Gauteng municipalities improve financially – AG report

Gauteng’s municipalities are improving financially except for Tshwane, which received its second...

Co-operative Governance Minister, Sicelo Shiceka. Picture: Taurai Maduna/Eyewitness News

<place w:st="on"><state w:st="on">Gauteng’s municipalities are improving financially except for Tshwane, which received its second qualified report from the Auditor General (AG).

Terence Nombembe said nationally there has been a definite, albeit small improvement in audit outcomes from 2004/2005 to the current financial year.

Cooperative Governance Minister Sicelo Shiceka said the AG’s report is encouraging and he hopes to meet the 2014 target of 100 percent compliance.

The AG’s report gave Tshwane its second consecutive qualified audit opinion while <city w:st="on">Johannesburg and Ekurhuleni were unqualified, as was <city w:st="on"><place w:st="on">Cape Town.

Nombembe said the capital city’s biggest stumbling block is debt recovery.

Overall he was pleased with the national improvement.

Shiceka said among the immediate challenges to meet their 2014 deadline is addressing a skills shortage.

The AG’s office has developed a tracking system that can alert mayors and their city managers about issues of leadership, governance and financial management that could lead to unfavourable audit results.