What is MPAC?
The Municipal Public Accounts Committee (MPAC) is a municipal council committee that is established in terms of Section 79A of the Municipal Structures Act 117 of 1998 and the legal basis of the oversight function set out in Section 139(4) of the Municipal Finance Management Act 53 of 2003 (MFMA). The MPAC is a tool to hold accountability from the executive and municipal administration to account and ensure that there is efficient utilisation of municipal resources.
The MPAC aims to improve accountability, transparency, economical, effective and efficient use of public resources in performing municipal functions giving effect to service delivery (SALGA, 2012). The role of the oversight committee and officials within the local government sphere is crucial to nurturing and maturing democratic institutions by exercising proper oversight of public funds and government programmes in a transparent and accountable manner.
How is the MPAC constituted?
The MPAC is a committee that is comprised solely of councillors appointed by resolution of a full council meeting. The committee may invite representatives of the community and co-opt members of the public who are experts in their respective fields to assist and advise in the deliberations when the need arises. The MPAC meetings occur at least four times per municipal financial year and convenings are held before the scheduled council meeting for the month in which the MPAC sits. The MPAC chairperson is typically appointed by the council from the opposition party to the MPAC chair to demonstrate the independence and credibility of the MPAC in the eyes of the public. The MPAC committee is comprised of eleven councillors from various departments.
MPAC’s primary functions
• To review and evaluate the content of the Auditor General’s (AG) Report and make recommendations to the Council when adopting an oversight report on the AG report.
• To examine the municipal financial statements and audit reports, and to identify shifts and improvements from previous statements and reports. It also assesses the extent to which the Audit Committees and the Auditor-Generals recommendations are implemented and further explains when no or ineffective actions have been followed.
• To promote good governance, transparency, accountability, and value for money in the use of municipal resources.
• To recommend or undertake any investigation in its area of responsibility after reviewing any investigation report already undertaken by the municipality or the Audit Committee.
• To perform any other functions assigned to it, through a resolution of Council within its area of responsibility.
(SALGA, 2012; COGTA, 2022)
Planact considers the MPAC as an important oversight body within the overall municipal governance structure. Staff members of Planact have attended MPAC meetings with community members and continue to engage with the process and work to ensure that it is a body that forms a key participatory function in municipalities to bring about more accountable and transparent governance.