Entire Document - Chris Hani District Municipality

More documents

Recommendations

Info

5. FINANCIAL INSTRUMENTS The municipality has various types of financial instruments and these can be broadly categorised as either Financial Assets or Financial Liabilities. 5.1 Financial Assets – Classification A financial asset is any asset that is a cash or contractual right to receive cash. The municipality may have the following types of financial assets as reflected on the face of the Statement of Financial Position or in the notes thereto: • Listed Investments (Shares) • Unlisted Investments (Local Authority Stock) • Investments in Fixed Deposits (Banking Institutions, etc) • Long-term Receivables • Consumer Debtors • Other Debtors • Bank, Cash and Cash Equivalents In accordance with IAS 39.09 the Financial Assets of the municipality are classified as follows into the four categories allowed by this standard: Type of Financial Asset Classification in terms of IAS 39.09 Listed Investments Unlisted Investments – Stock Bank, Cash and Cash Equivalents Bank, Cash and Cash Equivalents – Call Deposits Long-term Receivables Consumer Debtors Other Debtors Investments in Fixed Deposits Bank, Cash and Cash Equivalents – Notice Deposits Held at fair value through profit or loss Held at fair value through profit or loss Available for sale Available for sale Loans and receivables Loans and receivables Loans and receivables Held to maturity Held to maturity Financial assets at fair value through profit or loss are financial assets that meet either of the following conditions: • They are classified as held for trading; or • Upon initial recognition they are designated as at fair value through the Statement of Financial Performance. Available-for-sale investments are financial assets that are designated as available for sale or are not classified as: • Loans and Receivables; • Held-to-Maturity Investments; or • Financial Assets at fair value through the Statement of Financial Performance. Loans and Receivables are non derivative financial assets with fixed or determinable payments that are not quoted in an active market. They are included in current assets, except for maturities greater than 12 months, which are classified as non-current assets. Loans and Receivables are recognised initially at cost which represents fair value. After initial recognition Financial Assets are measured at amortised cost, using the effective interest rate method less a provision for impairment. Held-to-Maturity Investments are financial assets with fixed or determinable payments and fixed maturity where the municipality has the positive intent and ability to hold the investment to maturity. 124
Cash includes cash-on-hand (including petty cash) and cash with banks (including call deposits). Cash Equivalents are short-term highly liquid investments, readily convertible into known amounts of cash, which are held with registered banking institutions with maturities of three months or less and are subject to an insignificant risk of change in value. For the purposes of the cash flow statement, cash and cash equivalents comprise cash-on-hand, deposits held on call with banks, net of bank overdrafts. The municipality categorises cash and cash equivalents as Financial Assets: Available for Sale. 5.2 Financial Liabilities – Classification A financial liability is a contractual obligation to deliver cash or another financial asset to another entity. The municipality may have the following types of financial liabilities as reflected on the face of the Statement of Financial Position or in the notes thereto: • Long-term Liabilities • Creditors • Bank Overdraft • Short-term loans • Current Portion of Long-term Liabilities • Consumer Deposits There are two main categories of Financial Liabilities, the classification based on how they are measured. Financial liabilities may be measured at: (a) Fair value through profit or loss; or (b) Not at fair value through profit or loss (‘other financial liabilities’) Financial liabilities that are measured at fair value through profit or loss are financial liabilities that are essentially held for trading (i.e. purchased with the intention to sell or repurchase in the short term; derivatives other than hedging instruments or are part of a portfolio of financial instruments where there is recent actual evidence of short-term profiteering or are derivatives). Financial liabilities that are measured at fair value through profit or loss are stated at fair value, with any resulted gain or loss recognised in the Statement of Financial Performance. Any other financial liabilities are classified as Other Financial Liabilities and are initially measured at fair value, net of transaction costs. Other financial liabilities are subsequently measured at amortised cost using the effective interest method, with interest expense recognised on an effective yield basis. In accordance with IAS 39.09 the Financial Liabilities of the municipality are all classified as “Other Financial Liabilities”. 5.3 Initial and Subsequent Measurement 5.3.1 Financial Assets: Held-to-maturity Investments and Loans and Receivables are initially measured at fair value plus transaction costs that are directly attributable to the acquisition or issue of the financial asset. Subsequently these assets are measured at amortised cost using the Effective Interest Method less any impairment, with revenue recognised on an effective yield basis. Financial Assets at Fair Value and Available-for-Sale are initially and subsequently, at the end of each financial year, measured at fair value with the profit or loss being recognised in the Statement of Financial Performance. 125
