Weskus Distrik achieved its 14th consecutive clean audit from the Auditor General, a remarkable achievement. Municipal Manager David Joubert explains why it matters.
“We understand clearly why we need to perform year-in, year-out, and this drives us every day. Municipal failure not only affects big businesses and investors in a region, but also SMEs and residents. This can lead to companies exiting the region, declining job opportunities, job losses and poor living conditions. Loss of hope is the result. The Auditor General’s report not only examines the accuracy of financial reporting but also the effectiveness of key aspects such as service delivery; administration and governance; planning and monitoring and evaluation, and leadership and management”.
The Auditor-General’s complete approach makes perfect sense because a municipality’s financial reporting may well be accurate but their management processes failed or lagged. For example, funds earmarked for infrastructure development were not deployed and expected services were not delivered. Project Management is therefore a critical skill in a municipality because without it, well-intended or well-funded projects will not materialise.
A municipality’s governance, management and financial discipline is essential for an emerging challenge facing local government.
As government funding reduces, municipalities will need to approach capital markets to attract the necessary funding for key infrastructural development. Similar to investors, funders will be repelled if the municipality’s financial reporting lacks accuracy, and sound management and operational discipline is lacking. The most obvious source of this information is the Auditor General’s report, and that will cause ticks or crosses in the funder or investors due diligence checkbox.
“A factor which supports Weskus Distrik’s performance is that most of our officials, management and executives live in the region. They understand that what they do or don’t do will directly influence the lives of their families and friends and this makes their jobs relatable and real. They have a vested interest in their performance”.
David Joubert
Municipal Manager
Weskus Distrik.