspent conCItional lrants amQIJfled 10 R I 32 million compared 10 the actual 8mOUl 01 R29S million resulting IfI 8 variilflce amount 01 R163 mlliloo ( 123) The Increase in lrtj8 and other payables Is m3lflly 8S a resu_ 01 austeroty measures not being 11Iy impemened_

Noncrrent liabl1htH

The signJficanl vMance 00 IM noncurrertlllabHtles is maMnly attrlbuteble to the actuarial valuation 00 defoned btlrJ(fit plan liability for post retiroman mlld leal btlrJ(fits and IorIg seflVice awards as required by the standard on employee benefits- Generally Recognised Accounting PracUce (GRAP) 25shyTM Iotal blldgeted amount for he PltlSI-em~enl benefits amounted 10 R78 millfon and thoe aCtuil l alJlOUrll 01 R 130 milliooOf tile defirl8tl gtenet pta n ~Iiy aod R45 million retates to the long seMce awards n per the aGluarial vilmtlon performed ill ye8r elld -Suillng in a V3 i8nee 01 R97 milliclrl

The oa- contributing faClOt is as a esutt of the provsioo for he Ahal)IIalon oIlandfl ~ sHu for wtJlcto the mUlllCipaWty has a present I e~al obIigatlon in erms ofltle Geoefaily Recognised ACWn~iQ Practice (GRAP) 19 The provisioos are reviewed at each reporting date and adjusted 10 reflect the current best esUmaM The amount of R29 million was budgeted for and the actual provision emanating from the revieW process ~mounted to R91 million resukiog in a variance of R62 m~lIon (214)

Cash Flow Statement

Net C8Shfiows from o~rUng activities

The variaoce is mainly dve 10 Increase in pa~ts to suppIieB (u$h outflow) wtJicll is attrlbtJtabe to lack of imPlementation of the austerity meailOfes The implemeNsUOn of the approved lurlillClUlod plan will Buist In mlnimislrg non-priority Spendllll

Not cash flows used In Investinl IIctlvltles

The signifICant variance i$ mainly attributable to tile underspendlll9 of GOIlCIitiOrlal capita l lIovernment granls where the overall budgeted amount to be utiw-secl ln InvestioO activfles was R595 m~liOf1 in COfIl9tvison With the 8Cuat cap~al expertdilure 01 R 220 million indicaMg a vartance of R315 miliorl

Hot cash from flnarwln activities

The variance is mainly as a result of the underperlormance OIl the implemenllltion of capital projects funded througl he I)Orrowiogs which has a direct Impact on the amount recalved due to the draw down arragemenl5 with 1M Development Bank of Soutrem Africa (OaSA)

50 EVEHTS AFTER THE REPORTIHG DATE

Non-actjUStmg events

- COOJfl(iI haS at its meeIina IleIltI 05 June 2014 undel item A(4) esoIved to approve the paymoot iflcent)ve Stli tegy hefeln cuSIOIOOIS Will be allowed 10 make paymeflt argtlemenl S OIl 50 of their oul$Iandlng debt aod the other 50 be written 011 durllllthe month of September 2014 The effecl 00 lhe ImpalrmMt of receivables coukI not btl determined ilt the lime of hI flnalisalton of the annuBt fonaneial statements given the customer tum out ~reQUelifyifll tenns and conditions of the incentive Strategy

Audited By

2014 1130


60

(

MBOMBELA LOCAL MUNICIPALITY SUPPLEMENTARY SCHEDULE TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDeD 30 JUNE 2014

APPENDIX A

30 June 2014No during period

durtng the period

the period off

IINTEREST BEARING BORROWINGS Regltt~ Stock

LOltIn 1160

Annuity Lotlns OBSA R21 600 000 C bilse rale of R20J plus the Maf9ill (1074) OSSA Al2 000 000 15SO OSSA RI 3S 600 000base rateoIRl66p1ustheMargin (1173) DBSA R200 000 OOO 1262

R25 000 OOO 1050

INTEREST BEARING BORROWINGS

3 197612001

201412019 199812016 201412029 2010J2000 20052020

10864 148

177 151508

11 1276 1 531 694shy1497123

19387276

96483)

12082

3074575

48715913

61

t i shyamp i

I

I

shy

l ~

~ - - J~ i

~- ~ HI~fl

- ~ 1 ~ ~~

ssect - al-

iii

- g~~ ijUh s~ ltI

I~~ -middot I

- bull

~H- - ~~ bull

I c

I

~U5U ~HH tH ~

I-bull-

-

bull

I

~

-

i

bull

ibull

fJ

I

l pl l h i 1 ~ IIH Hliil l

o

j bull jl

I

l

f ~ bull bull o

1 homiddot

I

j f

I I 111 Ii bull Ii ml

j r---

H U - ~~ ~ ~ ~ _ 11

bull


SUPPLEMENTARY SCHEDULE TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014

APPENDIX C ACTUAL CAPITAL VERSUS BUDGET (ACQUISITION OF PROPERTY PLANT AND EQUIPMENT)

Under Actual Construction Total Additions Budget Variance Variance

R R R R R

Anandal services 944 728 - 944728 1328040 (383312) -29 Corporate Services 5871 961 - 5871961 12888458 (6854519) -53 Technical Services 65880644 138736048 204616691 547 064216 (156719066) -29 Office of the Municipal Manager 5788 - 5788 5788 - 0 Plann ing performance monitoring and evaluation

4372632 - 4372632 5245492 (872860) -17

Local Economic development human settlement and rural development

123002 8973725 9096727 1546671 4 (6369987) 41

Community Services 7033135 4114316 11147451 6971 008 (1762328) -25

TOTAL 84231890 151824089 236055979 588969716 (172962071) -29

64 (



APPENDIX D SEGMENTAL STATEMENT OF FINANCIAL PERFORMANCE

2013 2013 2013 ACTUAL ACTUAL SURPLUS I ACTUAL ACTUAL SURPLUS I INCOME EXPENDITURE (DEFICIT) INCOME EXPENDITURE (DEFICIT)

R R R R R R

Executive amp Council 684386265 348875272 340930884

1338366 32831383 (31493017) Finance amp Admin 732059202 428018179 304041023

5847447 38661 085 (32813638) Planning amp Development 4877208 34657923 (297807 32217 4064080 (4031863) Health 280300

438928 45051 572 (44622033) Community amp Social Services 466091 46373667 16899199 66320009 (51666468) Public Safety 15423162 76357876 41998418 171 660162 (119786457) Sport amp Recreation 17147719 15249711 4

5803 718 (5803718) Environmental Protection 1013 3202972 65179290 110523304 (45344014) Waste Managemenl 70488825 123056024

190202611 195383006 (5069114) Road Transport 186219239 150304187 16322595 107389304 (91066709) Waste Wale r (Sewerage) 48152847 164414199 (111220290) Wate r

541402451 501868226 47079483 Electricity 1612200634 1792845320 (180644686) Sub-Total

(63766151) 63766151 Actuarial GainJ(loss (10387845) 1760264 (1760284) Fair value adjustments 5564331 (5564331 ) 1000562 (1OOO562~ Gain~loss~ on sale of assets 1816084 1816084

17289998 60315807 51630673 193092200

10387845

1612200634 1730079732 (119639381) Tota l 1708313954 1847700526 (139386572)

65


SUPPLEMENTARY SCI-IEOULE TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2014


SUPPLEMENTARY SCHEDULE TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDEO 30 J UNE 2014

67


SUPPLEMENTARY SCHEDULE TO THE ANNUAL FINANCIAL STATEMENTS FOR TliE YEAR ENDED 30 JUNE 201

68



HROM I

ffi I

I

~ Iv~

I

~ IWISA

1_ Tol1

Emergency I ITOTAL 1 5deg

60500 Hj

~ ~ =I ~ ~

I 3~

~ -

8642

Audited

By

201~ -11- 3 0


Mpomalanga Business Unit --shy


for



Province Mpumalanga




0131 759 2005




Contactaaddfoss NA















INDEX Page

General Information














Audited

By

2014 -11-30


-


INDEX

Abbreviations

FMG MSIG

MIG MWIG

EPWP

AFCON

INEP

OME OWS PTIG

MFMA OBSA



PR WCA

~

SCM MM CFO AG MMC

SALGA

SETA













National Treasury

Provincial Treasury






Value Added Tax



~ay As You Earn




Municipal Manager


Auditor - General




Iudited By

2014 -11- 3 0




General Information


Cllr S P Malhonsi

ClIr J Sidell

Cllr SH Mbuyane

Cllr ZM Soroko

ellr MS Magagula

Cllr e Maseko

ellr PA Mathe

ellr M Mayinga

Cllr JM Mazibane

Cllr BN Mdhluli

Cllr FP Nkala

Cllr BA Zulu

Councillor Ward



Cllr JB Mashaba

Cllr NW Molubalse

Cllr TC Simelane

2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 20

Executive Mayor

Speaker

Chief Whip









Councillor Ward



By

201~ -11- 3 0 i




General information




~





IMr l S DitshegO


Ivacanl


Auditors



Bankers



Ward

20 21 22 2 25 26 27 2 30 32 33 3 35 37 3 36 39 39

Audited

By

201 -11-30



1201


General information

Audited By

201~ -11- 3 0






Physical address

Postal address

Telephone number

Fax number

Website address

libraries

Hazyview

Kabokweni

Malsulu

Nelspruil

Nelsvil1e

Victory Park

W hite River

Enqulr~s


Paypolnts


Civic Centre

1 Nel street

Nelspruit

South Africa

IP OBo45Ne ls

1200

1(013) 759 911 1

1(013)7592002

Iwwwmbombela goyza

013) 737 7220 013)796 1082 013) 778 9864

013) 759 2077

013) 755 4788

013) 759 2089

013) 750 9125

013 7592184 013 7592231

(013 752 2580 1 75 202 I 2064

12025

2014 -11- 3 0









DATE 29 August 2014

Audited

By

201~ -11-30


~



Note



Total assets


~

2014

R

279660608 20570005

38480 1062109 15

18085432 36 01 1806

2631868 9611 2103

5505816660 5151 359288

5471500 334 167526

434358 14383987

5785477268

842239476 16016973 22262338 39 64 1635

4638912

-295055540 459720278

4903799

Restated 2013

R

189656584 20144 197

17729 9 101 3690 20462987 38459854

-19558127

5487244454 5131020659

5693637 336360740

473009 13696409

5676901038

668455781 14259575 19817740 59328339

586191 8 5908813

138520706 419344898

5413792



Net assets 4457643890 4597030462

NET ASSETS I



201~ -11- 3u





R R

Revenue




Total revenue 1706497870 1612145631





139386572 119639381

~

)~

__UlU~



~

2



Note



at 30 June 2014


(25O34232a)

~ shyco - 3 0 - ) co ~ ~ -0 c - r C ~ n

~

--

c

shy-lt -

a

3



2014 2013 Note

R R


Receipts 1797603544 1601419229


Payments 1530558005 1369866282






Audited By



4









449022009 (36400)Employee Costs 4648681n 448985809 459896515 109 10~7 243




461 879133 542 114803 -4)5 514522160 80235 670 520165177 (21949626) Ottoer~res










332813472

2500000

105050000

135555197

441455840

4499813

88798290

7069a359

(635355)

(681~79Gl

(9032435)

440820485

4499813

61983494

61665924

165614338

2126835

25SJe192

37623701

(275205649)

(2372918)

(56445302)

(204222~)

middot624~

-527(4

middot66$5 389)

$7$9269 605452302 (15482$85) 588969716 230903554 (358066153) oUil Budgel 2425538841 23B292A219 240346t7t5 2062651 916 (340609799)

5





~ Tolaloonamenl~ 0 ~_ 5701656207 ~96982 1 6 14 - 5969821614 5505816660 (464004954) 77~r

otaIAmts 1 ~ 6021394818 6276036307 62761)36307 5785477268 (490559039) -782










6







IGRAP

~ 2 Cash Row~


0 Joo (a ceed 0 2010)

IGRAP

IGRAP IGRAP 16

_eae

Ihe

~ed o~ ~ ~~~

~ ed 0 2010)

~ n 2010)

s and Ass IGRAPi


of Cashshy








7

I





common control







pudited

By



8



















By

20~ - - 3 0


9



153 DEPRECIATION








1_54DERECOGNITION




101~ --30



10







163 AMORnSATIQN







Audited By

201~ -11- 3 0



11













174 DERECOGNITION



pudited

S~



12


18 HERITAGE ASSETS














184 DERECOGNITION








13







110 INVENTORIES








14






















15

















16









Audited BV

204 -- 3 0


17


114 REVENUE













lease agreement

bull Sale of goods




been met



asset




l~

l~~ --~ tl ~~nC3




114 REVENUE (cont)






11421 TAXES



bull Property Rates



11422 TRANSFERS








dlOOAa4r~aliggt----



2014 -11- 30


19


114 REVENUE (cont)

bull Fines








bull Other



115 BORROWING COSTS









20~ -11-30



20




















201~ -11- 3 0


21



















22













Audited

By

201~ -11-30



23


124 RELATED PARTIES














Audited

By

201~ -11- 3 0


ctical

24














Audited

By

2014 -1-30


25


2 INVENTORIES














Rtstllted 2014 2013

R R


R R

91130472 13954313 19276615 13239930

7489074 51 98586 44093785 34066355

161990005 66459184 24200170 13520076

18t111901115 799192amp0

104657481 87633397 5O t 77511 49116164

154834992 136749561


82186534 17174151 26626828 20391825 11271140 8811 357 68354451 5608944

188440954 102586277 36863137 31724724

Net balance R

77176J58 6036745 2290488

10027430 95530821 10680094

106210915

17024084 1061 347

18085432

Net balance

65014383 6235003 2459784

12145507 85854677

515901 4 225324891 134311001 91013 6901

122043134 19902431












27


2014

R

70865693 4328433 3372211 1549811 5485202

3466607 742825

1434795 775588

3562885 9293974

19276675

1160992 364130 713352 326078

1573724 3350799 7489074

4617056 2141064 1918237 1691799

11410388 22315241 44093785

3730594 911539

1403061 333276

1477132 16344568 24200170

83840942 8487991 8841656 4676553

23509330 56 833 703

186190 1751

Audited

2014

Audito

Restated 2013

R

35023793 3476236 1958310 1324420 8566371

1832225 763302 800078 927216

3662558 17493462 25478841

1123920 324532 454812 247182

1442207 7678387

11271140

4207506 1822615 1273236 1224282 8646489

51180323 68354451

3056429 562156 229165 264952

3622887 29148148 36883737

45243873 6948940 4715601 3988052

25940513 112161643

~Y273269 5 88~

- 1~ 7 946 bull 33O552

104657 81

198998623

I

19957 37 6697 51 4928 50 4750 17

Ar~ 1 9













-shy gtudited

BV

20~ _-30

I

26

Residential

bull

Residential

32546615 10491363

7689417 7282489

60920887 209006709 317937540

Restated 2014 2013

R

2090801 20 201687237 197469 169 18934 1401

1329103448 289106971 2

bull 1940764 1861317 1796675 1740345

12231 204 11292709

5017751 I

19364070 7897109 6890199 641 1360


bull 3811 5501 114fl621 2883378

924349


30883124 4093020 2659602 2094597

12727523 47930479

10deg3881544

346230919

37337191

(166839289)

90663074

R

Government

3712736 923486

1092047 1101629 398a669 2652614

1348179

3152654 14

70537405

39591900) 216728 821 346230919

1




















2014

bull 32532 811

1598342 98 1441

1390 22681 044

5490530 179934

1600123

53071483 14892487 2546329

65411641

50137059 11 201 587

61938646

3478995

36011806

2631868

9528527 1 767947

58885

Restated 2013

bull 36125430 26169545

414123

390

5496931 2691538 1351903

401 34634 16125850 3189001

SJ071483

40 134634shy10602425

SO737059

2334424

38459854

15908813)

15891105 10158257

sl~5

96112103 28109047

96112103 26109047

Audited By

201 -11-30


29


Restated

























i

27 109 26981 27 1091

24133

21 09

2013

R R

4467 4443

4472 4467

557829 557271

558965 557829

27 2681

2709 27268

JO

6
















Reslated 2014 2013

R R

840418S

8183317

50000000

50000000








Audited 1 055 t 141 109

1093


31

6




















20

R R

22816 26535

52106 SO038 54325 52106

52106 50008 54325 52106

101158 257 270801 767947 IOJ58257

10158255 270601

7671945 10158255 -

6













Restated 2014 2013

R R

1101 4737 537777 l1m437

24376706

24376706

Audited

By

2014 -11-30


33

J

i

i r

fmiddot I j

1

I bull


1 I

t i I I j

I I

bullI n

qI IIi I

Ii bull I

I bull I i t - t I

ibull ltf


south Africa


8

9


INTANGIBLE ASSETS









R R

1103069 4590568 5770933 4590568

4667864

Total R

5693637 10361501 4667864

(222137) (222137)


R R R








Oisposal

2014 R

336360740 348213238

11852498)

(2260143) 66930

Restated 2013

R

338711930 350977357 (2764119)

165963 (9667271)

(2351190)



ZU1~ -lI-JU


35


Restated 2014 2013




11 INVESTMENTS



12 BORROWINGS










922239 9071939




1998 21600000 1999 2016 22000000

2016 138600000

2030 200000000 2005 25000000

3770983 4495535 (3298144) (4004797)

jgS4S0) (17729) 4358 473009

14383961 13696409

14333987 13696409

3000

225068623 189 4278241


1050 ==~~~ 59624082O~~~5~3t 1

36

39641635 -9328339

24119371 1IIO~ 90$914

5-46926 1323414 1016481

26598420 22593973 10609534 10145674

-

bull bull


Restated 2014 2013

15 PROVISIONS











579 577

802 6 77~

225 100

81136147

1760264 5118018




t484449




4316065 4 1177177








~

9619036



TraOe paJ8bIf~


Accnted staff -ave











bull 151332653 134083127 28261065 27965892 29399654 9399432

49245885 4467962

19773593 5785016

459720218

2820523 (372 402) 1448121

7457202 10670766

7725980 (225788Z)

bull 1904$6 15

739397$3 30596372 27345051 27876954 8925338

340~ 2 loa

5809609 15754429 4598640

419344898

54 5727 (2595204) 2 8205231

1I68i92 133~ 1495

(6493a870) (2173001)






30 June 2014


l1bi~ty 1Q~ _-3 Q


868 pa 967 pa

65

Oecrease

bull (2153715)

(24950535) ~988963

3033464

(17761 39) (19639009)

2 427061 25596212

763 pa 927 pa

65

Increase

bull 2988640

lJ046849 (21 20778)

(24S40~76)

2443972 25185191 (1139777)

(19215665)


Re$tated 21l1


21110 200


7590080


Nof-(oooot portion



20 PROPERTY RATES

39





21112















R

2013

109367629 1093676211

2011

127571000

1514 127 11685912 1332 149$

(64938870) (217366)

109367629

107086568 2281061

1119 367 629 1 1

30626220 3472979 2543142 1172119

7_73 P II 700p1I

Im rell5e

(239906) (1936735)

(2t2165) (1518102)

34457349 3132731


2014 Restated

2013

R R


110128338 143197678

11249227 21806971

4226191 290608404

2906ot1404

109775382 130344585

10111027 19944561 4086403

274261958

274261958

Valuations


22 I73440593 10456526633

945971015 2263343200 5981003584 2386089987

44207275012

22059245547 10420552629

945971015 2258262523 6025763579 2536334990

44246170283



21 SERVICE CHARGES


6OO816891 65065595 27481996 15874061

709238543

536398751 59029266 24666699 15134173

635228839

22 FINANCE INCOME


22596148 3714173

169780 15027

26495129

14799431 3246046

232763

18278241



101071863 6131527

264617 52758786

4763B88 3014785

69717

106072831 7557013 4055932

43604499 433287

726398 596220 909654

2568159 4321244



BV

UIII _-3~ Ih plrica


MPUl1alanga 4Q







R

342 190000

6 92658 1476 171

129387116

150367 1639323

359287315

529930655

Restated 2013

R

312298000 1000000 104(1992 1560692 3009000

26740454 75361186

280904 2129987

26573762 382170797

550447876


1000000





3009000



16718 1550000

(1476171) 90547

77410 1500000

(1560692) 16718



(0) 890000

(692658) 191341

240992 800000

(1040992) (0)




2169542 4284 537 9 1amp0000 6500000

(6 131527) ( 7557013) (8SS4) ( 1os7982)

43S96l)1 2169542


Audited By

2014 -11-30


41













bull

7660000 (2568159)

(3595lt12)

4732299

123048282 24 t164ooo

(101071863) (12938796) 15961192)


(22439808) 123762000 (52758786)

(33-62252) 8000000 (264617)

(37046)

bull

85076e93 188062000

(10607283 1) (26740454) (1 7277426)

1

(62641514) 98703000

I

1241511

(4055932) (567831)




2186000

(30t4785) (422070)

(2814000) 5000000



689516


2014















2014 -II- 3 0

R

(9096gt4)

10036218 16105

(433287) 9619036

2458020

2954000 (596219)

(2 129987) (83471) 144323

3 1500000 (4321244)

(26573782) (604974)

26982

27110


27270


Restaled 2014 201 3



25 AGENCY FEE



Agency Fee


OTHER REVENUe


77 FINES


R

U32003 227$995 1726683

471463 3361)6lt 74120

11 7410 9993404

1a 592109 1

11 634 1308 (2077340) (3983e82)

(81823786)

2M56300

219441 1306220

433958 30933 717322

2414832 3990841

2007$562 2077340 I ~480

4S42778 1141 063

604311 322653

96718 82351110 45998 18

20715 251Wgt606

3738675

R

241 9 349 221599$ 2419972

547428 341 3$7

94950 sa 99

10008249 182~S$1

96017160 (21lOo97) (378845)

(6570022gtJ

24 834593 1

336 1695052

357009 6 11 818

23S7039 229818 1

898521 21lOo497 1481525 7152461 1969951 ~2~23

296178 770 17

t3 417ltl2tI 6792lt11 9

676857 27019865

2632165 11 32amp386 727 604+43









Restliled 2014 2013

bull 273309594

7IU45044 40499413

2524635 53883183

bull 2503781757

72334086 34933486

2735701 39274564

629297 m 13amp771 9i7653

606038 304180 1862n

12f17MlO

~104 681 057





LEO Human

Senlomenl Urban

and Rural

Development

716576 168000




Corporata ServiceS

7381156 2BO779 187533

Chid FInancial

OffICI

Tolal 1120$1268

LEO Humin


D~ooGIItit ed

lobull06O







87611 9 160000 176430

M32549

Chle FlnancllI

2013

30


Restated 2014 2013




In-kind Benffits









31 FINANCE COSTS


Audited

By

201~ -11- 3 0


bull 848997 683976

6365207 26 15010 9231447 1551300 4605766

bull 700005 559701

5 261 670 1881 97~ 6942596 1 ~ 52 284

4120965

215m267 73256

222137 22laquo1143

238162620

287915 2351190

2179S4a06 240 8G17251

2ii245980

--


32 BULK PURCHASES







Rampstated 2013

R R

422494179 405581 815

2W674O 1500558 564526amp 4160235 1070262 2084J39

954512 2318844 26 1314(1 3230596 8435922 26402854 2619443 148083

1 2~96657 11487034 5745865 3227479

21167900 24600490 3306445 2701387 9971674 2 5581~2

34396391 81 61826 43053491 22277526 19301307 18643985

1314J 72 21)59769 89834387 70178765

U459Jsts 206S44924

2767755 3810084 17500000 17500000 3039291 4281244

399975 282214 23707021 2$873$42


35 GENERAL EXPENSES







By




Restated 2014 2013

bull

306843 2468281

~282 203 2546 240

3202128 1274966 45 1 56~

2016260 2240517

35619597 184 971

10684583 1476 17 1

5367329 9111342 8575183 4720852 2380234

gtIll058 4474754

amp92658 8825867 1592328 3307854 19amp7808 4145741

269070 14529549 4000776 2427276 5425415 1449280 4629041 3479111 4123963 4481565

169421604

47802611 29850471 17952140

4860634 31830242 35372573

6557605 101Kl2844

2376275 1284480 12989 1 2323245

bull

446980 2182800 3054414 3261252 2509319 2419798 3297307 1121850

283637 2009850 1667859

31478190 1315027 1260060 1574379

41433949 ~2304316

152500 5938970 3542025 7526208 1095990 3365007

999 17144331

1530979 3150012 1854897 2561 167 7536986

456666 10663244 3442168 2655510 4957007 1800293 29743et 2453385 4214639 45844 18

196222416

~

49~1 9 4 30

28601209 I 20918221

8454590 26407153 25709897 9~ 1 9252

8374673 1199010 1624309

847333 832534




Non -CHh MovlrWInt
















R

(139386512)

(1816()84 ) 20529978

217954806 10387843 5504331

(6518760) 48538778

155254320

Re~to1Iteltl R

(119639331)

1000562 33621587

240801725 (637SS 151)

1760284 (1082366) 81 139830

173836091

(425808) (81358448)

2448048 (8540581)

156534834 40375380

2444599 (19686704)

267045539

(666785) (71 682604) 32825130

8957155 34388525 62818476

9655187 (10578228)

237552947

96112103 26109047 (65SO920)

1 1

(90825482)

(11217169) 47786







10~ _-3 0


2014








Restated balance



Ru tated 201 3

R

46S0182~

(28813899)

24 338183

(2678572) 40 134634

(40 t 34633) (2~ 1 45J)

(69501) (52196851)

(259a156) (100025) 183841

34404273 42S73S

(24338183)

27016755 2678572

24338183






70 74 4 81 6190876 883611

Audited By

2014 -1 1- 3 0


50


2lt) RHtated

2013





13339745 14486283

27826028

7873134 5466612

131~P45

Incident


Amount

14lt1186283





14[446283

77726913 43 196325 6626666 3453O5S7

863535118 777281113

Inc ldunt





Amount

7175177

055

524456

221997


424 MliteriaJ Lou

42011 EIctrlclly 10




8626688

627149351 640412055 577111 3(14 570624889

5lt1038(147 69587168 amp0 109

R 069 R 051

34526252 39664amp85


Audited

S

2019 --~n


MpUnlaHigltgt B~~~~

51

bull bull


Restated 2014 2013


4242 Wate IQliu









REGULATIONS




Audit lees






VAT

(5908812) 1048342



Opeoing Balance



throughout the year

PAYEend UIF







(8660120) 80188211A ~~ ~~lt~rs11- 3 0




52


R R

















44 COMMITMENTS





Restate(l 2014 2013






Toto 2824754






T





45 RELATED PARTIES









By

201~ -11 - 3 0




RU$II1

13 R R






Spouse Spouse

Spoo

108955 54588 29 950

193493






Credit risk








2014 2013 R



I g558127 13696409 84687623 36Si62S2

473009 17729

7 1


Restated 2014 2013




shy201 4 2013

R R


11 741959 8634896

15507992 7189325

114 2 07 111416677














By

2014 -11- 3 0


373371 91 70537405


Restated 2014 2013


Liquidity risk



















100000

2050000

1557166



ConlrllCl Claims







RelUlI1ed 2014 2013

R R

R 1$354017

535358

168506

11510110

191deg8deg1183

Audited By

2014 -11- 3 0





Contract Claims



R

813S463

113S4e3

7000000

R 2013

R













RlVenue





Debllmptlirrntnt


Finance charges


59


RUtat~d 2014 2013


Current lIabilitllS


Noncrrent liabl1htH



Cash Flow Statement










Audited By

2014 1130


60

(


APPENDIX A


durtng the period

the period off


LOltIn 1160


R25 000 OOO 1050


3 197612001

201412019 199812016 201412029 2010J2000 20052020

10864 148

177 151508

11 1276 1 531 694shy1497123

19387276

96483)

12082

3074575

48715913

61

t i shyamp i

I

I

shy

l ~

~ - - J~ i

~- ~ HI~fl

- ~ 1 ~ ~~

ssect - al-

iii

- g~~ ijUh s~ ltI

I~~ -middot I

- bull

~H- - ~~ bull

I c

I

~U5U ~HH tH ~

I-bull-

-

bull

I

~

-

i

bull

ibull

fJ

I


o

j bull jl

I

l

f ~ bull bull o

1 homiddot

I

j f


j r---

H U - ~~ ~ ~ ~ _ 11

bull





R R R R R


4372632 - 4372632 5245492 (872860) -17


123002 8973725 9096727 1546671 4 (6369987) 41


TOTAL 84231890 151824089 236055979 588969716 (172962071) -29

64 (





R R R R R R









17289998 60315807 51630673 193092200

10387845

1612200634 1730079732 (119639381) Tota l 1708313954 1847700526 (139386572)

