POLICY PROCESS ON THE SYSTEM OF PROVINCIAL AND LOCAL GOVERNMENT: CATALOGUE AND ANALYSIS OF PUBLIC SUBMISSIONS

Research report to the Department of Provincial and Local Government

30 April 2008

Submitted by the Democracy & Governance Research Programme of the Human Sciences Research Council

TABLE OF CONTENTS
List of Abbreviations 1 INTRODUCTION v 1

GOVERNANCE 2.1 Deepening local democracy 2.1.1 Community participation, responsiveness and accountability 2.1.2 Holding the executive accountable 2.1.3 Improving stability and co-operation between political and Administrative components 2.2 2.3 2.4 Municipal structures and institutions Provincial structures and institutions Provincial scale and viability 2.4.1 Viability of provinces 2.4.2 Options for provinces 2.5 Linkages and conclusions on governance

7 7 7 15

21 25 29 33 33 35 39

DEVELOPMENTAL GOVERNMENT 3.1 Meeting basic needs and enabling development 3.1.1 Service delivery and infrastructure 3.1.2 Managing service targets and expectations and addressing Inequalities 3.1.3 Local economic development 3.1.4 IDPs, growth and development 3.2 3.3 Provincial socio-economic realities Conclusions

44 44 44

50 57 59 62 67

POWERS AND FUNCTIONS 4.1 4.2 Local government powers and functions The role of municipalities in environmental functions, climate change and natural resource management 4.3 4.4 Provincial powers and functions Proposals for change

70 70

75 79 81 ii

4.5 4.6 4.7

Criteria for change Environmental issues Conclusion

84 84 86

FISCAL SYSTEM 5.1 5.2 5.3 Fiscal framework for local government Fiscal framework for provincial government Conclusion

89 89 94 99

PROVINCIAL AND LOCAL GOVERNMENT IN CO-OPERATIVE GOVERNANCE 6.1 6.2 6.3 6.4 6.5 6.6 6.7 6.8 6.9 Intergovernmental relations system National governments role in inter-sectoral co-ordination The support role of national and provincial government Integrating the spheres to achieve the national vision Improving Integrated Development Plans Local government representation in national policy making Co-ordinating implementation Strengthening co-operative governance Conclusion 101 101 105 110 114 118 119 122 125 127

ANALYSIS OF THE PUBLIC DEBATE 7.1 7.2 7.3 7.4 7.5 7.6 7.7 7.8 7.9 7.10 7.11 7.12 Introduction Service delivery Citizens views on service delivery Governments view on progress in service delivery Corruption Management of public funds Name changes Environmental issues Parastatal bodies Laws, regulations, planning Miscellaneous Analysis of the public debate on provinces

131 131 132 133 136 137 138 139 140 140 141 141 141

iii

CONCLUDING NARRATIVE, EMERGING THEMES AND CHALLENGES

144

TABULAR SUMMATION OF THE SUBMISSIONS

151

Annexure A:

Submissions table for public responses on system of provincial and local government: general 152

Annexure B:

Submissions for public responses on system of provincial and local government per category 160

iv

List of Abbreviations

AA ADAC AZAPO

affirmative action Association of Democratic Alliance Councillors Azanian Peoples Organisation

BEE

black economic empowerment

CALS

Centre for Applied Legal Studies at the University of the Witwatersrand

CBO CDW CIE

community-based organisation community development worker Catholic Institute of Education

DA DoE DORA DPLG DPSA DPW DSD

Democratic Alliance Department of Education Division of Revenue Act (No. 2 of 2006) Department of Provincial and Local Government Department of Public Service and Administration Department of Public Works Department of Social Development

ECCS EHWG

Eastern Cape Civil Society Afesis-Corplan Western Cape District Municipalities Environmental Health Working Group

EIA EPWP

environmental impact assessments Expanded Public Works Programme

FOSAD FS

Forum of South African Director Generals Free State

GDLG

Gauteng Department of Local Government

HDI

historically disadvantaged individuals

IDASA IDP IGR ILGM IMASA IPM ISRDP

Institute for a Democratic Alternative in South Africa integrated development plan intergovernmental relations Institute for Local Government Management Institute for Municipal Administration of South Africa Institute for Performance Management Integrated Sustainable Rural Development Programme

LED

local economic development

M&E MDB MEC MFMA MIG MIMS MM MoU MPL MSA MSP MTEF

monitoring and evaluation Municipal Demarcation Board member of the executive council Municipal Finance Management Act (No. 56 of 2003) Municipal Infrastructure Grant Municipal Information Management System municipal manager memorandum of understanding member of the provincial legislature Municipal Systems Act (No. 32 of 2000) Municipal Services Project Medium Term Expenditure Framework

NCPG NGO NHTL NPO NSDP

Northern Cape Provincial Government non-governmental organisation National House of Traditional Leaders non-profit organisations National Spatial Development Perspective

PFMA PGDS PMS

Public Finance Management Act (No. 1 of 1999) provincial growth and development strategy performance management system

vi

PPP PR PSC

public-private partnerships proportional representation Public Service Commission

RPA

Rate Payers Association

SALGA SAMWU SAWID SDBIP SDVAP SCOPA SEDA SETA

South African Local Government Association South African Municipal Workers Union South African Women in Dialogue service delivery and budget implementation plan service delivery and value added project Select Committee on Public Accounts Small Enterprise Development Agency Sector Education and Training Authority

TAU SA

Transvaal Agricultural Union of South Africa

WCM

ward committee member

vii

POLICY

PROCESS

ON

PROVINCIAL

AND

LOCAL

GOVERNMENT SYSTEM
1 INTRODUCTION

Since 1994, the South African Constitution, government policies and legislation have significantly restructured the countrys system of provincial and local government, including the specification of the powers and functions of these spheres of government. Provinces both support municipalities in the execution of their tasks, and implement programmes and projects within their own mandate areas. Municipalities also get support from national departments in carrying out their important on-the-ground service delivery activities. At the same time national departments offer specific programmes at local government level, often outside the local integrated development planning process. The resulting lack of co-ordination and the persistent delivery problems in local government have led to negative perceptions about the ability of municipalities to adequately deliver services among all sectors of our population. Already in 2003 the Human Sciences Research Councils (HSRC) Social Attitudes Survey ranked trust in local government lowest of the three spheres at 43%, and the situation has not significantly changed since then. A review of the provincial and local government system, and particularly policies and legislation, is thus appropriate.

Instituting a policy review process on provincial government is a historical event in the context of South Africas nascent intergovernmental system. The motivation for reviewing provincial government stems from the observation made by the Department of Provincial and Local Government (DPLG) that the absence of a definite policy on provincial government has generated uncertainty about the role of this sphere in reconstruction and development. The introduction of greater localised autonomy (namely sub-national) for service delivery after 1994 has also created more space for, and placed additional pressure on, regional and local levels of government to effectively organise themselves to implement public services.

The Department of Provincial and Local Government (DPLG) disseminated a document titled Policy process on the system of Provincial & Local Government, Background: Policy questions, process & participation, in 2007. Stakeholders and interested parties were requested to submit answers to 65 questions under the following six themes: Local government (questions 1-25) Provincial government (questions 26-38) National government (questions 39-47) Powers and functions (questions 48-52) Development planning (questions 53-62) Monitoring and evaluation (questions 63-65).

The Department of Provincial and Local Government (DPLG) received a total of 152 submissions on the provincial and local government system review. For analytical purposes these were divided into nine categories: National: all national departments and sections within

departments Provincial: all provincial departments, including Offices of the Premier Municipal: all municipalities, including metropolitan councils and District Municipalities Statutory organisations: all parastatals, SALGA, government agencies,

institutes Other organisations: all organisations that are based on co-operation between members of civil society, such as unions, ratepayers organisations associations, representing ward committees, sectors,

specific

traditional councils, research institutions, centres of education, donors Universities: Individuals: Universities and tertiary education institutions Submissions by individuals (some of them appear to represent civil society organisations) Political parties: Unrelated submissions: Political parties Individual submissions not related to the subject. 2

The number of submissions in each category were as follows: Category National departments Provincial departments Municipalities, incl. metros Statutory organisations Individual submissions Other organisations Political parties Universities Unrelated submissions Total Number of submissions 12 18 35 13 30 35 3 4 2 152 % 7.9 11.8 22.0 8.6 19.7 23.0 2.0 2.6 1.3 100

Political parties 2% Other organisations 23%

Universities 3%

Unrelated submissions National 1% departments 8% Provincial departments 12% Municipalities, incl. metros 22%

Individual submissions 20%

Statutory organisations 9%

It should be pointed out that the submissions to this report are not a representative sample of potential stakeholders. For example, South Africa has 283 municipalities, 37 national departments, and nine provinces with over 100 departments. Therefore the findings and conclusions drawn in the report should be considered indicative rather than conclusive. 3

Without pre-empting an analysis of the public debate on provincial government, which will be dealt with in chapter 8 of this report, it is necessary to comment on the parameters of the public debate on the future of provincial government in South Africa, which has taken place over the last year (2006-2007) in particular. The scale of this debate reflects an unprecedented level of scrutiny, moving beyond techno-administrative issues relating to the specific functions that provinces perform, their staffing challenges and concerns about their expenditure performance all of which were evident in the mid to late 1990s to questioning their very organisational structure and relevance. Broadly speaking, the parameters of the debate have been marked by a handful of options on the future shape of provincial government. These include: Doing away with the provincial sphere and apportioning its powers and functions amongst national and local government Reducing the legislative authority and functional discretion of the provinces, which would become more focused on implementing policy for national government Retaining the provinces in their present form and relying on new or amended policy, legislation, or administrative measures to improve their performance Reducing the number of provinces (a rationalisation process) where this could ease staffing and capacity challenges currently being experienced by the country; and Strengthening the functional discretion and even authority of the provinces.

The review submissions show that respondents appeared to be more interested in local government than in national or provincial matters. This is not surprising taking into account the direct relationship between communities and their municipalities, and the immense challenges to deliver on national priorities, challenges that are primarily about local issues such as housing, water, electricity, local health and infrastructure. This interest is confirmed by the attention such issues receive in the media.

The bulk of this report consists of a summary analysis of the tabulated data and other inputs submitted, as well as an analysis of the public debate. It is fully understood that a summary cannot do justice to the richness and detail in the various submissions. Quotes are used extensively in this report, however, to avoid duplication a representative selection has been made. It is assumed that this report will support DPLG in taking the consultation process forward by focusing on major areas in the current debate. A number of key role players in governance, including several from the national, provincial and local government spheres, as well as from research and academic institutions and civil society organisations have not submitted any proposals. It remains a challenge to involve them through other channels in future debates and forums.

This report is structured in ten sections dealing with the following issues: 1. Introduction 2. Governance issues dealing with the deepening of local democracy, municipal structures and institutions, provincial structures and institutions, and provincial scale and viability 3. Developmental government, dealing with the meeting of basic needs and enabling development, and with provincial socio-economic realities 4. Powers and functions, including local government powers and functions, and the provincial role 5. The fiscal system, including the fiscal framework for local government and provincial finance 6. Co-operative governance, with a focus on provincial and local government 7. Analysis of the public debate 8. Concluding narrative, emerging themes and challenges

All submissions were tabulated using a framework devised by the DPLG. The submissions have been printed in a separate document to facilitate crossreferencing by readers of this report, under the title: Policy process on the system of provincial and local government: tabulated catalogue of submissions. The following table provides an indication of the number and percentage of submissions for this report.

Total submissions: 150 1 Themes

Nat 12 Nr
Governance Developmental government Powers and functions Fiscal system Co-operative government 5 8 42 66 11 17 61 94 27 33 77 94 9 10 69 77 18 25 51 71 1 3 25 75 10 13 33 43 1 2 33 67 7 58 16 89 29 83 12 92 29 83 2 50 16 53 1 33 9 7

Prov 18 %
75 58

Munic 35 %
83 72

Stat Org 13

Other or 35

Univ 4

Individ 30 %
100 50

Polit P 3

Nr
15 13

Nr
35 32

%
100 91

Nr
11 12

%
84 92

Nr
25 24

%
71 69

Nr
4 2

Nr
22 12

%
73 40

Nr
3 2

%
100 67

The above table does not reflect the quality of the submissions, which varied particularly in length and depth. For example, extensive submissions were made by national role players, such as the South African Local Government Association (SALGA), the Institute for Democracy in South Africa (IDASA), the National Treasury and provincial premiers, as well as metropolitan councils. Some municipalities involved ward committees in answering questionnaires through workshops. Others assigned their integrated development plan (IDP) offices to complete their submissions. In addition, some questions dealing with issues such as communications and intergovernmental relations were addressed under more than one theme.

Recommendations varied from reinforcing existing policies (the Treasury) to adaptation to new conditions, to complete makeovers of the system along business lines (Swanepoel & Associates). It is assumed that some of the main role players will be invited to participate in further discussions of the interdepartmental task team and other forums. Full names of national institutions and departments that made submissions are given at the first instance of their appearance in the text. After that abbreviations are used. A full list of abbreviations appears in the front of the report. Names of individual persons and municipalities are fully displayed. The words local municipality and district municipality are shortened to LM and DM after the name.

The two unrelated submissions have been omitted from this table

2.
2.1

GOVERNANCE
DEEPENING LOCAL DEMOCRACY

Municipalities are required by law to find ways and means to involve communities in their affairs. Research in South Africa and abroad shows a positive correlation between the level of community involvement in own affairs and the success of service delivery. Conversely, community unrest about service delivery and dissatisfaction with council decisions reflects an urgent need to improve the quality of local democracy, the degree of municipal responsiveness and accountability. Best practice indicates the importance of community participation in decision making about issues that impact directly on its members. This principle is also enshrined in the Constitution and the several Acts that deal with local government. This section of the report discusses the relationship between communities, councillors and municipal officials.

2.1.1 Community participation, responsiveness and accountability

The questions under this section asked how ward committees should be structured for effective participation and what are the alternative mechanisms for community participation? The analysis is based on key issues that were raised in the submissions.

a)

General

Although virtually all submissions highlighted problems with the functioning of ward committees, government stakeholders emphasised that the system itself was viable as a community participation system. The South African Local Government Association (SALGA) highlighted its importance: Ward committees are a critically important instrument for the advancement of democracy and facilitating community involvement in matters of government. Sol Plaatje Local Municipality (LM): The ward system was perceived to be the most viable form of enabling participation in Municipal Affairs. Eden District Municipality (DM): The existing IDP processes, community based planning initiatives and the ward committee system, if

implemented and employed correctly, provide sufficient mechanisms for the involvement of local communities.

However, several submissions confirmed the need to review the frameworks that regulate community participation in government. These frameworks are captured in the Local Government Municipal Structures Act (No. 117 of 1998) and the Local Government Municipal Systems Act (No. 32 of 2000). Furthermore, an

assessment of the National Policy Framework for Public Participation (2005) developed by the DPLG (if implemented) may be necessary.

The ward committee system is the primary one for community participation. It is generally agreed that although ward committees appear to meet regularly, their function as participatory mechanisms is seriously flawed. The Western Cape (WC) Premiers Office remarked: The current nature of public participation is characterised by inconsistent attendance, volatile concerns about service delivery, inadequate human capacity and is sporadic. Gauteng Department of Local Government (GDLG): Despite the comprehensive legislative framework, there are gaps in the way municipalities engage their communities.

A number of reasons for this ineffectiveness were mentioned. First, wards are often unwieldy. Khanya-aicdd argued that: Wards in South Africa can have up to 15 000 people and measure 50km across. This is too large for effective participation. Countries such as Uganda have several levels of participation below ward level. Second, communities are not aware of the role of ward committees and of citizens rights and obligations. Gordon Howell: There is no motivation for them to attend meetings and I am overly convinced that they dont really care. This does not mean that communities are disinterested in matters. Communities expect to be heard and to be informed about council decisions that affect them, such as IDP formulation, right from the start. However, citizens often view municipalities as impenetrable fortresses, and officials as un-cooperative. According to the HSRC: the question becomes whether municipal officials have more broadly insulated themselves from engaging with communities around service delivery matters, particularly in cases where municipalities are, for whatever legitimate reasons, unable to immediately meet the expectations of all their constituents. Municipalities

often do not know their constituencies. Breede Rivier Municipality agrees that: We need to know our communities, properly understand interest / likes / dislikes and burning issues, but ultimately community interests centre on delivery. As the Public Service Commission (PSC) argues: It should be appreciated that peoples participation in processes would be enhanced by the results and improvement they notice in their communities.

b)

Structure of the ward committee system

The prescribed structure of the ward committee system was viewed as problematic in several submissions. The same model is used irrespective of the size and nature of the municipality. According to the HSRC: The legislation governing public participation for local government is exceptionally prescriptive and does not allow for flexibility in how citizens and municipalities engage with each other to deal with the differences between metropolitan, local and rural municipalities. Possible measures to accommodate differences include: Allowing for greater flexibility in establishing ward committees and the number of representatives allowed Allowing for greater flexibility in the public participation in the IDP process.

Other submissions confirmed the need for municipalities to be allowed the options of sub-councils, ward committees, ward forums or a combination of these options. Northern Cape Provincial Government (NCPG) argued that: Other than ward committees there is a need to establish block or street committees since ward committees are too big.

Structurally, ward committees should become more representative and nearer to the community. This implies that they should include significant local organisations and various political parties as members.

On the other hand, it was suggested that the effectiveness of ward committees was ultimately dependent on the overall effectiveness of a municipality, and that smaller municipalities should be absorbed into larger ones to ensure an effective ward system (Buffalo City LM).

c)

Membership of ward committees

The representiveness of ward committees is often problematic. From civil society organisations the complaint was that biased politicians often chair ward committees, while communities are not aware of their rights and obligations. Southern Cape Land Commission (SCLC): Ward committees need to be depoliticised. The Helderberg Residents Action Committee said the same: Party politics should play no part in local government. This idea was supported by various provincial and municipal submissions. An alternative proposal was that ward committees should act as extensions of the council. SALGA, Free State (FS) proposed that: The functionality and representation of Ward Committees should be the responsibility of the Speaker as this will enable sufficient monitoring and oversight role by the council. In rural areas the traditional authorities should be represented in ward committees according to the National House of Traditional Leaders (NHTL).

d)

Attendance at ward committee meetings by municipal representatives

Several submissions, including from municipalities, complained that councillors and officials do not attend ward committee meetings. Attendance is necessary if communities are to understand how local government works, for example, the complexity of IDP documents.

Several submissions proposed mandatory attendance at ward meetings by councillors and by officials when issues are discussed that relate to their functions. Ndlambe LM: Mandatory attendance by officials from each department when relevant issues will be discussed. This will ensure that communities are informed about council decisions, IDP processes, and that they can make input from the start of the IDP process. Khanya-aicdd suggested that: effective local civic

involvement requires that communities are informed and participate from a confident knowledge basis. University of the Free State stated: Ensure that citizens understand how their municipality functions in order to effectively engage in service delivery matters. This implies that these representatives use appropriate methods. Eden LM even proposed that: The role of councillors in providing

10

feedback to communities should be prescribed and the methodology should be spelled out as different levels of competence exist.

e)

Communication

As in all complex social relationships communication is of utmost importance. Research by the University of the Free State found that almost no communication between ward committees and communities occurred. Most submissions referred to the need for a better communication system between council, ward committee and community. This involves the content of messages and the method, frequency or intensity of communication.

Many submissions emphasised the need to involve councillors in all forums. They are the primary communicators between the council and the ward, as they represent the interests of both. Nelson Mandela Metro University proposed that: A timetable of the ward meetings should be made available to the community by the council preferably on a calendar. Ward meetings should be used for report back by councillors, officials and committees, and to listen to complaints. Community participation should be formally monitored. Communication must be clear and specific according to the PSC: There should be a well-developed and practical schedule with dates and places to be visited where communities will interact with councillors. Service delivery standards must be established with communities, for example, Council will ensure that all potholes are fixed within five days and that the Council will maintain 95% pothole free roads at all times.

Several proposals for alternative communication were made such as the mayor conducting imbizo hearings to which the community is invited well in advance. The Bushmans River Rate Payers Association (RPA) proposed that: Councils should develop interactive websites, as physical and electronic notice boards with provision for feedback. The South African Municipal Workers Union (SAMWU) and the Municipal Demarcation Board (MDB) suggested: This could be supported by municipal service centres or multi-purpose centres supervised by councillors, and/or mobile libraries and clinics, as well as churches as contact points. Where such facilities are not available, community development workers should assist in communication. (Umvoti LM). The Eastern Cape Civil Society (ECCS) workshop

11

proposed that, Municipalities should budget for airtime on community radio to broadcast programmes. To ensure their effective functioning community services governance bodies, such as clinic management and hospital boards, should be aligned to ward committees. As Andre Louw: argued: People get communication from the city at one time or another rates, bills, etc. Have a standard tear off strip that people can fill in on an issue directed at a specific dept and guarantee response in a stated period of time. Documents should be made accessible to all citizens. The ECCS: Documents to be translated in vernacular languages. IDP documents should be simplified so that communities can understand them easily. This will cost money, but councils must take public participation seriously and budget for it.

f)

Community participation

Community participation is a Constitutional obligation for municipalities. The Department of National Treasury (Treasury) argued: The legislative framework that prescribes the responsibilities placed on municipalities with respect to community consultation is in place. However, such participation is often absent. The ECCS: Research conducted illustrates that poverty, access, issues of safety, large-size municipalities, poor public transport, under resourcing of participatory structures, language barriers, patriarchal social structures, etc. prevent active participation by poor people in local govt. issues.

Communities feel excluded, and some submissions indicated that only those who are powerful or aligned to the dominant party in the council are heard. Vulnerable people and minorities are excluded. Therefore Randfontein LM suggested, hold two of the same meeting on different days and times to afford people maximum opportunity to attend.

The

Institute

for

Democracy

in

South

Africa

(IDASA)

made

several

recommendations: The increasing emphasis placed on issues of equity, efficiency and effectiveness is intimately related to the question how to enhance community participation in municipal affairs, in terms of implementation strategies and the impact of service delivery on the position of various vulnerable groups including women, children and the elderly. According to SALGA, The existing structures

12

within municipalities such as Amakhosi, religious groups, Rate payers Associations etc. must become involved to enhance community participation. Sol Plaatje LM suggested to, Devise a ward committee system to involve stakeholders such as church groups, tavern owners, youth and health care organisations. This has a gender dimension. Frieda Human pleaded: Allow women only sessions so that women can speak freely on issues that affect them.

Improving participation has an institutional and methodological dimension. As IDASA mentioned: In order to meet the challenge of citizen involvement two aspects of responsiveness from governments side need to be emphasised: firstly, institutional space for involvement needs to be created, and secondly, and perhaps more importantly, concerted and continuous effort from the side of government to listen to the informed opinions and demands of communities. Institutionally the effectiveness of ward committees must be optimised, for example, in accessibility, frequency of meetings and involvement by role players. The Catholic Institute of Education (CIE) warned that: More awareness of these is needed and meetings need to be held in areas with due sensitivity to costs associated with travelling to meetings. Committees must hold their meetings in accessible locations.

A variety of participation methods can be used. The Treasury proposed to, Use tools such as industrial theatre, puppet shows, etc. to educate communities about the activities of the municipality and the basics of local government. Eden LM suggested: Expand the use of community radio stations and make it compulsory for municipalities to provide content to such stations on a bi-weekly basis. Several submissions referred to community development workers as ideal persons for the promotion of participation and awareness among communities, and for channelling messages to councils.

Participation can include service delivery by community organisations. Khanyaaicdd suggested that: Many municipal services can involve communities in delivery resulting in increased impacts including on livelihoods and in cost savings (e.g. home-based care-givers).

13

g)

Capacity

A general complaint was the lack of capacity of ward committees. This applies to role clarification, skills and resources. According to Khanya-aicdd, The roles of wards and ward committees are unclear and insignificant at present. ECCS proposed to, Define terms of reference and code of conduct for ward committees. Khanya-aicdd again argued: However, they have the potential to play an important role. Provide training for ward committee members in community based planning and basic project skills. According to Frieda Human, Communities are involved in municipal affairs through ward committees, IDP representative forums and councillors but these are not effective because forum members are not inducted or trained in local government. Training is thus important, as Sol Plaatjie LM argues: Training for ward committee members (WCMs) should include compilation of a ward profile, basic training on the municipalitys legislative framework, municipal budgeting processes and community liaison and interpersonal skills. Lepelle-Nkumpi LM confirms the need for additional support: Strengthen village committees, portfolio committees must have forums, ward committees should have secretaries, and provide resources and stipend to ward committees.

Ward committees should be capacitated in governmental issues, for example they should be allocated more power to take decisions and receive training and resources for communication with communities. Sol Plaatje LM: The ward committees must have a say in the decision-making process of the municipality with regard to developmental projects in communities in order to promote community participation. The municipality should support the ward committees with capacity building (training) and logistical support (transport, stationery and stipends) to allow them to participate meaningfully in developmental initiatives. According to SALGA: It should be made compulsory for municipalities to provide administrative and secretarial support to ward committees and appropriate funding be made available to municipalities to properly perform this function.

h)

Ward councillors capacity and role

Most submissions referred to the need for more effective ward councillors. One suggested that they should be elected rather than nominated, and should function as service delivery managers in their wards. In any case, ward councillors need

14

more capacity building, such as training in management, administrative support and offices for ward councillors and the use of community development officers in support and as contact persons. Eden DM: The activities and involvement of ward councillors should be managed and they should be provided with administrative assistance. Many ward councillors spend much private time in the ward, and it was suggested that they should be remunerated.

i)

Capacity of officials

The Association of Democratic Alliance Councillors (ADAC) pointed to the general problem that, Officials are appointed who lack the skills and education to advise the council and execute the decisions. This is further compounded by a lack of qualified officials further down in the structure. Administrative appointments which are not politically motivated, and are done on merit, will improve service delivery. In a similar way officials are often needed to provide professional support to councillors, for example, during ward meetings. However, few officials have facilitation and presentation skills. Frieda Human argued that, Officials managing strategic planning, IDP and [the performance management system] PMS need training in facilitation skills and the documentation of inputs by the community.

2.1.2 Holding the executive accountable

The questions under this section asked how the executive can be held accountable to council and how councillors can be held accountable to local communities?

Failure in service delivery and corruption raise the important issue of accountability. Accountability has many forms. As the HSRC points out: The Municipal Finance Management Act (Act 56 of 2003) (MFMA) and Public Finance Management Act (Act 1 of 1999) (PFMA) provide a good basis for holding municipalities accountable for the use and management of revenue. Generally the principle applies that people are held accountable through formal policies and contractual agreements within official governance frameworks. This involves at least three categories of role players: the executive, the council and communities. However, communities

15

hold councils accountable for many issues that are not part of local governments mandate.

Many submissions referred to the accountability of mayors and mayoral committees and problems about enforcement of accountability due to the established system where processes are seldom transparent. Helderberg Residents Action Association complains that: There has been too much secrecy in the past. Agendas were not published on time and the public was not even aware of it. The Democratic Alliance (DA) caucus suggested that: Extraordinary powers are given to an Executive Mayor. Therefore an Executive Mayor should be elected via a direct election. He/she should not be elected by councillors but by the voting public. It also follows that there must be a provision for a recall of an elected Executive Mayor. Accountability starts within the system itself. Ward 16 emphasises the need that: An Audit Committee (sec. 76 (4). d and 77 must establish an audit-character strategic plan to guide the audit approach as well as modus operandi spelling out the rules that govern the audit relationship. The Department of Public Service and Administration (DPSA) proposed that: Section 80 Committee Chairpersons must provide monthly reports of their meetings to the Speaker, who in turn must consolidate and reflect on the challenges of implementation. This consolidated report must be discussed and decided upon in Mayoral Committees. The Mayor must report progress to the Political Management Team (which consists of Chief Whip, Speaker, and Mayor). Ward Councillors, together with Mayoral Committee Members, and relevant officials, must then report progress and decisions to locally affected communities.

However, the system seems to provide an escape from accountability. According to the ECCS, The system of Executive Mayors centralises power within the Mayor and mayoral committees and limits accountability. ADAC confirms this: The Mayoral Committee is in a position to withhold information from other councillors. They make decisions and use public funds and that item may only come up at a council meeting 3 or 4 months later. When council meetings are delayed, as often happens, the problem is compounded. Mayoral committee meetings can be made more accountable by making them committees of council. An important area is in senior staff appointments. According to the DA caucus, Executive mayors should

16

only have the power to recommend people for appointments. Recommended candidates should appear before open committees of council and be cross questioned in the style of US Congressional hearings. Similarly ADAC proposes that: Mayoral Committees can be made more accountable by making them committees of council. [But] Two judgements (Johannesburg High Court & Cape Town High Court) have expressly ruled that they are not committees of council which limits their accountability. Another option by the Western Cape District Municipalities Environmental Health Working Group (EHWG) is to: amend the mayoral committee system by the inclusion of ward councillors.

Chairs of mayoral committees are important decision makers. They should be held accountable for the functioning of the committees, particularly the executive mayors committees. This requires delegating clearly defined functions and powers to the committees. The chair must hold the members accountable for crises and ad hoc decisions outside their normal functioning.

Even within the present system, accountability of mayoral committees to the council should be improved through regular report back opportunities where they can be held accountable. The DA Caucus complains that: Portfolio committee reports [are] made confidential [thus] inhibiting public participation. Sol Plaatje LM suggests that: Mayoral committee members should report monthly to council on their respective portfolios. This could include public assessments as the Institute for Performance Management (IPM) suggests: Develop a strategic mayoral committee scorecard that can be published. Mayoral committees should report back regularly, in the way that [the Select Committee on Public Accounts] SCOPA operates, for example, to the councils monitoring team. Monitoring and evaluation tools have to be designed for this. This includes providing mayoral committee meeting minutes and decisions, as well as reports on the execution of decisions. Accountability implies measuring delivery against set objectives. It was proposed that members be appointed with performance agreements, for example, Sol Plaatje LM: Mayoral committee members should have a contract stipulating specific commitments against which their performance must be judged.

17

Councils must challenge mayoral committee decisions when the latter do not comply with agreements. It seems that this seldom happens and that councillors need training. The DPSA proposed that: Training of Councillors needs to include emphasis on oversight. Explanation of concept, practice, and an inherent understanding that it is a tool to assist the executive not embarrass the executive. It was also proposed that public attendance of committee meetings that deal with procurement should be allowed, for example, by ADAC: Mayoral Committees could be made more accountable if they were obliged to sit in public, in order that councillors, officials and members of the public could observe decision making for their municipality.

