After its amendment and introduction of  Section 79A, the Municipal Structures Amendment Act made it mandatory for all municipalities in the country to establish a municipal public accounts committee (MPAC). MPACs are responsible for looking at unauthorised, irregular and fruitless and wasteful expenditure in municipalities.

MPACs report to council and not the executive, therefore, they are suited to providing oversight over the executive and the administration. The purpose of these committees is not prescribed but is determined by council – thus MPACs may be assigned the oversight functions deemed necessary by council.

Duties and functions of MPACs include: 

• Submission of the annual report (AR) – MPAC to monitor that AR has been submitted. In case of failure to submit, request reasons (MFMA Section 127).
• Oversight report – MPAC to prepare a report and consider all representations made to council, municipal officials, and members of the public. Members of the public should be allowed to address the Committee (MFMA Section 129).
• Issues raised by the Auditor General (AG) – MPAC to monitor that the issues raised during the municipal audit have been fully addressed (MFMA Section 131). MPAC to assist in monitoring effectiveness of Audit Committee – fully functional Audit Committee is appointed (MFMA Section 166).
• MPAC to monitor and exercise oversight on disciplinary action instituted in terms of the MFMA and the Financial Misconduct Regulations.
• Promoting good governance, transparency and accountability in the use of municipal resources.
• Examine the performance-related information based on the functions assigned to the municipality as they are aligned to the financial information.
• Review and recommend to Council actions or otherwise relating to the expediting and conclusions of Unauthorised, Irregular, Fruitless, and Wasteful Expenditure (UIFW).

You can download the full MPAC poster and calendar and watch the Legislative Framework and Obligations explainer video on YouTube.