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MUNICIPAL CAPACITY ASSESSMENT

2018

Pixley ka Seme

DC7

iii

NOTE:

In this report, data from a wide variety of sources were used.

Municipalities were requested to provide information on broad aspects of

governance, capacity and the performance of functions. Stats SA data

from the population census and municipal censuses (Non-Financial and

Financial) were used to determine population size, number of

households and service backlogs. Other data were sourced from

National Treasury, LGSETA, SARS, CoGTA, SAPS, MDB, etc. for this

assessment of capacity. However, given that many municipalities did not

provide all the information requested of them, these additional data

sources were combined with their own data. All municipalities were also

provided with the information contained herein and requested to verify all

information in these capacity assessments, and to provide additional

information where necessary. Therefore, the MDB takes no

responsibility for any inaccurate information and the interpretation

thereof.

Contents

1. Introduction..........................................................................................................1

1.1 Methodology..................................................................................................3

1.2 Additional data sources..................................................................................4

1.3 Comparative analysis.....................................................................................4

1.4 The municipal report......................................................................................5

1.5 Overview of municipality................................................................................5

2. Environmental situation........................................................................................8

2.1 Demographics..............................................................................................11

2.1.1 Population.............................................................................................11

2.1.2 Age structure.........................................................................................12

2.1.3 Households and density........................................................................13

2.1.4 Income, tax and employment................................................................15

2.2 Land and Human Settlements......................................................................20

2.2.1 Land claims...........................................................................................20

2.2.2 Traditional communities.........................................................................20

2.2.3 Access to housing.................................................................................21

2.2.4 Types of housing...................................................................................22

2.2.5 Land use................................................................................................23

2.3 Infrastructure and Service Provision............................................................24

2.3.1 Movement and Transport services........................................................27

2.3.2 Education services................................................................................27

2.3.3 Health services......................................................................................30

2.4 Economic development................................................................................31

2.4.1 Mining....................................................................................................31

iv

2.4.2 Tourism.................................................................................................31

2.4.3 Telecommunication infrastructure.........................................................32

2.5 Other government services infrastructure....................................................33

2.6 Environment, Natural Features and Endowments.......................................34

3. Governance assessment...................................................................................37

3.1 Financial overview.......................................................................................37

3.2 Voter turnout................................................................................................40

3.3 Municipal staffing.........................................................................................41

4. Municipal Overview of Capacity.........................................................................42

4.1 Staffing information......................................................................................42

4.2 Management overview.................................................................................45

4.3 Financial information....................................................................................46

4.4 Governance.................................................................................................49

4.5 Departmental assessment...........................................................................51

5. Assessment of capacity to perform functions.....................................................52

5.1 Development and town planning services....................................................53

5.2 Technical services.......................................................................................56

5.3 Community services.....................................................................................60

6. Conclusion and recommendations.....................................................................64

6.1.1 Updating of information on Powers and Functions................................64

6.1.2 Identification of capacity requirements to exercise particular powers and

functions.............................................................................................................64

6.1.3 MECs could identify areas in which they need to rationalise the division

of powers and functions.....................................................................................65

Appendix 1: Definitions............................................................................................66

v

List of figures

Figure 1: Municipal context........................................................................................6

Figure 2: Demographic overview..............................................................................12

Figure 3: Racial breakdown.....................................................................................12

Figure 4: Age breakdown..........................................................................................13

Figure 5: Number of households and municipal area................................................13

Figure 6: Household size.........................................................................................14

Figure 7: Percentage population by density.............................................................15

Figure 8: Percentage municipal area by density......................................................15

Figure 9: Household income....................................................................................16

Figure 10: Tax base.................................................................................................17

Figure 11: Employment............................................................................................18

Figure 12: Percentage total employment by sector..................................................19

Figure 13: Dependency and inequality.....................................................................19

Figure 14: Land area containing traditional authorities and which were part of

homelands.................................................................................................................20

Figure 15: Percentage of population living in informal settlements..........................21

Figure 16: Density of formal and informal areas......................................................21

Figure 17: Percentage of households by tenure......................................................22

Figure 18: Dwelling type...........................................................................................23

Figure 19: Land cover..............................................................................................24

Figure 20: Access to services..................................................................................26

Figure 21: Number of consumers billed...................................................................26

Figure 22: Road length by road type and surface....................................................27

Figure 23: Educational infrastructure per 10 000 population....................................28

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Figure 24: Matric pass rate and percentage of youth in school................................28

Figure 25: Percentage population by level of education..........................................29

Figure 26: Active mines and mining licences...........................................................31

Figure 27: % of land with natural heritage assets....................................................32

Figure 28: Access to telecommunications................................................................33

Figure 29: General infrastructure.............................................................................33

Figure 30: Audit outcomes.......................................................................................38

Figure 31: Financial indicators.................................................................................39

Figure 32: Further measures of financial performance............................................40

Figure 33: Voter turnout and registered voters.........................................................40

Figure 34: Municipal councillors and employees......................................................41

List of tables

Table 1: Land claims................................................................................................20

Table 2: Schools and learners.................................................................................29

Table 3: Key health statistics...................................................................................30

Table 4: Potential impacts of climate change...........................................................35

Table 5: Staffing levels.............................................................................................42

Table 6: General qualifications.................................................................................42

Table 7: MFMA competency....................................................................................43

Table 8: Total days worked......................................................................................44

Table 9: Staff turnover..............................................................................................45

Table 10: Senior management.................................................................................45

Table 11: Qualifications of professionals..................................................................45viii

Table 12: Expenditure..............................................................................................46

Table 13: Income.....................................................................................................47

Table 14: Creditors...................................................................................................47

Table 15: Analysis of rates collected........................................................................48

Table 16: Free basic services..................................................................................49

Table 17: Meetings held...........................................................................................50

Table 18: Protests and petitions...............................................................................50

Table 19: Departments.............................................................................................51

Table 20: Grouping of functions...............................................................................52

Table 21: Performance of functions (Development and town planning services).....53

Table 22: Financial overview (Development and town planning services)...............54

Table 23: Staffing overview (Development and town planning services).................55

Table 24: Backlog and service delivery (Development and town planning services)

..................................................................................................................................55

Table 25: Performance of function (Technical services)..........................................56

Table 26: Financial overview (Technical services)...................................................57

Table 27: Staffing overview (Technical services).....................................................58

Table 28: Backlog and service delivery (Technical services)...................................59

Table 29: Performance of function (Community services).......................................60

Table 30: Financial overview (Community services)...............................................61

Table 31: Staffing overview (Community services).................................................61

Table 32: Backlog and service delivery (Community services)...............................62

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Acronyms

AG Auditor-General

Capex Capital Expenditure

CEO Chief Executive Officer

CFO Chief Financial Officer

CoGTA Department of Cooperative Governance and Traditional Affairs

CSP Cities Support Programme

DBSA Development Bank of Southern Africa

DCOG Department of Cooperative Governance

DHS Department of Human Settlements

DPME Department of Monitoring and Evaluation

DRDLR Department of Rural Development and Land Reform

DTI Department of Trade and Industry

DWS Department of Water and Sanitation

EC Eastern Cape

FBS Free Basic Services

FET Further Education and Training

FS Free State

GAU Gauteng

GDP Gross Domestic Product

HoD Head of Department

HIV Human Immunodeficiency Virus

ICT Information and Communication Technology

IDC Industrial Development Corporation

IDP Integrated Development Plan

ILO International Labour Organisation

x

IUDF Integrated Urban Development Framework

KZN KwaZulu-Natal

LGSETA Local Government Sector Education Training Authority

LIM Limpopo

MDB Municipal Demarcation Board

MEC Member of the Executive Committee

MFIP Municipal Finance Improvement Programme

MFMA Municipal Finance Management Act

MIIF Municipal Infrastructure Investment Framework

MISA Municipal Infrastructure Support Agent

MM Municipal Manager

MPAC Municipal Performance Audit Committee

mSCOA Municipal Standard Chart of Accounts

MP Mpumalanga

NC Northern Cape

NDP National Development Plan

NEMA National Environmental Management Act

NT National Treasury

NUSP National Upgrading Support Programme

NW North West

OECD Organisation for Economic Cooperation and Development

Opex Operating Expenditure

PGDP Provincial Growth and Development Plan

PIT Personal Income Tax

ppsk persons per square kilometre

RDLR Rural Development and Land Reform

RSA Republic of South Africa

xi

SALGA South African Local Government Association

SANBI South African National Biodiversity Institute

SAPS South African Police Service

SARS South Africa Revenue Service

SDBIP Service Delivery and Budget Implementation Plan

SDF Spatial Development Framework

SEZ Special Economic Zone

SIP Strategic Infrastructure Project

SPLUMA Spatial Planning and Land Use Management Act

Stats SA Statistics South Africa

TB Tuberculosis

TVET Technical and Vocational Education and Training

WC Western Cape

WSDP Water Service Development Plan

WWTW Wastewater Treatment Works

xii

1. Introduction

Governance is affected by the management and technical experience available in an

organisation. In South Africa, there is ‘unevenness in capacity that leads to uneven

performance in local, provincial and national government. This is caused by a

complex set of factors, including tensions in the political-administrative interface,

instability of the administrative leadership, skills deficits, the erosion of accountability

and authority, poor organisational design and low staff morale’1.

The Local Government: Municipal Structures Act makes provision in Section 85 for

the Municipal Demarcation Board (MDB) to assess the capacity of municipalities and

through that provide advice to MECs when they consider changes to the existing

division of powers and functions across district and local municipalities. The

capacity of municipalities to perform functions is also to be considered by the MDB

when redetermining municipal boundaries.

The MDB has prepared numerous capacity assessments over the past decade, in

fulfilling its mandate to assess municipal capacity and make recommendations

where requested. More recently, these assessments have also included external

environmental or socio-economic drivers of capacity.

This project therefore aims to collect and analyse data and information on municipal

capacity to perform all municipal powers and functions as set out in Schedules 4 Part

B and 5 Part B of the Constitution of the Republic of South Africa. In addition, the

project addresses the MDB’s expanded scope of the municipal capacity

assessments to include an assessment of the governance and

resource/environmental situation in each municipality.

Specifically, the project aims to:

Allow the MDB to take informed decision when determining and re-

determining municipal boundaries.

1 2030 National Development Plan1

Assess the capacity of municipalities to perform all municipal powers and

functions as espoused in Schedule 4B and 5B of the Constitution and Section

84 of the Local Government: Municipal Structures Act.

Collect and provide data and information to be utilised for the determination

and redetermination of municipal boundaries.

Provide information which will allow for the MDB to provide advice to MECs

for them to adjust powers and functions between Category B and C

municipalities in terms of Section 85 of the Municipal Structures Act.

The overall aim is to provide a national overview of the distribution of powers and

functions at a non-metropolitan level, including here an assessment of existing

capacity to execute these functions. This data provides a benchmark to better

inform particularly MECs on the overall shape of powers and functions across South

Africa so that if and when they request the MDB to provide advice on the possible

division of powers and functions they can do so informed by the division of functions

across South Africa as a whole and within their province in particular.

