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Local Government: Municipal Finance Management Act, 2003 (Act No. 56 of 2003)

Chapter 13 : Resolution of Financial Problems

Part 2 : Provincial interventions

148. Termination of provincial interventions


(1) A discretionary intervention referred to in section 137 must end—
(a) if it is terminated in terms of section 139(2)(b) of the Constitution; or
(b) when—
(i) the municipality is able and willing to fulfil the executive obligation in terms of legislation or the Constitution that gave rise to the intervention; and
(ii) the financial problem that has been caused by or has caused the failure by the municipality to comply with that obligation is resolved.


(2) A mandatory intervention referred to in section 139 must end when—
(a) the crisis in the municipality's financial affairs has been resolved; and
(b) the municipality's ability to meet its obligations to provide basic services or its financial commitments is secured.


(3) When a provincial intervention ends, the MEC for local government or the MEC for finance in the province must notify—
(a) the municipality;
(b) the Minister, in the case of a mandatory intervention;
(c) the Cabinet member responsible for local government;
(d) any creditors having pending litigation against the municipality;
(e) the provincial, legislature; and
(f) organised local government in the province.