presentation 21 nov 15 - minister ivan · pdf fileproject description project status ......

SWARTLAND MUNICIPALITY

21 November 2015

Presentation by Dr IH MeyerMinister of Finance

© Western Cape Government 2012 |

The purpose of the presentation is to…

• Share the Western Cape 2015/16 Provincial Budget with

specific reference to Swartland Municipality;

• Prepare for the adjustments budget;

• Prepare for the 2016/17 MTREF Budget;

• Strengthen our partnership with Swartland Municipality;

and

• To prepare the Municipality for Fiscal Outlook: SA

Swartland Municipality 2


Budget Policy Principles

Constitutionalism

Evidence Based

Public Value

Rule of Law

Partnerships

Game changers

Whole-of-society approach

Citizen Centric

Provincial Strategic Plans and Goals

3Swartland Municipality


Population Growth


0

50 000

100 000

150 000

200 000

250 000

300 000

350 000

400 000

450 000

500 000

1996 2001 2011 2015 2020

West Coast District Municipality

Swartland Municipality

Municipality 1996 2001 2011 2015 2020

West Coast District Municipality 234 952 282 672 391 766 416 025 444 503

Swartland Municipality 65 301 72 115 113 762 120 314 127 884

Swartland Municipality % of District 28% 26% 29% 29% 29%


Basic Service Delivery, 2013



Western Cape spatial economy – the Cape Metro node

Cape Metro

Cape Winelandsmunicipalities:

Stellenbosch & Drakenstein64% of CWD GDPR

Closely integratedmunicipalities

Interior

Cape Agulhas & Swellendam

Bergrivier; Cederberg; Matzikama

Breede Valley; Langeberg & Witzenberg

Overbergmunicipalities:

Theewaterskloof & Overstrand70% of OBD GDPR

West Coastmunicipalities:

Saldanha Bay & Swartland61% of WCD GDPR R337.6 billion GDPR

(73% of Western Cape)3.88 million population

80% of Western

Cape GDPR

2015 PERO & MERO 6


Western Cape regional growth disparities

7

Real GDPR growth per annum, 2005 - 2013StellenboschDrakensteinGeorgeMossel BayBreede ValleySaldanha BayLangebergSwartlandTheewaterskloofOverstrand

MatzikamaBergrivierCape AgulhasBeaufort WestHessequa

CederbergSwellendamKannalandPrince AlbertLaingsburg

Western Cape average



Contribution to real GDPR growth, 2005 – 2013


West Coast District: Sectoral Compositions, 2013

9

Sector West Coast District Matzikama Cederberg Bergriver Saldanha

Bay Swartland

Agriculture, Forestry and Fishing 14.3% 19.2% 26.2% 18.1% 7.0% 14.3%

Mining and quarrying 0.7% 1.1% 0.8% 0.2% 1.3% 0.0%

Manufacturing 16.6% 18.9% 11.8% 18.9% 12.6% 20.1%

Electricity and Water 0.9% 0.9% 0.0% 0.6% 0.4% 1.8%

Construction 4.3% 4.0% 5.2% 5.5% 3.1% 4.7%

Wholesale and Retail Trade, Catering and Accommodation Services 13.1% 10.5% 17.4% 24.2% 10.1% 11.0%

Transport, Storage and Communication 8.2% 16.8% 6.7% 6.6% 8.5% 4.6%

Finance, Insurance and Business Services 27.0% 15.4% 15.4% 15.3% 33.6% 35.7%

Community, Social and Personal Services 3.8% 5.1% 6.1% 1.4% 4.6% 2.6%

General Government 11.0% 8.0% 10.3% 9.1% 18.7% 5.1%



Western Cape districts: Competitive advantage, location ratios 2013

10

Metro Winelands West Coast Eden Overberg Central Karoo

Agriculture 0.37 2.82 3.51 1.30 2.76 2.14

Manufacturing 1.02 1.44 1.05 1.09 0.97 0.69

Construction 0.93 0.84 1.02 2.07 1.82 1.36

Commercial services 1.11 0.80 0.86 0.88 0.90 0.96

Government; CSP 0.84 0.93 0.84 1.02 0.82 1.12

Other 0.69 0.49 0.71 0.69 0.54 0.47

Total 1.00 1.00 1.00 1.00 1.00 1.00

Cape Metro: comm services & manufacturing (e.g. cloth & tex/wood & furniture/ petrochem/tpt & comm/metals & mach)

