Department of Local Government Annual Report 2021/22
Local Government, Environmental Affairs & Development Planning (WCPP)
04 November 2022
Chairperson: Mr D America (DA)
Meeting Summary
Department of Local Government
The Provincial Department of Local Government briefed the Standing Committee on Local Government on its Annual Report for the 2021/22 Financial Year.
Members heard that the Minister of Local Government had declared that the 2021 local government elections led to the election of new councillors and office bearers. This positive outcome was not without its challenges, one being that the number of municipalities in the country or political parties did not get an outright majority. This resulted in an increase in the number of coalitions within the country’s governance system. The Committee was pleased to hear that the Department had provided extensive guidance and support during this period besides having to deal with Covid-19.
The Minister informed Members that the Thusong programme was instrumental in various initiatives and enhanced a positive economic impact on the communities. The Department has managed to achieve 100% in the establishment of ward committees. These ward campaigns ensured that municipalities developed ward operational plans to further strengthen the functions of these ward committees. The Department has recently received communication that its application for R298 million has been allocated to Disaster Relief this year. Members heard that the ability to provide assistance to the KwaZulu-Natal floods was an honour for the Department.
Members asked if innovation efforts through the Hanns Seidel Foundation regarding financial sustainability of municipalities have been piloted to all municipalities and if this added value; the responsibilities of the CBWs and the reasons for under-expenditure in the Thusong programme; if the vacant position for the Director of Integrated Development Planning was going to be filled and how it was going to be rolled out if there was no Director; the views of the Department on the regulations of coalitions management because coalitions change from time to time and this delayed the finalisation of appointments; and the views of the Department on the interpretation of regulations on the appointment of senior managers who have been found guilty of transgressions.
Members heard that in the two fire incidents during the KZN floods, 65 bodies were recovered. The R290
million funding that was received for the two previous floods would go to the Cape Winelands, Overberg
and the Garden Route municipalities. The Department partnered with Stellenbosch University and the Hanns Seidel Foundation to generate revenue efforts for municipalities. Many municipalities implemented many initiatives to ensure citizens continued to pay for services. Members were pleased to hear that the GCIS and CBWs were assisting the Department to ensure people came to the outreach programmes. The Department could not roll out three outreach programmes, but those programmes were covered in the year under review. The Department has over-achieved on the indicators of the Thusong programme. The critical role that the Department was playing even with the smallest budget was noted.
Meeting report
Department of Local Government Annual Report 2021/22: Minister Introduction
In his introductory remarks, Mr Anton Bredell, Western Cape Minister of Local Government, Environmental Affairs and Development Planning, said that the 2021 Local Government elections led to the election of new councillors, followed by municipalities holding inaugural meetings with the election of office bearers. These meetings were not without challenges as the number of municipalities or political parties did not get the outright majority. This resulted in an increase in the number of coalitions within the country’s governance. Problems that come with coalitions are known. In light of the country’s constitutional mandate of the provincial government to support and strengthen the capacity of municipalities, the Department has provided extensive guidance and support during this period of inaugural meetings. The Department had to deal with Covid-19, the financial sustainability of municipalities, and the operational sustainability of all municipalities. The Department worked closely with the municipality and the Minister stated that he was proud of the achievements of the team.
The Minister said that the Thusong programme was instrumental in various initiatives and enhanced a positive economic impact on the communities. The Thusong satellites reached plus minus 1.3 million people. The Department is proud of this programme, where millions of people have access to talk with government. The Department has managed to achieve 100% in the establishment of ward committees. The ward campaigns ensure municipalities develop ward operational plans to strengthen the functions of these ward committees further. Climate change and disaster management are some of the matters addressed in these ward committees. Floods have been dealt with in George and the Garden Route. The Department has recently received communication that its application for R298 million has been allocated to Disaster Relief this year. The ability to provide assistance to the KZN floods is an honour for the Department and the right thing to do. Special thanks to the volunteers, national colleagues and the private sector for their involvement in the KZN floods. That showed that the Department has capabilities to offer to other provinces.
