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    Auditor General: Only 34 of 257 municipalities achieved clean audits in 2022-23

    enAugust 29, 2024
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    Podcast Summary

    • Municipal audits declineDespite a decline in clean audits for municipalities in the 2022-2023 financial year, the government is addressing the issue and working to improve financial management for effective service delivery.

      Only 34 out of 257 municipalities in the country passed clean audits in the 2022-2023 financial year. This represents a decline from previous years and is a cause for concern. Minister Velenco Sinichia, the Minister of Cocte in the capital of governance and traditional affairs, has spoken about this issue. He acknowledged that the audit outcome for the new leadership in office after the 2021 local government elections was the first audit outcome for this group. The department has welcomed the report, which shows both a decline in clean audits and an improvement in disclaimers. Minister Sinichia emphasized that the cabinet, led by the president of the country, is addressing this issue and working to improve the financial management of municipalities. It is important for the government to address this issue in order to ensure effective and efficient service delivery to citizens.

    • Municipality AssessmentThe South African government is assessing key personnel in 10 underperforming municipalities to create turnaround plans and improve their functionality and effectiveness in delivering services

      Local governments play a crucial role in economic growth and development, and addressing the issues in dysfunctional municipalities is essential. The South African government has identified 10 underperforming municipalities in the Western region and plans to help them improve through a multi-step process. The first step is to assess the qualifications and capabilities of key personnel, including municipality managers, CFOs, Directors of Technical and Corporate Services, and the mayor and speaker. This assessment will be completed within 21 days, and a comprehensive report will be presented. The government aims to create turnaround plans with short-term, medium-term, and long-term goals to help these municipalities become functional and effective in delivering services to their communities. The ultimate goal is to ensure that local governments are well-managed and able to contribute to the overall development of the country.

    • Accountability in municipalitiesThe Minister emphasized the importance of accountability, effective use of resources, and a clear turnaround plan for underperforming municipalities, involving political parties and mayors in finding solutions, and focusing on financial management and audit outcomes.

      The importance of accountability and effective use of resources in municipalities. The Minister highlighted the need for a clear turnaround plan, with a focus on delivering results and holding consultants accountable for their services. The Minister also acknowledged the political nature of municipalities and the challenges it poses, but emphasized the need to bring attention to underperforming municipalities and involve the ruling party in finding solutions. The plan includes short-term, medium-term, and long-term goals, with a focus on improving financial management and achieving better audit outcomes. The Minister also emphasized the need for mayors to be held accountable for the performance of their municipalities, and the importance of political parties taking an active role in addressing issues and ensuring stability and effective governance.

    • Political will in underperforming municipalitiesPolitical will is essential for improving underperforming municipalities. Competent leadership is necessary, and quick intervention is required when political will is lacking. The upcoming report from the auditor general may reveal poor performance in some municipalities, and key positions need to be filled with competent individuals to bring healing and improvement.

      Political will is crucial for improving the performance of underperforming municipalities. The speaker emphasized that mayors, speakers, and administrators need the necessary competence to lead and make a difference. If there is no political will, things may worsen or remain the same. The auditor general's upcoming report is expected to reflect poorly on some municipalities, and there is a need for quick intervention. The 10 West Performing Municipalities, which have a history of poor performance, will be closely examined to understand why they are underperforming. Key positions must be filled with competent individuals, and those who lack the necessary skills should be redeployed. The minister was thanked for outlining potential solutions, and it was hoped that a plan would be in place within the next 10 days. Ultimately, the focus is on getting the right people in place to bring healing and improvement to underperforming municipalities.

    • Issue resolution efficiencyEffective issue resolution within a specific timeframe is crucial for organizations and stakeholders, leading to better outcomes through communication and collaboration.

      The importance of addressing issues thoroughly and efficiently. Minister Vilinko Sinikabe emphasized the need to tackle corporate governance matters within a specific timeframe, as they can significantly impact organizations and stakeholders. The discussion also highlighted the value of effective communication and collaboration between all parties involved. By acknowledging the importance of these aspects, we can work towards creating a more productive and successful business environment. Remember, tackling issues promptly and collaboratively can lead to better outcomes for everyone.

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