In order to do this, the project has gathered as much information as possible to

examine the capacity of municipalities to perform their powers and functions, within

the environmental (economic, social, spatial, etc.) conditions in which they find

themselves. This includes information on:

1. Planning capacity, and particularly the role of district municipalities in terms of

the legal framework

2. Financial capacity: Evaluation of factors used and sources of revenue,

including challenges

3. Delivery capacity: Evaluating the division of powers and delivery of functions

relative to backlogs,

4. Administrative capacity, including ICT and human resource profiles

5. Geographical challenges.

The objectives of the municipal reports are to provide an overview of the

environmental situation of the municipality, and then to provide a summary of

capacity information as provided by each municipality.

2

1.1 Methodology

In June 2018, municipalities were asked to participate in this project. Information

was requested on the degree to which they are both performing their legislated

and/or assigned powers and functions, and the existing capacity and competencies

in each municipality. Provinces were also requested to assist in this process.

The questionnaire covered three areas:

1. General information about the municipality: This includes contact details,

its leadership, budget, services, administration and governance;

2. Senior management details: This section requests information on each of

the senior managers;

3. Powers and functions: Information on which powers and functions are

being performed by the municipality, and the capacity to do so.

Once the questionnaire was completed, the municipal manager submitted this to the

service provider. Data was checked, and queries were addressed with municipalities

where necessary. Information pertaining to the environmental situation of each

municipality was sourced from relevant government departments or national

organisations, such as Stats SA, National Treasury, CoGTA etc.

It was expected that the data could be collected over a six-week period, but,

unfortunately, many municipalities have failed to complete this, in spite of extensive

communications with municipalities: over 7000 calls received and calls made to

municipalities across South Africa encouraging them and assisting where necessary,

with almost 2000 emails being sent to municipalities. In addition, all Municipal

Managers, Mayors and their offices were contacted to improve response rates.

MINMEC had also resolved that COGTA departments should ensure responses

were completed by mid-October 2018. In terms of this, on a weekly basis HoDs of

COGTA in each province have been contacted providing them with updates and in

3

some cases, this has assisted in improving response rates. Whilst some

municipalities provided all the information required, around 20% did not.

1.2 Additional data sources

A wide variety of municipal information was also sourced from organisations such as

Stats SA, SARS, LGSETA, National Treasury and the like. Some of these data were

used to prepopulate the questionnaire allowing municipalities to both verify the

information and/or update it. This data is also presented below in providing a

situational overview of each municipality.

1.3 Comparative analysis

Municipalities in South Africa are categorised as being either Category A

(Metropolitan Areas) or Category B (Local) within Category C (District) municipalities.

Further classifications have been provided such as the Municipal Infrastructure

Investment Framework (MIIF) classification. This divides Category B municipalities

into four groups made up of the larger ones that exercise more powers to smaller

ones, with fewer resources and exercising relatively few powers (B1 through B4).

Category C municipalities are divided into two groups based on those which are

water authorities and those which are not. Specifically, the MIIF classification for

local and district municipalities is as follows2:

B1: Secondary cities: the 21 local municipalities with the largest budgets.

B2: Municipalities with a large town as core.

B3: Municipalities with relatively small populations and a significant proportion

of urban population but with no large town as core.

B4: Municipalities which are mainly rural with, at most, one or two small towns

in their area.

2 DBSA, MIIF 74

C1: District municipalities that are not water services providers and generally

have few service delivery functions.

C2: District municipalities that are water services providers and often have

substantial obligations.

For purposes of benchmarking of the municipalities in the following sections, the

MIIF classification provides a useful means of measuring the municipality’s

characteristics against other Category B/C municipalities. In all of the sections and

subsections below, the information is also compared with benchmarks: District to

District, Category B to Category B, etc.

1.4 The municipal report

The objectives of the municipal reports are to provide an informational overview of

the environmental situation of the municipality, reviewing the demographic and social

context, the economic context, land and human settlements, movement and

transport, infrastructure and service provision, and the environment. The municipal

reports then provide a review of the governance situation in each municipality, and a

high-level review of municipal capacity, looking at general staffing, management,

financial and governance information as well as details on capacity by function.

1.5 Overview of municipality

Stats SA provide a useful narrative overview of every local municipality in South

Africa3:

The Pixley Ka Seme District Municipality is a Category C municipality situated in the

south-east of the Northern Cape Province. It shares its borders with three other

provinces, namely the Free State to the east, the Eastern Cape to the south-east,

3 Stats SA, http://www.statssa.gov.za/?page_id=9645

and the Western Cape to the south-west. It is the second-largest district of the five in

the province, but makes up almost a third of its geographical area.

The district is comprised of eight local municipalities: Ubuntu, Umsobomvu,

Emthanjeni, Kareeberg, Renosterberg, Thembelihle, Siyathemba and Siyancuma. Its

main town is De Aar. Traffic flows through the region, linking the major industrial

areas of the country.

The area has a low rainfall, while the largest river in South Africa flows through it.

Two of the major dams in South Africa, the Vanderkloof and Gariep Dams, are

situated on the borders of the district municipality.

A detailed map of the municipality is contained below, highlighting major roads,

relevant areas of interest such as airports and ports, as well as areas of significant

population density.

Figure 1: Municipal context

6

2. Environmental situation

This section of the report focuses on the broader demographic/social and economic

context, physical environment and infrastructural base, employment dynamics etc. of

the municipality. Through tables and figures, benchmarks are provided to indicate

the challenges and opportunities facing the municipality.

The information is drawn from the following sources, where available:

o The National Development Plan

o Provincial Growth and Development Plans

o Municipal IDPs and SDFs.

o Stats SA:

o Census 2001 and 2011

o Non-Financial Census, 2016 and 2017

o Community and Household Surveys

o Financial Census, 2016 and 2017

o Other data such as National and Provincial GDPs etc., as indicated

below

o SARS:

o Personal tax data at a municipal level

o COGTA:

o Senior management

o Amalgamations

o IUDF

o National Treasury:

o S41 reports

o Mid-year and budget assessments where reports have been completed

o Financial Distress information

o State of Local government reports

o Infrastructure data

8

o Department of Environment:

o SANBI database on municipal environmental information

o Hazard and other Physical environmental databases

o Other information of a geographic character, such as climate, types of

vegetation, soil conditions, rainfall patterns, air quality, river systems,

etc.,

o Department of Water and Sanitation

o Blue Drop and Green Drop status where available

o Water and sanitation services (Access levels, backlogs, projects

underway, plans for the future by all spheres of government, and water

catchment areas etc)

o Water and sanitation infrastructure

o Department of Agriculture and Forestry Affairs

o Land use evaluations

o Types of farming e.g. Forestry, fishing and crop, livestock etc. (include

the levels and extent of each or their contribution to the economy in the

area.

o Existing and future government planned agricultural projects.

o Predominant agricultural products or activities.

o Human Settlements

o Housing projects underway

o Building plans passed

o Access to housing (backlogs, number of people with access to

housing)

o Planned housing projects

o Land use patterns and plans

o Justice and correctional services, Safety and Security

o SAPS crime statistics

o Police stations including satellite stations (including policing districts)

o Magisterial districts (including offices)

o Courts (including location)

9

o Correctional centres

o Transport

o Roads and all transport Infrastructure (e.g. Airports, harbours etc.)

o Commuting (Subsidised bus transport and routes thereof, formal taxi

ranks and train services)

o freight services

o Transport plans by all spheres of government

o Department of Basic Education and Dept of Higher Education:

o Matric results

o Examination centres

o Schools

o Learners and educators

o Universities and TVET colleges

o Graduates

o Education districts

o Local Government Sector Education Training Authority

o Skills profiles for municipalities

o Department of Rural Development and Land Reform and Department of

Traditional Affairs:

o Land claims

o Traditional communities

o DTI and IDC:

o SIPs

o SEZs

o Plans passed

o Types of industry and the predominant manufacturing products

o Department of Tourism

o Tourism products/tourist attractions

o Contribution to the economy of the municipal area

o Department of Minerals:

o Mining licences10

o Operational mines and employment levels

o Eskom

o Access to electricity

o Backlogs and plans for the future

o Electricity infrastructure (location of Power stations, power lines, etc.

o Telkom and other telecommunication companies

o Access to services

o Infrastructure roll out

o Plans for the future

o Department of Health

o Health districts (spatial coverage per municipality)

o Hospitals

o Clinics or health centers

o Plans for the future

o Other sectoral surveys

In the subsections which follow, indicators developed from data provided in these

reports is used to describe the broader municipal area.

2.1 Demographics

2.1.1 Population

The figure below contains details of population dynamics within the municipality.

This includes the total population and growth rate, the gender breakdown of this

population and total number of households. It provides information on the following4:

Population: The total number of people living within a specified area of

jurisdiction;

Population growth rate: The overall growth rate in population between the

2001 and 2011 censuses;

4 Stats SA: Census11

Sex Ratio: The sex ratio provides an indication of the gender breakdown in an

area, and it is suggestive of the composition of the labour force. Sex ratios

will be affected by sex-selective out-migration such as men migrating.

Migrant labour-receiving areas usually have higher sex ratio figures (i.e. more

males to females) as the migrants are usually male. South Africa’s average

sex ratio is around 0,95, that is 95 men to 100 women. Lower sex ratios are

found in areas with a higher number of female-headed households, where

household sizes are generally larger, with higher dependency levels5.

Figure 2: Demographic overview

The following figure further breaks down the broad population by race. It indicates

the proportion of people of African origin, as well as other black South Africans

(people designated previously as Coloured and Indian) as well as people previously

designated as white. Given the history of apartheid, places with generally higher

proportions of minorities (such as whites) have been massively advantaged in

economic and other terms.

Figure 3: Racial breakdown

5 Demographics and Social; Stats SA: Census12

2.1.2 Age structure

The distribution of the population by age is also provided in the figure below with age

groups including those younger than school-going age (0-4 years), school going (5-

19 years), youth (20-29), general working age (30-64) and elderly (over 65 years of

age).

Figure 4: Age breakdown

2.1.3 Households and density

In examining the distribution of households, it is important to consider the definition

of households by Statistics SA. A household is seen as a group of persons who live

together and provide themselves jointly with food or other essentials for living, or a

single person who lives alone. Live-in domestic workers and live-in employees are

regarded as separate households. This is important in that when one examines

consumer units provided by municipalities in the sections below, such units could

consist of more than one household.

The following figure indicates the overall number of households in the municipality

compared with its area.

Figure 5: Number of households and municipal area

13

Importantly, though, the relative size of households and the density of population are

more useful indicators of human settlements and the extent to which municipalities

need to respond to challenges. This is particularly the case for relatively small

households (1-2 persons) and large (over 5 persons) households. Both provide

challenges for municipal planning and service delivery: small households hold out

the possibility, if linked to chain migration, that larger households will come into the

municipalities once a person’s employment becomes more stable, and larger

households often place an additional strain on the delivery of basic network services.

