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Cogta committee backs Treasury funding freeze, warns municipalities to fix governance failures

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By Thapelo Molefe

The Portfolio Committee on Cooperative Governance and Traditional Affairs (Cogta) has backed the National Treasury’s decision to temporarily withhold July equitable share transfers to 69 municipalities, saying the move is necessary to enforce accountability and improve service delivery.

Committee chairperson Dr Zwelini Mkhize said the affected municipalities must urgently comply with Treasury’s conditions to secure the release of the funds and prevent further harm to communities.

“The committee welcomes and appreciates the intent behind this decision. Equitable share transfers are essential because they enable municipalities to deliver services to communities,” Mkhize said during a media briefing on Thursday.

He said the withheld allocations would be released once municipalities demonstrated compliance with Treasury’s requirements, including addressing unauthorised, irregular, fruitless and wasteful expenditure, implementing credible corrective action plans and taking disciplinary action against officials responsible for financial misconduct.

Mkhize said Parliament’s oversight had repeatedly identified many of the same

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