Volume 7, Issue 1, March 2005.

Section 139 of the Constitution permits a provincial government to intervene in the affairs of a municipality under certain specified circumstances of non-performance. Such an intervention has serious consequences for the municipal council's authority to govern. In 2003, provincial government's intervention powers were increased significantly. Most importantly, the revised wording for the dissolution of a council and for interventions in the event of so-called financial emergencies.

A recent judgment by the Constitutional Court clarifies the powers, duties and status of municipalities and pronounces positively on the powers of municipalities to impose property rates. This case is a significant victory for municipalities in their efforts to value property and levy property rates.

The intergovernmental relations framework bill, tabled in Parliament in February, establishes and entrenches the role and place of local government in our system of coo-operative government.

The Local Government Project conducted a survey of a wide range of current South African service delivery contracts to see how their actual contract terms assist in achieving the outsourcing objectives and how they provide for the common dangers. The objective was to get a general idea of the these service delivery contracts entail. This article focuses on what they contain on the issue of skills transfer,.