Malawi NGO Bill, 2000

MALAWI: LOCAL GOVERNMENT ACT, 1998 MALAWI SDNP

PART VI-FINANCIAL PROVISIONS

Sources of
revenue

44. (1) The sources of revenue for the Assembly to finance its operations
shall be those stated in the Third Schedule.

(2) The Minister may, in consultation with the Minister responsible for
finance, amend the Third Schedule.

        (3) The Minister may, subject to such terms and conditions as may be
              agreed upon with an appropriate public body, authorize that body to
              collect on behalf of the Assembly any revenue from the sources listed
              in the Third Schedule.

        (4) The distribution of Government grants to the Assembly shall be done
              by the Government upon the recommendation of the Local
              Government Finance Committee in accordance with a formula
              approved by the National Assembly.

Secretariate of the Local Government Finance Committee	45. The Local Government Finance Committee shall have a permanent Secretariat which shall be headed by a Fund Administrator.
General fund and special funds	46. (]) The Assembly shall establish and maintain a general fund and all monies received by the Assembly by way of revenue and grants shall be paid into such fund, and all expenses incurred by the Assembly in the execution of the powers and duties conferred upon the Assembly by or under this Act shall be defrayed out of such fund.
	(2) The Assembly shall have power to create such special funds as it may deem necessary. (3) The Assembly may, from time to time, issue instructions with regard to the general management, supervision and control of the funds established under subsections (1) and (2).
Assembly to open bank account	47. The Assembly shall open and maintain a bank account for all revenues and other monies raised or received by it under this Act or any other written law.
Overdrafts Cap. 37:01	48. The Assembly may, subject to the Finance and Audit Act, obtain an advance from a bank by overdraft:
	Provided that the prior approval of the Assembly shall be obtained in any case where - (a) the amount of the overdraft required will exceed one sixth of the previous years' recurrent revenue of the Assembly; and (b) the overdraft is required for longer than six months.
Power to borrow Cap. 37-01	49. The Assembly may, subject to the Finance and Audit Act, raise loans within Malawl of such amounts, from such sources, in such manner, for such purposes and upon such conditions as the Minister, in consultation -with the Minister responsible for finaince, may approve.
Invcstment of funds	50. The Assembly may invest any portion of its monies may be in Government Treasury Bills or in other investments as approved by the Assembly.
Annual and supplementary estimates	51 (1) T'he Assembly shall, not later than ninety days before the commencement of the financial year next ensuing, prepare detailed estimates of its revenue and expenditure for such financial year, and shall submit such estimates to the Local Government Finance Committee which may either approve the estimates as submitted or disallow such estimates in whole or in part or refer such estimates back to the Assembly for further consideration.
	(2) The Assembly may in any year prepare and approve supplementary estimates of revenue and expenditure and such estimates shall be submitted for approval to the Local Government Finance Committee which may approve or disallow the estimates either wholly or in part.
Reallocation of approved estimates	52. The Assembly shall not, except with the approval of the Local Government Finance Committee, incur any expenditure which has not been included in the approved estimates of the Assembly, but may, with the approval of the Local Government Finance Committee, make reallocations of any sum contained in such approved estimates.
Accounts	53. (1) The Assembly shall keep proper books of accounts and other records in relation thereto and shall balance its accounts for that year and produce statements of final accounts within six months from the end of each financial year.
	(2) The Assembly shall submit the final accounts to the Local Government Finance Committee which shall forward a copy to the Auditor General
Audit of accounts	54. (1) The accounts of the Assembly shall be audited bv the Auditor General or an auditor appointed by him.
	(2) The Auditor General may carry out surprise audit, investigations or any other audit considered necessary. (3) The Auditor General shall give his report of the audited accounts to- (a) the Minister; (b) the Local Government Finance Committee; and (c) the Assembly. (4) The Assembly shall have an Internal Audit Department.
Local Government Finance com- mittee may disallow or surcharge	55. (1) After considering the report of the Auditor General, the Local Government Finance Committee shall have power to disallow any item of expenditure which is contrary to this Act and to surchage-
	a) the amount of any expenditure disallowed on the person responsible for incurring or authorizing that expenditure; (b) any sum which has not been duly brought intoaccount by the person by whom the sum ought to have been brought into account; or (c) the amount of any -loss or deficiency upon any person by whose negligence or misconduct the loss or deficiency has been incurred. (2) Any person aggrieved by a disallowance or surcharge. made by the Local Government Finance Committee may appeal to the Minister. (3) Any person aggrieved by a decision of the Minister may apply to the High Court forjudicial review. (4) Any sum surcharged on any person shall be payable to the Assembly within one month of written notification of the sur- charge to such person or, in the case of an appeal under subsection (2) or an application under subsection (3), within one month of the decision of the Minister or the High Court if such decision confirms the surcharge, and shall be recoverable as a debt to the Assembly.
Power of Minister to give financial instruc- tions	56. The Minister may, after consultation with the Minister responsible for finance, issue written instructions, not inconsistent with the provisions of this Act, for the better control and efficient management of the finances of the Assembly.
External assis- tance	57. All external assistance Zo the Assembly shall, except assistance from a sister city, be routed through the Ministry of Finance.
Assistance from Non- Governmental Organizations	58. Any assistance to the Assembly from a Non-Governmental Organization shall be approved by the Minister in consultation with the Assembly.
Financial year	59. The financial year of the Assembly shall be the period beginning from the 1st day of July and ending on the 30th day of June in the following year.
Superannuation and retirement provisions	60. (1) The Assembly may establish a superannuation fund for the benefit of officers on their retirement frorn service of the Assembly and the dependents of deceased officers.
	(2) The Assembly may establish a provident fund for the, payment of gratuities to officers on their retirement from the service of the Assembly and to the dependents of deceased officers. (3) No pension, provident fund payment, gratuity or other allowance or benefit payable under this section shall be assignableor transferable or liable to be attached or levied upQn, for or in respect of any debt or claim except a debt due to or a claim made by the Assembly.