National Council of Provinces (NCOP) Chief Whip Seiso Mohai has called for the urgent development of mechanism that will ensure integrated service delivery in local government.
Mohai said this after a presentation from MECs responsible for local government across the nine provinces painted a dire picture of the state of some municipalities.
In their presentation during a virtual Local Government Week (LGW2020) on Wednesday, the MECs raised concerns which include a lack of internal audit functions, non-compliance with supply chain management, and failure to meet financial obligations to suppliers of bulk services like Eskom.
The second day of the weeklong LGW2020 saw MECs presenting under the topic, Plans to Improve Service Delivery, Financial Management and Develop Capacity in the Local Sphere of Government, especially in Municipalities under Section 139 with repetitive disclaimed audit opinions.
MECs observed that the lack of internal audit functions has, in some municipalities, resulted in non-compliance with supply chain management laws. This in turn, led to an escalation in irregular expenditure.
“Non-compliance becomes a breeding ground for maladministration, fraud and corruption. Municipalities also failed to address the billing and collection of arrears while also facing challenges in respect of service charges, rates, taxes and levies.
“These placed most municipalities in a financial crisis which resulted in them being unable to deliver basic services to the people as required by the Constitution,” the MECs observed.
It was also observed that both political and administrative leadership are failing to implement measures to improve oversight, accountability, and remedial actions to improve financial management.
Mohai said that it is clear from the MECs presentations that government is faced with a critical task of urgently developing mechanisms through which to ensure integrated service delivery and implementation across the country.
“Although municipalities across the country face common challenges, municipality specific interventions may be necessary and, in this regard, the central role of national and provincial governments in monitoring, supporting and strengthening the capacity of municipalities cannot be overemphasised,” Mohai said.
The four-day LGW2020, which started on Tuesday, is held in partnership with the South African Local Government Association (SALGA) under the theme “Ensuring Capable and Financially Sound Municipalities.” – SAnews.gov.za