65





67



68



HROM I

ffi I

I

~ Iv~

I

~ IWISA

1_ Tol1


60500 Hj

~ ~ =I ~ ~

I 3~

~ -

8642


for



Province Mpumalanga




0131 759 2005




Contactaaddfoss NA















INDEX Page

General Information














Audited

By

2014 -11-30


-


INDEX

Abbreviations

FMG MSIG

MIG MWIG

EPWP

AFCON

INEP

OME OWS PTIG

MFMA OBSA



PR WCA

~

SCM MM CFO AG MMC

SALGA

SETA













National Treasury

Provincial Treasury






Value Added Tax



~ay As You Earn




Municipal Manager


Auditor - General




Iudited By

2014 -11- 3 0




General Information


Cllr S P Malhonsi

ClIr J Sidell

Cllr SH Mbuyane

Cllr ZM Soroko

ellr MS Magagula

Cllr e Maseko

ellr PA Mathe

ellr M Mayinga

Cllr JM Mazibane

Cllr BN Mdhluli

Cllr FP Nkala

Cllr BA Zulu

Councillor Ward



Cllr JB Mashaba

Cllr NW Molubalse

Cllr TC Simelane

2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 20

Executive Mayor

Speaker

Chief Whip









Councillor Ward



By

201~ -11- 3 0 i




General information




~





IMr l S DitshegO


Ivacanl


Auditors



Bankers



Ward

20 21 22 2 25 26 27 2 30 32 33 3 35 37 3 36 39 39

Audited

By

201 -11-30



1201


General information

Audited By

201~ -11- 3 0






Physical address

Postal address

Telephone number

Fax number

Website address

libraries

Hazyview

Kabokweni

Malsulu

Nelspruil

Nelsvil1e

Victory Park

W hite River

Enqulr~s


Paypolnts


Civic Centre

1 Nel street

Nelspruit

South Africa

IP OBo45Ne ls

1200

1(013) 759 911 1

1(013)7592002

Iwwwmbombela goyza

013) 737 7220 013)796 1082 013) 778 9864

013) 759 2077

013) 755 4788

013) 759 2089

013) 750 9125

013 7592184 013 7592231

(013 752 2580 1 75 202 I 2064

12025

2014 -11- 3 0









DATE 29 August 2014

Audited

By

201~ -11-30


~



Note



Total assets


~

2014

R

279660608 20570005

38480 1062109 15

18085432 36 01 1806

2631868 9611 2103

5505816660 5151 359288

5471500 334 167526

434358 14383987

5785477268

842239476 16016973 22262338 39 64 1635

4638912

-295055540 459720278

4903799

Restated 2013

R

189656584 20144 197

17729 9 101 3690 20462987 38459854

-19558127

5487244454 5131020659

5693637 336360740

473009 13696409

5676901038

668455781 14259575 19817740 59328339

586191 8 5908813

138520706 419344898

5413792



Net assets 4457643890 4597030462

NET ASSETS I



201~ -11- 3u





R R

Revenue




Total revenue 1706497870 1612145631





139386572 119639381

~

)~

__UlU~



~

2



Note



at 30 June 2014


(25O34232a)

~ shyco - 3 0 - ) co ~ ~ -0 c - r C ~ n

~

--

c

shy-lt -

a

3



2014 2013 Note

R R


Receipts 1797603544 1601419229


Payments 1530558005 1369866282






Audited By



4









449022009 (36400)Employee Costs 4648681n 448985809 459896515 109 10~7 243




461 879133 542 114803 -4)5 514522160 80235 670 520165177 (21949626) Ottoer~res










332813472

2500000

105050000

135555197

441455840

4499813

88798290

7069a359

(635355)

(681~79Gl

(9032435)

440820485

4499813

61983494

61665924

165614338

2126835

25SJe192

37623701

(275205649)

(2372918)

(56445302)

(204222~)

middot624~

-527(4

middot66$5 389)

$7$9269 605452302 (15482$85) 588969716 230903554 (358066153) oUil Budgel 2425538841 23B292A219 240346t7t5 2062651 916 (340609799)

5





~ Tolaloonamenl~ 0 ~_ 5701656207 ~96982 1 6 14 - 5969821614 5505816660 (464004954) 77~r

otaIAmts 1 ~ 6021394818 6276036307 62761)36307 5785477268 (490559039) -782










6







IGRAP

~ 2 Cash Row~


0 Joo (a ceed 0 2010)

IGRAP

IGRAP IGRAP 16

_eae

Ihe

~ed o~ ~ ~~~

~ ed 0 2010)

~ n 2010)

s and Ass IGRAPi


of Cashshy








7

I





common control







pudited

By



8



















By

20~ - - 3 0


9



153 DEPRECIATION








1_54DERECOGNITION




101~ --30



10







163 AMORnSATIQN







Audited By

201~ -11- 3 0



11













174 DERECOGNITION



pudited

S~



12


18 HERITAGE ASSETS














184 DERECOGNITION








13







110 INVENTORIES








14






















15

















16









Audited BV

204 -- 3 0


17


114 REVENUE













lease agreement

bull Sale of goods




been met



asset




l~

l~~ --~ tl ~~nC3




114 REVENUE (cont)






11421 TAXES



bull Property Rates



11422 TRANSFERS








dlOOAa4r~aliggt----



2014 -11- 30


19


114 REVENUE (cont)

bull Fines








bull Other



115 BORROWING COSTS









20~ -11-30



20




















201~ -11- 3 0


21



















22













Audited

By

201~ -11-30



23


124 RELATED PARTIES














Audited

By

201~ -11- 3 0


ctical

24














Audited

By

2014 -1-30


25


2 INVENTORIES














Rtstllted 2014 2013

R R


R R

91130472 13954313 19276615 13239930

7489074 51 98586 44093785 34066355

161990005 66459184 24200170 13520076

18t111901115 799192amp0

104657481 87633397 5O t 77511 49116164

154834992 136749561


82186534 17174151 26626828 20391825 11271140 8811 357 68354451 5608944

188440954 102586277 36863137 31724724

Net balance R

77176J58 6036745 2290488

10027430 95530821 10680094

106210915

17024084 1061 347

18085432

Net balance

65014383 6235003 2459784

12145507 85854677

515901 4 225324891 134311001 91013 6901

122043134 19902431












27


2014

R

70865693 4328433 3372211 1549811 5485202

3466607 742825

1434795 775588

3562885 9293974

19276675

1160992 364130 713352 326078

1573724 3350799 7489074

4617056 2141064 1918237 1691799

11410388 22315241 44093785

3730594 911539

1403061 333276

1477132 16344568 24200170

83840942 8487991 8841656 4676553

23509330 56 833 703

186190 1751

Audited

2014

Audito

Restated 2013

R

35023793 3476236 1958310 1324420 8566371

1832225 763302 800078 927216

3662558 17493462 25478841

1123920 324532 454812 247182

1442207 7678387

11271140

4207506 1822615 1273236 1224282 8646489

51180323 68354451

3056429 562156 229165 264952

3622887 29148148 36883737

45243873 6948940 4715601 3988052

25940513 112161643

~Y273269 5 88~

- 1~ 7 946 bull 33O552

104657 81

198998623

I

19957 37 6697 51 4928 50 4750 17

Ar~ 1 9













-shy gtudited

BV

20~ _-30

I

26

Residential

bull

Residential

32546615 10491363

7689417 7282489

60920887 209006709 317937540

Restated 2014 2013

R

2090801 20 201687237 197469 169 18934 1401

1329103448 289106971 2

bull 1940764 1861317 1796675 1740345

12231 204 11292709

5017751 I

19364070 7897109 6890199 641 1360


bull 3811 5501 114fl621 2883378

924349


30883124 4093020 2659602 2094597

12727523 47930479

10deg3881544

346230919

37337191

(166839289)

90663074

R

Government

3712736 923486

1092047 1101629 398a669 2652614

1348179

3152654 14

70537405

39591900) 216728 821 346230919

1




















2014

bull 32532 811

1598342 98 1441

1390 22681 044

5490530 179934

1600123

53071483 14892487 2546329

65411641

50137059 11 201 587

61938646

3478995

36011806

2631868

9528527 1 767947

58885

Restated 2013

bull 36125430 26169545

414123

390

5496931 2691538 1351903

401 34634 16125850 3189001

SJ071483

40 134634shy10602425

SO737059

2334424

38459854

15908813)

15891105 10158257

sl~5

96112103 28109047

96112103 26109047

Audited By

201 -11-30


29


Restated

























i

27 109 26981 27 1091

24133

21 09

2013

R R

4467 4443

4472 4467

557829 557271

558965 557829

27 2681

2709 27268

JO

6
















Reslated 2014 2013

R R

840418S

8183317

50000000

50000000








Audited 1 055 t 141 109

1093


31

6




















20

R R

22816 26535

52106 SO038 54325 52106

52106 50008 54325 52106

101158 257 270801 767947 IOJ58257

10158255 270601

7671945 10158255 -

6













Restated 2014 2013

R R

1101 4737 537777 l1m437

24376706

24376706

Audited

By

2014 -11-30


33

J

i

i r

fmiddot I j

1

I bull


1 I

t i I I j

I I

bullI n

qI IIi I

Ii bull I

I bull I i t - t I

ibull ltf


south Africa


8

9


INTANGIBLE ASSETS









R R

1103069 4590568 5770933 4590568

4667864

Total R

5693637 10361501 4667864

(222137) (222137)


R R R








Oisposal

2014 R

336360740 348213238

11852498)

(2260143) 66930

Restated 2013

R

338711930 350977357 (2764119)

165963 (9667271)

(2351190)



ZU1~ -lI-JU


35


Restated 2014 2013




11 INVESTMENTS



12 BORROWINGS










922239 9071939




1998 21600000 1999 2016 22000000

2016 138600000

2030 200000000 2005 25000000

3770983 4495535 (3298144) (4004797)

jgS4S0) (17729) 4358 473009

14383961 13696409

14333987 13696409

3000

225068623 189 4278241


1050 ==~~~ 59624082O~~~5~3t 1

36

39641635 -9328339

24119371 1IIO~ 90$914

5-46926 1323414 1016481

26598420 22593973 10609534 10145674

-

bull bull


Restated 2014 2013

15 PROVISIONS











579 577

802 6 77~

225 100

81136147

1760264 5118018




t484449




4316065 4 1177177








~

9619036



TraOe paJ8bIf~


Accnted staff -ave











bull 151332653 134083127 28261065 27965892 29399654 9399432

49245885 4467962

19773593 5785016

459720218

2820523 (372 402) 1448121

7457202 10670766

7725980 (225788Z)

bull 1904$6 15

739397$3 30596372 27345051 27876954 8925338

340~ 2 loa

5809609 15754429 4598640

419344898

54 5727 (2595204) 2 8205231

1I68i92 133~ 1495

(6493a870) (2173001)






30 June 2014


l1bi~ty 1Q~ _-3 Q


868 pa 967 pa

65

Oecrease

bull (2153715)

(24950535) ~988963

3033464

(17761 39) (19639009)

2 427061 25596212

763 pa 927 pa

65

Increase

bull 2988640

lJ046849 (21 20778)

(24S40~76)

2443972 25185191 (1139777)

(19215665)


Re$tated 21l1


21110 200


7590080


Nof-(oooot portion



20 PROPERTY RATES

39





21112















R

2013

109367629 1093676211

2011

127571000

1514 127 11685912 1332 149$

(64938870) (217366)

109367629

107086568 2281061

1119 367 629 1 1

30626220 3472979 2543142 1172119

7_73 P II 700p1I

Im rell5e

(239906) (1936735)

(2t2165) (1518102)

34457349 3132731


2014 Restated

2013

R R


110128338 143197678

11249227 21806971

4226191 290608404

2906ot1404

109775382 130344585

10111027 19944561 4086403

274261958

274261958

Valuations


22 I73440593 10456526633

945971015 2263343200 5981003584 2386089987

44207275012

22059245547 10420552629

945971015 2258262523 6025763579 2536334990

44246170283



21 SERVICE CHARGES


6OO816891 65065595 27481996 15874061

709238543

536398751 59029266 24666699 15134173

635228839

22 FINANCE INCOME


22596148 3714173

169780 15027

26495129

14799431 3246046

232763

18278241



101071863 6131527

264617 52758786

4763B88 3014785

69717

106072831 7557013 4055932

43604499 433287

726398 596220 909654

2568159 4321244



BV

UIII _-3~ Ih plrica


MPUl1alanga 4Q







R

342 190000

6 92658 1476 171

129387116

150367 1639323

359287315

529930655

Restated 2013

R

312298000 1000000 104(1992 1560692 3009000

26740454 75361186

280904 2129987

26573762 382170797

550447876


1000000





3009000



16718 1550000

(1476171) 90547

77410 1500000

(1560692) 16718



(0) 890000

(692658) 191341

240992 800000

(1040992) (0)




2169542 4284 537 9 1amp0000 6500000

(6 131527) ( 7557013) (8SS4) ( 1os7982)

43S96l)1 2169542


Audited By

2014 -11-30


41













bull

7660000 (2568159)

(3595lt12)

4732299

123048282 24 t164ooo

(101071863) (12938796) 15961192)


(22439808) 123762000 (52758786)

(33-62252) 8000000 (264617)

(37046)

bull

85076e93 188062000

(10607283 1) (26740454) (1 7277426)

1

(62641514) 98703000

I

1241511

(4055932) (567831)




2186000

(30t4785) (422070)

(2814000) 5000000



689516


2014















2014 -II- 3 0

R

(9096gt4)

10036218 16105

(433287) 9619036

2458020

2954000 (596219)

(2 129987) (83471) 144323

3 1500000 (4321244)

(26573782) (604974)

26982

27110


27270


Restaled 2014 201 3



25 AGENCY FEE



Agency Fee


OTHER REVENUe


77 FINES


R

U32003 227$995 1726683

471463 3361)6lt 74120

11 7410 9993404

1a 592109 1

11 634 1308 (2077340) (3983e82)

(81823786)

2M56300

219441 1306220

433958 30933 717322

2414832 3990841

2007$562 2077340 I ~480

4S42778 1141 063

604311 322653

96718 82351110 45998 18

20715 251Wgt606

3738675

R

241 9 349 221599$ 2419972

547428 341 3$7

94950 sa 99

10008249 182~S$1

96017160 (21lOo97) (378845)

(6570022gtJ

24 834593 1

336 1695052

357009 6 11 818

23S7039 229818 1

898521 21lOo497 1481525 7152461 1969951 ~2~23

296178 770 17

t3 417ltl2tI 6792lt11 9

676857 27019865

2632165 11 32amp386 727 604+43









Restliled 2014 2013

bull 273309594

7IU45044 40499413

2524635 53883183

bull 2503781757

72334086 34933486

2735701 39274564

629297 m 13amp771 9i7653

606038 304180 1862n

12f17MlO

~104 681 057





LEO Human

Senlomenl Urban

and Rural

Development

716576 168000




Corporata ServiceS

7381156 2BO779 187533

Chid FInancial

OffICI

Tolal 1120$1268

LEO Humin


D~ooGIItit ed

lobull06O







87611 9 160000 176430

M32549

Chle FlnancllI

2013

30


Restated 2014 2013




In-kind Benffits









31 FINANCE COSTS


Audited

By

201~ -11- 3 0


bull 848997 683976

6365207 26 15010 9231447 1551300 4605766

bull 700005 559701

5 261 670 1881 97~ 6942596 1 ~ 52 284

4120965

215m267 73256

222137 22laquo1143

238162620

287915 2351190

2179S4a06 240 8G17251

2ii245980

--


32 BULK PURCHASES







Rampstated 2013

R R

422494179 405581 815

2W674O 1500558 564526amp 4160235 1070262 2084J39

954512 2318844 26 1314(1 3230596 8435922 26402854 2619443 148083

1 2~96657 11487034 5745865 3227479

21167900 24600490 3306445 2701387 9971674 2 5581~2

34396391 81 61826 43053491 22277526 19301307 18643985

1314J 72 21)59769 89834387 70178765

U459Jsts 206S44924

2767755 3810084 17500000 17500000 3039291 4281244

399975 282214 23707021 2$873$42


35 GENERAL EXPENSES







By




Restated 2014 2013

bull

306843 2468281

~282 203 2546 240

3202128 1274966 45 1 56~

2016260 2240517

35619597 184 971

10684583 1476 17 1

5367329 9111342 8575183 4720852 2380234

gtIll058 4474754

amp92658 8825867 1592328 3307854 19amp7808 4145741

269070 14529549 4000776 2427276 5425415 1449280 4629041 3479111 4123963 4481565

169421604

47802611 29850471 17952140

4860634 31830242 35372573

6557605 101Kl2844

2376275 1284480 12989 1 2323245

bull

446980 2182800 3054414 3261252 2509319 2419798 3297307 1121850

283637 2009850 1667859

31478190 1315027 1260060 1574379

41433949 ~2304316

152500 5938970 3542025 7526208 1095990 3365007

999 17144331

1530979 3150012 1854897 2561 167 7536986

456666 10663244 3442168 2655510 4957007 1800293 29743et 2453385 4214639 45844 18

196222416

~

49~1 9 4 30

28601209 I 20918221

8454590 26407153 25709897 9~ 1 9252

8374673 1199010 1624309

847333 832534




Non -CHh MovlrWInt
















R

(139386512)

(1816()84 ) 20529978

217954806 10387843 5504331

(6518760) 48538778

155254320

Re~to1Iteltl R

(119639331)

1000562 33621587

240801725 (637SS 151)

1760284 (1082366) 81 139830

173836091

(425808) (81358448)

2448048 (8540581)

156534834 40375380

2444599 (19686704)

267045539

(666785) (71 682604) 32825130

8957155 34388525 62818476

9655187 (10578228)

237552947

96112103 26109047 (65SO920)

1 1

(90825482)

(11217169) 47786







10~ _-3 0


2014








Restated balance



Ru tated 201 3

R

46S0182~

(28813899)

24 338183

(2678572) 40 134634

(40 t 34633) (2~ 1 45J)

(69501) (52196851)

(259a156) (100025) 183841

34404273 42S73S

(24338183)

27016755 2678572

24338183






70 74 4 81 6190876 883611

Audited By

2014 -1 1- 3 0


50


2lt) RHtated

2013





13339745 14486283

27826028

7873134 5466612

131~P45

Incident


Amount

14lt1186283





14[446283

77726913 43 196325 6626666 3453O5S7

863535118 777281113

Inc ldunt





Amount

7175177

055

524456

221997


424 MliteriaJ Lou

42011 EIctrlclly 10




8626688

627149351 640412055 577111 3(14 570624889

5lt1038(147 69587168 amp0 109

R 069 R 051

34526252 39664amp85


Audited

S

2019 --~n


MpUnlaHigltgt B~~~~

51

bull bull


Restated 2014 2013


4242 Wate IQliu









REGULATIONS




Audit lees






VAT

(5908812) 1048342



Opeoing Balance



throughout the year

PAYEend UIF







(8660120) 80188211A ~~ ~~lt~rs11- 3 0




52


R R

















44 COMMITMENTS





Restate(l 2014 2013






Toto 2824754






T





45 RELATED PARTIES









By

201~ -11 - 3 0




RU$II1

13 R R






Spouse Spouse

Spoo

108955 54588 29 950

193493






Credit risk








2014 2013 R



I g558127 13696409 84687623 36Si62S2

473009 17729

7 1


Restated 2014 2013




shy201 4 2013

R R


11 741959 8634896

15507992 7189325

114 2 07 111416677














By

2014 -11- 3 0


373371 91 70537405


Restated 2014 2013


Liquidity risk



















100000

2050000

1557166



ConlrllCl Claims







RelUlI1ed 2014 2013

R R

R 1$354017

535358

168506

11510110

191deg8deg1183

Audited By

2014 -11- 3 0





Contract Claims



R

813S463

113S4e3

7000000

R 2013

R













RlVenue





Debllmptlirrntnt


Finance charges


59


RUtat~d 2014 2013


Current lIabilitllS


Noncrrent liabl1htH



Cash Flow Statement










Audited By

2014 1130


60

(


APPENDIX A


durtng the period

the period off


LOltIn 1160


R25 000 OOO 1050


3 197612001

201412019 199812016 201412029 2010J2000 20052020

10864 148

177 151508

11 1276 1 531 694shy1497123

19387276

96483)

12082

3074575

48715913

61

t i shyamp i

I

I

shy

l ~

~ - - J~ i

~- ~ HI~fl

- ~ 1 ~ ~~

ssect - al-

iii

- g~~ ijUh s~ ltI

I~~ -middot I

- bull

~H- - ~~ bull

I c

I

~U5U ~HH tH ~

I-bull-

-

bull

I

~

-

i

bull

ibull

fJ

I


o

j bull jl

I

l

f ~ bull bull o

1 homiddot

I

j f


j r---

H U - ~~ ~ ~ ~ _ 11

bull





R R R R R


4372632 - 4372632 5245492 (872860) -17


123002 8973725 9096727 1546671 4 (6369987) 41


TOTAL 84231890 151824089 236055979 588969716 (172962071) -29

64 (





R R R R R R









17289998 60315807 51630673 193092200

10387845

1612200634 1730079732 (119639381) Tota l 1708313954 1847700526 (139386572)

65





67



68



HROM I

ffi I

I

~ Iv~

I

~ IWISA

1_ Tol1


60500 Hj

~ ~ =I ~ ~

I 3~

~ -

8642


INDEX Page

General Information














Audited

By

2014 -11-30


-


INDEX

Abbreviations

FMG MSIG

MIG MWIG

EPWP

AFCON

INEP

OME OWS PTIG

MFMA OBSA



PR WCA

~

SCM MM CFO AG MMC

SALGA

SETA













National Treasury

Provincial Treasury






Value Added Tax



~ay As You Earn




Municipal Manager


Auditor - General




Iudited By

2014 -11- 3 0




General Information


Cllr S P Malhonsi

ClIr J Sidell

Cllr SH Mbuyane

Cllr ZM Soroko

ellr MS Magagula

Cllr e Maseko

ellr PA Mathe

ellr M Mayinga

Cllr JM Mazibane

Cllr BN Mdhluli

Cllr FP Nkala

Cllr BA Zulu

Councillor Ward



Cllr JB Mashaba

Cllr NW Molubalse

Cllr TC Simelane

2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 20

Executive Mayor

Speaker

Chief Whip









Councillor Ward



By

201~ -11- 3 0 i




General information




~





IMr l S DitshegO


Ivacanl


Auditors



Bankers



Ward

20 21 22 2 25 26 27 2 30 32 33 3 35 37 3 36 39 39

Audited

By

201 -11-30



1201


General information

Audited By

201~ -11- 3 0






Physical address

Postal address

Telephone number

Fax number

Website address

libraries

Hazyview

Kabokweni

Malsulu

Nelspruil

Nelsvil1e

Victory Park

W hite River

Enqulr~s


Paypolnts


Civic Centre

1 Nel street

Nelspruit

South Africa

IP OBo45Ne ls

1200

1(013) 759 911 1

1(013)7592002

Iwwwmbombela goyza

013) 737 7220 013)796 1082 013) 778 9864

013) 759 2077

013) 755 4788

013) 759 2089

013) 750 9125

013 7592184 013 7592231

(013 752 2580 1 75 202 I 2064

12025

2014 -11- 3 0









DATE 29 August 2014

Audited

By

201~ -11-30


~



Note



Total assets


~

2014

R

279660608 20570005

38480 1062109 15

18085432 36 01 1806

2631868 9611 2103

5505816660 5151 359288

5471500 334 167526

434358 14383987

5785477268

842239476 16016973 22262338 39 64 1635

4638912

-295055540 459720278

4903799

Restated 2013

R

189656584 20144 197

17729 9 101 3690 20462987 38459854

-19558127

5487244454 5131020659

5693637 336360740

473009 13696409

5676901038

668455781 14259575 19817740 59328339

586191 8 5908813

138520706 419344898

5413792



Net assets 4457643890 4597030462

NET ASSETS I



201~ -11- 3u





R R

Revenue




Total revenue 1706497870 1612145631





139386572 119639381

~

)~

__UlU~



~

2



Note



at 30 June 2014


(25O34232a)

~ shyco - 3 0 - ) co ~ ~ -0 c - r C ~ n

~

--

c

shy-lt -

a

3



2014 2013 Note

R R


Receipts 1797603544 1601419229


Payments 1530558005 1369866282






Audited By



4









449022009 (36400)Employee Costs 4648681n 448985809 459896515 109 10~7 243




461 879133 542 114803 -4)5 514522160 80235 670 520165177 (21949626) Ottoer~res










332813472

2500000

105050000

135555197

441455840

4499813

88798290

7069a359

(635355)

(681~79Gl

(9032435)

440820485

4499813

61983494

61665924

165614338

2126835

25SJe192

37623701

(275205649)

(2372918)

(56445302)

(204222~)

middot624~

-527(4

middot66$5 389)

$7$9269 605452302 (15482$85) 588969716 230903554 (358066153) oUil Budgel 2425538841 23B292A219 240346t7t5 2062651 916 (340609799)

5





~ Tolaloonamenl~ 0 ~_ 5701656207 ~96982 1 6 14 - 5969821614 5505816660 (464004954) 77~r

otaIAmts 1 ~ 6021394818 6276036307 62761)36307 5785477268 (490559039) -782










6







IGRAP

~ 2 Cash Row~


0 Joo (a ceed 0 2010)

IGRAP

IGRAP IGRAP 16

_eae

Ihe

~ed o~ ~ ~~~

~ ed 0 2010)

~ n 2010)

s and Ass IGRAPi


of Cashshy








7

I





common control







pudited

By



8



















By

20~ - - 3 0


9



153 DEPRECIATION








1_54DERECOGNITION




101~ --30



10







163 AMORnSATIQN







Audited By

201~ -11- 3 0



11













174 DERECOGNITION



pudited

S~



12


18 HERITAGE ASSETS














184 DERECOGNITION








13







110 INVENTORIES








14






















15

















16









Audited BV

204 -- 3 0


17


114 REVENUE













lease agreement

bull Sale of goods




been met



asset




l~

l~~ --~ tl ~~nC3




114 REVENUE (cont)






11421 TAXES



bull Property Rates



11422 TRANSFERS








dlOOAa4r~aliggt----



2014 -11- 30


19


114 REVENUE (cont)

bull Fines








bull Other



115 BORROWING COSTS









20~ -11-30



20




















201~ -11- 3 0


21



















22













Audited

By

201~ -11-30



23


124 RELATED PARTIES














Audited

By

201~ -11- 3 0


ctical

24














Audited

By

2014 -1-30


25


2 INVENTORIES














Rtstllted 2014 2013

R R


R R

91130472 13954313 19276615 13239930

7489074 51 98586 44093785 34066355

161990005 66459184 24200170 13520076

18t111901115 799192amp0

104657481 87633397 5O t 77511 49116164

154834992 136749561


82186534 17174151 26626828 20391825 11271140 8811 357 68354451 5608944

188440954 102586277 36863137 31724724

Net balance R

77176J58 6036745 2290488

10027430 95530821 10680094

106210915

17024084 1061 347

18085432

Net balance

65014383 6235003 2459784

12145507 85854677

515901 4 225324891 134311001 91013 6901

122043134 19902431












27


2014

R

70865693 4328433 3372211 1549811 5485202

3466607 742825

1434795 775588

3562885 9293974

19276675

1160992 364130 713352 326078

1573724 3350799 7489074

4617056 2141064 1918237 1691799

11410388 22315241 44093785

3730594 911539

1403061 333276

1477132 16344568 24200170

83840942 8487991 8841656 4676553

23509330 56 833 703

186190 1751

Audited

2014

Audito

Restated 2013

R

35023793 3476236 1958310 1324420 8566371

1832225 763302 800078 927216

3662558 17493462 25478841

1123920 324532 454812 247182

1442207 7678387

11271140

4207506 1822615 1273236 1224282 8646489

51180323 68354451

3056429 562156 229165 264952

3622887 29148148 36883737

45243873 6948940 4715601 3988052

25940513 112161643

~Y273269 5 88~

- 1~ 7 946 bull 33O552

104657 81

198998623

I

19957 37 6697 51 4928 50 4750 17

Ar~ 1 9













-shy gtudited

BV

20~ _-30

I

26

Residential

bull

Residential

32546615 10491363

7689417 7282489

60920887 209006709 317937540

Restated 2014 2013

R

2090801 20 201687237 197469 169 18934 1401

1329103448 289106971 2

bull 1940764 1861317 1796675 1740345

12231 204 11292709

5017751 I

19364070 7897109 6890199 641 1360


bull 3811 5501 114fl621 2883378

924349


30883124 4093020 2659602 2094597

12727523 47930479

10deg3881544

346230919

37337191

(166839289)

