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Annual Report 2011/2012 Department of Local Government Department of Local Government Vote 14 Annual Report 2011/12 Provincial Government Western Cape Mr Anton Bredell Minister of Local Government, Environmental Affairs and Development Planning I have the honour of submitting the Annual Report of the Department of Local Government for the period 1 April 2011 to 31 March 2012. H Fast 31 August 2012 Annual Report 2011/12 List of Abbreviations in Annual Report AC: Accounting Officer MDB: Municipal Demarcation Board ACC: Anti-Corruption (Ethics) Committees MEC: Member of the Executive Council ACSA: Airports Company South Africa MFMA: Municipal Finance Management Act, 2003 AFS: Annual Financial Statements (Act 56 of 2003) APP: Annual Performance Plan MIG: Municipal Infrastructure Grant BAS: Basic Accounting System MINMAY: Forum of Provincial Minister of Local CAPS: Category of Authorised Persons Government & Executive Mayors CBOs: Community Based Organisation MINMAYTECH: Forum of the Head of Department: CDW: Community Development Worker Local Government & Municipal Managers CF: Communication Forums MIS MIG: Management Information System, CSC: Corporate Service Centre Municipal Infrastructure Grant DCAS: Department of Cultural Affairs & Sport MM: Municipal Manager DCF: District Co-ordinating Forum MoU: Memorandum of Understanding DCOG: Department of Co-operative Governance MPM: Municipal Performance Monitoring DBSA: Development Bank of South Africa MPRA: Municipal Property Rates Act, 2004 (Act 6 DHS: Department of Human Settlements of 2004) DIPMS: Development & Implementation of MSA: Municipal System Act No. 32 of 2000 Performance Management System NCOP: National Council of Provinces DLG: Department of Local Government DCOG: National Department of Co-operative DM: District Municipality Governance DPSA: Department of Public Service and NDA: National Developement Agency Administration NDP: Neighbourhood Dvelopment Planning DWA: Department of Water Affairs NGOs: Non-Governmental Organisation EAP: Employee assistance Programme NSDP: National Spatial Development EHW: Employee Health and Wellness Perspective, 2002 ELDP: Executive Leadership Development PCAA: Prevention of Corrupt Activities Act Programme PCF: Premier's Co-ordinating Forum FIV: Forensic Investigation Unit PFMA: Public finance Management Act FMPPI: Framework for Managing Programme PGWC: Provincial Government western Cape Performance Information, 2007 PSO: Provincial Strategic Objective FPP: Fraud Prevention Plans PSDF: Provincial Spatial Development GG: Government Garage Framework, 2009 GIZ: Donor funder PT: Provincial Treasury GWM&E: Government Wide Monitoring & PTI: Provincial Training Institute Evaluation, 2007 SALGA: South African Local Government ICAS: Independent Counselling and Advisory Association Services SANRAL: South African National Roads Ltd ICT: Information Communication Technology SDI: Service Delivery Integration IDPs: Integrated Development Plans SDP: Spacial Development Planning IEC: Independent Electoral Commission SIU: Special Investigating Unit IGR: Inter-governmental Relations TSC: Thusong Services Centres LED: Local Economic Development UWC: University of the Western Cape LUMS: Land Use Management System WC: Western Cape M&E: Monitoring and Evaluation WCG: Western Cape Government Western Cape Government: Department of Local Government Contents PART 1 - GENERAL INFORMATION 1 1.1 Vision 2 1.2 Mission 2 1.3 Values 2 1.4 Organisational Structure 3 1.5 Legislative and other Mandates 4 1.5.1 Constitutional Mandates 4 1.5.2 Legislative Mandates 4 1.5.3 Other Local Government Legislation 5 1.5.4 Transversal Legislation 5 1.5.5 Local Government Policy Mandates 5 1.5.6 Other policy mandates 5 1.6 Minister’s Statement 6 1.7 Accounting Officer's Overview 6 PART 2 - DEPARTMENTAL PROGRAMME PERFORMANCE 9 2.1 Overall Performance 10 2.2 Programme Performance 16 Programme 1: Administration 16 Programme 2: Local Governance 17 Programme 3: Development and Planning 36 PART 3 - ANNUAL FINANCIAL STATEMENTS 41 Report of the Audit Committee 42 Report of the Accounting Officer 45 Report of the Auditor-General 53 Accounting Policies 57 Appropriation Statement 63 Notes to the Appropriation Statement 69 Statement of Financial Performance 71 Statement of Financial Position 72 Statement of Changes in Net Assets 73 Cash Flow Statement 74 Notes to the Annual Financial Statements 75 Disclosure notes to the Annual Financial Statements 86 Annexures (Unaudited supplementary schedules) 95 Annual Report 2011/12 PART 4 - HUMAN RESOURCES MANAGEMENT 101 4.1 Service Delivery 102 4.2. Expenditure 105 4.3. Employment and Vacancies 108 4.4. Job Evaluation 110 4.5. Employment Changes 112 4.6. Employment Equity 117 4.7. Signing of Performance Agreements by SMS Members 123 4.8. Filling of SMS Posts 124 4.9. Performance Rewards 126 4.10 Foreign Workers 129 4.11. Leave Utilisation for the period 1 January 2011 to 31 December 2011 130 4.12. HIV and AIDS & Health Promotion Programmes 133 4.13. Labour Relations 137 4.14. Skills Development 139 4.15. Injury on Duty 141 4.16. Utilisation of Consultants 142 PART 5 - OTHER INFORMATION 145 List of contact details 146 Western Cape Government: Department of Local Government Annual Report 2011/12 Western Cape Government Department of Local Government Part 1: General Information 2 1.1 Vision Developmental and well-governed municipalities with integrated, sustainable and empowered communities. 