Local Government: Municipal Systems Act, 2000 (Act No. 32 of 2000) > Chapter 8 : Municipal Services > Part 4 : Internal municipal service districts > 85. Establishment of internal municipal service districts

(1)	A municipality may, in accordance with the policy framework referred to in section 86, establish a part of the municipality as an internal municipal service district to facilitate the provision of a municipal service in that part of the municipality.

(2)	Before establishing an internal municipal service district, the municipality must—

(a)	consult the local community on the following matters:

(i)	The proposed boundaries of the service district

(i)	the proposed nature of the municipal service that is to be provided;

(iii)

the proposed method of financing the municipal service; and

(iv)	the proposed mechanism for the provision of the municipal service; and

(b)	obtain the consent of the majority of the members of the local community in the proposed service district that will be required to contribute to the provision of the municipal service.

(3)	When a municipality establishes an internal municipal service district, the municipality—

(a)	must determine the boundaries of the district;

(b)	must determine the mechanism that will provide the service in the district;

(c)	in order to finance the service in the district, may—

(i)	set a tariff or levy for the service in the district;

(ii)	impose a special surcharge in the district on the tariff for the service; or

(iii)

increase the tariff in the district for that service;

(d)	must establish separate accounting and other record-keeping systems with respect to the provision of the service in the district; and

(e)

may establish a committee composed of persons representing the community in the district to act as a consultative and advisory forum for the municipality regarding the management of and other matters relating to the service in the district, provided that gender representivity is taken into account when such a committee is established.