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City of Cape Town 2015/16 INTEGRATED ANNUAL REPORT ANNUAL 010939_CoCT IAR_1_cover-p37_v4_prf3 – January 17, 2017 10:43 AM 2017 10:43 17, January – IAR_1_cover-p37_v4_prf3 010939_CoCT CITY OF CAPE TOWN INTEGRATED ANNUAL REPORT 2015/16 010939_CoCT IAR_1_cover-p37_v4_prf3 – January 17, 2017 10:43 AM 010939_CoCT IAR_1_cover-p37_v4_prf3 – January 17, 2017 10:43 AM ABOUT THIS ANNUAL REPORT 2 Vision and mission of the City of Cape Town 4 ABOUT THIS ANNUAL REPORT 6 Highlights 8 Message from the executive mayor 9 Statement by the city manager 10 OVERVIEW OF THE CITY OF CAPE TOWN 12 Key facts and salient features 14 About Cape Town 16 Understanding Cape Town’s key challenges 18 The Cape Town spatial development framework 19 Ensuring sustainable economic growth and social development 20 Building the City of the future 22 Embracing innovation to serve the people of cape town 24 GOVERNANCE, COMPLIANCE AND RISK MANAGEMENT 26 Management and governance structures and frameworks 33 Good governance as a sustainable foundation CONTENTS 37 Public participation 38 2015/16 PERFORMANCE REVIEW 40 Strategic focus area 1: The opportunity city 90 Strategic focus area 2: The safe city 98 Strategic focus area 3: The caring city 114 Strategic focus area 4: The inclusive city 124 Strategic focus area 5: The well-run city 136 OVERVIEW OF FINANCIAL PERFORMANCE AND ECONOMIC STABILITY 138 Overview of the 2015/16 financial performance 142 CONSOLIDATED ANNUAL FINANCIAL STATEMENTS 144 Approval of the consolidated annual financial statements 146 Report of the Auditor-General 150 Report of the Audit and Performance Audit Committees for the year ended 30 June 2016 154 Report of MPAC 158 Financial statements and policy 233 Annexures 258 APPENDICES City of Cape Town Integrated Annual Report 2015/16 1 010939_CoCT IAR_1_cover-p37_v4_prf3 – January 17, 2017 10:43 AM THE VISION OF To be an opportunity city that creates an enabling THE City OF environment for economic CAPE TOWN IS growth and job creation, THREEFOLD: and to provide help to those who need it most To deliver quality services to all residents To serve the citizens of Cape Town as a well-governed and corruption-free administration OF THE CITY OF CAPE TOWN OF CAPE THE CITY OF VISION AND MISSION 2 010939_CoCT IAR_1_cover-p37_v4_prf3 – January 17, 2017 10:43 AM ABOUT THIS ANNUAL REPORT SPEARHEADING THIS resolve IS A FOCUS IN striving to achieve To contribute actively to the development of its environmental, ON INFRASTRUCTURE THIS VISION, THE City’S human and social capital; INVESTMENT AND MISSION IS: MAINTENANCE TO To offer high-quality services to all who live in, do business in or provide A sustainable visit Cape Town as tourists; and DRIVE FOR economic GROWTH AND To be known for its efficient, development, greater effective and caring government. economic FREEDOM, AND INCREASED opportunities FOR investment AND JOB creation. TO achieve ITS VISION, THE City OF CAPE TOWN IS BUILDING ON THE strategic FOCUS AREAS IT HAS IDENTIFIED AS THE cornerstones OF A successful AND THRIVING city, WHICH FORM THE foundation OF ITS FIVE-YEAR Integrated Development PLAN. THESE ARE AS FOLLOWS: THE THE THE THE THE OPPORTUNITY SAFE CARING INCLUSIVE WELL-RUN CITY CITY CITY CITY CITY Pillar 1: Ensure that Pillar 2: Make Pillar 3: Make Pillar 4: Ensure that Pillar 5: Make Cape Town continues Cape Town Cape Town even Cape Town is an sure Cape Town to grow as an an increasingly more of a inclusive city. continues to be a opportunity city. safe city. caring city. well-run city. THESE FIVE FOCUS AREAS INFORM ALL THE City OF CAPE TOWN’S PLANS AND POLICIES. City of Cape Town Integrated Annual Report 2015/16 3 010939_CoCT IAR_1_cover-p37_v4_prf3 – January 17, 2017 10:43 AM THIS 2015/16 annual report BUILDS ON THE integrated reporting efforts OF THE City IN PREVIOUS YEARS, AND attempts to MEET THE REQUIREMENTS AND recommendations OF THE KING report ON corPOrate gOvErNANCE IN sOuTh Africa (Or ThE KINg III rEPOrT) As wEll As INTErnationally accepted standArds fOr integrated reporting. While the report provides City of Material Issues: Cape Town stakeholders and interested The content of this report aligns with parties with comprehensive information various material issues reflected in the about the administration’s financial, City’s Integrated Development Plan and operational, social and environmental other sector plans. These material matters performance for the 12 months under are identified by the City to be addressed review, it also focuses on progress made as part of the delivery of its service against the Integrated Development NNUAL REPORT NNUAL mandate and through the achievement Plan objectives for the past five years. of its long-term vision. Some of the City’s A Accordingly, therefore, the content of material issues include the following: ABOUT MI 1 this annual report is structured around Mitigating carbon emissions the five strategic focus areas (pillars) and and helping to address climate their underlying objectives contained change in the City’s five-year Integrated MI 2 Efficient water