COGTA threatens to withhold R1.2bn in disaster relief if municipalities don't account for millions previously allocated

JOHANNESBURG - The Cooperative Governance and Traditional Affairs Department (COGTA) said it would withhold the R1.2 billion set aside for June disaster relief if municipalities failed to account for millions previously allocated to them.
 
This is part of the department’s drive to ensure greater transparency and accountability in how billions are spent on rebuilding municipalities devastated by floods and storms.
 
On Monday, COGTA Minister Velenkosini Hlabisa announced the allocation of R1.2 billion against an estimated R6.3 billion needed for municipalities in the Eastern Cape, Western Cape and KwaZulu-Natal (KZN).
  
A resolute Hlabisa warned that there would be consequences for officials who misused or failed to account for disaster relief funds meant for communities in need.
 
He said that strict controls were in place to track how funds were used, the progress of repairs and the quality of reconstruction.
 
Before any of the three tranche payments are made, municipalities must provide detailed reports on how past funds were spent or face having the money withheld.
 
"And if we reach a deadlock where a municipality cannot account, a separate process will follow. We will have to agree with our premiers, COGTA MECs and mayors because there can be no accountability here."
 
The first R151 million is set to be released in July, followed by R708 million in August, with the Eastern Cape set to receive the largest share, at R504 million.
 
Hlabisa stressed that even if municipalities are denied funds, flood victims themselves will not be abandoned.

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