City of Cape Town flagged for R950m in irregular spend in AG report

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City of Cape Town flagged for R950m in irregular spend in AG report
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The auditor-general (AG) Kimi Makwetu has taken the City of Cape Town to task for irregular expenditure to the tune of R950 million. TheCapeArgus

Cape Town - The auditor-general has taken the City to task for irregular expenditure to the tune of R950 million.Makwetu said that while the metro had devised an audit action plan, the implementation of the plan did not have the desired impact during 2018/19.Overall, 55% of the municipalities in the Western Cape failed to comply with legislation, with procurement and contract management findings raised at 12 .

Makwetu said that the issues surrounding contract management had hindered the metro’s ability to deliver housing projects, contributing to capital underspending of R1.3 billion. He said that despite highlighting these issues, they had worsened annually. Neilson commented on the AG’s findings that contract management had hindered the metro’s ability to deliver on housing projects: “Many of the issues raised by the auditor-general with regards to housing projects were as a result of project planning that was not optimal, and project management and delays in the completion of work due to factors within and also outside of the City’s control.”

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