Several submissions suggested that mayoral committees will also be more effective if aligned to service delivery bodies, for example, district health committees. The Institute for Local Government Management (ILGM) therefore proposed that: Municipalities should align functional mechanisms with municipal structures such as Section 80 Committees and Mayoral Committees. The NHTL believes that no municipality can function smoothly without building a proper and sound working relationship with traditional leaders.

Accountability implies that set procedures are followed as the DA Caucus suggests: Portfolio committees should not be allowed to proceed without the presence of Mayoral Committee members and senior officials. The relevant national or provincial minister / MEC must have power to intervene when portfolio committee meetings are not held for prolonged periods.

The key to accountability is transparency in all processes and procedures. As SALGA suggests: The executive political structures, including mayoral

committees, should in general be open to the public; having regard to the matter to be discussed. Therefore mayoral committees should have fixed timetables so that stakeholders can attend or request information on agendas and reports. The council itself should have access to reports. Financial accountability is a sensitive area. Full compliance with the PFMA and MFMA should be enforced. Typical examples that were mentioned were double signing of orders or payments and appointment of officials not to be done by politicians.

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SALGA warned that: There appears to be continued uncertainty around the role of councillors. This relates to the difference in roles resulting from different electoral mandates (proportional representation versus constituency) but also in relation to the perception that ward councillors are ward managers responsible for the delivery of all governments services in the ward. A clear definition of the role of councillors is required. SALGA continued: The role of the councillor as the voice of the community and an overseer of the municipality executive/administrator needs to find better expression so as to avoid unrealistic expectations. According to ADAC, The problem of accountability of councillors does not lie with the legislative environment or the codes of the political parties. Rather it lies with the implementation of these procedures when a councillor errs. However,

accountability is not only an individual issue. The real question should be how do communities hold councils accountable for collective decisions that impact on communities. Due to a lack of response from municipal speakers and officials it takes too long for Councils to respond to issues raised by ward committees, states (ADAC). Individual councillors can hide behind the system or the delays in the collective decision making process.

Presently councillors can be held accountable to the community mainly at ward meetings. However, there is no prescribed way of reporting so that communities can assess councillors performance. Accountability of councillors to local communities requires a more formalised approach than occurs presently. This includes more regular meetings and set procedures. To ensure that report back and communication occur, councils should adopt policies describing objectives, methods and success indicators, as well as measures for compliance, for example, enabling communities to discipline non-performing councillors. Such policies could be part of the ward committee policies or part of general policies on the relationship between council and community or both. Swartland LM proposed that: By enacting a legislation or bylaw that will make it mandatory that both elected representatives (councillors) and officials consult and brief communities on all municipality aspects on regular basis, e.g. quarterly. First, it requires regular communication between councillors and their communities through the ward system. According to Khanyaaicdd: It is essential that there is an effective ward committee for councillors to be

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held accountable. The councillor must be accountable to both the ward committee and the general public. This requires the ward committee being effective, and then formal processes of feedback to the public on activities of the ward, as well as the councillor. Regular, e.g. 3 monthly feedback meetings should be held as open public meetings. Mphahlele LM proposed that: Mass meetings should be held in clusters after every council meeting, at least 4 times a year. Accountability includes penalties for non-performance, as Nala LM argues: Councils must impose financial penalties and expel those who are ineffective.

The scheduling of ward committee meetings must also be controlled, and not left to ad hoc decisions by councillors or ward committees. The GDLG proposed to: Institutionalise mechanisms to receive, consider and respond to issues emanating outside the formalised participatory structures of council. The Northern Cape Provincial Government (NCPG) proposed that: The schedule of ward committee meetings needs to be drawn up by the Mayoral Committee and published. Thus the calling of meetings should not be left to ward councillors. The regular pattern of ward meetings must be structured e.g. the first Monday of every month.

Accountability includes incentives and recourse. The Treasury proposed: Introduce for councillors incentives that will be linked to issues such as complaints received so as to promote their performance on service delivery. Accountability means little if not linked to recourse by the community. According to the NCPG: As representative of the people they must report on regular basis to both council and communities. Most importantly, the communities must be empowered to remove /impeach any councillor who fails to carry out their mandate. Frieda Human suggested: Introduce Ward performance scorecards for Councillors, i.e. implementation of deliverable project targets in Wards. And ADAC warned: Due to the visibility of public representatives, councils and political parties should be diligent in disciplining non-performing councillors and those councillors found guilty of committing a crime.

For communities to enforce accountability of councillors, citizens must be able to participate in a meaningful and informed manner. Therefore the decisions and action lists of ward committees need to be printed on flyers and distributed at taxi

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ranks, sent out with the municipal accounts and inserted in local news media. Similarly report back by councillors should include policies, council decisions and councillors undertakings to their communities in formal ward plans. Report back should be in writing and through presentations, reflecting full decisions, bad or good, and time schedules and deadlines. The community should be allowed to question councillors, with sufficient time provided and the process managed by an impartial chair. In addition, councillors should write in municipal newsletters or in leaflets that can be disseminated through local offices, and posted on the notice boards of community organisations, shops, and so on. Councillors should be available at their offices at set times, so that communities can consult them. This has implications for capacity. The activities and involvement of ward councillors should be managed and they should be provided with administrative assistance.

2.1.3 Improving stability and co-operation between political and administrative components

The question under this section was how stability and co-operation between political and administrative components of municipalities can be improved and how corruption can be addressed?

Tension between political and administrative officers is likely to occur in all spheres of government, although municipalities are especially vulnerable, as this is where delivery takes place in a daily, highly visible way. According to Nelson Mandela Bay Metro: It is quite pivotal that the two components work together, as the political component must give a political direction, and the administrative component must give legal, financial, technical, administrative, and other professional advice, so that when politicians take a decision, they are properly informed. The different nature of the two sets of role players requires clarity on mandates and functions so that effective communication can take place without interference from outside. Several submissions emphasised the need to depoliticise public administration and make it professional through enforcement of PFMA regulations on decision making processes amongst both sets of role players. This also applies to officials: compliance with approved IDP plans is important. Municipalities could consider establishing structures like the Forum of

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South African Director Generals (FOSAD), the MinMEC forum, and the cluster system.

Co-operation improves when the capacity of both role players is developed to ensure mutual understanding of functions. As the Department of Provincial and Local Government (DPLG) argued: Politicians and administrators should be inducted into their respective roles. This implies provision of adequate administrative capacity, support and control systems, as well as training.

Capacity in project management and risk management can be supported through establishing structures (particularly in larger municipalities). Furthermore politicians and officials need training. This requires better co-operation between DPLG and the Sector Education and Training Authorities (SETAs) around learnerships. One submission suggested international exchange programmes for councillors and officials. [source?]

Problems occur when the political leadership changes as there is no legislation on this. The DPSA warned that: There is no Constitutive Act that governs local government when political leadership changes. When leadership changes a lot of the time of the incoming Council is spent on undoing programmes of the previous Council, which is time-consuming and wasteful. There need to be protocols that programmes do not change just because leadership changes. According to the PSC: It may be necessary for the DPLG to develop a generic Code of Conduct for local government (if it does not exist already), with a special emphasis on professionalism related to service delivery. The generic Code can then be adapted to suit the district or local municipality. The Department of Public Works (DPW) argued that: Change of political power should not necessitate change of senior managers who should be passionate and driven to meet the local development needs of the people and to address the challenges local communities face regardless of the political party in power. It may, though, be difficult to de-link the appointment of certain senior posts from the political party power. In such cases the performance assessment of these senior managers should be monitored independently, possibly by another tier of government. One solution is longer term appointments of senior managers and Section 57 managers, as the PSC

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proposed: The employment contracts of the senior managers including the municipal manager should be for a minimum of seven years to try and ensure security of tenure.

One way to ensure that councillors and officials perform according to policies and adopted plans is to implement performance management systems as required by the Municipal Systems Act (No. 32 of 2000) (MSA). In Nelson Mandela Bay Metros view: It is pivotal that municipalities must implement a system of performance management, as required by the Municipal Systems Act, at all levels or across the board. Currently even some of the so called big metropolitan municipalities are battling to cascade performance management to all levels, instead they only concentrate on Section 57 employees. Such a system starts with the vetting of applicants for positions in both categories, and a database of dismissed persons. Monitoring systems should make provision for both categories.

There was significant concern in most submissions about extreme forms of political or senior interference in the work of officials, particularly about abuse of situations and corruption. Policies and procedures can be complex, particularly in finance. According to the HSRC: In some cases the sophistication of PFMA and SCM [supply chain management] regulations has had a perverse effect on fraud where, due to capacity differences, only a few persons have understood the requirements and have abused the system. There is a need for simplification and streamlining, as well as training of officials and councillors in management.

Many submissions referred to the need to eradicate corruption through improved legislation and protocols. The Treasury proposed that: A legislative review to streamline and strengthen existing legislation on corruption should be undertaken. Develop a municipal wide code of ethics.

Corruption occurs where transparency is lacking. Councils should adopt policies on corruption, including procedures for checks and balances and disciplinary processes. In practical terms corruption can be fought through maintaining a clear link between adopted plans and budgets, and the results of implementation. The latter should be monitored against the former and reported. For example, by

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enforcing a quotation system, and by conducting regular external audits. Municipalities should develop fraud prevention plans as part of municipal policies and they should protect whistle blowers.

The Eastern Cape Office of the Premiers (ECOP) submission suggested fasttracking the single public service concept, so that the PSC could be extended to local government level. Similarly SALGA proposed that: As a measure to combat corruption, all committees dealing with procurement issues must be open to the public, having regard to the matter to be transacted upon by the committee and other practical considerations. According to the PSC, frameworks applicable to national and provincial government could be extended to local government, that is, the disclosure of registrable interests, regimen for managing conflict of interest, tender regulations, minimum anti-corruption capacity and risk management in the fight against corruption. And ADAC suggested that: Council meeting agendas should include lists of tenders coming and of tenders awarded. Tenders awarded should also be in the press.

Corruption continues when perpetrators have a good chance of getting away with it lightly, for example, resigning and being appointed in another position. In all cases corruption should be severely penalised, accompanied by naming and shaming those involved. Matonsi LM proposed to: Penalise and expel corrupt officials and councillors. The CIE supported penalisation: Corrupt officials must be disciplined without fear or prejudice and a fair and just system of handling complaints should be encouraged. In order to deal with corruption effectively, there needs to be an open process that allows the public to understand the consequences of this kind of behaviour.

The question was raised whether municipalities should have only full-time councillors. At least no person should be a councillor and an official at the same time. Corruption is also possible when functions are outsourced. The capacity of municipalities should be built to limit outsourcing to the private sector. When outsourcing is inevitable sound financial procedures should be adhered to in order to prevent corruption or favouritism.

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2.2

MUNICIPAL STRUCTURES AND INSTITUTIONS

A question concerning the advantages and disadvantages of a two-tier system (district and local municipality) of local government was posed to the public. In terms of the advantages of the two tiers, the Institute for Local Government Management (ILGM) of South Africa, the Municipal Services Programme (MSP) at the DPLG and the Eastern Cape Civil Society Afesis-corplan (ECCS) mentioned that district municipalities were created to provide capacity to municipalities with low or no capacity. They were also created to rectify skewed distribution of resources and play an oversight role over local municipalities.

Buffalo LM, the National Department of Education (DoE) and Umvoti LM see the two-tier system as advantageous in helping to sharing programmes on local government and in co-ordinating and integrating planning. Frieda Human from Tzaneen considers that certain functions, for example, disaster management, are better co-ordinated at the district level. Prof. Hennie Van As from the Nelson Mandela Metropolitan University adds that district municipalities can co-ordinate, facilitate and manage shared services and assist in the implementation of national and provincial policies. Municipalities themselves were seen by the NCPG as

organisations that place delivery as close to the people as possible and can therefore better concentrate on operational issues. This is confirmed by the Bushmans River Mouth Rate Payers Association.

The two-tier system has put great strain on the availability of skilled personnel as noted by AZAPO. The DPSA believes that the system is dependent on cooperation between the two spheres. If this is not readily available it results in different plans for the same areas. The system is too dependent on voluntary cooperation. The following disadvantages or problems were outlined by most of the submissions: The two tier system remains problematic and highly contested It has not delivered the expected results in terms of co-operation, coordination, planning, alignment, effectiveness and efficiency The division of power and functions has created tension and conflicts between LMs and DMs 25

There is a confusion of roles and responsibilities There is little service delivery from DMs that reaches the grass-roots level though many resources have been allocated to them The system creates bottlenecks in the flow of funds needed by LMs to deliver services Friction in resource allocation Funding imbalances as DMs, which have fewer responsibilities, get more funding There is duplication of work, too much red tape, and it is difficult to prioritise projects and therefore becomes too costly Fragmentation of accountability leads to lack of clarity amongst citizens and within government DMs are located too far from the communities DMs have limited roles in service delivery yet impact on budgets, resulting in unnecessary delay of services by LMs There is still misalignment between local and district municipalities. District municipalities do not take into account the capacity of local municipalities, or whether they are strong or weak.

The following are the recommendations: Amalgamate district municipalities and local municipalities into a single tier of government that is adequately resourced The Municipal Structures Act should be amended to allow for this single tier municipal system. or Abolish district councils and replace them with regional offices of national departments

Failing this the recommendations are to: Rethink the place and role of district municipalities Conduct a proper survey to assess advantages and disadvantages of the two tier system

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Establish an area of concurrent jurisdiction to avoid the situation where responsibilities are passed from one tier to the other Clarify the roles of district and local municipalities regarding service provision. District municipalities must co-ordinate the functions of smaller local municipalities without capacity to deter corruption and they must also assist in disaster management

Numerous submissions including those of the Western Cape Provincial Government (WCPG), Sedibeng DM, the Municipal Demarcation Board, ADAC, the Institute for Local Government Management and the Western Cape Office of the Premier clearly stated that district and local municipalities should be consolidated into a single tier of local government. This was echoed by the Municipal Demarcation Board, the Institute for Municipal Administration of South Africa (IMASA), the Municipal Infrastructure Grant (MIG), MSP (DPLG), the Institute for Local Government Management in South Africa (ILGM), Swartland LM, the Transvaal Agricultural Union (TAU SA) and Umzimkhulu LM. Overall the variety of opinions in the submissions shows that there is a mixed reaction on the role of district municipalities. The Treasury proposes a reconsideration of the place and role, if any, of the district municipalities, as they receive substantial funding but with fewer responsibilities than local municipalities.

If district municipalities are retained, what role should they play?

The submissions contained a mixture of reactions because many submissions opted for them to be scrapped. Fifteen submissions including the Department of Public Service and Administration, South African Women in Dialogue (SAWID), Sol Plaatjie LM, Polokwane LM, Northern Cape Provincial Government, Department of Education, Eastern Cape Civil Society Afesis-corplan suggested that district municipalities should play a co-ordination, monitoring, provision of professional services, facilitation and supporting role for the provision of services at the local level. The DPSA added district municipalities must ensure that a single plan for the development of the entire district is adhered to and implemented.

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With regard to the role that the local municipalities should play and how they should be structured, the more common recommendations included the following: Local municipalities should be responsible for local economic

development in rural areas They should concentrate on operational issues and deliver basic services including primary education and health care The current structure is adequate Local municipalities must ensure that the development of their local area is in line with district, provincial and national plans Local municipalities should be given as many of the direct service delivery functions as possible including those functions under the economic cluster They should promote the well-being of their residents, address imbalances and ensure that local people are involved in matters affecting their daily lives and future.

Swartland LM also considered that some municipalities are too big and dysfunctional and therefore recommended that their demarcation be reviewed. SALGA highlighted that urban and rural municipalities may need to be restructured differently. Buffalo City LM is of the view that the structure of local municipalities should be reviewed because currently there are municipalities that are not graded as metros yet have the same responsibilities as metros. It suggested that perhaps a fourth category should be introduced to cater for such municipalities.

One third of the submissions responsded to the question about the role that cities and big towns should play in the local government system. There is a general feeling that cities should play a supportive role in terms of funding, supplying required skills, resources and by serving as an example of what has been done and what can be achieved, in other words be used as blue prints and guidelines for local policy. (Bushmans River Mouth Rate Payers Association). The GDLG envisions a broad role, with many other submissions highlighting some of the same ideas: The special role that big cities and towns should assume relate to: promotion of economic growth and development, transportation and traffic management, provide safer and secure environments and communities, spatial 28

planning and integrated development planning, coordinated investment attraction and international relations, providing an enabling environment for export and import activities, as well as their voice being heard in the national discourse given their importance in the national economy.

The ILGM of South Africa supports the idea of cities and big towns serving as engines of economic growth. Big cities can benefit smaller municipalities through capacity development and the transfer and sharing of skills as it is believed that they have better resources than the smaller towns. This view is endorsed by the ECCS, ADAC, ILGM, MSP (DPLG) and the Department of Education.

2.3

PROVINCIAL STRUCTURES AND INSTITUTIONS

A series of questions asked about the role and practice of provincial legislatures, especially in the area of oversight. The questions included whether there was a need for legislatures at all, how legislatures could play a more effective role in promoting socio-economic development and service delivery, how these bodies could ensure that provincial governments were held accountable for their functions, and more broadly how provinces should report progress in service delivery to their electorates.

The largest share of responses to these questions was directed at whether there was a need for provincial legislatures. The responses to this question were mixed, with a sizeable number of submissions questioning the existence and form of provincial legislatures. The following extracts illustrate this feeling. The CIE indicated that: It is also costly to maintain nine legislatures that are not relevant. The structures of the current legislatures could be incorporated into the NCOP. Khanya-aicdd argued that: Rather than separate [members of the provincial legislatures] MPLs who are completely unaccountable to their voters, perhaps it would be better to have representatives of all the local governments making up the Provincial Council. The Breede River Municipality added that: provincial legislatures are far removed from the electorate thus they are invisible to the public in general. The general public do not distinguish provincial from local government. R. Swanepoel and Associates heavily criticised provincial legislatures and argued

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that the implementers of government functions should be directly accountable to the directors-general of relevant national government departments (presumably bypassing provincial structures), until a Muniservices Trust concept was implemented after 2010. 2

Other submissions argued for the retention of provincial legislatures on condition that they were reformed or made to function better. In the former case, a submission from the Limpopo Department of Sports, Arts and Culture suggested that they be: trimmed to the bone, with the condition that certain skills that were possibly held by provincial legislatures (such as project and financial management) be deployed to local authorities. Other submissions were more moderate suggesting that there was potential for provincial legislatures to adjust or strengthen the role that they currently performed, including exercising oversight over local government and ensuring equitable distribution of resources and consistency in service delivery standards. Yet other submissions motivated the retention of provincial legislatures on the basis of the sustained focus and oversight they could direct at ensuring that regional needs were effectively met within provincial boundaries. The National House of Traditional Leaders noted that: Provincial legislatures are critical in ensuring that oversight, public outreach and relevant, peculiar legislation are made for each province. The Public Service Commission added that: The provincial system of governance should be retained with the accompanying accountability and oversight responsibilities vested in the provincial legislature.

Other submissions which addressed the advantages and disadvantages of legislatures emphasised that there was a performance gap between the reality of their work and what they should ideally produce:

Advantages: passing unified provincial norms and standards (namely ordinances); performing oversight functions close to actual serve delivery points; dividing power and introducing another level of appeal; potential

R.Swanepoel and Associates proposed the replacement of existing municipal government with Local Boards of Directors (LBODS) and a National Executive Board of Directors NEBOD) for a Muniservices Trust Company Limited (MTCL).

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to monitor the progress of local government and source funding for municipalities in need; understanding of local politics and circumstances; citizen participation.

Disadvantages: costly, powerless and ineffective, risking duplication of legislation that can be confusing and inconsistent with national legislative and policy framework; duplication of oversight functions at both national and provincial levels did not necessarily translate into improved service delivery; time wasted on infighting and missing the real issues; insufficient capacity to monitor and support municipalities and to add value to development.

A submission from Lucas Sihlangu proposed that legislatures should be audited to evaluate their contribution, in terms of the following:

Passage of provincial constitutions The number of provincial Acts passed with regard to their functional areas listed in Schedules 4 and 5 of the Constitution The number of Bills introduced and considered The number of instances in which evidence of the submission of information to the provincial legislature or any of its committees was required in terms of section 115 of the Constitution

The number of functions assigned to local authorities in terms of Section 126.

Submissions relating to the developmental role of legislatures called for these bodies to consult more directly with the recipients of services, especially in rural areas through imbizos, by establishing stakeholder forums and by engaging in oversight visits to service points to assess expenditure and the outputs of socioeconomic programmes.

Apart from strengthening the oversight capabilities of provincial legislatures, other suggestions recommended that legislatures cultivate closer operational

relationships with departments and municipalities, including initiating inter- and 31

intra-departmental partnerships and private-public partnerships; engage in more frequent and structured consultative meetings with departments; establish targets for municipalities on projects funded from provincial revenues and provide support for these activities.

A related question asking how legislatures could ensure provincial government accountability received a number of responses calling for legislatures to enhance their financial oversight role, for instance through traditional portfolio committees. A more interesting submission called for legislatures themselves to perform an annual audit of each provincial department, or to have this done by an independent auditor. A related response called for legislatures to report to National Treasury if expenditure is transferred to a provincial department as a conditional grant, and that: The speaker of the provincial legislature should submit a report card to the provincial premier on the performance of the departments with recommendations on what can be done. The report card should also be sent to the respective national departments, (CIE). A similar community score cards idea for the monitoring of service delivery performance by provincial legislatures was mooted by Khanya-aiccd. This could potentially align with the National Treasury issuing a framework for managing programme performance information within the framework of the monitoring and evaluation system.

Finally, when asked how provinces could improve reporting on service delivery to their electorate, suggestions again focused on strengthening the use of current planning and reporting mechanisms. This included making reporting systems more efficient by reducing the number of reports required and ensuring a wider distribution of reports on quarterly and annual performance to stakeholders within and outside government (such as making them available on websites and on request). Another suggestion called for provinces to ensure that all projects were incorporated in municipal IDPs.

Other suggestions called for improved reporting for local government structures, such as through ward committee meetings, strengthening the imbizo programme around citizen feedback, and engaging in citizens forums. The National House of Traditional Leaders advised that provincial governments, should address

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provincial houses of traditional leaders on a quarterly basis so that they can suggest ways of addressing challenges and can play a role in accountability and feedback to communities.

More specific suggestions focused on establishing broad cross-sectoral criteria for reporting on key themes affecting local communities including local policing and crime, enterprise creation, conservation, school graduates, and health (such as HIV/AIDS).

2.4

PROVINCIAL SCALE AND VIABILITY

2.4.1 Viability of provinces

A number of questions were posed to the public about the geographical, social, economic and cultural viability of the provinces. There were only a few submissions recorded concerning the viability of provinces and the extent to which they functioned as efficient and effective growth and development hubs. Submissions argued that politicisation, poor inter-provincial transport links, and differential skills were hampering the ability of provinces to function as efficient and effective growth and development hubs. Another submission regarded the current boundaries as satisfactory, noting that disputes [that remain] are essentially on the issue of service delivery.

The PSC suggested that: at the general level it should be said that good governance criteria for assessing any organ of state is laid down in section 195, Chapter 10 of the Constitution, namely, ethical integrity, efficiency, economy and effectiveness in management of resources, accountability, transparency,

impartiality in service delivery, merit in personnel management, and representation of the countrys demographic profile in employment. Submissions on what criteria should be used to assess the viability of provinces, in order of their prominence, included:

Economic activity/contribution to GDP, growth potential and sustainability

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Social upliftment, namely increasing employment, poverty alleviation, improved educational standards and literacy, allocation of grants Good governance: transparency and accountability, anti-corruption

In contrast, about 40 submissions were recorded on the cultural and linguistic identity of provinces, and the impact on nation building, identity, inclusion and cohesion. The submissions mostly accepted the notion that the provinces had a positive role to play in nation building through contributing to the building of a cohesive and inclusive national identity. The CIE remarked that: Each province has a role to play in maintaining unity in diversity. It is therefore imperative that cultural and linguistic characteristics are promoted. These impact positively on the nation.

There was also a belief that provincial diversity should be regarded positively, as a manifestation of a multi-cultural country, subject to provinces displaying sensitivity, mutual respect and tolerance, and non-discrimination towards diverse cultural heritages, whilst also trying to contribute to a wider national identity or cohesion. For example, the National House of Traditional Leaders argued that: Provincial governments ensure the success of izimbizo called by national government and bridge the gap with communities. They play an important role in nation building. They promote cultural identity including language and ensure that particular cultures are practiced within the ambit of nation building.

Other submissions did, however, express reservations on provincial cultural identity. These included references to the demarcation of provinces along ethnic lines having a negative effect by, reinforce[ing] apartheid social engineering (Eastern Cape Office of the Premier). The Limpopo Department of Sports, Arts and Culture offered a more cautious interpretation, noting that cultural identification or promotion could have both negative (through promoting unfair discrimination) and positive attributes (redressing and embracing cultural and heritage diversity), with the effects depending on how culture is packaged and communicated. Finally, R. Swanepoel and Associates expressed concerns about the name-changing process and its impact on the promotion of cultural identity.

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Suggestions for provinces to promote nation building included encouraging these bodies to promote efforts at building a more cohesive national identity; establishing sectoral forums for this purpose; including matters of cultural diversity in school curricula; and engaging meaningfully in moral regeneration programmes and celebrating significant national and international days in an educative manner, (Limpopo Department of Sports, Arts and Culture). Other commentators, such as the Northern Cape Provincial Government, noted that there was a need to resolve Schedule 5 constitutional issues around culture, as it was felt that this bedevilled a provinces ability to work effectively through local government on cultural programmes. Still other suggestions entailed doing away with race-based classifications in official government forms (Eastern Cape Office of the Premier); instituting a common administrative language in government (Swartland Municipality); and provinces branding themselves for national unity, where this was not based on ethnicity (South African Women in Dialogue, SAWID).

2.4.2 Options for provinces

This section raised questions surrounding the alternatives to the current provincial system of government, and sought submissions on what criteria should inform the purpose, structure, functions, number and financing of the provinces.

A total of 60 submissions, the largest number for all sections under provincial issues, were catalogued. A large number of these submissions considered whether there should be a provincial system of government and the alternatives. The results were mixed, with some favouring changes to the form and function of provincial governments, which entailed streamlining or slimming them down. The more favoured options included:

Reducing the political and legislative roles of the provinces and rather emphasising a stronger and smaller administrative and technocratic corps or committee of officials with a stronger grasp of service delivery. This corps could also include a small number of high quality people with strong strategic and information skills to support and audit the performance of municipalities, and produce strategic plans for issues that need to be dealt

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with on a regional basis, such as tourism. It was also argued that provincial governments should have the flexibility to offer incentives to attract skilled people. These responses included the idea of transforming provincial administration into the provincial headquarters of national departments with the Office of the Premier being headed by a Director-General. Another perspective argued that provinces should concentrate on overseeing and supporting municipalities, including transferring funds to local government. This could entail province-wide planning, and provision and maintenance of bulk services and high infrastructure.

The submissions had varying views on whether to consider a rationalisation (reduction) in the number of provinces as a future option, or to maintain the current number of provinces. In the former case the rationalisation process included suggestions to merge certain pairs of provinces reducing the current nine provinces to four, five or six, or that a future decrease in the number of provinces should be guided by issues such as releasing more funding for local authorities, geographic sustainability and administrative capacity. R. Swanepoel and Associates argued that the future existence of provinces should wait until after the implementation of a Muniservices Trust Concept in 2010. This concept proposes the structuring of government as a national trust, in which municipalities are the main shareholdersi. Another contributor argued that it might be useful to re-look at provincial boundaries against some sustainability criteria after first subjecting provincial government to a policy review process similar to the one undertaken on local government.

The submissions supporting the current number of provinces included some that called for greater effort to be directed at clarifying operational issues. Others thought that the current system should be retained for the time being, as it was evident that insufficient attention and resources had been directed at strengthening capacity in both provincial and national departments. As a result, reducing the number of provinces would not resolve problems at provincial and local levels. The Human Sciences Research Council argued for instance that: In the short to medium term, until capacity differentials are improved, introduce more flexibility into 36

the system of intergovernmental relations to allow the sphere best equipped to deliver a particular service in a shared area to take greater responsibility for implementation. A not dissimilar view from K.R. Brown advised that before contemplating structural changes to the system of provincial government, there was a need to determine whether the problem was structural or due to the people factor, namely that people lacked the experience to do the work.

Continuing on the theme of provincial capacity, the Breede River Municipality noted that: Whilst provinces are meant to assist and build capacities of municipalities, they themselves do not have the capacity to play that role. The staff employed by the provinces is less experienced and have inadequate understanding of the functioning of local government, as a result they introduce confusion and duplication. The municipality extended this view by arguing that provincial ministers were not in a position to provide effective political oversight of services rendered by their respective departments, and that Ward Councillors are in the best position to provide political oversight.

Other submissions offered broader perspectives on the future existence of provinces. The University of the Free States faculty of humanities suggested that a lack of unanimous support for the continued existence of provincial government was contributing to a limited understanding of the place of provinces in the national system. Yet others felt that the people of a province would have to properly mandate its future existence. Examples included a referendum, and the creation of an Election/Referendum (LE/R) system, using the lottery network for regular referendums on issues to determine the answers to these questions (R. Swanepoel and Associates). A further submission argued that debating the future of the provinces needed to include their important role in the development of democracy in the country (Institute for Democracy in South Africa, IDASA). Finally, the Nala Municipality submitted that: Whether or not we still need provinces is irrelevant. Our focus should be how we effectively deliver basic services to our communities.

A small minority of submissions made proposals that have not featured prominently in the debate on the future of the provinces. In one case, a proposal appeared to argue that provinces limit their activities to shaping national legislative and policy

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prescriptions, whilst executive functions would be performed exclusively by national departments. In this scenario the provinces would be the interpreters of national policy and legislation, where, They do not have to be implementing agents. National departments could set up offices in each province to perform the functions of the current provincial departments. (CIE).

The second part of the question asked what criteria should inform whether provinces are retained or not. Criteria suggested in the submissions included: Economic viability, rationality and sustainability, where the functions and demarcation of provinces should be sensitive to economic rationales: o A related concern for cost-effective supervision o A related concern for resource scarcity.

