Tabling the province’s 2021/22 budget, Rosho has allocated an amount of R674 million to the Department of Cooperative Governance and Traditional Affairs to support local government, amongst other responsibilities. She told the House that the issues affecting municipalities in the province are amongst key priorities and that much support is needed at municipal level. 

Rosho further confirmed that they are concerned about the water crisis experienced in different parts of the province and that an allocation of R116 million within this department has specifically been set aside to ensure the completion of water projects. The province has over the years made news over its municipalities’ poor audit outcomes, investment in the now liquidated VBS Mutual Bank and their inability to provide services to residents.

The latest report by the Auditor-General has indicated that many of them, including those under administration, are not showing many improvements. It is highlighted that over 50% of them are still under administration and battling to provide services.

It has also been highlighted in the AG report that many are still crippled by their investment in the VBS Mutual Bank.

The financially troubled Madibeng Local Municipality invested R31 million of their conditional grant, while the Dr Ruth Segomotsi Mompati District Municipality invested R150 million, the Moretele Local Municipality invested R50 million from their water services infrastructure grant, and the Mahikeng Municipality invested over R83 million.

Rosho has meanwhile further highlighted that a large portion of the R509 budget allocated to the Provincial Treasury will also go towards supporting municipalities to resolve their financial management challenges.

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