supply, use and Development Plan. It is also informed management by a number of other plans and THIS MI 3 documents produced by the various Efficient energy supply, use City directorates and business areas. and management MI 4 These include, but are not limited to, Effective waste management the following: MI 5 Sustainable human settlements • The City’s 2015/16–2017/18 budget efficiencies MI 6 • The Integrated Human Settlements Social sustainability with a Five-Year Strategic Plan, July 2012– focus on poverty alleviation June 2017 MI 7 Economic sustainability • The Integrated Public Transport through financial prudence Network (IPTN) 2032 MI 8 Effective and transparent • The Transit-Oriented Development governance and risk management Strategic Framework MI 9 Achievement of environmental • The Built Environment Performance sustainability and biodiversity Plan (BEPP) 2015/16 objectives MI 10 • The Cape Town Spatial Development Sustainable land use and Framework development MI 11 • The City of Cape Town Economic Customer communication and Growth Strategy satisfaction measurement MI 12 • The City of Cape Town Social Sustainable procurement Development Strategy MI 13 Infrastructure maintenance and development MI 14 Transformation, diversity and talent management MI 15 Corporate administration 4 010939_CoCT IAR_1_cover-p37_v4_prf3 – January 17, 2017 10:43 AM ABOUT THIS ANNUAL REPORT City of Cape Town Integrated Annual Report 2015/16 5 010939_CoCT IAR_1_cover-p37_v4_prf3 – January 17, 2017 10:43 AM subsidised2 909 electricity Received high The City of Cape Town received an investment unqualified audit opinion, rating of A1.za as well as a from independent clean audit status, rating agency from the Auditor-General of South Africa for the 13th and 4th consecutive years respectively. HIGHLIGHTS ALMOST passenger18,5 journeys million undertaken on MyCiTi OF790 FIBRE-optic KM cable installed across THE METRO N2 express route 1 in Khayelitsha and route 1 in Mitchells Plain completed Record spend of 94,48% on repairs and maintenance 6 010939_CoCT IAR_1_cover-p37_v4_prf3 – January 17, 2017 10:43 AM ABOUT THIS ANNUAL REPORT 919 44 942 water service Expanded Public points (taps) Works Programme provided job opportunities created sanitation3 058 service points (toilets) provided 2serviced- 297 site housing The City of Cape Town recognised as opportunities provided intop prestigious Eco-LogicMETRO awards R3,7 billioN invested IN ENGINEERING infrastructure of81,64% emergencies responded to within 14 minutes 104,85% OF workplace SKILLS PLAN BUDGET SPEND City of Cape Town AnnualIntegrated Report Annual 2016 Report 2015/16 7 010939_CoCT IAR_1_cover-p37_v4_prf3 – January 17, 2017 10:43 AM MESSAGE FROM THE EXECUTIVE MAYOR ACCOUNTABILITY IS When we drew up our City of to reflect and to turn challenges and Cape Town 2012–2017 Integrated even failures into lessons for the future FUNDAMENTAL TO Development Plan in 2011, we so that we can keep on improving our BUILDING A WELL-RUN embarked on a mission to implement delivery to all Capetonians. 294 initiatives following extensive I hope that all stakeholders in CITY. IT REQUIRES OF US public participation. TO BE TRANSPARENT AND Cape Town will find the information in With just under a year left until the this report very valuable and will use it to ENCOURAGE CONSTRUCTIVE deadline for completion in June 2017, engage with us on our developmental CRITICISM OF THE WORK we have already implemented 97% of areas to ensure that we make even more THAT WE DO. those initiatives. progress possible, together. I am proud of each and every City It remains my great privilege to lead the of Cape Town staff member who City of Cape Town team. I look forward has worked to make this incredible to implementing the lessons learnt and achievement possible. The progress collaborating with all stakeholders to and achievements outlined in this make our great city even greater. report represent the fruits of their hard work, determination and perseverance. The content of this report also attests to the commitment with which this administration serves the residents of Cape Town. This is echoed in the almost 90 international accolades that the City ALDERMAN PATRICIA DE LILLE has received over the past five years, Executive Mayor: City of Cape Town and going forward, we will continue to consolidate our well-established reputation as a leader in service delivery in South Africa. Accountability is fundamental to building a well-run city. It requires of us to be transparent and encourage constructive criticism of the work that we do. The development of this annual report offers us an opportunity 8 010939_CoCT IAR_1_cover-p37_v4_prf3 – January 17, 2017 10:43 AM ABOUT THIS ANNUAL REPORT STATEMENT BY THE CITY MANAGER The 2015/16 integrated annual report is committed to conserving and WE BELIEVE THAT A SOLID is about much more than just the managing its unique biodiversity FOUNDATION HAS BEEN City of Cape Town’s progress during and using its scarce resources more LAID, WHICH SHOULD the past financial year.
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