Vision Statement “A MUNICIPALITY THAT PROVIDES SUSTAINABLE SERVICE DELIVERY, SOCIOECONOMIC DEVELOPMENT AND BETTER LIFE FOR ALL.” Mission Statement “TO BE A PROFESSIONAL, EFFECTIVE, AN EFFICIENT AND RESULT ORIENTATED MUNICIPALITY THAT, THROUGH INTEGRATED EFFORT, CONTINUALLY PROMOTES THE SOCIAL WELFARE AND ECONOMIC PROSPERITY OF ALL ITS RESIDENTS, INVESTORS AND TOURISTS”. TABLE OF CONTENTS CHAPTER 1 – EXECUTIVE SUMMARY 4 1.1 Mayor’s Foreword 4 1.2 Council Speaker’s Message 6 1.3 Municipal Manager’s Overview 7 1.4 STATUTORY ANNUAL REPORT PROCESS PLAN 8 CHAPTER 2 – GOVERNANCE 9 2.1 EXECUTIVE COMMITTEE 10 2.2 BACKGROUND 18 2.3 SPATIAL ANALYSIS 21 2.4 DEMOGRAPHICS 30 CHAPTER 3 – SERVICE DELIVERY PERFORMANCE REPORT 36 3 Basic Services 36 3.1 Rural roads 36 3.2 Electrification 38 3.3.1 Role of the Developer/ Jozini Local Municipality 39 3.3.2 Role of the Funder/ Department of Human Settlements (DHS) 39 3.3.3 Current projects & Challenges 40 3.3.4 Current housing back log 41 3.3.5 Proposed packaging of housing project 42 3.4 Community Facilities 42 3.4.1 Renovations of community facilities 43 3.5 Waste removal 43 3.5.1 Mkuze 43 3.5.2 UBombo 44 3.5.3 Jozini 44 3.5.4 Bhambanana 44 3.5.5 Ndumo 44 3.5.6 Ingwavuma 44 3.5.7 Recycling Centre 44 3.5.8 Dumpsites 44 3.5.9 Addressing Illegal dump sites 44 3.6 PLANNING AND DEVELOPMENT 45 3.6.1 IDP and Public Participation: 45 3.6.2 Jozini Town Nodal Expansion Plan: 45 3.6.3 Land Use Schemes for Jozini, Ingwavuma, Mkhuze, Bhambanana, Ubombo and Ndumo: 45 3.6.4 Building Plans 46 CHAPTER 4 - ORGANISATIONAL DEVELOPMENT PERFORMANCE 47 4.1 Organisational Framework 47 4.1.1 ORGANISATIONAL PERFORMANCE MANAGEMENT YSTEM 47 4.2 Total Number of Positions, Turnover and Vacancies 53 4.2.1 Senior Management 53 4.2.2 Management Services Department 54 4.2.3 Budget & Treasury Department 55 4.2.4 Corporate Services Department 56 4.2.5 Social and Economic Development Department 57 4.2.6 Technical & Planning Services Department 59 4.3 COMMENT ON VACANCIES AND STAFF TURNOVER 60 4.4 HUMAN RESOURCE POLICIES 61 4.5 BY-LAWS 62 Page 2 4.6 MANAGEMENT PRACTICES: 62 4.7 SUSPENSIONS (from Disciplinary Hearings) 62 4.8 WORKFORCE CAPACITY DEVELOPMENT 62 4.8.1 SKILLS TRAINING AND DEVELOPMENT 63 4.8.3 TOTAL INTERNS FUNDED BY THE LGSETA 66 4.8.4 TRAINING BENEFICIARIES – EMPLOYEES 67 4.8.5 TRAINING BENEFICIARIES – UNEMPLOYED 68 4.9 Jozini Library Services 76 CHAPTER 5 – FINANCIAL PERFORMANCE 91 5.1 FINANCIAL INFORMATION 91 5.4 SUPPLY CHAIN MANAGEMENT 96 5.5 GRAP COMPLIANCE 97 5.8 CREDITORS 99 CHAPTER 6 – AUDITOR GENERAL REPORT 100 CHAPTER 7 – Annexures 108 ANNEXURE A – Audited Financial Statements 108 ANNEXURE B – Auditor General Audit Report 108 ANNEXURE C – Auditor General Audit Queries - Action Plan 108 ANNEXURE D – Organisational Scorecard 108 CHAPTER 8 - ACRONYMS AND ABBREVIATIONS 108 Page 3 CHAPTER 1 – EXECUTIVE SUMMARY 1.1 Mayor’s Foreword His Worship, the Mayor Cllr. B. N. Mthethwa I have pleasure in presenting this Annual Report in line with the provisions of the relevant legislative framework and public accountability responsibilities for the year ended June 2014. The year 2013/14 was an eventful year in many respects. It was a year the municipality recorded fascinating progress in many respects, yet there was also daunting negativity. Negative sentiment against the institution was fuelled by publicity that was politically motivated to cast doubt on the integrity of our leadership and administration. The resigning of the three top management was catastrophic for the whole organization, but we thank the support we received from COGTA during that period and we believe that with the new Acting Municipal Manager we are going to get an improved audit opinion. “April 2014 marked 20 years of our Democratic government, led by the ANC. As Jozini Mayor I am deeply honoured and grateful to the men and women whose sweat, blood and lives were sacrificed to have the liberties we all enjoy today. As we applaud to the great strides our country under the ANC government has made in improving the lives of our people, at the same time we need to acknowledge that more still needs to be done to eliminate the persistent lack of jobs, poverty and underdevelopment in rural areas like Jozini in particular. This we cannot achieve alone. Hence we call upon al to be the change we want wherever you are with whatever you have”. Towards a Clean Audit In keeping with our resolve to ensure clean government and administration that is responsive to the needs of our communities, visitors, stakeholders and investors, we collaborated with both COGTA and AG in conducting an investigation on the alleged allegations of maladministration, tender fraud and corruption. COGTA subsequently made recommendations to Council to undertake corrective actions where there was proven wrong doing. The municipality has been facing numerous challenges one of which was the sudden resignation of section 56/57 managers which affected the performance of the municipality. Currently