DocumentOngoingPublication

Mogale City Local Municipality publication

Mogale City Local MunicipalityRef: https://mogalecity.gov.za/wp-content/uploads/Pdfs/Council%20Page/Key%20Documents/Policies/2026%20-%2027%20Draft%20Policies/ANNEXURE%2027%20DRAFT_REVIEWED_VIREMENT_POLICY_%28mSCOA%29-_2026-2027%5B1%5D.pdf?_t=1775647164

Official source

Source domain: mogalecity.gov.za

Collected on 17 June 2026

Always confirm details on the official source before acting.

What this means

This document is the Virement Policy for the Mogale City Local Municipality for the 2026/2027 financial year. It sets rules for transferring funds between item segments and project segments within the same source of funding for the operating and capital budgets, including who may authorise transfers, when transfers are allowed, and key limits (including a maximum of R 6,000,000 per transfer and 50% thresholds). It also requires projected savings (or non-implementation due to unforeseen circumstances), prohibits certain types of transfers (e.g., between departments, adding new projects, and transfers affecting ring-fenced items), and specifies a procedure and forms for approval. The policy is effective from 1 July 2026 and will be evaluated and reviewed annually.

What this document offers

Read out of this document by Govermate's AI, in its own words. Each one quotes the line it came from — confirm on the official source before acting.

budget transfer approval frameworkOngoing

Budget virement approvals (transferring funds between item segments and project segments)

Mogale City Local Municipality allows certain budget virements between item segments and project segments within the same source of funding for the operating and capital budgets, but only if savings are projected (or a project cannot be implemented due to unforeseen circumstances) and subject to authorisation, restrictions, and limits set out in the policy.

Who it is for: Mogale City Local Municipality officials and departments that need to request and authorise virements within the operating and capital budgets
How to act on it: Use the virement procedure in the policy: the Budget Office prescribes the application form; the Executive Manager submits a proposal to the Municipal Manager after a CFO recommendation; implementation is subject to the Supply Chain Management Policy.

Facts

Reference

https://mogalecity.gov.za/wp-content/uploads/Pdfs/Council%20Page/Key%20Documents/Policies/2026%20-%2027%20Draft%20Policies/ANNEXURE%2027%20DRAFT_REVIEWED_VIREMENT_POLICY_%28mSCOA%29-_2026-2027%5B1%5D.pdf?_t=1775647164

Amounts

R 6 000

Key Takeaways

Mogale City Local Municipality: Virement Policy 2026–2027
Effective date: 01 July 2026
Scope: transfers between item segments and project segments within the same source of funding (operating and capital budgets)
Operating budget virements: allowed within repairs and maintenance project if grand total unchanged; no virements from contractual line items
Capital budget virements: no adding new projects; must be between projects with similar funding sources; savings across functions only via adjustment budget
Authorisation: Executive Manager of requesting department may authorise; Municipal Manager authorises transfers between functions/sub-functions within a function segment (CFO cannot authorise those)
Limits: total transferred from/to item segment within a function segment may not exceed 50% of the total project (grants exempt); total transferred from/to item segment in entire budget may not exceed 50% of total operating budget (grants exempt); any one transfer may not exceed R 6,000,000 (grants exempt)
Savings requirement: transfers permitted only if savings are projected or project cannot be implemented due to unforeseen circumstances; transfer cannot exceed projected savings
Restrictions: no contravention of municipal policy; no alteration of IDP outcomes/outputs; no adjustment to Service Delivery and Budget Implementation Plan; no transfers from ring-fenced line items; no transfers from one department-administered line item to another; no transfers to subsequent years; no transfers within first three months after original budget approval; no virements during adjustment process except unavoidable incidents
Procedure: Budget Office prescribes application form; Executive Manager submits proposal to Municipal Manager after CFO recommendation; implementation subject to Supply Chain Management Policy
Implementation responsibility: Municipal Manager; policy evaluation and review annually
Mogale City Local Municipality
Municipal Council
Municipal Manager
Chief Financial Officer (CFO)
Executive Manager (requesting department)
Budget Office
Integrated Development Plan (IDP)
Service Delivery and Budget Implementation Plan
Supply Chain Management Policy
Municipal Budget and Reporting Regulations (MBRR)
MFMA (Local Government: Municipal Finance Management Act, Act No. 56 of 2003)
mSCOA (municipal Standard Chart of Accounts)
MFMA Circular 51 (Municipal Budget Circular for the 2010/2011 MTREF) issued on 19 February 2010