Input by Department
Mr Graham Paulse, Head of the Department, said that what has stood out during the year under review were the Local Government Elections and the establishment of notices where the Minister advised on the number of councillors. Preparing for the election to ensure a smooth transition was undertaken. Training was provided to councillors and five municipalities managed to establish ward committees. There is still a lot of work to be done because, after the elections, most of the contracts of municipal managers and senior managers had to come to an end. The positions of senior managers have to be re-advertised. Through the Joint District and Metro Approach (JDMA), the Department ensures capacity for all municipalities and works towards a single support plan for each municipality. The Department has concluded its own contract on fire-fighting capacity. There were a number of declared disasters and classifications relating to the summer season and floods experienced in George. The Department has performed well in keeping the province stable.
Mr Colin Deiner, Chief Director: Disaster and Fire Brigade Services, stated that they were informed that the contract was going to expire on 6 January 2023. With planning for operations that start in December, the Department normally brings aircraft for the fire season in the West Coast. Because of uncertainty of when the contract would be awarded, the Department decided to put up its own contracts to contract resources using its own funds and worked with service providers. Two fire incidents were managed well towards the end of the fire and summer season. The team also helped in the KZN floods and recovered about 65 drowned bodies. R290 million funding was received for the two previous floods, which would go to the Cape Winelands, Overberg, and Garden Route municipalities. The Department has now completed its final planning and is waiting for the resources to arrive in early December for the fire season.
Discussion
Ms M Maseko (DA) wanted to know if innovation efforts through the Hanns-Seidel Foundation regarding the financial sustainability of municipalities discussed in the last financial year have been piloted to all municipalities and if they have added value to them. She wanted to understand the responsibilities of the CBWs and the reasons for under-expenditure in the Thusong programme. She asked if the vacant position of the Director of Integrated Development Planning was going to be filled and how it was going to be rolled out if there was no Director.
Mr Paulse stated that the Department partnered with Stellenbosch University and the Hanns-Seidel Foundation on generation revenue efforts for municipalities. Many municipalities implemented many initiatives to ensure citizens continue to pay for services. Smaller municipalities were not buoyant compared to the high-capacity municipalities.
He said the post of the Director had been re-advertised because the Department could not find the right candidate. The vacancy is the result of the passing of the Director, but there is a team in place to take care of things.
Ms Nozuko Zamxaka, Chief Director: Integrated Service Delivery, reported that the Department has over-achieved on the indicators of the Thusong programme. During the 2021 period, some centres had to be closed but were re-opened later. The Department could not roll out three outreach programmes, but those programmes have been covered in the year under review. The provincial Thusong operations are conducted by the Department. The GCIS and CBWs assisted the Department to ensure people came to the outreach programmes.
Mr C Dugmore (ANC) remarked that the Department has the smallest budget but it was playing a critical role, especially when one looks at the challenges that emanated after the elections of 2021. He then wanted to know the views of the Department on the regulations of the coalition’s management. He stated that coalitions change from time to time, delaying the finalisation of appointments. He also wanted to know the views of the Department on the interpretation of the regulations on the appointment of senior managers who have been found guilty of transgressions; he asked if the Department has a view on the reduction of electricity to pay for other services the citizens were in arrears of; asked if the Department has a standard policy or if it had uniformity on responding to damages in the informal settlements during disasters; and asked if the Department has a view on the document about the proposed model of the Hanns-Seidel Foundation.
Minister Bredell admitted that the budget of the Department was always low. This put pressure on the Department and its people. That is why it was continuing to push for a bigger share. Also, he noted that switching between political parties was not good for stability in municipalities. The Department needed to work with the SA Local Government Association (SALGA) to see how these coalitions could be regulated. Some smaller parties did not understand how coalitions worked. He admitted that the appointment of a senior official who had transgressed the law is a risk and that is something the Department was trying to rectify with the National Department whilst adhering to the rule of law. He further indicated the Department has a legal opinion on the proposed model of the Hanns-Seidel Foundation. The Equitable share policy has been there to ensure every citizen has a decent good life. The credit policy is there to ensure rates have to be paid.
