Date: 08/11/2007 | Ministry of Local Government and Modernisation
Consequences for registered municipalities and county municipalities
For registered municipalities and county municipalities, the following resolutions are not valid until approved by either the County Governor or the Ministry:
- A resolution to raise a loan and financial leasing
- A resolution to enter a long-term contract for the renting of:
- installations, or
- permanent operating equipment that may cause the municipality or county municipality to incur expenses beyond the next four budget years.
For any registered municipality or county municipality, either the County Governor or the Ministry is to review the legality of the budget resolution passed by the municipal council or the county council.
Until a municipality or a county municipality is registered, approval as described above is not required. Municipalities or county municipalities that enter into contracts that require approval must inform their co-contractors that they have been made subject to conditional review and approval.