Parliament, Thursday, 6 May 2021 – The Portfolio Committee on Cooperative Governance and Traditional Affairs (CoGTA) engaged with the Ngaka Modiri Molema District Municipality and its five local municipalities, Ditsobotla, Mahikeng, Ramutshere Moiloa, Ratlou and Tswaing Local Muncipalities.

The committee previously engaged with the Ngaka Modiri Molema District on 25 November 2020 where it noted deep-seated challenges in the district, including the fact that it is one of the municipalities selected for the implementation of the Auditor-General’s material irregularity process, following the amendment to the Public Audit Act.

The committee further noted that the district’s support to the local municipalities was not sufficient, as all the municipalities under its jurisdiction obtained disclaimed audit opinions in 2018/19, except for Tswaing which maintained a qualified audit opinion.

In the majority of instances, the disclaimed opinions were repeat findings from the previous financial years. This was the case in Ditsobotla, Ramotshere Moiloa, Mahikeng, and the district itself in respect of the 2016/17 and 2017/18 financial years. The committee questioned the effectiveness of previous constitutional interventions into the district, as it still failed to set the right tone for the local municipalities despite being under intervention on five previous occasions.

With Ditsobotla Local Municipality, the committee raised its concerns about the reported controversies and alleged irregularities around the appointment of the Municipal Manager and senior managers. The committee noted the comments of the Administrator that these appointments had serious procedural flaws, as the process by-passed him despite the terms of reference directing that the Administrator facilitates and leads these processes.

The committee also noted the deterioration in the financial situation of Mahikeng, which worsened after the municipality lost R83.4 million in the VBS Mutual Bank saga, and after its white and yellow fleet was repossessed. The Municipal Public Accounts Committee has no capacity to address nauthorised, irregular, fruitless and wasteful expenditure, which amounted to R2 billion in 2018/19. The committee noted the council resolution that was taken to replace the MPAC Chairperson due to non-performance.

In Ramotshere Moiloa Local Muncipality there is no evidence that the municipality is implementing an audit remedial plan, including the recommendations of the Internal Audit and the Audit Committee as the municipality has had consecutive disclaimers. The municipality is also not creating a conducive environment as health conditions due to the sewer spillages resulting from poorly maintained waste water treatment plants, as well as a lack of a waste management plan that leads to landfill sites that do not comply with applicable legislation.

The Chairperson of the committee, Ms Faith Muthambi, said: “Ratlou Local Municipality has a history of unstable administrative leadership over the last four years where no substantive municipal managers and chief financial officers could be appointed.” The municipality’s presentation indicated that it had obtained a second consecutive disclaimer in 2019/20.

The committee heard of the unacceptable situation at Tswaing Local Municipality where there are two sets of mayors, speakers and municipal managers. The committee further heard that the municipal manager was appointed at a shebeen by an illegal council. MEC Mmoloki Cwaile clarified the situation and informed the committee that there was a court ruling and the original mayor, speaker and municipal manager are the rightful incumbents of the posts and that legal action will be taken against the culprits.

The committee heard from traditional leaders that they are not recognised by municipal councils and government as they are not afforded the same rights and councillors. One of the traditional leaders explained that his role is one of a mascot there and he does not participate in decision-making. They also complained of the poor infrastructure in villages and some do not have connectivity to networks.

They appealed to the committee to intervene so that they get the required tools of trade and further called for benefits and salaries to be the same for traditional leaders across the country. The traditional leaders also complained that the budget for traditional councils is not sufficient.

The Chairperson, Ms Muthambi, has directed the Department of Traditional Affairs to hold a workshop on the Traditional and Khoi-San Leadership Bill with all the traditional leaders in the province and to report back to the committee in two months’ time.

ISSUED BY THE PARLIAMENTARY COMMUNICATION SERVICES ON BEHALF OF THE CHAIRPERSON OF THE PORTFOLIO COMMITTEE ON COOPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS, MS FAITH MUTHAMBI.

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