Mr Paulse stated that there was a view that coalitions must be regulated in the form of a framework which could provide guidance but it was not enforceable. The Department would have to engage with SALGA on the matter to look at challenges on coalitions and the impact on the appointment of senior staff.
Mr Pedro Solomons, Acting Chief Financial Officer, stated that the affected municipality has to submit an application to the National Department and provincial Department for a response to damages caused by disasters.
Mr C Murray (DA) wanted to understand if the increasing compensation of employees was having an impact on service delivery; he asked what steps have been taken to address under-spending in ICT; and asked if the Department could provide more details on the Memoardum of Understanding (MOU) between the Department and the Danish government for the rail network infrastructure.
Mr Marius Brand, Director: Municipal Infrastructure, stated that an assessment between the Danish government and the Department has been concluded on water plants to ensure clean water is received from the Berg River.
Mr P Marran (ANC) wanted to understand who was responsible for the payment of money to two councillors in the Matzikama municipality, seeing as there was no outright winner, and he asked if the money had been paid back; asked for clarity on the under-expenditure on five ward committees that were established; and enquired why expenditure in the year under review had become lesser than during 2020/21 and 2021/22 when Covid-19 was worse.
Minister Bredell stated that the Department has to see to it that the law is applied in municipalities. If the municipality does not want to listen to the Department, it could be taken to court.
Mr Paulse said that under-expenditure has an impact on service delivery. The Integrated Development Plan (IDP) deals with planning, and the Department has been engaging with municipalities on its strategies.
Mr Craig Mitchell, Director: Public Participation, reported there have been amendments in the Structures Act. There have been different interpretations of how to calculate the 120 days. Five municipalities had managed to establish ward committees. These five municipalities had enough time for this and the Department assisted them. The remaining municipalities established their ward committees at the end of February.
An official from the Department stated that the Matzikama matter had to do with the full-time councillors and that she did not have the details of their names.
Ms N Makamba-Botya (EFF) asked for an explanation of how ward committees were going to function and what their mandate was, seeing that there has been a lack of capacity in some municipalities; she asked for clarity on the role of the Thusong centres; and asked for clarity on the under-expenditure on IT equipment; and wanted to know why the unused funds in municipalities were not given to municipalities who were struggling with housing projects.
Mr Paulse stated there was no lack of support for municipalities in the province because the Department has a constitutional mandate to help municipalities.
Ms Zamxaka stated that the Thusong Satellite has fully-fledged service centres. There are ten satellite centres. Key Departments came in for their services. The Department uses existing buildings of the municipalities for these services and to increase access, but this depends on the budget.
Mr Solomons explained that the Department had to adhere to the SITA contract and could not use any service provider. There has been a shortage of chips. The Department has computer monitors that senior managers could use to do their work even though there were not enough laptops.
Mr Dugmore stated that there had been nothing spent on programme four because there is no house of traditional leaders in the Western Cape. The Act makes it clear about the establishment of the provincial house of traditional leaders. The traditional Khoi leadership should be given space in the legislature. He also asked what kind of training has been provided by the Department on goods and services; asked to what extent municipalities know of the land they have or if the municipalities have done any land audits; and asked if there were any access points to the coast for traditional fisherman and farmers.
Minister Bredell said that the Department had done more work with the Overberg and Overstrand municipalities on the matter of access to coasts. District municipalities have to enforce this to ensure that it happens. That was why there was a piece of legislation on this.
Mr Paulse reported that the Premier had allocated the Portfolio on Traditional Leadership to the Department. The Khoisan community could apply for kingship and research would be done. The legislation on the Khoisan has been submitted to the relevant National Department. He stated further that training had been provided to the councillors to help them with decision-making and an understanding of legislation. The training targets councillors and would be rolled out to the rest of the municipalities.
Ms Eda Barnard, Chief Director: Municipal Performance Monitoring and Support, added that the training was for ensuring the competency of the councillors. The Department usually spends a day with councillors at an identified district municipality. It was built on a theme of ethics and consequence management.