Geography (size, distance, span of control nearest to delivery/power regionalised, addressing imbalances), demography (including population density), cultural promotion and improving the cohesion of communities.

Historical performance in carrying out functions, namely where functions can be best exercised.

Functions that emphasise a variety of oversight or support roles that are either currently being performed by provinces (however limited), or that could be performed, including policy development and co-ordination, service delivery oversight, equitable distribution of resources, technical support and capacity building, as well as performing functions of a regional nature.

Funding source: mixed, with most submissions calling for retention of national funding. A few contributors did however moot own-income generation by provinces, including provincial taxation where viable.

Some submissions recommended looking at models applied elsewhere in the world, such as in Australia and Canada, where this could provide maximum flexibility at provincial level.

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2.5

LINKAGES AND CONCLUSIONS ON GOVERNANCE

The public responses to the key governance issues facing local and provincial governments in South Africa generally covered the deepening of local democracy and the functioning of political and administrative structures and institutions. An analysis of these issues could begin with the observation that several submissions referred to the relationship between distinctiveness and interdependence of spheres as conveyed in the Constitution. As soon as inter-relational problems were discussed, many submissions reverted to the term level rather than sphere. This raises the question whether spheres should not become tiers again in order to facilitate greater clarity of mandate?

Structure, the way government is formally organised, is the second starting point for assessing the present functioning of sub-national government. At least two aspects of structure received attention: external and internal.

External structure refers to the way provinces, district municipalities and local municipalities are related, particularly with regard to concurrent mandates. In many areas of service delivery provincial officials operate at municipal level, without any communication with related municipal structures. The functional mandates of these sub-national spheres are sometimes confusing, with some shared between provinces and local government. There is also a lack of clarity about the division of mandates between district and local municipalities. Many submissions emphasised the point that mandates should be allocated to the sphere or level which can manage the specific tasks in socio-economic development or service delivery most effectively. Although it was usually acknowledged that local capacity and context determine this ability, many submissions questioned the need for such a complex structure if a simpler one can deliver more effectively. Such simplicity applies to both vertical relationships (between levels of authority) and horizontal linkages (inter-departmental and inter-municipal relations).

Government is also internally structured, in departments, units and sections. The complexity of external structures also impacts on the functionality of internal

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structures. In this regard, horizontal relations within each sphere remain problematic, with departments, units and sections sometimes working in isolation or within silos, despite their participation in IDP processes. This is in stark contrast to the imperatives of integrated service delivery and integrated developmental government.

Restructuring of sub-national government can take different options. Some submissions argued for leaner provincial governments, which would either act as the direct agents of national departments or refocus their attention on providing greater support to local governments. Both of these options would, however, depend on provincial departments housing a highly concentrated corps of senior officials capable of overseeing the implementation of national policies or providing direct assistance to more substantially capacitated local governments. Whichever orientation provincial governments adopt, there seems to be a common denominator in the injection of greater functional flexibility to expedite the delivery of services and programmes.

Many submissions emphasised the current duplication in functions of DMs and LMs, the lack of co-operation and the inadequate capacity of DMs. Restructuring could take two directions. First, as most submissions advised, DMs could be dissolved and their staff and resources allocated directly to LMs. Many submissions viewed cities as better entities to guide smaller towns and rural areas. Dissolution of DMs would only work in areas where LMs have the capacity to deliver services in the whole geographical area. In some deep rural areas DMs seem to be necessary as no strong towns or cities are available to take over a DMs functions. Another option would be to make DMs mere oversight structures that promote integration of service delivery and function as a communication channel for provinces. It appears that a more flexible approach to DMs and LMs is required, where effectiveness and efficiency are the criteria for the continued existence of DMs.

Improved structures in sub-national spheres would only increase service delivery if concomitant processes and procedures were to be established. Both external and

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internal processes and procedures related to structures in these spheres should receive attention.

External processes relate to the interactions between the three sub-systems as well as with the national sphere. With unclear structural arrangements, external processes are predictably problematic, often duplicating or contradictory and eventually hampering the capacity to deliver. A typical example is that of Integrated Rural Development. Submissions generally agreed on the urgent need to improve the implementation of the Intergovernmental Relations Framework Act (No. 13 of 2005) (IGRF) and in particular the employment of memorandums of understanding (MoUs) between various departments and levels or spheres, with a warning that these MoUs should be implemented.

Internal processes also need to be improved. Central to this improvement is creating clarity about roles and responsibilities, and increasing effective community participation and accountability of both politicians and administrators. At a local municipal level there is a need for both standardisation of minimum requirements for processes, and flexibility in application taking into account specific localities. This is a requirement for improved community participation, increased

accountability and for more effective management. Standardisation should lead to simplified procedures. Allowing flexibility requires monitoring and provinces should be geared to do this.

From submissions it is clear that there are no clear-cut, one-size-fits-all answers. Problems and solutions seem to depend on many variables, such as specific economic situations, geographical location, and political context. Whatever solution to policy and structure is selected, its impact depends on the capability of role players to deliver under the new conditions. If provinces are obsolete can national departments take over? If DMs are obsolete can LMs take over? And who will be responsible for oversight while actors lack capacity?

The solution for many problems seems also to depend on cross-cutting issues in governance such as the following:

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Clarity of roles and functions of role players: Are roles clear and worked out in policies, and are they reflected in the actions of administrative structures and procedures? How do roles and functions in various departments relate to each other? Is there a logic that guides cooperation?

Interrelationships: Are there mechanisms to facilitate the inter-relationship between and within each sphere or level, and between politicians and administration in a LM or between officials in DMs and LMs? Do national and provincial policies make provision for flexibility at local level, or from another perspective, do national and provincial role-players factor into their planning the impact of localised flexibility in delivery on national or provincial policy objectives?

Capacity: Do sub-systems have capacity for their mandates, and if capacity were to be increased would that resolve problems? This would apply to policies (for example on accountability and corruption), structural capacity (more, fewer or leaner departments), skills (professional, conditions for appointment), resources (human, funding and management).

Distance: Capacity is influenced by physical, political and social distance. Are current DMs too large for effective service delivery? Are resources available for full coverage of DMs or provinces? Do politicians relate to the prevailing circumstances in communities, for example should ward councillors be elected by their ward, and do provincial politicians visit their whole province? How do officials relate to the communities that they serve?

Availability of accurate data: It seems that monitoring, evaluations and reviews are not delivering results due to lack of consistent and reliable data. Are data sets compatible or consistent so that regional and provincial pictures reflect reality and efficient resource allocation can take place? Is local, district and provincial data compatible with that from Stats SA?

Accountability: are sub-systems effective and efficient in terms of their priorities and mandates, for example do DMs deliver or can ward councillors 42

be held accountable? If not, why not? Is accountability a structural or a procedural issue, namely do councils have the opportunity to critically examine executive council decisions? Is lack of accountability due to lack of policy or is it due to incompetent or uncommitted executives or implementers? What is the role of performance assessment in increasing accountability; is it structured or ad hoc, and does it really take place in an impartial way?

Communication: this seems to play a key role in most governance problems. Are existing structures and processes effective for facilitating

communication, for example between councils and communities? How can communication improved? between various sub-systems and departments be

Questions about governance are complex. Structural solutions may not resolve process or human resource-related problems, and a leaner structure may place more pressure on people and capacity in other structures. On the other hand, good structures will only function well when competent and committed human resources operate these structures.

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3
3.1

DEVELOPMENTAL GOVERNMENT
MEETING BASIC NEEDS AND ENABLING DEVELOPMENT

3.1.1 Service delivery and Infrastructure

The question asked was how partnerships can assist to improve service delivery?

a)

Recognition of the need for partnerships

The responsibility for service delivery is divided between provincial and local government. Yet, within the concept of developmental local government, municipalities are responsible for integrated service delivery, which could imply the full range of services that communities need. Most submissions acknowledged that most municipalities do not have the capacity to provide all the necessary services required by the community, hence the need to forge partnerships with nongovernmental organisations (NGOs), community-based organisations (CBOs) and the private sector. The National Treasury argued: Partnerships between municipalities and the public sector, the private sector and the community and NGOs and CBOs are key options for municipalities to rectify infrastructure deficits and disparities. With regard to the private sector, it is particularly its skills in the areas of finance and management that are attractive to local government (Hibiscus Coast LM). With regard to communities as partners, this applies mainly to shared roles (Kagisano LM). This is confirmed by the GDLG: Public-public partnerships, especially community-driven partnerships, are useful in instances where a municipality would like to empower local communities to take charge and ownership of service delivery and/or initiatives geared towards building skills and where a particular service could be delivered better using local communities in the various groupings. These organisations can raise the capital needed (material, financial and human) to promote large-scale projects with high impact. Community organisations are responsible for making inputs into the IDP process and monitoring implementation. They should also be included in the disaster management technical team. The ILGM remarks: Some out-sourced municipal activities should not be very expensive as contractors have lower overheads. ADAC states: NGOs can play a role in the delivery of social services through 44

offering expertise that government does not have. By forging partnerships, NGOs and CBOs can assist in bringing investment to the communities. However, publicprivate partnerships (PPPs) are not applicable in EPWP projects (Limpopo Department of Sport, Arts and Culture (DSAC).

b)

Types of partners

Private sector entities are often seen as partners that can speed up and maintain service delivery. Indeed PPPs can increase municipalities delivery, particularly where efficient management or high-technology is important. Access to hi-tech solutions is becoming increasingly important in many fields, for example broadband communications, solar energy, water purification and so on. GDLG suggests: the use of [short message service] SMS technology for billing information for services, downloading application forms, notification on availability of grants, performing queries [and] disaster and emergency planning.

The Eastern Cape Office of the Premier suggests that: A conscious effort should be made to build social partnerships with social stakeholders including traditional leaders; that the participation of Kings, Queens and Chiefs in the councils should be legislated and they must be paid.

Agri SA points to the importance of partnerships with the farmer community: Farmers can be given incentives (such as tax breaks) to further support socioeconomic initiatives.

The South African Municipal Workers Union (SAMWU) has problems with involving the private sector in service delivery: Private sector should only be involved in investment in industry and not in service delivery. Service delivery should rather involve community partnerships.

The National Department of Public Works (DPW) views NGOs and CBOs as possible partners: NGOs and CBOs could assist local government in delivery of social and welfare services and in providing technical capacity through making skilled personnel available to alleviate the current skills shortage.

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Randfontein LM has identified the youth as partners: Youth forums must be established irrespective of their political leaning and municipality must co-ordinate them. Furthermore: A possibility of the establishment of community farming can be explored.

c)

Partnership with the community

Much service delivery can be low-tech. ECCS argues: Give priority to local pool of labour in delivery of services before introducing technology. Businesses, CBOs, NGOs and traditional leaders could help to mobilise communities to inspect and monitor infrastructure. They could also nominate people to act in an advisory capacity. Privatisation of delivery of services, where the private sector can deliver a service at less cost and with more operational efficiency than a municipality, should be considered. Partnerships should also be structured to prioritise, improve and expand service delivery through joint ventures.

Transparent communications are important in forging partnerships. Community partners do not necessarily understand the government system, which could lead to abuse or misunderstandings about procedures and legislation. Louw warns that, for example, grants in aid projects should be discussed with non-profit organisations (NPOs) before being published in order to prevent conflict at a later stage.

d)

Areas of partnerships

The purpose of partnerships is the improvement of service delivery, from needs analysis through planning and funding to implementation and monitoring. Regarding needs analysis IDASA suggests: Undertaking joint research, analysis and assessment of performance and delivery into specific areas of the rights discourse are areas that could be considered for such partnerships.

In terms of implementation, communities or small firms can do several services. According to IMASA: They should be allowed to be involved in service delivery such as refuse removal, park/garden maintenance, etc. to promote a local sense of ownership.

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Partnerships are also needed for advanced technology, which opens avenues for improved service delivery. New technology can build capacity for service delivery. George LM: The utilisation of IT/Computer mediated technology can hugely be improved in municipalities. The distribution of agendas, changes by multiple authors on documents and the timely response to queries and problems are some examples of how IT/Computer mediated technology can assist municipalities to render services more efficiently, to reach customers more frequently, to reduce the decision-making time on service delivery decisions and to save on paper. In addition, new technology must be shared through open systems. Payment of services can be done electronically, so municipalities should install appropriate technology to support their services. Municipalities must tap into the technology provided through the Thusong Centres to make municipal services accessible to communities. This technology must be available. Eden: There should be a central database of innovations and new technologies that have been developed. Too much duplication is taking place and time and resources are wasted in trying to achieve the same results. One example is GIS, which should be available to all municipalities.

e)

Problems with partnerships problems. The Small Enterprise

However, partnerships are not without

Development Agency (SEDA) warns that: PPPs only work where there is a clear win-win relationship between the parties, and where the roles and responsibilities are clearly identified. The set-up of PPPs is critical to ensure that all parties contribute and share the results. Also measures need to be put in place to deal with non-performing parties. The management of PPPs is critical and should not be underestimated. Through PPPs, if properly managed, projects can be implemented faster and more efficiently, and services may be delivered better. However, PPP is not always the solution for more economical service delivery. These problems particularly apply to small local municipalities, which usually lack capacity or skills to manage partnership contracts. One way to address this challenge is to establish a central PPP office in the National Treasury, which consolidates and advises (Project Consolidate). It is also difficult to forge successful partnerships within the current legislative environment. SALGA states: The legislative framework, in particular the MFMA and the Municipal Systems Act, has made it increasingly

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difficult for local government to enter into service delivery partnerships with public institutions, the private sector and NGOs. The Municipal Structures Programme (MSP) remarks: The process prescribed by legislation is viewed as onerous; private sector is not willing to enter into partnership arrangements with municipalities that have insufficient funding. This is confirmed by Saldanha LM which points out that: It is virtually impossible to meet the requirements of an unsolicited bid, in terms of the provisions of the MFMA, when municipalities are approached in respect of innovative products. Eden DM suggests that: The process of establishing public-private partnerships (PPPs) needs to be simplified in order to implement the concept. IDASA points out that: Resistance and misunderstanding from the side of local officials and mayors leads to lip-service being given to compliance requirements to involve communities. On the other hand, citizens and / or NGOs acting on behalf of communities cannot and should not take over the role of local government as a sort of second government. The policy review must propose a relaxation of the strict legislative regime. And ADAC confirms that: A special framework should be considered for employing NGOs to deliver services.

On the other hand, there are concerns about privatisation. AZAPO points to the tendency for increases in costs and corruption. Service contracts (between municipalities and service providers) are often too long and difficult to understand and mostly advantage the service provider and transfer risk to the municipality. Transnet warns: Very stringent and measurable targets need to be set and monitored. Often these Public Private Partnerships (PPPs) run the risk of failing because of the lack of monitoring and contract management. Disputes are presently dealt with through arbitration. The Centre for Applied Legal Studies (CALS) at the University of the Witwatersrand suggests: Municipalities should opt to pursue the court option in a dispute resolution instead of the arbitration route, because there needs to build up a substantial legal precedent for interpretation and enforcement of PPP contracts. This will promote transparency in PPP contracts.

Clearly, it is important to integrate these partnerships and service delivery mechanisms into municipal plans. As the GDLG states: Public-private partnerships must enable the municipality to achieve its service delivery targets and these must

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find expression in the IDP and key policies in the municipality, and be made an integral part of the Performance Management System. This implies regular reassessment in view of changing development priorities.

f)

Building capacity for partnership development

Municipalities must build their capacity for partnership management. GDLG: Public-private partnerships must enable the municipality to achieve its service delivery targets and these must find expression in the IDP and key policies in the municipality, and be made an integral part of the Performance Management System. Polokwane LM: Municipalities should identify and develop a data base of all CBOs and NGOs and engage them in Council activities. This will enable them to proactively develop partnerships (PSC). Partnerships can be between larger and smaller municipalities, as Nelson Mandela Bay Metro suggests: Big cities must establish twinning agreements with smaller municipalities so that there can be an easy way of sharing of knowledge or systems, experience and innovation, etc. Big cities must also help small towns in implementing some identifiable projects. Alternatively municipalities can partner with universities for training (Project Consolidate).

IDASAs local government barometer pilot project in five district municipalities has identified capacity gaps and specific areas needing intervention. They provide a fruitful basis for developing public-private-community partnerships to address challenges facing municipalities.

Some CBOs and local firms provide excellent services. According to Khanya-aicdd: To upscale the role of NGOs and CBOs it is essential to use existing NGOs providing high quality services to mentor smaller CBOs along the lines already being practised by NGOs such as the CHOICE Trust and Khanya-aicdd.

Partnerships should include capacity building of the partners to ensure compliance. The CIE suggests: NGOs, CBOs and local communities providing services in the municipality need to be supported financially where possible. Furthermore CIE suggests: Manuals need to be produced in local languages detailing processes

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that stakeholders can use to establish partnerships and then to define how they will work.

3.1.2 Managing service targets and expectations and addressing inequalities

Questions under this theme dealt with how local municipalities can manage meeting national service targets and community expectations, and addressing inequalities?

Although, according to recently released Community Survey data substantial progress has been made in addressing service delivery, (Treasury) municipalities still face major backlogs in extending basic services to all communities. Existing infrastructure is deteriorating due to lack of maintenance. As the DA Caucus

states, even larger municipalities tend to spend resources on sustaining the organization thus diverting them from service delivery. On the other hand: The 40 000 vacant posts at national and provincial government make it difficult for national and provincial government to assist local government, as ADAC states.

IDASA warns that: Communities are beginning to express rising levels of dissatisfaction with tardy basic service delivery, provision of housing and economic upliftment through resistance protest action, as perceptions of gross social inequalities increase and spread. ECCS confirms the backlogs: Theres room for improvement in land access & affordability, capacity improvement in local government, integrated town planning, etc. The belief that democracy does not work for the poor and unemployed is growing.

a)

Improving funding

To enhance the meeting of national service targets and address inequalities, funding to local municipalities must be improved. The equitable share formula should be revised to factor in the needs of a municipality and its capacity to levy property rates. According to Kheis LM, The role of municipalities has been increased since 2000 but the funds from Treasury are still according to the population figure census 2001 irrespective the increase in population. Funding

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should be channelled directly to municipalities, especially metros, and not through provincial governments. This is directly linked to delegated powers and functions. Provision should be made for continuity, as ADAC states: Grant funding should be made available in a suspense account to municipalities so that the funds are not forfeited at the end of a financial year.

Furthermore, CIE says that: A culture of good service needs to be promoted with a response from the public of a culture of payment. Mzumala LM confirms the need for payments: Increase revenue from all households. The need for payment also applies to government departments that are served by municipalities, according to CIE, Government departments need to pay their debts to municipalities so that basic service can be extended more quickly. Such payments should include RSC levies (GDLG).

There must be a suitable funding mechanism for the provision of social and related amenities and infrastructure in human settlements and there should also be a framework for the provision of temporal basic services within informal settlements. To improve the situation of housing, new up market housing proposals should all have a low cost element, according to SALGA.

Eskom argued that: Electricity distribution should be made exempt from all Sections of the Municipal Systems Act and Municipal Finance Management Act which allow municipalities to set tariffs for services delivered within its area of jurisdiction. Effective regulation of pricing and services standards through NERSA is sufficient.

Town planning needs to be improved. Some infrastructural projects take time to design and therefore consideration should be given to major projects spanning a number of financial years.

b)

Delegation of powers to municipalities

Too many provincial and national departments are involved in local delivery. SALGA FS remarks: Relevant national and provincial (in terms of the services that local government render e,g. Health care, housing etc) must assign the appropriate

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powers to local govt in terms of Cabinet approved assignment framework. This includes the need of reassignment of funds. For example, Local municipalities and districts must be able to convert subsidies for VIP toilets to be utilized for flush toilets if it is preferred by communities, (Central Karoo DM). However, when

delivery fails, municipalities are often accused, even if the particular service belongs to provincial or national government (Saldanha LM).

Where national and provincial governments are unable to use their budgets due to capacity, joint programmes with municipalities need to be entered into to make use of available capacities. Where necessary this should involve private-public partnerships to ensure delivery, says CIE.

c)

Building capacity in municipalities

Another major problem identified is the lack of technical and managerial capacity in municipalities to manage functions allocated to them. Skilled personnel must be employed to fulfil technical functions. All officials must be aware of the need for compliance with the MFMA and that financial management is a core function of all officials (Limpopo DSAC). Assistance seems to be needed especially with planning processes. National and provincial departments should provide guidance to municipalities on the collection of revenues due to them (Treasury). Training in strategic planning must be given to municipal managers, section 57 managers and IDP officials to ensure development and review of IDPs. However, capacity (for example human resources) is the problem as smaller municipalities battle to keep qualified and experienced employees as they get offered bigger salary packages by other municipalities. Also one must bear in mind that smaller municipalities have limited sources of funding and the national guidelines compel municipalities to cap their salary bill at no more than 30% of their total expenditure (Nelson Mandela Bay Metro). According to the GDLG there is a need for, skills sharing between spheres of govt. Necessary to have a Scarce Skills & Incentive policy to attract and retain capacity. One approach is the establishment of a single public service that allows for personnel allocations to needy municipalities. Eastern Cape (EC) Treasury recommends that: Low capacity municipalities require both technical and financial support. Bursaries on the relevant areas of study on local government should be issued to learners residing in these areas, with a view to employing them

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as interns and later on full time basis in these municipalities. The PSC recommends that: A School of Local Government can be considered to strengthen capacity and ensure the standardization of norms.

According to the HSRC, there is a need to increase levels of provincial technical and planning support to municipalities to meet service delivery challenges and especially in important strategic areas like tourism that cut across municipal boundaries. The secondment and/or transfer of skilled and experienced employees between the three spheres of government should be encouraged. Through this process skills transfer will also take place, according to the PSC.

Increased capacity at municipal level will result in increased revenue. Project Consolidate mentions several ways of improving such capacity: Correct costing of service delivery, billing system effective; update software; remove customer care from Finance to Community Services and municipal manager (MM); raise public accountability through Standing Committee on Municipal Accounts.

Government regulators should also become stricter and force government to adhere to standards. As Eskom argues: the regulator should exercise powers to consolidate ineffective electricity distributors into effective distributors in such a manner as not to threaten municipal finances or their ability to ensure effective service delivery. A regulated municipal surcharge and service delivery according to NERSA regulated standards could address such concerns.

c)

Shift from short-term to long-term planning and implementation

The Treasury argues that: There must be a commitment to long-term planning, budgeting, funding and spending from all political parties. Put in place appropriate mechanisms to ensure that long-term strategies are implemented. Also plans must provide for possible change of direction every five years. This was cited by Frieda Human: 5-year IDPs should be developed in consultation with communities, and IPM confirmed: Align five year budgets to the vision, objectives, indicators, projects and processes of the municipality. This is only possible when, the departments dealing with the delivery of basic services, such as housing, electricity and water and sanitation share their master plan with their municipalities. as SALGA Free

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State argues. Project Consolidate made some far-reaching proposals: In the shortterm DPLG to drive planning process at a national level; coordinate all departments; long-term establish national department of economic development and infrastructure planning; LM to plug into this department through SALGA or other ways; coordinated implementation and regular revision, increase standards over time; ensure funding. Another way is to appoint a roving auditor (Transnet).

Some submissions proposed ways to improve instruments for local delivery on an ongoing basis and to make responsibility for service delivery a key performance area of each manager. Provincial government should set a delivery model to assess the performance of municipalities. We recommend directing processes toward creating smaller local government. Small local government is better placed to achieve greater efficiency and deliver better service. DA Caucus.

d)

Improving the effectiveness of the IDP

The IDP system seems to be theoretically sound, but municipalities often lack the capacity to do proper planning and implementation, including community consultation. Involving consultants requires contract management by municipal officials, who need training for this purpose.

e)

Satisfying needs that are based on solid analysis in line with national priorities

Municipalities need to put formal communication strategies in place that provide feedback on expectations and the extent to which they can be met within set time frames. A monitoring mechanism must be developed to determine whether the agreed strategy has been followed. As the North West Department of Agriculture argues, there is a need for greater clarity in and between the various policy frameworks that regulate the delivery of basic services; current funding arrangements supporting basic services are insufficient.

Inequalities and redress are national priority areas. The NCPG stated: In municipalities that we know, both capital and operating budgets are not sufficient to address backlogs on service delivery. This is further exacerbated by high indigent rates especially in rural municipalities. The disproportionate allocation required to

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municipalities of this nature, can be addressed through the use of the revenue generated at a national level; coupled with the concomitant capacity at the municipality.

There are several ways to address this issue. First, national standards must be set. Ward 16 of Richmond LM suggested that: A quota system must be applied. Women, disability, youth, promote joint ventures, local service providers, historically disadvantaged individuals (HDIs) to get points. However, the local context must be taken into consideration, and black economic empowerment (BEE) and affirmative action (AA) policies must be realisable within poor municipalities. AA does not make sense if it delivers weak services. Second, a monitoring system must make provision for report back on progress. This involves better education of people, as CIE argues. Third, necessary resources must be made available, for example in housing delivery. As Nelson Mandela Bay Metro argues: The allocations such as [the municipal infrastructure grant] MIG must be upped for poor municipalities, instead of concentrating in so called big Metros who sometimes cant spend their full allocations. That will assist small municipalities in bringing visible services to the people. However, as the ECPG warns, Tension exists between growth targets and inequality targets. Investments must also deliver returns, and those in well-developed areas must deliver a higher rate of return.

f)

Communications

Regular report back mechanisms for municipalities must be established. There is a need for a comprehensive Municipal Information Management System (MIMS), which will support planning and project management. Out of this then accounting data can be derived, says the Department of Social Development (DSD). This system could include compulsory sessions on community radio stations. IDP report forum meetings should be used as platforms to report on the progress of service delivery. Up-to-date websites with relevant information, community notice boards, newsletters, ward newsletters and proper public participation will promote community knowledge about council activities. Information can be improved by the appointment of a communications officer (even part-time) whose duties will be to disseminate information on the progress of the council on matters of public interest according to the Amahlathi LM. Agri SA proposes: Utilize the same procedures as

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prescribed towards interacting with communities in terms of for example the Property Rates Act.

g)

Monitoring, evaluation and improvement of services

According to IDASA, It is important not only to appeal to poor people to be patient with factual information about what will be delivered in each fiscal year, but also to develop closer ties with civic and community organisations that seek to track the flow of these funds and monitor the quality and impact of the services that these funds purchase for vulnerable communities.

There is a need for nationally designed monitoring systems, as Ndlambe Ratepayers Association points out: National to establish monitoring and evaluation and management systems; province to audit service delivery establish project management systems and hold officials accountable. According to AZAPO, Some NGOs and institutions of higher learning are best suited to be monitors and advisors. As service delivery occurs through different departments and spheres, intergovernmental forums must be held to track the achievements of municipalities. This can be improved if Chapter 7 of the Constitution, section 156(4), is adhered to in terms of devolving powers to levels where matters can be managed more effectively. This implies that there are set standards for service delivery, as Sol Plaatje LM argues: Service standards need to be formulated for municipal service delivery; such standards would enable a uniform approach with regard to monitoring and evaluation and provide an accurate basis for assessment of the quality and capacity of service delivery. Eskom confirms this: The Minister of Minerals and Energy will prescribe compulsory national norms and standards for reticulation services. The Regulator will monitor and regulate the performance of all distributors in complying with the regulations.

Ultimately service delivery depends on the quality of work done by municipalities. The capacity of senior managers is a problem. The Ndlambe Ratepayers Forum pointed to the reality that often, Section 57 directors are too highly paid; and have a low work ethic.

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3.1.3 Local economic development The question asked was how the role of municipalities should be defined to ensure local development?

Worldwide cities are recognised as drivers of economic growth and they attract highly capacitated individuals. However, in South Africa this does not happen in many instances, partly as a result of lack of clarity on what development is, particularly in a local context. Louw pleads: Lets all be clear on what we mean by local development. Definitions often depend on the local context, thus requiring local analysis and local knowledge.

a)

Current definitions

Some submissions agree that the functions currently defined in the Constitution and in legislation are sufficient. Nala LM finds that: The current definition of developmental local government is relevant and appropriate to the current challenges. However, the functions are complex and require expertise for interpretation within a specific local context.

b)

Redefinition of roles

The redefinition of the role of municipalities that is required is not so much a change of approach, but rather a simplification of the format and requirements allowing for more local flexibility. The role of local municipalities should be participatory and defined in such a way that it takes responsibility and accountability for the development of the whole community, ensures quality of life through playing a role in the improvement of life expectancy, the reduction of morbidity and mortality rates and in making all sector departments responsible for the development of the municipality. Thus, They must adopt a basic needs approach to development and the Batho-Pele principles, according to Sol Plaatje LM.

Basic service delivery, as planned in the IDPs, should fit the broader development vision, as the ILGM argues: Each function should have development as the key goal, e.g. provision of water should go beyond life sustenance, but as a catalyst for development, e.g. vegetable gardening, etc.

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c)

Mechanisms for improved local development

There are many ways in which municipalities can improve local development. Amahlati LM suggests that: The local council must be more business oriented by setting achievable goals to attract industries; this should be done with all stakeholders. This is confirmed by the Northern Cape Department of Education (NCDoE): Increasing employment opportunities in the rural and poor areas is the main sustainable strategy. The judicial use of EPWP projects and encouraging businesses to locate in these areas is also an option. Municipalities should implement local economic development (LED) strategies, including people-centred strategies implemented in a transparent manner in partnership with provincial and national government. They should also be given the power to provide economic incentives to promote local economic development as other spheres take too long to decide on requests by local government and this inhibits economic growth.

Explore public-private partnerships further, argues Sol Plaatje Municipality, only businesses can bring work that is sustainable.

The promotion of a healthy and safe environment is critical in development. Municipalities should therefore, think globally and act locally on environmental issues. Community based natural resources management (CBNRM) offers many opportunities for community-public-private partnerships, argues the Transform Project.

Local development must be made part of officials performance agreements, according to the NCPG. This will ensure that people are held accountable for their work in planning and implementation.

Local development requires adequate information. For this reason Nkonkobe LM proposes that, municipalities should be part of the census process and must monitor it to ensure accurate statistics and census officers should be from the local communities. Adequate information also requires information collection and processing systems, for which hi-tech capacity can be obtained through PPPs.