Cape Winelands: agri-processing/tourism/building materials

Eden: agri-processing/tourism/petrochem/furniture/building VC

West Coast: agri-processing/tourism/building VC/metals & machinery

Overberg: agri-processing/tourism/building VC/furniture

Central Karoo: agri-processing/tourism/building VC/transport/electrical machinery



Swartland: Sectoral Growth and Employment, 2005 - 2013



West Coast District: Sectoral Growth Forecasts, 2015 - 2020



Western Cape Non-Metro Municipalities: Growth and Labour Share

13

High-growth / large employers• Stellenbosch• Mossel Bay• Overstrand• Knysna• Langeberg• Saldanha Bay

Slower-growth / large employers• Drakenstein• George• Breede Vallei• Theewaterskloof• Swartland• Oudtshoorn• Witzenberg

High-growth / small employers• Bitou• Cape Agulhas• Kannaland (… growth off low base)• Swellendam

Slow-growth / small employers• Berg River• Hessequa• Beaufort-West• Prince Albert• Laingsburg• Cederberg• Matzikama



Swartland: Workforce Skills Composition, 2005 - 2013



Payments and Transfers

VOTERevised Estimate

2014/15 R’000

2015/16 R’000

2016/17 R’000

2017/18 R’000

Community Safety 805 845 887 932

Education 1 055 319 1 122 453 1 173 419 1 225 348

Health 621 961 587 390 621 226 633 155

Social Development 117 952 125 428 132 392 139 010

Human Settlements 103 500 144 404 120 110 150 000

Environmental Affairs and Development Planning 400 3 350 10 350 14 350

Transport and Public Works 410 278 711 029 884 094 525 452

Agriculture 26 017 29 036 31 527 33 640

Economic Development and Tourism 40 739 28 958 29 824 31 316

Cultural Affairs and Sport 27 573 32 994 31 848 30 578

Local Government 8 752 7 092 7 535 8 110

TOTAL 2 413 296 2 792 979 3 043 212 2 791 891



2015/16 MTEF: Infrastructure investments per sector

16

Sector 2015/16 R'000

2016/17 R'000

2017/18 R'000

Education 28 947 10 000 30 000

Health 800 4 100 2 400

Transport 118 408 153 089 4 773

Human Settlements 33 505 27 170 35 100

TOTAL 181 660 194 359 72 273



Education

17

Project Description

Project Status

Timeframe Funding Source

Total Project

Cost

Exp. to

date

Allocations R’000Start Date Finish Date 2015/16 2016/17 2017/18

Laurie HugoPrimary School

Inappropriate structures

Pre-feasibility1

April 2017

1 June 2018

*EIG 45 000 - - - 1 000

ChatsworthPrimary School


Planning1

April 2021

1 December

2022

*EIG 22 500 - - - -

MoorreesburgHigh School

Construction of new school

Feasibility31

March 2017

30 June 2018

*EIG 50 000 - 1 000 10 000 29 000

MalmesburyPrimary School

Construction of new school

Project Initiation

1 April 2021

1 April 2023

*EIG 45 000 - - - -

VooruitsigPrimary School


Construction1

January 2014

31 May2016

*EIG 65 642 18 401 27 947 - -

* Educational Infrastructure Grant



Laurie Hugo Primary School (Pre-feasibility Phase)



Chatsworth Primary School (Planning Phase)



Moorreesburg High School (Feasibility Phase)



Malmesbury Primary School (Project Initiation)



Vooruitsig Primary School (Construction)


• General Construction (31 August 2015)




• Steel trusses erected (2 October 2015)




• Concrete slab (9 October 2015)