In other words, these data indicate the degree to which there could be migrancy

operating, particularly in the larger urban areas where one could find a higher

proportion of 1-2 persons households than in other areas. Likewise, larger

households could also indicate a degree of mutual aid existing not just for familial

reasons, but to cope with the effects of apartheid and unemployment.

The following figure provides information on:

The proportion of households consisting of one or two persons; and

The proportion of households consisting of over five persons.

Figure 6: Household size

The figure below highlights population density within the municipality. Population

density is a measurement of the number of people living within a physical area.

Examining changes to populations living in different densities gives a sense of the

14

change in the municipality in terms of settlement patterns. The OECD has argued

that a broad norm on what is rural would be persons living in areas with density

below 150 persons per square kilometre (ppsk). For purposes of this analysis, three

different density groups have been defined:

Those less than 500 ppsk (low density and rural),

500-1000 ppsk (medium density); and

Over 1000 (very high) density.

The following two figures then shows both the area occupied by each of these

density groups and the percentage of people living in each of the density groups.

Figure 7: Percentage population by density

Figure 8: Percentage municipal area by density

15

2.1.4 Income, tax and employment

Income levels in the municipality are detailed in the figure below. Whilst this is

normally achieved by breaking the population up into quintiles of 20% of the

population, given the unequal distribution income in South Africa the use of quintiles

will not show the real gap between high and low earners. As a result, a wider range

of income distributions is used. The figure examines income distribution across the

municipality, through a number of categories of individual income being provided,

such as those households with6:

No income;

R1-R19600 income per annum;



> R614000 income per annum.

Figure 9: Household income

The personal tax base of the municipality is also a key economic indicator. This

indicator shows the average amount of Personal Income Tax (PIT) paid within each

municipal area. PIT is a tax levied on the taxable income (gross income less

exemptions and allowable deductions) of individuals and trusts. Most individuals

receive their income as salaries or wages, pension or annuity payments and

investment income (interest and dividends). Some individuals, such as sole

proprietors and partners, may also have business income which is taxable as

personal income. PIT is South Africa’s largest source of tax revenue and

6 Stats SA16

contributed 35.9% of total tax revenue collections in 2014/15. It contributed 34.5% in

2013/147. For the 2016 year of assessment the following tax thresholds (i.e. the

amount above which income tax becomes payable) existed:

Younger than 65 years – threshold = R73 650 per annum;

65 years of age or older – threshold = R114 800;

For taxpayers aged 75 years and older, this threshold was R128 500.

By 31 March 2014, the Personal Income Tax register had grown 8.8%, compared

with the previous year, to more than 16.8 million individuals. Ideally, it should be read

also with business tax records, but these are not available.

In the following figure, the total amount of personal income tax generated and paid

by individuals within the municipality is detailed. In addition, data on the proportion

of taxpayers to the total population is provided. An indicator showing the number of

taxpayers, based on the above definition, per 100 persons living in the municipality is

also included.

Figure 10: Tax base

The form of employment is also an important indicator. Informal employment

identifies persons who are in precarious employment situations irrespective of

whether or not the entity for which they work is in the formal or informal sector.

Persons in informal employment therefore comprise all persons in the informal

sector, employees in the formal sector, and persons working in private households

who do not get basic benefits such as pension or medical aid contributions from their

employer, and who do not have a written contract of employment8.

The youth unemployment rate refers to unemployed youth, i.e. individuals aged 15 –

24 who are without work, actively seeking work in a recent past period (past four

7 Tax Statistics 20158 Stats SA

17

weeks), and currently available for work. Discouraged workers or hidden

unemployed are not counted as unemployed or as part of the labour force. Not

actively seeking work refers to people who have not taken active steps to seek work

(i.e. job searches, interviews, informational meetings etc.) during a specified recent

period (usually the past four weeks).

Lastly, here, the unemployment rate is provided showing the number of unemployed

persons as a proportion of the number of persons currently active in the labour force.

Unemployment refers to individuals without work, who are actively seeking work in a

recent past period (past four weeks), and are currently available for work. Persons

who did not look for work but have a future labour market stake (arrangements for a

future job start) are counted as unemployed9.

The following figure provides information on formal to informal employment, the

municipality’s unemployment rate, as well as the youth unemployment rate.

Figure 11: Employment

The next figure looks at employment by sector of the economy. The indicator shows

the percentage of people employed in the various sectors of the economy. The

sectors are an aggregation of the Standard Industrial Classification (SIC) sectors10.

The aggregated sectors are:

Agriculture, forestry and fishing

Community and social services

Construction

Electricity, gas and water

Financial and insurance activities

9 International Labour Organization10 Refer to Stats SA, SIC 7th Classification, October 2012

18

Manufacturing, mining and quarrying and other industrial activities

Mining and quarrying

Other service activities

Private households

Transport

Wholesale and retail trade, transportation and storage, accommodation and

food service activities

Figure 12: Percentage total employment by sector

Two indicators of income inequality have been included in this analysis: the

municipality’s dependency ratio and the Gini coefficient. The dependency ratio is an

age-population ratio of those not in the work force (the dependent part) and those

who are working (the productive part). It is used to measure the pressure on the

productive population. The Gini coefficient, on the other hand, measures the degree

of inequality in a set of data and is frequently used as a method of measuring

inequalities in income distribution in a population. The Gini coefficient ranges from 0

(everyone has the same income) to 1 (one person has all the income).

Figure 13: Dependency and inequality

19

2.2 Land and Human Settlements

2.2.1 Land claims

A land claim is a request for the restoration of a right in land, lodged with the

Commission on Restitution of Land Rights. Anyone who was dispossessed of a right

in land after 19 June 1913 as a result of past racially discriminatory laws or practices,

and who did not receive just and equitable compensation at the time of

dispossession, can lodge a claim for the restoration of such a right, or equitable

redress11.

The table below highlights the total area of the municipality under a land claim

process.

Table 1: Land claims

Sum of Land Claims

DC7 604,442

NC total 5006,433

SA total 20617,156

2.2.2 Traditional communities

It is important to recognise that the effects of apartheid remain writ large through our

country. Historically, traditional authority areas and areas in which homelands were

designated were particularly underdeveloped. The following figure indicates a few

measures of this underdevelopment through showing:

The percentage of wards in which there are traditional authorities;

The percentage of land coverage of the municipality in which traditional

authorities are found; and 11 http://www.ruraldevelopment.gov.za/component/content/article/347-land-claim/re-opening/771-

faq#.W2AQ_NIzY2w20

The percentage of land in the municipality which was previously part of a

homeland.

Figure 14: Land area containing traditional authorities and which were part of homelands

Further information on the details of traditional leaders can be obtained from the

National House of Traditional Leaders (www.cogta.gov.za).

2.2.3 Access to housing

One of the most important indicators of backlogs in service delivery is provided

through examining the number of people living in informal settlements. Stats SA

defines an informal settlement as an unplanned settlement on land that has not been

surveyed or proclaimed as residential, with housing that consists mainly of informal

dwellings. This is particularly the case in more urban municipalities and the figure

below compares the numbers and area occupied by people living in formal and

informal human settlements.

Figure 15: Percentage of population living in informal settlements

The following figure then examines population density in formal and informal areas.

Figure 16: Density of formal and informal areas

21

Secure tenure refers to the right of all individuals and groups to effective protection

against forced evictions and is the arrangement under which a household occupies

its dwelling. People have secure tenure when there is evidence of documentation

that can be used as proof of secure tenure status or when there is either de facto or

perceived protection against forced evictions.

The figure below examines security of tenure through an assessment of tenure by

ownership type:

Occupied rent free

Owned (not yet paid off and mortgaged)

Paid off

Rented

Figure 17: Percentage of households by tenure

2.2.4 Types of housing

The figure below looks at the percentage of households by dwelling type. This

indicates the type of dwelling that residents live in (except for those living in

collective living quarters and other institutions). Dwelling types are classified by

Stats SA as follows:

1. Formal Dwellings

a. House or brick/concrete block structure on a separate stand or yard or

on a farm 22

b. Flat or apartment in a block of flats

c. Cluster house in complex

d. Townhouse (semi-detached house in a complex)

e. Semi-detached house

f. House/flat/room in backyard

g. Room/flatlet on a property or larger dwelling/servants quarters/granny

flat

2. Traditional Dwelling

a. Traditional dwelling/hut/structure made of traditional materials

3. Informal Dwelling

a. Informal dwelling (shack, in backyard)

b. Informal dwelling (shack, not in backyard, e.g. in an informal/squatter

settlement or on a farm)

4. Other

a. Caravan/tent

b. Other and unspecified

Figure 18: Dwelling type

23

2.2.5 Land use

Land capability is a broad system of categorising land based on issues such as soils,

climate, erosion hazard and slope. It considers the risks of land damage from

erosion and other causes; and the difficulties in owning land owing to physical land

characteristics. Land capability classes are interpretive groupings of land units with

similar potentials and continuing limitations or hazards. Land coverage, on the other

hand, is the degree to which particular uses dominate the landscape.

The following figure provides a summary of the degree to which the area of the

municipality is/has:

Plantations

Water bodies

Mines

Degraded

Cultivated

Built up

Natural

Figure 19: Land cover

2.3 Infrastructure and Service Provision

24

Municipalities are often measured by the degree to which they deliver on a set of

basic network services: water, sanitation, energy, transport/roads and solid

waste/cleansing. This section reviews the degree of access to these areas,

including the number of consumer units billed by municipalities.

Service provision

The percentage of households with access to potable water is contained below. In

addition, information around access to an improved water source, and the number of

domestic and non-domestic users receiving water from the municipality is provided.

Potable water refers to water that is treated or confirmed safe for human

consumption. A potable water supply service refers to a service that delivers potable

water through a pipe or similar duct that is connected to a network, the supply of

which is relatively continuous given that it includes a deposit built for its storage. If a

house or group of houses has a ‘mother’ pipe connected either provisionally or

permanently; it shall be considered to have access to potable water. “A house shall

not be considered to have access to potable water when an individual house or

group is served by a conduit system built with for example wood, bamboo, or rubber

hose, connected directly to a river, well, or to another house”12.

Access is usually considered to be within 200m of the house, although in the figure

below the proportion of households getting access to potable water in their house or

ward is measured. The percentage of the population with sustainable access to an

improved water source represents the percentage of the population with reasonable

access to an adequate supply of safe water in their dwelling or within a convenient

distance of their dwelling. Reasonable access to water is defined as the availability

of at least 20 litres of water per person a day from a source within one kilometre of

the dwelling.

In terms of sanitation, the indicator used by Stats SA refers to the collection, removal

or disposal of human excreta and household waste water. Stats SA defines

waterborne sanitation as a:

Flush toilet connected to a sewerage system;

12 StatsSA25

Flush or pour-flush to piped sewer system, septic tank or pit latrine;

Ventilated improved pit latrine;

Pit latrine with slab.