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3.1.4 IDPs, growth and development It is often assumed that IDPs contribute to growth and development, but respondents were asked how this should happen at municipal level?

a)

Defined roles of IDPs

IDPs are compulsory mechanisms for guiding integrated development planning in municipalities. The principle of this function is generally clear. According to the Eastern Cape Office of the Premier: For municipalities, IDPs is a compliance issue not to even mention implementation. However, certain municipalities are not taking IDPs seriously, which makes it the problem of others.

b)

Potential of IDPs in local development

IDPs have significant potential as development tools as Nelson Mandela Bay Metro says: At least all stakeholders are able to see commitments by municipalities, and they can be held accountable for promises made in the IDP. Khanya-aicdd: IDPs have enabled municipalities to reassess priorities, and focus on wider issues. The CIE agrees: Where councils are economically viable IDPs are contributing to social development and encouraging growth and development. The problem is that not all municipalities have the funds for this type of IDP. There are sufficient success stories in municipal planning. However, this mainly applies to larger municipalities and metros that have the capacity for IDP processes. Smaller towns depend on consultants, who could be used for capacity building. However, this does not necessarily happen, as training by consultants is expensive.

c)

Limitations and problems of IDPs

Particularly in smaller municipalities the IDPs do not function well. NCPG points to the fact that: Currently government service delivery is fragmented. Service delivery departments and municipalities operate within silos, and provide only their own services to the public. SALGA adds: IDPs do not function as they generally have little strategic focus. Most municipalities do not have a clear understanding of development planning. Consequently most municipal IDPs do not reflect the challenges in that municipal area.'

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Some municipalities complain that the IDPs are too prescriptive. The situation of local government differs dramatically across South Africa and the legislation should bear this in mind. Smaller municipalities tend to outsource their IDP planning process, losing control in the process. Eastern Cape Office of the Premier: Municipalities must take ownership of IDPs. But even when IDPs are drafted, according to Swanepoel and Associates, Due to lack of capacity, skills expertise and because funds are often not used for the intended purpose, the IDPs do not come to fruition.

d)

Conditions for effective functioning of IDPs

IDPs can work and indeed do work in many instances. However, sustainable effectiveness depends on specific conditions. Interestingly, many of these conditions have been mentioned in IDP guidelines, but seem to get lost in the practice at municipal level.

Several submissions emphasised the need for a municipal development vision which on the one hand links to national and provincial development programmes, and on the other hand, optimally encompasses local needs and interests. For example, City of Cape Town (CCT) proposes that IDPs should: include the development of an Integrated Infrastructure Investment Plan for the municipal area, inclusive of national, provincial and local government. The need for linkage to other spheres emphasises the importance of intergovernmental co-operation and the free flow of information about national and provincial development plans, for example through regular forums and focused briefs.

Based on the municipal development vision, the IDP must be made strategic, so that it guides long-term development rather than short-term projects. According to the CCT IDPs should: provide a framework for addressing strategic goals and plans. IDPs should focus on integration and to leverage growth based on local strengths and opportunities. IDPs should be more strategic and less compliance focused. Such strategies are derived from municipal policies and council decisions, not ad hoc responses to crises or interventions by consultants.

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In order to prevent disjunctions and disparities in the IDP, it must be robustly structured in terms of its planning as well as its implementation. Structuring of IDPs is well-described in the DPLG guidelines but needs adaptation based on the local context, rather than standardisation. Implementation is the proof of the pudding, and it is particularly at this stage that the IDPs tend to fall apart, particularly when faced with realities that are usually more complex and challenging than they appeared in the design rooms.

Effective implementation requires clear performance indicators that reflect the policies, council decisions and formulated IDP plans. Performance indicators enable the enforcement of compliance. As the Limpopo DSAC argues: Strict compliance to the framework and time frames should be achieved. Such monitoring and evaluation (M&E) systems should be managed by the mayor or mayoral committees, and involve community organisations or ward committees. Controls should compare the outcomes with the intended products as specified in the IDPs. The PSC suggests that: Perhaps it should be a standing rule that Departments in their Annual Reports should demonstrate where they have successfully participated in integrated service delivery.

For councils to monitor and evaluate implementation and compliance an effective monitoring and evaluation system must provide timely feedback and response. IPM warns of the need to: Put in place appropriate tools to measure, monitor, evaluate and report with.

As in other sections in this report, these proposals imply the need to build the necessary capacity in municipalities, among all role players and at all levels.

Several submissions emphasised the need for a competent and politically neutral driver or facilitator of the IDP process, who ensures that all IDP aspects are coordinated and united. The NC DoE refers to a dedicated driver of integration and the team working on IDPs should include project managers, consultants and others with the necessary skills and experience in order to make them successful. This includes the deployment of dedicated provincial officials in the planning and implementation processes (Central Karoo DM).

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Lastly, IDP is about service delivery to communities, which necessitates the involvement of the affected communities in all aspects of planning, implementation and evaluation. This approach requires a shift from the existing consultant driven process to a short, intensive, facilitated process based on community-based planning (CBP) methodology (Khanya-mrc). Participation Junction (PJ) confirms this need in practical terms that include the following elements:

Meaningful involvement of Civil Society in the IDP process from its inception Timelines to make public participation an ongoing process Access to information by communities should be reflected in the IDPs Create real opportunities for broader consultation and input by the community and grassroots organisations and forums by changing existing guidelines to be mandatory through amending legislation; and

Inclusion of ward committees in the IDP process on an ongoing basis.

3.2

PROVINCIAL SOCIO-ECONOMIC REALITIES

Respondents were asked to comment on how the provinces have contributed to the reduction of disparities and socio-economic inclusion and exclusion; and what the socio-economic developmental role of provincial government should be, including what instruments, levers and tools it should possess to effectively perform this function.

A poor overall response of less than 30 submissions to the questions on provincial socio-economic realities indicates that more concentrated attention needs to be given to this issue. This is linked to concerns about the extent to which provinces have the space to define their socio-economic planning priorities, independent of but not necessarily in conflict with, national planning concerns. In addition there is little on-the-ground evidence to indicate how effectively provincial socio-economic realities have been served by planning processes. In the broader context of the policy review process, concerns about the extent to which provinces have carved out an effective planning framework to respond to their distinctive socio-economic

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realities impacts on how effectively such frameworks can compliment and support municipal development planning initiatives.

In his overview of the state of inter-governmental planning for the South African governments Ten Year Review study, Timothy Layman (2003: 23) 3 observed that national and provincial strategic planning, unlike municipal IDP planning, did not have a spatial dimension, with the result that plans are seen as statements of intent in that they do not have a spatial and geographic impact. This observation impacts on effective definition of a provinces socio-economic realities. He added at that: Provincial growth and development strategies either do not exist, are dated, or do not speak to municipal and national plans (Layman 2003: 23).

A more recent overview of provincial development planning, this time for the Governments Fifteen Year Review research study (Merrifield, Oranje, Fourie 2008: 35) 4, indicates considerable improvement in the availability and quality of provincial development planning. The authors of the study reported the following: Our conclusion is based on a number of positive developments. Firstly, all of the provinces with the exception of KZN now have approved [provincial growth and development strategies] PGDSs, two have fully reviewed their PGDSs (Free State and KZN) and six are in the process of refining their PGDSs (Eastern Cape, Gauteng, Limpopo, Mpumalanga, Northern Cape, North West). Secondly, most provinces have strengthened their provincial spatial analyses and strategies.

However, the authors, recalling a 2007 assessment report on provincial growth and development strategies by the Presidency added that there was, little evidence that these intentions [in PGDS] have been translated into practice with the planning processes still being separate from the budgeting decisions. They went on to note that the assessment report in question also commented critically on the strategic engagement of provinces with municipalities which remained weak in most
3

Layman, T. 2003. Intergovernmental relations and service delivery in South Africa. August 2003. Available from: http://www.sarpn.org.za/documents/d0000875/index.php (Accessed 7 April 2008). 4 Merrifield, A., Oranje, M., Fourie, C. 2008. Dialogue or Control? The future of planning in South Africa. Draft report prepared for the Presidency, Republic of South Africa, and GTZ

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provinces (Merrifield, Oranje, Fourie 2008: 36). Finally, the authors reported that there was a lack of clarity in PGDSs on how objectives, targets and actions would be addressed, taking into account investment and spending allocations (Merrifield, Oranje, Fourie 2008: 40).

Not all submissions were negative about the role of provinces in development. According to the Limpopo provincial government (PG): The province has had an enormous contribution in the reduction of these disparities, mainly in the poorer sector of the provincial society. The impact varies from province to province and the PSC argues, Provinces have played a key role in housing, electricity distribution to the homes of the ordinary people, brought water and sanitation to many people, including in rural areas where water was inaccessible to many people. Many people have been brought into the economic mainstream by having opportunities to participate in the procurement processes of departments in the provinces.

Several submissions indicated that the impact of provincial development planning should be assessed like that of municipalities. The Central Karoo DM stated that: Economic criteria must be linked to the growth rate of the region; and social criteria must be linked to crime prevention, employment creation and integrated housing settlements. SEDA recommends criteria such as improving delivery of social services (literacy, enrolment, number of health care professionals per

population), increasing number of businesses, increasing tax collection. Like municipalities, development programmes should be transparent and accountable (CIE). Limpopo DSAC proposed as a key criterion optimal achievement of plans that is backed by concrete means of verification.

However, submissions pointed to disparities between provinces. According to the CIE, provincial boundaries were counterproductive: The current provincial boundaries are political and do not function as efficient and effective growth and development hubs. Coastal provinces do not link up smoothly with inland provinces and the GDPs of each province are varied. A province like Gauteng is efficient and effective while the Eastern Cape is not. Limpopo PG, however, pointed to action as the main issue: The boundaries have very little influence on the effective growth

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and development hubs but rather this function is largely influenced by investment opportunities and the ease with which the individual/ company can do business in the province. To a large extent provinces actions or non actions determine the activity in this sector.

Merrifield, Oranje and Fourie (2008: 38-9) spoke directly to the concerns expressed in the policy review process about the planning space and discretion accorded to the provinces, when they reported limited planning flexibility at multiple levels of the intergovernmental process, where forums or working groups become spaces in which national government can tell provinces how things are and what needs to be done and what not, and the same goes for provinces in relation to municipalities. On the whole, observations such as these indicate that provincial development planning strategies have improved in the last five years. This firstly needs to be recognised in the context of an overarching provincial government strategy set out in the proposed White Paper. Secondly, it would be advisable to suggest that the mechanisms to respond to provincial socio-economic realities, as specified in provincial growth and development strategies for instance, be exercised more effectively via forums created in the Intergovernmental Relations Framework Act (No. 13 of 2005). Finally, available research shows that the mere existence and continued refinement of PGDS will not necessarily result in anticipated outcomes, in the absence of institutional arrangements that allow greater flexibility to provincial and local governments.

Against this background, the submissions confirmed many of the weaknesses in provincial development strategies. Some responses argued that provinces needed to be understood as functional arms of national government, where national policies would guide the socio-economic developmental role of this sphere [provincial] (Catholic Institute of Education). A similar sentiment was expressed by the Public Service Commission, which added that They [provinces] do not seem to have a role. Most Metros have more money than provincial departments, are profitable and have more impact on socio-economic developmental issues, job creation initiatives and the sustainability of those programmes, The socioeconomic developmental role of provincial governments has to flow from that of the

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national government national government needs to define this and articulate its character and priorities

Submissions that saw provinces playing a greater role advised that they should provide financial and other support to local government, including ensuring that district municipalities were equally allocated resources to undertake their own socio-economic development, and were providing planning guidance and oversight over socio-economic issues. The Gauteng Department of Health (GDoH) mentions: basic environmental issues, transport, roads and access to basic services such as water and sanitation are some of the developmental aspects that can be effected through governance structures. Despite the low visibility of provinces, several submissions highlighted the advantage of keeping them rather than requiring national departments to establish expensive top-down networks. As the WC Department of Economic Development and Tourism (WCDoEDT) argues: In instances where the national departments have built their own capacity for delivery, it has often meant the creation of national agencies, which are often more costly to run than provincial departments as their staffing structure and operational expenditure is above the norms of government. In addition, the one-size-fits-all approach of government departments means that there is more often than not, the implementation of national policies and strategies which are inappropriate for the needs of the region and province. This results in inefficient expenditure. For this reason some submissions suggested amalgamating some provinces. GDoH suggests that: Present boundaries do assist as development hubs but decreasing the number of provinces might ensure greater sharing of resources of the larger centres. The idea of a Global City Region in Gauteng and perhaps a Greater Gauteng including Mpumalanga, Limpopo, and North West might be more cost efficient and allow greater capacity and sharing of skills and resources.

Whatever the decision on the provinces, intermediary structures remain necessary for service delivery and effective governance. What is important is the capacity of these structures to perform their functions. The reality is that provincial capacity is limited and attrition rates for staff are high. For sustainable development in provinces, the high turn-over of staff will have to be reversed (GDoH).

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3.3

CONCLUSIONS

The Bill of Rights in the South African Constitution clearly describes a number of rights of South African citizens. Many of these rights deal with access to services and development. South Africa is a developmental state, particularly in respect of the need to obtain equal access to services and opportunities towards sustainable livelihoods. This chapter focuses on the role of service and infrastructure delivery by developmental government. Service delivery is most directly experienced by citizens in their daily lives, which implies that local government is the primary delivery sphere. This was borne out by the number of submissions that dealt with local government. However, provinces have a number of exclusive functions in service delivery, such as housing, education and health.

In both provincial and local government integrated development planning is the key to service delivery approaches. The concept of integrated development presents numerous challenges to the delivery agent. From the submissions it is clear that provinces have improved their planning capability over the past years, particularly in financial planning. However, few provinces succeed in delivering integrated services. Most departments tend to work in silo-mode, even when they deliver services in the same communities or geographical areas as other departments. Even within municipalities it appears that while IDPs may exist on paper, they often fail when it comes to implementation, and monitoring and evaluation systems are often too weak to provide for timely corrections. One area where this isolation is felt is in local economic development. Whereas economic development is directly linked to other developmental challenges, such as education and infrastructure delivery, according to several submissions, many LED projects are initiated in isolation and under-perform even if they become sustainable.

Several causes for partial or complete failure were mentioned in the submissions. Some are obvious, such as the difference between rich and poor provinces. The availability of resources enables Gauteng, the Western Cape and KwaZulu-Natal to deliver more services than the under-resourced Free State, Limpopo and Eastern Cape. Geographical scale also plays a role, and disadvantages the Northern Cape

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and North West. In addition, submissions mentioned that both national and provincial government lacked clear spatial dimensions to their service delivery. At national and provincial levels targets become diffuse and initiatives are not aligned to local realities. Many submissions queried the usefulness of provinces as they presently exist. Recommendations for more effective service delivery ranged from total abolition of provinces, through making them extensions of national government or implementation agents, to building provincial capacity through increased resourcing. The latter was often combined with proposals to ensure that provinces limited their developmental roles to their exclusive functions, and did not encroach on municipal developmental functions. Many submissions warned against the tendency to devolve responsibilities to municipalities without providing the necessary resources the so-called unfunded mandates that prove to be too heavy a burden for most municipalities.

This section also dealt with the potential of partnerships in service delivery. It is believed that weaker provinces and municipalities can benefit from partnerships that add capacity and value in areas where they are wanting. Several types of partnership were mentioned, such as public-public partnerships, public-private partnership and public-community partnership. The first emphasised the need for public institutions and departments to formally co-operate on delivery to enhance integrated development. The second emphasised the benefit of harnessing private industries capacity for effective and efficient delivery and its expertise in advanced technologies, while the third could open avenues for allocating basic delivery functions, such as refuse collection and maintenance of parks, to community-based organisations and NGOs. Several submissions were concerned about such partnerships potentially undermining the responsibilities of the state towards its citizens in view of the low capacity of community organisations for sustainable delivery and the profit motive in the private sector.

Assessment of partnerships has to take into account the meaning of partnerships as a formal relationship between individuals or groups in which expectations and commitments are agreed beforehand, and which has at its heart a shared profit/risk element, and a relationship built upon completing a task or fulfilling an obligation. Partnerships are effective if they make provision for a number of issues, such as

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Shared values and reciprocity in a win-win relationship Equality of partners Formalisation of the relationship into a contract or MoU Sharing profits and risks realisation of the partnership in concrete programmes and projects Professional management of the partnership as a living relationship.

A number of ways to achieve developmental and delivery targets were suggested. First was the need to cut through policy and legislative complexity. Despite an increase in legislation, roles and functions are still no clearer than the basic allocation in the Constitution and existing Acts. Functions and responsibilities have to be allocated in clear terms and in relation to the realities that face delivery agencies. The minimum requirement is to finalise national policy on provinces taking into account whatever form the provinces will continue to exist in. Allocations of functions should relate directly to implementation within specific contexts, be they national, provincial or local. Particularly the local context has a major impact on the success of delivery. Where delegation has to take place, it should be accompanied by sufficient resources and should be done in consultation with the recipients. When partnerships are concluded, the terms of co-operation should be clear and contractual, based on the capacity of the partners. Many submissions referred to the need to develop provincial and local development plans within national medium to long term vision and strategies. The challenge remains to reconcile local and sub-national differences with an integrated model. One condition for such reconciliation is building the capacity of role players to participate in integrated development planning and implementation. Capacity has different meanings for the three spheres of government, but includes at least shared frameworks, human expertise and experience and the ability to manage processes. As in most other areas of government, effective and timely communication will ensure that these capacities are aligned and co-ordinated. Lastly, as in most themes in this report, submissions emphasised the function of monitoring and evaluation systems in ensuring ongoing corrective measures to keep delivery on track.

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4. POWERS AND FUNCTIONS

A series of questions asked for responses to how the powers and functions assigned to, and shared amongst, the three spheres of government in the 1996 Constitution have worked in practice. These questions included what changes should be made to the allocation of powers and functions, and on what basis and against what criteria these changes should be made.

4.1

LOCAL GOVERNMENT POWERS AND FUNCTIONS

The South African Constitution describes the functions allocated to local government in Schedule 5. The public was asked whether there should be any changes in functions allocated at local level. This question has been part of the debates on local government, service delivery and Constitutional mandates for some years now. Several studies have been conducted on these issues highlighting contradictions between the concept of holistic, developmental local government, as promoted in the 1998 White Paper on Local Government, and the allocation of functions in Schedule 4 and 5.

Over 30 submissions responded to these questions with a general consensus that there should be changes for the following reasons:

To resolve the lack of clarity in allocation and definition of functions; presently, municipalities are managing many functions not mentioned in the Constitution, as they are confronted with realities in their area of jurisdiction when they act as developmental government.

Special reference was made to the lack of clarity between the roles of district and local municipalities, which led to contradictory planning and waste of resources.

To remain in line with the constitutional principle of allocating functions to the sphere or level that can manage them most effectively a number of functions performed by the provinces should be allocated to local 70

government, which has a better understanding of peoples concerns and the challenges they face. Decisions on service provision should be based on which sphere can provide services in the most efficient and fair way. This will also ensure that funding goes directly to the sphere that provides specific services (Nala LM).

To overcome the disparity in development approaches between national, provincial and local government, and thus be able to build a common vision for South Africa in all aspect of life including nation building; for example CCT complains that: Transport is seriously affected by the fragmentation of roles and responsibilities between local, provincial and national authorities.

To avoid the duplication and fragmentation of shared services such as health and housing referred to in many submissions; GDoH said: There is disparity in salaries, hours of access to services, referrals and expenditure. The different hours of operation create undue pressure on the provincial facilities as they open after-hours and on weekends, while municipal health facilities operate only between 08H00 and 16h00 and not on weekend and earn more salary than provincial personnel.

To achieve greater integration of financial planning and budgeting issues in the Medium Term Expenditure Framework (MTEF) and longer term financial management frameworks. GDoH points out: Accountability in the case of policy compliance is unequal. There are different Acts and financial years governing finance and different monitoring systems.

To resolve unfunded mandates, where provincial responsibilities are delegated to local government without resources to execute these mandates. Eden DM: Sharing functions serves as a tool for passing the buck. Responsibility should rest where the service is rendered and local accountability is a good mechanism to ensure performance. Some functions should rather be a district function. Unfunded mandates lead

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to conflict between spheres of government; according to the Limpopo DSAC some services are at the brink of collapse due to these overloads.

To overcome the lack of capacity in local government which is often the result of delegated functions for which municipalities do not have resources; for example, the ECOP argues that local government has limited powers in view of its responsibilities. Eskom argues: Electricity distribution (or reticulation as used in the Constitution) should be a national function. On the other hand, according to Eden DM, many municipalities do not have sufficient capacity for the current functions. The question is whether certain functions should be removed or whether this sphere needs further strengthening. ADAC stated: Provincial and national government can assist local government by paying for the services that it procures from local municipalities timely.

To address the differences between urban and rural municipalities, such as those in the areas of capacity, status of infrastructure, impact of migration and spatial challenges.

Ultimately changes in the functions of local government should ensure better service delivery.

Changes to the allocation of functions at local level often have implications for functions at provincial level. These will be addressed in the next section.

a)

Changes proposed in submissions

A large number of changes were proposed, often without further discussion of their extent and the implications for resources. They can be divided broadly into three types: Making changes related to the delegation of powers permanent, which implies changing Schedule 5 of the Constitution; Changes due to structural changes in the spheres of government, such as the status of provinces and Changes in functions related to district and local municipalities. 72

b)

Changes related to the delegation of powers and functions

The Constitution makes provision for delegation of powers and functions from provincial to local levels. Such delegation or devolution often happens, sometimes by default, sometimes covertly, often at the request of provinces. Many submissions agreed with this type of delegation, on condition that the provinces provided the necessary resources and accepted the responsibility of oversight within the broader provincial development frameworks. Fetakgomo LM argued that: The provincial government must delegate implementing authority to the local municipality and only remain with oversight function. As provinces in many cases did not provide the necessary resources, submissions suggested that these functions be made a constitutional allocation, which would give local authorities access to national funding. This would imply that the functions of local government in Schedule 5 of the Constitution would be expanded.

Khanya-mrc highlighted the following types of services that most municipalities could take as their responsibility: Direct client support (social work, enterprise support, primary health care, environmental conservation, housing, water supply and sanitation) Programmes requiring considerable inter-sectoral integration (HIV/AIDS, poverty, LED) Planning linked to IDP (transport planning, land use management, water planning) Programmes linked to existing municipal initiatives (for example, tourism, economic promotion and marketing) and Programmes linked to existing regulatory activities (for example, abattoirs and environmental health).

The CCT proposed a number of additions to Schedule 5, which along with proposals from other submissions, include: Urban agriculture International airports (where appropriate). Arts and culture

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Social development functions in support of community development, for example, gender development, youth development, substance abuse, early childhood development, street people, disability and other vulnerable and marginalised groups

Education Disaster management Environment Housing Economic promotion and development Metro police Pollution control Property rates and transfer fees Public enterprises Regional and local planning Childcare services and facilities Tourism promotion and development Global trade issues, for example, input on the trade tariff book Investment in trade promotion Investment incentives and other related mechanisms and support for priority sectors Libraries (together with funding from national and provincial) Events management and development Business and entrepreneurial development.

SALGA adds the following functions: administration of indigenous forests, agriculture, casinos, animal control and diseases, consumer protection, primary health care, road traffic, emergency services, local sports, governance of schools.

The most drastic changes to local government functions would result from a total change in the government system, for example, a change in the nature of provinces or local government, or abolition of a specific sub-national sphere of government. Two dominant options in the submissions were a new role for provinces and their abolition. These options are discussed in 4.2 below.

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c)

Relationship, structure and functions of DM and LM

A change in the functions of municipalities also affects the relationship between district municipalities and local municipalities. First, decreasing the role of provinces would accord a higher status to both district and local. The district would probably have to bridge the gap between national departments and local municipalities. This would be a completely new role and could lead to the same problems that are experienced with provinces. District municipalities would provide for shared services in identified fields to all B municipalities within the district. Some, like the Central Karoo DM suggest, that district municipalities could have both monitoring and executive functions in certain matters, for example environmental health.

4.2

THE ROLE OF MUNICIPALITIES IN ENVIRONMENTAL FUNCTIONS, CLIMATE CHANGE AND NATURAL RESOURCE MANAGEMENT

The issue of climate change has become a topic for debate world-wide, due to urgent actions that need to be taken. Hence the question of the role of the municipalities in environmental functions, natural resource management and climate change was asked. Over forty submissions answered these questions. Many submissions showed concern that municipalities should not render functions, such as environmental impact assessments (IEA) that are not service delivery oriented. Both national and provincial government battle with the issues of climate change so it can only exacerbate the problems facing municipalities. SALGA was concerned that politicians at municipal level often find it difficult to consider the environment as a priority in view of the priority given to poverty. It also noted that many IDPs have very little content on environment. AZAPO made the point that municipalities are least equipped to handle environmental concerns.

There is a general agreement that national and provincial governments should fund more intensive processes that deal with the environment. Agri SA stated: EIA should be non-negotiable, and given the costly nature thereof should be financially supported by national government in cases where not funded by the private sector.

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On the other hand municipalities should become involved in environmental issues that relate to everyday-life. The DSD argued that: Municipalities should utilize their youth development programmes to train youth about sustainable development methods and philosophies. This network will influence the manner in which households operate. Additionally municipalities should adopt eco-friendly solutions in their service delivery models. Similarly, the WC Department of Environmental Affairs (WCDoEA) saw an important role for municipalities in environmental conservation: Municipalities need to play a more active role with regard to water (rivers, estuaries, etc). This applies to prevention and reduction of environmental degradation, the promotion of well designed cities, and public transport. Municipalities also play an important role in disaster management such as floods and veld fires. This function requires regular strategic environmental assessments, including land management through the work related to Spatial Development Framework and the IDP. Modimolle LM recommends environmental management as a key performance area for municipalities and some of the recommendations are as follows: Municipality should engage in programmes with the Department of Environmental Affairs and Tourism (DEAT) Link and align it [environmental management] with IDP Educate community and municipal employees on environmental issues; Mainstream environmental issues should be given a priority in the planning and decision making process in municipalities, and specialised skills should be developed; Promotion of awareness and education on waste management and its impact on the environment Enforcement of the municipal-by-laws concerning waste management Traditional leaders must participate in disaster management forums Mayoral committee should have an environmental portfolio committee that deals with environmental issues. In addition many submissions emphasised the role that municipalities play through their by-laws. Dumping area must be nullified and all households be provided with dustbins which should be collected regularly. (Fetakgomo LM). According to the

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Limpopo DSAC: They should be able to hold multinationals that are operative in the municipal area, accountable for any activity that compromises standards in relation to the targeted environmental areas. They should ensure that there are rehabilitation plans and they are implemented. They should conduct public awareness on issues that may compromise the issues identified. Municipalities must be very practical, as Project Consolidate argues, and should introduce emission testing by LM involved in vehicle licensing; enforce separation of waste for recycling; water conservation promotion; education, dual flush; energy-saving bulbs; remote geyser control. The Northern Cape Department of Education (NCDoE) mentions: Greening of municipalities, checking ozone emissions from factories, being vigilant about waste removal and waste management by private firms. Municipalities are the logical level for environmental issues, according to Transnet and many other submissions. It is necessary to localise the EIA approval process (if this is not the current position). This will not only improve approval times but it will also ensure that at all levels of operation there is always an El analysis. This approach would require extensive training to ensure a pool of skilled Environmental professionals.

However, many submissions emphasised the central role of provincial government in environmental issues, as the latter often were of a regional nature. Although municipalities should employ environmental officials, train councillors and be held responsible for environmental compliance enforcement, the scale of legislative requirements requires intergovernmental co-operation (IGC) according to the WCDoEA.

On the issue of the impact of environmental regulations on the ability of municipalities to undertake development and how it should be approached, the ECCS argues that EIAs take too long to carry out and are expensive. In contrast, the DoE highlighted that environmental regulation promotes sustainable

development and therefore EIAs should be encouraged. This idea is also supported by Eden DM and EHWG, while IMASA added that local councils should be capacitated to carry out their own EIAs for community projects.

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Municipalities should perform the following environmental functions even though they face developmental pressures: Noise pollution control Erosion prevention and tree planting Waste management Disaster management Municipal health service Environmental monitoring and evaluation Promotion of a safe and healthy environment.

Municipal areas have a variety of urban and rural characteristics, which require them to plan differently for basic service delivery such as water and sanitation, and related economic development activities such as public infrastructure investment. A question was asked about the ways in which planning for basic services and economic development can differentiation between municipal areas. This question was not posed directly to the public but rather in the form of a general comment followed by number of questions which did not directly answer the question. As a result the comments below might not answer the question but they do give an indication of what the public thinks.

Numerous submissions indicated that the shortage or lack of infrastructure in rural municipalities is a serious obstacle to service delivery in these areas. This has resulted in migration to the urban areas exerting serious pressure on urban infrastructure and leading to an increase in informal areas in cities with negative social consequences. CIE was also concerned that rural municipalities have different spatial challenges as compared to urban areas.

As part of the recommendation, NCPG argued that if government wants to be true to its commitment to rural areas, it should use rural municipalities as hubs for development and access to information and they should be empowered to do this. Communication and research infrastructure and capacity need to be built into libraries as potential information hubs because this will assist in attracting scarce skills and research capacity to rural areas. One of the concerns that ADAC raised is that municipalities do not have a single integrated development plan. Instead 78

there is a range of planning mechanisms that include spatial developments frameworks, strategies, polices and IDPs. These plans should all be part of one single strategy, which is what the IDP is supposed to be.

Buffalo City LM supported the use of co-operatives such as the Peoples Housing Process in order to fast track housing provision and infrastructure development. ECOP highlighted that rural municipalities, when compared to metros, have no revenue base and therefore should receive 100% subsidy for delivering services that cannot be paid for.

4.3

PROVINCIAL POWERS AND FUNCTIONS

The role of provinces is situated in a generally complex system of powers and functions in South Africa. On the one hand provinces have powers and functions that they are exclusively responsible for. On the other hand, the principle of concurrency means that other provincial functions intersect with national and local authority interventions. This has led to a complex relationship amongst the relative powers and roles of the spheres. Indeed wherever this concurrency is not clearly defined, powers, functions and responsibilities become either vague or complex. Provinces share some powers and functions with local government, including implementation of national and provincial policies. As many of these concurrent powers and functions are not defined in administrative and operational terms, there is either duplication or there are gaps between the spheres, which undermine service delivery. Provinces are engaged in a continuous negotiation process over these interrelationships, while remaining dependent on the other spheres for outcomes in terms of delivery and development.

