BY REGINALD KANYANE
The North West Provincial Legislature’s Portfolio Committee on Local Government and Human Settlements led by Motlalepula Rosho has expressed serious concerns about the performance and continuous disclaimers by most of the municipalities under Ngaka Modiri Molema district.
The committee met with Mahikeng; Tswaing and DitsobotlaLocal municipalities, and Ngaka Modiri Molema district municipality over their 2013-14 financial year audit findings and annual reports. The district municipality was placed under second administration in March this year.
The deputy business executive at the office of the Auditor-General, Schalla Van Schalk Wyk said that Ngaka Modiri Molema district municipality received a disclaimer audit opinion in a year under review, with matters of emphasis on instability or high vacancy rate in key leadership and management positions. He said that key officials lack appropriate competencies and there is lack of consequences for poor performance and transgressions.
“Mahikeng local municipality received a qualified audit opinion on matters of emphasis on non-compliance with laws and regulations and lack of municipal commitment on addressing prior year audit findings,” Schalk Wyk said.
Rosho said that the committee was worried about continuous disclaimer audit opinions as the municipalities fail to provide the Office of the Auditor General with relevant audit evidence and documentation, and address audit findings.
“There is much instability as many officials in some of these municipalities are on acting capacities. Failure to present close-up reports from previous administrators in the district municipal council has worsened its performance and did not assist the new administrator to change the status quo,” she said.
“It is worrying that the administration team is not involved on investigations instituted by the Department of Finance, Economy and Enterprise Development (FEED) through PricewaterhouseCoopers and there has been failure to take action on fruitless, wasteful and irregular expenditure. We are also concerned about the role of the department of Local Government and Human Settlement and Department of Finance, Economy and Enterprise Development on failure to appear before the Committee to present a report on support given to municipalities.”
The Administrator of the district municipality, Nono Dince said the weekly audit steering meetings are aimed at addressing audit findings.
“The administration team will investigate the root causes of fruitless, wasteful and irregular expenditure and we will take action to recover amounts from the responsible officials. We will also develop a proper document management system and train supply chain management officials on laws, regulations and compliance,” Dince said.
The committee requested Mahikeng local municipality to submit a report on non-payments of councils and ward committees, and Tswaing local municipality should submit a progress report on handover report of previous administrators in the municipality. Ditsobotla local municipality provide close-up report and terms of reference of 2 previous administrations.
“During an interaction with these municipalities, we observed that senior managers including chief financial officers; municipal managers and administrators do not have relevant expertise which will change their situations and improve performances. In Mahikeng local municipality where the acting municipal manager has relevant qualifications, we are worried and not confident that the 3 he was allocated to change the situation is not adequate enough,” Rosho said.
-TDN
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