Provincial Treasury failing on its oversight on municipalities

Langa Bodlani MPL

DA Limpopo Spokesperson on Treasury

The AG report on local government tabled today at the Provincial Legislature shows that the Provincial Treasury is failing on its oversight role.

I have written to the chairperson of the portfolio committee on Treasury, Mr Soviet Lekganyane to request him to summons the department of treasury to come and explain the strategies it has to execute effective oversight on municipalities.

The Municipal Finance Management Act (MFMA) places an obligation on the provincial treasury to monitor that municipalities comply with the stipulations of the MFMA. These include that they must submit monthly outcome of budgets and that municipalities are helped with their budgets.

Yet notwithstanding this mandate by treasury, the AG’s report show that for the period under review (2012-13) it was unable to do an audit by the cut-off date of 15 February 2014 on the following municipalities: Sekhukhune District Municipality, Mopani District, Greater Giyani, Greater Tzaneen, Molemole and Polokwane municipalities.

The AG attributes this non-audit to the late or failure to submit reports by these municipalities. This could have been clearly avoided had treasury been effective on its oversight role.

Furthermore, this failure to submit reports must be seen in the context of a general regression in terms of audit outcomes of these municipalities.  No municipalities received an unqualified audit. Municipalities such as Ephraim Mogale, Waterberg District, Modimolle recorded serious regression.

The DA takes its oversight function as required by the Constitution very serious and we will do everything in our powers that through this proper overisight service delivery is improved for the people of the province.