This is according to Parliament's select committee on Cooperative Governance and Traditional Affairs (Cogta). Following the committee’s oversight visit to the Naledi and Ratlou municipalities, on Thursday, Chairperson China Dodovu, has expressed concern with the state of the municipalities in the province stating that most of them are in a crisis. He says challenges faced by municipalities in this province range from political divisions, to high vacancy rates to some being technically insolvent and unable to deliver the much needed services to residents.

Municipalities in the province have in the past months made headlines over sporadic service delivery protests by residents. This, coupled with the adverse audit opinions from the Auditor-General (AG). In his latest 2017/18 local government audit outcomes report, Kimi Makwetu, outlined that the R1.6 billion loss of investments made with the VBS Mutual Bank significantly weakened the financial position of municipalities in this province.

The committee has further highlighted that non-payment to Eskom is amongst some of the issues plaguing these municipalities.

During their visit to Naledi Local Municipality, administrator Paul Maseko informed the committee that the municipality was on its knees and has a 67% vacancy rate for senior management level. Coupled with their lack of resources and inability to fix the municipality’s only vehicle used for refuse removal.

Meanwhile, in Ratlou Municipality, the administrator attributed the municipality’s troubles to non-compliance with supply chain management prescripts, non-expenditure of the Municipal Infrastructure Grant, and escalating unauthorised, irregular and fruitless expenditure amongst other issues.

OFM News