School of Public Leadership, Stellenbosch University, Graduation Ceremony Speech by Mr TV Pillay, Chief Director: MFMA Implementation Unit, Office of the Accountant-General, National Treasury on the Municipal Minimum Competence Programme, 06 December 2013

INTRODUCTION

Master of ceremony,distinguished guests, dignitaries present,vice-chancellor, members of the university council and senate,honourable MEC for local government, honourable municipal councillors, ladies and gentlemen, graduatesand colleagues,good afternoon. All protocols observed.

At this time, we also wish to extend our condolences to the family, friends, comrades and fellow South Africans on the passing of our first democratic President, our icon, Tata Mandela.

We will remember him for his extraordinary compassion, forgiveness and humanity. Thank you for giving us Madiba. We must build on the noble principles he stood for, for a better South Africa. Let us celebrate his legacy.

It is indeed a privilege to be amongst you here today. It is also extremely gratifying to live the dream and see it turn to reality.

When we started out by developinganenabling framework for municipal financial management in 1999, we knew it was going to be a lengthy process as we were in the midst of transforming the system, changing historical settlement patterns, adapting to socio economic changes and meeting the challenges of delivering services to all, in an equitable, effective, efficient, accountable and transparent manner. Robust engagements contributed towards enriched thinking that enabled Parliamentary Committees to debate at length each provision before it was finally passed and enacted as the Municipal Finance Management Act in 2003. The principles of the MFMA were to ensure that we built a firm foundation for effective, efficient and economical use of scarce financial resourcesin an accountable and transparent manner, so that the voting public could be assured that such resources would be allocated towards addressingthe many challenges we confront.

Some of the pillars on which we are building the new system are to ensure that we have strong leadership, a professional and well skilled administration, and individuals who are appointed to the right positions to be the custodians of public finances, among others. The development and rollout of the training through this programme, which was designed to update and improve financial management knowledge and skills, give effect to the Municipal Regulations on Minimum Competency Levels, issued in 2007. This year also marks the 10th anniversary of the MFMA.

Congratulations to the graduates. You have made us proud by sacrificing your time, putting in that extra effort to widen your knowledge and broaden your skills set to be part of a system of governmentthat values our scarce public resources, that is constantly looking for better ways to do things and ultimately strives to improve service delivery to all.

WORDS OF APPRECIATION

We must admit that we have gone through a number of teething problems to successfully deliver the training programme on minimum competency levels. We are proud to see some of the rewards of all of our efforts here today.

Stellenbosch University wasamong the first training providers to respond to the call. In spite of the difficulties experienced, you have managed to rise above all expectations. We wish to thankthe School of Public Leadership for showing the way, for the perseverance and willingness to contribute to the skills sets required to improve financial management in local government, your readiness to do things differently and commitment to achieve results is highly appreciated, and will continue to be encouraged.

This is one of the most administratively challenging programmes, covering a wide range of disciplines,and we salute you and your team of experts in implementing the programme so effectively. The skills sets we refer to include strategic management, leadership, performance management, municipal accounting, risk management, internal controls, supply chain and asset management to mention a few.

Thehostingof this first graduation ceremony is also testimony to the successful outcome of this programme. Such initiativeswill continue to strengthen the partnership between institutions of higher learning and the broader public sector, something so important as we all strive together as a country to improve eachother’s lives. We are hopeful that this initiative and the success gained will also serve as a model for other disciplines.

We also wish to express our thanksfor continued support received from the LGSETA through the Acting ETQA Manager and their staff for their tireless efforts.

Our heartfelt appreciation goes to your families and also to municipalities that have allowed officials to attend this programme.I hope we are now ready to enjoy the fruits of our sacrifices.

TO THE GRADUATES

As we celebrate your achievements today, some of you will progress to higher positions and so we ask that youdouble your commitment as you apply the additional knowledge gained from this programme to better the lives of others that are less fortunate than us. Please remember that we are custodians of public funds and occupy positions of trust. With this trust comes responsibilities and accountability.

Municipal Councils, through its system of delegation, empowers and assigns such duties and responsibilities to officials in the administration.

Let us ensure that we discharge these duties in a manner that is beyond reproach so we all can be proud of the foundation that we have laid and contributions we have made that will benefit generations to come.

The Auditor-Generalhas made known his audit findings to councils and administratorson the state of municipal financial management and has emphasised, for example, the need to improveleadership, compliance and implementation. We have introduced the Financial Management Grant with allocations exceeding R2 billion over the recent past. This has been designed to assist capacitation of financial management in all municipalities. Let us offer those young graduates who have also served on this programme and completed their internships an opportunity to be gainfully employed in our institutions as they are the future of our country.

Local government remains at the very core to improving all of our lives. We challenge you, graduates young and old, to capitalise on yournewly acquired competenciesto continue to strive to improvelocal government financial management and directly impact on improvements in service delivery. When you look back, you will know that your contributions have formed part of the legacy in buildingourinstitutions, be it, municipal, provincial and national.

CONCLUSION

Jim Rohn (September 17, 1930 – December 5, 2009) an American entrepreneur, author and motivational speaker also writes,“Your life does not get better by chance, it gets better by change.”

Master of ceremony, ladies and gentlemen, we have to bring about the change that we want to enjoy in the future, today.

That begins with shaping local government for the better. Our contributions and expertise can contribute to that change.

We therefore, urge today’s graduates to continue to serve the public sector, specifically municipalities, rural or urban, using these competencies you now possess. Your commitment, your competence, your willingness to be part of a solution toward a better public sector; all are critical for our country’s continued success. With this, we encourage you to continue to develop your skills through yourchosen career paths.

Master of ceremony, let me conclude by once again,congratulating the graduates on their achievements and wishing them good luck with their careers.

I thank you.

Disclaimer: In using this speech regard must be had to the provisions of the Municipal Finance Management Act No. 56 of 2003, the Municipal Systems Act No. 32 of 2000, the Municipal Structures Act (as amended) No. 117 of 1998 and other related legislation. This speech contains general discussions and acknowledgement of achievements is not intended to be legal advice in any form but is subject and limited to this graduation ceremony. This speech is supplied on the basis that it is for the sole use of the parties to whom it is addressed. No party other than those to whom it is addressed may rely upon the information in this speech for any purpose whatsoever.

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