90663074

R

Government

3712736 923486

1092047 1101629 398a669 2652614

1348179

3152654 14

70537405

39591900) 216728 821 346230919

1




















2014

bull 32532 811

1598342 98 1441

1390 22681 044

5490530 179934

1600123

53071483 14892487 2546329

65411641

50137059 11 201 587

61938646

3478995

36011806

2631868

9528527 1 767947

58885

Restated 2013

bull 36125430 26169545

414123

390

5496931 2691538 1351903

401 34634 16125850 3189001

SJ071483

40 134634shy10602425

SO737059

2334424

38459854

15908813)

15891105 10158257

sl~5

96112103 28109047

96112103 26109047

Audited By

201 -11-30


29


Restated

























i

27 109 26981 27 1091

24133

21 09

2013

R R

4467 4443

4472 4467

557829 557271

558965 557829

27 2681

2709 27268

JO

6
















Reslated 2014 2013

R R

840418S

8183317

50000000

50000000








Audited 1 055 t 141 109

1093


31

6




















20

R R

22816 26535

52106 SO038 54325 52106

52106 50008 54325 52106

101158 257 270801 767947 IOJ58257

10158255 270601

7671945 10158255 -

6













Restated 2014 2013

R R

1101 4737 537777 l1m437

24376706

24376706

Audited

By

2014 -11-30


33

J

i

i r

fmiddot I j

1

I bull


1 I

t i I I j

I I

bullI n

qI IIi I

Ii bull I

I bull I i t - t I

ibull ltf


south Africa


8

9


INTANGIBLE ASSETS









R R

1103069 4590568 5770933 4590568

4667864

Total R

5693637 10361501 4667864

(222137) (222137)


R R R








Oisposal

2014 R

336360740 348213238

11852498)

(2260143) 66930

Restated 2013

R

338711930 350977357 (2764119)

165963 (9667271)

(2351190)



ZU1~ -lI-JU


35


Restated 2014 2013




11 INVESTMENTS



12 BORROWINGS










922239 9071939




1998 21600000 1999 2016 22000000

2016 138600000

2030 200000000 2005 25000000

3770983 4495535 (3298144) (4004797)

jgS4S0) (17729) 4358 473009

14383961 13696409

14333987 13696409

3000

225068623 189 4278241


1050 ==~~~ 59624082O~~~5~3t 1

36

39641635 -9328339

24119371 1IIO~ 90$914

5-46926 1323414 1016481

26598420 22593973 10609534 10145674

-

bull bull


Restated 2014 2013

15 PROVISIONS











579 577

802 6 77~

225 100

81136147

1760264 5118018




t484449




4316065 4 1177177








~

9619036



TraOe paJ8bIf~


Accnted staff -ave











bull 151332653 134083127 28261065 27965892 29399654 9399432

49245885 4467962

19773593 5785016

459720218

2820523 (372 402) 1448121

7457202 10670766

7725980 (225788Z)

bull 1904$6 15

739397$3 30596372 27345051 27876954 8925338

340~ 2 loa

5809609 15754429 4598640

419344898

54 5727 (2595204) 2 8205231

1I68i92 133~ 1495

(6493a870) (2173001)






30 June 2014


l1bi~ty 1Q~ _-3 Q


868 pa 967 pa

65

Oecrease

bull (2153715)

(24950535) ~988963

3033464

(17761 39) (19639009)

2 427061 25596212

763 pa 927 pa

65

Increase

bull 2988640

lJ046849 (21 20778)

(24S40~76)

2443972 25185191 (1139777)

(19215665)


Re$tated 21l1


21110 200


7590080


Nof-(oooot portion



20 PROPERTY RATES

39





21112















R

2013

109367629 1093676211

2011

127571000

1514 127 11685912 1332 149$

(64938870) (217366)

109367629

107086568 2281061

1119 367 629 1 1

30626220 3472979 2543142 1172119

7_73 P II 700p1I

Im rell5e

(239906) (1936735)

(2t2165) (1518102)

34457349 3132731


2014 Restated

2013

R R


110128338 143197678

11249227 21806971

4226191 290608404

2906ot1404

109775382 130344585

10111027 19944561 4086403

274261958

274261958

Valuations


22 I73440593 10456526633

945971015 2263343200 5981003584 2386089987

44207275012

22059245547 10420552629

945971015 2258262523 6025763579 2536334990

44246170283



21 SERVICE CHARGES


6OO816891 65065595 27481996 15874061

709238543

536398751 59029266 24666699 15134173

635228839

22 FINANCE INCOME


22596148 3714173

169780 15027

26495129

14799431 3246046

232763

18278241



101071863 6131527

264617 52758786

4763B88 3014785

69717

106072831 7557013 4055932

43604499 433287

726398 596220 909654

2568159 4321244



BV

UIII _-3~ Ih plrica


MPUl1alanga 4Q







R

342 190000

6 92658 1476 171

129387116

150367 1639323

359287315

529930655

Restated 2013

R

312298000 1000000 104(1992 1560692 3009000

26740454 75361186

280904 2129987

26573762 382170797

550447876


1000000





3009000



16718 1550000

(1476171) 90547

77410 1500000

(1560692) 16718



(0) 890000

(692658) 191341

240992 800000

(1040992) (0)




2169542 4284 537 9 1amp0000 6500000

(6 131527) ( 7557013) (8SS4) ( 1os7982)

43S96l)1 2169542


Audited By

2014 -11-30


41













bull

7660000 (2568159)

(3595lt12)

4732299

123048282 24 t164ooo

(101071863) (12938796) 15961192)


(22439808) 123762000 (52758786)

(33-62252) 8000000 (264617)

(37046)

bull

85076e93 188062000

(10607283 1) (26740454) (1 7277426)

1

(62641514) 98703000

I

1241511

(4055932) (567831)




2186000

(30t4785) (422070)

(2814000) 5000000



689516


2014















2014 -II- 3 0

R

(9096gt4)

10036218 16105

(433287) 9619036

2458020

2954000 (596219)

(2 129987) (83471) 144323

3 1500000 (4321244)

(26573782) (604974)

26982

27110


27270


Restaled 2014 201 3



25 AGENCY FEE



Agency Fee


OTHER REVENUe


77 FINES


R

U32003 227$995 1726683

471463 3361)6lt 74120

11 7410 9993404

1a 592109 1

11 634 1308 (2077340) (3983e82)

(81823786)

2M56300

219441 1306220

433958 30933 717322

2414832 3990841

2007$562 2077340 I ~480

4S42778 1141 063

604311 322653

96718 82351110 45998 18

20715 251Wgt606

3738675

R

241 9 349 221599$ 2419972

547428 341 3$7

94950 sa 99

10008249 182~S$1

96017160 (21lOo97) (378845)

(6570022gtJ

24 834593 1

336 1695052

357009 6 11 818

23S7039 229818 1

898521 21lOo497 1481525 7152461 1969951 ~2~23

296178 770 17

t3 417ltl2tI 6792lt11 9

676857 27019865

2632165 11 32amp386 727 604+43









Restliled 2014 2013

bull 273309594

7IU45044 40499413

2524635 53883183

bull 2503781757

72334086 34933486

2735701 39274564

629297 m 13amp771 9i7653

606038 304180 1862n

12f17MlO

~104 681 057





LEO Human

Senlomenl Urban

and Rural

Development

716576 168000




Corporata ServiceS

7381156 2BO779 187533

Chid FInancial

OffICI

Tolal 1120$1268

LEO Humin


D~ooGIItit ed

lobull06O







87611 9 160000 176430

M32549

Chle FlnancllI

2013

30


Restated 2014 2013




In-kind Benffits









31 FINANCE COSTS


Audited

By

201~ -11- 3 0


bull 848997 683976

6365207 26 15010 9231447 1551300 4605766

bull 700005 559701

5 261 670 1881 97~ 6942596 1 ~ 52 284

4120965

215m267 73256

222137 22laquo1143

238162620

287915 2351190

2179S4a06 240 8G17251

2ii245980

--


32 BULK PURCHASES







Rampstated 2013

R R

422494179 405581 815

2W674O 1500558 564526amp 4160235 1070262 2084J39

954512 2318844 26 1314(1 3230596 8435922 26402854 2619443 148083

1 2~96657 11487034 5745865 3227479

21167900 24600490 3306445 2701387 9971674 2 5581~2

34396391 81 61826 43053491 22277526 19301307 18643985

1314J 72 21)59769 89834387 70178765

U459Jsts 206S44924

2767755 3810084 17500000 17500000 3039291 4281244

399975 282214 23707021 2$873$42


35 GENERAL EXPENSES







By




Restated 2014 2013

bull

306843 2468281

~282 203 2546 240

3202128 1274966 45 1 56~

2016260 2240517

35619597 184 971

10684583 1476 17 1

5367329 9111342 8575183 4720852 2380234

gtIll058 4474754

amp92658 8825867 1592328 3307854 19amp7808 4145741

269070 14529549 4000776 2427276 5425415 1449280 4629041 3479111 4123963 4481565

169421604

47802611 29850471 17952140

4860634 31830242 35372573

6557605 101Kl2844

2376275 1284480 12989 1 2323245

bull

446980 2182800 3054414 3261252 2509319 2419798 3297307 1121850

283637 2009850 1667859

31478190 1315027 1260060 1574379

41433949 ~2304316

152500 5938970 3542025 7526208 1095990 3365007

999 17144331

1530979 3150012 1854897 2561 167 7536986

456666 10663244 3442168 2655510 4957007 1800293 29743et 2453385 4214639 45844 18

196222416

~

49~1 9 4 30

28601209 I 20918221

8454590 26407153 25709897 9~ 1 9252

8374673 1199010 1624309

847333 832534




Non -CHh MovlrWInt
















R

(139386512)

(1816()84 ) 20529978

217954806 10387843 5504331

(6518760) 48538778

155254320

Re~to1Iteltl R

(119639331)

1000562 33621587

240801725 (637SS 151)

1760284 (1082366) 81 139830

173836091

(425808) (81358448)

2448048 (8540581)

156534834 40375380

2444599 (19686704)

267045539

(666785) (71 682604) 32825130

8957155 34388525 62818476

9655187 (10578228)

237552947

96112103 26109047 (65SO920)

1 1

(90825482)

(11217169) 47786







10~ _-3 0


2014








Restated balance



Ru tated 201 3

R

46S0182~

(28813899)

24 338183

(2678572) 40 134634

(40 t 34633) (2~ 1 45J)

(69501) (52196851)

(259a156) (100025) 183841

34404273 42S73S

(24338183)

27016755 2678572

24338183






70 74 4 81 6190876 883611

Audited By

2014 -1 1- 3 0


50


2lt) RHtated

2013





13339745 14486283

27826028

7873134 5466612

131~P45

Incident


Amount

14lt1186283





14[446283

77726913 43 196325 6626666 3453O5S7

863535118 777281113

Inc ldunt





Amount

7175177

055

524456

221997


424 MliteriaJ Lou

42011 EIctrlclly 10




8626688

627149351 640412055 577111 3(14 570624889

5lt1038(147 69587168 amp0 109

R 069 R 051

34526252 39664amp85


Audited

S

2019 --~n


MpUnlaHigltgt B~~~~

51

bull bull


Restated 2014 2013


4242 Wate IQliu









REGULATIONS




Audit lees






VAT

(5908812) 1048342



Opeoing Balance



throughout the year

PAYEend UIF







(8660120) 80188211A ~~ ~~lt~rs11- 3 0




52


R R

















44 COMMITMENTS





Restate(l 2014 2013






Toto 2824754






T





45 RELATED PARTIES









By

201~ -11 - 3 0




RU$II1

13 R R






Spouse Spouse

Spoo

108955 54588 29 950

193493






Credit risk








2014 2013 R



I g558127 13696409 84687623 36Si62S2

473009 17729

7 1


Restated 2014 2013




shy201 4 2013

R R


11 741959 8634896

15507992 7189325

114 2 07 111416677














By

2014 -11- 3 0


373371 91 70537405


Restated 2014 2013


Liquidity risk



















100000

2050000

1557166



ConlrllCl Claims







RelUlI1ed 2014 2013

R R

R 1$354017

535358

168506

11510110

191deg8deg1183

Audited By

2014 -11- 3 0





Contract Claims



R

813S463

113S4e3

7000000

R 2013

R













RlVenue





Debllmptlirrntnt


Finance charges


59


RUtat~d 2014 2013


Current lIabilitllS


Noncrrent liabl1htH



Cash Flow Statement










Audited By

2014 1130


60

(


APPENDIX A


durtng the period

the period off


LOltIn 1160


R25 000 OOO 1050


3 197612001

201412019 199812016 201412029 2010J2000 20052020

10864 148

177 151508

11 1276 1 531 694shy1497123

19387276

96483)

12082

3074575

48715913

61

t i shyamp i

I

I

shy

l ~

~ - - J~ i

~- ~ HI~fl

- ~ 1 ~ ~~

ssect - al-

iii

- g~~ ijUh s~ ltI

I~~ -middot I

- bull

~H- - ~~ bull

I c

I

~U5U ~HH tH ~

I-bull-

-

bull

I

~

-

i

bull

ibull

fJ

I


o

j bull jl

I

l

f ~ bull bull o

1 homiddot

I

j f


j r---

H U - ~~ ~ ~ ~ _ 11

bull





R R R R R


4372632 - 4372632 5245492 (872860) -17


123002 8973725 9096727 1546671 4 (6369987) 41


TOTAL 84231890 151824089 236055979 588969716 (172962071) -29

64 (





R R R R R R









17289998 60315807 51630673 193092200

10387845

1612200634 1730079732 (119639381) Tota l 1708313954 1847700526 (139386572)

65





67



68



HROM I

ffi I

I

~ Iv~

I

~ IWISA

1_ Tol1


60500 Hj

~ ~ =I ~ ~

I 3~

~ -

8642


INDEX

Abbreviations

FMG MSIG

MIG MWIG

EPWP

AFCON

INEP

OME OWS PTIG

MFMA OBSA



PR WCA

~

SCM MM CFO AG MMC

SALGA

SETA













National Treasury

Provincial Treasury






Value Added Tax



~ay As You Earn




Municipal Manager


Auditor - General




Iudited By

2014 -11- 3 0




General Information


Cllr S P Malhonsi

ClIr J Sidell

Cllr SH Mbuyane

Cllr ZM Soroko

ellr MS Magagula

Cllr e Maseko

ellr PA Mathe

ellr M Mayinga

Cllr JM Mazibane

Cllr BN Mdhluli

Cllr FP Nkala

Cllr BA Zulu

Councillor Ward



Cllr JB Mashaba

Cllr NW Molubalse

Cllr TC Simelane

2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 20

Executive Mayor

Speaker

Chief Whip









Councillor Ward



By

201~ -11- 3 0 i




General information




~





IMr l S DitshegO


Ivacanl


Auditors



Bankers



Ward

20 21 22 2 25 26 27 2 30 32 33 3 35 37 3 36 39 39

Audited

By

201 -11-30



1201


General information

Audited By

201~ -11- 3 0






Physical address

Postal address

Telephone number

Fax number

Website address

libraries

Hazyview

Kabokweni

Malsulu

Nelspruil

Nelsvil1e

Victory Park

W hite River

Enqulr~s


Paypolnts


Civic Centre

1 Nel street

Nelspruit

South Africa

IP OBo45Ne ls

1200

1(013) 759 911 1

1(013)7592002

Iwwwmbombela goyza

013) 737 7220 013)796 1082 013) 778 9864

013) 759 2077

013) 755 4788

013) 759 2089

013) 750 9125

013 7592184 013 7592231

(013 752 2580 1 75 202 I 2064

12025

2014 -11- 3 0









DATE 29 August 2014

Audited

By

201~ -11-30


~



Note



Total assets


~

2014

R

279660608 20570005

38480 1062109 15

18085432 36 01 1806

2631868 9611 2103

5505816660 5151 359288

5471500 334 167526

434358 14383987

5785477268

842239476 16016973 22262338 39 64 1635

4638912

-295055540 459720278

4903799

Restated 2013

R

189656584 20144 197

17729 9 101 3690 20462987 38459854

-19558127

5487244454 5131020659

5693637 336360740

473009 13696409

5676901038

668455781 14259575 19817740 59328339

586191 8 5908813

138520706 419344898

5413792



Net assets 4457643890 4597030462

NET ASSETS I



201~ -11- 3u





R R

Revenue




Total revenue 1706497870 1612145631





139386572 119639381

~

)~

__UlU~



~

2



Note



at 30 June 2014


(25O34232a)

~ shyco - 3 0 - ) co ~ ~ -0 c - r C ~ n

~

--

c

shy-lt -

a

3



2014 2013 Note

R R


Receipts 1797603544 1601419229


Payments 1530558005 1369866282






Audited By



4









449022009 (36400)Employee Costs 4648681n 448985809 459896515 109 10~7 243




461 879133 542 114803 -4)5 514522160 80235 670 520165177 (21949626) Ottoer~res










332813472

2500000

105050000

135555197

441455840

4499813

88798290

7069a359

(635355)

(681~79Gl

(9032435)

440820485

4499813

61983494

61665924

165614338

2126835

25SJe192

37623701

(275205649)

(2372918)

(56445302)

(204222~)

middot624~

-527(4

middot66$5 389)

$7$9269 605452302 (15482$85) 588969716 230903554 (358066153) oUil Budgel 2425538841 23B292A219 240346t7t5 2062651 916 (340609799)

5





~ Tolaloonamenl~ 0 ~_ 5701656207 ~96982 1 6 14 - 5969821614 5505816660 (464004954) 77~r

otaIAmts 1 ~ 6021394818 6276036307 62761)36307 5785477268 (490559039) -782










6







IGRAP

~ 2 Cash Row~


0 Joo (a ceed 0 2010)

IGRAP

IGRAP IGRAP 16

_eae

Ihe

~ed o~ ~ ~~~

~ ed 0 2010)

~ n 2010)

s and Ass IGRAPi


of Cashshy








7

I





common control







pudited

By



8



















By

20~ - - 3 0


9



153 DEPRECIATION








1_54DERECOGNITION




101~ --30



10







163 AMORnSATIQN







Audited By

201~ -11- 3 0



11













174 DERECOGNITION



pudited

S~



12


18 HERITAGE ASSETS














184 DERECOGNITION








13







110 INVENTORIES








14






















15

















16









Audited BV

204 -- 3 0


17


114 REVENUE













lease agreement

bull Sale of goods




been met



asset




l~

l~~ --~ tl ~~nC3




114 REVENUE (cont)






11421 TAXES



bull Property Rates



11422 TRANSFERS








dlOOAa4r~aliggt----



2014 -11- 30


19


114 REVENUE (cont)

bull Fines








bull Other



115 BORROWING COSTS









20~ -11-30



20




















201~ -11- 3 0


21



















22













Audited

By

201~ -11-30



23


124 RELATED PARTIES














Audited

By

201~ -11- 3 0


ctical

24














Audited

By

2014 -1-30


25


2 INVENTORIES














Rtstllted 2014 2013

R R


R R

91130472 13954313 19276615 13239930

7489074 51 98586 44093785 34066355

161990005 66459184 24200170 13520076

18t111901115 799192amp0

104657481 87633397 5O t 77511 49116164

154834992 136749561


82186534 17174151 26626828 20391825 11271140 8811 357 68354451 5608944

188440954 102586277 36863137 31724724

Net balance R

77176J58 6036745 2290488

10027430 95530821 10680094

106210915

17024084 1061 347

18085432

Net balance

65014383 6235003 2459784

12145507 85854677

515901 4 225324891 134311001 91013 6901

122043134 19902431












27


2014

R

70865693 4328433 3372211 1549811 5485202

3466607 742825

1434795 775588

3562885 9293974

19276675

1160992 364130 713352 326078

1573724 3350799 7489074

4617056 2141064 1918237 1691799

11410388 22315241 44093785

3730594 911539

1403061 333276

1477132 16344568 24200170

83840942 8487991 8841656 4676553

23509330 56 833 703

186190 1751

Audited

2014

Audito

Restated 2013

R

35023793 3476236 1958310 1324420 8566371

1832225 763302 800078 927216

3662558 17493462 25478841

1123920 324532 454812 247182

1442207 7678387

11271140

4207506 1822615 1273236 1224282 8646489

51180323 68354451

3056429 562156 229165 264952

3622887 29148148 36883737

45243873 6948940 4715601 3988052

25940513 112161643

~Y273269 5 88~

- 1~ 7 946 bull 33O552

104657 81

198998623

I

19957 37 6697 51 4928 50 4750 17

Ar~ 1 9













-shy gtudited

BV

20~ _-30

I

26

Residential

bull

Residential

32546615 10491363

7689417 7282489

60920887 209006709 317937540

Restated 2014 2013

R

2090801 20 201687237 197469 169 18934 1401

1329103448 289106971 2

bull 1940764 1861317 1796675 1740345

12231 204 11292709

5017751 I

19364070 7897109 6890199 641 1360


bull 3811 5501 114fl621 2883378

924349


30883124 4093020 2659602 2094597

12727523 47930479

10deg3881544

346230919

37337191

(166839289)

90663074

R

Government

3712736 923486

1092047 1101629 398a669 2652614

1348179

3152654 14

70537405

39591900) 216728 821 346230919

1




















2014

bull 32532 811

1598342 98 1441

1390 22681 044

5490530 179934

1600123

53071483 14892487 2546329

65411641

50137059 11 201 587

61938646

3478995

36011806

2631868

9528527 1 767947

58885

Restated 2013

bull 36125430 26169545

414123

390

5496931 2691538 1351903

401 34634 16125850 3189001

SJ071483

40 134634shy10602425

SO737059

2334424

38459854

15908813)

15891105 10158257

sl~5

96112103 28109047

96112103 26109047

Audited By

201 -11-30


29


Restated

























i

27 109 26981 27 1091

24133

21 09

2013

R R

4467 4443

4472 4467

557829 557271

558965 557829

27 2681

2709 27268

JO

6
















Reslated 2014 2013

R R

840418S

8183317

50000000

50000000








Audited 1 055 t 141 109

1093


31

6




















20

R R

22816 26535

52106 SO038 54325 52106

52106 50008 54325 52106

101158 257 270801 767947 IOJ58257

10158255 270601

7671945 10158255 -

6













Restated 2014 2013

R R

1101 4737 537777 l1m437

24376706

24376706

Audited

By

2014 -11-30


33

J

i

i r

fmiddot I j

1

I bull


1 I

t i I I j

I I

bullI n

qI IIi I

Ii bull I

I bull I i t - t I

ibull ltf


south Africa


8

9


INTANGIBLE ASSETS









R R

1103069 4590568 5770933 4590568

4667864

Total R

5693637 10361501 4667864

(222137) (222137)


R R R








Oisposal

2014 R

336360740 348213238

11852498)

(2260143) 66930

Restated 2013

R

338711930 350977357 (2764119)

165963 (9667271)

(2351190)



ZU1~ -lI-JU


35


Restated 2014 2013




11 INVESTMENTS



12 BORROWINGS










922239 9071939




1998 21600000 1999 2016 22000000

2016 138600000

2030 200000000 2005 25000000

3770983 4495535 (3298144) (4004797)

jgS4S0) (17729) 4358 473009

14383961 13696409

14333987 13696409

3000

225068623 189 4278241


1050 ==~~~ 59624082O~~~5~3t 1

36

39641635 -9328339

24119371 1IIO~ 90$914

5-46926 1323414 1016481

26598420 22593973 10609534 10145674

-

bull bull


Restated 2014 2013

15 PROVISIONS











579 577

802 6 77~

225 100

81136147

1760264 5118018




t484449




4316065 4 1177177








~

9619036



TraOe paJ8bIf~


Accnted staff -ave











bull 151332653 134083127 28261065 27965892 29399654 9399432

49245885 4467962

19773593 5785016

459720218

2820523 (372 402) 1448121

7457202 10670766

7725980 (225788Z)

bull 1904$6 15

739397$3 30596372 27345051 27876954 8925338

340~ 2 loa

5809609 15754429 4598640

419344898

54 5727 (2595204) 2 8205231

1I68i92 133~ 1495

(6493a870) (2173001)






30 June 2014


l1bi~ty 1Q~ _-3 Q


868 pa 967 pa

65

Oecrease

bull (2153715)

(24950535) ~988963

3033464

(17761 39) (19639009)

2 427061 25596212

763 pa 927 pa

65

Increase

bull 2988640

lJ046849 (21 20778)

(24S40~76)

2443972 25185191 (1139777)

(19215665)


Re$tated 21l1


21110 200


7590080


Nof-(oooot portion



20 PROPERTY RATES

39





21112















R

2013

109367629 1093676211

2011

127571000

1514 127 11685912 1332 149$

(64938870) (217366)

109367629

107086568 2281061

1119 367 629 1 1

30626220 3472979 2543142 1172119

7_73 P II 700p1I

Im rell5e

(239906) (1936735)

(2t2165) (1518102)

34457349 3132731


2014 Restated

2013

R R


110128338 143197678

11249227 21806971

4226191 290608404

2906ot1404

109775382 130344585

10111027 19944561 4086403

274261958

274261958

Valuations


22 I73440593 10456526633

945971015 2263343200 5981003584 2386089987

44207275012

22059245547 10420552629

945971015 2258262523 6025763579 2536334990

44246170283



21 SERVICE CHARGES


6OO816891 65065595 27481996 15874061

709238543

536398751 59029266 24666699 15134173

635228839

22 FINANCE INCOME


22596148 3714173

169780 15027

26495129

14799431 3246046

232763

18278241



101071863 6131527

264617 52758786

4763B88 3014785

69717

106072831 7557013 4055932

43604499 433287

726398 596220 909654

2568159 4321244



BV

UIII _-3~ Ih plrica


MPUl1alanga 4Q







R

342 190000

6 92658 1476 171

129387116

150367 1639323

359287315

529930655

Restated 2013

R

312298000 1000000 104(1992 1560692 3009000

26740454 75361186

280904 2129987

26573762 382170797

550447876


1000000





3009000



16718 1550000

(1476171) 90547

77410 1500000

(1560692) 16718



(0) 890000

(692658) 191341

240992 800000

(1040992) (0)




2169542 4284 537 9 1amp0000 6500000

(6 131527) ( 7557013) (8SS4) ( 1os7982)

43S96l)1 2169542


Audited By

2014 -11-30


41













bull

7660000 (2568159)

(3595lt12)

4732299

123048282 24 t164ooo

(101071863) (12938796) 15961192)


(22439808) 123762000 (52758786)

(33-62252) 8000000 (264617)

(37046)

bull

85076e93 188062000

(10607283 1) (26740454) (1 7277426)

1

(62641514) 98703000

I

1241511

(4055932) (567831)




2186000

(30t4785) (422070)

(2814000) 5000000



689516


2014















2014 -II- 3 0

R

(9096gt4)

10036218 16105

(433287) 9619036

2458020

2954000 (596219)

(2 129987) (83471) 144323

3 1500000 (4321244)

(26573782) (604974)

26982

27110


27270


Restaled 2014 201 3



25 AGENCY FEE



Agency Fee


OTHER REVENUe


77 FINES


R

U32003 227$995 1726683

471463 3361)6lt 74120

11 7410 9993404

1a 592109 1

11 634 1308 (2077340) (3983e82)

(81823786)

2M56300

219441 1306220

433958 30933 717322

2414832 3990841

2007$562 2077340 I ~480

4S42778 1141 063

604311 322653

96718 82351110 45998 18

20715 251Wgt606

3738675

R

241 9 349 221599$ 2419972

547428 341 3$7

94950 sa 99

10008249 182~S$1

96017160 (21lOo97) (378845)

