The Committee was briefed by the Office of the Auditor-General on the audit outcomes of the municipalities in the Province of Limpopo. Some of the salient points mentioned included the following: . The Provincial Department of Education received a disclaimer for the 2008-09 financial year , a number of documents were not provided and fraud is suspected; . The Province is growing and currently has 30 municipalities, 14 of these municipalities received disclaimers for the 2008/09 financial year; . Introductory meetings are being held between the municipalities and AG where "letters of engagement" are signed; . Municipalities had a 40% staff vacancy rate previously, this has decreased to 20% as at July 2010; . The Province of Limpopo asked that all provincial entities be audited, this is informed by "Operation Clean audit by 2014" campaign; . The un-availability of municipal senior management, including Mayors in the meetings with the AG, remains a major problem; . Effect of shifting of staff, from one position to the next, creates instability among staff and municipalities as a result; . Problems are experienced from schools that were not registered (and therefore not recognised) with the Department of Education, which resulted in non-payments by the Department to municipalities for services, like water and sewerage ,rendered on their behalf; . Some municipalities are not viable as they are able to pay salaries of staff and councillors only. . Large influx of foreigners from countries like Zimbabwe to some of the municipalities, add more burden on service delivery and is a factor to resultant service delivery protests; . Overall, there has been a positive trend as far as the audit outcomes are concerned. The use of consultants by some municipalities contributes to this positive trend. In a few cases, however, the use of consultants did not have the desired effect. None of the municipalities moved from an unqualified audit opinion or qualified audit opinion to either a disclaimer or an adverse audit opinion.