Again, a measure is provided of wastewater provision to both domestic (households)

and non-domestic users i.e. commercial, industrial and other facilities.

A high-level overview of access to electricity in the municipality is contained in the

figure below i.e. the percentage of households with connections to the electricity.

This measure provides information on the level of electricity provision to residents

within a municipal area of jurisdiction. This includes the number of domestic and

non-domestic users receiving electricity from the municipality.

Regular solid waste collection is defined as having the solid waste picked up from a

household, transported and taken to a proper treatment facility (recycling or landfill

sites) on at least a weekly basis. Solid waste collection by an entity that is not legally

constituted is not included in this definition. The indicator measures solid waste

provision to both domestic (households) and non-domestic users, i.e. commercial,

industrial and other facilities.

Figure 20: Access to services

Figure 21: Number of consumers billed

26

Information on the municipality’s current and future infrastructure plans can be

obtained from their Integrated Development Plans and Spatial Development

Frameworks, available at www.pksdm.gov.za.

2.3.1 Movement and Transport services

Transport infrastructure

Measuring the various types of transportation infrastructure provides information on

travel behaviour through the use of cars as a travel mode providing access to work,

shopping, school and other community services. This measure can also inform the

need for further transport facilities. Unfortunately, detailed information on commuter

flows, modal split and the like is not available in a standardised format from which

municipalities can be benchmarked. However, the figure below provides information

on the extent of road infrastructure, including major roads, the kilometres of road by

surface type, and the length of national and provincial roads13.

Figure 22: Road length by road type and surface

13 Department of Transport27

2.3.2 Education services

This section looks at education levels in the municipality. This includes a measure of

the level of education, the matric pass rate, and the percentage of the population in

the school-aged cohort, that are enrolled in some form of education.

Educational infrastructure (schools and tertiary institutions)

It is also important to reflect on the degree to which municipalities have the same

levels of educational infrastructure. Educational infrastructure examines information

such as the number of educational facilities in the area. The figure below provides

such information including:

Number of primary schools per 10 000 people14

Number of high schools per 10 000 people

Number of tertiary institutions per 10 000 people

Figure 23: Educational infrastructure per 10 000 population

14 Department of Basic Education28

Matric results and learners in school

The figure below details the overall results of the final examination for Grade 12

learners in a school, which is to some degree indicative of the quality of education

within different institutions15. It also indicates the percentage of the population in the

school aged cohort (between and including ages 5 – 18) who are currently enrolled

in education.

Figure 24: Matric pass rate and percentage of youth in school

The following table indicates the number of schools and learners registered in the

municipality in 2017.

Table 2: Schools and learners

Schools Educators Learners

DC7 92 1911 45543

NC 541 9315 244925

SA 19559 317152 7877173

Level of education

The figure below provides a measure of the level of education described as a

percentage, for each education level including:

No schooling

Some schooling

Complete primary

15 Department of Basic Education29

Some secondary

Matric

Higher education

Figure 25: Percentage population by level of education

2.3.3 Health services

An analysis of information at a district level on some aspects of the state of health in

the area has also been completed16. The following variables are included:

PHC expenditure per capita: Provincial expenditure on sub-programmes of

DHS plus net local government expenditure on PHC per uninsured

population;

Children under 5 who died of diarrhoea: This is the proportion of children

under 5 years admitted to medical centres with diarrhoea who died;

Children under 5 dying from severe malnutrition: Proportion of children under

5 years admitted with severe acute malnutrition who died

TB deaths: The percentage of TB clients (all types of TB registered in

ETR.net) who died.

The HIV positive rate: The percentage of clients (including ANC first and re-

test clients) who tested positive for HIV; and

Medical aid schemes coverage: Percentage of population who have medical

scheme insurance.

16 Naomi Massyn, Ashnie Padarath, Nazia Peer and Candy Day, 2016/17 District Health Barometer, Health Systems Trust

30

The following figure provides a summary of how the municipality compares against

the province and nationally on these indicators.

Table 3: Key health statistics

DM CODE

PHC Exp pc 2016

<5 yrs deaths Diarrohea 2016

<5 yrs deaths Sev Mal 2016

TB deaths 2015

HIV pos 15+ 2016

Med Scheme cov 2016

DC7 1301,21038

357996

3,28947368

421053

7,57575757

575758

9,39668980

245595

4,06876050

148636

14,2570189

535786

North

ern

Cape

1231,39891

081714

3,44419266

081793

4,43327221

466454

7,61230330

097295

5,02221955

03583

15,8247208

660364

Grand Total

1093,38924982994

2,18458895611585

7,26992129624842

7,73058723917573

7,44779736130905

12,8609337977168

2.4 Economic development

2.4.1 Mining

The following figure indicates the proportion of wards in the municipality that have

active mines in them, as well as the proportion of the area of the municipality which

has potential licences for prospecting.

Figure 26: Active mines and mining licences

31

2.4.2 Tourism

Tourist attractions and/products

Another area in which municipalities often focus their attention is the tourism sector.

The following figure indicates, for example, the proportion of area of the municipality

which consists of various categories of land usage which assist in enhancing the

tourism potential. These include:

Percentage local reserves

Percentage conservation areas, coastal catchments and protected areas

Percentage forests

Percentage game reserves

Percentage national Parks

Figure 27: % of land with natural heritage assets

2.4.3 Telecommunication infrastructure

ICT access to fixed and unfixed lines

Importantly, is the degree to which a municipality’s population is linked into ICT, with

the importance reflecting the degree to which a municipality is able to respond to the

opportunities of the fourth industrial revolution.

The following figure looks at access to telecommunications. This includes:

32

The number of people in the country who have access to land line telephone

communication

The number of people who have access to mobile phone communication. This

is different from landline connections in that mobile phones offer other

features and modes of communicating, for example, texting. It also allows

people to use the phone for access to the internet and provides users with

access freely, i.e. without being bound by the location of the

telecommunication facility.

The level of internet penetration in the country per jurisdiction.

Figure 28: Access to telecommunications

2.5 Other government services infrastructure

Some of the social, economic and governmental infrastructure available in the

municipality is also highlighted here. The following figure indicates, for example,

comparative data on some aspects of the infrastructure found in the municipality,

such as:

Private Hospitals per 100 000 people

State Hospitals per 100 000 people

Clinics per 100 000 people

Police stations per 100 000 people

Rail length in kms per 100 000 people

Airports (local and provincial) per 100 000 people

Figure 29: General infrastructure

33

Military installations

Information on the location and contact details of military installations in each

municipality can be found at the following website:

http://www.army.mil.za/contactus.htm

Ports of entry

Information on the location and contact details of military installations in each


http://www.dha.gov.za/index.php/immigration-services/south-african-ports-of-entry

Home affairs and South African Security Services

Information on the location and contact details of Home Affairs offices in each


http://www.dha.gov.za/index.php/contact-us

2.6 Environment, Natural Features and Endowments

Climate change will have an impact on water, agriculture and many other human

activities. Some 39 key impacts have been identified. The next table provides a

summary of the key issues noted by municipalities in the district when analysing the

34

impacts of climate change17. These 39 potential impacts and the degree to which

they could affect specific districts is recorded. The first column of the table below

shows how many of the 44 districts indicated whether the impact needs to be

planned for, with the second column showing the percentage of districts so affected.

The third column indicates for this district whether or not it rated it as a critical issue

for consideration:

Table 4: Potential impacts of climate change

Climate Change Impact

# Districts %Districts DC07

1 Increased risks to

livestock

28 63,6 Yes

9 Change in grain

(maize, wheat &

barley) production

19 43,2 Yes

3 Less water

available for

irrigation and

drinking

28 63,6 Yes

4 Decreased quality

of drinking water

14 31,8 Yes

7 Increased impacts

on traditional and

informal dwellings

23 52,3 Yes

10 Increased

Occupational health

problems

19 43,2 Yes

11 Increased

impacts on strategic

infrastructure

17 38,6 Yes

12 Increased

impacts on

environment due to

17 38,6 Yes

17 Department of Environmental Affairs 2018. Local Government Climate Change Support Program (LGCCSP) District Municipality Priority Climate Change Indicators.

35

land-use change

16 Decreased

income from tourism

12 27,3 Yes

18 Loss of Priority

Wetlands and River

ecosystems

13 29,5 Yes

19 Health impacts

from increased

storm events

13 29,5 Yes

22 Increased water

borne and

communicable

diseases (e.g.

typhoid fever,

cholera and

hepatitis)

10 22,7 Yes

32 Increased vector

borne diseases from

spread of

mosquitoes, ticks,

sandflies, and

blackflies

4 9,1 Yes

36

3. Governance assessment

While the first part of each municipal profile contained an overview of the general

environmental situation in each municipality (demographic and social context, the

economic context, land and human settlements, movement and transport,

infrastructure and service provision, and the environment), it is relevant also to

assess the municipality’s general governance, through findings such as their audit

scores and other financial indicators, voter turnout and municipal staffing information.

3.1 Financial overview

Local government audit outcomes are detailed below and are indicated by the

following:

Unqualified with no findings – The municipality was able to produce financial

statements free of material misstatements (material misstatements mean

errors or omissions that are so significant that they affect the credibility and

reliability of the financial statements); measure and report on their

performance in accordance with the predetermined objectives in their IDPs

and/or SDBIPs in a manner that is useful and reliable; and comply with key

legislation (Score 5 in analysis below).

Unqualified with findings – The municipality has been able to produce

financial statements without material misstatements, but has struggled to align

their performance reports to the predetermined objectives to which they had

committed in their IDPs and/or SDBIPs; set clear performance indicators and

targets to measure their performance against their predetermined objectives;

report reliably on whether they had achieved their performance targets; and

determine which legislation they should comply with, and implement the

required policies, procedures and controls to ensure that they comply (Score

4 in analysis below).

37

Qualified with findings – These municipalities face the same challenges as

those that were financially unqualified with findings in the areas of reporting

on performance and compliance with key legislation. In addition, they were

unable to produce credible and reliable financial statements. Their financial

statements contain misstatements which they could not correct before the

financial statements were published (Score 3 in analysis below).

Adverse with findings - The financial statements of these municipalities have

so many material misstatements that the Auditor-General (AG) disagrees with

virtually all the amounts and disclosures in the financial statements (Score 1

in analysis below).

Disclaimed with findings - Those municipalities could not provide evidence for

most of the amounts and disclosures in the financial statements. The AG was

unable to conclude or express an opinion on the credibility of their financial

statements (Score 1 in analysis below).

Audit not finalised at legislated date (Not considered in averages).

New auditee (Not considered in averages).

The figure below provides the audit results for the municipality for the past three

financial years: 2014/15, 2015/16 and 2016/17. As indicated above, scores close to

1 indicate findings which are Adverse/Disclaimers, scores around 3 are Qualified and

scores close to 5 are Unqualified with no findings.

