LGL3702
TAKE-HOME EXAM
MAY_JUNE 2022
, Question 1
Local government is interdependent, and (subject to permissible constitutional
constraints) inviolable and has latitude to defi ne and express its unique character
(CDA Boerdery (Edms) Bpk and Others v The Nelson Mandela Metropolitan
Municipality and Others 2007 (4) SA 276 (SCA).
Even though local government is defi ned as autonomous (distinctive of other spheres
of government), municipalities are also interrelated and interdependent with provincial
and national governments.
The following factors have a negative impact on the current municipal system.
o Financial constraints
As a consequence of the new local government structure – and specifically the
enhanced responsibilities of local government – the number of people for whom each
municipal authority must provide services has increased significantly. These increases
in the numbers of households requiring services, along with the generally expanded
jurisdictions of each municipality, have not been counterbalanced by the increases in
tax revenue that would be necessary to enable local government (in the form of
municipalities) to fulfil their new-found, Constitution-driven accountabilities. This has
resulted in a number of municipalities facing financial crises, although service back-
logs, disintegrated infrastructure and a general lack of borrowing capacity have also
contributed to the financial distress of municipalities. The current decline in national
economic growth (the country finds itself at present in a “technical” recession with
virtually no growth), combined with residents’ expectations of service delivery, places
even more pressure on the dire financial situation of local government.
o Administrative challenges
The incorporation of local government as a significant sphere of government – and
one that is largely autonomous in its decisions – has resulted in substantial
administrative changes. Despite this constitutional imperative, local government still
faces a number of administrative difficulties. These include hierarchical structures, a
lack of coordination between different departments, inexperienced and untrained staff
TAKE-HOME EXAM
MAY_JUNE 2022
, Question 1
Local government is interdependent, and (subject to permissible constitutional
constraints) inviolable and has latitude to defi ne and express its unique character
(CDA Boerdery (Edms) Bpk and Others v The Nelson Mandela Metropolitan
Municipality and Others 2007 (4) SA 276 (SCA).
Even though local government is defi ned as autonomous (distinctive of other spheres
of government), municipalities are also interrelated and interdependent with provincial
and national governments.
The following factors have a negative impact on the current municipal system.
o Financial constraints
As a consequence of the new local government structure – and specifically the
enhanced responsibilities of local government – the number of people for whom each
municipal authority must provide services has increased significantly. These increases
in the numbers of households requiring services, along with the generally expanded
jurisdictions of each municipality, have not been counterbalanced by the increases in
tax revenue that would be necessary to enable local government (in the form of
municipalities) to fulfil their new-found, Constitution-driven accountabilities. This has
resulted in a number of municipalities facing financial crises, although service back-
logs, disintegrated infrastructure and a general lack of borrowing capacity have also
contributed to the financial distress of municipalities. The current decline in national
economic growth (the country finds itself at present in a “technical” recession with
virtually no growth), combined with residents’ expectations of service delivery, places
even more pressure on the dire financial situation of local government.
o Administrative challenges
The incorporation of local government as a significant sphere of government – and
one that is largely autonomous in its decisions – has resulted in substantial
administrative changes. Despite this constitutional imperative, local government still
faces a number of administrative difficulties. These include hierarchical structures, a
lack of coordination between different departments, inexperienced and untrained staff