Mr Albert Dlwengu, Director: Policy And Strategic Support, explained that the Khoisan Act would be rolled out in various phases. A committee has been established for a period of five years and would be calling for applications for the recognition of the House of Traditional Leaders. Research would be conducted. A commission would be established and this process would be closed on March 2024. The whole five years would be the responsibility of the National Department. The Department would look at gaps in the policy and see how various departments would roll out this policy. Advertisements would be done for policy researchers and implementers.
Ms Maseko remarked that the Thusong Centres were citizen centres because they short-changed the work of the Department. She then wanted to understand how the Department was going about creating a workable relationship with the National Department to ensure that the needed Department was available in these Thusong Centres because people travel long distances only not to find the Department they want.
Ms Zamxaka reported that there was a good relationship with colleagues nationally and provincially. On outreach programmes, the programme for the year is always agreed to on what would be done. If there is an outreach programme, the Department pays for the transportation of people in far outlying areas. The CBWs interact with people on services that are needed and they would transport people to the outreach programmes. The Thusong programme is understood to be a critical programme.
Mr Marran remarked that in all the meetings the Department had with the Committee, the shortage of ICT equipment has never been raised. He said the two extra seats created at Matzikama constitute irregular expenditure. The council voted in favour of the decision and needs to pay back the money, not the individuals. He then enquired how the Department was going to ensure that money would be paid back.
Mr Solomons said that the Department raised the concern with the service provider and the goods were delivered after two months.
Mr Marran enquired if it was not the responsibility of the Department to ensure that the irregularly paid money to two councillors who benefited illegally was paid back.
Minister Bredell replied that it was the responsibility of the Department to write to the municipality on the transgression, but the Department tried not to go to court because that would cost the taxpayers money. The money would be paid back but this was going to be a process. The Department does not dictate to municipalities, and he stated that he did not know the names of the affected councillors.
Ms Murray wanted to find out about the kind of collaboration between the Cape Winelands District and the Western Cape Government; she asked for clarity on the Saldanha Bay harbour extension and investment; she commended the response of the Department on disasters and wanted to find out what the outcome was on the Disaster Internship Programme and the number of municipalities supported.
An Official from the Department stated that there are projects that started in 2020 in Saldanha Bay Harbour and were completed in 2022. There are improvements in the harbour. These improvements are around the water system, security and entrance, building refurbishments and many others. The project has been a success. The Official further said that the collaboration between the Cape Winelands District Municipality and the Western Cape Government was on data governance. The focus is on growth. The idea is to work from one data source. And it was also indicated that safety plans existed between the Cape Winelands District Municipality and other local municipalities.
Mr Solomons said that the Department has decided to use a focused approach like campaigns so that smaller municipalities could focus on key priority areas.
Ms Maseko asked how the Department was measuring the success of the Thusong project and wondered if some kind of civic education was involved; and sought clarity on the reasons for deviations in the drought budget.
Mr Solomons stated that it was difficult to set disaster management targets and that a sub-directorate works on drought recovery. There is disaster verification and assessment to determine the extent of the disaster before releasing the funds. That is why there is deviation because it had to be verified at the specified regions. He said civic education empowers citizens by keeping them informed, especially those in rural areas. The success is based on the positive information the Department gets from the communities. They are embracing what the Department is doing.
Ms Barnard added that the Department has received additional funding for appointing engineers. She stated finding people to work for a year contract was difficult. That is why there was under-spending. It is also difficult to recruit Drought Engineers, so the Department was using Hydrogeologists.
Mr Dugmore wanted to understand the difference between the District Development Model and the JDMA and asked if districts were teaming up with Development Champions; asked for more details on the Danish government support and interest in the projects; wanted to know the Catalytic Infrastructure Projects the DBSA was funding in the Central Karoo; wanted to know the meaning of “shared services”; asked if there were any Catalytic Infrastructure projects in Cape Town.