Page 3 and 4:
Table of Contents PART ONE: INTRODU
Page 5:
PART ONE INTRODUCTION AND OVERVIEW
Page 8 and 9:
providing us with your comments, vi
Page 10 and 11:
SPECIAL PROGRAMMES SUCH AS YOUTH, W
Page 12 and 13:
1.3.4 Values • Respect and Divers
Page 14 and 15:
1.4 OVERVIEW OF THE MUNICIPALITY Mp
Page 16 and 17:
SMME Development The District funde
Page 18 and 19:
Corporate Services Directorate Ayan
Page 20 and 21:
NAME OF SCHEME NUMBER OF MEMBERS AS
Page 22 and 23:
organisation, can be seen to be inf
Page 24 and 25:
2.1.4.5 Power Track Vehicle Managem
Page 26 and 27:
2.2.0.1 Introduction A huge allocat
Page 28 and 29:
In the 2008/2009 financial year Wat
Page 30 and 31:
Integrated Planning and Economic De
Page 32 and 33:
The implementation of housing co-or
Page 34 and 35:
Livestock Improvement (Marketing Fa
Page 36 and 37:
Chris Hani Month events Measurable
Page 38 and 39:
Percentage Complete 99,9% Budget Sp
Page 40 and 41:
Regional/LED Strategy Measurable Ou
Page 42 and 43:
Health and Community Services Direc
Page 44 and 45:
Due to the success of this project
Page 46 and 47:
In observing HIV/AIDS days the CHDM
Page 48 and 49:
Budget 2008/09 Key Deliverables •
Page 50 and 51:
Challenges& Proposed Solutions Meas
Page 52 and 53:
Budget Spent R125 000 Stakeholder/
Page 54 and 55:
2.4.4 Disaster Management UNIT This
Page 56 and 57:
critical areas. 2.4.4.5 INCIDENTS O
Page 58 and 59:
2.4.5 Fire and Emergency Services U
Page 60 and 61:
Stakeholders/partners Challenges Me
Page 62 and 63:
2.5.0.1 Introduction For the financ
Page 64 and 65:
Key Deliverables • Asset identifi
Page 66 and 67:
• The possible rescheduling/timin
Page 68 and 69:
Project leader T. Somtombo/ M. Mash
Page 70 and 71:
Measurable outcome Activities/Proje
Page 72 and 73:
72 Good Governance
Page 74 and 75: Communication strategy The District
Page 76 and 77: Stakeholders/partners Challenges Me
Page 78 and 79: 2.6.2 INTERNAL AUDIT Services UNIT
Page 80 and 81: Challenges Measurable outcome Execu
Page 82 and 83: The SPU coordinating committee and
Page 84 and 85: We would like to highlight and comm
Page 87 and 88: 3.1 Introduction to the Annual Fina
Page 89 and 90: 3.2 Audit Report to the Annual Fina
Page 91 and 92: APPENDIX A QUALITY MATURITY MODEL O
Page 93 and 94: 3.4 MFMA - Requirements The audit r
Page 95 and 96: IRONPORT LICENSES STATUS BEFORE 200
Page 97 and 98: provide sufficient evidence to iden
Page 99 and 100: 25. The mayor did not submit to cou
Page 101 and 102: No. Matter Y N •The audit committ
Page 103 and 104: Usefulness and reliability of repor
Page 105 and 106: The overall operating results for t
Page 107 and 108: 5. ACCUMULATED SURPLUS The balance
Page 109 and 110: 13. LONG-TERM RECEIVABLES Long-term
Page 111 and 112: 3.8 STATEMENT OF FINANCIAL PERFORMA
Page 113 and 114: 3.10 CASH FLOW STATEMENT FOR THE YE
Page 115 and 116: 1.1 Changes in Accounting Policy an
Page 117 and 118: Management has considered all the o
Page 119 and 120: 2.7 Heritage Assets Heritage assets
Page 121 and 122: The municipality did not perform im
Page 123: Based on management’s judgement,
Page 127 and 128: 5.5 Derecognition of Financial Asse
Page 129 and 130: 7.3 Transitional Provisions The rec
Page 131 and 132: 9.2.8 Sale of Goods Revenue from th
Page 133 and 134: of performance bonuses only when th
Page 135 and 136: amount of the Municipality’s net
Page 137 and 138: Changes in Accounting Estimates are
Page 139 and 140: 2.1 Reconciliation of Provision for
Page 141 and 142: 4.3 Cash and Cash Equivalents 2009
Page 143 and 144: Description Land and Buildings Infr
Page 145 and 146: The movement in Intangible Assets i
Page 147 and 148: Study Loans In terms of the MFMA no
Page 149 and 150: Unspent Conditional Grants have bee
Page 151 and 152: The municipality provides certain p
Page 153 and 154: The history of experienced adjustme
Page 155 and 156: 2009 2008 R R Present Value of Fund
Page 157 and 158: Interest Earned on Financial Assets
Page 159 and 160: The Financial Management Grant is p
Page 161 and 162: 20.11 Provincial: Office of the Pre
Page 163 and 164: 20.17 ProvinciaL: Department ROADS
Page 165 and 166: Remuneration of the Director: Finan
Page 167 and 168: 25. Impairment Losses 25.1 Impairme
Page 169 and 170: 29.1 Material Losses 2009 2008 R R
Page 171 and 172: Reserves Deferred Revenue Accumulat
Page 173 and 174: Operating Lease Liabilities R Accum
Page 175 and 176:
The effect of the Correction of Err
Page 177 and 178:
Incident Budgeted amounts exceeded:
Page 179 and 180:
38.7 Non-Compliance with Chapter 11
Page 181 and 182:
2009 2008 R R Own Resources - - 9 4
Page 183 and 184:
The capital structure of the munici
Page 185 and 186:
Description Note ref in AFS Average
Page 187 and 188:
2009 2008 R R Long-term Receivables
Page 189 and 190:
• The statutory valuation perform
Page 191 and 192:
44. CONTINGENT ASSETS 2009 2008 R R
Page 193 and 194:
Appendices 193
Page 195 and 196:
3.13 Appendices to the AnnuAl FinAn
Page 197 and 198:
Cost / Revaluation Accumulated Depr
Page 199 and 200:
Appendix c - seGmentAl AnAlYsis oF
Page 201 and 202:
Description 2008/2009 Actual 2008/2
Page 203 and 204:
203
Page 205 and 206:
Annexure A Three Year Capital Plan
Page 207 and 208:
Project Number (1) Project Name Fun
Page 209 and 210:
Project Number (1) Project Name Fun
Page 211 and 212:
AUDIT REPORT FINDING: PROPERTY, PLA
Page 213 and 214:
AUDIT REPORT FINDING: IRREGULAR EXP
Page 215 and 216:
Acronyms 215
Page 217 and 218:
217
show all

Entire Document - Chris Hani District Municipality

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?