• Foyer progress




• Block D progress




• Block D internal courtyard




• Courtyard


Health


Project Description

Project Status


Total Project

Cost

Exp. to

date


AbbotsdaleSatellite Clinic

Clinic Replacement

Planning Phase

21 February

2015

31 March 2017

*HFRG

3 000 - 500 2 500 -

AbbotsdaleSatellite Clinic

Health Technology (Acquisition and commissioning of

medical equipment)

1 April 2016

31 March2018

600 - - 600 -

Chatsworth Clinic

Clinic Replacement

Planning Phase

31 March 2016

31 March 2018

*HFRG

3 000 - - 1 000 2 000

Chatsworth Clinic

Health Technology (Acquisition and commissioning of

medical equipment)

1 April 2017

31March2018

400 - - - 400

* Health Facility Revitalisation Grant


Abbotsdale Satellite Clinic (Planning Phase)


• Option A was chosen.


Chatsworth Clinic (Planning Phase)



Health

33

Project Description

Project Status


Total Project

Cost

Exp. to

date


New Community Health Centre

WesbankCommunity Day

Centre

Final Account

30 April 2008

30June2012

*HFRG 29 100 28 149 300 - -

Please Note: This project was successfully completed in 2012 and the facility has been in use since. The Department ofTransport and Public Works however discovered some latent defects which is currently still being addressed, hence theongoing nature of the project.

* Health Facility Revitalisation Grant



Wesbank Community Day Centre



Transport

35

Project Description

Project Status


Total Project

Cost

Exp. to

date

Allocations R’000

Start Date Finish Date 2015/16 2016/17 2017/18

Rehabilitation of MR230 and MR231 in

the Moorreesburg area

Construction Phase

19March2015

13December

2017

Other 147 000 - - - 3 500

*PRMG 170 000 - 80 000 90 000 -

MR215

Rehabilitation from34.07 – 46.53km.

Reseal from 47.85 –69.34km

Upgrade of culverts

Construction Phase

9 July 2015

23 November

2017

Other 86 008 - - - 1 273

*PRMG 101 497 - 38 408 63 089 -


* Provincial Road Management Grant


Rehabilitation of MR230 and MR231 (Construction)


• Installed box culverts on MR230




• Milling for patching on MR230




• Recycler on MR230




• Demolition of Old bridge B3107 on MR231




• Footings of new bridge B3107 on MR231




• Construction of bypasses on MR231




• Pouring of concrete for bridge deck B3107 on MR231


Rehabilitation/reseal of MR215 (Mamre-Yzerfontein) (Construction)


• The project team discussing road works excavation during a site inspection at the

monthly site meeting.




• Cement bags laid out prior to strengthening of a road layer




• Workers preparing steel and formwork for the pouring of concrete at a

drainage structure.


Human Settlements

46

Project Description Sub-Programme Project

Status

Service Sites/Units Allocations R’000

2015/16 2016/17 2017/18 2015/16 2016/17 2017/18

Abbotsdale GAP

Housing Units

Financial Linked Individual Subsidies

(FLISP)

Construction Phase 25 31 - 1 250 3 720 -

Malmesbury GAP

Service Sites

Integrated Residential

Development Programme

(IRDP)

Planning and Services Phase - 158 - - 7 900 -

Malmesbury GAP

Housing Units


(FLISP)

Planning and Services Phase - 50 108 - 2 500 5 400

MalmesburyPhola Park

Housing Units

People’s Housing Project (PHP)

Construction Phase 50 50 50 6 000 6 000 6 000



Abbotsdale GAP Project (Construction)


• Top Structure Construction




• Interior finishing




• Project concept




• Top Structure Construction


Phola Park – People’s Housing Project (Construction)


• Service sites completed




• Project ongoing


Human Settlements

55


Status


2015/16 2016/17 2017/18 2015/16 2016/17 2017/18

Darling GAP

Service Sites



(IRDP)

Planning and Services Phase - 75 - - 3 750 -

Darling GAP

Housing Units


(FLISP)

Planning and Services Phase - - 75 - - 9 000

ChatsworthRiverlands

Service Sites Integrated Residential


(IRDP)

