people-centred sustainable local governance umnyango wezohulumeni basekhaya nezindaba zomdabu |...

15
PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE ango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sa ? SELECT COMMITTEE OF FINANCE STATUS OF MUNICIPALITIES KWAZULU-NATAL Presented by Mrs HB Krishnan

Upload: elijah-townsend

Post on 19-Jan-2016

216 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

SELECT COMMITTEE OF FINANCE

STATUS OF MUNICIPALITIES

KWAZULU-NATAL

Presented by Mrs HB Krishnan

Page 2: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

CONTENT• Background• Capacity• Context• Annual Financial Statements

– Submissions– Opinions– Main Qualifiers

• Annual Reports• Disclosures and Remuneration• Challenges• Departmental Support

Page 3: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

BACKGROUND• MFMA• MEC Obligations• Phased approach for Annual Reporting

– H: 2004/2005– M: 2005/2006– L: 2006/2007

• KwaZulu-Natal– High: 9– Medium:16– Low: 36

Page 4: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

CAPACITY

• Defined in 2003

• Based on self assessment by municipalities

• Anomalies originally identified

• Need for a review

Page 5: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

CONTEXT

• A new legislative and policy environment is not sufficient to ensure transformation!

• Underpinned by– Skills;– Systems;– Knowledge; and– A transformation agenda or will.

• “The cart before the horse?”

Page 6: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

ANNUAL FINANCIAL STATEMENTS

• Submissions– 46 within the statutory deadline (75%)– No backlogs in KZN– Outstanding audit opinions

• Edumbe and Ulundi Municipalities

• Reasons for late submissions– Processes and role of Mayor– Role of Speaker– Council oversight

Page 7: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

ANNUAL FINANCIAL STATEMENTS

• Opinions– As at 09 May 2007 47 opinions issued by AG– 14 Unqualified – 30%– 24 Qualified – 51%– 9 Disclaimers – 9%

Page 8: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

ANNUAL FINANCIAL STATEMENTS

• Main qualifiers/matters– Outstanding service debtors

• Inadequate provisions for doubtful debts

– Asset Registers• Water and Sanitation assets• Environmental Health Functions• Reconciliations not done• Inability to verify assets

– Outstanding/inaccurate VAT reconciliations– Internal control– Compliance with legislation

Page 9: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

ANNUAL REPORTS

• Submission of Annual Reports– Disclosure requirements– 7 of 9 submitted in respect of 2004/2005 reporting

cycle– 8% submitted to MEC by 31 March 2007 (2 of 25)

• Late Submissions– Delays in audit process– Capacity to respond to audit issues and to prepare

annual report– Delays in tabling in councils

Page 10: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

DISCLOSURES & REMUNERATION

• Disclosures of Section 56 Manager salaries

• Compliance with Remuneration of Public Office Bearers Act

Page 11: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

CHALLENGES• Standards

– Onerous– Conversion

• Standards are underpinned by processes and not events.– Timing

• Capacity– Technical financial skills– Council Oversight

• Transfer of functions• Lack of uniform performance measures and

standards for functionaries and councils

Page 12: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

CHALLENGES

• Debt Management– Data Cleansing of Billing Systems– Implementation of Credit Control by certain

councils– Indigent administration and Management– Inability to write of historical debt

• Accounting records management• Lack of Discipline

Page 13: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

DEPARTMENTAL SUPPORT

• Frameworks to promote MFMA compliance– Annual Reporting– Analysing responses to audit reports– Reporting to Parliament

• Debt Management Pilot• Asset Management Pilot Project• Shared Services

– Internal Control and Risk Management– PMUs etc.

Page 14: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

DEPARTMENTAL SUPPORT

• Hands-on support– Project Consolidate– Siyenza Manje– Need for improved coordination

• Council training on governance and oversight

• Support in implementation of the Municipal Property Rates Act

Page 15: PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

PEOPLE-CENTRED SUSTAINABLE LOCAL GOVERNANCE

UMnyango wezoHulumeni baseKhaya neziNdaba zoMdabu | Departement van Plaaslike Regering en Tradisionele Sake

There is a town in Northern China that does this every year!  It is a great tourist attraction and is always beautiful. Most of them have lights inside and as you can see they are really big.  The town is Harbun, and this is a new set of pictures. They get more fantastic all the time. This is the town where the Chinese had that chemical spill a couple of months ago .

                                                                                                                                                                                 

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                             

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                              

?

                                                                                                                                                                                               

                        ?

                                                                                                                                                                                              

                          ?

                                                                                                                                                                                  

                      ?

                                                                                                                                                          

Thank You!