Performance Management
Mid-Year Budget & Performance Assessment
Conduct the section 72 mid-year review of spend and target achievement at the half-year mark.
Why the mid-year assessment matters
Section 72 of the MFMA requires the accounting officer to assess the municipality's budget and service-delivery performance at the half-year, informing whether an adjustments budget is needed. This mid-year review is a statutory checkpoint, not an optional management exercise, and it must reach the mayor, council and National and provincial treasuries. AuditPro Core assembles spend and target achievement at the half-year so the section 72 assessment is evidence-based and submission-ready.
The Numbers
AuditPro Core renders this view from your tenant's live, tamper-evident records. The figures below are illustrative sample data.
Budget Spent (H1)
44%
target 50%
Targets Achieved (H1)
48%
of annual
Revenue Collected
52%
of budget
Adjustment Required
Yes
H1 Spend vs Achievement by KPA (%)
Mid-Year Summary by KPA
| KPA | Spend % | Achievement % | Flag |
|---|---|---|---|
| Basic Services | 47% | 52% | On track |
| Transformation | 41% | 46% | Watch |
| LED | 38% | 39% | Behind |
| Financial Viability | 49% | 55% | On track |
| Governance | 43% | 48% | Watch |
Figures shown are illustrative sample data for demonstration. AuditPro Core renders these views from your own tenant's live, tamper-evident records.
The section 72 obligation
Section 72 of the MFMA requires a mid-year budget and performance assessment by 25 January each year. It is a legislated checkpoint that triggers consideration of adjustments and corrective action.
Run-rate analysis
Mid-year spend is read as a run-rate to project the full-year outcome. A half-year spend far below half the budget signals likely year-end under-expenditure unless delivery accelerates.
Adjustments budget trigger
Where the assessment reveals material variances, an adjustments budget under section 28 may be required to realign authority with reality. The mid-year review is the evidence base for that decision.
Performance at the halfway point
Target achievement is assessed alongside spend so financial and service-delivery trajectories are read together. One without the other gives an incomplete picture of mid-year health.
How AuditPro Core Bridges the Gap
- Statutory packaging: spend and performance are assembled in the section 72 structure ready for submission.
- Run-rate projection: half-year actuals project the full-year outcome to flag under or over-spend early.
- Adjustment signalling: material variances are surfaced to inform the adjustments-budget decision.
- Traceability: the assessment links to the underlying spend and performance evidence for the audit file.
Key Takeaways
- The section 72 assessment is a statutory mid-year obligation, due by 25 January.
- Read mid-year spend as a run-rate to project the full-year outcome.
- Material variances may trigger a section 28 adjustments budget.
- Assess financial and service-delivery trajectories together at the half-year.
See This on Your Own Data
AuditPro Core renders this dashboard from your tenant's live, tamper-evident records — every figure traceable to source.