Mr Paulse explained that the Department has conceptualised the JDMA, and has written to the National Director-General saying that the province would follow the JDMA and it would see how it could accommodate the outcomes and outputs. The Department has made an analysis and will send the details to the Committee. The key focus of the JDMA is around collaboration in the local government sphere to ensure the implementation of policies and projects. The National government has allocated the Development Champions and the Department collaborates with them. It highlights for them the infrastructure projects it was busy with. The Champions were satisfied with the progress made by the Departments. Arrangements have been made with the City of Cape Town and there would be five committees on the methodology of the JDMA.
Ms Zamxaka reported that there were key Catalytic Projects in the Garden Route. There is a long-term strategy. The implementation is based on seven pillars. These Catalytic Projects are listed by municipalities including key partners. Currently, implementation plans are being developed.
Ms Barnard added that there are a number of projects that have been completed. Lights have been installed in identified areas in Grabouw and this has decreased crime. This has been done in collaboration with the Department of Community Safety and SDPs. She said that the Danish government came to have contact with the Department because it wanted to be part of the rail link the Department had discussed with Transnet. The first session with Transnet was held in the Western Cape and all farmers using rail for transportation were invited to consult on the strategy. The Danish government wants to be part of the link that is being established between the Winelands and Overberg. It presented proposals to the Premier and the Minister. The MOU would be signed once there was an agreement. She further explained that “shared services” were about how to make municipalities work together and get into partnerships. For example, in the Overber,g there are a lot of stray animals. The municipalities there were working together on the ‘stray animals’ project. All small farmers were registered in these areas and there have been engagements with veterinarians and co-ops were being created in the process.
Mr Brand explained that the focus of the Central Karoo is around investment. The Department is working with Wesgro and the DBSA on recovery plans. The main thing is economic growth. There is joblessness and a lack of opportunities in the area. There is a need to look at what the area could sell or do in order to link it with international markets and investors. The DBSA is looking at a number of projects, like the collection of tyres that could be recycled and be made into ceilings. The Department is also working with the SALGA on small village development initiatives in the whole Karoo, stretching from the Western Cape, the Eastern Cape, the Northern Cape and the Free State. It has also been considered that most people were moving to the Karoo, where there is clean air. The groundwater project is another project on the horizon. He also mentioned that they were also looking at the safety side of things because the N1 has proved to be a haven for trafficking drugs, crime and alcohol abuse. That was why investors were needed.
Mr Marran wanted to understand why the Central Karoo was seen as a hotspot compared to other districts; and he asked if the Department was setting its targets too low on Sub-programme 2 dealing with municipalities on communities.
Minister Bredell said that the focus was on rural safety. The Beaufort municipality is a hotspot. The Department of community safety is developing a rural development safety plan. The Department facilitates that the Department of Community Safety responds to these hotspots in rural areas. Discussions were ongoing.
Mr Dugmore asked if the Breede Valley Operation Grant for CBWs had been spent by the end of June and what the length of the CBW projects were, including salary levels, etcetera.; asked about the kind of work the Public Employment Support Grant had supported; sought clarity on the suspension of the Knysna Municipal Manager; and enquired why there was funding for disciplinary committee hearings in TheeWaterskloof.
Ms Zamxaka informed the Committee that the Public Employment Programme received 30 business plans. These plans have to be assessed and sent to the adjudication process. Then there is the contract process after that that has to be followed by the legal unit process before the transfer takes place. There is an expenditure of over R30 million on these projects. It was a range of different projects. The Department has gone through the process of rollovers that have been approved and would monitor everything. She further stated that the CBWs have 160 employees in the district and the metro. Employees are on salary level 6 while District Directors are on level 8. The employees get the same kind of benefits as the state employees.
Mr Solomons stated that R95000 was approved for the BreedeValley. The rollover was also approved. Effectively could transfer at the end of the second quarter. The financial cycle of the province and that of the municipalities do not coincide.
Ms Makamba-Botya asked what the Department was doing about the upgrading of ablution facilities in informal settlements because people in Atlantis and Witsands were relieving themselves in the bushes; she enquired what kind of information was communicated to the citizens via the drones, and asked if citizens could respond to the drones and if the Department was planning to extend these drones to other areas; asked the Department to point areas where poverty has been reduced and state the kind of tools it has used to measure poverty reduction; and asked if there are financial recovery plans after Covid-19.