Figure 30: Audit outcomes

Measures of municipal finances look at financial distress information from National

Treasury, covering eight specific areas from the MFMA, with scores attributed to the

following eight variables:

Cash Coverage: this measures the amount of cash on hand a municipality

has to meet its monthly payments as and when they fall due. National 38

Treasury suggest that municipalities should have three months of average

operational expenditure available at any time.

Cash Balance: Identifies whether cash shortages / bank overdrafts pose a

‘chronic’ problem for the municipality.

Reliance on capital transfers: This determines the levels at which

municipalities are able to generate own funds to finance revenue generating

assets to enhance and sustain revenue generating streams

Overspending: This measures the overspending of operational budgets and

tests the effectiveness of municipal spending in accordance with resource es

available to them, what is the credibility of the budget and are municipalities

able to adjust expenditure should planned revenue not materialise.

Underspending of capital budgets: This shows the effectiveness of municipal

spending – but also provides an indication of whether municipalities are

compromising on capital programmes to resolve cash flow challenges, or

whether there are planning deficiencies which are impacting on service

delivery.

Debtors growth – this shows the year on year growth in debtors and provides

information on whether the municipality is exercising fiscal effort in collecting

outstanding debt. It demonstrates the extent to which financial distress is the

result of poor debtor management.

Debtors as a percentage of own revenue: this shows the revenue

management capabilities of municipalities.

Creditors as a percentage of cash: whether the municipality is able to meet its

monthly commitments.

Scores of 1, 2 or 3 are assigned to each municipality in terms of how they score on

each variable, with 3 being that they score poorly. These scores are added up and

those municipalities scoring between 17 and 24 are deemed to be financially

distressed.

Figure 31: Financial indicators

39

In addition, measures are also provided which detail aspects such as:

Whether or not a municipality is in financial distress based on these

indicators;

The degree to which a municipality (over the past three years) has underspent

its CAPEX;

Whether or not a municipality is subject to a Section 139 intervention;

Whether or not the Municipal Finance Improvement Programme operates in

the municipality; and

The total years in which a municipality has been in financial distress.

Figure 32: Further measures of financial performance

3.2 Voter turnout

In terms of governance, the first indicator represents the degree to which voters

participate in local elections. This is provided in the following figure, together with an

indicator showing the turnout of voters who have registered to vote as a percentage

of the voting population (age 19 and above).

Figure 33: Voter turnout and registered voters

40

3.3 Municipal staffing

The final set of data related to governance in the municipality examines the numbers

of municipal councillors and employees, including a focus on gender representation:

Number of elected councillors

Women as a percentage of total elected municipal councillors

Number of municipal officials per 100 000 population

Percentage of women employed in the municipal workforce

Figure 34: Municipal councillors and employees

41

4. Municipal Overview of Capacity

4.1 Staffing information

The table below provides an overview of staffing levels in the municipality, including

total staff currently employed, approved positions and funded vacancies. The table

below provides an overview of staffing levels in the municipality, including total staff

currently employed, approved positions and funded vacancies. For example, in this

municipality, 89,13% of staff are permanent employees. There is a vacancy rate of

17%.

Table 5: Staffing levels

DC7

Total municipal staff currently employed 92

Total permanent currently employed 82

Total temporary staff currently employed 10

Total approved positions 100

Total funded vacancies 17

Percentage of funded vacancies 17

The qualifications of staff (from technical to postgraduate) are detailed below.

45,65% of staff have some form of tertiary qualification.

Table 6: General qualifications

DC7

Number of staff with postgraduate degrees 4

Percentage of staff with postgraduate

degrees

4,35

Number of staff with Bachelors degrees 12

Percentage of staff with Bachelors

degrees

13,04

Number of staff with technical 26

42

qualifications

Percentage of staff with technical

qualifications

28,26

In 2007, National Treasury introduced minimum competencies for municipal officials

responsible for financial and supply chain management. This was done in order to

modernise and professionalise financial management in municipalities, in keeping

with the principles of accountability, transparency, effective and efficient utilisation of

public resources.

The regulations cover the following aspects for the relevant financial and supply

chain management positions: minimum higher education qualifications; work related

experience, core managerial and occupational competencies and the financial and

financial and supply chain management competencies that the relevant municipal

officials should have to enable them to discharge their responsibilities under the

MFMA and the related reforms.

A structured training programme was introduced in support of the minimum

competency requirements for existing and new incumbents in the municipal sector. A

graduate internship programme was also introduced and additional financial

resources were made available to municipalities in the form of Financial

Management Grant over the medium term. This was augmented by additional

funding from the donor community, LGSETA and municipal own resources18.

The table below indicates the number of people in the municipality that have

completed MFMA competency courses.

Table 7: MFMA competency

DC7

Number of municipal officials that have

completed the MFMA Competency 1:

Budgetting

21

Number of municipal officials that have 21

18 National Treasury and CoGTA, Minimum competency levels for municipal officials effective from

October 2015, 30 September 201543


Costing



Income expenditure

18



Ethics

21



IG Fiscal relations

18



Auditing planning implementation

18



Performance management

21



Internal control

18



Risk management

18



ICT and finance

18

The total number of days worked in the municipality is indicated in the table below,

as well as details on the total sick days taken in 2016/17.

Table 8: Total days worked

DC7

Total number of days worked by staff 1517844

as a whole in 2016/17

Total sick days as a whole in 2016/17 604

Staff turnover, and specifically the total number of resignations and dismissals in

2016/17, are detailed below.

Table 9: Staff turnover

DC7

Total resignations / contract endings in

2016/17

3

Total dismissals in 2016/17 0

4.2 Management overview

The table below provides an overview of senior management in the municipality,

including total number of Section 56 positions, as well as the percentage of

vacancies in 2016/17 and 2017/18. In this municipality, 75% of Section 56 positions

were vacant in 2016/17, while 0% were vacant in 2017/18.

Table 10: Senior management

DC7

Total Section 56 positions in the

municipality

4

Percentage of Section 56 positions

vacant for more than three months in

2016/17

75

Percentage of Section 56 positions

vacant for more than three months in

2017/18

0

45

The following table provides information on the number of qualified engineers,

planners, accountants and environmental officers.

Table 11: Qualifications of professionals

DC7

Qualified engineers and engineering

technologists

2

Qualified planners and planning

technicians

1

Qualified accountants 0

Environmental officers 9

4.3 Financial information

Municipalities were asked to provide information on their finances, including

expenditure, income, creditors etc.

In this municipality, there has been:

A 1,37% increase in operating expenditure, A 16074900% increase in capital budgets, and A 5,55% increase in staffing budgets.

The municipal budget per household rose from R 910,59 in 2016/17 to R 923,04 in

2017/18.

Table 12: Expenditure

DC7

Total estimated operating budget

2017/2018

51975711

Actual operating budget 2016/2017 51274229

Total estimated capital budget

2017/2018

160750

Total actual capital budget 2016/2017 1

Total estimated staff budget 2017/2018 29827482

46

Total actual staff budget 2016/2017 28259029

% of the budget in 2016/17 that was

used for IDP projects

1.85

% of the budget in 2017/18 that is

being used for SDBIP projects

0

The table below highlights municipal income in 2016/17 and 2017/18. The following

is noted:

There has been a 0% increase in rates income between 2016/17 and

2017/18.

Grants income in 2017/18 makes up 100% of the municipality’s total income.

Service charges in 2017/18 make up 0% of municipal income.

Table 13: Income

DC7

Estimated rates income for 2017/2018 0

Actual rates income collected for

2016/2017

0

Estimated grant income for 2017/2018 47800000

Estimated grant income for 2016/2017 42117000

Total estimated income for service

charges for 2017/2018

0

Total actual income collected from

service charges for 2016/2017

0

Municipal creditors are detailed in the table below. There has been a:

71,34% decrease in the amount owed for audit fees between 2016/17 and

2017/18

Table 14: Creditors

DC7

Amount owed at year-end to Water 0

47

Boards for 2016/17 financial year

Estimated amount owed to Water

Boards currently for 2017/18 financial

year

0

Amount owed at year-end to ESKOM

for 2016/17 financial year

0

Estimated amount owed currently to

ESKOM for 2017/18 financial year

0

Amount owed at year-end for Audit

fees for 2016/17 financial year

1799721

Estimated amount owed currently for

Audit fees for 2017/18 year

515829

An analysis of rates shows the following:

Table 15: Analysis of rates collected

DC7

Rates collected from residential

properties (including Sectional Title) in

2016/17

0

Rates collected from non-residential

Properties

(Business/Commercial/Industrial) in

2016/17

0

Rates collected from state-owned

properties (other than municipal) in

2016/17

0

Rates collected from

farming/agriculture properties in

2016/17

0

Rates collected from other properties

in 2016/17

0

48

In terms of national policy, municipalities should provide Free Basic Services to their

communities. The table below indicates whether free basic water and electricity is

provided, the quantity thereof, and the number of households benefitting from this

policy.

In this municipality, free basic services for water costs roughly 0% of the total

operating expenditure. This benefits 3,05% of households in the municipality.

Free basic electricity makes up approximately 0% of the total operating expenditure,

and benefits 3,05% of households in the municipality.

Table 16: Free basic services

DC7

Free Basic Services policy (water) No

Quantity of free basic water Over 6KL

Cost to municipality for free basic

water

0

Number of households benefitting from

free basic water

1718

Free Basic Services policy (electricity) No

Quantity of free basic electricity Over 50KwH

Cost to municipality for free basic

electricity

0

Number of households benefitting from

free basic electricity

1718

4.4 Governance

Governance is defined as the exercise of political, economic and administrative

authority in the management of a country’s (municipality’s) affairs at all levels. It

comprises the mechanisms, processes and institutions through which citizens and

49

groups articulate their interests, exercise their legal rights, meet their obligations and

mediate their differences.19

As one indication of governance levels in the municipalities, the following information

was requested:

Number of municipal council meetings

Number of MPAC meetings

Number of EXCO/Mayoral Committee meetings

Number of audit/risk committee meetings

Number of ward committee meetings

In terms of the Municipal Structures Act, 117 of 1998, Section 18(2), a municipal

council must meet at least quarterly. A municipal Council may also establish one or

more committees necessary for the effective and efficient performance of any of its

functions or the exercise of any of its powers (Municipal Structures Act, 117 of 1998,

Section 79). The table below provides an overview of the number of meetings held

in 2016/17 and 2017/18.

Table 17: Meetings held

DC7 2016/17 2017/18

Council meetings 6 5

MPAC meetings 3 3

Exco/Mayco meetings 8 9

Audit and risk meetings 4 4

Ward committee meetings 0 0

The number of protests and petitions received by the municipality is detailed below.

In this municipality there has been a 0% change in protests and petitions received by

the municipality between 2016/17 and 2017/18.

Table 18: Protests and petitions

19 UNDP Governance for Sustainable Human Development, New York, 1997, pp. 2-3. See also the draft Working Consensus Definition of

Governance presented to the U.N. Consultative Committee on Programme and Operational Questions ACC/ 2000/POQ/ CRP.20 of 14

September 2000).50

DC7 2016/17 2017/18Number of protests and petitions

received

0 0

4.5 Departmental assessment

Total budget and staffing information for the three groups of functions (Development

and town planning services; Technical services; Community services) are provided

in the table below. This is followed by a detailed assessment by function in the

following section.