(6570022gtJ

24 834593 1

336 1695052

357009 6 11 818

23S7039 229818 1

898521 21lOo497 1481525 7152461 1969951 ~2~23

296178 770 17

t3 417ltl2tI 6792lt11 9

676857 27019865

2632165 11 32amp386 727 604+43









Restliled 2014 2013

bull 273309594

7IU45044 40499413

2524635 53883183

bull 2503781757

72334086 34933486

2735701 39274564

629297 m 13amp771 9i7653

606038 304180 1862n

12f17MlO

~104 681 057





LEO Human

Senlomenl Urban

and Rural

Development

716576 168000




Corporata ServiceS

7381156 2BO779 187533

Chid FInancial

OffICI

Tolal 1120$1268

LEO Humin


D~ooGIItit ed

lobull06O







87611 9 160000 176430

M32549

Chle FlnancllI

2013

30


Restated 2014 2013




In-kind Benffits









31 FINANCE COSTS


Audited

By

201~ -11- 3 0


bull 848997 683976

6365207 26 15010 9231447 1551300 4605766

bull 700005 559701

5 261 670 1881 97~ 6942596 1 ~ 52 284

4120965

215m267 73256

222137 22laquo1143

238162620

287915 2351190

2179S4a06 240 8G17251

2ii245980

--


32 BULK PURCHASES







Rampstated 2013

R R

422494179 405581 815

2W674O 1500558 564526amp 4160235 1070262 2084J39

954512 2318844 26 1314(1 3230596 8435922 26402854 2619443 148083

1 2~96657 11487034 5745865 3227479

21167900 24600490 3306445 2701387 9971674 2 5581~2

34396391 81 61826 43053491 22277526 19301307 18643985

1314J 72 21)59769 89834387 70178765

U459Jsts 206S44924

2767755 3810084 17500000 17500000 3039291 4281244

399975 282214 23707021 2$873$42


35 GENERAL EXPENSES







By




Restated 2014 2013

bull

306843 2468281

~282 203 2546 240

3202128 1274966 45 1 56~

2016260 2240517

35619597 184 971

10684583 1476 17 1

5367329 9111342 8575183 4720852 2380234

gtIll058 4474754

amp92658 8825867 1592328 3307854 19amp7808 4145741

269070 14529549 4000776 2427276 5425415 1449280 4629041 3479111 4123963 4481565

169421604

47802611 29850471 17952140

4860634 31830242 35372573

6557605 101Kl2844

2376275 1284480 12989 1 2323245

bull

446980 2182800 3054414 3261252 2509319 2419798 3297307 1121850

283637 2009850 1667859

31478190 1315027 1260060 1574379

41433949 ~2304316

152500 5938970 3542025 7526208 1095990 3365007

999 17144331

1530979 3150012 1854897 2561 167 7536986

456666 10663244 3442168 2655510 4957007 1800293 29743et 2453385 4214639 45844 18

196222416

~

49~1 9 4 30

28601209 I 20918221

8454590 26407153 25709897 9~ 1 9252

8374673 1199010 1624309

847333 832534




Non -CHh MovlrWInt
















R

(139386512)

(1816()84 ) 20529978

217954806 10387843 5504331

(6518760) 48538778

155254320

Re~to1Iteltl R

(119639331)

1000562 33621587

240801725 (637SS 151)

1760284 (1082366) 81 139830

173836091

(425808) (81358448)

2448048 (8540581)

156534834 40375380

2444599 (19686704)

267045539

(666785) (71 682604) 32825130

8957155 34388525 62818476

9655187 (10578228)

237552947

96112103 26109047 (65SO920)

1 1

(90825482)

(11217169) 47786







10~ _-3 0


2014








Restated balance



Ru tated 201 3

R

46S0182~

(28813899)

24 338183

(2678572) 40 134634

(40 t 34633) (2~ 1 45J)

(69501) (52196851)

(259a156) (100025) 183841

34404273 42S73S

(24338183)

27016755 2678572

24338183






70 74 4 81 6190876 883611

Audited By

2014 -1 1- 3 0


50


2lt) RHtated

2013





13339745 14486283

27826028

7873134 5466612

131~P45

Incident


Amount

14lt1186283





14[446283

77726913 43 196325 6626666 3453O5S7

863535118 777281113

Inc ldunt





Amount

7175177

055

524456

221997


424 MliteriaJ Lou

42011 EIctrlclly 10




8626688

627149351 640412055 577111 3(14 570624889

5lt1038(147 69587168 amp0 109

R 069 R 051

34526252 39664amp85


Audited

S

2019 --~n


MpUnlaHigltgt B~~~~

51

bull bull


Restated 2014 2013


4242 Wate IQliu









REGULATIONS




Audit lees






VAT

(5908812) 1048342



Opeoing Balance



throughout the year

PAYEend UIF







(8660120) 80188211A ~~ ~~lt~rs11- 3 0




52


R R

















44 COMMITMENTS





Restate(l 2014 2013






Toto 2824754






T





45 RELATED PARTIES









By

201~ -11 - 3 0




RU$II1

13 R R






Spouse Spouse

Spoo

108955 54588 29 950

193493






Credit risk








2014 2013 R



I g558127 13696409 84687623 36Si62S2

473009 17729

7 1


Restated 2014 2013




shy201 4 2013

R R


11 741959 8634896

15507992 7189325

114 2 07 111416677














By

2014 -11- 3 0


373371 91 70537405


Restated 2014 2013


Liquidity risk



















100000

2050000

1557166



ConlrllCl Claims







RelUlI1ed 2014 2013

R R

R 1$354017

535358

168506

11510110

191deg8deg1183

Audited By

2014 -11- 3 0





Contract Claims



R

813S463

113S4e3

7000000

R 2013

R













RlVenue





Debllmptlirrntnt


Finance charges


59


RUtat~d 2014 2013


Current lIabilitllS


Noncrrent liabl1htH



Cash Flow Statement










Audited By

2014 1130


60

(


APPENDIX A


durtng the period

the period off


LOltIn 1160


R25 000 OOO 1050


3 197612001

201412019 199812016 201412029 2010J2000 20052020

10864 148

177 151508

11 1276 1 531 694shy1497123

19387276

96483)

12082

3074575

48715913

61

t i shyamp i

I

I

shy

l ~

~ - - J~ i

~- ~ HI~fl

- ~ 1 ~ ~~

ssect - al-

iii

- g~~ ijUh s~ ltI

I~~ -middot I

- bull

~H- - ~~ bull

I c

I

~U5U ~HH tH ~

I-bull-

-

bull

I

~

-

i

bull

ibull

fJ

I


o

j bull jl

I

l

f ~ bull bull o

1 homiddot

I

j f


j r---

H U - ~~ ~ ~ ~ _ 11

bull





R R R R R


4372632 - 4372632 5245492 (872860) -17


123002 8973725 9096727 1546671 4 (6369987) 41


TOTAL 84231890 151824089 236055979 588969716 (172962071) -29

64 (





R R R R R R









17289998 60315807 51630673 193092200

10387845

1612200634 1730079732 (119639381) Tota l 1708313954 1847700526 (139386572)

65





67



68



HROM I

ffi I

I

~ Iv~

I

~ IWISA

1_ Tol1


60500 Hj

~ ~ =I ~ ~

I 3~

~ -

8642


General Information


Cllr S P Malhonsi

ClIr J Sidell

Cllr SH Mbuyane

Cllr ZM Soroko

ellr MS Magagula

Cllr e Maseko

ellr PA Mathe

ellr M Mayinga

Cllr JM Mazibane

Cllr BN Mdhluli

Cllr FP Nkala

Cllr BA Zulu

Councillor Ward



Cllr JB Mashaba

Cllr NW Molubalse

Cllr TC Simelane

2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 20

Executive Mayor

Speaker

Chief Whip









Councillor Ward



By

201~ -11- 3 0 i




General information




~





IMr l S DitshegO


Ivacanl


Auditors



Bankers



Ward

20 21 22 2 25 26 27 2 30 32 33 3 35 37 3 36 39 39

Audited

By

201 -11-30



1201


General information

Audited By

201~ -11- 3 0






Physical address

Postal address

Telephone number

Fax number

Website address

libraries

Hazyview

Kabokweni

Malsulu

Nelspruil

Nelsvil1e

Victory Park

W hite River

Enqulr~s


Paypolnts


Civic Centre

1 Nel street

Nelspruit

South Africa

IP OBo45Ne ls

1200

1(013) 759 911 1

1(013)7592002

Iwwwmbombela goyza

013) 737 7220 013)796 1082 013) 778 9864

013) 759 2077

013) 755 4788

013) 759 2089

013) 750 9125

013 7592184 013 7592231

(013 752 2580 1 75 202 I 2064

12025

2014 -11- 3 0









DATE 29 August 2014

Audited

By

201~ -11-30


~



Note



Total assets


~

2014

R

279660608 20570005

38480 1062109 15

18085432 36 01 1806

2631868 9611 2103

5505816660 5151 359288

5471500 334 167526

434358 14383987

5785477268

842239476 16016973 22262338 39 64 1635

4638912

-295055540 459720278

4903799

Restated 2013

R

189656584 20144 197

17729 9 101 3690 20462987 38459854

-19558127

5487244454 5131020659

5693637 336360740

473009 13696409

5676901038

668455781 14259575 19817740 59328339

586191 8 5908813

138520706 419344898

5413792



Net assets 4457643890 4597030462

NET ASSETS I



201~ -11- 3u





R R

Revenue




Total revenue 1706497870 1612145631





139386572 119639381

~

)~

__UlU~



~

2



Note



at 30 June 2014


(25O34232a)

~ shyco - 3 0 - ) co ~ ~ -0 c - r C ~ n

~

--

c

shy-lt -

a

3



2014 2013 Note

R R


Receipts 1797603544 1601419229


Payments 1530558005 1369866282






Audited By



4









449022009 (36400)Employee Costs 4648681n 448985809 459896515 109 10~7 243




461 879133 542 114803 -4)5 514522160 80235 670 520165177 (21949626) Ottoer~res










332813472

2500000

105050000

135555197

441455840

4499813

88798290

7069a359

(635355)

(681~79Gl

(9032435)

440820485

4499813

61983494

61665924

165614338

2126835

25SJe192

37623701

(275205649)

(2372918)

(56445302)

(204222~)

middot624~

-527(4

middot66$5 389)

$7$9269 605452302 (15482$85) 588969716 230903554 (358066153) oUil Budgel 2425538841 23B292A219 240346t7t5 2062651 916 (340609799)

5





~ Tolaloonamenl~ 0 ~_ 5701656207 ~96982 1 6 14 - 5969821614 5505816660 (464004954) 77~r

otaIAmts 1 ~ 6021394818 6276036307 62761)36307 5785477268 (490559039) -782










6







IGRAP

~ 2 Cash Row~


0 Joo (a ceed 0 2010)

IGRAP

IGRAP IGRAP 16

_eae

Ihe

~ed o~ ~ ~~~

~ ed 0 2010)

~ n 2010)

s and Ass IGRAPi


of Cashshy








7

I





common control







pudited

By



8



















By

20~ - - 3 0


9



153 DEPRECIATION








1_54DERECOGNITION




101~ --30



10







163 AMORnSATIQN







Audited By

201~ -11- 3 0



11













174 DERECOGNITION



pudited

S~



12


18 HERITAGE ASSETS














184 DERECOGNITION








13







110 INVENTORIES








14






















15

















16









Audited BV

204 -- 3 0


17


114 REVENUE













lease agreement

bull Sale of goods




been met



asset




l~

l~~ --~ tl ~~nC3




114 REVENUE (cont)






11421 TAXES



bull Property Rates



11422 TRANSFERS








dlOOAa4r~aliggt----



2014 -11- 30


19


114 REVENUE (cont)

bull Fines








bull Other



115 BORROWING COSTS









20~ -11-30



20




















201~ -11- 3 0


21



















22













Audited

By

201~ -11-30



23


124 RELATED PARTIES














Audited

By

201~ -11- 3 0


ctical

24














Audited

By

2014 -1-30


25


2 INVENTORIES














Rtstllted 2014 2013

R R


R R

91130472 13954313 19276615 13239930

7489074 51 98586 44093785 34066355

161990005 66459184 24200170 13520076

18t111901115 799192amp0

104657481 87633397 5O t 77511 49116164

154834992 136749561


82186534 17174151 26626828 20391825 11271140 8811 357 68354451 5608944

188440954 102586277 36863137 31724724

Net balance R

77176J58 6036745 2290488

10027430 95530821 10680094

106210915

17024084 1061 347

18085432

Net balance

65014383 6235003 2459784

12145507 85854677

515901 4 225324891 134311001 91013 6901

122043134 19902431












27


2014

R

70865693 4328433 3372211 1549811 5485202

3466607 742825

1434795 775588

3562885 9293974

19276675

1160992 364130 713352 326078

1573724 3350799 7489074

4617056 2141064 1918237 1691799

11410388 22315241 44093785

3730594 911539

1403061 333276

1477132 16344568 24200170

83840942 8487991 8841656 4676553

23509330 56 833 703

186190 1751

Audited

2014

Audito

Restated 2013

R

35023793 3476236 1958310 1324420 8566371

1832225 763302 800078 927216

3662558 17493462 25478841

1123920 324532 454812 247182

1442207 7678387

11271140

4207506 1822615 1273236 1224282 8646489

51180323 68354451

3056429 562156 229165 264952

3622887 29148148 36883737

45243873 6948940 4715601 3988052

25940513 112161643

~Y273269 5 88~

- 1~ 7 946 bull 33O552

104657 81

198998623

I

19957 37 6697 51 4928 50 4750 17

Ar~ 1 9













-shy gtudited

BV

20~ _-30

I

26

Residential

bull

Residential

32546615 10491363

7689417 7282489

60920887 209006709 317937540

Restated 2014 2013

R

2090801 20 201687237 197469 169 18934 1401

1329103448 289106971 2

bull 1940764 1861317 1796675 1740345

12231 204 11292709

5017751 I

19364070 7897109 6890199 641 1360


bull 3811 5501 114fl621 2883378

924349


30883124 4093020 2659602 2094597

12727523 47930479

10deg3881544

346230919

37337191

(166839289)

90663074

R

Government

3712736 923486

1092047 1101629 398a669 2652614

1348179

3152654 14

70537405

39591900) 216728 821 346230919

1




















2014

bull 32532 811

1598342 98 1441

1390 22681 044

5490530 179934

1600123

53071483 14892487 2546329

65411641

50137059 11 201 587

61938646

3478995

36011806

2631868

9528527 1 767947

58885

Restated 2013

bull 36125430 26169545

414123

390

5496931 2691538 1351903

401 34634 16125850 3189001

SJ071483

40 134634shy10602425

SO737059

2334424

38459854

15908813)

15891105 10158257

sl~5

96112103 28109047

96112103 26109047

Audited By

201 -11-30


29


Restated

























i

27 109 26981 27 1091

24133

21 09

2013

R R

4467 4443

4472 4467

557829 557271

558965 557829

27 2681

2709 27268

JO

6
















Reslated 2014 2013

R R

840418S

8183317

50000000

50000000








Audited 1 055 t 141 109

1093


31

6




















20

R R

22816 26535

52106 SO038 54325 52106

52106 50008 54325 52106

101158 257 270801 767947 IOJ58257

10158255 270601

7671945 10158255 -

6













Restated 2014 2013

R R

1101 4737 537777 l1m437

24376706

24376706

Audited

By

2014 -11-30


33

J

i

i r

fmiddot I j

1

I bull


1 I

t i I I j

I I

bullI n

qI IIi I

Ii bull I

I bull I i t - t I

ibull ltf


south Africa


8

9


INTANGIBLE ASSETS









R R

1103069 4590568 5770933 4590568

4667864

Total R

5693637 10361501 4667864

(222137) (222137)


R R R








Oisposal

2014 R

336360740 348213238

11852498)

(2260143) 66930

Restated 2013

R

338711930 350977357 (2764119)

165963 (9667271)

(2351190)



ZU1~ -lI-JU


35


Restated 2014 2013




11 INVESTMENTS



12 BORROWINGS










922239 9071939




1998 21600000 1999 2016 22000000

2016 138600000

2030 200000000 2005 25000000

3770983 4495535 (3298144) (4004797)

jgS4S0) (17729) 4358 473009

14383961 13696409

14333987 13696409

3000

225068623 189 4278241


1050 ==~~~ 59624082O~~~5~3t 1

36

39641635 -9328339

24119371 1IIO~ 90$914

5-46926 1323414 1016481

26598420 22593973 10609534 10145674

-

bull bull


Restated 2014 2013

15 PROVISIONS











579 577

802 6 77~

225 100

81136147

1760264 5118018




t484449




4316065 4 1177177








~

9619036



TraOe paJ8bIf~


Accnted staff -ave











bull 151332653 134083127 28261065 27965892 29399654 9399432

49245885 4467962

19773593 5785016

459720218

2820523 (372 402) 1448121

7457202 10670766

7725980 (225788Z)

bull 1904$6 15

739397$3 30596372 27345051 27876954 8925338

340~ 2 loa

5809609 15754429 4598640

419344898

54 5727 (2595204) 2 8205231

1I68i92 133~ 1495

(6493a870) (2173001)






30 June 2014


l1bi~ty 1Q~ _-3 Q


868 pa 967 pa

65

Oecrease

bull (2153715)

(24950535) ~988963

3033464

(17761 39) (19639009)

2 427061 25596212

763 pa 927 pa

65

Increase

bull 2988640

lJ046849 (21 20778)

(24S40~76)

2443972 25185191 (1139777)

(19215665)


Re$tated 21l1


21110 200


7590080


Nof-(oooot portion



20 PROPERTY RATES

39





21112















R

2013

109367629 1093676211

2011

127571000

1514 127 11685912 1332 149$

(64938870) (217366)

109367629

107086568 2281061

1119 367 629 1 1

30626220 3472979 2543142 1172119

7_73 P II 700p1I

Im rell5e

(239906) (1936735)

(2t2165) (1518102)

34457349 3132731


2014 Restated

2013

R R


110128338 143197678

11249227 21806971

4226191 290608404

2906ot1404

109775382 130344585

10111027 19944561 4086403

274261958

274261958

Valuations


22 I73440593 10456526633

945971015 2263343200 5981003584 2386089987

44207275012

22059245547 10420552629

945971015 2258262523 6025763579 2536334990

44246170283



21 SERVICE CHARGES


6OO816891 65065595 27481996 15874061

709238543

536398751 59029266 24666699 15134173

635228839

22 FINANCE INCOME


22596148 3714173

169780 15027

26495129

14799431 3246046

232763

18278241



101071863 6131527

264617 52758786

4763B88 3014785

69717

106072831 7557013 4055932

43604499 433287

726398 596220 909654

2568159 4321244



BV

UIII _-3~ Ih plrica


MPUl1alanga 4Q







R

342 190000

6 92658 1476 171

129387116

150367 1639323

359287315

529930655

Restated 2013

R

312298000 1000000 104(1992 1560692 3009000

26740454 75361186

280904 2129987

26573762 382170797

550447876


1000000





3009000



16718 1550000

(1476171) 90547

77410 1500000

(1560692) 16718



(0) 890000

(692658) 191341

240992 800000

(1040992) (0)




2169542 4284 537 9 1amp0000 6500000

(6 131527) ( 7557013) (8SS4) ( 1os7982)

43S96l)1 2169542


Audited By

2014 -11-30


41













bull

7660000 (2568159)

(3595lt12)

4732299

123048282 24 t164ooo

(101071863) (12938796) 15961192)


(22439808) 123762000 (52758786)

(33-62252) 8000000 (264617)

(37046)

bull

85076e93 188062000

(10607283 1) (26740454) (1 7277426)

1

(62641514) 98703000

I

1241511

(4055932) (567831)




2186000

(30t4785) (422070)

(2814000) 5000000



689516


2014















2014 -II- 3 0

R

(9096gt4)

10036218 16105

(433287) 9619036

2458020

2954000 (596219)

(2 129987) (83471) 144323

3 1500000 (4321244)

(26573782) (604974)

26982

27110


27270


Restaled 2014 201 3



25 AGENCY FEE



Agency Fee


OTHER REVENUe


77 FINES


R

U32003 227$995 1726683

471463 3361)6lt 74120

11 7410 9993404

1a 592109 1

11 634 1308 (2077340) (3983e82)

(81823786)

2M56300

219441 1306220

433958 30933 717322

2414832 3990841

2007$562 2077340 I ~480

4S42778 1141 063

604311 322653

96718 82351110 45998 18

20715 251Wgt606

3738675

R

241 9 349 221599$ 2419972

547428 341 3$7

94950 sa 99

10008249 182~S$1

96017160 (21lOo97) (378845)

(6570022gtJ

24 834593 1

336 1695052

357009 6 11 818

23S7039 229818 1

898521 21lOo497 1481525 7152461 1969951 ~2~23

296178 770 17

t3 417ltl2tI 6792lt11 9

676857 27019865

2632165 11 32amp386 727 604+43









Restliled 2014 2013

bull 273309594

7IU45044 40499413

2524635 53883183

bull 2503781757

72334086 34933486

2735701 39274564

629297 m 13amp771 9i7653

606038 304180 1862n

12f17MlO

~104 681 057





LEO Human

Senlomenl Urban

and Rural

Development

716576 168000




Corporata ServiceS

7381156 2BO779 187533

Chid FInancial

OffICI

Tolal 1120$1268

LEO Humin


D~ooGIItit ed

lobull06O







87611 9 160000 176430

M32549

Chle FlnancllI

2013

30


Restated 2014 2013




In-kind Benffits









31 FINANCE COSTS


Audited

By

201~ -11- 3 0


bull 848997 683976

6365207 26 15010 9231447 1551300 4605766

bull 700005 559701

5 261 670 1881 97~ 6942596 1 ~ 52 284

4120965

215m267 73256

222137 22laquo1143

238162620

287915 2351190

2179S4a06 240 8G17251

2ii245980

--


32 BULK PURCHASES







Rampstated 2013

R R

422494179 405581 815

2W674O 1500558 564526amp 4160235 1070262 2084J39

954512 2318844 26 1314(1 3230596 8435922 26402854 2619443 148083

1 2~96657 11487034 5745865 3227479

21167900 24600490 3306445 2701387 9971674 2 5581~2

34396391 81 61826 43053491 22277526 19301307 18643985

1314J 72 21)59769 89834387 70178765

U459Jsts 206S44924

2767755 3810084 17500000 17500000 3039291 4281244

399975 282214 23707021 2$873$42


35 GENERAL EXPENSES







By




Restated 2014 2013

bull

306843 2468281

~282 203 2546 240

3202128 1274966 45 1 56~

2016260 2240517

35619597 184 971

10684583 1476 17 1

5367329 9111342 8575183 4720852 2380234

gtIll058 4474754

amp92658 8825867 1592328 3307854 19amp7808 4145741

269070 14529549 4000776 2427276 5425415 1449280 4629041 3479111 4123963 4481565

169421604

47802611 29850471 17952140

4860634 31830242 35372573

6557605 101Kl2844

2376275 1284480 12989 1 2323245

bull

446980 2182800 3054414 3261252 2509319 2419798 3297307 1121850

283637 2009850 1667859

31478190 1315027 1260060 1574379

41433949 ~2304316

152500 5938970 3542025 7526208 1095990 3365007

999 17144331

1530979 3150012 1854897 2561 167 7536986

456666 10663244 3442168 2655510 4957007 1800293 29743et 2453385 4214639 45844 18

196222416

~

49~1 9 4 30

28601209 I 20918221

8454590 26407153 25709897 9~ 1 9252

8374673 1199010 1624309

847333 832534




Non -CHh MovlrWInt
















R

(139386512)

(1816()84 ) 20529978

217954806 10387843 5504331

(6518760) 48538778

155254320

Re~to1Iteltl R

(119639331)

1000562 33621587

240801725 (637SS 151)

1760284 (1082366) 81 139830

173836091

(425808) (81358448)

2448048 (8540581)

156534834 40375380

2444599 (19686704)

267045539

(666785) (71 682604) 32825130

8957155 34388525 62818476

9655187 (10578228)

237552947

96112103 26109047 (65SO920)

1 1

(90825482)

(11217169) 47786







10~ _-3 0


2014








Restated balance



Ru tated 201 3

R

46S0182~

(28813899)

24 338183

(2678572) 40 134634

(40 t 34633) (2~ 1 45J)

(69501) (52196851)

(259a156) (100025) 183841

34404273 42S73S

(24338183)

27016755 2678572

24338183






70 74 4 81 6190876 883611

Audited By

2014 -1 1- 3 0


50


2lt) RHtated

2013





13339745 14486283

27826028

7873134 5466612

131~P45

Incident


Amount

14lt1186283





14[446283

77726913 43 196325 6626666 3453O5S7

863535118 777281113

Inc ldunt





Amount

7175177

055

524456

221997


424 MliteriaJ Lou

42011 EIctrlclly 10




8626688

627149351 640412055 577111 3(14 570624889

5lt1038(147 69587168 amp0 109

R 069 R 051

34526252 39664amp85


Audited

S

2019 --~n


MpUnlaHigltgt B~~~~

51

bull bull


Restated 2014 2013


4242 Wate IQliu









REGULATIONS




Audit lees






VAT

(5908812) 1048342



Opeoing Balance



throughout the year

PAYEend UIF







(8660120) 80188211A ~~ ~~lt~rs11- 3 0




52


R R

















44 COMMITMENTS





Restate(l 2014 2013






Toto 2824754






T





45 RELATED PARTIES









By

201~ -11 - 3 0




RU$II1

13 R R






Spouse Spouse

Spoo

108955 54588 29 950

193493






Credit risk








2014 2013 R



I g558127 13696409 84687623 36Si62S2

473009 17729

7 1


Restated 2014 2013




shy201 4 2013

R R


11 741959 8634896

15507992 7189325

114 2 07 111416677














By

2014 -11- 3 0


373371 91 70537405


Restated 2014 2013


Liquidity risk



















100000

2050000

1557166



ConlrllCl Claims







RelUlI1ed 2014 2013

R R

R 1$354017

535358

168506

11510110

191deg8deg1183

Audited By

2014 -11- 3 0





Contract Claims



R

813S463

113S4e3

7000000

R 2013

R













RlVenue





Debllmptlirrntnt


Finance charges


59


RUtat~d 2014 2013


Current lIabilitllS


Noncrrent liabl1htH



Cash Flow Statement










Audited By

2014 1130


60

(


APPENDIX A


durtng the period

the period off


LOltIn 1160


R25 000 OOO 1050


3 197612001

201412019 199812016 201412029 2010J2000 20052020

10864 148

177 151508

11 1276 1 531 694shy1497123

19387276

96483)

12082

3074575

48715913

61

t i shyamp i

I

I

shy

l ~

~ - - J~ i

~- ~ HI~fl

- ~ 1 ~ ~~

ssect - al-

iii

- g~~ ijUh s~ ltI

I~~ -middot I

- bull

~H- - ~~ bull

I c

I

~U5U ~HH tH ~

I-bull-

-

bull

I

~

-

i

bull

ibull

fJ

I


o

j bull jl

I

l

f ~ bull bull o

1 homiddot

I

j f


j r---

H U - ~~ ~ ~ ~ _ 11

bull





R R R R R


4372632 - 4372632 5245492 (872860) -17


123002 8973725 9096727 1546671 4 (6369987) 41


TOTAL 84231890 151824089 236055979 588969716 (172962071) -29

64 (





R R R R R R









17289998 60315807 51630673 193092200

10387845

1612200634 1730079732 (119639381) Tota l 1708313954 1847700526 (139386572)

65





67



68



HROM I

ffi I

I

~ Iv~

I

~ IWISA

1_ Tol1


60500 Hj

~ ~ =I ~ ~

I 3~

~ -

8642


General information




~





IMr l S DitshegO


Ivacanl


Auditors



Bankers



Ward

20 21 22 2 25 26 27 2 30 32 33 3 35 37 3 36 39 39

Audited

By

201 -11-30



1201


General information

Audited By

201~ -11- 3 0






Physical address

Postal address

Telephone number

Fax number

Website address

libraries

Hazyview

Kabokweni

Malsulu

Nelspruil

Nelsvil1e

Victory Park

W hite River

Enqulr~s


Paypolnts


Civic Centre

1 Nel street

Nelspruit

South Africa

IP OBo45Ne ls

1200

1(013) 759 911 1

1(013)7592002

Iwwwmbombela goyza

013) 737 7220 013)796 1082 013) 778 9864

013) 759 2077

013) 755 4788

013) 759 2089

013) 750 9125

013 7592184 013 7592231

(013 752 2580 1 75 202 I 2064

12025

2014 -11- 3 0









DATE 29 August 2014

Audited

By

201~ -11-30


~



Note



Total assets


~

2014

R

279660608 20570005

38480 1062109 15

18085432 36 01 1806

2631868 9611 2103

5505816660 5151 359288

5471500 334 167526

434358 14383987

5785477268

842239476 16016973 22262338 39 64 1635

4638912

-295055540 459720278

4903799

Restated 2013

R

189656584 20144 197

17729 9 101 3690 20462987 38459854

-19558127

5487244454 5131020659

5693637 336360740

473009 13696409

5676901038

668455781 14259575 19817740 59328339

586191 8 5908813

138520706 419344898

5413792



Net assets 4457643890 4597030462

NET ASSETS I



201~ -11- 3u





R R

Revenue




Total revenue 1706497870 1612145631





139386572 119639381

~

)~

__UlU~



~

2



Note



at 30 June 2014


(25O34232a)

