Hon House Chair, the FF Plus wishes to raise its serious concern with regard to the state of municipalities under section 139(b) provincial intervention and the lack of any improvement in such municipalities to be detriment of service delivery and the residents of such. One example is the Masilonyana Local Municipality which was under administration from April 2017 until recently. This municipality showed no improvement outstanding debt to Eskom increased during this period, water infrastructure collapsed, audit outcome regressed and the financial position further deteriorated.
It is shocking that the Free State executive recently resolved to end the 139 intervention effectively giving up on the people of Masilonyana. The National Treasury has informed Masilonyana recently that it will not receive its equitable share payment due invoking section 2(162) of the Constitution as the municipality passed an unfunded budget. This failure to pass a funded budget occurred whilst under provincial intervention. This shows
the complete failure of the Free State government. The people of this municipality will suffer due to the ANC government's failure to comply with legislation.
Co-operative governance and the mandate of provincial and national spheres of government to capacitate local government and enforce compliance are failing. Thank you, Chair. [Time expired.]