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How successful are S139(5) municipal financial interventions in South Africa? a case study of Makana Local Municipality
Thesis (MPA)--Stellenbosch University, 2024.
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| Format: | Thesis |
| Language: | en_ZA |
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Stellenbosch : Stellenbosch University
2025
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| _version_ | 1867613926065176576 |
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| access_status_str | Open Access |
| author | Dinga, Ndilakazi |
| author2 | Ajam, Tania |
| author_browse | Ajam, Tania Dinga, Ndilakazi |
| author_facet | Ajam, Tania Dinga, Ndilakazi |
| author_sort | Dinga, Ndilakazi |
| collection | Thesis |
| dc_rights_str_mv | Stellenbosch University |
| description |
Thesis (MPA)--Stellenbosch University, 2024. |
| format | Thesis |
| id | oai:scholar.sun.ac.za:10019.1/131641 |
| institution | Stellenbosch University (South Africa) |
| language | en_ZA |
| last_indexed | 2026-06-10T12:43:54.041Z |
| license_str | Other — see source repository |
| provenance_str_mv | Harvested via OAI-PMH from SUNScholar — Stellenbosch University Repository |
| publishDate | 2025 |
| publishDateRange | 2025 |
| publishDateSort | 2025 |
| publisher | Stellenbosch : Stellenbosch University |
| publisherStr | Stellenbosch : Stellenbosch University |
| record_format | dspace |
| source_str | SUNScholar — Stellenbosch University Repository |
| spelling | oai:scholar.sun.ac.za:10019.1/131641 How successful are S139(5) municipal financial interventions in South Africa? a case study of Makana Local Municipality Dinga, Ndilakazi Ajam, Tania Stellenbosch University. Faculty of Economic and Management Sciences. School of Public Leadership. Municipal finance -- Law and legislation -- South Africa Public administration -- South Africa Financial risk management -- Government -- South Africa UCTD Thesis (MPA)--Stellenbosch University, 2024. ENGLISH SUMMARY: The vision for a transformed South African local government sphere, as outlined in the 1998 Local Government White Paper, remains elusive. Since 1994, the South African government has been implementing various developmental programmes to transform the local government through S154 of the Constitution of the Republic of South Africa. However, many municipalities that received support from these programmes found it difficult to sustain their operations after the support teams departed. Some of these municipalities faced financial difficulties that could not be resolved through monitoring and support alone, as a result, ongoing assistance from the national and provincial governments was required, eventually translating to S139 intervention. Section 139 intervention is the last attempt by the provincial government to save a municipality from persistent and severe financial challenges. The Provincial Department of Cooperative Governance and Traditional Affairs (COGTA), in collaboration with the provincial treasury, leads these interventions. Since the first implementation of this intervention framework in 1998, the demand for intervention has escalated in recurring and additional municipalities. This study, therefore, aims to investigate why S139 interventions are failing to address the situations they are intended for in municipalities. The study focused on Makana Local Municipality (LM) as it is the first municipality in the country to be directed by the court to reinstate the FRP, which was previously implemented. In 2020, the Makhanda court ruling questioned the implementation of the 2015 FRP and ordered the Eastern Cape provincial government to reinstate the plan under S139(5) intervention. The study used desktop research and qualitative methods including interviews, meetings and structured surveys to collect data. The researcher also attended municipal stakeholder meetings as a participating observer to gather more information. Key participants in the research included officials from the Eastern Cape COGTA, Eastern Cape Provincial Treasury, and the Department of Planning, Monitoring and Evaluation (DPME). Other participants were the National Department of COGTA, the National Treasury, and the Municipal Demarcation Board. The research interviews were conducted with officials who participated in the Makana LM 2015 intervention. Furthermore, the researcher participated in a webinar organised by independent stakeholders as a panel member. The study found that the intervention was well received by all stakeholders in the municipality, however, it was not implemented correctly. Even though the diagnostics by the National Treasury had indicated financial problems as the root cause of dysfunctionality in the municipality, S139(1)(b) instead of S139(5) was invoked. AFRIKAANSE OPSOMMING: Die visie vir ’n getransformeerde plaaslike regering in Suid-Afrika, soos uiteengesit in die Witskrif op Plaaslike Regering van 1998, bly onvervuld. Sedert 1994 het die Suid-Afrikaanse regering verskeie ontwikkelingsprogramme geïmplementeer wat ten doel gehad het om plaaslike regering ingevolge artikel 154 van die Grondwet te transformeer. Talle munisipaliteite wat ondersteuning van die programme ontvang het, het dit egter moeilik gevind om hul werksaamhede vol te hou na die ondersteuningspanne se vertrek. Sommige van die munisipaliteite het finansiele probleme ondervind wat nie deur monitering en ondersteuning alleen opgelos kon word nie en het derhalwe volgehoue bystand van die nasionale en provinsiale regerings vereis. Die toedrag van sake het uiteindelik aanleiding gegee tot ingrypings ingevolge artikel 139 van die Grondwet. Artikel 139-ingryping is ’n laaste poging van die provinsiale regering om ’n munisipaliteit te red wat onder volgehoue, ernstige finansiele uitdagings gebuk gaan. Die ingrypings geskied onder leiding van die Departement van Samewerkende Regering en Tradisionele Sake (Cogta) in samewerking met die provinsiale tesourie. Sedert die ingrypingsraamwerk vir die eerste keer in 1998 geimplementeer is, was daar ’n toenemende vraag na ingrypings, nie net by munisipaliteite waar voorheen ingegryp is nie, maar ook by ander munisipaliteite. Met hierdie studie word daar dus gepoog om vas te stel waarom artikel 139-ingrypings nie die gewenste uitkomste by munisipaliteite lewer nie. Masters 2025-02-03T08:40:41Z 2025-02-03T08:40:41Z 2024-12 Thesis https://scholar.sun.ac.za/handle/10019.1/131641 en_ZA Stellenbosch University viii, 89 pages : illustrations, maps application/pdf Stellenbosch : Stellenbosch University |
| spellingShingle | Municipal finance -- Law and legislation -- South Africa Public administration -- South Africa Financial risk management -- Government -- South Africa UCTD Dinga, Ndilakazi How successful are S139(5) municipal financial interventions in South Africa? a case study of Makana Local Municipality |
| title | How successful are S139(5) municipal financial interventions in South Africa? a case study of Makana Local Municipality |
| title_full | How successful are S139(5) municipal financial interventions in South Africa? a case study of Makana Local Municipality |
| title_fullStr | How successful are S139(5) municipal financial interventions in South Africa? a case study of Makana Local Municipality |
| title_full_unstemmed | How successful are S139(5) municipal financial interventions in South Africa? a case study of Makana Local Municipality |
| title_short | How successful are S139(5) municipal financial interventions in South Africa? a case study of Makana Local Municipality |
| title_sort | how successful are s139 5 municipal financial interventions in south africa a case study of makana local municipality |
| topic | Municipal finance -- Law and legislation -- South Africa Public administration -- South Africa Financial risk management -- Government -- South Africa UCTD |
| url | https://scholar.sun.ac.za/handle/10019.1/131641 |
| work_keys_str_mv | AT dingandilakazi howsuccessfulares1395municipalfinancialinterventionsinsouthafricaacasestudyofmakanalocalmunicipality |