Following the latest municipal audit outcome by the Auditor-General, Kimi Makwetu, the provincial department in charge of municipalities says it aims to turnaround the situation. Tabling the department’s budget for the 2019/20 fiscal year, Nxangisa said they have noted the damning report by the AG and are prepared to implement his recommendations. 

The report outlined how municipalities, including those in the Free State, continue to incur fruitless expenditure, disregard corrective measures, have a pile-up of incomplete projects, high vacancy rates, and battle to generate revenue. Nxangisa said although they will not be offering financial support to municipalities with their allocated R456 million budget, they will certainly support them with skills, financial management skills, and infrastructure development. He warned that there will be no room for any form of corruption and that they will deal with those who deviate from this plan.

Web: Overall, Makwetu in his report indicated that fruitless and wasteful expenditure was R1.3 billion in 189 municipalities while unauthorised spending was R12.85bn in 155 municipalities countrywide.

The report further indicated that none of the municipalities in the Free Stated received a clean audit. They owe Eskom a staggering amount of R7.8 billion, making the Free State the biggest defaulter.

OFM News