Scores of families in Lichtenburg, North West, are sinking into debt while two men continue to fight over the right to control the town's purse with the governing ANC looking on as a helpless spectator.
A fight by two acting municipal managers to access the Ditsobotla local municipality's finances as well as low revenue collection and a divided council have been given as some of the reasons the North West municipality was unable to pay salaries for August.
With just 10 days to go until the next payday, concerns are high the municipality will go a second month without paying salaries.
On Monday, angry workers stormed a council meeting demanding they get paid. However, even the municipality's 39 councillors — 21 of whom represent the ANC — and senior managers have not been paid, according to municipal spokesperson Pius Batsile.
“All workers of the municipality including senior staff, councillors, general workers and myself [have not been paid].”
Asked what the reasons were for the nonpayment of staff, Batsile blamed cash-flow problems as a result of poor revenue collection. He said the municipality's financial problems started towards the end of 2021.
Revenue collection in the municipality is sitting below 50%.
Just two months ago, Sowetan reported that Ditsobotla has had 14 municipal managers, four mayors, four speakers — all in six years — which has resulted in a total collapse of governance.
The municipality which covers towns such as Lichtenburg, Coligny and townships including Itsoseng is one of the worst-run councils in the country and has been left battered by factions wrangling for control of the public purse.
The municipality is one of 12 financially distressed municipalities in the province, which means it can't provide services.
While giving an update on the municipality's performance to parliament's co-operative governance and traditional affairs committee a week ago, provincial finance MEC Motlalepula Rosho told parliament due to the instability at Ditsobotla, they had asked National Treasury to withhold the equitable share for the municipality.
The first tranche would have been paid into the municipal's bank account at the start of the new financial year which was July 1.
Equitable share is money government gives to municipalities to help it care for the poor and to supplement the income they get from rates and services.
“In Ditsobotla we had two MMs [municipal managers] who were fighting over the account of the municipality where even the bank Absa has drawn concerns to our attention.
“The two MMs working against each other, wanting to transact on the account of the municipality — their term of office lapsed in the process and it gave council time to appoint an acting MM,” Rosho said.
Back at the helm are mayor Mercy Mokgothu and speaker Mpho Lekaba who were elected after the local government elections in November but were ousted through a no-confidence motion in June.
Tsietsi Shema has been appointed the acting municipal manager.
Rosho said since 2015, Ditsobotla had continuously adopted unfunded budgets which meant they were unable to provide services.
DA caucus leader in the council, Ronald Matlholoa, disputed Rosha's claims things had gone back to normal.
“There was a meeting that was held where the newly elected officials of the ANC came and imposed that Shema must be appointed as a municipality manager even though his contracted had lapsed.
“We are in a situation where we’ve got two mayors. The mayor that we know...is Mercy Makgothu,” Matlholoa said.
Meanwhile, Batsile said only over half of the municipality's workforce had been reporting for duty after their unpaid August salaries.
He said following the outburst on Monday, Shema and the workers had agreed they would be paid in batches.
Cosatu in the North West has also asked the provincial government to place the municipality under administration, saying all interventions had failed.
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.