Though almost all ANC-governed municipalities nationwide are characterised by administrative rot, corruption and political infighting, Free State’s Masilonyana and Nketoana municipalities have been identified as the worst underperformers in the province.
Service delivery ‘non-existent’
Visits by the National Council of Provinces select committee on cooperative governance and traditional affairs established at both municipalities, service delivery was non-existent.
Masilonyana had failed to pay pension contributions of employees to the relevant pension funds.
This risked leaving the staff without a pension when they retired, or their relatives having no benefits, should the staff member die.
The municipality is among a large number of municipalities nationwide that continue to deduct pension contributions from the salaries of staff, but fail to hand over to the pension funds.
Freedom Front Plus Free State MP Tammy Breedt said the two municipalities’ leadership simply disregard legislation and provincial authority.
Financial collapse and audit failures
At Masilonyana, the situation had been exacerbated by the fact that the municipality had been receiving audit disclaimers for a full 10 years, with no hope of its dire financial situation changing for the better.
“Infrastructure is collapsing and service delivery has ground to a halt, while more than R190 million in conditional grants – received from the national fiscus – remains unspent,” Breedt said.
“In addition, third-party deductions such as pension and medical aid contributions have been in arrears for years, even though these are still deducted from employees’ salaries.”
Nketoana alone owes its creditors approximately R1.7 billion, while overdue debtors amount to R1.5 billion. The municipality’s largest creditor, Eskom, was last paid 10 months ago and the utility has indicated it intends to cut the municipality’s electricity supply.
Water crisis worsens for residents
NCOP delegates found that in Nketoana, boreholes in towns such as Petrus Steyn, Arlington and Lindley are not operational due to vandalism and cable theft, leaving residents without water.
According to Breedt, at Nketoana only 15% of households experience water shortages, while the Human Rights Commission recently found the municipality is failing to fulfil its obligations as residents do not have adequate access to clean water.