An analysis of data for each department finds the following:

Development and Planning

o 8,39% decrease in operating budget between 2016/17 and 2017/18

o 0% increase in capital budget between 2016/17 and 2017/18

o A vacancy rate of 200%

Technical services



o A vacancy rate of 3,77%

Community services



o A vacancy rate of 18,8%

Department Budget Staffing

2016/17 Operati

ng expendi

ture

2017/18 Operating budget

2016/17 Capital budget

2017/18 Capital Budget

Total staff

Total vacancies

Staff with undergraduate degrees or

above

Staff with technical

qualification

Development 626360 5738001 0 0 2 4 2 0

51

Department Budget Staffing

2016/17 Operati

ng expendi

ture

2017/18 Operating budget

2016/17 Capital budget

2017/18 Capital Budget

Total staff

Total vacancies

Staff with undergraduate degrees or

above

Staff with technical

qualification

and Planning 4

Technical

services

626360

4

5738001 0 0 106 4 2 0

Community

services

122058

94

12156638 0 0 133 25 8 12

Table 19: Departments

5. Assessment of capacity to perform functions

One of the key objectives of these municipal reports is to provide information on the

capacity of municipalities to exercise each of their core functions. Information in this

section was provided by municipalities and verified by Municipal Managers.

Functions have been grouped into three main areas:

Development and town planning services

Technical services

Community services

Table 20: Grouping of functions

Development and town planning services

Technical services Community services

• Air pollution

• Building regulations

• Local tourism

• Municipal Airports

• Municipal Planning

• Pontoons, ferries, jetties,

• Electricity reticulation

• Municipal Public

Transport

• Storm Water

Management Systems

• Potable Water Supply

• Childcare facilities

• Firefighting services

• Municipal health

services

• Cemeteries, funeral

parlours, crematoria

52

piers, harbours

• Trading regulations

• Beaches and Amusement

Facilities

• Billboards and Public

Advertisements

• Control of public

nuisances

• Control of public liquor

trading

• Facilities for care, burial

of animals, pounds

• Fencing and fences

• Licensing of dogs

• Licensing of public food

trading

• Municipal abattoirs

• Noise pollution

• Pounds

• Street trading

• Environment and Nature

Conservation

• Vehicle licensing

• Economic Development

Systems

• Sanitation

• Cleansing

• Municipal roads

• Refuse removal, refuse

dumps and solid waste

disposal

• Street lighting

• Traffic and parking

• Housing

• Municipal Public Works

• Local amenities

• Local sport facilities

• Markets

• Municipal parks and

recreation

• Public places

• Agriculture

• Disaster Management

• Libraries

• Traditional Authorities

• Welfare

• Ambulance services

• Museums other than

national museums

• Municipal police and

security guards

• Other Health

Programmes

(HIV/AIDS, etc.)

According to Section 156(1) of the Constitution and Section 84(1) and (2) of the

Municipal Structures Act, many of these functions are local municipality functions.

However, Section 85(1) of the Municipal Structures Act stipulates that the MEC for

local government in a province may, subject to the provisions of this section, adjust

the division of functions and powers between a district and a local municipality as set

out in Section 84(1) or (2) by allocating, within a prescribed policy framework, any of

those functions or powers vested – 53

(a) in the local municipality, to the district municipality; or

(b) in the district municipality (excluding a function or power referred to in Section

84(1)(a), (b), (c), (d) (i), (o) or (p)) to the local municipality.

5.1 Development and town planning services

Table 21: Performance of functions (Development and town planning services)

Authority for

function

Provided by

PMS in place

By laws in place

Where is service

rendered

Equipment and

infrastructure available for

function

Local tourism Local Local No No Urban

Only

No

Municipal

Airports

Local Local No No Urban

Only

No

Municipal

Planning

District Both Yes Yes Entire

Area

Yes

Municipal

abattoirs

Local External

Provider

No No Some

Urban

No

Economic

Development

District Both Yes No Entire

Area

Yes

The table below provides an overview of budgets for the development and town

planning functions. Some observations include:

Economic development had a decrease in operating budget of 8,39%

between 2016/17 and 2017/18.

Table 22: Financial overview (Development and town planning services)

54

2016/17 2017/18

Operating expenditure

Income Capital expenditur

e

Operating budget

Estimated income

Estimated capital budget

Local tourism 0 0 0 0 0 0

55

2016/17 2017/18


Income Capital expenditur

e

Operating budget

Estimated income


Municipal

Airports

0 0 0 0 0 0

Municipal

Planning

0 0 0 0 0 0

Municipal

abattoirs

0 0 0 0 0

Economic

Development

6263604 20830591 0 5738001 5618000 0

Staffing for the development and town planning functions are detailed in the table

below.

Table 23: Staffing overview (Development and town planning services)

Staffing Qualifications (no. of staff) Staff vacancie

sTotal staff employed

Full-time Part-time

Bachelors degree and above

Technical qualifications directly related to function

Local

tourism

0 0 0 0 0 1

Municipal

Airports

0 0 0 0 0 0

Municipal

Planning

1 1 0 1 0 2

Municipal

abattoirs

0 0 0 0 0 0

Economi

c

Develop

ment

1 1 0 1 0 1

Municipalities were also requested to indicate whether there is a backlog for each

function, and if so, the extent thereof. This, together with their own assessment of

56

service delivery and the levels of community satisfaction (f available), are detailed

below.

Table 24: Backlog and service delivery (Development and town planning services)

Backlog Delivery of function

Yes / No Extent of backlog Timeframe to address

Ranked assessment of service delivery from 1 (poor) to 10 (excellent)

Community satisfaction

Local tourism Yes Tourism Master

Plan with baseline

information,

Tourism

Development

Strategy,

Marketing

3 year 1 None

Municipal

Airports

No

Municipal

Planning

Yes Town spacial

planning, Municipal

Services

Masterplanning

more than

5 years

5 None

Municipal

abattoirs

No 1

Economic

Development

Yes Review of District

Growth and

Development Plan,

Local Economic

Development Plan

and

implementation

thereof

5 year 5 None

5.2 Technical services

57

Table 25: Performance of function (Technical services)

Authority for

function

Provided by

PMS in place

By laws in place

Where is service

rendered

Equipment and


function

Electricity

reticulation

Local Local No No Entire

Area

No

Municipal

Public

Transport

Local External

Provider

No No Some

Urban

No

Potable

Water

Supply

Systems


Only

No

Sanitation Local Local No No Urban

Only

No

Municipal

roads


Only

No

Refuse

removal,

refuse

dumps and

solid waste

disposal


Only

No

The table below provides an overview of budgets for the technical services functions.

Table 26: Financial overview (Technical services)

2016/17 2017/18


Income Capital expenditure

Operating budget

Estimated income


Electricity

reticulation

0 0 0 0 0 0

Municipal 0 0 0 0 0 0

58

2016/17 2017/18



Operating budget

Estimated income


Public

Transport

Potable

Water

Supply

Systems

0 0 0 0 0 0

Sanitation 0 0 0 0 0 0

Municipal

roads

0 0 0 0 0 0

Refuse

removal,

refuse

dumps and

solid waste

disposal

0 0 0 0 0 0

The table below details staffing information for the technical services functions,

including total staff employed, qualifications and vacancies.

Table 27: Staffing overview (Technical services)

Staffing Qualifications (no. of staff) Staff vacanciesTotal staff

employedFull-time

Part-time Bachelors degree and

above

Technical qualifications directly

related to function

Electricity

reticulation

10 10 0 0 0 0

Municipal

Public

Transport

0 0 0 0 0 0

Potable

Water

Supply

Systems

20 0 0 0

59


employedFull-time

Part-time Bachelors degree and

above

Technical qualifications directly

related to function

Sanitation 44 31 0 0 0 0

Municipal

roads

0 0 0 0 0 0

Refuse

removal,

refuse

dumps and

solid waste

disposal

50 31 0 0 0 0



service delivery and the levels of community satisfaction (if available), are detailed

below.

Table 28: Backlog and service delivery (Technical services)





Electricity

reticulation

No

Municipal

Public

Transport

No 0

Potable

Water

Supply

Systems

No

Sanitation No

Cleansing N/A N/A N/A N/A N/A

60

Municipal

roads

No

Refuse

removal,

refuse

dumps and

solid waste

disposal

No

5.3 Community services

Table 29: Performance of function (Community services)

Authority for

function

Provided by

PMS in place

By laws in place

Where is service

rendered

Equipment and


function

Firefighting

services


Only

No

Municipal

health

services

District District Yes No Some

Urban

Yes

Cemeteries,

funeral

parlours,

crematoria

District Both Yes Yes Some

Urban

Yes

Markets Local Local No No Some

Urban

No

Agriculture Local Local No No Rural

Only

No

Disaster

Management

District District Yes No Entire

Area

No

Traditional

Authorities

Local Local No No Entire

Area

No

Ambulance

services

District External

Provider

No No Entire

Area

No

61

Authority for

function

Provided by

PMS in place

By laws in place

Where is service

rendered

Equipment and


function

Other Health

Programmes

(HIV/AIDS,

etc.)

District External

Provider

No No Entire

Area

No

The table below provides an overview of budgets for the community services

functions.

Table 30: Financial overview (Community services)

2016/17 2017/18



Operating budget

Estimated income


Firefighting

services

0 0 0 0 0 0

Municipal

health

services

0 0 0 0

Cemeteries,

funeral

parlours,

crematoria

3515148 0 0 3887407 0 0

Markets 0 0 0 0 0

Agriculture 0 0 0 0 0 0

Disaster

Management

2427142 350000 0 2531230 350000 0

Traditional

Authorities

0 0 0 0 0 0

Ambulance

services

0 0 0 0 0 0

Other Health

Programmes

62

2016/17 2017/18



Operating budget

Estimated income


(HIV/AIDS,

etc.)

The table below details staffing information for the community services functions,

including total staff employed, qualifications and vacancies.

Table 31: Staffing overview (Community services)


employedFull-time

Part-time

Bachelors degree and

above

Technical qualifications directly related to

function

Firefighting

services

0 0 0 0 0 0

Municipal

health

services

10 8 0 3 6 010

Cemeteries,

funeral

parlours,

crematoria

10 8 0 3 6 10

Markets 0 0 0 0 0 0

Agriculture 0 0 0 0 0 0

Disaster

Management

7 7 0 0 0 1

Traditional

Authorities

0 0 0 0 0 0

Ambulance

services

0 0 0 0 0 0

Other Health

Programmes

(HIV/AIDS,

etc.)

0

63



service delivery and the levels of community satisfaction (f available), are detailed

below.

