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City of Cape Town Annual Report 2010/11

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City of Cape Town Annual Report 2010/11 CITY OF CAPE TOWN ANNUAL REPORT 2010/11 The City of Cape Town is maintaining its excellent record of high-quality service delivery and its reputation as a local authority that responds to the needs of its citizens 1 CITY OF CAPE TOWN / ANNUAL REPORT 2010/11 The five pillars for the future the opportunity city the safe city the caring city the inclusive city the well-run city 2 CITY OF CAPE TOWN / ANNUAL REPORT 2010/11 Contents 4 HIGHLIGHTS OF THE 2010/11/ FINANCIAL YEAR 6 MESSAGE FROM THE EXECUTIVE MAYOR 8 INTRODUCTION BY THE CITY MANAGER INTRODUCTION 11 OVERVIEW OF THE CITY OF CAPE TOWN 16 Strategies for sustainability 12 A city with vision 18 A single zoning scheme for Cape Town 13 Achieving the vision through an integrated approach 13 Integrated reporting 15 A plan for the future CHAPTER ONE 21 REVIEW OF THE 2010/11 FINANCIAL YEAR 66 Safety and security 22 Shared economic growth and development 72 Health, social and community development 26 Sustainable urban infrastructure and services 78 Good governance and regulatory reform 48 Energy efficiency for a sustainable future 52 Public transport systems 58 Integrated human settlements CHAPTER TWO 85 INSIDE THE CITY OF CAPE TOWN 96 Human Resources 86 City frameworks 100 Information Systems and Technology 89 Organisational realignment 101 Integrated Risk Management 90 Internal Audit 101 Legal Services 92 Corporate services and organisational management 101 Communication overview 102 Specialised Technical Services CHAPTER THREE 105 BUDGET overview FOR 2011/12 106 2011/12 operating budget 107 2011/12 capital budget 109 Overview of budget assumptions applied to the 2011/12–2013/14 Medium-term Revenue and Expenditure Framework (MTREF) CHAPTER FOUR 116 AUDITOR-GENERAL’S REPORT ON FINANCIAL 124 COUNCIL MEMBERS OF THE CITY OF CAPE TOWN STATEMENTS AND PERFORMANCE INFORMATION 125 Approval OF THE consolidated FINANCIAL 119 MANAGEMENT COMMENTS AND CORRECTIVE statements ACTION TO BE INSTITUTED ON THE MATTERS 126 Report BY THE CHIEF FINANCIAL OFFICER RAISED IN THE REPORT OF THE AUDITOR-GENERAL 132 FINANCIAL statements AND POLICY 120 REPORT OF THE AUDIT COMMITTEE 191 APPENDICES 123 GENERAL information CHAPTER FIVE 205 ANNEXURES 206 Annexure A: 2010/11 annual performance management report 222 Annexure B: Annual report compliance checklist 223 Annexure C: King III disclosure checklist – integrated reporting 229 Annexure D: Council and committee meetings held 230 List of abbreviations and acronyms used in this report ANNEXURES 233 Map: Service coordination 3 CITY OF CAPE TOWN / ANNUAL REPORT 2010/11 Highlights of the 2010/11 financial year Cape Town is tops … again > Cape Town was once again named the world’s top travel destination in the TripAdvisor 2011 Travellers’ Choice Destination Awards, beating international competitors like London and New York to the prize. Water quality recognised > At the 2010/11 Department of Water Affairs Blue and Green Drop awards, the City of Cape Town’s drinking-water quality achieved a Blue Drop score of 97,61%, and the City took home 11 of the 40 Green Drop certificates awarded nationally. 7 472 HOUSING OPPORTUNITIES PROVIDED > City beaches are the best Six of Cape Town’s beaches earned Blue Flag status and two received pilot Blue Flag status. The awards recognise the cleanliness and safety of the beaches, and the fact that they have adequate ablution facilities and parking, are environmentally sound and adhere to international tourism standards. New MyCiTi routes launched > Cape Town’s public transport system took another big step forward with the launch of several new MyCiTi services, including the first main route between Table View and the city centre and four feeder bus services. Eighth consecutive unqualified audit received from Auditor-General The City remains focused on good governance, and continues to comply fully with the required legal accounting frameworks for government, as well as all financial legislative requirements. Cape Town is 2014 World Design Capital This announcement confirms the relevance of the City’s approach of using design to make Cape Town an even better place to live in. 4 CITY OF CAPE TOWN / ANNUAL REPORT 2010/11 Promoting life in the “slower lane” > The first walking and cycling lanes of the new MyCiTi transport system were launched as part of the City’s commitment to promoting greener and healthier public transport. INTRODUCTION Green Goal takes gold The 2010 FIFA World Cup™ Host City Cape Town Green Goal programme won the International Olympic Committee (IOC) Sport and Environment award. The Cape Town 2010 Green Goal programme was selected from among 43 projects from 34 countries. CHAPTER ONE > Giving Capetonians access to water The City set itself a target of installing 200 water access points (taps) in informal settlements during the 2010/11 year. This CHAPTER TWO target was significantly exceeded, with 511 taps installed. Reduced the percentage This significant improvement on previous efforts is well ahead of the target of 22,5%, and unaccounted-for water from demonstrates the effectiveness of the City’s water balance and loss reduction strategy. 