Ms Zamxaka said the drones were used to mobilise through the GCIS and CBWs. The drones informed people about the outreach programme so that they could come to the centre. The drone does not interact with the citizens. The GCIS piloted the drone to see if it could be used in future, but it has been found to be expensive.
Mr Brand stated the Department has to receive complaints first before responding to ablution facilities’ problems. It also checks with the Department of Human Settlements to see if the area is a hotspot and to determine how things would be resolved.
The Chairperson wanted to understand the involvement of the Department in the Safe House Project that the Committee saw during its oversight visit in the Overberg district.
An Official from the Department enlightened the Committee that the Safe House project was first started in Cape Agulhas, focusing on the affected mother and child. The Department of Health and the SAPS are also stakeholders. The key focus is to bring multiple stakeholders together. A donation from the SALGA has been received as well. The Kannaland Safe House would focus on GBV.
Ms Maseko enquired how the Informal Settlement Upgrading Programme was going to happen and accounted for because the Departments of Infrastructure and Human Settlements have the same programme as well, and asked who would be the implementing agent.
Ms Murray wanted to know if training is provided to candidates from disadvantaged backgrounds.
Mr Paulsen stated that they try to fund interns that are relevant to the portfolio of the Department, like Infrastructure Engineering and they also fund interns outside of the Department. The Department has a small number of interns from the Department of the Premier. They are all Matriculants.
Mr Marran sought clarity on why many women were leaving the Department. He said it appears that there was no concern about the black and coloured women leaving the Department.
Mr Paulse stated that 30 people left the employ of the Department and most were in contract posts. The Department has details on those that exited the Department.
Ms Makamba-Botya sought clarity on the small number of interns and why there has been no report on low-skilled employees; sought clarity on why there was no single African employee at top management level, and enquired if there was a succession plan in place because top levels were occupied by whites that could not be removed; and asked what the Department was doing to upskill low-skilled employees through the employee assistant programme.
Mr Paulse explained that the Department is over-represented when it comes to women at senior level. There are Coloureds and Africans. Some people get attracted to municipalities because they pay more than the provinces and the Department could not counter that. He stated further that there were three posts available. There is an under-representation of coloured and African males and white females. The employment equity manager advises the Department. The Department lowers the threshold to accommodate various groups if no candidate is available. He said there are skills development interventions. 96.1% has been achieved against the target of 412. Staff members are encouraged to attend the skills development programme inside and outside the Department. Some staff members had more than two opportunities to attend the skills development programmes. He pointed out there is a transversal plan that the Department of the Premier is developing on the succession plan. The majority of the posts are filled.
Mr Dugmore wanted to understand why there was R52 million budget for non-core functions in the office of the MEC; asked if the Department was offering bursaries to employees to pursue studies in local government and work in the Department; enquired why the Department was helping very few municipalities on infrastructure growth plans; and sought clarity on the translation services provided to municipalities.
Mr Brand stated the DBSA had appointed two engineers for project management. The R1.3m is for the salaries of these two appointments.
Mr Mitchell said the translation services assisted municipalities with designing client service charters. These documents are written in the three languages of the province. Certain municipalities have been supported in the previous financial year.
Mr Paulse said the Department is not training people for itself, but for the entire country.
Mr Marran stated he does not understand when the Department says black and coloured women are over-populated in the Department because highly skilled people have left the Department. Even in municipalities, women are not seen at senior levels.
Minister Bredell said it was good to interact with the Committee and to know there are people who are keeping an eye on the Department. He said the Department works under pressure with municipalities, which is not an easy domain, and with limited resources. Currently, everything is going well and the Department would continue to lift the bar.
The meeting was adjourned.
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Present
-
America, Mr D Chairperson
DA -
Bredell, Mr A
DA -
Dugmore, Mr C
ANC -
Makamba-Botya, Ms N
EFF -
Marran, Mr P
ANC -
Maseko, Ms M
DA -
Murray, Ms C
DA
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