THE Western Cape Government has given the green light for an intervention in theTheewaterskloof Municipality.
This comes after evaluations of the municipality’s financial situation, which revealed concerns about its capacity to provide services to the community.
Finance and Economic Opportunities MEC, Deidré Baartman, said the municipality has been struggling with ongoing financial issues, including rising debt, serious cash flow problems, and difficulties in collecting revenue.
She said this has limited the municipality’s ability to fund service delivery and procure goods, services, and credit.
“This intervention is, therefore, essential to restore financial stability, and to ensure the continuation of services,” Baartman said.
The municipality’s financial position rapidly declined between 2022 and early 2023.
During this period, the municipality consistently collected over 95% of its planned revenue and closed the year with…