Provinces face a number of negative realities that impact on their powers and functions. The first reality is the tension between national priorities and provincial and local realities. National government sets overall national priorities and objectives over the short to long term, usually reflected in the State of the Nation speech of the President and subsequent policy directives. Such priorities are of a general and average nature, and do not always reflect specific provincial priorities. Divergence leads to tensions between long-term provincial strategies and plans,

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and changes in national priorities, particularly because most provincial revenue is received from national government. The existing concurrent arrangement, together with the non-existence of enforcing mechanisms to ensure national departments priority projects are given the same status at provincial level, leads to long bureaucratic delays in implementation of projects.

One important reason for instituting a far-reaching review of powers and functions is that problems with clarifying the substance or concrete details of roles and/or competencies allocated and shared amongst the three spheres of government still remain. This has meant that the risk of co-ordinated service delivery efforts being hampered continues to exist. One set of questions in the DPLG review document probed the area of shared functions between the spheres of government. A great deal of concern was voiced with the practicality of shared functions. This included the adverse affect they could have on management practices. If approaches and priorities in decision making differed across the spheres this could slow the pace of service delivery. It was also felt that the division of shared functions did not necessarily promote equal access to public services if there were inconsistencies in management approaches and practices. CCT voiced its concern about lack of clarity: There is a problem of uncertainty with regard to certain functions about where the respective responsibilities of National/Provincial and local authorities begin and end. Thus ADAC argued: The responsibility for functions should never be shared. One sphere may at times assist another sphere if more practical. Sharing can lead to confusion and blaming each other for failures.

The effective functioning of provinces was also impeded by the constitutional imperative of devolution to the sphere where matters could be managed best. This imperative can never be generally applicable, but is determined by local contexts which vary significantly between metropolitan councils, district municipalities and local municipalities. These differences necessitate a flexible approach but this leads to contestation, where municipalities and provinces may differ about the best location. Other submissions argued that there was an absence of enforcement mechanisms.

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Another reality is the low capacity of most provinces for executing their powers and functions. Several submissions referred to this. It applies first to understanding the challenges of local government, as many provincial managers have little experience in local government. Second, provinces have low capacity to engage with local government, due to lack of staff, distances and low budgets. Without such engagement it is difficult to initiate, monitor and manage provincial implementation at local level.

4.4

PROPOSALS FOR CHANGE

In view of the above observations it is not unexpected that submissions about proposed changes to the powers and functions of provinces varied widely, from proposals for increasing provinces capacity, to changing the nature of provincial powers and functions, to total abolition (see Chapter 2.4). There were over 20 responses to the relevant questions. Two of the more far reaching

recommendations advised the following:

That a new assignment scheme be devised and incorporated into the Constitution. National governments responsibility should ideally be consistent with the concept of national unity; where the classification of activities should distinguish generic from more specific activities in line with the principle of subsidiarity, and emphasising a bottom-to-top approach to allocating responsibilities (Dr. I.H. Robson)

The PSC proposed that the structuring of the Public Service as a whole needs to be reviewed, and further argued that National Government should not only see itself as a policy maker while provinces are the implementers. Policy making and implementation should be a co-ordinated process, informed by national priorities.

a)

Increasing the capacity of provinces

Quite a number of submissions recognised the need for provincial government, and in fact, suggested that increased capacity of provinces would contribute to resolving the governance problems. It was felt that national government often 81

overstepped its boundaries in making policies and executing programmes. The PSC referred to the Logic of national standards, provincial policies and local implementation, in which national departments created an enabling environment for provinces to formulate policies and programmes. A condition for this would be that powers and functions, and the boundaries between national and provincial had to be clearly defined. Increasing the capacity of provinces would have several implications. First, provinces would need more and better trained staff, particularly at management level and in areas where provinces dealt with municipalities. Second, budgets should be sufficient for the operational costs of provincial departments, so that policies could be marketed among municipalities, and provinces could monitor local development and implementation within the broader provincial frameworks.

b)

Change the nature of provinces:

Most submissions proposed retaining the provinces, but changing their number and/or nature. Several submissions proposed the amalgamation of provinces where a combination would increase the capacity of the province to exercise its powers and functions. These submissions implied that economies of scale could benefit service delivery. However, this would only work if the amalgamated province decentralised its functions, otherwise the distance between head office (centre) and periphery would increase. Furthermore, this amalgamation would still necessitate a review of the capacity of local government.

More prominent among the submissions was the view that provinces should not have legislative powers, but should become the implementation arm of national government, with a focus on administration and oversight. Several submissions, concurred with the view of the National Department of Public Works (DPW) that Provincial government should not have legislative powers; this should remain a national competency provincial department should become one of the implementation arms of national government together with local government. In addition, it should co-ordinate the activities and monitor the implementation of programmes and provision of services by local government. The NCDoE held a similar position that the main role of provinces would then be monitoring implementation by local government.

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This focus would have implications for national departments, as they would have to increase capacity and each national department would probably need to have provincial desks. The question can be asked whether national departments have such capacity, and whether this would lead to a top heavy government. The need to oversee local government implementation of national policies would still require high-level skills among provincial officials, more effective structures and forums for interaction between provinces and local government, and increased budgets.

There is a clear relationship between a change in provincial powers and functions and those of local government. On the one hand, many submissions were quite adamant about the principle of allocating powers to the level where management would be most effective and efficient. This would mean altering the Constitution to allocate many of the current provincial functions to local government. These submissions favoured more functions and powers being allocated to local government, with one in particular advocating for this sphere to have more legislative power in areas such as health, housing, agriculture and water. There were similar suggestions calling for Part A of Schedule 5 (exclusive areas of provincial competence) to be reviewed with a view to possibly allocating matters to local government, and/or seeing metropolitan municipalities playing a more prominent role in areas currently assigned to provinces, such as urban agriculture, social development, education, environment and economic development. Yet, there is a realisation that many municipalities lack the capacity to fulfil these mandates, and many submissions suggested transfer of staff from provinces to municipalities. Amahlati LM suggested that: More people from provincial governments must be deliberately deployed to local government where delivery is meant to occur.

c)

Abolition of provinces

Several submissions proposed the abolition of provinces as legislative and executive powers. Nelson Mandela Metro suggested that all functions allocated to provinces be transferred to local government, as the present allocation of functions results into endless delays with communities revolting against municipalities. This sentiment is also shared by CALS, which pointed to the imperative that delegation

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of functions should occur to the lowest level of government where it can be successfully implemented.

Should the provincial sphere be scrapped, the NCPG recommends that the national and local spheres be retained. This will free much-needed human and financial resources that can be spread evenly across the two sphere of government. Saldanha LM argued; A closer look at part A of Schedule 5 is necessary in order to either allocate matters to national government on the one hand and local government on the other hand. This could work in municipalities that have the capacity to deliver on a large scale. Smaller municipalities, and rural ones, would need substantial support, particularly in terms of human resources. In practice the transfer of public servants from provincial to local government offices is complex due to often less-attractive labour conditions and career opportunities, and the impact on families. In all cases district and local municipalities would have to be accorded higher status (NCPG).

4.5

CRITERIA FOR CHANGES

When asked what criteria should be used when introducing such changes, the principle of subsidiarity was partnered with a more pragmatic approach including: No delegation to lower levels without concomitant decentralisation of resources Delegation to levels with the most knowledge about an issue(s) Delegation based on availability of resources, including human resources, at service delivery levels Consideration should be given to the complexity of a particular service delivery area.

4.6

ENVIRONMENTAL ISSUES

A more specific area of provincial powers and functions raised in the policy review process concerned the functional role of provinces in the environmental sector, and to what extent provinces were supporting local government to negotiate a balance between environmental compliance and developmental demands. Most of the 84

submissions addressing this question held that provinces were not effectively supporting their local counterparts to address the balance between environment and development, due to a combination of communication and capacity constraints. Examples include one submission which felt that provinces were far removed from local realities and their departments were disconnected from local communities. Another contributor added that: Local area concerns should inform decisions about development.

In one case, a provincial department indicated that it had programmes in place on environmental and developmental compliance, including a provincial spatial development perspective, but recognised the need to improve the communication of its efforts to local government, and how it engaged directly with communities. A similar point was raised about greater intergovernmental dialogue being needed to clarify the distinction between local and provincial roles on environmental matters. One particular submission added that: Currently the provinces are not satisfactorily supporting local government to address the balance between environmental and developmental compliance demands. The level of engagement is very poor. One submission called for an environmental officer to be housed in provincial government, who will work closely with the EO who sits at the local government level.

Other factors that have adversely affected the relationship between provinces and local authorities in negotiating environmental and developmental concerns included a reference to provinces not understanding local needs. This resulted in over regulation which was seen to be counterproductive (Swartland LM). A lack of financial resources and capacity (shortage of technical and financial skills at both provincial and local levels) was linked specifically to compliance with legislation such as the National Environmental Management Act (Northern Cape Provincial Government). One contributor argued that procedures for environmental impact assessments by provinces were not user-friendly and were time consuming, both in completion and approval (Breede River LM). At least two submissions argued that environmental functions could only be effectively managed at local level. Elsewhere, municipalities were criticised for not understanding legislation such as

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the National Heritage Resources Act, which jeopardised their ability to protect local cultural and heritage resources in rural areas in particular.

Suggestions on which environmental functions would be most appropriately located and performed at provincial level included: Nature conservation (namely game ranging, managing fishing quotas) Tourism and the management of tourism centres Air quality management, pollution control, and riparian controls Water and energy A reference to biosphere Environmental planning, namely impact assessments and related

environmental watchdog and audit role, climate change monitoring, waste management (disposal sites and sewerage works) National disaster areas Marine management One submission suggested that provinces take over the refuse removal function Other inputs proposed that provinces adopt more of a monitoring, coordinating and support role in relation to the carrying out of environmental functions at local level (such as co-ordinating recycling activities) Agriculture Promoting environmental literacy through education.

4.7

CONCLUSION

Powers and functions are key components of the government system review, as the constitutional allocations are the starting point for service delivery, funding and intergovernmental relations. Lack of policy or vagueness about powers and functions results in gaps, duplication and overlap, and eventually leads to tension between the three spheres of government in their day-to-day performance. This is particularly true of shared functions. Although theoretically sharing functions may promote equal access to services, this remains dependent on proper management, which is at present often absent (CIE). PSC: What is certain from past experience

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is that sharing functions has caused tension between the spheres of government. Perhaps it is best to operate from a position of a very clear demarcation of the functions between the different spheres. The tensions are increased by the constitutional position that the three spheres are simultaneously distinctive and interdependent. The fact that the areas of distinctiveness and interdependence are not clearly demarcated and defined necessitates a permanently negotiated management system, for which many parts of government lack capacity. This is most visible in attempts towards integrated development and service delivery, such as the IDPs and the Integrated Sustainable Rural Development Programme (ISRDP).

Relatively few comments were submitted on the functional relationship between DMs and LMs, including the metropolitan councils. The main argument was that the specific powers and functions had not been clarified, as local government had been lumped together as a single category in Schedules 4 and 5. The question is whether it is possible to determine a one-size-fits-all model or formula, as conditions vary widely throughout South Africa. There is a clear need for flexibility and pragmatism, and a recognition that metros and larger cities should play a leading role in their surrounding region, building the capacity of smaller municipalities to deliver.

Due to the lack of national policy on provinces the review had to be mainly based on the experience of government and society. From a local government point of view, most provinces definitely under-perform. Provinces themselves were rather self-critical, a view that was confirmed by national departments and institutions. Generally, three options for the future of provincial powers and functions were submitted: increase capacity, decrease powers and functions, and total abolition of provinces as an independent sphere of governance.

Although the idea of two spheres of government, national and local, may look attractive, such a simplification would raise serious issues about the linkage between national and local government. From a management point of view bridging structures are needed to interpret national policies and programmes into local implementation. An intermediary structure, such as provincial administrations,

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may do this work, and thus become extensions of national departments. However, this reduced function would not resolve one important issue, that of policy-making. Although many submissions viewed national government as the primary policymaking sphere, this contradicts current theory and practice in which policy-making is viewed as an iterative process, in which national, regional and local processes are mutually informative and dependent. Such iterative processes require a regular flow of interactions between national and local, for which provinces are the natural conduits. In addition, provinces or similar parts of a system of governance provide mechanisms for addressing the diverse development needs in the various provinces.

Overall, the variety of insights, experiences and solutions seem to point to capacity rather than the system itself as the core problem. Obviously there is a need for policies that clearly demarcate and define powers and functions in more detail. Yet, conditions vary widely, which necessitates ongoing adaptation and negotiation around core principles and policies. This situation will remain even with the best overall policies and points to the need for increased capacity, both in human skills and resources, for executing functions. It also calls for commitment to co-operation and co-ordination between the various spheres and functions.

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5.
5.1

FISCAL SYSTEM
FISCAL FRAMEWORK FOR LOCAL GOVERNMENT

The key questions in this section focused on what strategies are required to improve the revenue base and viability of municipalities?

a)

Background

Increasing the revenue base of municipalities is a major challenge due to limited national and provincial funding, and the lack of an economic base in many small municipalities. Funding of municipalities is thus a problem within a national context, and is not isolated to a few instances. Furthermore, funding of local government needs a long term vision and a local government fiscal framework, as compared to the current piece-meal approach on funding local government so that certainty can be restored (GDLG). The DPLGs Municipal Infrastructure Grant (MIG) programme suggests that: The relationship between the White Paper on Local Government as a statement of intention and macro economic policy cannot be over emphasised. The approach to funding must be part of wider policy and legislative frameworks.

Historically municipalities have been funded from service charges providing an incentive to focus on water and electricity provision. According to Eskom: Our interactions with municipalities (including metros and not limited to rural and poor) indicate their major concern is loss of financial support currently provided in electricity tariffs. Khanya-aicdd points out that: These are limited functions in the context of the broad socio-economic development envisaged in IDPs. There is limited potential for local taxes on production and local government will need to continue to receive funding from the central fiscus. Current expenditure from the central fiscus is low in comparative international terms. Some subsidies are considered crucial for the survival of municipalities.

b)

Increase funding

The simplest way to increase revenue would be to increase funding from national government. A central concern in many submissions was the inadequacy of the 89

current funding system. The DoE suggests that municipalities: Should be funded according to the IDPs and local economic development (LED), which means that some municipalities would get proportionally more funding. According to the DoE: Government should provide more funds for rural and poor communities.

There are other traditional funding options. Eden DM suggests that government bring back a system of levies similar to the Regional Council levies that existed. Larger urban and metropolitan areas that attract business should raise levies and subsidise rural and poor municipalities through district municipal financial systems. This is supported by Nelson Mandela Metropolitan University: Bring back a system of levies and larger urban and metropolitan areas should then subsidise the rural areas. However, RSC levies themselves appear to be insufficient, and GDLG argues: Adequate and buoyant replacement for the RSC levies needs to be decided upon, as a matter of urgency.

Local revenue is largely dependent on the strength of the local economy. One way to increase municipal revenue is to boost local economic development, either through attracting major industries or developing SMMEs. The national DPW points out: Where it is difficult to attract industry municipalities should develop programmes to aid local communities to develop enterprises and co-operatives. The judicial use of Expanded Public Works Programme (EPWP) projects and encouraging businesses to locate in these areas is also an option. Municipalities should be allowed to develop their own debt collection strategies, according to Human. Particularly in deep rural areas, land redistribution may impact on increased revenue. On the one hand, productive land that delivers revenue should be carefully managed in land reform processes to ensure it remains productive. On the other hand, as the DoE KZN proposes, the allocation of common land to individuals may open avenues for taxation. Lastly, several submissions, such as the PSC, pointed to the opportunity public-private partnerships present for accessing capital for service delivery.

c)

Need for flexibility

Not all municipalities are the same and, as ADAC argues: There can be no one size fits all solution. Flexibility in legislation is required so that local conditions are

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taken into consideration in the structuring of municipal funding strategies. Municipalities should be allowed to obtain income from more sources so that their services and rates remain affordable to inhabitants at al times. At a minimum, national funding should be differentiated according to a municipalitys situation. ECOP argues that: regarding the structuring and funding of rural and poor municipalities, in order to improve their revenue base and viability the funding criteria should be based on the developmental needs of municipalities as well as their historical contexts; revenue-based funding is not viable as it does not assist the performance of municipalities; and that a differentiated funding formula should take into account the rural and urban backgrounds of the municipalities. The MSP made similar suggestions: The formula for Equitable Share for rural and poor municipalities should be tailored to suit the dynamics of the municipality.

Fiscal frameworks also include expenditures. Few submissions commented on this aspect, except with regard to differences between various municipalities, particularly between urban and rural ones. More developed municipalities would have the capacity for better targeted expenditures, which would deliver more services for less money, thus stretching the available revenue (economy of scale). In rural areas, municipalities could link expenditures to local economic development. Such municipalities must assess the needs of rural communities and develop creative means of supporting communities based on local needs, for example, ploughing implements, servicing ploughing fields, dip for cattle, sheep and cattle licks and so on (Mandela Metro Council).

d)

Improving internal capacity:

More funding does not necessarily mean increased viability. Municipalities need capacity for creating and managing revenue. Randfontein LM says: Project Consolidate has proved to have reaped desired results in most municipalities. But this is not a long-term solution. ADAC suggests: The key to assisting low capacity municipalities is to help them get it right internally by ensuring that correctly qualified people with appropriate experience are appointed to positions. Amahlati LM supports this view: Interventions required to support low capacity municipalities would be to engage people with the right skills. No appointments should be made purely on party political considerations as this will prove to be counter productive in

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the long run with the attendant Human Relations problems should the job incumbent prove to be unsuitable. The best person for the job must be hired.

Secondly the productivity of existing personnel should be monitored before extra personnel are hired to compliment [the] existing staff complement. This will lead

ultimately to a more balanced staff complement and [an] improved wage bill. The above can be achieved through Organisation and Method study exercises which can be carried out by outside firms. NCPG says: All appointments should be based on the competency of the person. This would require intensive training in low capacity municipalities.

Where municipalities cannot employ skilled people, other municipalities must assist. NCPG suggests the deployment of qualified and experienced employees to low capacity municipalities. District municipalities should assist local

municipalities in terms of IDPs, budgeting and systems. And the PSC states: Capacity can be improved through the transfer and/or secondment of skilled and experienced employees from both the public and private sectors and through the transfer of skills. The implementation of the Single Public Service concept would encourage such exchanges. A School of Local Government can be considered to strengthen capacity and ensure the standardisation of norms.

Project Consolidate proposed some practical improvements in municipal capacity, such as obtaining correct costing of service delivery; a more effective billing system; updating software; and moving customer care from finance to commercial services and the municipal managers office. There is a need for standardised systems and implementation of PFMA and MFMA compliance. ILGM added: Structures such as Audit & Risk Committees and experienced personnel should be in place.

Lastly, there are cost-savings measures. For example, Gordon Howell suggests that: bulk buying of materials needed for municipal maintenance is essential. If all these efforts are pooled into one, there will be more goods purchased for the same price, so some of these goods can be given to support low capacity municipalities. And billing systems should be linked to GIS for more effective targeting, says Human.

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e)

Reporting and monitoring

Any improvement strategy for revenue collection systems would include the improvement of monitoring and reporting, for which regulations and systems are available (Treasury). Ward 16 suggests: Chapter 3 in the Municipal Planning and Performance Management Regulations (General Notice 1430 of 2001) stipulates the general key performance indicators that must be followed in each municipality. According to the DPW: municipalities should be funded by national or provincial government with targets and performance linked to municipal managers contracts. It would, according to Eden DM be helpful to standardise measuring instruments (e.g. measuring the extent to which services are delivered and the measurement of performance) in order to make meaningful comparisons between municipalities. An agency to perform an oversight role must be appointed by the MEC. Part of reporting is its frequency. IMASA states: Annual reports in pre-determined formats should be widely published and open for public scrutiny. It also requires structures, a subject on which Nelson Mandela Metropolitan University remarks: Establish regional Standing Committees to which local authorities are accountable. This is confirmed by the PSC: There should be more frequent and regular interaction (quarterly) with institutions such as the Auditor General and the Standing Committee on Public Accounts (SCOPA). There should be an extension with modification of the instruments already in place for national and provincial government such as annual reporting according to Treasury rules, stringent auditing, performance management and revisiting the Municipal Finance Management Act to simplify it. These measures will ensure that accountability is enhanced and interventions are made where necessary. Many submissions referred to the need for public accountability and report back to ward committees. Citizens forums can further be used. Such processes may be stimulated from national government. According to the CIE: DPLG may need to create a monitoring and evaluation unit to assess data indicators.

f)

Reconsider the size of municipal areas

Several submissions pointed to the problems of municipal demarcation. NCPG: On the relative size of municipalities there are conflicting ideas. On the one hand municipalities should be consolidated to ensure their feasibility, but municipalities

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must be small enough to serve the needs of the local communities. We need a common definition / classification of what constitutes rural. Some submissions promoted more integrated or linked municipalities. Agri SA proposed that: Instead of having district municipalities some amalgamation of local municipalities into more viable units should be considered. Transnet argued that: Rural and poor municipalities should be linked to the more developed and financially stable municipalities, where possible and feasible, to allow for bridging of the skills gap and allow for more sustainable and structured development. This will also ensure that migration of skilled professionals from poor to financially stable municipalities is minimised. This results in a vicious cycle that compromises growth. Breede Rivier LM supported this approach: Rural/poor municipalities can be included in bigger, well capacitated, municipalities which have a broad revenue base. On the other hand larger municipalities struggled to manage the scale of new municipal boundaries. Therefore Burger suggested that: Service delivery and finances will improve if each municipality was allowed to have its own local community. Burger even suggested: Abolish the non-practical system of District Municipalities as its a duplication of functions, personnel and infrastructure creating unnecessary high expenditure. There seemed to be some agreement in many submissions that the demarcation of municipal boundaries should be based on, inter alia, financial viability, as The Institute for Project Management in Local Government suggested.

5.2

FISCAL FRAMEWORK FOR PROVINCIAL GOVERNMENT

Submissions were solicited on the financing of provincial government. Questions in this area included to what extent it could be ensured that provinces spent their allocations on national priorities, such as education, health, housing and social development services; is the current funding model to which provinces are tied sustainable from the perspective of service delivery; and how could financing the provinces take account of past inequalities?

Over 40 submissions were recorded in response to these questions. Several submissions highlighted the low capacity of provinces for fiscal management. As the PSC commented: There are no doubt capacity and skills problems in relation to planning and execution of projects in the provinces and these create difficulties

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for the provinces in judiciously and effectively utilizing their budgetary appropriations. This is the conclusion one draws when huge levels of allocated budgets are unspent by the end of the financial years. Most submissions dealt with how to ensure that the provinces spent their allocations on national priorities. A range of concrete suggestions were given, nearly all of which focused on improving various existing mechanisms for improving expenditure. These included:

More explicit guidelines and stronger enforcement mechanisms for intergovernmental financing and planning through the Division of Revenue Act, the Public Finance Management Act, and the Intergovernmental Relations Framework Act; for example the NCPG raised the concern that in the education sector the Minister of Education was held accountable for the overall performance of the education system, whilst not exercising direct control over the human, material, financial and other resources available to the provinces.

More guidance in the field of provincial economic development by the national departments. As the WC DoED remarked: Departments in the provinces receive little support and assistance from their national counterpart. Moreover, the Department of Trade and Industry (DTI) has attempted to implement regional policies themselves, without the

involvement or assistance of the provinces, and this has resulted in lessthan-optimal implementation and duplication of services within the local municipalities.

Enhancing monitoring and oversight including systems, mechanisms and processes by, for example, establishing a core set of national service delivery indicators.

Transfers to ensure that provincial government has the capacity for service delivery.

Ring-fencing allocations.

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Penalising provincial ministers (MECs) when pre-determined goals are not achieved; and building spending on high priority issues into the performance contracts of senior managers.

Strengthening reporting procedures.

Linking funding to data collected by Statistics South Africa, and basing allocations on projections of growth.

Improving municipal awareness of provincial expenditure planning by indicating local expectations of expenditure on social services.

A more broadly pitched submission suggested that more synchronised intergovernmental planning was needed, while the NHTL argued that: joint planning will ensure that each sphere of government strives to render social services and develop the community. Governments planning processes must be linked up beginning with the IDPs and followed by the PGDS and NSDP.

Other submissions focused on ways to support implementation and monitoring, including soliciting more assistance from non-governmental organisations, instituting performance-based budgeting, and creating a central system to track service delivery initiatives and record unforeseen or unintended consequences.

The other submissions were distributed amongst whether provincial funding arrangements were sustainable and how the provinces should take account of past inequalities. On the former question, submissions raised a number of concerns about the effect and quality of provincial funding from the vantage point of service delivery. This was perhaps most dramatically summarised in the following submission by SAMWU: Provinces are an obstacle to funding reaching the point of delivery. Another submission argued that funding should go directly to municipalities. Nala LM argued that the national fiscus should also channel funds through district municipalities, as in some instances requests to DMs from local municipality for funding for specific projects were rejected due to lack of funding. Breede Rivier LM added that: Funding through provinces is only creating bottlenecks 96

and additional red tape to getting the money where is it intended Money given to Provinces is not invested for real service delivery but only for monitoring and evaluation.

Less far-reaching concerns were raised in two other submissions, which observed a tension between available funding and service needs, where funding determines services, not services determining funding, and where there was a concern about provincial government control of social services budgets versus the ability to adapt delivery to local priorities and circumstances.

Other concerns about the sustainability of provincial funding exhibited a concern for the feasibility of delivering on the unique developmental needs of the provinces. For example, funding of provinces is based on per capita costs to the disadvantage of larger provinces like the Northern Cape. It was also argued that the Division of Revenue Act and equitable share formula did not sufficiently take account of the spatial (namely the geographical, rural and demographic) circumstances of provinces, as expressed in terms of the per capita cost of delivering services. The NHTL argued that: The current system of funding the provinces is not sustainable. It is based on the population of the province rather than PGDS needs and the ability of each province to deliver on those needs.

The HSRC submission on the financing formula of provincial governments focused less on planning and more on the financing instruments: Review the usefulness of financing instruments to the provinces with a view to creating greater flexibility in the use of conditional grants to cater for the specific needs of provinces within the scope of national policy Provide for more effective consultation between provincial and national government and between respective departments on the design of conditional grants and reporting requirements.

A similar point was raised by the CIE, which argued that the current funding arrangement was not sustainable as it led to provincial disparities in spending on national priorities, citing the Eastern Cape spending R2000 a year per learner whereas the Western Cape spent R6000 a year. This contributor argued that funds should be transferred to provinces as conditional grants, which were not subject to provincial budget votes.

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Finally, Mandela Metro raised concerns about the quality of provincial expenditure, and specifically its value-add where one submission identified a problem of provinces at times transferring funds to municipalities at the end of a financial year, to demonstrate a high rate of expenditure, when it was unrealistic to expect municipalities to spend those resources before the end of their financial years, thereby affecting quality. Another submission also criticised provinces for resolving this dilemma by fiscal dumping, where they did not announce allocations to municipalities beforehand and involve local leaders at an early enough stage about local needs within the context of national priorities. Finally, another contributor recommended that the funding formula for provinces should be reviewed to take account of migration, as well as allocating additional monies to take account of unfunded mandates.

Submissions concerning how funding to provinces could take account of accumulated inequalities included linking financing based on need to sectoral or spatial areas where inequality was particularly high, such as in rural areas or infrastructure or poverty pockets. Another suggestion was for a stronger emphasis on requiring provinces to prepare and motivate accurate requests for financing to be allocated to municipalities via the Division of Revenue Act (DORA). Presumably this would more effectively address inequalities in specific municipal areas falling within provincial boundaries. A submission reflecting the need for accurate funding requests suggested they be based on an assessment of economic activity, GDP, and literacy levels. Another submission argued for equitable share allocations to be used more effectively to correct spatial imbalances within provinces, particularly in rural areas. However, the Treasury reported that the equitable share formula already provided a higher per capita allocation to provinces with poorer populations, where conditional grants were regarded as another important mechanism to channel funds to needy areas.

Other submissions offered an alternative perspective on regional inequality. In one instance it was argued that a funding formula based on inequalities created incentives to perpetuate inequalities and that government should rather try to link the allocation of provincial funding to actual outputs of service delivery. The

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underlying argument is that resource allocation should be made more flexible. Another contributor was concerned that areas of disadvantage also had a low absorptive capacity for funding.

5.3

CONCLUSION

Availability of funding is a key condition for good government performance, particularly with regard to service delivery. In view of the complexity of the government system, and problems with inadequate policy, interrupted

intergovernmental relations and limited capacity of departments, it can be expected that the fiscal system will be under pressure and often inadequate for urgent political imperatives. Comments were solicited on two aspects of the fiscal system: the improvement of the revenue base and the improvement of financial management towards sustainability of the system.

South Africa faces the reality that government funding is limited, due to economic and fiscal constraints on the one hand and overwhelming demands for development on the other hand. The prospect of increasing available funding is limited. Even if funding were to increase, the question remains whether the fiscal system can disburse and manage it adequately. Although the Treasury is continuously improving the upper reaches of the fiscal system through legislation and guidelines achieving complementary capacity at provincial and local level needs considerable effort. A serious complaint from below was that the overall system has become too complex and cumbersome, and that local administrators lack the skills to understand it, let alone comply with it.

A number of ways to improve the fiscal system, and therefore the financial situation of provincial and local government, have been proposed in the submissions. These proposals range from increasing local taxation to increased national allocations. A central area of concern deals with intergovernmental relations and the flow of funds from national to provincial and local government. Given the variety of sources, channels and recipients of funding there is a clear need for a comprehensive framework that links the components, yet recognises their specific conditions. There seems to be an urgent need to align the system to the realities on the

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ground. Such alignment would naturally create tensions, as the system needs control and compliance, while the realities need flexibility and adaptation. To resolve this tension key components of the system have to be optimised, such as capacity (skilled officials and resources), communication and alignment of the three spheres, the synchronisation of intergovernmental co-operation and the upgrading of monitoring and evaluation systems as corrective instruments.

