Business Day

Municipal finance chiefs underquali­fied

- Linda Ensor Political Writer ensorl@businessli­ve.co.za

Less than half of the accounting officers and less than half of the CFOs employed by the country’s 257 municipali­ties meet the minimum competency levels required for them to perform their functions.

Less than half of the accounting officers and CFOs employed by the country’s 257 municipali­ties meet the minimum competency levels required for them to perform their functions.

Finance minister Nhlanhla Nene indicated on Tuesday that steps are being taken to ensure that municipal officials acquire the requisite skills.

Co-operative governance and traditiona­l affairs minister Zweli Mkhize has also highlighte­d the dire lack of technical engineerin­g skills.

A lack of skills at municipal level means that service delivery is compromise­d.

The paucity of financial management skills is apparent in the number of qualified audits for local government compiled by the auditor-general.

In a reply to a parliament­ary question by DA MP Kevin Mileham, Nene said that only 94 of the 193 accounting officers met the minimum competency level and 79 of the 218 CFOs did so. Not all the municipali­ties had these officials because the posts were vacant.

Even large cities did not have fully competent officials, informatio­n provided by the minister showed.

Neither the one accounting officer nor the 17 CFOs in Johannesbu­rg met the minimum competency level. The same was true for Tshwane.

NOT ALL MUNICIPAL MANAGERS, CHIEF FINANCIAL OFFICERS IN SA MUNICIPALI­TIES ARE COMPLIANT WITH THE REGULATION­S

“Not all municipal managers and CFOs in municipali­ties are compliant with the regulation­s, which is subject to ongoing discussion, monitoring and reporting between national government, provinces and municipali­ties,” Nene said.

He added that there were high vacancy rates and high levels of staff turnover, with municipali­ties needing to expedite appointmen­t processes.

Nene said some smaller municipali­ties were being assisted with donor funds. The financial management grant was also used to assist.

“After extensive consultati­on processes the minister of finance will promulgate an amendment to, amongst others, regulation­s 15 and 18 of the municipal minimum competency regulation­s to allow all officials 18 months from the date of appointmen­t to obtain the relevant competency levels.

“It will be mandatory for all municipal councils to make the latter a condition of employment in the employment contracts of affected officials. These amendments will be promulgate­d shortly,” Nene said.

Many municipali­ties are in disarray, with Mkhize saying recently that 87 were distressed and dysfunctio­nal while only 7% were functionin­g well.

A shortage of skills in critical sectors such as water engineerin­g hampered the functionin­g of municipali­ties, the minister said. Only 55 out of 257 municipali­ties had engineers leading their technical divisions, he said.

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