29 October 2020 - NW2402
Ceza, Mr K to ask the Minister of Cooperative Governance and Traditional Affairs
How will she ensure that immediate measures are taken by her department to limit the use of consultant firms in compiling financial statements in municipalities in order to reduce unnecessary expenditure?
Capacity gap is one of the root causes for use of consultants by municipalities. The Department is in the process of promulgating Municipal Staff Regulations, which set out uniform standards for staff members below the senior management level. The regulations includes amongst others:
- Providing a governance framework for appointment of municipal employees with the necessary technical and professional skills;
- Incorporates a competency framework occupational classes in local government that regulates minimum standards for recruitment, selection, appointment, performance management laying the basis for skills audit and skills development programmes.
In addition, the Department will roll out a training in 2020/21 financial year on the implementation of Municipal Staff Regulations.
While the Department focus on the governance and institutional matters that seeks to address capacity gap, the National Treasury provides measures and capacity building to municipalities on financial reporting including preparation of annual financial statements.
I THANK YOU.