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6. PROVINCIAL AND LOCAL GOVERNMENT IN CO-OPERATIVE GOVERNANCE

6.1 INTERGOVERNMENTAL RELATIONS SYSTEM

Questions

around

co-operative

governance,

through

the

mechanism

of

intergovernmental relations, constituted a major theme in the local and provincial government policy review process. No less than ten questions were asked on this theme, covering the following areas:

National and provincial government support of local government Realising a national vision on the responsibilities of each sphere of government Strengthening the principles of co-operative governance relating to behaviour and mindset Ensuring distinctiveness, co-ordination and alignment in implementation across the spheres Resolving difficulties related to distinctiveness between national policy making and provincial implementation Relating planning in each sphere to other spheres Is the current intergovernmental planning framework improving integrated service delivery? How to ensure the use of commonly agreed definitions and statistical datasets to measure developmental outcomes Streamlining different data sources within spheres How to improve co-ordination of reporting on service delivery progress

The content of the questions revealed that an array of challenges continue to impede the smooth working relationships between South Africas three spheres of government, which risks producing an adverse impact on the achievement of national policy priorities and spatial inconsistencies in developmental outcomes.

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Over 50 submissions covered these questions. Most were on the difficulties regarding the distinctiveness between national policy-making and provincial implementation. Issues raised varied widely, from abolishing the provinces and enlarging and capacitating municipal areas, to cascading policy making from national to provincial government, where a related submission argued that provinces do not possess powers to implement policy whilst there was no clarity about the role of the provinces in relation to concurrent powers. Other more practical recommendations advised that greater staffing flexibility and exchange of personnel be allowed so that policy makers could experience the (implementation) impact of their policies; national government ensuring that provinces had sufficient resources for implementation; and provinces focusing more narrowly on implementing policy made at the national level.

Other submissions under intergovernmental relations (IGR), this time concerning monitoring and evaluation, argued that the monitoring of outputs needed to move beyond a concern for the level of expenditure towards adopting a value-added approach, focusing on the quality of expenditure. The suggestion is that the service delivery and budget implementation plans (SDBIPs) should be partnered by so-called service delivery and value added projects (SDVAP). Other suggested measures to improve monitoring and reporting focused on information technology that could facilitate the shared use of information for plotting developmental outcomes, and even the creation of a separate constitutional body or a government unit responsible for co-ordinating service delivery reporting across spheres. ADAC made the point that although there is a problem with different data sets, the key issue should be the accuracy and validity of figures. Other concerns were that monitoring is often a political agenda and monitors are often eager to find fault and lack knowledge and understanding of local government. George municipality recommends the use of twice annual reporting following a bottom-up approach that includes local and district municipalities and measures outcomes and results against the IDP and budget. In contrast, Buffalo City LM recommends that a centralised depository of statistical information should be sent to the IDP and knowledge management units of municipalities or that one credible Chapter Institution should be responsible for this activity. A number of submissions, such as from the NCPG, called for the use of one data bank in government to access

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information, including the use of common indicators. In the same vein was the suggestion that a common set of standards be developed against which all spheres of government report (a similar approach to the Spatial Data Infrastructure Act [No. 54 of 2003]). A bigger role was also envisioned for Statistics South Africa, with one contributor calling for the agency to be galvanised. Finally, a bottom-up approach to data collection was recommended (namely from local to national). A slightly different perspective was advanced by the Association of Democratic Alliance Councillors, who argued that aligning data sources was less an issue than the accuracy and viability of figures and greater access to statistics.

Submissions in other areas addressed the challenges of strengthening the concept of co-operative governance. One submission raised the lack of incentives to facilitate integrated actions by the spheres and pointed out that Other countries used a district development grant for capital expenditure (Khanya-aicdd). Another contributor called for the creation of an ombudsman in the Office of the President, who could intervene in disagreements between organs of state bypassing legal instruments. An ombudsman would provide a less contentious way to deal with disagreements than that expressed in the PSCs view that: Compliance with co-operative governance is a matter of constitutional principle and therefore not optional and non compliance is a constitutional violation.

A less compliance-oriented suggestion called for the alignment of functional reporting lines for each department at various spheres of government, whilst a similar contribution argued that local government portfolio committees should report to the functionally appropriate political heads of provincial departments, namely LED reports to the MEC for Economic Affairs, for advice and budgeting assistance. Finally, the City of Cape Town stressed the need for implementation protocols (introduced in the IGR Framework Act (No. 13 of 2005) to be precise and prescriptive. Another submission from the CIE, which was more critical of provinces, submitted that Provincial policy making powers causes confusion, and provinces should not have powers to change budgets. Finally, the National House of Traditional Leaders argued that national government had not provided clear policy directives on traditional leaders and they were not provided for in the 2003 Framework Act [we believe refers to the 2005 IGR Framework Act], the Disaster

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Management Act (No. 57 of 2002) and other legislation. It is important to conclude by making reference to a submission by the PSC, which noted that impending changes in public service legislation (namely the single public service) could break the boundaries that separate the three spheres of government from an administrative point of view. It was not otherwise clear, however, to what extent such legislative changes would facilitate material improvements in

intergovernmental relations.

Submissions concerning IGR and strategic and planning activity raised concerns about the possibility of there being too much planning and development legislation, and that it might be necessary to consolidate this legislation into a single piece of national legislation or a strategy. There were also concerns about the potential obstacles for inter-sphere planning created by conflicting provisions in legislation, such as non-alignment between the MFMA and the MSA on IDP and the performance management process (City of Cape Town). An extension of this thinking, this time at a structural level, seemed evident in a contribution by the PSC, which proposed that: There should perhaps be a review as to whether there is a need for all the spheres in social delivery or whether there is a need for service centres and one National department that can be seen as the Corporate Services for the whole of government. Elsewhere the PSC offered a somewhat different point of view noting that: In sectors like Agriculture, Education, Housing, etc. it seems the provinces could do with more responsibilities to run with these sectors, with less competencies given to national departments.

Differing opinions on the precise role of the provinces and national departments in social services delivery demonstrates how complex this debate is. Other suggestions concerning intergovernmental planning called for the three spheres to plan more closely together and project the planning window beyond three years, suggesting, for example, participation by local government in Provincial Growth and Development Plans. A specific suggestion called for the establishment of special co-ordination project management teams or cluster forums of senior bureaucrats to draw up plans together. Finally, more than one request was made for a more bottom-up approach when spheres planned together, as well as more extensive use of community-based planning methodology.

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Finally, there was a range of submissions on how national and provincial governments could support local government. One suggestion was that national government be held accountable to local government to avoid duplication of support efforts, such as in electricity delivery, and because provincial government had limited capacity to perform this role. Another was that both national and provincial spheres must deploy representatives to [local] councils as resource persons for advisory purposes on regulated periods e.g. twice a year (Amahlathi Municipality). Yet another suggestion proposed that the creation of service delivery units in the Draft Public Service Amendment Bill could help in providing support to other spheres. Less far-reaching suggestions included clarifying formal reporting structures and opening up the process to the local citizenry, and national and provincial governments helping municipalities to establish a one stop local government where all functions is situated (urban and rural metros). (Western Cape District Municipalities Environmental Health Working Group [EHWG])

6.2

NATIONAL GOVERNMENTS ROLE IN INTER-SECTORAL COORDINATION

Several questions dealt with the potential role of national government in intersectoral co-ordination, skills deployment and in national policy and planning to improve the functioning of the local government sphere.

The leadership of national government is generally acknowledged. The view was expressed that national government should set the policy framework but should not be involved in the actual implementation of programmes. Setting the policy framework and incentive system is the key. What would greatly assist is having a sufficiently capacitated national department which is focused on supporting the provinces and municipalities, and not trying to do it themselves. (WC DoEDT). The problem is that many national departments do not just maintain an oversight, redistribution and informational role but seek to be involved in implementation. (Khanya-aicdd). National government should monitor and review performance and confront provinces with their successes and failures, intervening only when provinces fail. Government should further be: less restrictive in terms of process

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and protocol, such as participation requirements, and focus on content issues such as implementation of the National Spatial Development Perspective (NSDP). (Swartland LM).

It is, however, important for national government to: develop a strategic framework with clear priorities for oversight and co-ordination of provincial and local government, [and to] put in place punitive measures for non-compliance. (GDoE). National government should further: put in place intergovernmental partnerships for policy implementation. (GDoE). For this reason: Government clusters and the intergovernmental structures such as the PCC and other provincial structures (Premiers Coordination Forum) all ensure cooperative governance. Expenditure allocations should be determined from one office. (DSD).

Sector plans of all 28 national departments should be aligned to produce a consolidated national integrated plan, which will provide an overall policy and contextual framework from which provinces and municipalities will draw in formulating their [growth and development strategies] GDS and Integrated Development Plans (IDPs). (GDLG). Again: National Departments should first consult provincial and local government before developing national policy and planning strategies. (WC DoEDT).

Strategies for inter-sectoral co-ordination should focus on developing and refining a revised policy and regulatory framework for provincial and local government. This will ensure that current policy is implemented and provide guidelines that will enhance service delivery and development. (Umdoni LM).

Roles and responsibilities between the three spheres of government need clarification. The Treasury has put in place a monitoring and evaluation system and introduced the Framework for Managing Programme Performance management to ensure that other spheres of government are efficient. Submissions advocated the: use of implementation protocols under the 2005 Intergovernmental Relations Framework Act to strengthen co-ordination, clarify roles and responsibilities and possibly address implementation constraints. (HSRC). National government

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should promote co-ordination: By ensuring that each sphere understands each others plans and policies and ensuring that they co-operate and integrate with each other. (Nala LM). Monitoring and evaluation also apply to the provinces, Regular visits and monitoring by NCOP on provincial and local government. (Kagisano LM).

Co-ordination will be enhanced further through joint planning involving all the three spheres of government preceding the January and July lekgotlas. Departments should be compelled to plan jointly on crosscutting issues. It is further recommended that regarding: Intergovernmental relations Local Government should sit in on national meetings. And that MPs should also be linked to and placed at each local municipality. They must know and understand local needs. (Breede River LM).

Relevant structures should be established, capacitated and co-ordinated for effective delivery in those spheres. (Lepelle-Nkumpi LM).

As regards funding it has been acknowledged that the present planning regime does not allow for clear articulation of how spending programmes relate to the strategic objectives of government, [and] a number of initiatives are underway to further improve the intergovernmental fiscal system, including reforms to improve planning/budget link, funding mega-projects and infrastructure and funding of concurrent functions. (Treasury).

Several submissions argued that to improve implementation, funds should be channelled directly to the appropriate executive sphere of government. Emphasis should be placed on the distribution of resources to local government, as they are closer to the people. Consideration needs to be given to aligning the financial years of national, provincial and local government to better co-ordinate funding. (ADAC).

The monitoring and support functions of provincial and national governments need to be done in the ambit of co-operative governance. It is therefore necessary to look at the principles of co-operative governance and the need for provinces to

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adhere

to

it.

Deepening

democratic

accountability,

participation

and

responsiveness requires collaborative efforts from spheres of government, according to the National Department of Housing (DoHousing).

The Treasury has put in place a monitoring and evaluation system and introduced the Framework for Managing Programme Performance to ensure that other spheres of government are efficient. The current legislative framework in the MFMA is a good starting point for national government to achieve inter-sectoral co-ordination. National government should complement this by providing support structures for the implementation of the MFMA. (DPSA). The creation of a simple and uniform electronic project management and reporting system, is also advocated. (Buffalo City LM).

The DPLG has developed an IGR tool kit, which has a framework for managing joint programmes. This framework gives guidance on what to take into consideration when developing and implementing programmes that require multiple players, and performance indicators for financial planning form part of the monitoring and evaluation process. (DPSA).

There is a general inadequacy of skills in government. It is important, as a starting point, for national government to identify the capacity and skills gaps and then design programmes to fill them. National government should carry out a needs assessment of skills; set up training programmes at educational institutions and collaborate on programme content with other spheres of government. (GDoE). Subsequently, National and provincial government should ensure that the Further Education and Training (FET) sector is strategically positioned and adequately resourced to nurture and produce more artisans, electricians, plumbers, etc. (GDLG).

The successful implementation of programmes relies on effective and efficient programme and project management. National government should assist municipalities to acquire expertise in project management (DPSA).

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It is vital that: the focus is on employing the people who can do the job to ensure that the service delivery needs, particularly of poor constituencies are met. (ADAC). To achieve this, government must establish a central recruitment agency to receive applications and fill positions. If skills cannot be sourced locally, national government must import skills taking into account the needs of the other two spheres of government. (DPW). National government must provide appropriate funds to all three spheres to attract skilled workers and there should be greater flexibility regarding recruitment of labour. (CCT).

The incorrect implementation of governments employment equity proposals has had the unintended consequence of driving skilled municipal employees out of the civil service. (ADAC). Introduce the Muniservices Trust Concept; renegotiate or abolish Affirmative Action (AA) and Black Economic Empowerment (BEE); introduce a uniform pension and medical aid scheme for government employees in all spheres. (Swanepoel & Associates).

The following additional points were made on addressing the skills shortage: Government must intensify and fast-track the Joint Initiative on Priority Skills Acquisition (JIPSA) through conscious advocacy and campaigns in

communities and schools. National government should work with local government to identify skill shortages and inform the JIPSA programme Must put in more funding or provide bursaries for training Drop racial quota systems The functioning of various SETAs should be strengthened so as to enhance training and capacity building in the public sector The skills database that is currently being developed should be extended to the local government sphere and have a specific focus on priority skills required by municipalities There is a need to develop a common remuneration structure in order to deal with issues of cross deployment of skills; that universities must also be encouraged to lead the development of critical skills; that incentives must be put in place in order to attract skills to the rural areas; and that shared services

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amongst the different levels of government must be established in order to ensure that resources are pooled. (ECOP) Establish special incentives for the deployment and retention of scarce skills Upscale deployment through co-ordinated programmes such as Siyenze Manje. Encourage professional bodies to support municipalities National HRD Strategy must focus on long term programmes to develop human capital in those areas were there is a shortage of critical skills Appoint personnel on merit only Bring back professionals and competent people and pay for the return of expatriates with the necessary skills and expertise Initiate a scarce skills subsidy for local authorities. Positions requiring scarce skills should be elevated [meaning not clear]. A pool of expertise should be created which can be deployed to the different spheres of government.

National government must maintain good information systems to respond to areas of need. When needs are identified, national government should lead the development of new policy and legislation. (CIE).

National and provincial government, should support local government to develop effective information management systems and other support systems, processes and structures. (DPSA). An analysis of the Auditor-generals reports on the various municipalities must be done and a plan developed by national government, in line with Project Consolidate, on how to assist those municipalities with adverse and qualified reports. (DPSA).

6.3

THE SUPPORT ROLE OF NATIONAL AND PROVINCIAL GOVERNMENT

The question was asked what role national and provincial government should play in supporting local government?

The first challenge is to co-ordinate and integrate national strategies and policies. It seems there are missing linkages between policy formulation from the national

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level and policies at provincial levels. Hence even the plans that emanate from these policies are not effectively co-ordinated and integrated. For instance, the constant reference to national integrated rural development does not translate to any such projects that are visible on the ground in the provinces. Yes, some isolated efforts may be driven by a province without much cohesion with what a national Department of Agriculture or Land Affairs espouses as its version of integrated rural development. (PSC).

Most municipalities are under-capacitated in both human and financial resources. To improve the human resource situation, national and provincial government should, provide the necessary interventions like skills transfer and training skills transfer from national to local government and provide attractive remuneration that will attract scarce skills from the private sector. (Nala LM). There is no better support than imparting knowledge that will remain with the institution for some time to come. Technical support should not only be restricted to finance and infrastructure matters, as it is the case with the current practice, it should rather be inclusive of every facet of service delivery. And: The current support seems to have been left in the hands of self-interested consultants with glaring short sightedness to the agenda of government. (GDLG).

Support from higher levels to municipalities must be properly structured. However, The prevailing lack of cooperative governance especially between the province and the municipalities has resulted in the slowing or delaying of the approval of business plans and the signing of the MOU by the MECs and the Mayors. There are municipalities to date that have not signed the MOU or/and approved the business plans. (DoHousing). One reason for weak IGR is confusion around concurrent mandates. Greater clarity on the respective roles and functions of all three spheres in relation to each other needs to be enhanced. Concurrency of housing function in practice has led to confusion about which level of government is responsible for what. This confusion can paralyse decision-making efficiency in a state, and the practice in most countries in the twenty first century is to move towards much clearer role distinctions. The excessive coordination that cooperative government requires is not a virtue in itself, done poorly it reduces efficiency and effectiveness and increases the costs of governance. While it is

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irrelevant to the public which level of government is responsible for what service, the basis for public, and therefore democratic, accountability as a principle of state organization is the clear allocation of functional responsibilities to political authorities. (DoHousing). The Department of Social Development argues that Inter-sectoral co-ordination can be improved through re-configuration of the public service into a flatter organization that is based on the project management approach.

In order to improve the financial situation in local government, national and provincial government should actively identify funding and other resource needs (CCT) so as to reduce the funding gap. The creation of separate service delivery units as discussed in the draft Public Service Amendment Bill could also help to improve support to other spheres of government without undermining provincial and local responsibility and accountability. Capacity issues need consideration. (HSRC).

There is need to evaluate and monitor the performance of local government in order to ensure adherence to government principles. National and provincial government should pre-determine the norms and standards against which local government performance will be measured. (CIE) They should develop monitoring and evaluation tools and institute formal monitoring with evaluators monitoring and reporting on strengths and weaknesses. (CIE). There should be measurement of municipalities performance against agreed targets. CCT proposes that: National and provincial government should request implementation of policies and execution of programmes with an understanding of local government IDPs and where their priorities are. According to the DPSA, National and provincial government should actively co-ordinate these programmes at local level.

Various initiatives have been instituted under the MFMA to improve the national and provincial governments roles of oversight and support of local government. (Treasury). Compliance to these new initiatives includes an increase in reporting. However, in order to avoid municipalities experiencing a reporting fatigue, we need to establish a centralised and streamlined reporting structure. (ECOP)

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Cascade

performance

indicators

from

international/national

reporting

requirements to provincial and local government, wherever actual service delivery occurs. (NCPG).

Formal reporting structures need clarification and the process should be open to the public to increase the accountability of local government. There should be regular feed back sessions. (Umvoti LM).

Intensify the hands-on support to local government and particularly focus on accelerating the delivery of basic services to communities [and] Improve early warning systems through dedicated monitoring in order to avoid a situation of Project Consolidate when its almost too late. (NCPG). Include local sector organisations in oversight structures. (Andre Louw).

The roles and functions of local government should be clearly defined. There should be role clarification based on the content of section 53 of the [Municipal] Systems Act as guideline. (Swartland LM). There should be a clear definition of roles and responsibilities among the three spheres and time frames should be set, where possible work plans with activities, resources, time frames should be provided. (DPSA).

A number of sectors were addressed in the submissions on IGR. With regard to electricity, ESKOM suggested that: the national and provincial government roles in support and oversight of local government electricity distribution should be exercised though NERSA. In the area of education in particular, more pressure must be put on the private sector to fund education and training programmes. (Nala LM).

National and provincial government should further support local government through strengthening the various structures in provinces and local government, for example, building capacity in the offices of heads of departments (9 provinces). (NCPG). Furthermore, units similar to that of both the national and provincial departments must be established within municipalities to deal specifically with these issues. (Nala LM).

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6.4

INTEGRATING THE SPHERES TO ACHIEVE THE NATIONAL VISION

The interdependence of spheres is a key issue in all sections of the review. Here the question was asked how strategies, plans and frameworks of the three spheres should be integrated to achieve the national vision?

Most submissions that answered this question indicated that there should be one vision, one strategy and one set of objectives. The national plan e.g. [the] NSDP, should be setting broad parameters; provincial plans should also be strategic for the provincial level; local government plans should be strategic (in the sense of making choices, and addressing drivers of change) but implementation oriented. (Khanya-aicdd).

Submissions referred to the lack of co-ordination between the three spheres of government. Currently there are problems in the national planning framework that are hindering the achievement of the national vision. Most critical of these are the following:

There is no proper co-ordination and consultation between the three spheres of government during the process of development planning

There is little interaction between municipal standing committees and provincial and national portfolios

There is need for joint strategic planning to co-ordinate and align the initiatives of the spheres of government, the private sector and civil society around key strategic objectives

The roles of each stakeholder should be explicitly included in the relevant frameworks and the source and responsibility for funding for each initiative should be clearly outlined

These roles should be aligned with the powers and duties of the various stakeholders, in particular the three spheres of government.

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There is a tendency for National and Provincial government to prescribe rather than plan with local government, resulting in differing planning agendas. (CCT). There should be consultation and other spheres of government should not instruct local government what to do. (ADAC). The principle of holistic governance to eliminate the silo approach is supported, but it is important, however, that the spheres of government achieve this on the basis of equal partners within the framework of their constitutional roles and responsibilities. (CCT). Centralised planning needs to cascade to local levels with a pro-poor agenda between the three spheres of government.

A solution to this problem may be to establish forums to enable senior bureaucrats to draw up comprehensive plans together. The Treasury should allocate resources to these cluster plans, not to departmental budgets. Clusters must put implementation plans into place to fulfil all rights and responsibilities created in law and with good monitoring and evaluation mechanisms. (CIE). Provincial and national government planning processes should be aligned with the requirements of the MSA and the MFMA so that integrated planning can take place. (Nelson Mandela Bay Metro). The national and provincial governments should make available infrastructure plans (3-5 years) to local government to enable them to integrate and align planning at local level and there should be provision for additional inputs from metros and cities as most have city development strategies and other plans.

Co-ordinated government priority setting, resource allocation and implementation also require alignment of strategic development priorities and approaches in all planning and budgeting processes. The implementation of the Intergovernmental Relations Framework Act is important for this to be achieved; adopting an asymmetrical approach to the development of IDPs (and consequently with regard to powers and functions) would reduce the burden on low capacity municipalities. The idea is to enable certain municipalities to assume greater control over the planning and implementation of functions they provide by increasing their fiscal and regulatory powers over those functions. (SALGA).

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A number of obstacles to integrated development planning were mentioned in the submissions: a. Differing strategic frameworks and budgets; Strategic planning and budgetary frameworks are different resulting in misalignment. (Sedibeng DM). An effective linkage needs to be developed between the strategic focus and the budget. In allocating resources, treasuries should ensure that set targets and priorities are adequately covered.

b. Differing financial years It is quite difficult to achieve integrated and co-ordinated planning where currently even financial year-ends for the three spheres of government are not the same. The three spheres of government operate under different pieces of legislation. (Nelson Mandela Bay Metro). Therefore, the financial years of all three spheres need to be aligned.

c. Inaccurate data Baseline information guiding planning as a whole, but which impacts on IDPs, such as the housing, health or education requirements, is often incorrect. (SALGA). Furthermore, it has proven difficult if not impossible to get timely information on sector plans, projects and programmes from national and provincial government, making it difficult to do effective integrated development planning. (CCT).

d. Unnecessary competition Unnecessary competition amongst municipalities must be eliminated and proper integrated service delivery be implemented effectively by

coordinating their actions and legislation. All municipal plans should inform the PGDS and the PGDS should inform the national priorities including the national budget. (Nala LM).

e. Inadequate participation in the planning process by implementing agencies Development plans are consultant driven. Therefore there is a lack of ownership by implementing agencies. Increase participation of

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implementers when drawing up plans, said the North West University (NWU). The existing consultant driven process should be replaced by [a] short, intensive facilitated process based on community based planning (CBP) methodology. Plans should be mutually agreed to. (ADAC).

f. Complexity of the IDP process The IDP process is far too complex and too much time is spent complying with the requirements rather than identifying and addressing issues facing the area.

To enhance success in the implementation of IDPs the CCT made the following recommendations: Establish a clear joint development vision for the local authority area Include the development of an Integrated Infrastructure Investment Plan for the municipal area, inclusive of national, provincial and local government Clear strategies for people development (human capital) in partnership with provincial and national government Reduce regulation on stakeholder consultation processes Provide [a] shared development framework for the City Contribute to shared responsibility for co-ordination and

implementation of IDP priorities by all departments and officials Facilitate better financial planning for the local authority, by improving current financial planning windows to a longer (1015 year) period for planning Integrate and align the local authoritys strategies and priorities with those of other spheres of government Include stronger programme, project and service delivery

implementation plans Include clear performance indicators for local economic development implementation.

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6.5

IMPROVING INTEGRATED DEVELOPMENT PLANS

The question was asked how the IDP can be improved to be an expression of government-wide commitment to municipal space?

Some municipalities do not have the capacity to undertake the relatively sophisticated levels of planning required to promote sustainable development in the space economy, and, consequently, the resultant IDPs have not fully reflected the needs of the community and there, is not one integrated plan within a municipality that facilitates development. (SALGA). Capacity building at municipal level is required here, for example to, have provincial and national planning competencies available at municipal level. (Swartland LM).

Community participation in the formulation of the IDPs should be encouraged so that the IDPs reflect peoples wishes and aspirations. For effective participation, local communities need a better understanding of the IDP. The IDP process should be an inclusive process beginning at ward levels with all the stakeholders and other internal spheres. (Nala LM).

IDPs require resources in order to make them work and to deliver to the expectations of communities. (ADAC). The annual council budgets should always be aligned to the IDP. (Treasury). National government should provide adequate funding to implement IDP programmes. Furthermore, IDPs should be adequately reflected in the Medium Term Expenditure Framework (MTEF). During the strategic planning process planning sessions between provincial government sector departments, municipalities and national government departments should be held in order to agree broadly on priority areas of development over the MTEF. In addition, there must be regular reporting on progress made in the implementation of the IDP. (PSC).

As part of IDPs, land must be provided for social development [and] more projects like Project Consolidate should be done at local level. (SAWID).

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The Finance Protocol is not being implemented in the way intended. There are no mechanisms to ensure the departments implement this protocol.

6.6

LOCAL GOVERNMENT REPRESENTATION IN NATIONAL POLICY MAKING

The question was asked how local government should be represented in the national policy making process and what is the role of organised government?

Currently, in the national IGR processes and structures (PCC, Cabinet Lekgotla, MINMEC, Budget Lekgotla, etc), the local government association SALGA is represented by its chairperson. Effectively, this means that this representative must carry the voice of 283 diverse municipalities. In all probability, it is unlikely that the voice of the local government carries the required weight in these structures. (GDLG). In order to increase the weight of the voice of local government, it is therefore proposed that in such major IGR structures, the association should be represented by the National Chairperson and provincial chairpersons as representatives of local government. (GDLG). SALGA must be developed into a clearing house for interactions between national and provincial governments with local Governments. (DPSA).

It has been emphasised that the relationship between local government and national and provincial government should be based upon the principle of equality. What is required are horizontal lines of communication between local government and provincial/national government. Local government under the Constitution is the third tier of government and therefore should be treated as an equal to provincial and national and not as an underling as is the case currently, according to the Centre for Education in Economics and Finance Africa (CEEFA).

Organised local government should mainly concentrate on capacity-building/ training of municipalities, councillors and officials. (CCT). SALGA should play a leading role in guiding and building capacity of poor or under performing municipalities; should facilitate implementation of legislation; monitor activities through peer review/peer pressure to ensure members comply with the various

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codes of conduct. SALGA should engage in strategic analysis and research. (MDB). SALGA must come up with intervention measures that seek to capacitate municipalities and realise the SDBIP. (Nala LM).

In order for SALGA to play its role effectively, there are three major grey areas that have to be resolved.

a)

Absence of a legal framework

SALGA is operating without any legal framework. Consequently, there is no legal imperative for provincial or national government to take the views of SALGA into account. (Sedibeng DM). For this reason, SALGA is ineffective and its roles and functions are unclear. Their mandate is not very clear. There is need to provide guidelines and legal framework. (CCT). The setting up of a legal framework to strengthen SALGA is therefore an imperative. From an observers vantage point it does seem that SALGA events or workshops are regarded as work outside the normal work of councils and municipalities. (DPSA).

Further, there needs to be a discussion on the most effective and efficient structure for organized local government. Currently the decision makers are elected councillors but they are full time in their respective councils. It should be investigated whether some councillors serve in an executive capacity in SALGA on a full time basis. In addition, there needs to be a separate process for metropolitan councils. (DPSA).

b) Inadequate autonomy The autonomy of SALGA is very limited. Legislation on organized local government should be reviewed to allow for deeper democratic interplay. (NWU). SALGA national is currently operating in the 9 provinces on a decentralized basis. It should rather be structured on a regional basis, free from national influence and accountable only to its provincial members. (CCT). A regional structure free from national/political influences should be established. (Swartland LM).

Membership to organized local government must be compulsory for all municipalities and should be linked to enforceable sanctioning mechanisms based

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on peer review mechanism. (ILGM). Municipalities should report to SALGA and SALGA must have the authority to discipline municipalities that are dysfunctional, unaccountable and disrespectful to communities [and] must be well capacitated to monitor their work without compromise. (Nala LM). Decisive actions should be taken against corrupt officials/ politicians. People should be suspended without a salary and where applicable, criminal charges should be made. (CEEFA). Municipalities should also have recourse if they are not satisfied with a decision. (ILGM).

c) Lack of capacity The capacity of the local government association needs to be enhanced. Organized local government should be capacitated in order to assist local government together with province. (CCT). Organized local government must be capacitated to assist in developing needs-driven IDPs, (DoE) and to assist municipalities that experience capacity challenges in service delivery. (ILGM). SALGA should be strengthened so it can provide strong business leadership, strategic direction, monitoring and support to municipalities, (Treasury) and make municipalities sustainable. (Prof. Hennie Van As). SALGA should be empowered to monitor performance and accountability. (Maruleng LM). It should be allowed to create an independent investigation unit consisting of experts from various fields to assist in monitoring and evaluation.

Nevertheless, SALGA has proved to be an effective vehicle for communication and representation to government departments. It, has played [an] important role in developing small municipalities, training of Ward Committees, (Buffalo City LM) and SALGA could be effective provided it remains a-political, [and acts as a] watch dog, auditor and mentor. (George LM).

The Policy review process must emphasize the importance of [a] unitary SALGA that will present a unified voice across the spheres of government. Participation of SALGA within the legislative structures of national and provincial government must be mandatory. (SALGA). The Organised Local Government Act must be

amended to reflect the unified nature of SALGA, including the logical consequence that its NCOP delegates are nominated at national level. (SALGA). There is need

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for full time councillors at the helm of SALGA to address the problem of divided loyalties and time prioritisation. (SALGA). Capacity Building and support to local government must be broadened to SALGA structures at national and provincial levels. (SALGA).

6.7

CO-ORDINATING IMPLEMENTATION AND STRENGTHENING COOPERATIVE GOVERNANCE

Here the question was asked how implementation across all three spheres can be co-ordinated and how can co-operative governance be strengthened?

