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City of CT puts measures in place after unqualified audit findings

City officials say three tenders did not clearly specify local content thresholds and this resulted in non-compliance with supply chain management regulations.

Picture: @CityofCT/Twitter.

CAPE TOWN - The City of Cape Town says measures have been put in place to address findings contained an Auditor-General's financial report for 2017/18.

The city recently received an unqualified audit with findings.

City officials say three tenders did not clearly specify local content thresholds and this resulted in non-compliance with supply chain management regulations.

Finance mayoral committee member Ian Neilson says the city processes around 350 new tender bids every year.

He says the Auditor-General's findings also relate to six tenders that were awarded correctly to the highest ranked bidder but had administrative findings in how preference points for price and BEE were calculated.

Neilson says no bidders were disadvantaged, however, the allocations of points for certain bidders were incorrect.

The city says these matters comprise a very small percentage in view of the total new bids per year.

About 4% of contracts did not comply with the Municipal Finance Management Act, which requires public comment for any amendment to a procurement contract.

In another instance, a tender specification mentioned a certain brand and did not clearly indicate an equivalent would be acceptable.

(Edited by Shimoney Regter)

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