26,6% to 22,2% CHAPTER THREE Energy consumption reduced by 10,3% A key environmental sustainability indicator for the City is its ability to 13 145 reduce electricity consumption below projected unconstrained electricity JOB OPPORTUNITIES CREATED consumption figures. During the 2010/11 financial year, the City exceeded CHAPTER FOUR via the Expanded Public Works Programme. its target in this regard. CHAPTER FIVE Recognised for effective water management The City of Cape Town became the first ever recipient of the Southern African Development Community (SADC) water demand management (WDM) award – which recognises the achievements of organisations that have worked towards improving understanding, awareness and implementation of WDM measures. ANNEXURES 5 CITY OF CAPE TOWN / ANNUAL REPORT 2010/11 Message from the Executive Mayor, Alderman Patricia de Lille We will continue to face our challenges and actively address the issues that require attention in order to ensure that we build the best possible city for our citizens, visitors and investors. 6 CITY OF CAPE TOWN / ANNUAL REPORT 2010/11 Message from the Executive Mayor, Alderman Patricia de Lille All cities face challenges. As a South African city, sometimes our challenges feel particularly acute due to a combination of the pressures of a modern, developing city and Cape Town’s unique history. These challenges see us trying to overcome the divisions of the past, and having to deal with a history of inequality INTRODUCTION and the painful attendant history of separate development. They are the challenges that have resulted from decades of skewed development priorities. And today they are exacerbated by increasing urbanisation, the pressures of broader economic uncertainty and limited resources. And while these challenges might appear to threaten our horizons, there is another challenge of which we must be mindful, namely the broader requirement of government to bring together competing pressures and forces and, as custodians of the city and its future, forge a system to sustain the development of Cape Town and its people. CHAPTER ONE Any government must be willing to address those problems that do not appear to have ready solutions, and see them as opportunities. In so doing, the City of Cape Town has committed itself to the principles of innovation and dynamic leadership – both of which, we believe, are essential qualities that will help take us forward into the future. The City performed well in the 2010/11 financial year. The City of Cape Town is maintaining its excellent record of high- quality service delivery and its reputation as a local authority that responds to the needs of its citizens. Despite the many challenges, the City has managed its resources in a way that will ensure its continued success going forward. Of course, there is always room for improvement, particularly in an organisation such as ours, which is committed to CHAPTER TWO always exceeding its past performance. We will continue to face our challenges and actively address the issues that require attention in order to ensure that we build the best possible city for our citizens, visitors and investors. In all of this, we will continue to be guided by the five key pillars of a safe, caring, inclusive, well-run, opportunity city. With these pillars as our guide, and on the solid platform that has already been laid, the City of Cape Town aims to take Cape Town to the next level of excellence, and entrench it as a benchmark of local government in South Africa. CHAPTER THREE Ald. Patricia de Lille Executive Mayor of Cape Town CHAPTER FOUR CHAPTER FIVE ANNEXURES 7 CITY OF CAPE TOWN / ANNUAL REPORT 2010/11 Introduction by the City Manager, Mr Achmat Ebrahim Cape Town is indeed a city of opportunity for all, and the City of Cape Town is working, with renewed energy and vigour, to make sure that as many of the city’s residents as possible get to enjoy the opportunities they deserve. 8 CITY OF CAPE TOWN / ANNUAL REPORT 2010/11 Introduction by the City Manager, Mr Achmat Ebrahim The financial year following Cape Town’s very successful hosting of the 2010 FIFA World Cup™ was “back to business” for the City of Cape Town, and the people, businesses and organisations in the city. The event saw Cape Town notching up invaluable international exposure and gaining over R13 billion in public sector infrastructure – all of which now INTRODUCTION benefits residents and visitors. What’s more, Cape Town proved its capability as an international event city. After the soccer spectacular, all municipalities had to refocus on the core business of local government, which is basic service delivery, repairs and maintenance, and planning ahead for future needs. The global financial slowdown and more acute problems in Eurozone and US economies continue to affect South Africa and Cape Town, meaning that there is no room for complacency.
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