With respect to capital grant dependency, the NXLM reported that 18 percent of the total budget is for capital and is solely funded through MIG. The NXLM further reported that 52 percent of operating expenditure is funded from grants and only 48 percent from own revenue and this is due to low revenue collection. With regard to revenue collection rates and debtors, the NXLM reported that 70 percent of the rates funds has been collected which is not that much as most property owners in the valuation roll are farmers of which have rebates. The NXLM further reported that salaries amount to 48 percent of the operating budget. This percentage is high.