Time to penalise poor audit outcomes

Auditor-General Tsakani Maluleke’s report paints a bleak picture of municipalities, revealing that only 13% – a mere 34 out of 247 – received clean audit outcomes.

Auditor-General Tsakani Maluleke’s report paints a bleak picture of municipalities, revealing that only 13% – a mere 34 out of 247 – received clean audit outcomes.

Published Sep 2, 2024

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The recent auditor-general’s report paints a bleak picture of municipalities, revealing that only 13% – a mere 34 out of 247 – received clean audit outcomes.

This disheartening statistic should serve as a wake-up call, yet it seems to have been met with complacency.

Perhaps most telling is that the only metro in the entire country to achieve a clean audit outcome is the City of Cape Town. This glaring disparity speaks volumes about the local sphere of government’s ability to execute its key mandate – serving people effectively and transparently.

The persistence of poor audit outcomes raises serious questions about the accountability of municipal managers and political office bearers.

Currently, there are no real repercussions for those who oversee these failing municipalities. As long as there is no accountability, we are merely treating the symptoms. The trend of poor performance will undoubtedly continue if we do not implement stringent measures to hold these officials accountable for their actions – or lack thereof. It is baffling that municipal managers whose municipalities consistently receive poor audit opinions still get impressive performance bonuses.

This practice not only undermines the significance of these audits but also sets a dangerous precedent. Rewarding poor performance sends a message that mediocrity is acceptable.

Why should we expect improvement when the very individuals steering these municipalities towards failure face no consequences? If we genuinely want change, we must advocate for policy changes that impose strict penalties on those whose management leads to poor audit opinions – the possibility of dismissals, salary reductions, or even legal action in cases of gross negligence. Moreover, we need to ensure that the financial implications of their performance are felt personally by those in leadership roles.

Until we make financial accountability a reality, we will continue to get poor audit outcomes year after year.

The auditor-general’s report is a clarion call for change. We cannot afford to sit idly; it is time for us to demand accountability. Without immediate, meaningful reforms, we will remain trapped in a cycle of poor performance and inadequate governance, leaving communities to suffer.

The Mercury

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