Good afternoon Deputy Chairperson and members, the Select Committee on Finance, having considered the request by the National Council of Provinces to consider and report on the state of local government finances and financial management as at 30 June 2018, reports as follows: in terms of NCOP Rule 101, the Office of the Chairperson of the NCOP referred the paper tabled requesting the committee to consider and report to Parliament in terms of Rule 102 on the state of local government finances and financial management.