In her annual consolidated report on local government audits, Auditor General Tsakani Maluleke highlighted concerning trends, indicating minimal progress in improving governance among municipalities.
The audit results revealed that 43% of municipalities across the country received an unqualified audit opinion on their financial statements. Alarmingly, 77 of these municipalities have remained in this status since the previous administration.
In response, the South African Institute of Government Auditors (SAIGA) has partnered with the Local Government Sector Education and Training Authority (LGSETA) on the collaborative Adopt-a-Municipality project. This strategic initiative aims to enhance service delivery and audit outcomes within municipalities, acknowledging their critical role in socio-economic development.
As many as 11 municipalities have been adopted, following a thorough engagement and assessment.
With the help of appointed of auditing experts and service providers, the Project will focus on three broad areas to effectively address the needs of participating municipalities, namely: Preparation of Annual Financial Statements, Revenue Enhancements and Capacitation and Professionalisation.
The Project represents a significant commitment to enhancing local governance across the participating municipalities. By addressing financial management, revenue generation and staff capacitation, the project aims to foster sustainable improvements in service delivery that will ultimately benefit communities.
“As SAIGA, we see ourselves as partners in building capacity within the public sector. Our members and professionals, who are actively engaged in public sector funding, have first-hand knowledge of the challenges faced.
Over the next three years, with collaboration and support from LGSETA and the local government sector. The 11 municipalities represent just the beginning of this project, as we will continue seeking additional funding to expand our reach.
These municipalities face significant challenges, but we are confident that through collaboration, targeted interventions and support, we can create a meaningful impact in the municipalities involved.”
The selection of municipalities for the Adopt-a-Municipality project was based on key criteria. Participants include municipalities classified as dysfunctional by the Department of Cooperative Governance and Traditional Affairs, facing challenges in audit outcomes, grant accessibility and service delivery.
Essential support will be prioritised for those struggling with debt management and revenue issues.
The municipalities that will be part of the Adopt-a-Municipality project are:
1.Tokologo Local Municipality – Free State
2. Makana Local Municipality – Eastern Cape
3. Govan Mbeki Municipality – Mpumalanga
4. Joe Morolong Municipality – Northern Cape
5 Beaufort West Local Municipality – Western Cape
6. uMkhanyakude District Municipality – KwaZulu-Natal
7. Mpofana Local Municipality – KwaZulu-Natal
9. Ditsobotla Local Municipality – North West
10. Mogalakwena Local Municipality – Limpopo
11. Merafong City Local Municipality – Gauteng
LGSETA COO Kwena Mokgokong said: “Today reflects the significance of this project, not only for SAIGA but also for the LGSETA Board. We are committed to making this initiative a success, and I believe we’re on the right path to achieving tangible results.
“National Treasury has attempted this before, but it was unsuccessful. We need to approach this differently to achieve better results. There will a lot of attention on this project.
“But we anticipate ongoing improvements in how municipalities operate, and the expertise of service providers will be essential. Please view this not as a one-time project but as a way to give back to the community and contribute to society. We will provide you with the necessary support to ensure the project’s success.”