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

Chapter 7 : Responsibilities of Mayors

55. Report to provincial executive if conditions for provincial intervention exist


If a municipality has not approved an annual budget by the first day of the budget year or if the municipality encounters a serious financial problem referred to in section 136, the mayor of the municipality—

(a) must immediately report the matter to the MEC for local government in the province; and
(b) may recommend to the MEC an appropriate provincial intervention in terms of section 139 of the Constitution.