~ shyco - 3 0 - ) co ~ ~ -0 c - r C ~ n

~

--

c

shy-lt -

a

3



2014 2013 Note

R R


Receipts 1797603544 1601419229


Payments 1530558005 1369866282






Audited By



4









449022009 (36400)Employee Costs 4648681n 448985809 459896515 109 10~7 243




461 879133 542 114803 -4)5 514522160 80235 670 520165177 (21949626) Ottoer~res










332813472

2500000

105050000

135555197

441455840

4499813

88798290

7069a359

(635355)

(681~79Gl

(9032435)

440820485

4499813

61983494

61665924

165614338

2126835

25SJe192

37623701

(275205649)

(2372918)

(56445302)

(204222~)

middot624~

-527(4

middot66$5 389)

$7$9269 605452302 (15482$85) 588969716 230903554 (358066153) oUil Budgel 2425538841 23B292A219 240346t7t5 2062651 916 (340609799)

5





~ Tolaloonamenl~ 0 ~_ 5701656207 ~96982 1 6 14 - 5969821614 5505816660 (464004954) 77~r

otaIAmts 1 ~ 6021394818 6276036307 62761)36307 5785477268 (490559039) -782










6







IGRAP

~ 2 Cash Row~


0 Joo (a ceed 0 2010)

IGRAP

IGRAP IGRAP 16

_eae

Ihe

~ed o~ ~ ~~~

~ ed 0 2010)

~ n 2010)

s and Ass IGRAPi


of Cashshy








7

I





common control







pudited

By



8



















By

20~ - - 3 0


9



153 DEPRECIATION








1_54DERECOGNITION




101~ --30



10







163 AMORnSATIQN







Audited By

201~ -11- 3 0



11













174 DERECOGNITION



pudited

S~



12


18 HERITAGE ASSETS














184 DERECOGNITION








13







110 INVENTORIES








14






















15

















16









Audited BV

204 -- 3 0


17


114 REVENUE













lease agreement

bull Sale of goods




been met



asset




l~

l~~ --~ tl ~~nC3




114 REVENUE (cont)






11421 TAXES



bull Property Rates



11422 TRANSFERS








dlOOAa4r~aliggt----



2014 -11- 30


19


114 REVENUE (cont)

bull Fines








bull Other



115 BORROWING COSTS









20~ -11-30



20




















201~ -11- 3 0


21



















22













Audited

By

201~ -11-30



23


124 RELATED PARTIES














Audited

By

201~ -11- 3 0


ctical

24














Audited

By

2014 -1-30


25


2 INVENTORIES














Rtstllted 2014 2013

R R


R R

91130472 13954313 19276615 13239930

7489074 51 98586 44093785 34066355

161990005 66459184 24200170 13520076

18t111901115 799192amp0

104657481 87633397 5O t 77511 49116164

154834992 136749561


82186534 17174151 26626828 20391825 11271140 8811 357 68354451 5608944

188440954 102586277 36863137 31724724

Net balance R

77176J58 6036745 2290488

10027430 95530821 10680094

106210915

17024084 1061 347

18085432

Net balance

65014383 6235003 2459784

12145507 85854677

515901 4 225324891 134311001 91013 6901

122043134 19902431












27


2014

R

70865693 4328433 3372211 1549811 5485202

3466607 742825

1434795 775588

3562885 9293974

19276675

1160992 364130 713352 326078

1573724 3350799 7489074

4617056 2141064 1918237 1691799

11410388 22315241 44093785

3730594 911539

1403061 333276

1477132 16344568 24200170

83840942 8487991 8841656 4676553

23509330 56 833 703

186190 1751

Audited

2014

Audito

Restated 2013

R

35023793 3476236 1958310 1324420 8566371

1832225 763302 800078 927216

3662558 17493462 25478841

1123920 324532 454812 247182

1442207 7678387

11271140

4207506 1822615 1273236 1224282 8646489

51180323 68354451

3056429 562156 229165 264952

3622887 29148148 36883737

45243873 6948940 4715601 3988052

25940513 112161643

~Y273269 5 88~

- 1~ 7 946 bull 33O552

104657 81

198998623

I

19957 37 6697 51 4928 50 4750 17

Ar~ 1 9













-shy gtudited

BV

20~ _-30

I

26

Residential

bull

Residential

32546615 10491363

7689417 7282489

60920887 209006709 317937540

Restated 2014 2013

R

2090801 20 201687237 197469 169 18934 1401

1329103448 289106971 2

bull 1940764 1861317 1796675 1740345

12231 204 11292709

5017751 I

19364070 7897109 6890199 641 1360


bull 3811 5501 114fl621 2883378

924349


30883124 4093020 2659602 2094597

12727523 47930479

10deg3881544

346230919

37337191

(166839289)

90663074

R

Government

3712736 923486

1092047 1101629 398a669 2652614

1348179

3152654 14

70537405

39591900) 216728 821 346230919

1




















2014

bull 32532 811

1598342 98 1441

1390 22681 044

5490530 179934

1600123

53071483 14892487 2546329

65411641

50137059 11 201 587

61938646

3478995

36011806

2631868

9528527 1 767947

58885

Restated 2013

bull 36125430 26169545

414123

390

5496931 2691538 1351903

401 34634 16125850 3189001

SJ071483

40 134634shy10602425

SO737059

2334424

38459854

15908813)

15891105 10158257

sl~5

96112103 28109047

96112103 26109047

Audited By

201 -11-30


29


Restated

























i

27 109 26981 27 1091

24133

21 09

2013

R R

4467 4443

4472 4467

557829 557271

558965 557829

27 2681

2709 27268

JO

6
















Reslated 2014 2013

R R

840418S

8183317

50000000

50000000








Audited 1 055 t 141 109

1093


31

6




















20

R R

22816 26535

52106 SO038 54325 52106

52106 50008 54325 52106

101158 257 270801 767947 IOJ58257

10158255 270601

7671945 10158255 -

6













Restated 2014 2013

R R

1101 4737 537777 l1m437

24376706

24376706

Audited

By

2014 -11-30


33

J

i

i r

fmiddot I j

1

I bull


1 I

t i I I j

I I

bullI n

qI IIi I

Ii bull I

I bull I i t - t I

ibull ltf


south Africa


8

9


INTANGIBLE ASSETS









R R

1103069 4590568 5770933 4590568

4667864

Total R

5693637 10361501 4667864

(222137) (222137)


R R R








Oisposal

2014 R

336360740 348213238

11852498)

(2260143) 66930

Restated 2013

R

338711930 350977357 (2764119)

165963 (9667271)

(2351190)



ZU1~ -lI-JU


35


Restated 2014 2013




11 INVESTMENTS



12 BORROWINGS










922239 9071939




1998 21600000 1999 2016 22000000

2016 138600000

2030 200000000 2005 25000000

3770983 4495535 (3298144) (4004797)

jgS4S0) (17729) 4358 473009

14383961 13696409

14333987 13696409

3000

225068623 189 4278241


1050 ==~~~ 59624082O~~~5~3t 1

36

39641635 -9328339

24119371 1IIO~ 90$914

5-46926 1323414 1016481

26598420 22593973 10609534 10145674

-

bull bull


Restated 2014 2013

15 PROVISIONS











579 577

802 6 77~

225 100

81136147

1760264 5118018




t484449




4316065 4 1177177








~

9619036



TraOe paJ8bIf~


Accnted staff -ave











bull 151332653 134083127 28261065 27965892 29399654 9399432

49245885 4467962

19773593 5785016

459720218

2820523 (372 402) 1448121

7457202 10670766

7725980 (225788Z)

bull 1904$6 15

739397$3 30596372 27345051 27876954 8925338

340~ 2 loa

5809609 15754429 4598640

419344898

54 5727 (2595204) 2 8205231

1I68i92 133~ 1495

(6493a870) (2173001)






30 June 2014


l1bi~ty 1Q~ _-3 Q


868 pa 967 pa

65

Oecrease

bull (2153715)

(24950535) ~988963

3033464

(17761 39) (19639009)

2 427061 25596212

763 pa 927 pa

65

Increase

bull 2988640

lJ046849 (21 20778)

(24S40~76)

2443972 25185191 (1139777)

(19215665)


Re$tated 21l1


21110 200


7590080


Nof-(oooot portion



20 PROPERTY RATES

39





21112















R

2013

109367629 1093676211

2011

127571000

1514 127 11685912 1332 149$

(64938870) (217366)

109367629

107086568 2281061

1119 367 629 1 1

30626220 3472979 2543142 1172119

7_73 P II 700p1I

Im rell5e

(239906) (1936735)

(2t2165) (1518102)

34457349 3132731


2014 Restated

2013

R R


110128338 143197678

11249227 21806971

4226191 290608404

2906ot1404

109775382 130344585

10111027 19944561 4086403

274261958

274261958

Valuations


22 I73440593 10456526633

945971015 2263343200 5981003584 2386089987

44207275012

22059245547 10420552629

945971015 2258262523 6025763579 2536334990

44246170283



21 SERVICE CHARGES


6OO816891 65065595 27481996 15874061

709238543

536398751 59029266 24666699 15134173

635228839

22 FINANCE INCOME


22596148 3714173

169780 15027

26495129

14799431 3246046

232763

18278241



101071863 6131527

264617 52758786

4763B88 3014785

69717

106072831 7557013 4055932

43604499 433287

726398 596220 909654

2568159 4321244



BV

UIII _-3~ Ih plrica


MPUl1alanga 4Q







R

342 190000

6 92658 1476 171

129387116

150367 1639323

359287315

529930655

Restated 2013

R

312298000 1000000 104(1992 1560692 3009000

26740454 75361186

280904 2129987

26573762 382170797

550447876


1000000





3009000



16718 1550000

(1476171) 90547

77410 1500000

(1560692) 16718



(0) 890000

(692658) 191341

240992 800000

(1040992) (0)




2169542 4284 537 9 1amp0000 6500000

(6 131527) ( 7557013) (8SS4) ( 1os7982)

43S96l)1 2169542


Audited By

2014 -11-30


41













bull

7660000 (2568159)

(3595lt12)

4732299

123048282 24 t164ooo

(101071863) (12938796) 15961192)


(22439808) 123762000 (52758786)

(33-62252) 8000000 (264617)

(37046)

bull

85076e93 188062000

(10607283 1) (26740454) (1 7277426)

1

(62641514) 98703000

I

1241511

(4055932) (567831)




2186000

(30t4785) (422070)

(2814000) 5000000



689516


2014















2014 -II- 3 0

R

(9096gt4)

10036218 16105

(433287) 9619036

2458020

2954000 (596219)

(2 129987) (83471) 144323

3 1500000 (4321244)

(26573782) (604974)

26982

27110


27270


Restaled 2014 201 3



25 AGENCY FEE



Agency Fee


OTHER REVENUe


77 FINES


R

U32003 227$995 1726683

471463 3361)6lt 74120

11 7410 9993404

1a 592109 1

11 634 1308 (2077340) (3983e82)

(81823786)

2M56300

219441 1306220

433958 30933 717322

2414832 3990841

2007$562 2077340 I ~480

4S42778 1141 063

604311 322653

96718 82351110 45998 18

20715 251Wgt606

3738675

R

241 9 349 221599$ 2419972

547428 341 3$7

94950 sa 99

10008249 182~S$1

96017160 (21lOo97) (378845)

(6570022gtJ

24 834593 1

336 1695052

357009 6 11 818

23S7039 229818 1

898521 21lOo497 1481525 7152461 1969951 ~2~23

296178 770 17

t3 417ltl2tI 6792lt11 9

676857 27019865

2632165 11 32amp386 727 604+43









Restliled 2014 2013

bull 273309594

7IU45044 40499413

2524635 53883183

bull 2503781757

72334086 34933486

2735701 39274564

629297 m 13amp771 9i7653

606038 304180 1862n

12f17MlO

~104 681 057





LEO Human

Senlomenl Urban

and Rural

Development

716576 168000




Corporata ServiceS

7381156 2BO779 187533

Chid FInancial

OffICI

Tolal 1120$1268

LEO Humin


D~ooGIItit ed

lobull06O







87611 9 160000 176430

M32549

Chle FlnancllI

2013

30


Restated 2014 2013




In-kind Benffits









31 FINANCE COSTS


Audited

By

201~ -11- 3 0


bull 848997 683976

6365207 26 15010 9231447 1551300 4605766

bull 700005 559701

5 261 670 1881 97~ 6942596 1 ~ 52 284

4120965

215m267 73256

222137 22laquo1143

238162620

287915 2351190

2179S4a06 240 8G17251

2ii245980

--


32 BULK PURCHASES







Rampstated 2013

R R

422494179 405581 815

2W674O 1500558 564526amp 4160235 1070262 2084J39

954512 2318844 26 1314(1 3230596 8435922 26402854 2619443 148083

1 2~96657 11487034 5745865 3227479

21167900 24600490 3306445 2701387 9971674 2 5581~2

34396391 81 61826 43053491 22277526 19301307 18643985

1314J 72 21)59769 89834387 70178765

U459Jsts 206S44924

2767755 3810084 17500000 17500000 3039291 4281244

399975 282214 23707021 2$873$42


35 GENERAL EXPENSES







By




Restated 2014 2013

bull

306843 2468281

~282 203 2546 240

3202128 1274966 45 1 56~

2016260 2240517

35619597 184 971

10684583 1476 17 1

5367329 9111342 8575183 4720852 2380234

gtIll058 4474754

amp92658 8825867 1592328 3307854 19amp7808 4145741

269070 14529549 4000776 2427276 5425415 1449280 4629041 3479111 4123963 4481565

169421604

47802611 29850471 17952140

4860634 31830242 35372573

6557605 101Kl2844

2376275 1284480 12989 1 2323245

bull

446980 2182800 3054414 3261252 2509319 2419798 3297307 1121850

283637 2009850 1667859

31478190 1315027 1260060 1574379

41433949 ~2304316

152500 5938970 3542025 7526208 1095990 3365007

999 17144331

1530979 3150012 1854897 2561 167 7536986

456666 10663244 3442168 2655510 4957007 1800293 29743et 2453385 4214639 45844 18

196222416

~

49~1 9 4 30

28601209 I 20918221

8454590 26407153 25709897 9~ 1 9252

8374673 1199010 1624309

847333 832534




Non -CHh MovlrWInt
















R

(139386512)

(1816()84 ) 20529978

217954806 10387843 5504331

(6518760) 48538778

155254320

Re~to1Iteltl R

(119639331)

1000562 33621587

240801725 (637SS 151)

1760284 (1082366) 81 139830

173836091

(425808) (81358448)

2448048 (8540581)

156534834 40375380

2444599 (19686704)

267045539

(666785) (71 682604) 32825130

8957155 34388525 62818476

9655187 (10578228)

237552947

96112103 26109047 (65SO920)

1 1

(90825482)

(11217169) 47786







10~ _-3 0


2014








Restated balance



Ru tated 201 3

R

46S0182~

(28813899)

24 338183

(2678572) 40 134634

(40 t 34633) (2~ 1 45J)

(69501) (52196851)

(259a156) (100025) 183841

34404273 42S73S

(24338183)

27016755 2678572

24338183






70 74 4 81 6190876 883611

Audited By

2014 -1 1- 3 0


50


2lt) RHtated

2013





13339745 14486283

27826028

7873134 5466612

131~P45

Incident


Amount

14lt1186283





14[446283

77726913 43 196325 6626666 3453O5S7

863535118 777281113

Inc ldunt





Amount

7175177

055

524456

221997


424 MliteriaJ Lou

42011 EIctrlclly 10




8626688

627149351 640412055 577111 3(14 570624889

5lt1038(147 69587168 amp0 109

R 069 R 051

34526252 39664amp85


Audited

S

2019 --~n


MpUnlaHigltgt B~~~~

51

bull bull


Restated 2014 2013


4242 Wate IQliu









REGULATIONS




Audit lees






VAT

(5908812) 1048342



Opeoing Balance



throughout the year

PAYEend UIF







(8660120) 80188211A ~~ ~~lt~rs11- 3 0




52


R R

















44 COMMITMENTS





Restate(l 2014 2013






Toto 2824754






T





45 RELATED PARTIES









By

201~ -11 - 3 0




RU$II1

13 R R






Spouse Spouse

Spoo

108955 54588 29 950

193493






Credit risk








2014 2013 R



I g558127 13696409 84687623 36Si62S2

473009 17729

7 1


Restated 2014 2013




shy201 4 2013

R R


11 741959 8634896

15507992 7189325

114 2 07 111416677














By

2014 -11- 3 0


373371 91 70537405


Restated 2014 2013


Liquidity risk



















100000

2050000

1557166



ConlrllCl Claims







RelUlI1ed 2014 2013

R R

R 1$354017

535358

168506

11510110

191deg8deg1183

Audited By

2014 -11- 3 0





Contract Claims



R

813S463

113S4e3

7000000

R 2013

R













RlVenue





Debllmptlirrntnt


Finance charges


59


RUtat~d 2014 2013


Current lIabilitllS


Noncrrent liabl1htH



Cash Flow Statement










Audited By

2014 1130


60

(


APPENDIX A


durtng the period

the period off


LOltIn 1160


R25 000 OOO 1050


3 197612001

201412019 199812016 201412029 2010J2000 20052020

10864 148

177 151508

11 1276 1 531 694shy1497123

19387276

96483)

12082

3074575

48715913

61

t i shyamp i

I

I

shy

l ~

~ - - J~ i

~- ~ HI~fl

- ~ 1 ~ ~~

ssect - al-

iii

- g~~ ijUh s~ ltI

I~~ -middot I

- bull

~H- - ~~ bull

I c

I

~U5U ~HH tH ~

I-bull-

-

bull

I

~

-

i

bull

ibull

fJ

I


o

j bull jl

I

l

f ~ bull bull o

1 homiddot

I

j f


j r---

H U - ~~ ~ ~ ~ _ 11

bull





R R R R R


4372632 - 4372632 5245492 (872860) -17


123002 8973725 9096727 1546671 4 (6369987) 41


TOTAL 84231890 151824089 236055979 588969716 (172962071) -29

64 (





R R R R R R









17289998 60315807 51630673 193092200

10387845

1612200634 1730079732 (119639381) Tota l 1708313954 1847700526 (139386572)

65





67



68



HROM I

ffi I

I

~ Iv~

I

~ IWISA

1_ Tol1


60500 Hj

~ ~ =I ~ ~

I 3~

~ -

8642

1201


General information

Audited By

201~ -11- 3 0






Physical address

Postal address

Telephone number

Fax number

Website address

libraries

Hazyview

Kabokweni

Malsulu

Nelspruil

Nelsvil1e

Victory Park

W hite River

Enqulr~s


Paypolnts


Civic Centre

1 Nel street

Nelspruit

South Africa

IP OBo45Ne ls

1200

1(013) 759 911 1

1(013)7592002

Iwwwmbombela goyza

013) 737 7220 013)796 1082 013) 778 9864

013) 759 2077

013) 755 4788

013) 759 2089

013) 750 9125

013 7592184 013 7592231

(013 752 2580 1 75 202 I 2064

12025

2014 -11- 3 0









DATE 29 August 2014

Audited

By

201~ -11-30


~



Note



Total assets


~

2014

R

279660608 20570005

38480 1062109 15

18085432 36 01 1806

2631868 9611 2103

5505816660 5151 359288

5471500 334 167526

434358 14383987

5785477268

842239476 16016973 22262338 39 64 1635

4638912

-295055540 459720278

4903799

Restated 2013

R

189656584 20144 197

17729 9 101 3690 20462987 38459854

-19558127

5487244454 5131020659

5693637 336360740

473009 13696409

5676901038

668455781 14259575 19817740 59328339

586191 8 5908813

138520706 419344898

5413792



Net assets 4457643890 4597030462

NET ASSETS I



201~ -11- 3u





R R

Revenue




Total revenue 1706497870 1612145631





139386572 119639381

~

)~

__UlU~



~

2



Note



at 30 June 2014


(25O34232a)

~ shyco - 3 0 - ) co ~ ~ -0 c - r C ~ n

~

--

c

shy-lt -

a

3



2014 2013 Note

R R


Receipts 1797603544 1601419229


Payments 1530558005 1369866282






Audited By



4









449022009 (36400)Employee Costs 4648681n 448985809 459896515 109 10~7 243




461 879133 542 114803 -4)5 514522160 80235 670 520165177 (21949626) Ottoer~res










332813472

2500000

105050000

135555197

441455840

4499813

88798290

7069a359

(635355)

(681~79Gl

(9032435)

440820485

4499813

61983494

61665924

165614338

2126835

25SJe192

37623701

(275205649)

(2372918)

(56445302)

(204222~)

middot624~

-527(4

middot66$5 389)

$7$9269 605452302 (15482$85) 588969716 230903554 (358066153) oUil Budgel 2425538841 23B292A219 240346t7t5 2062651 916 (340609799)

5





~ Tolaloonamenl~ 0 ~_ 5701656207 ~96982 1 6 14 - 5969821614 5505816660 (464004954) 77~r

otaIAmts 1 ~ 6021394818 6276036307 62761)36307 5785477268 (490559039) -782










6







IGRAP

~ 2 Cash Row~


0 Joo (a ceed 0 2010)

IGRAP

IGRAP IGRAP 16

_eae

Ihe

~ed o~ ~ ~~~

~ ed 0 2010)

~ n 2010)

s and Ass IGRAPi


of Cashshy








7

I





common control







pudited

By



8



















By

20~ - - 3 0


9



153 DEPRECIATION








1_54DERECOGNITION




101~ --30



10







163 AMORnSATIQN







Audited By

201~ -11- 3 0



11













174 DERECOGNITION



pudited

S~



12


18 HERITAGE ASSETS














184 DERECOGNITION








13







110 INVENTORIES








14






















15

















16









Audited BV

204 -- 3 0


17


114 REVENUE













lease agreement

bull Sale of goods




been met



asset




l~

l~~ --~ tl ~~nC3




114 REVENUE (cont)






11421 TAXES



bull Property Rates



11422 TRANSFERS








dlOOAa4r~aliggt----



2014 -11- 30


19


114 REVENUE (cont)

bull Fines








bull Other



115 BORROWING COSTS









20~ -11-30



20




















201~ -11- 3 0


21



















22













Audited

By

201~ -11-30



23


124 RELATED PARTIES














Audited

By

201~ -11- 3 0


ctical

24














Audited

By

2014 -1-30


25


2 INVENTORIES














Rtstllted 2014 2013

R R


R R

91130472 13954313 19276615 13239930

7489074 51 98586 44093785 34066355

161990005 66459184 24200170 13520076

18t111901115 799192amp0

104657481 87633397 5O t 77511 49116164

154834992 136749561


82186534 17174151 26626828 20391825 11271140 8811 357 68354451 5608944

188440954 102586277 36863137 31724724

Net balance R

77176J58 6036745 2290488

10027430 95530821 10680094

106210915

17024084 1061 347

18085432

Net balance

65014383 6235003 2459784

12145507 85854677

515901 4 225324891 134311001 91013 6901

122043134 19902431












27


2014

R

70865693 4328433 3372211 1549811 5485202

3466607 742825

1434795 775588

3562885 9293974

19276675

1160992 364130 713352 326078

1573724 3350799 7489074

4617056 2141064 1918237 1691799

11410388 22315241 44093785

3730594 911539

1403061 333276

1477132 16344568 24200170

83840942 8487991 8841656 4676553

23509330 56 833 703

186190 1751

Audited

2014

Audito

Restated 2013

R

35023793 3476236 1958310 1324420 8566371

1832225 763302 800078 927216

3662558 17493462 25478841

1123920 324532 454812 247182

1442207 7678387

11271140

4207506 1822615 1273236 1224282 8646489

51180323 68354451

3056429 562156 229165 264952

3622887 29148148 36883737

45243873 6948940 4715601 3988052

25940513 112161643

~Y273269 5 88~

- 1~ 7 946 bull 33O552

104657 81

198998623

I

19957 37 6697 51 4928 50 4750 17

Ar~ 1 9













-shy gtudited

BV

20~ _-30

I

26

Residential

bull

Residential

32546615 10491363

7689417 7282489

60920887 209006709 317937540

Restated 2014 2013

R

2090801 20 201687237 197469 169 18934 1401

1329103448 289106971 2

bull 1940764 1861317 1796675 1740345

12231 204 11292709

5017751 I

19364070 7897109 6890199 641 1360


bull 3811 5501 114fl621 2883378

924349


30883124 4093020 2659602 2094597

12727523 47930479

10deg3881544

346230919

37337191

(166839289)

90663074

R

Government

3712736 923486

1092047 1101629 398a669 2652614

1348179

3152654 14

70537405

39591900) 216728 821 346230919

1




















2014

bull 32532 811

1598342 98 1441

1390 22681 044

5490530 179934

1600123

53071483 14892487 2546329

65411641

50137059 11 201 587

61938646

3478995

36011806

2631868

9528527 1 767947

58885

Restated 2013

bull 36125430 26169545

414123

390

5496931 2691538 1351903

401 34634 16125850 3189001

SJ071483

40 134634shy10602425

SO737059

2334424

38459854

15908813)

15891105 10158257

sl~5

96112103 28109047

96112103 26109047

Audited By

201 -11-30


29


Restated

























i

27 109 26981 27 1091

24133

21 09

2013

R R

4467 4443

4472 4467

557829 557271

558965 557829

27 2681

2709 27268

JO

6
















Reslated 2014 2013

R R

840418S

8183317

50000000

50000000








Audited 1 055 t 141 109

1093


31

6




















20

R R

22816 26535

52106 SO038 54325 52106

52106 50008 54325 52106

101158 257 270801 767947 IOJ58257

10158255 270601

7671945 10158255 -

6













Restated 2014 2013

R R

1101 4737 537777 l1m437

24376706

24376706

Audited

By

2014 -11-30


33

J

i

i r

fmiddot I j

1

I bull


1 I

t i I I j

I I

bullI n

qI IIi I

Ii bull I

I bull I i t - t I

ibull ltf


south Africa


8

9


INTANGIBLE ASSETS









R R

1103069 4590568 5770933 4590568

4667864

Total R

5693637 10361501 4667864

(222137) (222137)


R R R








Oisposal

2014 R

336360740 348213238

11852498)

(2260143) 66930

Restated 2013

R

338711930 350977357 (2764119)

165963 (9667271)

(2351190)



ZU1~ -lI-JU


35


Restated 2014 2013




11 INVESTMENTS



12 BORROWINGS










922239 9071939




1998 21600000 1999 2016 22000000

2016 138600000

2030 200000000 2005 25000000

3770983 4495535 (3298144) (4004797)

jgS4S0) (17729) 4358 473009

14383961 13696409

14333987 13696409

3000

225068623 189 4278241


1050 ==~~~ 59624082O~~~5~3t 1

36

39641635 -9328339

24119371 1IIO~ 90$914

5-46926 1323414 1016481

26598420 22593973 10609534 10145674

-

bull bull


Restated 2014 2013

15 PROVISIONS











579 577

802 6 77~

225 100

81136147

1760264 5118018




t484449




4316065 4 1177177








~

9619036



TraOe paJ8bIf~


Accnted staff -ave











bull 151332653 134083127 28261065 27965892 29399654 9399432

49245885 4467962

19773593 5785016

459720218

2820523 (372 402) 1448121

7457202 10670766

7725980 (225788Z)

bull 1904$6 15

739397$3 30596372 27345051 27876954 8925338

340~ 2 loa

5809609 15754429 4598640

419344898

54 5727 (2595204) 2 8205231

1I68i92 133~ 1495

(6493a870) (2173001)






30 June 2014


l1bi~ty 1Q~ _-3 Q


868 pa 967 pa

65

Oecrease

bull (2153715)

(24950535) ~988963

3033464

(17761 39) (19639009)

2 427061 25596212

763 pa 927 pa

65

Increase

bull 2988640

lJ046849 (21 20778)

(24S40~76)

2443972 25185191 (1139777)

(19215665)


Re$tated 21l1


21110 200


7590080


Nof-(oooot portion



20 PROPERTY RATES

39





21112















R

2013

109367629 1093676211

2011

127571000

1514 127 11685912 1332 149$

(64938870) (217366)

109367629

107086568 2281061

1119 367 629 1 1

30626220 3472979 2543142 1172119

7_73 P II 700p1I

Im rell5e

(239906) (1936735)

(2t2165) (1518102)

34457349 3132731


2014 Restated

2013

R R


110128338 143197678

11249227 21806971

4226191 290608404

2906ot1404

109775382 130344585

10111027 19944561 4086403

274261958

274261958

Valuations


22 I73440593 10456526633

945971015 2263343200 5981003584 2386089987

44207275012

22059245547 10420552629

945971015 2258262523 6025763579 2536334990

44246170283



21 SERVICE CHARGES


6OO816891 65065595 27481996 15874061

709238543

536398751 59029266 24666699 15134173

635228839

22 FINANCE INCOME


22596148 3714173

169780 15027

26495129

14799431 3246046

232763

18278241



101071863 6131527

264617 52758786

4763B88 3014785

69717

106072831 7557013 4055932

43604499 433287

726398 596220 909654

2568159 4321244



BV

UIII _-3~ Ih plrica


MPUl1alanga 4Q







R

342 190000

6 92658 1476 171

129387116

150367 1639323

359287315

529930655

Restated 2013

R

312298000 1000000 104(1992 1560692 3009000

26740454 75361186

280904 2129987

26573762 382170797

550447876


1000000





3009000



16718 1550000

(1476171) 90547

77410 1500000

(1560692) 16718



(0) 890000

(692658) 191341

240992 800000

(1040992) (0)




