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- BEFORE AGENDA, from 00:00:00
- AGENDA, from 01:15:34
A report in terms of Supply Chain Management Regulations, Regulation 36, and the Supply Chain Management Policy (May 2026), Clause 326, for the period 20 July 2026 to 5 August 2026 will be presented for information.
Regulation 36 of the Municipal Supply Chain Management Regulations (2005), issued under the Municipal Finance Management Act (MFMA), allows a municipality to depart from normal competitive bidding in limited cases. These include emergencies, sole-supplier or specialised items, exceptional cases where a competitive process is impractical, and acquisitions of animals for zoos or game parks. The deviation must be recorded and reported, and the Council must be told about it. It is the City's own SCM Policy that sets out how this works in Cape Town. The report named here cites Clause 326 of the May 2026 version of that policy. I could not check that clause's wording, so I can't say exactly what it requires.
Reports like this are tabled for noting. They are not usually put to a vote. They give councillors and the public a record of procurements made outside the standard tender process, covering this period from 20 July to 5 August 2026. Deviations are legitimate, but they carry a risk of abuse. Poor use of them has been a recurring issue in South African local government audits, and the Auditor-General routinely flags irregular expenditure linked to SCM non-compliance. National Treasury has also issued MFMA circulars and SCM guidance that stress limiting deviations and justifying each one properly.
This reporting is part of the transparency and oversight framework. Residents can use it to see how often the City bypasses open tenders, what it buys that way, and whether the stated reasons, such as urgency, hold up. Cape Town publishes its SCM policy, tender information and Council agendas on its official website (capetown.gov.za), where the full report should be available.
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