REVENUE MANAGEMENT PRESENTATION IN
RURAL AREA / ESKOM AREA
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BACKGROUND
REVENUE MANAGEMENT AND SOURCES
PRACTICAL CREDIT CONTROL STRATEGIES
CURRENT CHALLENGES
ALTERNATIVE REVENUE SOURCES
CONCLUSION
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Section 229 of the Constitution empowers
municipalities to impose taxes and
surcharges as along as the imposition of the
taxes and surcharges does not conflict with
the national legislation. It is against this
background that FTM developed the revenue
enhancement strategy with an intention of
providing practical solution to the concept of
revenue management.
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Using council as the champion of revenue
management
Prioritising top 100 debtors.
Mapping of debtors in terms of weight.
Alignment of indigent management policy with
the credit control policies.
Using SCM processes as the key credit control
measures.
Timeous delivery of bills
Improved data integrity
Hand over debtors above 90 days to debt
collectors
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Property Rates;
Refuse Removal;
Traffic related revenue sources e.g. learner
licences, traffic fines, renewal etc;
Rental of council facilities;
Sundry income
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Rural nature of the municipality
Lack of buy in by key some of the
stakeholders (Government departments not
showing interest to pay for the property rates
etc.
Lack of understand by the community on how
municipality function.
Poor culture of payment of services by the
residence.
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Identifying new revenue sources in line with
municipal fiscal powers and functions Act.
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Failure for municipality to collect monies due
undermines the provision of key services to
the society and payment of services by
residents is a good indication of democratic
accountability.