Fierce debate over MBDA board

The Mandela Bay Development Agency performs better each year than the Nelson Mandela Bay municipality and there can be no vacuum where the entity is concerned.

These were the sentiments of the metro’s municipal public accounts committee, which met virtually on Thursday and recommended that the agency’s board, disbanded recently by acting mayor Thsonono Buyeye, stay on until council appoints new board members.

However, economic development executive director Anele Qaba disagreed with the committee, saying such a decision would be irregular.

The Herald reported earlier in July that Buyeye disbanded the MBDA board with immediate effect.

However, board chair Phil Goduka insisted at the time that the acting mayor did not have the power to remove him or disband the board.

During a lengthy meeting on Thursday, councillors went back and forth on the recommendations made.

The meeting was meant to discuss the MBDA’s audit report but most of the time was spent debating the entity’s board — which was not on the agenda.

The board’s tenure expired on July 31 2019, but the council later extended it by three months.

After that extension expired, the board was retained on a month-to-month basis.

While going through the chair’s report, ACDP councillor Lance Grootboom sought clarity on whether the MBDA had a board.

“Expired or not expired, the MBDA can’t not have a board.

“The executive director of EDTA [economic development, tourism and agriculture] can’t change the recommendations we’re making.

“The board should continue until council appoints a new board.

“We can’t have a vacuum where the MBDA is concerned because if there is no board then there’s no entity,” Grootboom said.

During the meeting, councillors commended the MBDA on its smooth running of the Nelson Mandela Bay Stadium and recommended the month-to-month contract for the running of the stadium be reviewed.

ANC councillor Mbulelo Gidane said despite challenges faced by the MBDA, it still managed to perform better than the municipality.

“Out of all our challenges, the MBDA always comes out with a clean audit.

“Can the executive director try to smooth this budget thing over to make sure it has funds to run its projects?”

Mpac chair Phumza Tshanga agreed and said: “You’re our best entity for this municipality. You really don’t need this month-on-month contract. I hope you’ll be signed.”

ANC councillor Ncediso Captain said the ANC caucus had resolved that the MBDA board stay on until a new board was appointed.

Captain questioned how the decision to remove the board came about.

“The current board must stay until we appoint a board.

“We know the term has expired but now the new mandate of the board has not been appointed.

There’s a vacuum,” Captain said.

Qaba said the board had not been terminated but Buyeye had simply released it.

“Beyond that the council has not appointed a board.”

From November onward, there was no board appointed by council but a month-to-month extension given by the former mayor Mongameli Bobani.

“It came to our attention that Bobani’s decision was irregular, it therefore means that the decisions taken by the board for the term not appointed by council was irregular.

“We stopped the board’s term immediately because we were informed by legal advice that decision was irregular,” Qaba said.

He said processes relating to the Municipal Finance Management Act had been followed to the letter and an advert was placed in the local newspapers for candidates of a new board.

“Shortlisted candidates will be presented to council.

“We acknowledge that this is not an ideal situation, but if one says all those [month-to-month board] appointments should continue then that person will be giving irregular advice.”

For the 2018/2019 financial year, the MBDA received a clean audit from the auditor-general.

However, the unqualified audit opinion had matters of emphasis attached to it highlighted by AG Kimi Makwetu such as the agency’s control systems.

In his report, the AG also highlighted the missing service delivery agreement between the MBDA and the municipality.