CDM receives fourth unqualified audit

Capricorn District Municipality (CDM) has received an unqualified audit finding for a fourth consecutive year.
CDM’s Media Liaison Officer, Moffat Senyatsi, said in a media release that an unqualified audit outcome means that the Auditor-General (AG) is satisfied that the municipality’s books have complied with municipal finance management laws and treasury regulations and that every cent that has been spent was accounted for and that the local authority’s annual performance report is credible.
“It is the wish of every institution to achieve a good audit performance, but there is a lot of work, skill and commitment that goes into achieving it. It is more than just about accounting, it is about compliance and accountability,” Executive Mayor, John Mpe is quoted to have said during a recent council meeting. Mpe explained that such a great achievement did not come easily, given the circumstances and conditions under which the administration performed, which included the high staff turnover in management, operating without a Municipal Manager and Chief Financial Officer, the acting capacities in senior management and other adverse factors.
“In the previous three financial years when the municipality received the same audit outcome, acting Municipal Manager, Thuso Nemugumoni, vowed during annual report public hearings that CDM was committed to sustaining the audit performance and such a finding continues to inspire the municipality to work even harder and smart towards a clean audit. A year later, the AG was pleased with CDM’s financial position and gave the municipality an unqualified audit opinion for the 2016/17 financial year. This means that we are succeeding in the implementation of our internal controls and how we report. The fact that we managed to satisfy the AG yet again in this reporting period means we are getting the basics right, and thanks to our sound financial management systems and strong political will,” Mpe said.
“In his commentary on the audit finding, it was observed that the AG found that CDM’s financial statements present fairly, in all material respects, the financial position and the financial performance of CDM as at 30 June 2017. The AG did not identify any recurring deficiencies in CDM’s financial reporting but rather matters that should be attended to, so that the municipality can make advances towards a clean audit. It is for that reason that a draft audit action plan was presented in the last council meeting of 2017,” Senyatsi explained.

Story: BARRY VILJOEN
>>barryv.observer@gmail.com