2169542 4284 537 9 1amp0000 6500000

(6 131527) ( 7557013) (8SS4) ( 1os7982)

43S96l)1 2169542


Audited By

2014 -11-30


41













bull

7660000 (2568159)

(3595lt12)

4732299

123048282 24 t164ooo

(101071863) (12938796) 15961192)


(22439808) 123762000 (52758786)

(33-62252) 8000000 (264617)

(37046)

bull

85076e93 188062000

(10607283 1) (26740454) (1 7277426)

1

(62641514) 98703000

I

1241511

(4055932) (567831)




2186000

(30t4785) (422070)

(2814000) 5000000



689516


2014















2014 -II- 3 0

R

(9096gt4)

10036218 16105

(433287) 9619036

2458020

2954000 (596219)

(2 129987) (83471) 144323

3 1500000 (4321244)

(26573782) (604974)

26982

27110


27270


Restaled 2014 201 3



25 AGENCY FEE



Agency Fee


OTHER REVENUe


77 FINES


R

U32003 227$995 1726683

471463 3361)6lt 74120

11 7410 9993404

1a 592109 1

11 634 1308 (2077340) (3983e82)

(81823786)

2M56300

219441 1306220

433958 30933 717322

2414832 3990841

2007$562 2077340 I ~480

4S42778 1141 063

604311 322653

96718 82351110 45998 18

20715 251Wgt606

3738675

R

241 9 349 221599$ 2419972

547428 341 3$7

94950 sa 99

10008249 182~S$1

96017160 (21lOo97) (378845)

(6570022gtJ

24 834593 1

336 1695052

357009 6 11 818

23S7039 229818 1

898521 21lOo497 1481525 7152461 1969951 ~2~23

296178 770 17

t3 417ltl2tI 6792lt11 9

676857 27019865

2632165 11 32amp386 727 604+43









Restliled 2014 2013

bull 273309594

7IU45044 40499413

2524635 53883183

bull 2503781757

72334086 34933486

2735701 39274564

629297 m 13amp771 9i7653

606038 304180 1862n

12f17MlO

~104 681 057





LEO Human

Senlomenl Urban

and Rural

Development

716576 168000




Corporata ServiceS

7381156 2BO779 187533

Chid FInancial

OffICI

Tolal 1120$1268

LEO Humin


D~ooGIItit ed

lobull06O







87611 9 160000 176430

M32549

Chle FlnancllI

2013

30


Restated 2014 2013




In-kind Benffits









31 FINANCE COSTS


Audited

By

201~ -11- 3 0


bull 848997 683976

6365207 26 15010 9231447 1551300 4605766

bull 700005 559701

5 261 670 1881 97~ 6942596 1 ~ 52 284

4120965

215m267 73256

222137 22laquo1143

238162620

287915 2351190

2179S4a06 240 8G17251

2ii245980

--


32 BULK PURCHASES







Rampstated 2013

R R

422494179 405581 815

2W674O 1500558 564526amp 4160235 1070262 2084J39

954512 2318844 26 1314(1 3230596 8435922 26402854 2619443 148083

1 2~96657 11487034 5745865 3227479

21167900 24600490 3306445 2701387 9971674 2 5581~2

34396391 81 61826 43053491 22277526 19301307 18643985

1314J 72 21)59769 89834387 70178765

U459Jsts 206S44924

2767755 3810084 17500000 17500000 3039291 4281244

399975 282214 23707021 2$873$42


35 GENERAL EXPENSES







By




Restated 2014 2013

bull

306843 2468281

~282 203 2546 240

3202128 1274966 45 1 56~

2016260 2240517

35619597 184 971

10684583 1476 17 1

5367329 9111342 8575183 4720852 2380234

gtIll058 4474754

amp92658 8825867 1592328 3307854 19amp7808 4145741

269070 14529549 4000776 2427276 5425415 1449280 4629041 3479111 4123963 4481565

169421604

47802611 29850471 17952140

4860634 31830242 35372573

6557605 101Kl2844

2376275 1284480 12989 1 2323245

bull

446980 2182800 3054414 3261252 2509319 2419798 3297307 1121850

283637 2009850 1667859

31478190 1315027 1260060 1574379

41433949 ~2304316

152500 5938970 3542025 7526208 1095990 3365007

999 17144331

1530979 3150012 1854897 2561 167 7536986

456666 10663244 3442168 2655510 4957007 1800293 29743et 2453385 4214639 45844 18

196222416

~

49~1 9 4 30

28601209 I 20918221

8454590 26407153 25709897 9~ 1 9252

8374673 1199010 1624309

847333 832534




Non -CHh MovlrWInt
















R

(139386512)

(1816()84 ) 20529978

217954806 10387843 5504331

(6518760) 48538778

155254320

Re~to1Iteltl R

(119639331)

1000562 33621587

240801725 (637SS 151)

1760284 (1082366) 81 139830

173836091

(425808) (81358448)

2448048 (8540581)

156534834 40375380

2444599 (19686704)

267045539

(666785) (71 682604) 32825130

8957155 34388525 62818476

9655187 (10578228)

237552947

96112103 26109047 (65SO920)

1 1

(90825482)

(11217169) 47786







10~ _-3 0


2014








Restated balance



Ru tated 201 3

R

46S0182~

(28813899)

24 338183

(2678572) 40 134634

(40 t 34633) (2~ 1 45J)

(69501) (52196851)

(259a156) (100025) 183841

34404273 42S73S

(24338183)

27016755 2678572

24338183






70 74 4 81 6190876 883611

Audited By

2014 -1 1- 3 0


50


2lt) RHtated

2013





13339745 14486283

27826028

7873134 5466612

131~P45

Incident


Amount

14lt1186283





14[446283

77726913 43 196325 6626666 3453O5S7

863535118 777281113

Inc ldunt





Amount

7175177

055

524456

221997


424 MliteriaJ Lou

42011 EIctrlclly 10




8626688

627149351 640412055 577111 3(14 570624889

5lt1038(147 69587168 amp0 109

R 069 R 051

34526252 39664amp85


Audited

S

2019 --~n


MpUnlaHigltgt B~~~~

51

bull bull


Restated 2014 2013


4242 Wate IQliu









REGULATIONS




Audit lees






VAT

(5908812) 1048342



Opeoing Balance



throughout the year

PAYEend UIF







(8660120) 80188211A ~~ ~~lt~rs11- 3 0




52


R R

















44 COMMITMENTS





Restate(l 2014 2013






Toto 2824754






T





45 RELATED PARTIES









By

201~ -11 - 3 0




RU$II1

13 R R






Spouse Spouse

Spoo

108955 54588 29 950

193493






Credit risk








2014 2013 R



I g558127 13696409 84687623 36Si62S2

473009 17729

7 1


Restated 2014 2013




shy201 4 2013

R R


11 741959 8634896

15507992 7189325

114 2 07 111416677














By

2014 -11- 3 0


373371 91 70537405


Restated 2014 2013


Liquidity risk



















100000

2050000

1557166



ConlrllCl Claims







RelUlI1ed 2014 2013

R R

R 1$354017

535358

168506

11510110

191deg8deg1183

Audited By

2014 -11- 3 0





Contract Claims



R

813S463

113S4e3

7000000

R 2013

R













RlVenue





Debllmptlirrntnt


Finance charges


59


RUtat~d 2014 2013


Current lIabilitllS


Noncrrent liabl1htH



Cash Flow Statement










Audited By

2014 1130


60

(


APPENDIX A


durtng the period

the period off


LOltIn 1160


R25 000 OOO 1050


3 197612001

201412019 199812016 201412029 2010J2000 20052020

10864 148

177 151508

11 1276 1 531 694shy1497123

19387276

96483)

12082

3074575

48715913

61

t i shyamp i

I

I

shy

l ~

~ - - J~ i

~- ~ HI~fl

- ~ 1 ~ ~~

ssect - al-

iii

- g~~ ijUh s~ ltI

I~~ -middot I

- bull

~H- - ~~ bull

I c

I

~U5U ~HH tH ~

I-bull-

-

bull

I

~

-

i

bull

ibull

fJ

I


o

j bull jl

I

l

f ~ bull bull o

1 homiddot

I

j f


j r---

H U - ~~ ~ ~ ~ _ 11

bull





R R R R R


4372632 - 4372632 5245492 (872860) -17


123002 8973725 9096727 1546671 4 (6369987) 41


TOTAL 84231890 151824089 236055979 588969716 (172962071) -29

64 (





R R R R R R









17289998 60315807 51630673 193092200

10387845

1612200634 1730079732 (119639381) Tota l 1708313954 1847700526 (139386572)

65





67



68



HROM I

ffi I

I

~ Iv~

I

~ IWISA

1_ Tol1


60500 Hj

~ ~ =I ~ ~

I 3~

~ -

8642




Physical address

Postal address

Telephone number

Fax number

Website address

libraries

Hazyview

Kabokweni

Malsulu

Nelspruil

Nelsvil1e

Victory Park

W hite River

Enqulr~s


Paypolnts


Civic Centre

1 Nel street

Nelspruit

South Africa

IP OBo45Ne ls

1200

1(013) 759 911 1

1(013)7592002

Iwwwmbombela goyza

013) 737 7220 013)796 1082 013) 778 9864

013) 759 2077

013) 755 4788

013) 759 2089

013) 750 9125

013 7592184 013 7592231

(013 752 2580 1 75 202 I 2064

12025

2014 -11- 3 0









DATE 29 August 2014

Audited

By

201~ -11-30


~



Note



Total assets


~

2014

R

279660608 20570005

38480 1062109 15

18085432 36 01 1806

2631868 9611 2103

5505816660 5151 359288

5471500 334 167526

434358 14383987

5785477268

842239476 16016973 22262338 39 64 1635

4638912

-295055540 459720278

4903799

Restated 2013

R

189656584 20144 197

17729 9 101 3690 20462987 38459854

-19558127

5487244454 5131020659

5693637 336360740

473009 13696409

5676901038

668455781 14259575 19817740 59328339

586191 8 5908813

138520706 419344898

5413792



Net assets 4457643890 4597030462

NET ASSETS I



201~ -11- 3u





R R

Revenue




Total revenue 1706497870 1612145631





139386572 119639381

~

)~

__UlU~



~

2



Note



at 30 June 2014


(25O34232a)

~ shyco - 3 0 - ) co ~ ~ -0 c - r C ~ n

~

--

c

shy-lt -

a

3



2014 2013 Note

R R


Receipts 1797603544 1601419229


Payments 1530558005 1369866282






Audited By



4









449022009 (36400)Employee Costs 4648681n 448985809 459896515 109 10~7 243




461 879133 542 114803 -4)5 514522160 80235 670 520165177 (21949626) Ottoer~res










332813472

2500000

105050000

135555197

441455840

4499813

88798290

7069a359

(635355)

(681~79Gl

(9032435)

440820485

4499813

61983494

61665924

165614338

2126835

25SJe192

37623701

(275205649)

(2372918)

(56445302)

(204222~)

middot624~

-527(4

middot66$5 389)

$7$9269 605452302 (15482$85) 588969716 230903554 (358066153) oUil Budgel 2425538841 23B292A219 240346t7t5 2062651 916 (340609799)

5





~ Tolaloonamenl~ 0 ~_ 5701656207 ~96982 1 6 14 - 5969821614 5505816660 (464004954) 77~r

otaIAmts 1 ~ 6021394818 6276036307 62761)36307 5785477268 (490559039) -782










6







IGRAP

~ 2 Cash Row~


0 Joo (a ceed 0 2010)

IGRAP

IGRAP IGRAP 16

_eae

Ihe

~ed o~ ~ ~~~

~ ed 0 2010)

~ n 2010)

s and Ass IGRAPi


of Cashshy








7

I





common control







pudited

By



8



















By

20~ - - 3 0


9



153 DEPRECIATION








1_54DERECOGNITION




101~ --30



10







163 AMORnSATIQN







Audited By

201~ -11- 3 0



11













174 DERECOGNITION



pudited

S~



12


18 HERITAGE ASSETS














184 DERECOGNITION








13







110 INVENTORIES








14






















15

















16









Audited BV

204 -- 3 0


17


114 REVENUE













lease agreement

bull Sale of goods




been met



asset




l~

l~~ --~ tl ~~nC3




114 REVENUE (cont)






11421 TAXES



bull Property Rates



11422 TRANSFERS








dlOOAa4r~aliggt----



2014 -11- 30


19


114 REVENUE (cont)

bull Fines








bull Other



115 BORROWING COSTS









20~ -11-30



20




















201~ -11- 3 0


21



















22













Audited

By

201~ -11-30



23


124 RELATED PARTIES














Audited

By

201~ -11- 3 0


ctical

24














Audited

By

2014 -1-30


25


2 INVENTORIES














Rtstllted 2014 2013

R R


R R

91130472 13954313 19276615 13239930

7489074 51 98586 44093785 34066355

161990005 66459184 24200170 13520076

18t111901115 799192amp0

104657481 87633397 5O t 77511 49116164

154834992 136749561


82186534 17174151 26626828 20391825 11271140 8811 357 68354451 5608944

188440954 102586277 36863137 31724724

Net balance R

77176J58 6036745 2290488

10027430 95530821 10680094

106210915

17024084 1061 347

18085432

Net balance

65014383 6235003 2459784

12145507 85854677

515901 4 225324891 134311001 91013 6901

122043134 19902431












27


2014

R

70865693 4328433 3372211 1549811 5485202

3466607 742825

1434795 775588

3562885 9293974

19276675

1160992 364130 713352 326078

1573724 3350799 7489074

4617056 2141064 1918237 1691799

11410388 22315241 44093785

3730594 911539

1403061 333276

1477132 16344568 24200170

83840942 8487991 8841656 4676553

23509330 56 833 703

186190 1751

Audited

2014

Audito

Restated 2013

R

35023793 3476236 1958310 1324420 8566371

1832225 763302 800078 927216

3662558 17493462 25478841

1123920 324532 454812 247182

1442207 7678387

11271140

4207506 1822615 1273236 1224282 8646489

51180323 68354451

3056429 562156 229165 264952

3622887 29148148 36883737

45243873 6948940 4715601 3988052

25940513 112161643

~Y273269 5 88~

- 1~ 7 946 bull 33O552

104657 81

198998623

I

19957 37 6697 51 4928 50 4750 17

Ar~ 1 9













-shy gtudited

BV

20~ _-30

I

26

Residential

bull

Residential

32546615 10491363

7689417 7282489

60920887 209006709 317937540

Restated 2014 2013

R

2090801 20 201687237 197469 169 18934 1401

1329103448 289106971 2

bull 1940764 1861317 1796675 1740345

12231 204 11292709

5017751 I

19364070 7897109 6890199 641 1360


bull 3811 5501 114fl621 2883378

924349


30883124 4093020 2659602 2094597

12727523 47930479

10deg3881544

346230919

37337191

(166839289)

90663074

R

Government

3712736 923486

1092047 1101629 398a669 2652614

1348179

3152654 14

70537405

39591900) 216728 821 346230919

1




















2014

bull 32532 811

1598342 98 1441

1390 22681 044

5490530 179934

1600123

53071483 14892487 2546329

65411641

50137059 11 201 587

61938646

3478995

36011806

2631868

9528527 1 767947

58885

Restated 2013

bull 36125430 26169545

414123

390

5496931 2691538 1351903

401 34634 16125850 3189001

SJ071483

40 134634shy10602425

SO737059

2334424

38459854

15908813)

15891105 10158257

sl~5

96112103 28109047

96112103 26109047

Audited By

201 -11-30


29


Restated

























i

27 109 26981 27 1091

24133

21 09

2013

R R

4467 4443

4472 4467

557829 557271

558965 557829

27 2681

2709 27268

JO

6
















Reslated 2014 2013

R R

840418S

8183317

50000000

50000000








Audited 1 055 t 141 109

1093


31

6




















20

R R

22816 26535

52106 SO038 54325 52106

52106 50008 54325 52106

101158 257 270801 767947 IOJ58257

10158255 270601

7671945 10158255 -

6













Restated 2014 2013

R R

1101 4737 537777 l1m437

24376706

24376706

Audited

By

2014 -11-30


33

J

i

i r

fmiddot I j

1

I bull


1 I

t i I I j

I I

bullI n

qI IIi I

Ii bull I

I bull I i t - t I

ibull ltf


south Africa


8

9


INTANGIBLE ASSETS









R R

1103069 4590568 5770933 4590568

4667864

Total R

5693637 10361501 4667864

(222137) (222137)


R R R








Oisposal

2014 R

336360740 348213238

11852498)

(2260143) 66930

Restated 2013

R

338711930 350977357 (2764119)

165963 (9667271)

(2351190)



ZU1~ -lI-JU


35


Restated 2014 2013




11 INVESTMENTS



12 BORROWINGS










922239 9071939




1998 21600000 1999 2016 22000000

2016 138600000

2030 200000000 2005 25000000

3770983 4495535 (3298144) (4004797)

jgS4S0) (17729) 4358 473009

14383961 13696409

14333987 13696409

3000

225068623 189 4278241


1050 ==~~~ 59624082O~~~5~3t 1

36

39641635 -9328339

24119371 1IIO~ 90$914

5-46926 1323414 1016481

26598420 22593973 10609534 10145674

-

bull bull


Restated 2014 2013

15 PROVISIONS











579 577

802 6 77~

225 100

81136147

1760264 5118018




t484449




4316065 4 1177177








~

9619036



TraOe paJ8bIf~


Accnted staff -ave











bull 151332653 134083127 28261065 27965892 29399654 9399432

49245885 4467962

19773593 5785016

459720218

2820523 (372 402) 1448121

7457202 10670766

7725980 (225788Z)

bull 1904$6 15

739397$3 30596372 27345051 27876954 8925338

340~ 2 loa

5809609 15754429 4598640

419344898

54 5727 (2595204) 2 8205231

1I68i92 133~ 1495

(6493a870) (2173001)






30 June 2014


l1bi~ty 1Q~ _-3 Q


868 pa 967 pa

65

Oecrease

bull (2153715)

(24950535) ~988963

3033464

(17761 39) (19639009)

2 427061 25596212

763 pa 927 pa

65

Increase

bull 2988640

lJ046849 (21 20778)

(24S40~76)

2443972 25185191 (1139777)

(19215665)


Re$tated 21l1


21110 200


7590080


Nof-(oooot portion



20 PROPERTY RATES

39





21112















R

2013

109367629 1093676211

2011

127571000

1514 127 11685912 1332 149$

(64938870) (217366)

109367629

107086568 2281061

1119 367 629 1 1

30626220 3472979 2543142 1172119

7_73 P II 700p1I

Im rell5e

(239906) (1936735)

(2t2165) (1518102)

34457349 3132731


2014 Restated

2013

R R


110128338 143197678

11249227 21806971

4226191 290608404

2906ot1404

109775382 130344585

10111027 19944561 4086403

274261958

274261958

Valuations


22 I73440593 10456526633

945971015 2263343200 5981003584 2386089987

44207275012

22059245547 10420552629

945971015 2258262523 6025763579 2536334990

44246170283



21 SERVICE CHARGES


6OO816891 65065595 27481996 15874061

709238543

536398751 59029266 24666699 15134173

635228839

22 FINANCE INCOME


22596148 3714173

169780 15027

26495129

14799431 3246046

232763

18278241



101071863 6131527

264617 52758786

4763B88 3014785

69717

106072831 7557013 4055932

43604499 433287

726398 596220 909654

2568159 4321244



BV

UIII _-3~ Ih plrica


MPUl1alanga 4Q







R

342 190000

6 92658 1476 171

129387116

150367 1639323

359287315

529930655

Restated 2013

R

312298000 1000000 104(1992 1560692 3009000

26740454 75361186

280904 2129987

26573762 382170797

550447876


1000000





3009000



16718 1550000

(1476171) 90547

77410 1500000

(1560692) 16718



(0) 890000

(692658) 191341

240992 800000

(1040992) (0)




2169542 4284 537 9 1amp0000 6500000

(6 131527) ( 7557013) (8SS4) ( 1os7982)

43S96l)1 2169542


Audited By

2014 -11-30


41













bull

7660000 (2568159)

(3595lt12)

4732299

123048282 24 t164ooo

(101071863) (12938796) 15961192)


(22439808) 123762000 (52758786)

(33-62252) 8000000 (264617)

(37046)

bull

85076e93 188062000

(10607283 1) (26740454) (1 7277426)

1

(62641514) 98703000

I

1241511

(4055932) (567831)




2186000

(30t4785) (422070)

(2814000) 5000000



689516


2014















2014 -II- 3 0

R

(9096gt4)

10036218 16105

(433287) 9619036

2458020

2954000 (596219)

(2 129987) (83471) 144323

3 1500000 (4321244)

(26573782) (604974)

26982

27110


27270


Restaled 2014 201 3



25 AGENCY FEE



Agency Fee


OTHER REVENUe


77 FINES


R

U32003 227$995 1726683

471463 3361)6lt 74120

11 7410 9993404

1a 592109 1

11 634 1308 (2077340) (3983e82)

(81823786)

2M56300

219441 1306220

433958 30933 717322

2414832 3990841

2007$562 2077340 I ~480

4S42778 1141 063

604311 322653

96718 82351110 45998 18

20715 251Wgt606

3738675

R

241 9 349 221599$ 2419972

547428 341 3$7

94950 sa 99

10008249 182~S$1

96017160 (21lOo97) (378845)

(6570022gtJ

24 834593 1

336 1695052

357009 6 11 818

23S7039 229818 1

898521 21lOo497 1481525 7152461 1969951 ~2~23

296178 770 17

t3 417ltl2tI 6792lt11 9

676857 27019865

2632165 11 32amp386 727 604+43









Restliled 2014 2013

bull 273309594

7IU45044 40499413

2524635 53883183

bull 2503781757

72334086 34933486

2735701 39274564

629297 m 13amp771 9i7653

606038 304180 1862n

12f17MlO

~104 681 057





LEO Human

Senlomenl Urban

and Rural

Development

716576 168000




Corporata ServiceS

7381156 2BO779 187533

Chid FInancial

OffICI

Tolal 1120$1268

LEO Humin


D~ooGIItit ed

lobull06O







87611 9 160000 176430

M32549

Chle FlnancllI

2013

30


Restated 2014 2013




In-kind Benffits









31 FINANCE COSTS


Audited

By

201~ -11- 3 0


bull 848997 683976

6365207 26 15010 9231447 1551300 4605766

bull 700005 559701

5 261 670 1881 97~ 6942596 1 ~ 52 284

4120965

215m267 73256

222137 22laquo1143

238162620

287915 2351190

2179S4a06 240 8G17251

2ii245980

--


32 BULK PURCHASES







Rampstated 2013

R R

422494179 405581 815

2W674O 1500558 564526amp 4160235 1070262 2084J39

954512 2318844 26 1314(1 3230596 8435922 26402854 2619443 148083

1 2~96657 11487034 5745865 3227479

21167900 24600490 3306445 2701387 9971674 2 5581~2

34396391 81 61826 43053491 22277526 19301307 18643985

1314J 72 21)59769 89834387 70178765

U459Jsts 206S44924

2767755 3810084 17500000 17500000 3039291 4281244

399975 282214 23707021 2$873$42


35 GENERAL EXPENSES







By




Restated 2014 2013

bull

306843 2468281

~282 203 2546 240

3202128 1274966 45 1 56~

2016260 2240517

35619597 184 971

10684583 1476 17 1

5367329 9111342 8575183 4720852 2380234

gtIll058 4474754

amp92658 8825867 1592328 3307854 19amp7808 4145741

269070 14529549 4000776 2427276 5425415 1449280 4629041 3479111 4123963 4481565

169421604

47802611 29850471 17952140

4860634 31830242 35372573

6557605 101Kl2844

2376275 1284480 12989 1 2323245

bull

446980 2182800 3054414 3261252 2509319 2419798 3297307 1121850

283637 2009850 1667859

31478190 1315027 1260060 1574379

41433949 ~2304316

152500 5938970 3542025 7526208 1095990 3365007

999 17144331

1530979 3150012 1854897 2561 167 7536986

456666 10663244 3442168 2655510 4957007 1800293 29743et 2453385 4214639 45844 18

196222416

~

49~1 9 4 30

28601209 I 20918221

8454590 26407153 25709897 9~ 1 9252

8374673 1199010 1624309

847333 832534




Non -CHh MovlrWInt
















R

(139386512)

(1816()84 ) 20529978

217954806 10387843 5504331

(6518760) 48538778

155254320

Re~to1Iteltl R

(119639331)

1000562 33621587

240801725 (637SS 151)

1760284 (1082366) 81 139830

173836091

(425808) (81358448)

2448048 (8540581)

156534834 40375380

2444599 (19686704)

267045539

(666785) (71 682604) 32825130

8957155 34388525 62818476

9655187 (10578228)

237552947

96112103 26109047 (65SO920)

1 1

(90825482)

(11217169) 47786







10~ _-3 0


2014








Restated balance



Ru tated 201 3

R

46S0182~

(28813899)

24 338183

(2678572) 40 134634

(40 t 34633) (2~ 1 45J)

(69501) (52196851)

(259a156) (100025) 183841

34404273 42S73S

(24338183)

27016755 2678572

24338183






70 74 4 81 6190876 883611

Audited By

2014 -1 1- 3 0


50


2lt) RHtated

2013





13339745 14486283

27826028

7873134 5466612

131~P45

Incident


Amount

14lt1186283





14[446283

77726913 43 196325 6626666 3453O5S7

863535118 777281113

Inc ldunt





Amount

7175177

055

524456

221997


424 MliteriaJ Lou

42011 EIctrlclly 10




8626688

627149351 640412055 577111 3(14 570624889

5lt1038(147 69587168 amp0 109

R 069 R 051

34526252 39664amp85


Audited

S

2019 --~n


MpUnlaHigltgt B~~~~

51

bull bull


Restated 2014 2013


4242 Wate IQliu









REGULATIONS




Audit lees






VAT

(5908812) 1048342



Opeoing Balance



throughout the year

PAYEend UIF







(8660120) 80188211A ~~ ~~lt~rs11- 3 0




52


R R

















44 COMMITMENTS





Restate(l 2014 2013






Toto 2824754






T





45 RELATED PARTIES









By

201~ -11 - 3 0




RU$II1

13 R R






Spouse Spouse

Spoo

108955 54588 29 950

193493






Credit risk








2014 2013 R



I g558127 13696409 84687623 36Si62S2

473009 17729

7 1


Restated 2014 2013




shy201 4 2013

R R


11 741959 8634896

15507992 7189325

114 2 07 111416677














By

2014 -11- 3 0


373371 91 70537405


Restated 2014 2013


Liquidity risk



















100000

2050000

1557166



ConlrllCl Claims







RelUlI1ed 2014 2013

R R

R 1$354017

535358

168506

11510110

191deg8deg1183

Audited By

2014 -11- 3 0





Contract Claims



R

813S463

113S4e3

7000000

R 2013

R













RlVenue





Debllmptlirrntnt


Finance charges


59


RUtat~d 2014 2013


Current lIabilitllS


Noncrrent liabl1htH



Cash Flow Statement










Audited By

2014 1130


60

(


APPENDIX A


durtng the period

the period off


LOltIn 1160


R25 000 OOO 1050


3 197612001

201412019 199812016 201412029 2010J2000 20052020

10864 148

177 151508

11 1276 1 531 694shy1497123

19387276

96483)

12082

3074575

48715913

61

t i shyamp i

I

I

shy

l ~

~ - - J~ i

~- ~ HI~fl

- ~ 1 ~ ~~

ssect - al-

iii

- g~~ ijUh s~ ltI

I~~ -middot I

- bull

~H- - ~~ bull

I c

I

~U5U ~HH tH ~

I-bull-

-

bull

I

~

-

i

bull

ibull

fJ

I


o

j bull jl

I

l

f ~ bull bull o

1 homiddot

I

j f


j r---

H U - ~~ ~ ~ ~ _ 11

bull





R R R R R


4372632 - 4372632 5245492 (872860) -17


123002 8973725 9096727 1546671 4 (6369987) 41


TOTAL 84231890 151824089 236055979 588969716 (172962071) -29

64 (





R R R R R R









17289998 60315807 51630673 193092200

10387845

1612200634 1730079732 (119639381) Tota l 1708313954 1847700526 (139386572)

