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The Democratic Alliance (DA) in Dihlabeng Local Municipality is concerned with the irregularities and inaccuracy of the Adjustment Budget for the year 2022/23, tabled at Fateng Tse Ntsho Community Hall on 01 March 2023.

An adjustment budget is a legal option for Council to fund the adjusted capital budget while also improving the Municipality's cash flow position.

This seemed to not be the case with the budget as it failed to address immediate service delivery concerns of the community.

The following irregularities were noted:

The cash flow statement was not populated correctly and the closing balance of R31.8 million is not credible as it doesn't tally with the Section 72 report submitted to the council.

The collection rate is recorded as 65.35% but in the Section 72 report submitted by the municipality where the data string has the year-to-date collection of 59.77%.

The receipt and spending of grants are not recorded correctly leading to underspending of grants or withholding of grants by the treasury.

Failure of the municipality to collect the household debt led to a total outstanding debt of R1.387 billion.

No payment arrangement with Eskom and the debt of creditors that are owed for more than 90 days, growing on a monthly basis.

Repairs and maintenance are reduced by R9.1 million which doesn't address the issues of roads and infrastructure.

The DA was disappointed to learn that no information was submitted regarding the status of the Service Delivery & Budget Implementation Plan (SDBIP) in the last 6 months of the financial year in line with the IDP. Why has the revenue budget been adjusted from R928 million to R959 million and the operating revenue adjusted to R959 million from R931 million?

The municipality received a qualified audit opinion, an indication of a deteriorating state of affairs due to a lack of consequence management and political will.

The tabled Adjustment Budget has confirmed that service delivery issues, including electricity cuts, potholes, refuse removal, and a lack of accountability will be a constant feature in this municipality till such time that the ANC is voted out of power.

The DA is committed to good governance and holding the ANC-led municipality to account, and will continue fighting for better services and accountability. Additionally, we call for a quarterly report on the SDBIP to ensure the effectiveness of the municipality.

The DA is committed to bringing change across the country and therefore urges all residents to register to vote in the 2024 National and Provincial Government elections.

Issued by Eric Motloung - DA Finance Portfolio Spokesperson Dihlabeng Local Municipality