Table 32: Backlog and service delivery (Community services)





Firefighting

services

No 0 0

Municipal

health

services

Yes Appointment of

Environmental

Health Practitioners

personnel, food

sampling laboratory

analysis, Law

enforcement

system

5 year 7 None

Cemeteries,

funeral

parlours,

crematoria

Yes additional

Environmental

Health Practitioner

5 year 7 none

Markets No

Agriculture No

Disaster

Management

No 7 0

Traditional

Authorities

No 0 0

Ambulance

services

No 5 0

Other Health

Programmes

(HIV/AIDS,

64





etc.)

65

6. Conclusion and recommendations

This report serves to provide an overview of both the environmental situation, and

documented capacity, of the municipality under review. This has been extracted

from information provided by the municipality in the form of responses to

questionnaires, as well as additionally sourced information from National Treasury,

Stats SA, CoGTA etc., where municipalities did not provide sufficient information.

More detailed capacity conclusions, by municipality and function, are contained in

the provincial reports.

Listed below are generic recommendations emerging from the study.

6.1.1 Updating of information on Powers and Functions

Creation of database of all Gazetted MEC determinations in terms of Division

of Powers and Functions

Creation of database of all assignments and documentation

Review of all SLAs particularly with ESKOM

Annual update on what functions are being performed where

o Linked to this, focus on improving the understanding of powers and

functions across municipalities. It is clear from the municipal

submissions, and lack of budget and staffing data, that there is often a

limited understanding of powers and functions. This therefore impacts

the MDB’s ability to have an accurate and comprehensive assessment

of capacity.

6.1.2 Identification of capacity requirements to exercise particular powers and

functions

66

The study has indicated that many municipalities are unaware of how different

powers and functions are exercised in each municipalities. Given that there

are clear variations across provinces both in terms of the location of Powers

and Functions (District/Local/Both) and how each function is exercised,

working in consultation with municipalities, Provincial COGTAs could define

more clearly what it means to exercise each Power and Function so as to be

better prepared to engage with provincial and national treasuries around the

formulae used for the equitable share and other grants/transfers.

6.1.3 MECs could identify areas in which they need to rationalise the division of

powers and functions

This study has provided a baseline of what functions are being exercised

where at a category B and C level across South Africa.

As indicated above, given that the information is largely based on what

municipalities have provided, provinces need to engage in a process to

confirm these divisions of powers and functions, editing where needed and

could initiate further legislative provisions where needed, including making

formal requests to the MDB if necessary.

67

Appendix 1: Definitions

Function Definition Comment

Air pollution “Air pollution” means any change in the composition of the air by smoke,

soot, dust (including fly ash), cinders, solid particles kind, gases, fumes,

aerosols and odorous.

According to Section 156(1) of the Constitution and Section 84(1) and (2)

of the Municipal Structures Act, the air pollution function is a local

municipality function. However, as indicated the air pollution function

may, subject to the provisions stated above, be adjusted by the MEC for

local government.

beaches and

amusement

facilities

“Beaches” means the area for recreational opportunities and facilities along

the sea shore available for public use and any other aspect in this regard

which falls outside the competence of the national and provincial

government.

“Amusement facilities” means a public place for entertainment.

In relation to the local municipality:

The establishment, operation, management, control and regulation of

amusement facilities and beach facilities.


of the Municipal Structures Act, the beaches and amusement facilities

function is a local municipality function. However, as indicated the

beaches and amusement facilities function may, subject to the provisions

stated above, be adjusted by the MEC for local government.

Billboards and

the display of

advertisements

in public places

“Billboards and the display of advertisements in public places” means:

The display, regulation and control of written or visual descriptive material,

any sign or symbol or light that is not intended solely for illumination or as a

warning against danger which promotes the sale and / or encourages the

use of goods and services found in:

• Streets

• Roads


of the Municipal Structures Act, the billboards and public advertisements


billboards and public advertisements function may, subject to the

provisions stated above, be adjusted by the MEC for local government.

68


• Thoroughfares

• Sanitary passages

• Squares or open spaces and or

• Private property.

The above definition excludes any aspect that may be covered by

provincial or national legislation.

Building

regulations

“Building regulations” means the regulation, through by-laws, and legislated

building regulations, of any temporary or permanent structure attached to,

or to be attached to, the soil within the area of jurisdiction of a municipality,

which must at least provide for:

• Approval of building plans,

• Building inspections,

• Issue of completion certificates, and

Control of operations and enforcement of contraventions of building

regulations if not already provided for in national and provincial legislation.


of the Municipal Structures Act, the building regulations function is a local

municipality function. However, as indicated the building regulations

function may, subject to the provisions stated above, be adjusted by the

MEC for local government.

Cemeteries,

funeral parlours

and crematoria

“Cemeteries, funeral parlours and crematoria” means:

The establishment, conduct and control of facilities for the purpose of

disposing of human and animal remains.

In addition, in relation to the district municipality, it means the

establishment, conduct and control of cemeteries and crematoria serving

the area of a major proportion of municipalities in the district.

And in relation to the local municipality, it means the establishment,

conduct and control of cemeteries and crematoria serving the area of the

local municipality only.


of the Municipal Structures Act, the cemeteries, funeral parlours and

crematoria function is a shared municipal function, with district and

functions as stipulated above. However, as indicated the cemeteries,

funeral parlours and crematoria function may, subject to the provisions


Child care

facilities

“Child care facilities” means ensuring a safe and healthy environment within

facilities pertaining to child care. The function is in respect of regulation of

Section 297 of the Children’s Bill 70 of 2003 makes provision for

inspection by municipal officials of child and youth care centres, partial

69


the facilities. care facilities, shelters and drop-in centres to determine compliance to

any structural, safety, health and other requirements of the municipality.

The bill defines child and youth care centres, partial care facilities,

shelters and drop-in centres.


of the Municipal Structures Act, the child care facilities function is a local

municipality function. However, as indicated the child care facilities



Cleansing “Cleansing” means the cleaning of public streets, roads and other public

spaces, either manually or mechanically.


of the Municipal Structures Act, the cleansing function is a local

municipality function. However, as indicated the cleansing function may,

subject to the provisions stated above, be adjusted by the MEC for local

government.

Control of public

nuisance

“Control of public nuisance” means the regulation, control and monitoring of

any activity, condition or thing interferes with the rights of the community by

causing damage, annoyance or inconvenience to a person or a community.


of the Municipal Structures Act, the control of public nuisance function is

a local municipality function. However, as indicated the control of public

nuisance function may, subject to the provisions stated above, be

adjusted by the MEC for local government.

Control of

undertakings

that sell liquor to

the public

“Control of undertakings that sell liquor to the public” means the control of

undertakings that sell liquor to the public that is permitted to do so in terms

of provincial legislation, regulation and licenses, and includes an inspection

service to monitor liquor outlets for compliance to license requirements in

as far as such control and regulation are not covered by provincial

legislation.


of the Municipal Structures Act, the "Control of undertakings that sell

liquor to the public" function is a local municipality function. However, as

indicated the "Control of undertakings that sell liquor to the public"



70


Domestic waste-

water and

sewage disposal

systems

“Domestic waste-water and sewage disposal systems” means:

The establishment or procurement, where appropriate, provision, operation,

management, maintenance and regulation of a system, including

infrastructure, for the collection, removal, disposal and/or purification of

human excreta and domestic waste-water to ensure minimum standard of

services necessary for safe and hygienic households.

According to Section 156(1) of the Constitution and Section 84(1)

Municipal Structures Act, the water and sanitation services function is a

district municipality function. However, as indicated the water and

sanitation services function may, subject to the provisions stated above,

be adjusted by the MEC for local government.

The functions and powers referred to in subsection (1) include (b) potable

water supply systems and (d) domestic waste-water and sewage disposal

systems.

Electricity

reticulation

“Electricity reticulation” means bulk supply of electricity, which includes for

the purposes of such supply, the transmission, distribution and, where

applicable, the generation of electricity, and also the regulation, control and

maintenance of the electricity reticulation network, tariff policies, monitoring

of the operation of the facilities for adherence to standards and registration

requirements, and any other matter pertaining to the provision of electricity

in the municipal areas.

According to Section 156(1) of the Constitution and Section 84(1) Municipal

Structures Act, the electricity reticulation function is a district municipality

function.

However, Section 84(3)(a) of the Municipal Structures Act stipulates that

the Minister may, by notice in the Government Gazette and, after

consultation with the Cabinet member responsible for the functional area in

question, the MEC for local government in the province and, if applicable,

subject to national legislation, authorize a local municipality to perform a

function or exercise a power mentioned in subsection (1)(b), (c), (d) or (i) in

its area or any aspect of such function or power.


Municipal Structures Act, the electricity reticulation function is a district

municipality function. However, as indicated the electricity reticulation



71


The functions and powers referred to in subsection (1) include (c) the

provision of electricity.

Facilities for the

accommodation,

care and burial

of animals

“Facilities for the accommodation, care and burial of animals” means the

provision of and/or the regulation, control and monitoring of facilities which

provide accommodation and care for well or sick animals and the burial or

cremation of animals, including monitoring of adherence to any standards

and registration requirements outlined in legislation.


of the Municipal Structures Act, the facilities for the accommodation care

and burial of animals function is a local municipality function. However,

as indicated the facilities for the accommodation care and burial of

animals function may, subject to the provisions stated above, be adjusted

by the MEC for local government.

Fencing and

fences

“Fencing and fences” means ensuring the provision and maintenance

and/or regulation of any boundary or deterrents to animals and pedestrians

along streets or roads.


of the Municipal Structures Act, the fencing and fences function is a local

municipality function. However, as indicated the fencing and fences



Fire fighting In relation to the district municipality, “fire fighting” means fire brigade

services serving the area of the district municipality as a whole intended to

be employed for preventing the outbreak or spread of a fire, and includes-

(i) planning, co-ordination and regulation of fire services;

(ii) specialised fire fighting services such as mountain, veld and chemical

fire services;

(iii) co-ordination of the standardisation of infrastructure, vehicles,

equipment and procedures;

(iv) training of fire officers.

In relation to the local municipality, “fire fighting” means any function not

included in the definition applicable to a district municipality, including

fighting and extinguishing of all fires; the rescue and protection of any


of the Municipal Structures Act, the fire fighting function is a shared

municipal function, with district and functions as stipulated above.

However, as indicated the fire fighting function may, subject to the


72


person, animal or property in emergency situations not covered by other

legislation or powers and functions.

Licensing and

control of

undertakings

that sell food to

the public

“Licensing and control of undertakings that sell food to the public” means:

Ensuring the quality and the maintenance of food safety and hygiene

related environmental health standards through regulation, a issuance of a

certificate of acceptability and monitoring of any place that renders in the

course of any commercial transaction the supply/handling of food intended

for human consumption. Implement policy and regulations 'as provided for

and prescribed in terms of the Foodstuffs, Cosmetics and Disinfectants Act,

1972 (Act 54 of 1972) and the National Health Act, (Act 61 of 2003),

including the relevant regulations published under the mentioned Acts.


of the Municipal Structures Act, the licensing and control of undertakings

that sell food to the public function is a local municipality function.

