The North West Provincial Executive Council (Exco) has resolved to invoke Section 139(1) b of the Constitution in Matlosana, Maquassi Hills and Ditsobotla Local Municipality. The decision to intervene in the three municipalities was taken at an Exco meeting held in Mahikeng on Wednesday.
The intervention in the three municipalities were informed by assessments that were conducted by the Provincial Department of Local Government and Traditional Affairs in terms of the local government turnaround strategy that determined the municipalities were dysfunctional in certain areas and needed to be supported and strengthened to rescue them from collapse.
In terms of the resolution by Exco, the provincial government will assume all executive powers of council and administration as prescribed in Section 44 and 49 of the Local Government Municipal Structures Act as Maquassi Hills and Ditsobotla Local Municipalities are on the verge of collapse and unable to render services to residents and perform their duties and obligations due to lack of capacity and maladministration.
The intervention in Matlosana will be limited to control of finances. Administrators and experts will be deployed to the three municipalities during the period of intervention which is expected to last for a period of six months and a maximum of twelve months.
An analysis by the provincial department of Local Government and Traditional Affairs revealed that Motlasana Local municipality had failed to honour its statutory, financial obligations and incurred a long-standing debt with Eskom and MiDVAAL water board which resulted in two bulk services accounts being in arrears in excess of R100 million has been experiencing serious administrative and financial challenges for the past two years because:
- The municipality is not collecting what is due for services rendered to consumers-the debtors book is standing at about R960 million.
- There is non-enforcement of debt collection and credit control policies as adopted by council.
- The municipality is using the revenue from the sale of electricity to subsidise other services that consumers are not paying for such as water services.
- The municipality has numerous contractual obligations with consultants for services such as debt collection, meter reading, and other services that could be done internally.
- There is a lack of management and leadership capacity in the Budget and Treasury
Office resulting in poor financial management and administration of the municipality’s finances. The Exco resolution for Intervention in Madibeng Local Municipality taken in July 2012 was stalled for implementation pending the outcome of an investigation into allegation of corruption and maladministration instituted by Minister of Cooperative Governance and Traditional Affairs.
A meeting between Premier Thandi Modise, Minister of Cooperative Governance and Traditional Affairs Richard Baloyi and the Acting MEC for Local Government and Traditional Affairs, Paul Sebegoe is scheduled to take place next week Tuesday to receive the Minister’s report on the investigation and determine a way-forward on Madibeng.
Enquiries:
Lesiba Moses Kgwele (Spokesperson)
Tel: 018 388 3705
Cell: 083 629 1987
Fax: 018 388 3157
E-mail: LKgwele@gmail.com
