The Department of Co-operative Governance and Traditional Affairs has intervened in four municipalities by placing them under administration in terms of Section 139(1)(b) of the Constitution of the Republic of South Africa,1996(Act No.108 of 1996) as amended. These municipalities, being Pixely Ka Seme, Mkhondo, Lekwa and Thaba Chweu. The interventions have largely been due to the challenges that were experienced by these municipalities. On a monthly basis the department receives progress reports from the administrators of these municipalities. The reports indicate that significant progress is being made in dealing with the challenges that faced these municipalities. The progress made is as follows:
In Pixley Ka Seme Local Municipality, all the recommendations have been implemented in terms of the investigations conducted in terms of section 106(1) (b) of the Local Government Municipal Systems Act, 2000 (act No.32 of 2000). The municipality has approved its budget, after thorough consultation with the community.
The supply chain management policy has been reviewed and approved, and the relevant committees appointed. Sector plans were developed and published for public comments. The organizational structure has been redesigned and all the critical posts have been filled. Ward committees were re-established and training was conducted.
A new speaker and mayor have been elected after the previous two councillors resigned. The Executive Council has reviewed the intervention and approved that it should be scaled down. The Administrator Mr Siboshwa Nkosi was recalled and his Deputy Mr Khaya Mpungose was left to continue with the remaining work. Mr Mpungose will provide support until the appointment of a Municipal Manager has been finalised. To date, two sets of interviews have been conducted but no suitable candidate could be identified. The department is in the process of looking for suitable candidates to be considered for appointment.
In Mkhondo Local Municipality, Mr Misabeni Khoza was appointed the administrator. The municipality is currently dealing with the recommendations of the investigations conducted in terms of section 106(1)(b) of the Local Government Municipal Systems Act, 2000 (act No.32 of 2000). Fourteen officials have been suspended, where after the municipal manager and chief financial officer resigned. Twelve officials were subjected to disciplinary hearings and all were found guilty. Three officials were dismissed and sanctions are still awaited for the remaining officials. Allegations of criminal activities were reported to the police for further investigations. Five councillors were recalled by the ruling party and criminal charges were laid against two of the recalled councillors for the selling of a RDP House. The recalled councillors have since been replaced with new councillors, after the recent by-elections in January 2010.
A detailed assessment was done with regard to service delivery. The water issue was addressed through the provision of water tankers and tenders have been issued for upgrading the infrastructure. The municipality has significantly improved the management of the inventory in the warehouse by conducting monthly stock taking and moving from a manual process to an electronic system.
The municipal organogram has been has been reviewed and the critical posts have been filled. The municipality is in the process of filling in the posts that have been left vacant by the dismissed officials.
In Lekwa Local Municipality, Mr Jabu Sindane was appointed as the administrator and Mr President Mnisi as his deputy. The municipality is implementing the section 106 report in terms of the investigations conducted in terms of section 106(1)(b) of the Local Government Municipal Systems Act, 2000 (act No.32 of 2000), and the recovery plan. The municipality is also implementing the financial turnaround strategy as developed by the department. Significant progress has been made in dealing with the issues raised in the section 106 report and the community during the unrests of October 2009.
Disciplinary processes have been instituted against all officials implicated in any wrong doing and the necessary processes have been instituted to recover funds from all those who have incorrectly received any fund. Some cases have also been handed over to the Special Investigation Unit and the Asset Forfeiture Unit for further investigation and action.
The municipality has also honoured all outstanding payments to Eskom. The finance team has analysed the financial systems, including revenue collection, billing system, credit control systems and the processing and posting of consumer accounts is being done on time. Debt collection has been prioritised and dedicated officials are following up on all outstanding debts. Provincial Treasury is assisting with the collection of government debts. The Development Bank of South Africa has deployed two financial experts to assist the municipality and it is also training staff on expenditure management including the suspense account.
Seven councillors have subsequently resigned namely the Executive Mayor, the Speaker, the Chief Whip, and the four Mayoral Committee Members. These have since been replaced with new councillors, after the recent by-elections in January 2010.
In Thaba Chweu, Local municipality, Mr Terrance Mokale was appointed as the administrator. The municipality is implementing the section 106 report in terms of the investigations conducted in terms of section 106(1)(b) of the Local Government Municipal Systems Act, 2000 (act No.32 of 2000),a recovery plan has also been developed and approved by the department. The Municipal Manager has been placed on special Leave.
Disciplinary action has been instituted against all officials implicated in any wrong doing. The department is also assisting the administrator to investigate additional allegations. Good working relations have been established between the municipality and the community. The Ehlanzeni District Municipality has seconded a Chief Financial Officer and the Development Bank of South Africa has also seconded one financial expert to assist the municipality.
The executive mayor and 10 councillors were recalled by the ruling party and some of the vacancies were filled during the by elections in January 2010.
The MEC for Cooperative Governance and Traditional Affairs has expressed satisfaction with the progress that has been made by the municipalities since they were placed under Administration. “Our intention is not to keep these municipalities under Administration forever but to assist them return to functioning efficiently and effectively. We want to make sure that all outstanding matters are dealt with expediently. We will continue to monitor the progress being made by the municipalities and if we are satisfied that the situation has improved and they are able to run on their own, we will review the situation,” said Mokoena.
Enquiries:
Simphiwe Kunene
Cell: 082 413 3931
Issued by: Department of Cooperative Governance and Traditional Affairs, Mpumalanga Provincial Government
18 February 2010
