The SPLM reported that it has some financial constraints caused partly by its revenue-generating activities. For example, there are low payments for services rendered to government departments, and there are high levels of poverty. Other areas of concerns are cost and management accounting, financial accounting, bid committees, performance measures, project management, and resource management to ensure efficiency. The SPLM added that there is an increasing demand for infrastructure maintenance (due to ageing infrastructure) and maintenance costs are escalating. The SPLM reported that skills shortage is prominent mainly in scarce skills like engineering and artisans. The Sol Plaatje Local Municipality (SPLM) reported that it practices multi- year budgeting including capital budgets. The budget process is aimed at involving the Councillors and the community at early stages of both budget and IDP processes. Budget and IDP timetables are tabled to the Council by August each year and performance is reviewed monthly to monitor progress and compliance. The SPLM added that the 2008/2009 financial year was a challenging period for most municipalities in South Africa due to the economic recession which led to job cuts and other difficulties. The SPLM informed the Committees that it was affected by this economic meltdown whereby their debt collection rate were declining, reserves were diminishing and cash-flow was tremendously under pressure to a point where re-prioritization of payments inevitable. However, the SPLM reported that they maintained their bills payment within 30 days as per policy.