Category: <span>Clean Audit</span>

2 December 2022 Media Release: Another clean audit for Garden Route DM – a promise kept!

Media Release: Another clean audit for Garden Route DM – a promise kept!

For Immediate Release
2 December 2022

As promised, the Garden Route District Municipality (GRDM) has maintained its clean audit outcome. The culture of good governance and accountability remains unmatched when comparing the GRDM to some of the 44 district municipalities in South Africa.

The fiscal discipline, rigid financial planning, and continuous oversight, combined with hundreds of internal controls added to the institution’s achievement. Clean audits and improvements by municipalities reflect the tone set by municipal managers and institutions.

Monde Stratu, GRDM Municipal Manager proudly boasted about the achievement. “We’ve consistently worked on instilling a culture of being accountable and improving controls to sustain the Clean Audit Outcome.”

“I am also very proud of everyone who worked in the background to help us achieve such a wonderful milestone, it was a team effort,” said Stratu.

The Executive Mayor of GRDM, Alderman Memory Booysen, expressed his gratitude to the entire municipality, in particular, the Municipal Manager and Financial Services Department. It is an honour for us to be part of the Western Cape, a province that sets the highest standard of financial management in South Africa.” According to the Auditor General’s report to Parliament on 23 November, the Western Cape continues to be the province with the highest number of clean audit outcomes.

When presenting the Audit Outcome to a Combined Municipal Public Accounts Committee and Audit Committee of GRDM, Ashiq Allie, the Manager AGSA for the GRDM audit, congratulated the institution for achieving a clean audit outcome for the financial year under review. The Final Audit Report was submitted to the Municipality on 30 November 2022. He also commented that he knows it takes a lot of work on the ground to maintain a clean audit and that it is a combination of hard work by management and taking the AG’s findings seriously over the years.

MPAC Chairperson Cllr Danie Acker expressed gratitude to employees and Council for their commitment to a clean audit report. He further elaborated on the fact that the audit outcome is proof that coalition governments can work because they keep things together. “I am extremely proud and honoured about this achievement.”


Notes by the editor:

Municipal managers are responsible for preparing and fairly representing their institution’s financial statements in accordance with the Generally Recognised Accounting Practice (GRAP) and the requirements of the Municipal Finance Management Act 56 of 2003. The Auditor General conducts an audit in accordance with the International Standards on Auditing (ISAs).

6 December 2021 Media Release: Garden Route DM celebrates Clean Audit and commits to retain it

Media Release: Garden Route DM celebrates Clean Audit and commits to retain it

For Immediate Release
6 December 2021

The Garden Route District Municipality (GRDM) is pleased to announce that it has achieved a clean audit outcome for the 2020/2021 financial year. A clean audit is an unqualified audit opinion, with no findings, issued by the Auditor-General South Africa (AGSA) during their audit on financial statements, annual performance report and compliance to legislation.

This outstanding achievement confirms that the GRDM spent the public funds according to the applicable laws, regulations and policies.

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Nine (9) months ago, GRDM reported that it had missed a clean audit because of one finding. However, the municipality gradually addressed all the issues that the AGSA raised in the past while ensuring its financial management ethos at all levels of the organisation were enhanced. “We have instilled a culture of sound financial management, prudent financial choices, efficiency and accountability,” said Monde Stratu, Municipal Manager.  “We will do our very best to retain a clean audit for years to come and not to drop our standards,” he said.

Re-elected GRDM Executive Mayor Alderman Memory Booysen says that although South Africa faces a challenging economic situation, those in the Garden Route and investors can be assured that the Municipality remains committed to good governance.

“We will continue to spend public money to the best of our ability.”

Booysen hopes that this achievement will inspire other municipalities in the Garden Route to do better and improve governance. Mayor Booysen also made particular reference to Dr Adele Potgieter, Independent Member and Chairperson of the Audit and Performance Audit Committee (APAC) and her team for the oversight they provided on the Municipality’s financial reporting process. Other members of APAC at GRDM include Advocate Derick Block, Geoff Stenekamp and Suren Maharaj.

Also, Ald. Booysen extended his appreciation to Cllr Clodia Lichaba, Chairperson: Municipal Public Accounts Committee (MPAC) and her fellow Councillors who exercised oversight over the executive functionaries of the council to ensure good governance in the institution.

Jan-Willem De Jager, Chief Financial Officer and Thembani Loliwe, Strategic Manager, also played a pivotal role in ensuring that the GRDM achieved a clean audit status. They worked hand in hand to ensure the municipality’s Operational Clean Audit Report (OPCAR) was implemented in response to the AGSA Management Reports from the previous financial years. “Various controls had to be put in place to ensure that the AG did not find similar issues as last year,” said Loliwe. “To mention just one example of control improvement, during the 2017/18 financial year, procurement through the supply chain deviation process was valued at more than R23 000 000 and in 2020/21 financial year that amount has reduced to less than R2 000 000, which is a result of thorough control interventions”  added Loliwe.

“During their audit, the AGSA focused on bulk infrastructure, supply chain management, and financial statements.”

De Jager specifically referenced the strides the GRDM made with procurement. “This year, we had no findings on procurement.”

The CFO has also shared his thank yous to officials who engaged with the AG because it was done in a respectful manner. The AGSA has been victimised for years in other parts of the country, where they often receive death threats, get offered bribes and are victims of intimidation.

GRDM remains committed to ensuring that it has all preventative controls in place and good governance, as organisational culture, continues for years to come. The audit outcome is, therefore, is a result of a concerted effort by all officials to ensure that good governance and sound financial management remain at the heart of what we do at the Municipality,” said Monde Stratu.