65





67



68



HROM I

ffi I

I

~ Iv~

I

~ IWISA

1_ Tol1


60500 Hj

~ ~ =I ~ ~

I 3~

~ -

8642







DATE 29 August 2014

Audited

By

201~ -11-30


~



Note



Total assets


~

2014

R

279660608 20570005

38480 1062109 15

18085432 36 01 1806

2631868 9611 2103

5505816660 5151 359288

5471500 334 167526

434358 14383987

5785477268

842239476 16016973 22262338 39 64 1635

4638912

-295055540 459720278

4903799

Restated 2013

R

189656584 20144 197

17729 9 101 3690 20462987 38459854

-19558127

5487244454 5131020659

5693637 336360740

473009 13696409

5676901038

668455781 14259575 19817740 59328339

586191 8 5908813

138520706 419344898

5413792



Net assets 4457643890 4597030462

NET ASSETS I



201~ -11- 3u





R R

Revenue




Total revenue 1706497870 1612145631





139386572 119639381

~

)~

__UlU~



~

2



Note



at 30 June 2014


(25O34232a)

~ shyco - 3 0 - ) co ~ ~ -0 c - r C ~ n

~

--

c

shy-lt -

a

3



2014 2013 Note

R R


Receipts 1797603544 1601419229


Payments 1530558005 1369866282






Audited By



4









449022009 (36400)Employee Costs 4648681n 448985809 459896515 109 10~7 243




461 879133 542 114803 -4)5 514522160 80235 670 520165177 (21949626) Ottoer~res










332813472

2500000

105050000

135555197

441455840

4499813

88798290

7069a359

(635355)

(681~79Gl

(9032435)

440820485

4499813

61983494

61665924

165614338

2126835

25SJe192

37623701

(275205649)

(2372918)

(56445302)

(204222~)

middot624~

-527(4

middot66$5 389)

$7$9269 605452302 (15482$85) 588969716 230903554 (358066153) oUil Budgel 2425538841 23B292A219 240346t7t5 2062651 916 (340609799)

5





~ Tolaloonamenl~ 0 ~_ 5701656207 ~96982 1 6 14 - 5969821614 5505816660 (464004954) 77~r

otaIAmts 1 ~ 6021394818 6276036307 62761)36307 5785477268 (490559039) -782










6







IGRAP

~ 2 Cash Row~


0 Joo (a ceed 0 2010)

IGRAP

IGRAP IGRAP 16

_eae

Ihe

~ed o~ ~ ~~~

~ ed 0 2010)

~ n 2010)

s and Ass IGRAPi


of Cashshy








7

I





common control







pudited

By



8



















By

20~ - - 3 0


9



153 DEPRECIATION








1_54DERECOGNITION




101~ --30



10







163 AMORnSATIQN







Audited By

201~ -11- 3 0



11













174 DERECOGNITION



pudited

S~



12


18 HERITAGE ASSETS














184 DERECOGNITION








13







110 INVENTORIES








14






















15

















16









Audited BV

204 -- 3 0


17


114 REVENUE













lease agreement

bull Sale of goods




been met



asset




l~

l~~ --~ tl ~~nC3




114 REVENUE (cont)






11421 TAXES



bull Property Rates



11422 TRANSFERS








dlOOAa4r~aliggt----



2014 -11- 30


19


114 REVENUE (cont)

bull Fines








bull Other



115 BORROWING COSTS









20~ -11-30



20




















201~ -11- 3 0


21



















22













Audited

By

201~ -11-30



23


124 RELATED PARTIES














Audited

By

201~ -11- 3 0


ctical

24














Audited

By

2014 -1-30


25


2 INVENTORIES














Rtstllted 2014 2013

R R


R R

91130472 13954313 19276615 13239930

7489074 51 98586 44093785 34066355

161990005 66459184 24200170 13520076

18t111901115 799192amp0

104657481 87633397 5O t 77511 49116164

154834992 136749561


82186534 17174151 26626828 20391825 11271140 8811 357 68354451 5608944

188440954 102586277 36863137 31724724

Net balance R

77176J58 6036745 2290488

10027430 95530821 10680094

106210915

17024084 1061 347

18085432

Net balance

65014383 6235003 2459784

12145507 85854677

515901 4 225324891 134311001 91013 6901

122043134 19902431












27


2014

R

70865693 4328433 3372211 1549811 5485202

3466607 742825

1434795 775588

3562885 9293974

19276675

1160992 364130 713352 326078

1573724 3350799 7489074

4617056 2141064 1918237 1691799

11410388 22315241 44093785

3730594 911539

1403061 333276

1477132 16344568 24200170

83840942 8487991 8841656 4676553

23509330 56 833 703

186190 1751

Audited

2014

Audito

Restated 2013

R

35023793 3476236 1958310 1324420 8566371

1832225 763302 800078 927216

3662558 17493462 25478841

1123920 324532 454812 247182

1442207 7678387

11271140

4207506 1822615 1273236 1224282 8646489

51180323 68354451

3056429 562156 229165 264952

3622887 29148148 36883737

45243873 6948940 4715601 3988052

25940513 112161643

~Y273269 5 88~

- 1~ 7 946 bull 33O552

104657 81

198998623

I

19957 37 6697 51 4928 50 4750 17

Ar~ 1 9













-shy gtudited

BV

20~ _-30

I

26

Residential

bull

Residential

32546615 10491363

7689417 7282489

60920887 209006709 317937540

Restated 2014 2013

R

2090801 20 201687237 197469 169 18934 1401

1329103448 289106971 2

bull 1940764 1861317 1796675 1740345

12231 204 11292709

5017751 I

19364070 7897109 6890199 641 1360


bull 3811 5501 114fl621 2883378

924349


30883124 4093020 2659602 2094597

12727523 47930479

10deg3881544

346230919

37337191

(166839289)

90663074

R

Government

3712736 923486

1092047 1101629 398a669 2652614

1348179

3152654 14

70537405

39591900) 216728 821 346230919

1




















2014

bull 32532 811

1598342 98 1441

1390 22681 044

5490530 179934

1600123

53071483 14892487 2546329

65411641

50137059 11 201 587

61938646

3478995

36011806

2631868

9528527 1 767947

58885

Restated 2013

bull 36125430 26169545

414123

390

5496931 2691538 1351903

401 34634 16125850 3189001

SJ071483

40 134634shy10602425

SO737059

2334424

38459854

15908813)

15891105 10158257

sl~5

96112103 28109047

96112103 26109047

Audited By

201 -11-30


29


Restated

























i

27 109 26981 27 1091

24133

21 09

2013

R R

4467 4443

4472 4467

557829 557271

558965 557829

27 2681

2709 27268

JO

6
















Reslated 2014 2013

R R

840418S

8183317

50000000

50000000








Audited 1 055 t 141 109

1093


31

6




















20

R R

22816 26535

52106 SO038 54325 52106

52106 50008 54325 52106

101158 257 270801 767947 IOJ58257

10158255 270601

7671945 10158255 -

6













Restated 2014 2013

R R

1101 4737 537777 l1m437

24376706

24376706

Audited

By

2014 -11-30


33

J

i

i r

fmiddot I j

1

I bull


1 I

t i I I j

I I

bullI n

qI IIi I

Ii bull I

I bull I i t - t I

ibull ltf


south Africa


8

9


INTANGIBLE ASSETS









R R

1103069 4590568 5770933 4590568

4667864

Total R

5693637 10361501 4667864

(222137) (222137)


R R R








Oisposal

2014 R

336360740 348213238

11852498)

(2260143) 66930

Restated 2013

R

338711930 350977357 (2764119)

165963 (9667271)

(2351190)



ZU1~ -lI-JU


35


Restated 2014 2013




11 INVESTMENTS



12 BORROWINGS










922239 9071939




1998 21600000 1999 2016 22000000

2016 138600000

2030 200000000 2005 25000000

3770983 4495535 (3298144) (4004797)

jgS4S0) (17729) 4358 473009

14383961 13696409

14333987 13696409

3000

225068623 189 4278241


1050 ==~~~ 59624082O~~~5~3t 1

36

39641635 -9328339

24119371 1IIO~ 90$914

5-46926 1323414 1016481

26598420 22593973 10609534 10145674

-

bull bull


Restated 2014 2013

15 PROVISIONS











579 577

802 6 77~

225 100

81136147

1760264 5118018




t484449




4316065 4 1177177








~

9619036



TraOe paJ8bIf~


Accnted staff -ave











bull 151332653 134083127 28261065 27965892 29399654 9399432

49245885 4467962

19773593 5785016

459720218

2820523 (372 402) 1448121

7457202 10670766

7725980 (225788Z)

bull 1904$6 15

739397$3 30596372 27345051 27876954 8925338

340~ 2 loa

5809609 15754429 4598640

419344898

54 5727 (2595204) 2 8205231

1I68i92 133~ 1495

(6493a870) (2173001)






30 June 2014


l1bi~ty 1Q~ _-3 Q


868 pa 967 pa

65

Oecrease

bull (2153715)

(24950535) ~988963

3033464

(17761 39) (19639009)

2 427061 25596212

763 pa 927 pa

65

Increase

bull 2988640

lJ046849 (21 20778)

(24S40~76)

2443972 25185191 (1139777)

(19215665)


Re$tated 21l1


21110 200


7590080


Nof-(oooot portion



20 PROPERTY RATES

39





21112















R

2013

109367629 1093676211

2011

127571000

1514 127 11685912 1332 149$

(64938870) (217366)

109367629

107086568 2281061

1119 367 629 1 1

30626220 3472979 2543142 1172119

7_73 P II 700p1I

Im rell5e

(239906) (1936735)

(2t2165) (1518102)

34457349 3132731


2014 Restated

2013

R R


110128338 143197678

11249227 21806971

4226191 290608404

2906ot1404

109775382 130344585

10111027 19944561 4086403

274261958

274261958

Valuations


22 I73440593 10456526633

945971015 2263343200 5981003584 2386089987

44207275012

22059245547 10420552629

945971015 2258262523 6025763579 2536334990

44246170283



21 SERVICE CHARGES


6OO816891 65065595 27481996 15874061

709238543

536398751 59029266 24666699 15134173

635228839

22 FINANCE INCOME


22596148 3714173

169780 15027

26495129

14799431 3246046

232763

18278241



101071863 6131527

264617 52758786

4763B88 3014785

69717

106072831 7557013 4055932

43604499 433287

726398 596220 909654

2568159 4321244



BV

UIII _-3~ Ih plrica


MPUl1alanga 4Q







R

342 190000

6 92658 1476 171

129387116

150367 1639323

359287315

529930655

Restated 2013

R

312298000 1000000 104(1992 1560692 3009000

26740454 75361186

280904 2129987

26573762 382170797

550447876


1000000





3009000



16718 1550000

(1476171) 90547

77410 1500000

(1560692) 16718



(0) 890000

(692658) 191341

240992 800000

(1040992) (0)




2169542 4284 537 9 1amp0000 6500000

(6 131527) ( 7557013) (8SS4) ( 1os7982)

43S96l)1 2169542


Audited By

2014 -11-30


41













bull

7660000 (2568159)

(3595lt12)

4732299

123048282 24 t164ooo

(101071863) (12938796) 15961192)


(22439808) 123762000 (52758786)

(33-62252) 8000000 (264617)

(37046)

bull

85076e93 188062000

(10607283 1) (26740454) (1 7277426)

1

(62641514) 98703000

I

1241511

(4055932) (567831)




2186000

(30t4785) (422070)

(2814000) 5000000



689516


2014















2014 -II- 3 0

R

(9096gt4)

10036218 16105

(433287) 9619036

2458020

2954000 (596219)

(2 129987) (83471) 144323

3 1500000 (4321244)

(26573782) (604974)

26982

27110


27270


Restaled 2014 201 3



25 AGENCY FEE



Agency Fee


OTHER REVENUe


77 FINES


R

U32003 227$995 1726683

471463 3361)6lt 74120

11 7410 9993404

1a 592109 1

11 634 1308 (2077340) (3983e82)

(81823786)

2M56300

219441 1306220

433958 30933 717322

2414832 3990841

2007$562 2077340 I ~480

4S42778 1141 063

604311 322653

96718 82351110 45998 18

20715 251Wgt606

3738675

R

241 9 349 221599$ 2419972

547428 341 3$7

94950 sa 99

10008249 182~S$1

96017160 (21lOo97) (378845)

(6570022gtJ

24 834593 1

336 1695052

357009 6 11 818

23S7039 229818 1

898521 21lOo497 1481525 7152461 1969951 ~2~23

296178 770 17

t3 417ltl2tI 6792lt11 9

676857 27019865

2632165 11 32amp386 727 604+43









Restliled 2014 2013

bull 273309594

7IU45044 40499413

2524635 53883183

bull 2503781757

72334086 34933486

2735701 39274564

629297 m 13amp771 9i7653

606038 304180 1862n

12f17MlO

~104 681 057





LEO Human

Senlomenl Urban

and Rural

Development

716576 168000




Corporata ServiceS

7381156 2BO779 187533

Chid FInancial

OffICI

Tolal 1120$1268

LEO Humin


D~ooGIItit ed

lobull06O







87611 9 160000 176430

M32549

Chle FlnancllI

2013

30


Restated 2014 2013




In-kind Benffits









31 FINANCE COSTS


Audited

By

201~ -11- 3 0


bull 848997 683976

6365207 26 15010 9231447 1551300 4605766

bull 700005 559701

5 261 670 1881 97~ 6942596 1 ~ 52 284

4120965

215m267 73256

222137 22laquo1143

238162620

287915 2351190

2179S4a06 240 8G17251

2ii245980

--


32 BULK PURCHASES







Rampstated 2013

R R

422494179 405581 815

2W674O 1500558 564526amp 4160235 1070262 2084J39

954512 2318844 26 1314(1 3230596 8435922 26402854 2619443 148083

1 2~96657 11487034 5745865 3227479

21167900 24600490 3306445 2701387 9971674 2 5581~2

34396391 81 61826 43053491 22277526 19301307 18643985

1314J 72 21)59769 89834387 70178765

U459Jsts 206S44924

2767755 3810084 17500000 17500000 3039291 4281244

399975 282214 23707021 2$873$42


35 GENERAL EXPENSES







By




Restated 2014 2013

bull

306843 2468281

~282 203 2546 240

3202128 1274966 45 1 56~

2016260 2240517

35619597 184 971

10684583 1476 17 1

5367329 9111342 8575183 4720852 2380234

gtIll058 4474754

amp92658 8825867 1592328 3307854 19amp7808 4145741

269070 14529549 4000776 2427276 5425415 1449280 4629041 3479111 4123963 4481565

169421604

47802611 29850471 17952140

4860634 31830242 35372573

6557605 101Kl2844

2376275 1284480 12989 1 2323245

bull

446980 2182800 3054414 3261252 2509319 2419798 3297307 1121850

283637 2009850 1667859

31478190 1315027 1260060 1574379

41433949 ~2304316

152500 5938970 3542025 7526208 1095990 3365007

999 17144331

1530979 3150012 1854897 2561 167 7536986

456666 10663244 3442168 2655510 4957007 1800293 29743et 2453385 4214639 45844 18

196222416

~

49~1 9 4 30

28601209 I 20918221

8454590 26407153 25709897 9~ 1 9252

8374673 1199010 1624309

847333 832534




Non -CHh MovlrWInt
















R

(139386512)

(1816()84 ) 20529978

217954806 10387843 5504331

(6518760) 48538778

155254320

Re~to1Iteltl R

(119639331)

1000562 33621587

240801725 (637SS 151)

1760284 (1082366) 81 139830

173836091

(425808) (81358448)

2448048 (8540581)

156534834 40375380

2444599 (19686704)

267045539

(666785) (71 682604) 32825130

8957155 34388525 62818476

9655187 (10578228)

237552947

96112103 26109047 (65SO920)

1 1

(90825482)

(11217169) 47786







10~ _-3 0


2014








Restated balance



Ru tated 201 3

R

46S0182~

(28813899)

24 338183

(2678572) 40 134634

(40 t 34633) (2~ 1 45J)

(69501) (52196851)

(259a156) (100025) 183841

34404273 42S73S

(24338183)

27016755 2678572

24338183






70 74 4 81 6190876 883611

Audited By

2014 -1 1- 3 0


50


2lt) RHtated

2013





13339745 14486283

27826028

7873134 5466612

131~P45

Incident


Amount

14lt1186283





14[446283

77726913 43 196325 6626666 3453O5S7

863535118 777281113

Inc ldunt





Amount

7175177

055

524456

221997


424 MliteriaJ Lou

42011 EIctrlclly 10




8626688

627149351 640412055 577111 3(14 570624889

5lt1038(147 69587168 amp0 109

R 069 R 051

34526252 39664amp85


Audited

S

2019 --~n


MpUnlaHigltgt B~~~~

51

bull bull


Restated 2014 2013


4242 Wate IQliu









REGULATIONS




Audit lees






VAT

(5908812) 1048342



Opeoing Balance



throughout the year

PAYEend UIF







(8660120) 80188211A ~~ ~~lt~rs11- 3 0




52


R R

















44 COMMITMENTS





Restate(l 2014 2013






Toto 2824754






T





45 RELATED PARTIES









By

201~ -11 - 3 0




RU$II1

13 R R






Spouse Spouse

Spoo

108955 54588 29 950

193493






Credit risk








2014 2013 R



I g558127 13696409 84687623 36Si62S2

473009 17729

7 1


Restated 2014 2013




shy201 4 2013

R R


11 741959 8634896

15507992 7189325

114 2 07 111416677














By

2014 -11- 3 0


373371 91 70537405


Restated 2014 2013


Liquidity risk



















100000

2050000

1557166



ConlrllCl Claims







RelUlI1ed 2014 2013

R R

R 1$354017

535358

168506

11510110

191deg8deg1183

Audited By

2014 -11- 3 0





Contract Claims



R

813S463

113S4e3

7000000

R 2013

R













RlVenue





Debllmptlirrntnt


Finance charges


59


RUtat~d 2014 2013


Current lIabilitllS


Noncrrent liabl1htH



Cash Flow Statement










Audited By

2014 1130


60

(


APPENDIX A


durtng the period

the period off


LOltIn 1160


R25 000 OOO 1050


3 197612001

201412019 199812016 201412029 2010J2000 20052020

10864 148

177 151508

11 1276 1 531 694shy1497123

19387276

96483)

12082

3074575

48715913

61

t i shyamp i

I

I

shy

l ~

~ - - J~ i

~- ~ HI~fl

- ~ 1 ~ ~~

ssect - al-

iii

- g~~ ijUh s~ ltI

I~~ -middot I

- bull

~H- - ~~ bull

I c

I

~U5U ~HH tH ~

I-bull-

-

bull

I

~

-

i

bull

ibull

fJ

I


o

j bull jl

I

l

f ~ bull bull o

1 homiddot

I

j f


j r---

H U - ~~ ~ ~ ~ _ 11

bull





R R R R R


4372632 - 4372632 5245492 (872860) -17


123002 8973725 9096727 1546671 4 (6369987) 41


TOTAL 84231890 151824089 236055979 588969716 (172962071) -29

64 (





R R R R R R









17289998 60315807 51630673 193092200

10387845

1612200634 1730079732 (119639381) Tota l 1708313954 1847700526 (139386572)

65





67



68



HROM I

ffi I

I

~ Iv~

I

~ IWISA

1_ Tol1


60500 Hj

~ ~ =I ~ ~

I 3~

~ -

8642

~



Note



Total assets


~

2014

R

279660608 20570005

38480 1062109 15

18085432 36 01 1806

2631868 9611 2103

5505816660 5151 359288

5471500 334 167526

434358 14383987

5785477268

842239476 16016973 22262338 39 64 1635

4638912

-295055540 459720278

4903799

Restated 2013

R

189656584 20144 197

17729 9 101 3690 20462987 38459854

-19558127

5487244454 5131020659

5693637 336360740

473009 13696409

5676901038

668455781 14259575 19817740 59328339

586191 8 5908813

138520706 419344898

5413792



Net assets 4457643890 4597030462

NET ASSETS I



201~ -11- 3u





R R

Revenue




Total revenue 1706497870 1612145631





139386572 119639381

~

)~

__UlU~



~

2



Note



at 30 June 2014


(25O34232a)

~ shyco - 3 0 - ) co ~ ~ -0 c - r C ~ n

~

--

c

shy-lt -

a

3



2014 2013 Note

R R


Receipts 1797603544 1601419229


Payments 1530558005 1369866282






Audited By



4









449022009 (36400)Employee Costs 4648681n 448985809 459896515 109 10~7 243




461 879133 542 114803 -4)5 514522160 80235 670 520165177 (21949626) Ottoer~res










332813472

2500000

105050000

135555197

441455840

4499813

88798290

7069a359

(635355)

(681~79Gl

(9032435)

440820485

4499813

61983494

61665924

165614338

2126835

25SJe192

37623701

(275205649)

(2372918)

(56445302)

(204222~)

middot624~

-527(4

middot66$5 389)

$7$9269 605452302 (15482$85) 588969716 230903554 (358066153) oUil Budgel 2425538841 23B292A219 240346t7t5 2062651 916 (340609799)

5





~ Tolaloonamenl~ 0 ~_ 5701656207 ~96982 1 6 14 - 5969821614 5505816660 (464004954) 77~r

otaIAmts 1 ~ 6021394818 6276036307 62761)36307 5785477268 (490559039) -782










6







IGRAP

~ 2 Cash Row~


0 Joo (a ceed 0 2010)

IGRAP

IGRAP IGRAP 16

_eae

Ihe

~ed o~ ~ ~~~

~ ed 0 2010)

~ n 2010)

s and Ass IGRAPi


of Cashshy








7

I





common control







pudited

By



8



















By

20~ - - 3 0


9



153 DEPRECIATION








1_54DERECOGNITION




101~ --30



10







163 AMORnSATIQN







Audited By

201~ -11- 3 0



11













174 DERECOGNITION



pudited

S~



12


18 HERITAGE ASSETS














184 DERECOGNITION








13







110 INVENTORIES








14






















15

















16









Audited BV

204 -- 3 0


17


114 REVENUE













lease agreement

bull Sale of goods




been met



asset




l~

l~~ --~ tl ~~nC3




114 REVENUE (cont)






11421 TAXES



bull Property Rates



11422 TRANSFERS








dlOOAa4r~aliggt----



2014 -11- 30


19


114 REVENUE (cont)

bull Fines








bull Other



115 BORROWING COSTS









20~ -11-30



20




















201~ -11- 3 0


21



















22













Audited

By

201~ -11-30



23


124 RELATED PARTIES














Audited

By

201~ -11- 3 0


ctical

24














Audited

By

2014 -1-30


25


2 INVENTORIES














Rtstllted 2014 2013

R R


R R

91130472 13954313 19276615 13239930

7489074 51 98586 44093785 34066355

161990005 66459184 24200170 13520076

18t111901115 799192amp0

104657481 87633397 5O t 77511 49116164

154834992 136749561


82186534 17174151 26626828 20391825 11271140 8811 357 68354451 5608944

188440954 102586277 36863137 31724724

Net balance R

77176J58 6036745 2290488

10027430 95530821 10680094

106210915

17024084 1061 347

18085432

Net balance

65014383 6235003 2459784

12145507 85854677

515901 4 225324891 134311001 91013 6901

122043134 19902431












27


2014

R

70865693 4328433 3372211 1549811 5485202

3466607 742825

1434795 775588

3562885 9293974

19276675

1160992 364130 713352 326078

1573724 3350799 7489074

4617056 2141064 1918237 1691799

11410388 22315241 44093785

3730594 911539

1403061 333276

1477132 16344568 24200170

83840942 8487991 8841656 4676553

23509330 56 833 703

186190 1751

Audited

2014

Audito

Restated 2013

R

35023793 3476236 1958310 1324420 8566371

1832225 763302 800078 927216

3662558 17493462 25478841

1123920 324532 454812 247182

1442207 7678387

11271140

4207506 1822615 1273236 1224282 8646489

51180323 68354451

3056429 562156 229165 264952

3622887 29148148 36883737

45243873 6948940 4715601 3988052

25940513 112161643

~Y273269 5 88~

- 1~ 7 946 bull 33O552

104657 81

198998623

I

19957 37 6697 51 4928 50 4750 17

Ar~ 1 9













-shy gtudited

BV

20~ _-30

I

26

Residential

bull

Residential

32546615 10491363

7689417 7282489

60920887 209006709 317937540

Restated 2014 2013

R

2090801 20 201687237 197469 169 18934 1401

1329103448 289106971 2

bull 1940764 1861317 1796675 1740345

12231 204 11292709

5017751 I

19364070 7897109 6890199 641 1360


bull 3811 5501 114fl621 2883378

924349


30883124 4093020 2659602 2094597

12727523 47930479

10deg3881544

346230919

37337191

(166839289)

90663074

R

Government

3712736 923486

1092047 1101629 398a669 2652614

1348179

3152654 14

70537405

39591900) 216728 821 346230919

1




















2014

bull 32532 811

1598342 98 1441

1390 22681 044

5490530 179934

1600123

53071483 14892487 2546329

65411641

50137059 11 201 587

61938646

3478995

36011806

2631868

9528527 1 767947

58885

Restated 2013

bull 36125430 26169545

414123

390

5496931 2691538 1351903

401 34634 16125850 3189001

SJ071483

40 134634shy10602425

SO737059

2334424

38459854

15908813)

15891105 10158257

sl~5

96112103 28109047

96112103 26109047

Audited By

201 -11-30


29


Restated

























i

27 109 26981 27 1091

24133

21 09

2013

R R

4467 4443

4472 4467

557829 557271

558965 557829

27 2681

2709 27268

JO

6
















Reslated 2014 2013

R R

840418S

8183317

50000000

50000000








Audited 1 055 t 141 109

1093


31

6




















20

R R

22816 26535

52106 SO038 54325 52106

52106 50008 54325 52106

101158 257 270801 767947 IOJ58257

10158255 270601

7671945 10158255 -

6













Restated 2014 2013

R R

1101 4737 537777 l1m437

24376706

24376706

Audited

By

2014 -11-30


33

J

i

i r

fmiddot I j

1

I bull


1 I

t i I I j

I I

bullI n

qI IIi I

Ii bull I

I bull I i t - t I

ibull ltf


south Africa


8

9


INTANGIBLE ASSETS









R R

1103069 4590568 5770933 4590568

4667864

Total R

5693637 10361501 4667864

(222137) (222137)


R R R








Oisposal

2014 R

336360740 348213238

11852498)

(2260143) 66930

Restated 2013

R

338711930 350977357 (2764119)

165963 (9667271)

(2351190)



ZU1~ -lI-JU


35


Restated 2014 2013




11 INVESTMENTS



12 BORROWINGS










922239 9071939




1998 21600000 1999 2016 22000000

2016 138600000

2030 200000000 2005 25000000

3770983 4495535 (3298144) (4004797)

jgS4S0) (17729) 4358 473009

14383961 13696409

14333987 13696409

3000

225068623 189 4278241


1050 ==~~~ 59624082O~~~5~3t 1

36

39641635 -9328339

24119371 1IIO~ 90$914

5-46926 1323414 1016481

26598420 22593973 10609534 10145674

-

bull bull


Restated 2014 2013

15 PROVISIONS











579 577

802 6 77~

225 100

81136147

1760264 5118018




t484449




4316065 4 1177177








~

9619036



TraOe paJ8bIf~


Accnted staff -ave











bull 151332653 134083127 28261065 27965892 29399654 9399432

49245885 4467962

19773593 5785016

459720218

2820523 (372 402) 1448121

7457202 10670766

7725980 (225788Z)

bull 1904$6 15

739397$3 30596372 27345051 27876954 8925338

340~ 2 loa

5809609 15754429 4598640

419344898

54 5727 (2595204) 2 8205231

1I68i92 133~ 1495

(6493a870) (2173001)






30 June 2014


l1bi~ty 1Q~ _-3 Q


868 pa 967 pa

65

Oecrease

bull (2153715)

(24950535) ~988963

3033464

(17761 39) (19639009)

2 427061 25596212

763 pa 927 pa

65

Increase

bull 2988640

lJ046849 (21 20778)

(24S40~76)

2443972 25185191 (1139777)

(19215665)


Re$tated 21l1


21110 200


7590080


Nof-(oooot portion



20 PROPERTY RATES

39





21112















R

2013

109367629 1093676211

2011

127571000

1514 127 11685912 1332 149$

(64938870) (217366)

109367629

107086568 2281061

1119 367 629 1 1

30626220 3472979 2543142 1172119

7_73 P II 700p1I

Im rell5e

(239906) (1936735)

