MOSSEL BAY NEWS - Ratings Africa, one of the most reputed rating agencies, rated Mossel Bay with a score of 76; the highest of all the municipalities rated by them.
The Western Cape province is the best performing provincial government.
Ratings Afrika published its annual Municipal Financial Stability Index (MSFI) on 7 August 2020.
The MSFI is a scoring model that evaluates sic components, namely:
- the operating performance,
- the liquidity management,
- the debt governance,
- the budget practices,
- affordability, and
- infrastructure development of a municipality,
These components are all scored out of 100.
All the top scoring municipalities are in the Western Cape, with Mossel Bay having trumped Saldanha (74) and Swartland/Malmesbury (73) for the top spot.
“Mossel Bay Municipality is grateful for the recognition received from a reputed rating company for the continuous hard work of everyone involved with the local authority. Thank you to our community for fulfilling their obligation to the municipality for services rendered by maintaining a particularly high rate of payment. I urge everyone to maintain this high payment rate.
“The award also speaks to the dedication of the municipal councillors who fulfil their important oversight role with enthusiasm and affords the administration space and responsibility to maintain service delivery of unparalleled standards to all our communities.
“The award is appropriate recognition to our municipal officials for whom exceptional service delivery is a matter of personal pride. Mossel Bay Municipality also extends our thanks to our suppliers for their contribution, through their quality service delivery, to this top rating,” Municipal Manager Adv Thys Giliomee said.
“These municipalities have exerted great effort over a number of years to strengthen their sustainability, which now places them in a strong position to invest in infrastructure and to be able to absorb financial shock, such as the Covid-19 Lockdown,” Ratings Afrika said.
The highest scoring municipalities have well entrenched financial policies and their budgets are based on sound long term financial strategies. They adhere to good budgetary practices, strict financial control, and good revenue collection despite tough economic conditions, the report added.
Ratings Afrika defines financial stability for municipalities as: “The financial ability to deliver services and develop and maintain the infrastructure required by its residents without unplanned increases in rates and taxes or reduction in services.”
The report says that, although the municipalities are substantially smaller than the eight metropolitan municipalities, some 60% of the country’s population reside in local municipality jurisdiction. The level and quality of services delivered by local municipalities has a direct effect on the quality of life experienced by the residents. The extent and quality of services rendered is the primary governance role of the municipal councillors. Furthermore, the ability of the ability of the municipalities to deliver services is underpinned by the soundness of their financial stability.
“It is gratifying that Mossel Bay Municipality has once again been rated by a reputed rating company with the highest score of all local authorities in South Africa. The award is the result of sustained commitment to service delivery by both the politicians, of whom I, as mayor, am the leader and the officials. My heartfelt thanks and congratulations go to our Municipal Manager, Adv Thys Giliomee and his team of directors, the personnel in management positions, and every official employed by the Mossel Bay Municipality. The Municipal Manager's management style, by leading from the front and by not shying away from the day - to - day service delivery challenges, set a worthy example to our staff and to other local authorities,” the Executive Mayor of Mossel Bay, Alderman Harry Levendal said.
The Western Cape is the highest scoring provincial government – the only provincial government to score higher than 50 in the ratings.
Furthermore, it is the only provincial authority that has improved over the last five years, from an average of 55 in 2015, to 59 in 2019. According to Ratings Afrika, this is a remarkable achievement for municipalities in the Western Cape despite the crippling drought during the past few years.
The Western Cape is the only province whose governance practices are considered to be sound.
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