RNM sends grant money back despite service delivery shortages
A shocking revelation has led to council's call for accountability.
COUNCILLORS from Ray Nkonyeni Municipality (RNM) have collectively agreed to spend 100 percent of all the grant money given to the municipality in 2016/17 in less than four months.
YOU MIGHT ALSO BE INTERESTED IN: Roads, housing grants in the spotlight
A whopping R18-million of the municipality’s grant money will be spent as agreed at a recent special council meeting.
This decision was made after National Treasury deducted money from the municipality’s equitable share and later withheld the funds due to the fact that both the former Ezinqoleni and Hibiscus Coast municipalities had failed to spend all the grant money allocated to them.
RNM had applied for the rollover of unspent grants during the 2015/16 financial year for both former municipalities. However treasury declined the application, stating that the former HCM was applying for the rollover for the third consecutive year.
YOU MIGHT ALSO BE INTERESTED IN: R3.6-m facelift for council chambers following municipal merger
Following the deduction, municipal manager, Max Mbili presented the municipality’s case before Treasury. He argued that RNM cannot be held responsible for mistakes made by former municipalities as this was a newly-formed municipality.
Mr Mbili then made a commitment that RNM would put in place mechanisms to spend 100 percent of all grants by the end of June.
He also informed Treasury that a grants monitoring committee, comprising the technical portfolio chairman, municipal manager, chief financial officer, senior manager (budget and reporting) and manager (expenditure), had been established and would meet with technical services officials twice a month to report on expenditures and submit its report to both the finance portfolio and the technical services committee.
YOU MIGHT ALSO BE INTERESTED IN: Treasury budget scrutinised
However, most councillors questioned why it had taken so long for the municipality to establish this committee and called for accountability of all officials who send grant money back to Treasury.
HAVE YOUR SAY
Like our Facebook page, follow us on Twitter and Instagram
For news straight to your phone, add us on BBM 58F3D7A7 or WhatsApp 082 421 6033