Submissions pointed out that the following issues were currently hampering effective co-ordination of implementation across the three spheres.

a) Lack of clarity of roles The roles and responsibilities of each sphere of government need clarification. Delegation of tasks should be clear. Guidelines to be provided to ensure that the outcomes intended are attainable. (Nala LM). Policy directives should be routed through a single point, (Buffalo City LM) and provincial policies must be informed by national policies. Concurrent jurisdiction is a problem and authority needs to be separated clearly. (CIE). Provincial policy making powers cause confusion. End powers of provinces to change budgets. The areas of concurrence are blurred by the budgeting powers of different spheres. (CIE).

As a solution CIE suggested to define responsibilities more clearly to strengthen co-operative governance. Departmental clusters must provide cluster plans that each department binds itself to. These should include plans for interdepartmental projects. For example Public works could establish plans to build hospitals with the department of Health. Each department will then plan for the project.

George LM pointed to the need to, align the reporting lines for each department on all three/four tiers of government, and provided an example of such alignment:

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Proposed three tiers of government. (George LM).

To comply with the provisions in the constitution on co-operative governance and facilitate co-ordination in the implementation of policies, legislation and overall programmes, intergovernmental relations forums should be put in place to ensure participation and promote unity and cohesion. This will improve co-operative governance. The co-operation should take place in mutual trust and good faith. Legislation should be put in place to ensure effective co-ordination of all spheres. (Nala LM).

IDASA suggested that the implementation of the co-operative government system should be periodically re-assessed with the following criteria in mind:

Are legislative provisions being implemented effectively and is there a thorough implementation support programme? This will depend largely on national government, provinces and municipalities sharing information, developmental agendas and concerns to promote better implementation of laws and policies, and efficient service delivery.

Are the processes and procedures to co-ordinate government activities between spheres effective?

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To what extent is intergovernmental co-operation bringing clarity to, or confronting, issues facing South Africa, and creating a forum to evaluate service delivery by provinces and municipalities?

Intergovernmental relations develop slowly over time. On the one hand this requires clear political long-term vision, on the other hand it needs consistency and continuity. The latter is endangered by the political dominance in the relations. As Eden DM remarks: Current inter-governmental relations focus too much on political representivity with a resultant risk of losing institutional memory. Politicization of IGR also impacts on minority groups. For example, the NHTL complained that the structures mentioned under theme H in the questionnaire (provincial governments, intergovernmental forums and houses of traditional leaders) are responsible for achieving a national vision. Unfortunately national government has not provided clear policy directives on traditional leaders and they are not provided for in the 2003 Framework Act, the Disaster Management Act and other legislation. Therefore, role clarification should be part of the implementation protocols. (CCT)

b) Poor Communication HSRC research shows that poor communication is the biggest hurdle facing effective intergovernmental policy and planning. This includes lack of

communication, failure to engage to [ensure] proper understanding and top-down communication. This is a major issue given the complexity of the intergovernmental system comprising approximately 80 structures.

The need for effective communication between the national and provincial executives is clearly evident when provinces incur problems in implementing legislation. A more active National Council of Provinces (NCOP) and

Intergovernmental Relations Committee of Ministers and Members of Executive Councils (MinMecs) would better facilitate communication between the provincial, national and local government. (IDASA).

One solution to improve communication is by putting in place subcommittees representing all three spheres of government. (Umvoti municipality). However, the

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danger remains that the complexity of the structures is increased. Communication should improve when the various spheres accept coordination and integration as key performance criteria for all levels of government.

c) Local government not clear on its roles There is a need to clarify the role of local government in IGR. Although the three spheres have equal position, in reality national and provincial departments take most critical decisions. As regards local government in particular, national and provincial policies and strategies are not interpreted to allow local government to understand its role in achieving these objectives. [The] national vision must be discussed, and the motivation for action be agreed upon. Implementation protocols should be clear-cut. Local government must be provided with a framework that will guide it in terms of outcomes that it is expected to achieve. [For this reason,] implementation protocols must be precise and prescriptive. (CCT).

d) Complexity of IGR structures Several submissions referred to the complexity of IGR structures. IGR structures are complex and there are no incentives for integration in place. Other countries use a district development grant for capital expenditure at local level and all departments have to participate in the plan to get their projects included. Provide carrots and sticks for departments to participate. (Khanya-aicdd).

6.8

STRENGTHENING CO-OPERATIVE GOVERNANCE.

Failures in co-operative governance and the resulting negative impact call for the strengthening of this constitutional imperative. The Treasury pointed to several realities, both negative and positive. First the country must make a choice as to whether it wants a more decentralised or centralised system. Various pieces of legislation, policies and structures are in place to enhance intergovernmental policy setting, resource allocation and service implementation in an integrated, effective and sustainable way. The Treasury is also in the process of implementing the Budget Reform Agenda of which the key objective over the next few years is to simplify the planning process by, amongst others, aligning departmental plans to national strategic plans. Government has shifted strongly towards placing

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emphasis on outputs and outcomes and holding those in positions of authority accountable to these.

Submissions further advocate promoting the objectives of the Intergovernmental Relations Framework Act in order to strengthen the principles of co-operative governance with the emphasis to be placed on intergovernmental co-operation rather than competition. (CCT).

There was general consensus on the following as some of the means to strengthen co-operative governance: Mutual respect, understanding and collective leadership. Put the interests of service delivery before displays of intergovernmental authority in the spirit of section 40 of the IGR Framework Act, which enjoins all organs of state to make every reasonable effort to avoid

intergovernmental disputes (HSRC). The use of joint planning structures and processes. (DPW). Co-operative governance should include government agencies and the private sector. (Maruleng LM). By strengthening pillars of intergovernmental relations including sector forums, religious institutions and the house of traditional leaders. Principles of Batho-Pele should be intensified; effective community participation by social structures should be put in place. (Leppelle Nkumpi LM). All three spheres of government should use the same planning methodologies, [and should] standardize data sets. (Swartland LM). Clarify objectives and outcomes of projects. Social delivery objectives to be aligned for all tiers of government. Clarify roles and responsibilities through implementation protocols. Each process must be measured and performance standards measurement agreed upon upfront: There must be unified key performance areas for officials and politicians. (SAWID).

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Through monitoring and evaluation, national government should take an aggressive and constructive approach to ensure intergovernmental cooperation and integration [is achieved]. National government should further develop management tools and programme management

performance frameworks to monitor [the] implementation of policy. (GDoE). Allocate the necessary resources and fiscal accountabilities for

implementation. (CCT). Community development workers and ward committees must be provided with resources and be used to ensure proper implementation. (Nala LM). Through effective communication.

6.9

CONCLUSION

Co-operative governance is central to the South African Constitution. Therefore successful intergovernmental co-operation is an imperative, particularly in view of the positions of the three spheres as distinctive, interdependent and interrelated.

The submissions and debates highlight several issues that are related to intergovernmental co-operation: The development and sharing of a national vision of good governance and development in South Africa, resulting in agreements on integrated service delivery as the main purpose of co-operative governance. Clarification of the roles of the three spheres of government in co-operative governance resulting in co-ordinated planning and implementation of cooperative programmes. Co-operative relationships between role players in all spheres and at all levels, resulting in mutual support. Dependency of planning and implementation on accurate data on populations and resources for service delivery and development.

A large number of challenges emerged from the submissions and debates. They can be summarised as follows:

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The development of clear policies dealing with the exact roles and responsibilities of various role players at national and sub-national level taking into consideration their Constitutional relationship.

The promotion of effective and efficient interaction between the three spheres of government, including open and equal consultation, co-operation and delegation of powers and functions.

Interaction leading to co-ordination in planning and implementation, defining roles and responsibilities of role players in specific programmes of action in which different sectors are involved.

The alignment of actions by role players, particularly in the collation and dissemination of data, and the planning and implementation of programmes by government departments and agencies.

The conclusion of broad and focused memoranda of agreement based on a shared understanding of co-operative governance, negotiated agreements for joint development initiatives, and effective service delivery; such MoUs should make provision for interactive and capacitated platforms, structures and forums involving informed high-level persons and with access to resources for effective consultation and interaction.

Ensuring that role players and structures have the necessary capacity for co-ordinated programme planning and implementation; this includes the necessary human sectoral and IGR expertise, political weight of participants; effective structures; institutional arrangements and adequate funding for intergovernmental co-operation processes.

Provide for inter-sphere and intra-sphere differentiation to ensure equal partnerships, equitable development and resourcing of programmes, and flexibility in terms of different conditions in which programmes develop (rural-urban; economic and social levels).

Build an effective monitoring and evaluation system based on agreed performance criteria to ensure informed feedback for corrective action.

From the submissions it is clear that co-operative governance is directly related to the other themes; in broad terms to good governance, and in political and operational terms to effective structures, clearly defined powers and functions and a good fiscal system. This indicates by definition the complexity of co-operative 128

governance in a maturing democracy. Although the Constitution provides a broad framework for co-operative governance, the subsequent legislation is skewed. Fiscal legislation and arrangements are quite comprehensive, but as a response to the demands of co-operative governance they are too complex for many of the role players. The Intergovernmental Relations Framework Act again is clear, but does not provide the operational guidance for realising IGR within the distorted socioeconomic conditions of many parts of the country, and to compensate for the inadequate capacity of role players. The same applies to legislation on organised local government, with the result that SALGA can only partly play its important role. National policy on provinces is absent, resulting in a void with regard to a crucial link in co-operation between national and local spheres. Lastly, the IDP system is limited due to its prescriptive regulations, inadequate linkages to provincial and national planning systems, and the lack of capacity at local level.

As in other sections of this report, lack of capacity was a continuously recurring theme. The poorest provinces and municipalities, who need capacity most, find it most difficult to find experienced and skilled senior staff and resources for service delivery and infrastructure development. Of particular concern is the absence of experienced drivers of co-operative programmes, both political and administrative. Few MoUs exist between different departments, and co-operation is usually limited to programmes and projects, without full compliance to the rules of co-operation and co-ordination. This is despite the publication of an IGR Toolkit by the DPLG.

The complexity of co-operative governance and intergovernmental co-operation requires, on the one hand, clear and simple broad frameworks that guide the various processes and, on the other hand, sufficient flexibility to address the particularities of specific geographical, social and economic conditions. This tension will remain for the near future, and thus requires effective negotiation processes and experienced negotiators and implementation managers. This specialisation is largely absent in South Africa. The dire situation once again emphasises the need for clear guidance, effective and sustained communications, and a system of sharing best practices that includes interactive websites and discussion forums and temporary or permanent transfer of skilled personnel. Such

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complex situations call for clear political leadership and administrative support in all spheres and at all levels.

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7
7.1

ANALYSIS OF THE PUBLIC DEBATE

INTRODUCTION

The analysis of the public debate on sub-national governmental issues was drawn from the print media (newspaper cuttings provided by DPLG and HSRC). These media reports represent the broad views of the general public in terms of how they view and respond to local government. However, these reports are indicative, and not necessarily representative, at least at a national level. First, there are many media articles that have not been included, such as newspapers, radio and television coverage in indigenous languages, as well as popular magazines. Furthermore, the public media is an industry, which uses content to promote sales. This does not mean that reports in the media are invalid. On the contrary, it is often the media that uncover underlying problems in government, service delivery and development, and thus force government to respond to issues that are often uncomfortable. Tracking debates in the media is a complex process. The nature of entries varies from sensational reporting in the tabloid press, through political party propaganda and self-complimentary reporting, to in-depth investigative journalism and informed editorial comments. At the least taking notice of the media can alert us to issues of concern, which should be taken into account in a review of the government system and its operations.

In all, there were 128 newspaper cuttings on local government and 47 on provincial government provided by the DPLG. The articles have been categorised according to the subject matter relating to sub-national government. An attempt has been made to link the media articles to the questions on provincial and local government in the review discussion document.

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The table below summarises the media debate on local government.

Subject Service delivery Fraud/corruption Public funds Name changes Environmental issues Parastatals Laws, regulations, planning Inner city redevelopment City productivity index Political conflicts Floor crossings Municipal management of consultants and contractors Municipal workers strike Public servants/Councillors Living standards Public-private partnerships Public works Imbizo Total Table: Local government issues in the media

Number % 63 6 14 6 6 1 2 4 2 4 2 1 6 2 6 1 1 1 128 49.2% 4.7% 10.9% 4.7% 4.7% 0.8% 1.6% 3.1% 1.6% 3.1% 1.6% 0.8% 4.7% 1.6% 4.7% 0.8% 0.8% 0.8% 100%

7.2

SERVICE DELIVERY

The most popular subject matter was service delivery. The articles present the dichotomy that exists between government and the citizenry on service delivery.

The public is increasingly becoming discouraged and impatient at what they perceive as lack of service delivery, namely provision of housing, water supply, refuse collection, eradication of the bucket system, provision of electricity, transport, policing against crime, education, and so on. Many people feel betrayed

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by the government as promises of delivery have been made for years but not fulfilled. Interestingly, the ward committees do not figure at all in the public debates, pointing to the lack of impact they have on communities. It is clear that people want delivery rather than institutions for discussion. Additionally, the function of ward committees for report back on progress or lack of it appears to fail, as the general claim is that communities do not get responses from councils. On the other hand people may not be interested in ward committees any more, as they make no difference to their daily lives, and as a result ward committees do not reach their communities. The dissatisfaction and frustration have manifested in violent protests in which some councillors have been killed, or councillors and/or officials lives threatened. Property has been damaged, adding to the costs of service delivery.

Generally government responds to complaints about service delivery in two ways. First it continually gives itself a pat on the back for the progress it is making on service delivery. Indeed, statistics seem to indicate progress, yet, this is not sufficient. Politicians have made many promises, and citizens keep them to these promises. Particularly when communities have to wait for years while there is no progress and no acceptable explanation given, citizens often respond in aggressive ways, which attract media attention. Second, when confronted by the media, politicians tend to give weak arguments for non-delivery, and in some cases accuse communities of disrupting the process. In most cases politicians promise to take up the matter and resolve it within the foreseeable future. This response elicits accusations that citizens have already had to wait for many years for a solution, which implies that the new promises are empty. As most media are critical of government, particularly the newspapers, they highlight the protests and the failure of government to fulfil their promises. It appears that local government does not make positive use of the media, which then turns against them. Furthermore, as was highlighted in the analysis (Chapter 2), communication between government and citizens is generally very weak.

7.3

CITIZENS VIEWS ON SERVICE DELIVERY

The following are typical reports on citizens views that appear in the press.

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a)

General delivery

More service delivery protests which will indicate growing levels of public dissatisfaction with delivery in various municipalities could be expected in parts of Gauteng, Limpopo, Mpumalanga and North West, according to a research survey released About a third of residents in Gauteng were dissatisfied with service delivery (Business day, 4 October 2007).

Sebokeng went up in flames as police shot at and arrested residents of the Gauteng township during service delivery protests. We have been staying in shacks since 1995 There are more than 10 000 people living in Boiketlong informal settlement. We share a total 11 taps. These conditions are unacceptable. .residents say they have tried the peaceful route by talking to [the] Councillor Nora Nqobana and Mayor Sam Shabalala We handed over a memorandum on July 26 asking for answers Nothing was forthcoming. (The Times, 15 August 2007).

b)

On transport

Cape Towns public transport system is in a shocking state, with trains an average age of 46 years old, an ageing fleet of buses far from modern standards, and half the taxis are illegal. (Pretoria News, 6 November 2007).

Metrorail may suspend its KwaZulu-Natal train services if vandalism and assaults on staff members continued unabated. Metrorail said stoning incidents had also increased. Blessing Zungu, chairman of the KZN Commuters Forum, said the government was placing too much focus on the Gautrain instead of improving local train services... (The Sowetan, 24 October 2007).

c)

On health/ambulance services

Pretorias ambulance serviceis in shambles. Only half of the allocated ambulances are functioning and their response time is the worst in Gauteng. 19 private ambulances and eight response cars divided between Pretoria, Johannesburg and Ekurhuleni [and] had taken a lot of slack when dealing with patients not belonging to medical aids. (Pretoria News, 19 September 2007).

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d)

On refuse collection

A resident of Fourways who has been having problems with refuse removal, writes: I have still not received a written response, nor have been contacted with regards dates/times for collection of rubbish. My conclusion is that this is simply the level of service and incompetence that we are going to have to live with in South Africa just as we have to accept crime and corruption which has reached crisis levels. (The Star, 12 October 2007).

e)

On crime

A group of Lynwood Ridge residents plagued by violent crime have obtained an urgent Pretoria High Court interdict allowing them to erect temporary accesscontrol structures. Judge Chris Botha granted an interim order pending the finalisation of their court application to review the Tshwane City Councils refusal of their application several years ago. (The Citizen, 25 October 2007).

A man admitted to Bara hospital with a bullet wound was shot again this time fatally in front of officers guarding other patients. (The Star, 17 October 2007).

f)

On water supply

Protests by residents of Ntswele-tsoku near Zeerust have forced the government to provide water supplies to the areaThe demonstrations have helped us. We do not think that we will have water problems again. The government has provided us with short-term solution. (The Sowetan, 24 October 2007).

g)

On informal settlements/evictions

A rumour that residents of an informal settlement were to be forcibly removed led to violent clashes with the police yesterday. Residents of the sprawling Diepsloot informal settlement, north of Johannesburg, barricaded roads in protest at the rumoured evictions. (The Times, 2 November 2007).

h)

On housing

Heritage Day in Pretoria was marred by a series of violent protests sparked by poor service delivery. Group leader said they were tired of the councils excuses.

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We want our houses now. Council has been promising us for years but we are still waitingIts not fair. Council is selling the houses to outsider people. [A new home owner] received her house for freeHowever she thought so little of her new house that she said the land invaders could have it. They are too small. They are not nice. (Pretoria News, 25 September 2007).

7.4

GOVERNMENTS VIEW ON PROGRESS IN SERVICE DELIVERY

The media usually contacts government officials or politicians for comments and to ask what government intends to do about the problems.

a)

General

The small northern Free State community of Rammolutsi, people are constantly told to be patient, while the elusive dream of a better life is deferredthe kind of place that is repressed in nationalisms priestly caste narratives of the nation, its people, and the long way we have come. The reality of its 80%-plus unemployment is that most adult residents of Rammolutsi are unlikely to see their shacks transformed into formal housing or their children escape the unyielding grip of poverty. (Business Day, 10 October 2007).

Thousands of Kliptown residents violently protested over service delivery last month which according to them was non-existent. MEC for Local Government in Gauteng, Qedani Mahlangu, had said then that service delivery was not an issue, as there appeared to be underlying motives that affected a communitys plight. (The Citizen, 15 August 2007).

A cabinet committee will investigate the violent service delivery protests that have erupted countrywide. Government spokesperson Themba Masekosaid the committee would identify the causes of the strikes and determine what steps needed to be taken to prevent such crises from recurring. (Pretoria News, 7 September 2007).

The ANC has admitted that it is out of touch with the people it is meant to representtop officials blamed this alienation for the recent wave of violent

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protests about service delivery. They admitted that in-fighting has been a constant distraction and has weakened the party. (The Times, 8 August 2007).

b)

On police services/crime prevention

Local police stations are coming under scrutiny from the eagle eye of the AuditorGeneral who has begun a special audit of police performance at station level. The special audit would address public concerns about victims being turned away at stations, vehicle and bullet proof vest shortages, equipment failure and lack of proper supervision in the field. (Pretoria News, 20 September 2007).

The Tshwane Metro Council looks set to challenge Wednesdays Pretoria High Court ruling that gave permission to Lynwood manor residents to erect security access restrictions. The council refused the application because the view that gated communities are safer has not been thoroughly investigated. (Pretoria News, 26 October 2007).

7.5

CORRUPTION

Corruption permeates all levels of government from national and provincial, down to the municipalities. Corruption within government entails mismanagement of

funds and assets, not following regulatory guidelines, and so on. At local government level corruption often leads to a vicious cycle, which negatively impacts on service delivery opening doors for more corruption. Local government does not seem to care about its good name in the media, as the public is seldom informed about the outcome of disciplinary measures against corrupt officials. Added to this are numerous references to corrupt officials and councillors who remain on fully paid suspension until their cases are finalised. Local councils face a clear challenge of enforcing performance agreements with senior officials and taking quick disciplinary action when fraud becomes apparent.

National government encourages people to inform them about fraud and corruption. However, at local level there is little guarantee that whistle blowers will be protected, especially if several people have been involved in the fraud and only a few suspended. There have also been cases of violence resulting in the death of

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whistle blowers who could be fellow officials. This happened in a housing fraud case in Dundee (KwaZulu-Natal).

Some of the articles were as follows: At least 446 residents of the Winnie Mandela informal settlement in Tembisa have laid fraud charges against Ekurhuleni Metro council. They told police that some councillors allocated RDP houses and serviced stands to people who did not qualify. (The Sowetan, 25 October 2007).

The Special Investigating Unit has confirmed it is investigating thousands of government officials believed to have fraudulently received housing subsidies. (The Star, 20 September 2007).

Former Mangaung mayor Pappie Mokoena and 11 other people appeared in the Bloemfontein High Court[to] face some 250 charges of alleged racketeering, fraud, corruption, and money laundering. (The Citizen, 6 November 2007).

7.6

MANAGEMENT OF PUBLIC FUNDS

The reports on mismanagement or misappropriation of public funds covered issues ranging from calling for penalties on public officials who abuse public funds (The Times, 1 November 2007), to the cost of crime in the public sector (The Citizen, 15 August 2007), to the Auditor-General appealing to heads of departments to take responsibility for audits and not blame their accounting officers (Business Report, 12 October 2007). Reports recognised that government departments, including municipal government, require more skills in accounting and auditing disciplines, and that there is a need to fast track their training.

An article written by Trevor Fowler, chief operating officer and accounting officer in the Presidency notes: In our developmental state, the role of internal auditor is important. It is a role largely unheralded, yet it is one that will be a crucial element in any future success. The internal auditor is a partner in achieving the strategic agenda of the government. Under the Public Finance

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Management Act, there is a significant shift to outcomes-based planning, budgeting, expenditure, reportingThis is central to creating the environment for development. Internal audit is a partner to management in achieving these objectives, while being fiercely independent, to ensure that the development objectives are met, the government is held to account for its expenditure, and the publics funds are protected. (Business Day, 17 August 2007).

In other words, auditors and accountants are not only the policemen of organisational and/or public funds, but they are an essential cog in the process of development. Furthermore, it is important that officials obligated to deliver on services should appreciate the importance of the governance of public funds.

An article in the Pretoria News (31 October 2007) reported on the Finance Minister Trevor Manuel, urging the executive and public servants to, Stop [the] gravy train, [and] divert cash to services. He states that there is a lot of unnecessary spending on travel, hotel bills, entertainment, misplaced branding and communication initiatives, poorly managed consultancy services and related frills.

7.7

NAME CHANGES

The emotive issue of changing the names of municipal roads, public buildings, and so on is also reported in the media. There is a perception that the ANC, as the ruling party, will use the state apparatus to effect this without due consideration for public opinion. There is a further perception that only ANC heroes will be recognised in the name changes. Media reports on new policies in Johannesburg Metro Council not to use personal names for streets, with some exceptions, in order not to upset citizens have been prominent but isolated. Consistency on name changing processes is needed, with guidance from the national government.

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7.8

ENVIRONMENTAL ISSUES

Environmental issues were also reported in the print media, ranging from halting of development due to non-compliance with EIA, illegal dumping of rubbish by developers and competing developmental demands and environmental concerns.

7.9

PARASTATAL BODIES

An issue reported in the media that impacts on service delivery is the plethora of Chapter 9, Section 21 and other agencies that are being instituted. At national and provincial level there are 191 of these agencies. It seems that when there is a delivery problem, the national government creates an agency! Currently these agencies occupy 191 offices, requiring corollary staff, assets and equipment, and paying salaries to 191 CEOs. The question is: has the premise for this model of governance been adequately examined?

In an interview in Business Day (24 August 2007) a consultant, Wendy Dobson, indicated in an interview: All I see is a proliferation of brands. If Im a small business, do I go to Gauteng Enterprise Propeller, do I go to the Small Enterprise Development Agency? Do I go to my municipality? Do I go to (enterprise finance agency) Khula? By having all these brands, weve created confusion for people. Its almost like when everybody is responsible, nobody is responsible. She continues: We havent had a sufficient transformation of the state. This idea of a developmental state means a strong, well-capacitated state. You need a culture of delivery and excellence in government. What we should be focusing on is building that and inculcating that kind of culture, not just setting up an agency to avoid the challenge.

Co-ordination of these agencies by government departments is proving to be problematic as is accountability. Some agencies that report to Parliament refuse to talk to government officials.

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7.10

LAWS, REGULATIONS, PLANNING

Another issue that impacts on service delivery is that there are many policies, strategies and plans that have been developed, but there are no unlocking mechanisms prescriptions that can assist local government in service delivery. (Business Day, 28 August 2007).

7.11

MISCELLANEOUS

The remaining articles in the sample on municipal government covered subjects ranging from inner city renewal; a municipal productivity index; political conflicts and floor crossings; municipal management of consultants and contractors; the municipal workers strike; reports on public servants who also serve as councillors and the call by the Public Service Commission to stop this practice; research on peoples general socio-economic status, which claim that living standards are improving in South Africa; public works; imbizo; and public-private partnerships.

7.12

ANALYSIS OF THE PUBLIC DEBATE ON PROVINCES

An analysis of the public debate on the provincial government policy review process was undertaken for this chapter. The media reports were sorted according to their relevance to either the review of provincial or local government, where in rare instances the articles involved both spheres of government. Media articles were supplemented by other written contributions produced for the public domain, by research institutions, writers affiliated with research institutions, organs of state, and political parties. The process involved firstly sifting through all media articles and selecting those dealing specifically with issues related to the functioning and future of provincial government. These articles were then scanned in order to identify their primary subjects. All articles were then coded or categorised according to prevailing themes. The final step involved calculating the representation of each subject as a percentage of the total articles. It should be noted that the articles received and collected were produced between 2006 and 2007, which closely coincided with the build up and launch of the policy review process. This analysis does not therefore take account of the public debate on the

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future of the provinces prior to 2006, which, as mentioned in the introduction to this chapter, dealt with institutional transformation and financial management (namely over-expenditure) in the late 1990s.

The results of the analysis are shown in the table below.

Subject of articles Beneficiary protests Delivery capacity Demarcation Expenditure Fraud Future of provinces Launch of policy review Political conflict Political debate on policy review Poor service delivery Powers/functions (provincial-local). Stories around launch policy review TOTAL

Number 3 4 6 4 1 13 5 1 6 1 1 2

% 6.4% 8.5% 12.8% 8.5% 2.1% 27.7% 10.6% 2.1% 12.8% 2.1% 2.1% 4.3%

47 100.00%

Table: Analysis of public debate on provincial government review

The most widely written about subject was general debates about the future of provincial governments These articles engaged with the parameters and implications of the debate as laid out in the introduction to this chapter. Issues raised included possible future options for the existence and role of provincial government, and debates about what these could and should be. In second place was a tie between demarcation issues and political debate on the policy review process. Most submissions in the latter category put across the positions of organs of state and political parties on the review itself and on the role of the provinces. Although demarcation issues were prominent, all cases related to the resistance of the residents of Khutsong in the Merafong municipality to incorporation into the North West province. On the one hand, the volume of articles produced on this

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case reflected its unique circumstances, involving prolonged protests and civil conflict. On the other hand, the case indicates that the issue of demarcation remains relevant and might increase in importance should future options for the provinces involve a reduction in the number of provinces and a consequent redrawing of boundaries.

The remaining sample of articles covered a range of subjects, including coverage of the launch of the policy review process on local and provincial government, challenges of provincial delivery capacity, poor expenditure performance, protests by beneficiaries of services (around housing removals), fraud, political conflict, poor service delivery and issues relating to provincial-local sharing of functions.

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8.

CONCLUDING CHALLENGES

NARRATIVE,

EMERGING

THEMES

AND

Government has initiated a review of its system of government for a number of reasons: Since 1994 a body of practical experience about government and development has accrued, which provides new insights into ways to improve the system. South Africans clearly expect better services from their government. Local government as a coherent entity only joined the other two spheres of government at a later stage. The absence of clear overarching policy on provinces. Project Consolidate has brought significant improvements in several municipalities, but these are clearly short-term and need to be extended into a system of good governance.

Although its focus is on provincial and local government, the Constitutional arrangements, which set out three distinctive, interdependent and interrelated spheres of government, broadens this focus to a comprehensive and all-inclusive review. The submissions on which this report has been based confirm the complexities and tensions within such a system.

A system review is by definition comprehensive, and analyses at least the following system elements: the system as a whole in relation to its context the structure of the system, consisting of the individual components internally and in their external relationships structural linkages between the components the dynamics and inertia of the system, including processes within the system and outside linkages the capacity of the system, including its inhabitants and the resources that (should) keep the system alive.

144

The purpose of the review is ultimately to act as a control of the appropriateness of the system or its components to changing circumstances, and to link the system to its objectives of good governance for better livelihoods of South African citizens.

The findings in the report unearthed and highlighted a number of key issues that can assist in the improvement and/or overhaul of the system of government. These findings have been categorised in five parts, each dealing with a specific set of issues or concepts that impact on the total system. Although these parts are discussed separately, the manner in which they are embedded in the Constitution implies both distinctiveness and interdependence. Furthermore, as in any system, problems in one component tend to affect other components, often cascading down with increasing impact, picking up related problems on the way. The first set of issues dealt with the concept and structures of governance. The governance structure was the result of a complex and delicate balancing of demands and opportunities leading to a complex weaving of structures, powers, functions and responsibilities. These complexities apply to intra- and inter-structural relationships. Several submissions referred to an unnecessarily complex system and emphasised the need for simplification and standardisation. However, at the same time the complexity of the context requires flexibility in the system, which by definition increases the options people have in their government tasks. The resulting tensions could be manageable if the mandates of the various spheres and sub-spheres were clearly spelled out in policies and directives.

Systems depend totally on the communication between their components for effective functioning. Communication connects, informs, enables and controls. From the submissions it is clear that communications are a serious problem due to peoples tendency to postpone, communicate unclearly, resistance and

competition, and lack of infrastructure and skills. Resolving the communication problems requires commitment to the realisation of a shared vision and the deployment of effective means of communication.

