The Free State Minister of Finance for Co-operative Governance and Traditional Affairs (Cogta) attributes the failure of some municipalities to submit their financial statements to the Accountant General (AG) mainly to capacity problems.
Speaking at a press conference at the OR Tambo building in Bloemfontein, Saki Mokwena highlighted that many municipalities in the province, including Masilonyana and Nketoana, are struggling due to their inability to attract and retain qualified staff. These municipalities are among the worst performers and are failing to deliver essential services to frustrated residents.
Masilonyana and Nketoana have consistently failed to meet the AG’s requirements. Nketoana has received five consecutive disclaimer opinions in the last five audited financial years and six disclaimers in the last seven years, while Masilonyana has received a disclaimer audit for the eighth consecutive year.
‘We are working on an intervention to help them further’
“These municipalities fall into that category where it is not easy to attract qualified staff, and the process of appointing them often takes a long time due to various issues,” Mokwena said. “In response, we sometimes send staff to fill the gap, but we are working on an intervention to help them move forward.”
AG Tsakani Maluleke acknowledged the challenges these municipalities face, but commended Matjhabeng for actively implementing her recommendations to improve financial management.
“In Matjhabeng, a new council and mayor were elected after the 2021 elections. We pointed out several problems, including the over-reliance on consultants to prepare financial statements.
“The mayor took our recommendations seriously and appointed competent staff to regularly handle the basic matters. As a result, Matjhabeng’s audit opinion has been improved from a disclaimer to a negative and is now qualified,” Maluleke said.
AG Tsakani Maluleke presents her report on the municipal financial statements of 2022/23. Photo: Screenshot.
Mokwena cited Matjhabeng’s success as a model for other municipalities, stressing that it demonstrates the impact of hiring skilled staff. However, he noted that municipalities such as Nketoana, Masilonyane and Kopanong have not been able to attract similar talent due to their financial challenges.
The provincial government has sent officials, including financial directors, to various municipalities to provide support and address capacity problems.
OFM News/Kekeletso Mosebetsi my god
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