(2t2165) (1518102)

34457349 3132731


2014 Restated

2013

R R


110128338 143197678

11249227 21806971

4226191 290608404

2906ot1404

109775382 130344585

10111027 19944561 4086403

274261958

274261958

Valuations


22 I73440593 10456526633

945971015 2263343200 5981003584 2386089987

44207275012

22059245547 10420552629

945971015 2258262523 6025763579 2536334990

44246170283



21 SERVICE CHARGES


6OO816891 65065595 27481996 15874061

709238543

536398751 59029266 24666699 15134173

635228839

22 FINANCE INCOME


22596148 3714173

169780 15027

26495129

14799431 3246046

232763

18278241



101071863 6131527

264617 52758786

4763B88 3014785

69717

106072831 7557013 4055932

43604499 433287

726398 596220 909654

2568159 4321244



BV

UIII _-3~ Ih plrica


MPUl1alanga 4Q







R

342 190000

6 92658 1476 171

129387116

150367 1639323

359287315

529930655

Restated 2013

R

312298000 1000000 104(1992 1560692 3009000

26740454 75361186

280904 2129987

26573762 382170797

550447876


1000000





3009000



16718 1550000

(1476171) 90547

77410 1500000

(1560692) 16718



(0) 890000

(692658) 191341

240992 800000

(1040992) (0)




2169542 4284 537 9 1amp0000 6500000

(6 131527) ( 7557013) (8SS4) ( 1os7982)

43S96l)1 2169542


Audited By

2014 -11-30


41













bull

7660000 (2568159)

(3595lt12)

4732299

123048282 24 t164ooo

(101071863) (12938796) 15961192)


(22439808) 123762000 (52758786)

(33-62252) 8000000 (264617)

(37046)

bull

85076e93 188062000

(10607283 1) (26740454) (1 7277426)

1

(62641514) 98703000

I

1241511

(4055932) (567831)




2186000

(30t4785) (422070)

(2814000) 5000000



689516


2014















2014 -II- 3 0

R

(9096gt4)

10036218 16105

(433287) 9619036

2458020

2954000 (596219)

(2 129987) (83471) 144323

3 1500000 (4321244)

(26573782) (604974)

26982

27110


27270


Restaled 2014 201 3



25 AGENCY FEE



Agency Fee


OTHER REVENUe


77 FINES


R

U32003 227$995 1726683

471463 3361)6lt 74120

11 7410 9993404

1a 592109 1

11 634 1308 (2077340) (3983e82)

(81823786)

2M56300

219441 1306220

433958 30933 717322

2414832 3990841

2007$562 2077340 I ~480

4S42778 1141 063

604311 322653

96718 82351110 45998 18

20715 251Wgt606

3738675

R

241 9 349 221599$ 2419972

547428 341 3$7

94950 sa 99

10008249 182~S$1

96017160 (21lOo97) (378845)

(6570022gtJ

24 834593 1

336 1695052

357009 6 11 818

23S7039 229818 1

898521 21lOo497 1481525 7152461 1969951 ~2~23

296178 770 17

t3 417ltl2tI 6792lt11 9

676857 27019865

2632165 11 32amp386 727 604+43









Restliled 2014 2013

bull 273309594

7IU45044 40499413

2524635 53883183

bull 2503781757

72334086 34933486

2735701 39274564

629297 m 13amp771 9i7653

606038 304180 1862n

12f17MlO

~104 681 057





LEO Human

Senlomenl Urban

and Rural

Development

716576 168000




Corporata ServiceS

7381156 2BO779 187533

Chid FInancial

OffICI

Tolal 1120$1268

LEO Humin


D~ooGIItit ed

lobull06O







87611 9 160000 176430

M32549

Chle FlnancllI

2013

30


Restated 2014 2013




In-kind Benffits









31 FINANCE COSTS


Audited

By

201~ -11- 3 0


bull 848997 683976

6365207 26 15010 9231447 1551300 4605766

bull 700005 559701

5 261 670 1881 97~ 6942596 1 ~ 52 284

4120965

215m267 73256

222137 22laquo1143

238162620

287915 2351190

2179S4a06 240 8G17251

2ii245980

--


32 BULK PURCHASES







Rampstated 2013

R R

422494179 405581 815

2W674O 1500558 564526amp 4160235 1070262 2084J39

954512 2318844 26 1314(1 3230596 8435922 26402854 2619443 148083

1 2~96657 11487034 5745865 3227479

21167900 24600490 3306445 2701387 9971674 2 5581~2

34396391 81 61826 43053491 22277526 19301307 18643985

1314J 72 21)59769 89834387 70178765

U459Jsts 206S44924

2767755 3810084 17500000 17500000 3039291 4281244

399975 282214 23707021 2$873$42


35 GENERAL EXPENSES







By




Restated 2014 2013

bull

306843 2468281

~282 203 2546 240

3202128 1274966 45 1 56~

2016260 2240517

35619597 184 971

10684583 1476 17 1

5367329 9111342 8575183 4720852 2380234

gtIll058 4474754

amp92658 8825867 1592328 3307854 19amp7808 4145741

269070 14529549 4000776 2427276 5425415 1449280 4629041 3479111 4123963 4481565

169421604

47802611 29850471 17952140

4860634 31830242 35372573

6557605 101Kl2844

2376275 1284480 12989 1 2323245

bull

446980 2182800 3054414 3261252 2509319 2419798 3297307 1121850

283637 2009850 1667859

31478190 1315027 1260060 1574379

41433949 ~2304316

152500 5938970 3542025 7526208 1095990 3365007

999 17144331

1530979 3150012 1854897 2561 167 7536986

456666 10663244 3442168 2655510 4957007 1800293 29743et 2453385 4214639 45844 18

196222416

~

49~1 9 4 30

28601209 I 20918221

8454590 26407153 25709897 9~ 1 9252

8374673 1199010 1624309

847333 832534




Non -CHh MovlrWInt
















R

(139386512)

(1816()84 ) 20529978

217954806 10387843 5504331

(6518760) 48538778

155254320

Re~to1Iteltl R

(119639331)

1000562 33621587

240801725 (637SS 151)

1760284 (1082366) 81 139830

173836091

(425808) (81358448)

2448048 (8540581)

156534834 40375380

2444599 (19686704)

267045539

(666785) (71 682604) 32825130

8957155 34388525 62818476

9655187 (10578228)

237552947

96112103 26109047 (65SO920)

1 1

(90825482)

(11217169) 47786







10~ _-3 0


2014








Restated balance



Ru tated 201 3

R

46S0182~

(28813899)

24 338183

(2678572) 40 134634

(40 t 34633) (2~ 1 45J)

(69501) (52196851)

(259a156) (100025) 183841

34404273 42S73S

(24338183)

27016755 2678572

24338183






70 74 4 81 6190876 883611

Audited By

2014 -1 1- 3 0


50


2lt) RHtated

2013





13339745 14486283

27826028

7873134 5466612

131~P45

Incident


Amount

14lt1186283





14[446283

77726913 43 196325 6626666 3453O5S7

863535118 777281113

Inc ldunt





Amount

7175177

055

524456

221997


424 MliteriaJ Lou

42011 EIctrlclly 10




8626688

627149351 640412055 577111 3(14 570624889

5lt1038(147 69587168 amp0 109

R 069 R 051

34526252 39664amp85


Audited

S

2019 --~n


MpUnlaHigltgt B~~~~

51

bull bull


Restated 2014 2013


4242 Wate IQliu









REGULATIONS




Audit lees






VAT

(5908812) 1048342



Opeoing Balance



throughout the year

PAYEend UIF







(8660120) 80188211A ~~ ~~lt~rs11- 3 0




52


R R

















44 COMMITMENTS





Restate(l 2014 2013






Toto 2824754






T





45 RELATED PARTIES









By

201~ -11 - 3 0




RU$II1

13 R R






Spouse Spouse

Spoo

108955 54588 29 950

193493






Credit risk








2014 2013 R



I g558127 13696409 84687623 36Si62S2

473009 17729

7 1


Restated 2014 2013




shy201 4 2013

R R


11 741959 8634896

15507992 7189325

114 2 07 111416677














By

2014 -11- 3 0


373371 91 70537405


Restated 2014 2013


Liquidity risk



















100000

2050000

1557166



ConlrllCl Claims







RelUlI1ed 2014 2013

R R

R 1$354017

535358

168506

11510110

191deg8deg1183

Audited By

2014 -11- 3 0





Contract Claims



R

813S463

113S4e3

7000000

R 2013

R













RlVenue





Debllmptlirrntnt


Finance charges


59


RUtat~d 2014 2013


Current lIabilitllS


Noncrrent liabl1htH



Cash Flow Statement










Audited By

2014 1130


60

(


APPENDIX A


durtng the period

the period off


LOltIn 1160


R25 000 OOO 1050


3 197612001

201412019 199812016 201412029 2010J2000 20052020

10864 148

177 151508

11 1276 1 531 694shy1497123

19387276

96483)

12082

3074575

48715913

61

t i shyamp i

I

I

shy

l ~

~ - - J~ i

~- ~ HI~fl

- ~ 1 ~ ~~

ssect - al-

iii

- g~~ ijUh s~ ltI

I~~ -middot I

- bull

~H- - ~~ bull

I c

I

~U5U ~HH tH ~

I-bull-

-

bull

I

~

-

i

bull

ibull

fJ

I


o

j bull jl

I

l

f ~ bull bull o

1 homiddot

I

j f


j r---

H U - ~~ ~ ~ ~ _ 11

bull





R R R R R


4372632 - 4372632 5245492 (872860) -17


123002 8973725 9096727 1546671 4 (6369987) 41


TOTAL 84231890 151824089 236055979 588969716 (172962071) -29

64 (





R R R R R R









17289998 60315807 51630673 193092200

10387845

1612200634 1730079732 (119639381) Tota l 1708313954 1847700526 (139386572)

65





67



68



HROM I

ffi I

I

~ Iv~

I

~ IWISA

1_ Tol1


60500 Hj

~ ~ =I ~ ~

I 3~

~ -

8642




R R

Revenue




Total revenue 1706497870 1612145631





139386572 119639381

~

)~

__UlU~



~

2



Note



at 30 June 2014


(25O34232a)

~ shyco - 3 0 - ) co ~ ~ -0 c - r C ~ n

~

--

c

shy-lt -

a

3



2014 2013 Note

R R


Receipts 1797603544 1601419229


Payments 1530558005 1369866282






Audited By



4









449022009 (36400)Employee Costs 4648681n 448985809 459896515 109 10~7 243




461 879133 542 114803 -4)5 514522160 80235 670 520165177 (21949626) Ottoer~res










332813472

2500000

105050000

135555197

441455840

4499813

88798290

7069a359

(635355)

(681~79Gl

(9032435)

440820485

4499813

61983494

61665924

165614338

2126835

25SJe192

37623701

(275205649)

(2372918)

(56445302)

(204222~)

middot624~

-527(4

middot66$5 389)

$7$9269 605452302 (15482$85) 588969716 230903554 (358066153) oUil Budgel 2425538841 23B292A219 240346t7t5 2062651 916 (340609799)

5





~ Tolaloonamenl~ 0 ~_ 5701656207 ~96982 1 6 14 - 5969821614 5505816660 (464004954) 77~r

otaIAmts 1 ~ 6021394818 6276036307 62761)36307 5785477268 (490559039) -782










6







IGRAP

~ 2 Cash Row~


0 Joo (a ceed 0 2010)

IGRAP

IGRAP IGRAP 16

_eae

Ihe

~ed o~ ~ ~~~

~ ed 0 2010)

~ n 2010)

s and Ass IGRAPi


of Cashshy








7

I





common control







pudited

By



8



















By

20~ - - 3 0


9



153 DEPRECIATION








1_54DERECOGNITION




101~ --30



10







163 AMORnSATIQN







Audited By

201~ -11- 3 0



11













174 DERECOGNITION



pudited

S~



12


18 HERITAGE ASSETS














184 DERECOGNITION








13







110 INVENTORIES








14






















15

















16









Audited BV

204 -- 3 0


17


114 REVENUE













lease agreement

bull Sale of goods




been met



asset




l~

l~~ --~ tl ~~nC3




114 REVENUE (cont)






11421 TAXES



bull Property Rates



11422 TRANSFERS








dlOOAa4r~aliggt----



2014 -11- 30


19


114 REVENUE (cont)

bull Fines








bull Other



115 BORROWING COSTS









20~ -11-30



20




















201~ -11- 3 0


21



















22













Audited

By

201~ -11-30



23


124 RELATED PARTIES














Audited

By

201~ -11- 3 0


ctical

24














Audited

By

2014 -1-30


25


2 INVENTORIES














Rtstllted 2014 2013

R R


R R

91130472 13954313 19276615 13239930

7489074 51 98586 44093785 34066355

161990005 66459184 24200170 13520076

18t111901115 799192amp0

104657481 87633397 5O t 77511 49116164

154834992 136749561


82186534 17174151 26626828 20391825 11271140 8811 357 68354451 5608944

188440954 102586277 36863137 31724724

Net balance R

77176J58 6036745 2290488

10027430 95530821 10680094

106210915

17024084 1061 347

18085432

Net balance

65014383 6235003 2459784

12145507 85854677

515901 4 225324891 134311001 91013 6901

122043134 19902431












27


2014

R

70865693 4328433 3372211 1549811 5485202

3466607 742825

1434795 775588

3562885 9293974

19276675

1160992 364130 713352 326078

1573724 3350799 7489074

4617056 2141064 1918237 1691799

11410388 22315241 44093785

3730594 911539

1403061 333276

1477132 16344568 24200170

83840942 8487991 8841656 4676553

23509330 56 833 703

186190 1751

Audited

2014

Audito

Restated 2013

R

35023793 3476236 1958310 1324420 8566371

1832225 763302 800078 927216

3662558 17493462 25478841

1123920 324532 454812 247182

1442207 7678387

11271140

4207506 1822615 1273236 1224282 8646489

51180323 68354451

3056429 562156 229165 264952

3622887 29148148 36883737

45243873 6948940 4715601 3988052

25940513 112161643

~Y273269 5 88~

- 1~ 7 946 bull 33O552

104657 81

198998623

I

19957 37 6697 51 4928 50 4750 17

Ar~ 1 9













-shy gtudited

BV

20~ _-30

I

26

Residential

bull

Residential

32546615 10491363

7689417 7282489

60920887 209006709 317937540

Restated 2014 2013

R

2090801 20 201687237 197469 169 18934 1401

1329103448 289106971 2

bull 1940764 1861317 1796675 1740345

12231 204 11292709

5017751 I

19364070 7897109 6890199 641 1360


bull 3811 5501 114fl621 2883378

924349


30883124 4093020 2659602 2094597

12727523 47930479

10deg3881544

346230919

37337191

(166839289)

90663074

R

Government

3712736 923486

1092047 1101629 398a669 2652614

1348179

3152654 14

70537405

39591900) 216728 821 346230919

1




















2014

bull 32532 811

1598342 98 1441

1390 22681 044

5490530 179934

1600123

53071483 14892487 2546329

65411641

50137059 11 201 587

61938646

3478995

36011806

2631868

9528527 1 767947

58885

Restated 2013

bull 36125430 26169545

414123

390

5496931 2691538 1351903

401 34634 16125850 3189001

SJ071483

40 134634shy10602425

SO737059

2334424

38459854

15908813)

15891105 10158257

sl~5

96112103 28109047

96112103 26109047

Audited By

201 -11-30


29


Restated

























i

27 109 26981 27 1091

24133

21 09

2013

R R

4467 4443

4472 4467

557829 557271

558965 557829

27 2681

2709 27268

JO

6
















Reslated 2014 2013

R R

840418S

8183317

50000000

50000000








Audited 1 055 t 141 109

1093


31

6




















20

R R

22816 26535

52106 SO038 54325 52106

52106 50008 54325 52106

101158 257 270801 767947 IOJ58257

10158255 270601

7671945 10158255 -

6













Restated 2014 2013

R R

1101 4737 537777 l1m437

24376706

24376706

Audited

By

2014 -11-30


33

J

i

i r

fmiddot I j

1

I bull


1 I

t i I I j

I I

bullI n

qI IIi I

Ii bull I

I bull I i t - t I

ibull ltf


south Africa


8

9


INTANGIBLE ASSETS









R R

1103069 4590568 5770933 4590568

4667864

Total R

5693637 10361501 4667864

(222137) (222137)


R R R








Oisposal

2014 R

336360740 348213238

11852498)

(2260143) 66930

Restated 2013

R

338711930 350977357 (2764119)

165963 (9667271)

(2351190)



ZU1~ -lI-JU


35


Restated 2014 2013




11 INVESTMENTS



12 BORROWINGS










922239 9071939




1998 21600000 1999 2016 22000000

2016 138600000

2030 200000000 2005 25000000

3770983 4495535 (3298144) (4004797)

jgS4S0) (17729) 4358 473009

14383961 13696409

14333987 13696409

3000

225068623 189 4278241


1050 ==~~~ 59624082O~~~5~3t 1

36

39641635 -9328339

24119371 1IIO~ 90$914

5-46926 1323414 1016481

26598420 22593973 10609534 10145674

-

bull bull


Restated 2014 2013

15 PROVISIONS











579 577

802 6 77~

225 100

81136147

1760264 5118018




t484449




4316065 4 1177177








~

9619036



TraOe paJ8bIf~


Accnted staff -ave











bull 151332653 134083127 28261065 27965892 29399654 9399432

49245885 4467962

19773593 5785016

459720218

2820523 (372 402) 1448121

7457202 10670766

7725980 (225788Z)

bull 1904$6 15

739397$3 30596372 27345051 27876954 8925338

340~ 2 loa

5809609 15754429 4598640

419344898

54 5727 (2595204) 2 8205231

1I68i92 133~ 1495

(6493a870) (2173001)






30 June 2014


l1bi~ty 1Q~ _-3 Q


868 pa 967 pa

65

Oecrease

bull (2153715)

(24950535) ~988963

3033464

(17761 39) (19639009)

2 427061 25596212

763 pa 927 pa

65

Increase

bull 2988640

lJ046849 (21 20778)

(24S40~76)

2443972 25185191 (1139777)

(19215665)


Re$tated 21l1


21110 200


7590080


Nof-(oooot portion



20 PROPERTY RATES

39





21112















R

2013

109367629 1093676211

2011

127571000

1514 127 11685912 1332 149$

(64938870) (217366)

109367629

107086568 2281061

1119 367 629 1 1

30626220 3472979 2543142 1172119

7_73 P II 700p1I

Im rell5e

(239906) (1936735)

(2t2165) (1518102)

34457349 3132731


2014 Restated

2013

R R


110128338 143197678

11249227 21806971

4226191 290608404

2906ot1404

109775382 130344585

10111027 19944561 4086403

274261958

274261958

Valuations


22 I73440593 10456526633

945971015 2263343200 5981003584 2386089987

44207275012

22059245547 10420552629

945971015 2258262523 6025763579 2536334990

44246170283



21 SERVICE CHARGES


6OO816891 65065595 27481996 15874061

709238543

536398751 59029266 24666699 15134173

635228839

22 FINANCE INCOME


22596148 3714173

169780 15027

26495129

14799431 3246046

232763

18278241



101071863 6131527

264617 52758786

4763B88 3014785

69717

106072831 7557013 4055932

43604499 433287

726398 596220 909654

2568159 4321244



BV

UIII _-3~ Ih plrica


MPUl1alanga 4Q







R

342 190000

6 92658 1476 171

129387116

150367 1639323

359287315

529930655

Restated 2013

R

312298000 1000000 104(1992 1560692 3009000

26740454 75361186

280904 2129987

26573762 382170797

550447876


1000000





3009000



16718 1550000

(1476171) 90547

77410 1500000

(1560692) 16718



(0) 890000

(692658) 191341

240992 800000

(1040992) (0)




2169542 4284 537 9 1amp0000 6500000

(6 131527) ( 7557013) (8SS4) ( 1os7982)

43S96l)1 2169542


Audited By

2014 -11-30


41













bull

7660000 (2568159)

(3595lt12)

4732299

123048282 24 t164ooo

(101071863) (12938796) 15961192)


(22439808) 123762000 (52758786)

(33-62252) 8000000 (264617)

(37046)

bull

85076e93 188062000

(10607283 1) (26740454) (1 7277426)

1

(62641514) 98703000

I

1241511

(4055932) (567831)




2186000

(30t4785) (422070)

(2814000) 5000000



689516


2014















2014 -II- 3 0

R

(9096gt4)

10036218 16105

(433287) 9619036

2458020

2954000 (596219)

(2 129987) (83471) 144323

3 1500000 (4321244)

(26573782) (604974)

26982

27110


27270


Restaled 2014 201 3



25 AGENCY FEE



Agency Fee


OTHER REVENUe


77 FINES


R

U32003 227$995 1726683

471463 3361)6lt 74120

11 7410 9993404

1a 592109 1

11 634 1308 (2077340) (3983e82)

(81823786)

2M56300

219441 1306220

433958 30933 717322

2414832 3990841

2007$562 2077340 I ~480

4S42778 1141 063

604311 322653

96718 82351110 45998 18

20715 251Wgt606

3738675

R

241 9 349 221599$ 2419972

547428 341 3$7

94950 sa 99

10008249 182~S$1

96017160 (21lOo97) (378845)

(6570022gtJ

24 834593 1

336 1695052

357009 6 11 818

23S7039 229818 1

898521 21lOo497 1481525 7152461 1969951 ~2~23

296178 770 17

t3 417ltl2tI 6792lt11 9

676857 27019865

2632165 11 32amp386 727 604+43









Restliled 2014 2013

bull 273309594

7IU45044 40499413

2524635 53883183

bull 2503781757

72334086 34933486

2735701 39274564

629297 m 13amp771 9i7653

606038 304180 1862n

12f17MlO

~104 681 057





LEO Human

Senlomenl Urban

and Rural

Development

716576 168000




Corporata ServiceS

7381156 2BO779 187533

Chid FInancial

OffICI

Tolal 1120$1268

LEO Humin


D~ooGIItit ed

lobull06O







87611 9 160000 176430

M32549

Chle FlnancllI

2013

30


Restated 2014 2013




In-kind Benffits









31 FINANCE COSTS


Audited

By

201~ -11- 3 0


bull 848997 683976

6365207 26 15010 9231447 1551300 4605766

bull 700005 559701

5 261 670 1881 97~ 6942596 1 ~ 52 284

4120965

215m267 73256

222137 22laquo1143

238162620

287915 2351190

2179S4a06 240 8G17251

2ii245980

--


32 BULK PURCHASES







Rampstated 2013

R R

422494179 405581 815

2W674O 1500558 564526amp 4160235 1070262 2084J39

954512 2318844 26 1314(1 3230596 8435922 26402854 2619443 148083

1 2~96657 11487034 5745865 3227479

21167900 24600490 3306445 2701387 9971674 2 5581~2

34396391 81 61826 43053491 22277526 19301307 18643985

1314J 72 21)59769 89834387 70178765

U459Jsts 206S44924

2767755 3810084 17500000 17500000 3039291 4281244

399975 282214 23707021 2$873$42


35 GENERAL EXPENSES







By




Restated 2014 2013

bull

306843 2468281

~282 203 2546 240

3202128 1274966 45 1 56~

2016260 2240517

35619597 184 971

10684583 1476 17 1

5367329 9111342 8575183 4720852 2380234

gtIll058 4474754

amp92658 8825867 1592328 3307854 19amp7808 4145741

269070 14529549 4000776 2427276 5425415 1449280 4629041 3479111 4123963 4481565

169421604

47802611 29850471 17952140

4860634 31830242 35372573

6557605 101Kl2844

2376275 1284480 12989 1 2323245

bull

446980 2182800 3054414 3261252 2509319 2419798 3297307 1121850

283637 2009850 1667859

31478190 1315027 1260060 1574379

41433949 ~2304316

152500 5938970 3542025 7526208 1095990 3365007

999 17144331

1530979 3150012 1854897 2561 167 7536986

456666 10663244 3442168 2655510 4957007 1800293 29743et 2453385 4214639 45844 18

196222416

~

49~1 9 4 30

28601209 I 20918221

8454590 26407153 25709897 9~ 1 9252

8374673 1199010 1624309

847333 832534




Non -CHh MovlrWInt
















R

(139386512)

(1816()84 ) 20529978

217954806 10387843 5504331

(6518760) 48538778

155254320

Re~to1Iteltl R

(119639331)

1000562 33621587

240801725 (637SS 151)

1760284 (1082366) 81 139830

173836091

(425808) (81358448)

2448048 (8540581)

156534834 40375380

2444599 (19686704)

267045539

(666785) (71 682604) 32825130

8957155 34388525 62818476

9655187 (10578228)

237552947

96112103 26109047 (65SO920)

1 1

(90825482)

(11217169) 47786







10~ _-3 0


2014








Restated balance



Ru tated 201 3

R

46S0182~

(28813899)

24 338183

(2678572) 40 134634

(40 t 34633) (2~ 1 45J)

(69501) (52196851)

(259a156) (100025) 183841

34404273 42S73S

(24338183)

27016755 2678572

24338183






70 74 4 81 6190876 883611

Audited By

2014 -1 1- 3 0


50


2lt) RHtated

2013





13339745 14486283

27826028

7873134 5466612

131~P45

Incident


Amount

14lt1186283





14[446283

77726913 43 196325 6626666 3453O5S7

863535118 777281113

Inc ldunt





Amount

7175177

055

524456

221997


424 MliteriaJ Lou

42011 EIctrlclly 10




8626688

627149351 640412055 577111 3(14 570624889

5lt1038(147 69587168 amp0 109

R 069 R 051

34526252 39664amp85


Audited

S

2019 --~n


MpUnlaHigltgt B~~~~

51

bull bull


Restated 2014 2013


4242 Wate IQliu









REGULATIONS




Audit lees






VAT

(5908812) 1048342



Opeoing Balance



throughout the year

PAYEend UIF







(8660120) 80188211A ~~ ~~lt~rs11- 3 0




52


R R

















44 COMMITMENTS





Restate(l 2014 2013






Toto 2824754






T





45 RELATED PARTIES









By

201~ -11 - 3 0




RU$II1

13 R R






Spouse Spouse

Spoo

108955 54588 29 950

193493






Credit risk








2014 2013 R



I g558127 13696409 84687623 36Si62S2

473009 17729

7 1


Restated 2014 2013




shy201 4 2013

R R


11 741959 8634896

15507992 7189325

114 2 07 111416677














By

2014 -11- 3 0


373371 91 70537405


Restated 2014 2013


Liquidity risk



















100000

2050000

1557166



ConlrllCl Claims







RelUlI1ed 2014 2013

R R

R 1$354017

535358

168506

11510110

191deg8deg1183

Audited By

2014 -11- 3 0





Contract Claims



R

813S463

113S4e3

7000000

R 2013

R













RlVenue





Debllmptlirrntnt


Finance charges


59


RUtat~d 2014 2013


Current lIabilitllS


Noncrrent liabl1htH



Cash Flow Statement










Audited By

2014 1130


60

(


APPENDIX A


durtng the period

the period off


LOltIn 1160


R25 000 OOO 1050


3 197612001

201412019 199812016 201412029 2010J2000 20052020

10864 148

177 151508

11 1276 1 531 694shy1497123

19387276

96483)

12082

3074575

48715913

61

t i shyamp i

I

I

shy

l ~

~ - - J~ i

~- ~ HI~fl

- ~ 1 ~ ~~

ssect - al-

iii

- g~~ ijUh s~ ltI

I~~ -middot I

- bull

~H- - ~~ bull

I c

I

~U5U ~HH tH ~

I-bull-

-

bull

I

~

-

i

bull

ibull

fJ

I


o

j bull jl

I

l

f ~ bull bull o

1 homiddot

I

j f


j r---

H U - ~~ ~ ~ ~ _ 11

bull





R R R R R


4372632 - 4372632 5245492 (872860) -17


123002 8973725 9096727 1546671 4 (6369987) 41


TOTAL 84231890 151824089 236055979 588969716 (172962071) -29

64 (





R R R R R R









17289998 60315807 51630673 193092200

10387845

1612200634 1730079732 (119639381) Tota l 1708313954 1847700526 (139386572)

65





67



68



HROM I

ffi I

I

~ Iv~

I

~ IWISA

1_ Tol1


60500 Hj

~ ~ =I ~ ~

I 3~

~ -

8642




































































Documents

2014 -11-3 0 II annual report pdf-1.pdf2014 -11-3 0 P,uditor General South Africa Mpurna\(lnga Business Unit . MBOMBELA LOCAL MUNICIPALITY AUDITED ANNUAL FINANCIAL STATEMENTS FOR THE