1.2 Mission The mission of the Department of Local Government is: Ÿ To capacitate municipalities to deliver quality services to communities; Ÿ To promote participative, integrated and sustainable communities; Ÿ To ensure municipal plans reflect national, provincial and local priorities and resources through sound intergovernmental relations; Ÿ To be the first port of call to municipalities for advice and support; and Ÿ To facilitate delivery through sound administration and the engagement of all spheres of government and social partners. 1.3 Values The Department's values are the same as the five provincial values, namely: Ÿ Accountability; Ÿ Competence; Ÿ Integrity; Ÿ Responsiveness; and Ÿ Caring. Annual Report 2011/12 3 1.4 Organisational Structure Minister Local Government Mr A Bredell Director HOD Director Finance Local Policy and Strategic Government Support Ms B Sewlall-Singh Dr HH Fast Vacant Chief Director Chief Director Chief Director (Acting) Municipal Disaster Management Integrated Service Performance and Fire Brigade Delivery Monitoring and Services Mr C Mitchell Mr G Paulse Mr C Deiner Director Director Director Integrated District and Local Disaster Risk Development Performance Reduction Planning Monitoring Mr J Lodi Vacant Mr S Carstens Director Director Director Community Municipal Support Disaster Operations Development Worker and Capacity Building Programme Mr H Magerman Ms E Barnard Ms J Pandaram Director Director Service Delivery Specialised Support Integration Ms N Sesiu Mr M Brewis Director Director Public Participation Municipal Infrastructure Mr C Mitchell Mr M Wüst Director Municipal Governance Mr S Johaar Western Cape Government: Department of Local Government Part 1: General Information 4 1.5. Legislative and other mandates councillors and officials. In so doing, they provide the benchmark against which 1.5.1 Constitutional Mandates Provincial Government needs to regulate, monitor, support and co-ordinate municipalities The Constitution of South Africa Act 108 of 1996 under its jurisdiction. provides the national overarching framework for the work of all government departments in South Africa. c) Municipal Finance Management Act, 2003 (Act Chapter 7 outlines the objectives and mandates in 56 of 2003) respect of local government, as the following: This Act aims to secure sound and sustainable Ÿ To establish municipalities consistent with management of the financial affairs of national legislation; municipalities as well as to establish norms and Ÿ To support and strengthen the capacity of standards against which the financial affairs can municipalities; be monitored and measured. Ÿ To regulate the performance of municipalities in terms of their functions listed in schedules 4 and 5 d) Municipal Property Rates Act, 2004 (Act 6 of of the Constitution; 2004) Ÿ To intervene where there is non-fulfillment of This Act aims to regulate the power of a legislative, executive or financial obligations; municipality to impose rates on property, and exclude certain properties from rating in the Ÿ To promote developmental local government. national interest, make provision for municipalities to implement a transparent and 1.5.2 Legislative Mandates fair system of exemptions, reduce and rebate through their rating policies, make provision for The White Paper on Local Government (1998) and fair and equitable valuation methods of the subsequent package of related legislation properties, make provision for an objections (outlined below), provides the national context for and appeals process, amend the Local local governance across the country. Government: Municipal Systems Act, 2000, to make further provision for the serving of a) Local Government Demarcation Act, Act 27 of documents by municipalities, and amend or 1998 repeal certain legislation. This Act aims to provide for criteria and procedures for the determination of municipal e) Disaster Management Act, 2002 (Act 57 of 2002) boundaries by an independent authority. This Act provides for integrated and co- ordinated disaster management focused on b) Municipal Structures Act, 1998 & 2000 (Act 117 of rapid
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