However, as indicated the licensing and control of undertakings that sell

food to the public function may, subject to the provisions stated above, be

adjusted by the MEC for local government.

Licensing of

dogs

“Licensing of dogs” means the control over the number and health status of

dogs through a licensing mechanism.


of the Municipal Structures Act, the licensing of dogs function is a local

municipality function. However, as indicated the licensing of dogs



Local amenities “Local amenities” means:

The provision, management, preservation and maintenance of any

municipal place, land, and building reserved for the protection of places or

objects of scenic, natural, historical and cultural value or interest and the

provision and control of any such or other facility for public use but

excludes such places, land or buildings falling within competencies of

national and provincial governments.


of the Municipal Structures Act, the local amenities function is a local

municipality function. However, as indicated the local amenities function


local government.

Local tourism In relation to the district municipality, “local tourism” means the promotion of

local tourism for the area of the district municipality.


of the Municipal Structures Act, the local tourism function is a shared

73


In relation to the local municipality, “local tourism” means the promotion,

marketing and, if applicable, the development, of any tourist attraction

within the area of the municipality with a view to attract tourists; to ensure

access, and municipal services to such attractions, and to regulate,

structure and control the tourism industry in the municipal area subject to

any provincial and national legislation, and without affecting the

competencies of national/provincial government pertaining to “nature

conservation”, “museums”, “libraries” and “provincial cultural matters”.


However, as indicated the local tourism function may, subject to the


Markets “Fresh Produce Markets” means:

The establishment, operation, management, conduct, regulation and

control of markets restricted to the selling of fresh products, vegetables,

fruit, flowers, fish and meat.

“Markets” means:

The establishment, operation, management, conduct, regulation and/or

control of markets other than fresh produce markets including market

permits, location, times, conduct etc.

In relation to a District Municipality it also means:

The establishment, conduct and control of fresh produce markets

serving the area of a major proportion of the municipalities in the

district

In relation to a Local Municipality it also means:

The establishment, conduct and control of fresh produce markets serving

the local municipality area only


of the Municipal Structures Act, the markets function is a shared


However, as indicated the markets function may, subject to the provisions


Municipal

abattoirs

“Municipal abattoirs” means

The establishment, conduct and/or control of facilities for the slaughtering

of livestock and poultry


of the Municipal Structures Act, the municipal abattoirs function is a

shared municipal function, with district and functions as stipulated above.

74


In relation to a District Municipality it also means:

The establishment, conduct and control of abattoirs serving the

area of a major proportion of the municipalities in the district

In relation to a Local Municipality it also means:

The establishment, conduct and control of abattoirs serving the local

municipality area only.

However, as indicated the municipal abattoirs function may, subject to the


Municipal

Airport

“Municipal Airport” means a demarcated area on land or water or a building

which is used or intended to be used, either wholly or in part, for the arrival

or departure of aircraft which includes the establishment and maintenance

of such facility including all infrastructure and services associated with an

airport, and the regulation and control of the facility, but excludes airports

falling within the competence of national and provincial governments.

Additionally, in relation to the district it is a “municipal airport” serving the

area of the district municipality as a whole.

In relation to the local municipality it is a “municipal airport” serving the area

of the local municipality only.


of the Municipal Structures Act, the municipal airports function is a shared


However, as indicated the municipal airports function may, subject to the


Municipal health

services

The National Health Act 61 of 2003 defines ‘municipal health services’ as:

a) water quality monitoring;

b) food control;

c) waste management;

d) control of premises;

e) communicable disease control;

f) vector control;

g) environmental pollution control;

h) disposal of the dead; and

i) chemical safety,


Municipal Structures Act, the municipal health services function is a

district municipality function. However, as indicated the municipal health

services function may, subject to the provisions stated above, be adjusted

by the MEC for local government.

75


but excludes port health, malaria control and control of hazardous

substances.

Municipal parks

and recreation

“Municipal parks and recreation” means

The provision, management, control and maintenance of any land, gardens

or facility set aside for recreation, sightseeing and/or tourism and includes

playgrounds but excludes sport facilities.


of the Municipal Structures Act, the municipal parks and recreation


municipal parks and recreation function may, subject to the provisions


Municipal

planning

“Municipal planning” means the compilation and implementation of an

integrated development plan in terms of Chapter 5 of the Municipal

Systems Act 32 of 2000 and the regulations to this act, particularly the

regulations published under government notice R796 in 2001: Local

Government: Municipal Planning and Performance Management

Regulations. Municipal Planning includes the preparation of spatial

development frameworks, as a sectoral plan forming part of integrated

development plan.

Additionally, in relation to the district municipality “municipal planning”

means:

• Integrated development planning for the district as a whole,

including a framework for integrated development plans of all

municipalities in the area of the district municipality.

Additionally, in relation to the local municipality “municipal planning” means:

• Integrated development planning for the local municipality in

accordance with the framework for integrated development plans

prepared by the district municipality

Development and implementation of a town planning scheme or land use


of the Municipal Structures Act, the municipal planning function is a

shared municipal function, with district and functions as stipulated above.

However, as indicated the municipal planning function may, subject to the


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management scheme for the municipality including administration of land

use development applications in the form of special consents, rezonings

and departures.

Municipal public

transport

“Municipal public transport” means:

In relation to the local municipality the regulation and control, and where

applicable, the provision of:

• Services for the carriage of passengers, whether scheduled or

unscheduled, operated on demand along a specific route or routes

or, where applicable, within a particular area

• Scheduled services for the carriage of passengers, owned and

operated by the municipality, on specific routes

In relation to the district:

The regulation of passenger transport services.


of the Municipal Structures Act, the Municipal Public Transport function is

a shared municipal function, with district and functions as stipulated

above. However, as indicated the municipal public transport function


local government.

Municipal roads “Municipal roads” means:

The construction, maintenance, and control of a road which the public has

the right to and includes, in addition to the roadway the land of which the

road consists or over which the road extends and anything on that land

forming part of, connected with, or belonging to the road.

In relation to a district municipality it also means:

Municipal roads which form an integral part of a road transport

system for the area of the district municipality as a whole.

In relation to a local municipality it also means:

A street in a built-up area.


of the Municipal Structures Act, the municipal roads function is a shared


However, as indicated the municipal road function may, subject to the


Noise pollution “Noise pollution” means the control and monitoring of any noise that

adversely affects human health or well-being or the ecosystems useful to

mankind, now or in the future.


of the Municipal Structures Act, the noise pollution function is a local

municipality function. However, as indicated the noise pollution function

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local government.

Pontoons,

ferries, jetties,

piers and

harbours

“Pontoons, ferries, jetties, piers and harbours” means the regulation of

pontoons, ferries, jetties, piers and harbours, excluding the regulation of

international and national shipping and matters related thereto, and matters

falling within the competence of national and provincial governments.


of the Municipal Structures Act, the pontoons, ferries, jetties, piers and

harbours function is a local municipality function. However, as indicated

the pontoons, ferries, jetties, piers and harbours function may, subject to

the provisions stated above, be adjusted by the MEC for local

government.

Potable water

supply systems

“Potable water supply systems” means:

The establishment or procurement, where appropriate, operation,

management and regulation of a potable water supply system, including the

services and infrastructure required for the regulation of water

conservation, purification, reticulation and distribution; bulk supply to local

supply points, metering, tariffs setting and debt collection; and provision of

appropriate education so as to ensure reliable supply of a sufficient quantity

and quality of water and effective water use amongst end-users, including

informal households, to support life and personal hygiene.


Municipal Structures Act, the water and sanitation services function is a

district municipality function. However, as indicated the water and

sanitation services function may, subject to the provisions stated above,

be adjusted by the MEC for local government.

The functions and powers referred to in subsection (1) include (b) potable

water supply systems and (d) domestic waste-water and sewage disposal

systems.

Pounds “Pounds” means the provision, management, maintenance and control of

any area or facility set aside by the municipality for the securing of any

animal or object confiscated by the municipality in terms of its by laws.


of the Municipal Structures Act, the pounds function is a local municipality

function. However, as indicated the pounds function may, subject to the


Public places “Public places” means the management, maintenance and control of any

land or facility owned by the municipality for public use.


of the Municipal Structures Act, the public places function is a local

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municipality function. However, as indicated the public places function


local government.

Refuse removal,

refuse dumps

and solid waste

disposal

“Refuse removal, refuse dumps and solid waste disposal” means the

removal of any household or other waste and the disposal of such waste in

an area, space or facility established for such purpose, and includes the

provision, maintenance and control of any infrastructure or facility to ensure

a clean and healthy environment for the inhabitants of a municipality

In relation to the District Municipality it means:

Solid waste disposal sites, in so far as it relates to-

i. the determination of a waste disposal strategy for the district as a

whole;

ii. the regulation of waste disposal strategy for the district as a whole;

iii. the establishment, operation and control of waste disposal sites,

bulk waste transfer facilities and waste disposal facilities for more

than one local municipality in the district.

In relation to the Local Municipality it means:

i. The determination of a waste disposal strategy for the local

municipality only

ii. The regulation of local waste disposal for the local municipality

only

iii. The collection and removal of waste and transporting to a local

waste disposal site, bulk transfer facility and district waste disposal

site

The establishment, operation and control of waste disposal sites, bulk

waste transfer facilities and waste disposal facilities for the local


of the Municipal Structures Act, the refuse removal, refuse dumps and

solid waste disposal function is a shared municipal function, with district

and functions as stipulated above. However, as indicated the refuse

removal, refuse dumps and solid waste disposal function may, subject to

the provisions stated above, be adjusted by the MEC for local

government.

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municipality only

Storm water

management

systems

“Storm water management systems in built-up areas” means the

management of systems to deal with storm water in built-up areas.


of the Municipal Structures Act, the storm water management systems

function is a local municipality function. However, as indicated the storm

water management systems function may, subject to the provisions


Street lighting “Street lighting” means the provision and maintenance of lighting for the

illuminating of streets.


of the Municipal Structures Act, the street lighting function is a local

municipality function. However, as indicated the street lighting function


local government.

Street trading “Street trading” means the control, regulation and monitoring of the selling

of goods and services along a public pavement, road reserve and other

public places but excluding fresh produces markets as defined above.


of the Municipal Structures Act, the street trading function is a local

municipality function. However, as indicated the street trading function


local government.

Trading

regulations

“Trading regulations” means the regulation of any area facility and/or

activity related to the trading of goods and services within the municipal

area not already being regulated by national and provincial legislation.


of the Municipal Structures Act, the trading regulations function is a local

municipality function. However, as indicated the trading regulations



Traffic and “Traffic and parking” means the management and regulation of traffic and According to Section 156(1) of the Constitution and Section 84(1) and (2)

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parking parking within the area of the municipality including but not limited to, the

control over operating speed of vehicles on municipal roads but excluding

any provincial competences as specified in legislation.

of the Municipal Structures Act, the traffic and parking function is a local

municipality function. However, as indicated the traffic and parking



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