uMtubatuba placed under administration

uMtubatuba, KwaZulu-Natal - The uMtubatuba municipality in KwaZulu-Natal has been placed under administration, the department of co-operative governance and traditional affairs said on Thursday.

“This drastic decision by cabinet follows various failed attempts including support interventions aimed at preventing the administrative collapse of this municipality,” co-operative governance and traditional affairs MEC Nomusa Dube said in a statement.

Dube said that when problems within the municipality were identified a financial administrator was appointed but it did not yield positive results.

“Despite the municipality being in a precarious financial situation and operating on a deficit budget, it appears that certain councillors continued to flout cost cutting measures put in place by attending seminars in other provinces, incurring unnecessary expenditure,” she said.

Dube said the municipality entered into unsustainable contracts with service providers. It failed to maintain roads, buildings, street lighting and storm water drainage.

Council did not implement the findings and recommendations of a forensic report concluded in terms of section 106 of the Systems Act, she said.

“The state of governance in this municipality has deteriorated to such an extent that the operations of the municipality has almost ground to a halt,” she said.

Dube said the municipality was plagued by internal conflict which compromised service delivery.

There were also concerns that some councillors were interfering with internal operations including the filling of critical posts.

An assessment on the municipality's current cash flow revealed it would be without sufficient cash resources after February 2013, she said. - Sapa