Budget and finances in council, 26 May to 30 September 2026

What the record covers

This page covers 150 chapters tagged with budget and finances across 9 sitting days, from 26 May 2026 to 30 September 2026, the newest 150 of 151. The budget and finances topic covers the City's budget, finances, revenue, billing, debt, loans and audit outcomes, and only transcribed sittings are included.

The 2026/27 budget

At the Budget Debate on 28 May 2026, Cllr Modupi (ANC) presented a R97.1 billion budget with capital of R8.8 billion and a R2.1 billion surplus. 28 May 01:20:43 Cllr Edward (ActionSA) cited tariff increases of 8.63% on electricity and 12.5% on water during the 28 May 2026 budget debate. 28 May 01:28:09

Item 3, the 2026/27 to 2028/29 medium-term budgets, was carried on 28 May 2026 with 139 for, 92 against and 1 abstention. 28 May 04:09:57 The DA asked under Rule 84 that its opposition to the unfunded 2026/27 budget be recorded and its rights reserved. 28 May 04:23:33 The Executive Mayor, Cllr Morero, confirmed an 8% maintenance budget and said the City would honour 30-day payments to suppliers in the next financial year. 28 May 03:18:03 promise promise The SDBIP 2026/27, published 1 June 2026, includes an indicator on repairs and maintenance as a percentage of property, plant, equipment and investment property. SDBIP 2026/27, p. 25

Loans and borrowing

On 26 May 2026 council approved a loan agreement with KfW, with 181 votes for, 44 against and 0 abstentions. 26 May 01:05:29 Cllr Harris (ACDP) said the KfW loan would carry R616 million in interest and a R17.5 million upfront cost, and said the ACDP would not support the item. 26 May 00:41:27 MMC Masuku said the KfW loan is concessional and ring-fenced for City Power under KfW conditions. 26 May 01:01:36

On 30 September 2026, Item 17, a funding plan for the medium-term capital budget, received 117 for and 93 against: short of the 136 needed, so it was not carried. 30 Sept 01:35:15 Item 17 proposed about R10 billion in long-term external borrowing over three years plus up to R5 billion in short-term facilities. 30 Sept 01:12:47 FF+, ActionSA and the DA opposed Item 17, citing timing before the election, reliance on future cash flows and a disputed 90% collection rate. 30 Sept 01:12:47

Financial Turnaround Framework and turnaround targets

Closing the 28 May 2026 budget debate, MMC Finance Cllr Masuku said the financial turnaround framework would come back to Council before the end of June. 28 May 04:08:00 promise Item 66, the Financial Turnaround Framework, was approved on 24 June 2026, with no objection audible in the transcript. 24 Jun 03:30:22 Cllr Ngema (ANC) praised the Item 66 framework's hybrid revenue-sharing model starting with Johannesburg Water on 1 July 2026. 24 Jun 03:23:14

On 28 May 2026, Cllr Masuku said the performance of entity CEOs and Section 56 managers would be linked to measurable turnaround targets. promise On 30 September 2026, during Item 14, a speaker said there are no performance targets set for management; an automated check linked this to Cllr Masuku's promise. promise Cllr Boer and Cllr Santana said the Section 79 Finance Committee lacks timeous reports, performance targets and consequence management for the turnaround strategy. 30 Sept 06:42:18 Cllr Masuku also committed on 28 May 2026 to publicly reporting JOSHCO's maintenance backlog figure by the end of quarter one. promise

In-year reports and audit outcomes

On 25 June 2026 Cllr Santana (DA) said the City was running an operating deficit of about R418 million against a budgeted surplus. 25 Jun 02:11:36 Council noted Items 79, 80 and 81, the MFMA in-year financial reports for January, February and March 2026. 25 Jun 02:28:18 On 26 August 2026 Cllr Santana said the April and May reports showed a swing from a R752.5 million surplus in April to an R18.3 million deficit in May. 26 Aug 01:55:44 The Deputy Executive Mayor, as MMC for Finance, said Moody's had moved the city to a positive outlook in July. 26 Aug 02:17:01

On 30 July 2026, Cllr Mosehla (EFF) noted the unqualified group audit opinion and the core's qualified opinion on R948.4 million of sundry debtors. 30 Jul 00:50:03 Deputy Executive Mayor Masuku committed to accelerating implementation of the audit action plans and to fast-tracking disciplinary cases and investigations. promise promise In the Deputy Executive Mayor's reply on Item 3 on 26 August 2026, the record quotes: "We brought reports of financial misconduct. 12 were in committee"; an automated check linked this to the fast-tracking promise. promise

Irregular and unauthorised expenditure

On 24 June 2026, Item 61 asked council to certify as irrecoverable and regularise irregular and unauthorised expenditure for April 2026. 24 Jun 01:20:15 Cllr Xulu (ActionSA) said the Item 61 report covers 42 investigation reports and over R876 million in historical irregular expenditure. 24 Jun 01:27:45

Item 62, the updated strategy for prevention and reduction of unauthorised, irregular, fruitless and wasteful expenditure, was agreed by voice on 24 June 2026. 24 Jun 02:53:12 Cllr Wax said the DA rejects Item 62, citing an opening balance of R23.6 billion. 24 Jun 02:27:23 On 27 August 2026, MPAC's Item 29 proposed recovering R2.2 billion and certifying R420.1 million as irrecoverable, and the item was agreed. 27 Aug 02:05:44