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You are at:Home»Uncategorized»Gordhan seals Makana handover
Uncategorized

Gordhan seals Makana handover

Grocott's MailBy Grocott's MailAugust 28, 2014No Comments5 Mins Read
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Minister of Cooperative Governance and Traditional Affairs Pravin Gordhan was in town yesterday to rubber-stamp a decision to officially place Makana Municipality under administration.

Minister of Cooperative Governance and Traditional Affairs Pravin Gordhan was in town yesterday to rubber-stamp a decision to officially place Makana Municipality under administration.

This means that the municipality's administration will be managed under section 139 (1) (b) of the Constitution. The move came as a result of many crises the municipality faces, including their long-standing financial problems.

Explaining what led to the decision to invoke section 139 (1) (b) during a media briefing in the Makana Council Chambers yesterday, Local Government and Traditional Affairs MEC Fikile Xasa said, "I think we are all aware of this immediate crisis we are in – from our inability to pay creditors, the water problem and many other things; it's not something that started now, it is a problem we have been seeing it coming since 2008.

"We have been intervening using section 154… that is what informed the provincial government to intervene as the minister has indicated." Xasa said acting municipal manager Themba Mnguni and acting Chief Financial Officer Busi Khumalo would remain in their positions until a decision was made about the new team.

While delivering his statement, Gordhan said the provincial government had decided that an administrator needed to be put into place in the municipality so that the province can keep a close eye on what it does.

"We are here from national government, because ultimately we have to approve this intervention that the province has undertaken," he said. Gordhan spoke about the state of the town, saying it was "extremely littered and messy". He said citizens and residents of Makana were entitled to the services that citizens everywhere are entitled to: water, sanitation, decent roads and clean environments.

"We've also said to councillors that they must put in more effort to make sure that officials keep the city clean," he said. Gordhan said the finances of the municipality will be thoroughly investigated. He said they would work with the provincial government and consider extending a forensic review of the finances and expenditure of the municipality. He said Xasa would make the announcements in due course.

"Just to reassure ourselves that public funds are spent properly and we get value for money and that if there are improper things that are done we have an opportunity to correct them," he said. 

The news of the handover emerged on Wednesday as protesters flocked to the City Hall to protest a host of municipal problems. Various groups within the city took to the streets in protest, and striking municipal workers had been toyi-toyiing since Monday 25 August over the non-payment of overtime.

Residents affected by this week's water cuts joined forces with a march organised by the Unemployed People's Movement and local government watchdog the Public Service Accountability Monitor (PSAM), calling for action on the municipality's financial shambles. The party's Provincial Executive Committee (PEC) for the Eastern Cape, Regional Executive Committee (REC) for the Sara Baartman region and Mayoral Executive Committee met in Bhisho on Tuesday night to discuss measures to address the municipality's financial crisis.

The proposal to place Makana Municipality under administration came from the ANC Regional Executive Committee in Sara Baartman, which initially made the recommendation six weeks ago to the Provincial Executive Committee. Secretary Scara Njadayi said the REC had resolved that a 'radical intervention' was needed in Makana municipality.

"We proposed that section 139 (1) (b) must be invoked in the institution. Last night the PEC, the mayoral committee of Makana Municipality and the REC met and there was a consensus to hand over the municipality," said Njadayi. He could not comment on why the PEC did not attend to their proposal six weeks ago, when the provincial body met and discussed which municipalities needed provincial intervention.

Njadayi said Makana Municipality would table and adopt a resolution during a special council meeting to be held tomorrow. 'Forewarned' – DA Meanwhile the Democratic Alliance yesterday issued a statement calling for the municipality to be placed under administration. MP for the party's Frontier constituency Andrew Whitfield said they had written to local government MEC Fikile Xasa to have Makana placed under administration.

"By placing the municipality under administration the MEC can designate any person or persons to implement the intervention," Whitfield said in a statement.

"It can charge this person with ensuring that the relevant obligations in terms of service delivery and financial management are fulfilled and that they will continue to be fulfilled in future.

"Grahamstown, once a shining star in the firmament of local government, is once again on the verge of collapse and financial bankruptcy." Whitfield said this corroborated the DA's claims made late last year and earlier this year that the municipality was being mismanaged and "essentially looted" by the ANC-led council of Mayor Zamuxolo Peter.

Whitfield said since February the party had been repeatedly forewarned, at local, provincial and national level, about the problems facing Makana. Makana is currently being assisted by provincial government under section 154 (1) of the Constitution. This is meant to provide support and strengthen the capacity of municipalities to manage their own affairs. Under this section, two people have been sent by the provincial government to assist Makana municipality.

Themba Mnguni, acting municipal manager, and Busi Khumalo, acting chief financial officer, have been deployed in the municipality by the provincial government. (PSAM) called for the implementation of Section 139 of the Constitution two weeks ago. Minutes of a September 2013 National Council of Provinces meeting indicate that 70 municipalities were receiving support in terms of Section 154 of the Constitution.

Three muhicpalities in North West Province were receiving section 139 (1)(b) interventions.

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