the municipality is working towards improving the audit outcome through the implementation of the Auditor General Action plan and audit readiness plan. Fighting Social ills The Women’s Forum has been the most visible and hard working to help the municipality reach out to many in our communities, including schools, orphanages and destitute families. The building of Page 4 houses, food parcels, sanitary pads and sporting gear are among the noble initiatives that women have undertaken. Credit also goes to all sector departments, NGOs and private sector organisations and individuals who supported us throughout the year. To the staff who continued to work tirelessly to improve the overall functioning of the municipality and responsiveness to service delivery demands, on behalf of Council, I do sincerely thank you. Crime Fighting I wish to thank law enforcement agencies, the SAPS in particular, at all levels of our government for the unconditional support on crime issues, stable communities and safety of our communities, visitors and property. Synergistic Partnership I would have failed in my duty if I did not recognise the sterling contributions made by the traditional leadership of Jozini whose support continues to be a solid pillar of strength and support in our service delivery planning. I am proud to be part of Council that is the first within UMkhanyakude District to invite traditional leaders to participate in our Council meetings on matters that relate to their respective areas. Cooperatives Programme Women are an integral part of the wellbeing of our communities and as such economic empowerment pursued with the exclusion of women is not sustainable. Women cooperatives at Jozini participated exclusively to the community centres and facilities renovation programme, which resulted in the rehabilitation of 21 facilities at an investment of about R10m. Dealing with Backlogs It is common cause that the region is characterized by major backlogs in respect of social and economic infrastructure such as roads, housing, electrification, water and sanitation. Plans have been developed for the purpose of securing the needed finances to implement programmes to address these challenges in our municipal area. Available sources of funding such as the Municipal Infrastructure Grant (MIG), the human settlement grants, electrification funds and other sources including the municipality’s own budget have been committed within the context of the mid-term expenditure framework. The private sector has been supportive in that they generously donated building materials to build homes for specific cases among our poor communities. Page 5 1.2 Council Speaker’s Message Honourable Speaker, Cllr. M.Z Nyawo It is for me a singular honour to serve as part of the Jozini municipality, tasked with a huge responsibility of presiding as Chairperson of Council. Indeed 2013/14 has had its fair share of dynamics, but was sweetened by the fact that the municipality is in the safest hands since 2011 local government elections when the new leadership took power. Unlike the previous reporting period, the year ending June 2014 was far much better in terms of unity of purpose among different political parties, which resulted in the smooth functioning of council and its committees. Political oversight was greatly improved with all sub-committees including MPAC meeting regularly to ensure that the municipal administration does not only submit nice reports but practices and reality on the ground are in agreement with what is being reported periodically by administration. The sad part of the year 2013/14 was the resigning of 3 top Management Officials at the same time (MM, CFO & Director Planning and Technical) at the tail end of the year, which inevitably caused considerable hardship administratively. Among its most telling implications, the situation created an environment of uncertainty and limitations in the municipality’s ability to provide adequate accountability thus affecting the smooth handling of the external audit and as a result the municipality not achieving the desired results in terms of the audit opinion. The audit outcome for 2013/2014 is a disclaimer audit opinion. The Acting Municipal Manager is working tirelessly to ensure that the audit outcome for 2014/2015 is improved. Implementation plans have been tabled before the Audit Committee and management is currently busy with the implementation thereof. If we continue in this fashion in 2014/15 going forward Jozini will never be the same, but will continue to thrive. For that I thank all Councillors and ward committees for putting the interest of our communities, investors and stakeholders first. My Council is blessed with the following 39 Members of the Council with the exclusion of vacant ward 4 which the by-elections will be conducted on the 27th 0f August 2014 and we are hoping to have the new Ward Councillor in the Second Term of 2014/2015 F/Y, which will make our Council Members to total.