145

The complexity of the system requires high levels of capacity, which most submissions reported as lacking throughout government. Capacity refers to human and other resources. Throughout the report this issue has been mentioned as crucial in finding solutions to all aspects of the government system. Ultimately the people in an organisation drive the process towards success or failure. It is people who communicate and co-ordinate. This is particularly important both intrasystemic (within and between departments and levels) and between the system and South African citizens. A major challenge is thus the speeding up of human capacity building, which under the best of conditions remains a process that takes time.

The Constitution describes the South African government as developmental in view of the challenges it faces to resolve poverty and disparities, inequalities and backlogs in infrastructure and service delivery. Although many Constitutional rights are valued by citizens, it is service delivery that is felt most directly when it fails. Government performance is measured foremost in terms of its success or failure in service delivery. From the submissions it is clear that service delivery fails in many instances. This is confirmed in the media reports. The challenge of service and infrastructure delivery is increased by the imperative of integrated development, an approach which is built on the interrelatedness of development strategies and plans. When the integrative aspect of the government system is weak, its service delivery falls apart or is offered haphazardly. Such failures are often augmented by the complexity and underdevelopment of the context: South African society is fragmented and underdeveloped.

The main issue in developmental government in the submissions was the weak implementation of mechanisms such as IDPs and PGDPs. This is also where failure is highly visible. The failure of developmental provincial or local government has given rise to the question whether provinces should remain, at least in their present form. Many submissions suggested changes, ranging from their abolition as legislative bodies to their reincarnation as implementation arms of national departments. However, from a systems point of view the distance between national and local government is too great, and an intermediary component is required. The type and form of such an intermediary, whether it is called provincial or something

146

else, will have to be determined by the relationships within the total system, and the requirement not only of service delivery, but also feedback to national government for adaptation of policies and legislation.

One solution that was supported by many submissions was to be found in partnerships. The first line of partnership would be between public entities, which would confirm the current system. The second line would be public-private partnerships, which would make private sector effectiveness and efficiency available, but within a partnership in which profit becomes important. Lastly, publiccommunity partnerships were proposed, but with a condition that community partners needed capacity building for sustainable delivery. A major problem with partnerships is that they tend to make the system even more complex, requiring additional management capacity, which is lowest in the areas where partnerships are needed most. This dilemma would best be resolved through a more capable government. This, in turn, would require high-level skills and intensified skills development, such as the JIPSA initiative sets out to achieve. Part of this capacity building would be the improvement of monitoring and evaluation systems to ensure compliance and accountability, two areas that were highly criticised in the submissions.

Systems and structures with developmental mandates have little meaning if powers and functions are not clearly defined and demarcated. This area is one of the most problematic in South African government according to the submissions. The Constitution allocates powers in broad terms and lists functions in Schedules 4 and 5. However, these are just descriptions of powers and functions and do not provide for the required operations. Although legislation on local government is quite detailed, its implementation has proved to be highly problematic. Policies and legislation in regard to provincial powers and functions are non-existent. The

resulting vagueness of the concept of shared powers leads to increased duplication and overlapping, as the practical application of distinctiveness and interdependence is unclear and implementation in specific localities is marred by complex conditions and the low capacity of local government.

147

The first challenge in powers and functions is thus to demarcate them and determine their application through policies. Several submissions proposed that committed implementation of the IGRF would resolve many of the problems. Again such implementation would require simplification and flexibility. The resulting tension would be resolved by comprehensive and clear MoUs and joint programmes. A further suggestion would be the flattening of the government system, towards a leaner government. This would require improved skills for decision making and negotiations to prevent any gaps in the processes. Interestingly, provinces are the key hinge on which such MoUs would hang, as intermediaries between national policies and local implementation.

Funding is the fuel and lubrication for the functioning of the government machine system. Without it the machine stops, and citizens protest. Co-ordinated funding allows government at all levels to co-operate towards achieving shared objectives. Lack of co-ordination creates bottlenecks, overspending and underspending. Funding is thus an important tool for delivery, which is highly dependent on the effectiveness and efficiency of the components of the system, and the people that populate the system. Within the context of developmental government funding will always be problematic in South Africa. Generally the demand for funding exceeds availability, and where funds become available they need skilled people to manage them. Funding tends to create its own dynamics as it is highly portable. Funds easily disappear or are mismanaged due to the pressure on delivery, and innate human greed. Funding brings the need for responsibility and accountability. Morality is thus an important part of the funding sub-system. An improved government system would require an accountability system that is parallel yet linked to the funding system, which again makes the total system complex and unwieldy. Many submissions referred to the complexity and difficulty of the accountability system that was applied through the PFMA and MFMA. Particularly the smaller municipalities lacked the experienced staff for financial compliance. The complexity is increased by intergovernmental relations, and most tellingly in the case of shared functions or unfunded mandates. In addition most sectors and levels in government lack accurate data that allows them to plan efficiently. Role players therefore have to continuously take decisions based on incomplete

148

knowledge. As a result the tension between the need for flexibility and the need for standardisation and strict compliance remains.

The observations so far indicate that part of the solution lies with improving the realisation of good co-operative governance. This is the underlying principle in the system of three spheres (rather than tiers) and the imperative for implementation of these principles. Unless the Constitution is drastically changed, the government spheres and levels will have to ease the tension between distinctiveness and interdependence through solid co-operation. This solution has several aspects. First there is a need for a coherent and shared vision, which has been formulated in a consultative way that takes the realities in all spheres and levels into account. This vision has to be translated into policies and programmes of action through memoranda of agreement or understanding, structured joint action programmes and agreed procedures. This requires clearly aligned policies and procedures. Cooperation depends on the ability of components and actors in the system to understand their roles and responsibilities and their ability and commitment to execute these responsibilities. Furthermore this execution of responsibilities must not first depend on human individuals, but be embedded in the system, with sufficient incentives for performance and penalties for non-performance. The link between role execution, morality and attitude, skills and political will has been emphasised by many submissions and media reports. Ultimately it requires solid self-management, motivation and wisdom. Alongside this capacity, role players need the necessary information and accurate data to negotiate on equal footing and achieve efficient deliverables. Lastly, as shown earlier, co-operation can only take place when people in the system communicate effectively and in a timely manner.

A system of government is a living thing. It is continuously constructed and reconstructed over time in answer to new challenges and insights. It is populated and repopulated by human beings who have their strengths and weaknesses. Thus the system cannot be perfect, yet its people strive for perfection. It remains fragile in a maturing democracy which remains fully competitive over the scarce resources and the powers to use these resources. The government system lives within a dynamic global, continental and regional context, and crises elsewhere, such as

149

global economic recessions, inevitably impact on local situations. Although political horizons tend to be short, a developmental government has to accept that maturing the system requires a long-term approach. Yet this approach can only be realised through step-by-step assessment and reconstruction towards a solid building.

150

9.

TABULAR SUMMATION OF THE SUBMISSIONS

See separate report on provincial and local government

151

ANNEXURE A
Department of Provincial and Local Government Directorate: Research

SUBMISSIONS TABLE FOR PUBLIC RESPONSES ON SYSTEM OF PROVINCIAL AND LOCAL GOVERNMENT: GENERAL

Submission List S1 S2 S3 S4 S5 S6 S7 S8 S9

Name of Individual/Org Mr G.J.J. Senekal Mr Eric Hall Ambassador D B Sole Mr Van der Schaaff L A Wright Gebane Ms D Matonsi Mr C Mbanjwa B S Foord

Topic/Comment Discipline & Responsibility Communication between councillors and the public The role of the central government Reduce the three spheres of government Lack of services but many provinces Scrapping provinces Lack of Service Delivery Provision of training to councillors Development of an Integrated Management System for three spheres of Government Separation between Provincial & Local Government

Date 16/08/2007 16/08/2007 21/08/2007 27/08/2007 29/08/2007 29/08/2007 29/08/2007 29/08/2007 30/08/2007

S10

Western Cape Department of Agriculture (HoDs Office).

10/09/2007

S11 S12 S13

Free State King Tsotetsi Traditional Council Jackson Ngcelwane Stellenbosch Municipality (Director: Corporate Services). Randfontein Local Municipality (Municipal Manager). B.S. Foord & D Troskie Southern Cape Land Committee Dr EW Burger Modimolle Municipality (Municipal Manager). Leigh Sax

Powers & Functions for provincial and local government Powers & Functions of three spheres of Government Additional Questions to section 1&2 of Policy Talk Community Participation

21/09/2007 30/08/2007 17/09/2007

S14

2/10/2007

S15 S16 S17 S18 S19

Functions of three spheres of government Dissolve the provincial Government Loc and Provincial Gov need a thorough make-over and improvement Questions on Local Government Communities must take responsibility for their own needs

September 2007 10/10/07 02/10/07 08/10/07 10/10/07

152

S20

S21

Eastern Cape Civil Society and Prepared by Afesis-Corplan Dr Molefi Sefularo

Powers and functions of the three spheres of Government Recommendations that can be used to organize the systems of government in SA Demarcation between Local Municipalities Powers and Functions of the Municipalities Provincial office for each state department Capacity building Social grants issues and the function of the local government Clear definition of the functions of Local Municipalities should be outlined Responsibilities of the spheres of Government Issues in the three spheres of Government

October 2007

16/10/07

S22 S23 S24 S25 S26 S27 S28 S29

Transvaal Agricultural Union (SA) Ndlambe Ratepayers Forum Mr R Leibbrandt SA Management Development Institute Mr M Mzumala, Meadowlands Dave Van Schalkwyk Mr IH Robson Nelson Mandela University (Director: Institute for Sustainable growth and Development). South African Police Services (National Commissioners Office). Bushmans River Mouth Ratepayers Association City of Cape Town (City Manager). Municipal Demarcation Board University of Free State (Programme Director: Governance and Political Transformation Programme). Department of Education (Gauteng). - DGs Office Swartland Municipality (Municipal Manager). North-West University (Schools of Social and Government Studies, Research Focus areas, Public Management, Political studies and African Centre for Disaster Studies). Northern Cape Provincial Government (Office of the

16/10/07 17/10/07 17/10/07 17/10/07 17/10/07 22/10/07 18/10/07 16/18/07

S30

The role of the National Commissioner in the three spheres of Government Functions and powers of the Local Government The roles and expectancy from the various spheres of government and ties of municipalities Three spheres of Government and the institutional rationalisation Co-operative Government

19/10/07

S31 S32

17/10/07 19/10/07

S33 S34

19/10/2007 22/10/07

S35 S36 S37

Limited revenue to manage developmental roles The system of provincial and local government Macro-challenges and the functioning of provincial and local government

17/10/07 25/10/07 23/10/07

S38

Interaction between municipalities and communities through local Imbizos

31/10/07

153

S39 S40

Premier). Human Sciences Research Council Umvoti Municipality (Speaker). Wits (Centre for Applied Legal Studies). Aurora Ward Committee Frieda Human Kennedy Mahlatsi Andre A Louw

White Paper Policy Review The metros and biggest towns are in a better position to undertake local government functions Municipalities need to strengthen partnerships with key private, public and community stakeholders Provincial Government must be reduced to an administrative function only Develop a proper 5 year IDPS in consultation with the community Communities must be involved in the decision making Ward committees can be more effective if they can have a standard tear off strip that people can fill in with an issue directed to a specific department and guarantee a response within a month or so The role of provincial and loc government in economic planning Issues on traditional leadership disputes and claims

30/10/07 30/10/07

S41

30/10/07

S42 S43 S44 S45

30/10/07 30/10/07 29/10/07 30/10/07

S46 S47

S48

Chamber of Mines of South Africa Group Executive Committee Members of Free State King Prince Tsotetsi Mr K Brown

31/10/07 24/10/07

S49

Department of Public Works (DGs Office). Mutale Municipality (Ward 6,7,8 and 10). Office of the Premier Eastern Cape province

S50 S51

S52

S53 S54 S55

Provincial Government of the Western Cape (policy Development & IGR, Governance & Integration: Office of the Premier). Good Governance Learning Network Umzimkhulu Municipality (Stakeholder Submission). National Community Radio Forum Dr GF Adams Maruleng Municipality

Few people involved in government work had any experience in government functions Cooperative governance has not been effectively addressed through the Intergovernmental Relations Act. Powers and functions of the three spheres of government There is a need to review whether spheres instead of tiers of government is not limiting the ability of government for decisive interventions The intentions and goals behind the creation of provincial government in 1994

26/10/07

24/10/07

29/10/07 31/10/07

31/10/07

S56 S57

Issues within the local government context that need to be reviewed The role of provincial and local government Citizens must be given the opportunity to participate in local government decision making Ward committees are in effective in Swartland area The role of the local government

31/10/07 01/11/07 01/11/07

10/31/07 01/11/07

154

S58

S59 S60

(Municipal Manager). Khanya African Institute for Community Driven Development Institute for Democracy in South Africa Association of Democratic Alliance Councillors Orania Representative Transitional Council Centre for Constitutional Rights DA caucus in the City of Johannesburg EDI Holdings Polokwane Municipality (Speaker). South Africa Municipal Workers Union Buffalo City Municipality (Speaker). R Swanepoel and Associates South Africa Council for Organic Development and Sustainability DPLG & SA National Council for the Blind (Transcript of White Paper Process Workshop). Sedibeng District Municipality (Director: IGR). Du Toit Hendrik Transform Project (Led by GTZ and DEAT). Nkonkobe Municipality Institute of Municipal Administration for Southern Africa Salga - Free State Province (CEOs Office).

The role of the three spheres of government Issues in respect of provincial government and cooperative governance Local government legislatures must address the lack of capacity within the council to deliver. The role of the local government The incompetence of the management and officials involved in the functioning of the spheres of government Public participation processes are not effective Powers of the national and Provincial spheres in respect of local matters The local government system The role of the three spheres of government Powers and functions between the provincial and local government requires to be reviewed Powers and functions of the three spheres of government The role of the local government

31/10/07

31/10/07 31/10/07

S61 S62

31/10/07 31/10/07

S63 S64 S65 S66 S67

31/10/07 31/10/07 31/11/07

31/10/07

S68 S69

31/10/07 31/10/07

S70

Drafted transcript of the White Paper Process Workshop

09/10/07

S71

The role of a district municipality and two tier local government Communities must be involved in municipal affairs The role of municipalities and the issue of climate change The role of municipalities A closer liaison between organized local government and municipalities must be encouraged Clear guidelines on the roles and responsibilities of ward councillors, proportional representative councillors, and CDWs Local government a delivery point of government as a whole Service delivery concerns in housing projects, water services, sanitation,

30/10/07

S72 S73 S74 S75

31/10/07 31/10/07 31/10/07 31/10/07

S76

31/10/07

S77

S78

Nelson Mandela Bay Municipality (Municipal Manager). SA Women in Dialogue

31/10/07

31/10/07

155

S79

S80

Lepelle-Nkumpi Local Municipality (Municipal Manager). Nic Van Deventer

accessible roads and electricity backlog The role of local and national government

31/10/07

S81 S82 S83 S84

National house of traditional leaders Madibeng Local Municipality Catholic Institute of Education Sol Plaatje Municipality (Speaker).

Duplication and fragmentation of services must receive serious consideration and attention Community participation in development Powers and Functions of the three spheres of government The role of the three spheres of government The relations between employer bodies and municipal trade unions must be reconstructed around common commitment Powers and Functions of the three Spheres of Government Functional responsibilities between spheres of government must be harmonized by standards of operation managed by a single authority National Numbers and Needs in Local Government The role of the Local Government

31/10/07

31/10/07 05/12/07 01/11/07 01/11/07

S85 S86

Free Basic Services Branch (dplg). AZAPO

27/10/07 02/11/07

S87 S88

Allyson Lawless Department of Local Government (Gauteng). (MECs Office). Institute for Performance Management

02/11/07

S89

S90 S91

Harold Oliver Institute for Local Government Management of SA Lucas Sihlangu Ward 16 (Richmond municipality?). Mr Maila Department of Education (DGs Office).

S92 S93 S94 S95

S96

Freedom Front Plus

S97

Shere Residents Association

Urgent attention on appropriate organizational performance management approach in the functioning of government (National and Local Level). Functions of the Local Government National Government and Provinces are expected to monitor municipalities by putting appropriate monitoring procedures and reporting mechanisms Number of provinces not to be eradicated completely but to be reduced to six The role of the three spheres of government The National and Provincial government must use at least two official languages The National and Provincial Government must develop monitoring and evaluation tools to support and to oversee local government. The number of provinces should not be reduced rather and under certain circumstances be increased, and its powers and functions be expanded. People at the grass roots level are not encouraged to take part in municipal budgeting process

31/10/07

02/11/07 02/11/07

30/11/07 05/11/07 05/11/07 05/11/07

05/11/07

October 2007

156

S98 S99

Department of National Treasury (DDG: IGR). Gordon Howell

S100 S101 S102

S103

S104

S105

S106

Greater Kokstad Municipality (Speaker). Eden District Municipality (Municipal Manager). ESKOM (Managing Director: Distribution Division Johannesburg). Centre for Education in Economics and Finance Africa Department of Public Administration and Services South African Local Government Association (SALGA). Dannhauser Local Municipality (Speaker). George Municipality (Speaker). Nalal Local Municipality (Ward 2,5,6,7,8,9,11,12). Amahlathi Local Municipality (Councillor M. O. Zama). Umdoni Local Municipality (Speaker). Transnet Office of the Public Service Commission Free State Traditional leaders SA Cities Network Breede River Winelands local Municipality (Municipal Manager). Department of Environmental Affairs and Tourism (Director General (Acting). Department of Agriculture, Conservative and Environment (Gauteng). South African Human Rights Commission

The South African Intergovernmental Fiscal System A number of problems between council, councillors, ward committee members and the general public Response from ward committees Powers and Functions on the three spheres of government Issues relating to electricity supply

02/11/07 05/11/07

18/10/07 02/11/07 02/11/07

Response to questions on Local Government Questions of the three spheres of Government and questions on monitoring and evaluation SALGA proposal on issues relating specifically to Local Government Local Council should strengthen the communication means with its communities Public Participation should be encouraged Functions of the three spheres of Government Questions on Local Government

07/11/07

07/11/07

25/10/07

07/11/07

S107

07/11/07

S108 S109

07/11/07 09/11/07

S110 S111 S112 S113 S114 S115

Questions on Local Government Local, provincial and national government Principles governing public administration Traditional leaders affairs Metropolitan Municipalities Questions on Local Government

09/11/07 13/11/07 13/11/07 13/11/07 13/11/07 13/11/07

S116

Proposed allocations of powers between spheres of government

16/11/07

S117

The role of Provincial, Local and national government Comments regarding the proposed centralization, minimization or eradication of the provinces

09/11/07

S118

21/11/07

157

S119

S120 S121 S122 S123 S124 S125

Western Cape District Municipalities Environmental Health Working group National Department of Housing Fetakgomo Local Municipality Project Consolidate (dplg). South African Revenue Service Department of Education (Kwazulu-Natal). Central Karoo District Municipality Konrad-Adenauer-Stiftung Hessequa Municipality Department of Environmental Affairs and Development Planning (Western Cape). Agri SA Kagisano Local Municipality Department of Education (Northern Cape). Department of Agriculture, Conservation and Environment (North West). Department of Economic Development and Tourism (Western Cape). Kheis Municipality DBSA Provincial Treasury (KwaZulu Natal). Hibiscus Coast Municipality Saldanha Bay Municipality

Powers and functions of the three spheres of government

29/10/07

Focus on the Current System of Government The role of the three spheres of government The situation at the Local Government level Centralisation/Decentralisation Powers and Functions of the three spheres of Government Good governance Why were provinces created? The role of the three spheres of government The role of the Local Government

21/11/07 31/10/07 October/Nove mber 2007 22/11/07 27/11/07 30/11/07

S126 S127 S128

30/11/07 30/11/07 30/11/07

S129 S130 S131 S132

The role of the Local Government The role of the National Government Hierarchy of Priorities should be constructed The role of Provincial and Local Government

04/12/07 05/12/07 06/12/07 10/12/07

S133

The role of Provinces

11/12/07

S134 S135 S136

.Questions on Local Government and Development planning Powers and Functions of Local Government The role of Provincial Government The role of Local Government The current System of Government contribute to lack of sustainable service delivery The role of Provincial and Local Government The role of local government in service delivery. The role of Local and Provincial Government Functions of Local Government

11/12/07 11/12/07 12/12/07 13/12/07 12/12/07

S137 S138

S139 S140

Limpopo Provincial Government Participation Junction Richmond Municipality

13/12/07 14/12/07 14/12/07 18/12/07

S141 Provincial Treasury

158

S142 S143 S144

(Eastern Cape). Lesedi Local Municipality Department of Social Development Department of Health (Gauteng). Small Enterprise Development Agency (SEDA). Richmond Municipality (Wards input) Land and Agricultural Bank of South Africa

Functions of three spheres of government Functions of three spheres of government Powers and Functions of the spheres of government Interest Groups should be include in Municipal Affairs Functions of Local Government

18/12/07 09/01/08 11/01/08 16/01/08

S145 S146

19/12/07

S147 148 Land Bank towards the provincial and local government policy review will be centred on agriculture and rural development Comments on Local Government issues

149 150 151 152

Department of Land Affairs Limpopo Sport Arts and Culture Voorleggings Vorm/Solinus Jolliffe Samuel Nhlabathi

07/01/08

159

ANNEXURE B SUBMISSIONS FOR PUBLIC RESPONSES ON SYSTEM OF PROVINCIAL AND LOCAL GOVERNMENT PER CATEGORY

INDIVIDUAL SUBMISSIONS TABLE FOR PUBLIC RESPONSES ON SYSTEM OF PROVINCIAL AND LOCAL GOVERNMENT

Number 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30

Name of Individual Mr G.J.J. Senekal Mr Eric Hall Ambassador D B Sole Mr Van der Schaaff L A Wright Gebane Ms D Matonsi Mr C Mbanjwa B S Foord Jackson Ngcelwane B.S. Foord & D Troskie Dr EW Burger Leigh Sax Dr Molefi Sefularo Mr R Leibbrandt Mr M Mzumala, Meadowlands Dave Van Schalkwyk Mr. I H Robson Frieda Human Kennedy Mahlatsi Andre A Louw (Comments from the members of the public from the City of Cape Town Mr K Brown Dr GF Adams Hendrik Du Toit Nic Van Deventer Allyson Lawless Harold Oliver Lucas Sihlangu Mr Maila Gordon Howell

Submission number S1 S2 S3 S4 S5 S6 S7 S8 S9 S12 S15 S17 S19 S21 S24 S26 S27 S28 S43 S44 S45 S48 S56 S72 S80 S87 S90 S92 S94 S99

160

NATIONAL DEPARTMENTS SUBMISSIONS TABLE FOR PUBLIC RESPONSES ON SYSTEM OF PROVINCIAL AND LOCAL GOVERNMENT

Number 1 2 3 4 5 6 7 8 9 10 11

National Department South African Police Services (National Commissioners Office). Department of Public Works (DGs Office). Free Basic Services Branch (dplg). Department of Education (DGs Office). National Treasury (DDG: IGR). Department of Public Administration and Services Office of the Public Service Commission Department of Environmental Affairs and Tourism National Department of Housing Project Consolidate (DPLG). Department of Social Development (Chief Director: Strategy, Planning, Development & Risk Management). Department of Land Affairs (Acting Director General).

Submission number S30 S49 S85 S95 S98 S104 S112 S116 S120 S122 S144

S149

12

PROVINCIAL GOVERNMENT AND DEPARTMENTS SUBMISSIONS TABLE FOR PUBLIC RESPONSES ON SYSTEM OF PROVINCIAL AND LOCAL GOVERNMENT

Number

Provincial Government / Department

Submission number S10 S35 S38 S51 S52

1 2 3 4 5

6 7 8

Western Cape Department of Agriculture (HoD Office). Gauteng Department of Education (DGs Office). Northern Cape Provincial Government (Office of the Premier). Province of the Eastern Cape (Office of the Premier). Provincial Government of the Western Cape (policy Development & IGR, Governance & Integration: Office of the Premier). Gauteng Department of Local government (MECs Office). Department of Agriculture, Conservative and Development (Gauteng). Department of Education (Kwazulu-Natal).

S88 S117 S124

161

9 10 11 12 13 14 15 16 17 18

Department of Environmental Affairs & Development Planning (Western Cape). Department of Education (Northern Cape). Department of Agriculture, Conservation and Environment (North West). Department of Economic Development and Tourism (Western Cape). Provincial Treasury (KwaZulu Natal). Limpopo Provincial Government (Office of the DG). Department of Agriculture, Conservation and Environment (DDG Office). (North West). Provincial Treasury (Eastern Cape). Department of Health (Gauteng). (HOD). Department of Sports, Arts and Culture (Limpopo).

S128 S131 S132 S133 S136 S139 S140 S142 S145 S150

MUNICIPALITIES SUBMISSIONS TABLE FOR PUBLIC RESPONSES ON SYSTEM OF PROVINCIAL AND LOCAL GOVERNMENT

Metros

Number 1 2 Districts

Municipality City of Cape Town (City Manager). Nelson Mandela Bay (Municipal Manager).

Submission number S32 S77

Number 1 2 3 Locals

Municipality Sedibeng District Municipality (Director: IGR). Eden District Municipality (Municipal Manager). Central Karoo District Municipality

Submission number S71 S101 S125

Number 1 2 3 4

Municipality Stellenbosch Local Municipality (Director: Corporate Services). Randfontein Local Municipality (Municipal Manager). Modimolle Local Municipality (Municipal Manager). Swartland Local Municipality (Municipal Manager).

Submission number S13 S14 S18 S36

162

5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30

Umvoti Local Municipality (Speaker). Mutale Local Municipality (Ward 6,7,8 and 10). Umzimkhulu Local Municipality (Stakeholder Submission). Maruleng Local Municipality (Municipal Manager). Polokwane Local Municipality (Speaker). Buffalo City Local Municipality (Speaker). Nkonkobe Local Municipality (Municipal Manager). Lepelle-Nkumpi Local Municipality (Municipal Manager). Madibeng Local Municipality Sol Plaatje Local Municipality (Speaker). Kokstad Local Municipality (Speaker). Dannhauser Local Municipality (Speaker). George Local Municipality (Speaker). Nala Local Municipality (Ward 2,5,6,7,8,9,11,12). Amahlathi Local Municipality (Councillor M. O. Zama). Umdoni Local Municipal (Speaker). Breede River Winelands Local Municipality Fetakgomo Local Municipality Hessequa Local Municipality (Municipal Manager). Kagisano Local Municipality Kheis Municipality (Municipal Manager). Hibiscus Coast Municipality (Municipal Manager). Saldanha Bay Municipality (Municipal Manager). Richmond Municipality (Office of the Mayor). Lesedi Local Municipality (Municipal Manager). Richmond Municipality (Municipal Manager).

S40 S50 S54 S57 S65 S67 S74 S79 S82 S84 S100 S106 S107 S108 S109 S110 S115 S121 S127 S130 S134 S137 S138 S141 S143 147

STATUTORY ORGANISATIONS SUBMISSIONS TABLE FOR PUBLIC RESPONSES ON SYSTEM OF PROVINCIAL AND LOCAL GOVERNMENT

Number

Organisation

Submission Number S25 S33 S39 S76 S81

1. 2. 3. 4. 5.

SA Management Development Institute Municipal Demarcation Board (Chairperson). Human Science Research Council (Salga). Free State Province (CEOs Office). National House of Traditional Leaders (Chairperson).

163

6. 7. 8. 9. 10. 11. 12. 13.

ESKOM (Managing Director: Distribution Division Johannesburg). SALGA Transnet South African Human Rights Commission South African Revenue Service DBSA Small Enterprise Development Agency (SEDA). Land and Agricultural Bank of South Africa

S102 S105 S111 S118 S123 S135 S146 S148

OTHER ORGANISATIONS SUBMISSIONS TABLE FOR PUBLIC RESPONSES ON SYSTEM OF PROVINCIAL AND LOCAL GOVERNMENT

Number 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20

Organisation SA National Council for the Blind (Transcript of White Paper Process Workshop). SA Cities Network Institute for Democracy in South Africa (IDASA). Eastern Cape Civil Society and prepared by AfesisCorplan Institute of Municipal Administration for Southern Africa South Africa Municipal Workers Union Good Governance Learning Network Association of Democratic Alliance Councillors Institute for Local Government Management of SA Transform Project (Led by GTZ and DEAT). Khanya African Institute for Community Driven Development SA Women in Dialog Bushmans River Mouth Ratepayers Association Ndlambe Ratepayers Forum Aurora Ward Committee Free State King Tsotetsi Traditional Council Ward 16 (no indication from which municipality). Shere Residents Association Free State Traditional leaders Western Cape District Municipalities Environmental Health Working Group

Submission Number S70 S114 S59 S20 S75 S66 S53 S60 S91 S73 S58 S78 S31 S23 S42 S11 S93 S97 S113 S119

164

21 22 23 24 25 26 27 28 29 30 31 32 33 34 35

Centre for Education in Economics and Finance Africa Institute of Performance Management Southern Cape Land Committee Orania Representative Transitional Council Group Executive Committee Members of Free State King Prince Tsotetsi Centre for Constitutional Rights (Deputy director: F W de Klerk Foundation). Executive Fortress for farmers South Africa (TAU SA). Chamber of Mines of South Africa National Community Radio Forum EDI Holdings R Swanepoel and Associates SA Council for Organic Development and Sustainability Catholic Institute of Education Konrad-Adenauer-Stiftung Agri SA

S103 S89 S16 S61 S47 S62 S22 S46 S55 S64 S68 S69 S83 S126 129

POLITICAL PARTIES SUBMISSIONS TABLE FOR PUBLIC RESPONSES ON SYSTEM OF PROVINCIAL AND LOCAL GOVERNMENT

Number 1 2 3

Political Party FF Plus AZAPO DA caucus in the City of Johannesburg

Submission Number S96 S86 S63

UNIVERSITIES SUBMISSIONS TABLE FOR PUBLIC RESPONSES ON SYSTEM OF PROVINCIAL AND LOCAL GOVERNMENT

Number

Academic Institution

Submission Number S29 S34

1 2

Nelson Mandela University (Director: Institute for Sustainable growth and Development). University of the Free State (Programme Director: Governance and Political Transformation Programme).

165

S37 North-West University (Schools of Social and Government Studies, Research Focus areas, Public Management, Political studies and African Centre for Disaster Studies). Wits (Centre for Applied Legal Studies). S41

Unrelated submissions

Number 1 2

Institution/ Individual Voorleggings Vorm/Solinus Jolliffe Samuel Nhlabathi

166