EEHCStrategy

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OVERVIEW INSTITUTIONAL REFORM AND SUPPORT
BRANCH - PRESENTATION TO THE PORTFOLIO COMMITTEE
- 11 March 2003 Jackie Boitumelo Manche

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Structure of the Presentation

• Background
• Legislative/ Policy Initiatives
• Programme and progress of LG transformation
• Main Focus Areas for the Branch
• Stakeholder Relations
• Conclusion

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Background

• Aim of the Department
• To develop and promote a national system of
  co-operative governance and to support the
  development of provincial and local government
• Mandate of the Branch
• To render support to provincial and local
  government and institutions of traditional
  leadership, and to promote development

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Legislative / Policy Initiatives

• White Paper on Local Government
• Municipal Demarcation Act
• Municipal Structures Act
• Municipal Systems Act
• Local Government Laws Amendment Act
• Crossing of the Floor and Types legislation

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Legislative / Policy Initiatives

• White Paper on Traditional Leadership
• National Framework Legislation on Traditional
  Leadership
• Property Rates Bill
• Disaster Management Act
• Municipal Finance Management Bill
• Fiscal Powers and Functions legislation

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Legislative / Policy Initiatives

• These initiatives flesh out legislation and
  policies that are necessary to stabilize the
  system of local government
• In future, there will be more of amending of
  current and past legislation than introduction of
  new legislation
• Need to focus on implementation issues
• Timeframes
• Capacity of municipalities to implement
• Funding requirements

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Legislative / Policy Initiatives

• Lessons Learned
• Need to ensure consistency in our legislation and
  policies
• Need to ensure clarity of mandate and flexibility
  in development stages
• Need differentiated approach and direction for
  policy implementation

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Local Govt Transformation

• Since 2000, some progress is being made in a
  number of municipalities to deal with their
  developmental challenges
• However, problems still exist particularly in
  poor municipalities
• Revenues, technical capacity and financial
  management skills appear to be the main problem
  areas
• In some instances political leadership and good
  planning is found to to be limited

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Local Govt Transformation

• The latter points manifest themselves
  particularly through
• Poor IDPs
• Overall poor performance in providing FBS
• Slow progress in reviewing old by-laws and in
  developing new ones
• Incomplete amalgamation processes
• Transformation process has unearthed some
  complex, unique and unanticipated challenges that
  are requiring not only focused support, but
  strategic intervention

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Theme for 2003/04

• Stabilize the System of Intergovernmental
  Relations
• (including consolidating the system of Local
  Government)
• for accelerated service delivery.

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Main Focus Areas

• Promote and enhance the delivery of basic
  services to the poor
• Develop policies designed to build a financially
  sustainable system of local government
• Promote effective management of disasters

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Main Focus Areas

• Stabilize the institutional and administrative
  systems in local government
• Provide targeted support to local government
• Monitor the performance and general financial
  viability of municipalities

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Institutional Reforms

• Implement the division of powers and functions
  between category B and C municipalities
• Develop and implement legislation on the role of
  traditional leadership
• Implement the decision on Cross boundary
  municipalities
• Develop a framework for a single public service
• Develop guidelines and a programme of support for
  ward committees

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Capacity Building And Support

• Consolidate capacity building grants
• Provide technical support focusing on treasury
  capabilities
• Implement targeted capacity building programmes
  focused at the District level
• Develop and implement local government leadership
  programme (LOGOLA)
• Support SALGA in implementing the Knowledge
  Sharing Facility

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Monitoring Performance

• Monitor the performance of municipalities on a
  quartely basis
• Establish an incentive scheme for local
  government to reward excellence
• Pilot the provincial monitoring framework

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Delivering Basic Services

• Review the funding of local government to
  determine expenditure needs
• Review the equitable share formula to incorporate
  revenue raising component
• Support and monitor the provision of free basic
  services, water and electricity
• Incorporate the DWAF water subsidies into the
  equitable share

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Municipal Finance Reforms

• Implement the Property Rates legislation
• Develop policy and legislation on the Division of
  Fiscal powers between Category B and C
  municipalities
• Propose an alternative revenue source for
  district municipalities
• Support the electricity restructuring process, by
  developing alternative finance mechanism for
  funding local govt

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Disaster Management

• Implement the Disaster Management Act
• Develop guidelines for local level Disaster
  management plans in line with the Systems Act
• Propose a mechanism for funding disasters
• Develop disaster management capability
• Establish a fully functioning disaster management
  centre

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Stakeholder Relations

• Parliament
• Portfolio Committee has generally been very
  supportive
• Provinces
• Developing a close and more meaningful working
  relationship with provinces
• Other National Government Departments
• Relationship has been sometimes strained through
  the MFM Bill process
• SALGA
• Supporting each other more with lobbying around
  legislation and policy initiatives

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Conclusion

• Meeting our mandate
• Adding value to our stakeholders
• Adding value to the Department
• Fulfilling commitments to external stakeholders
• Making valuable contributions

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THE END

• THANK YOU ...