The Free State Department of Cooperative Governance, Traditional Affairs and Human Settlements (CoGTA) said it supports the decision by the National Treasury to temporarily withhold equitable share transfers to sixteen (16) municipalities in the province.
The Department views this intervention as a necessary measure to strengthen accountability, improve financial governance, and reinforce compliance with the legislative framework governing local government. At the same time, the Department acknowledges that the temporary withholding of these funds may have serious implications for vulnerable communities that depend on municipalities to provide basic services.
The affected municipalities are Mangaung, Letsemeng, Mohokare, Xhariep, Masilonyana, Tokologo, Matjhabeng, Nala, Dihlabeng, Nketoana, Maluti-a-Phofung, Phumelela, Mantsopa, Ngwathe, and Mafube.
“Itis thereforeimperative that the affected municipalities urgently address the issues identified by the National Treasury to minimise any adverse impact on service delivery,” Said CoGTA.
This intervention is intended to be corrective rather than punitive, with the objective of restoring financial discipline and ensuring that municipalities fulfil their statutory obligations.
The MEC for CoGTA Saki Mokoena, reaffirmed the Department’s commitment to supporting municipalities experiencing genuine financial or operational challenges. Working in collaboration with the Free State Provincial Treasury, Mokoena’s Department will continue to provide targeted support aimed at strengthening municipal capacity to manage their own affairs and perform their constitutional and legislative functions effectively.
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