Planning and Services Phase 15 - - 825 - -

ChatsworthRiverlands

Housing Units

Planning and Services Phase 15 - - 1 800 - -



Darling Housing Project (Planning Phase)



Chatsworth (Riverlands) Housing Project (Planning Phase)



Human Settlements

58


Status


2015/16 2016/17 2017/18 2015/16 2016/17 2017/18

Malmesbury Ilingelethu

Service Sites

Upgrading of Informal Settlements

Programme (UISP)

Planning and Services Phase 235 - - 13 630 - -

Wesbank Refurbishment

Flats

Community Residential Units

(CRU)

Construction (Upgrade)

Phase- 63 - 10 000 3 300 -

Riebeeck West

Service Sites



(IRDP)


Kalbaskraal

Service Sites



(IRDP)


Moorreesburg

Service Sites



(IRDP)




Malmesbury Housing Projects (Planning Phase)



Westbank Residential Unit Upgrades (Construction Phase)


• Project on hold due to consultation of stakeholders


Riebeeck West Housing Projects (Planning Phase)



Kalbaskraal Housing Projects (Planning Phase)



Moorreesburg Housing Projects (Planning Phase)



LG MTEC3: Outcomes

Conformance Responsiveness

• Exceptional levels of conformance and compliance with requirements of the MFMA and Municipal Budget and Reporting Regulations (MBRR)

• Timeous approval and submission of final budget and accompanying documentation

• Substantial budget increases towards Strategic Objectives

• Capex increases towards Sustainable development of the municipal area as well as Satisfied, involved and well informed clients.

• Opex increases towards Access to affordable and reliable municipal infrastructure.

Sustainability Credibility

• Contracting revenue base and above inflation tariff increases necessitates stringent cost saving measures.

• Approval of draft Long Term Financial Plan required to ensure financial sustainability.

• The overall cash flow planning of the Municipality leans toward a complete, reasonable, credible and sustainable budget.

• Accurate alignment between supporting schedules and A-tables, in particular between budget schedules and budgeted monthly cash flow statements.


MGRO1: Western Cape Transversal Issues

Governance Sustainability Financial Sustainability

• Upper Limits Regulations• Municipal Support and Capacity Building• Assurance Functions (Internal Audit and Risk

Management)• Internship Development funding(not limited

to financial interns)• Regulations on MMC Levels

• Deficiencies within the Budget and Treasury Office

• Implementation of MSCOA

• Cost of Compliance

• Cost containment measures

• Budget and Revenue Management

Public Value Creation Economic Sustainability

• Public Participation

• Management of Infrastructure

• Disaster Management

• Pre-Determined Objectives

• Deficiencies in Supply Chain Management processes

• Red tape reduction

• Electricity crisis


Concluding Remarks

69

Taking budget to the people

Reward sound financial governance and excellence

Major achievements include 4th consecutive clean audit, IMFO Award for CleanAudit 2013/14, SALGA Excellence Award for Financial Management Audit Outcome2013/14, 2nd Runner-up for 2015 Greenest Municipal Competition , 2015 GovanMbeki Awards (Department of Human Settlements: Western Cape): 1st Runner-upIntegrated Residential Development etc.

Swartland is the second fastest growing municipality in the West Coast District –maintained 3.7 per cent GDPR growth for the period 2005 – 2013

Investing in Infrastructure: An opportunity for employment creation

Tough fiscal environment therefore need fiscal consolidation over the next threeyears



Concluding Remarks

70

Continue to provide basic services to All

Innovative ways required to create Public Value

Game Changers to enhance growth, job creation & skillsdevelopment – agri-processing, tourism (destination marketing),alternative energy (green economy) + possibilities locked upwithin broadband

Joint Planning Initiatives (JPI) – Education and SkillsDevelopment, Governance, Integrated SettlementDevelopment, Bulk Infrastructure Investment, Social Initiatives

Doing more, with less – Implementation of cost containmentmeasures as per National Treasury guidelines, circulars andinstructions



Provincial and Municipal Economic Review and Outlook (PERO & MERO)

71

Both PERO and MERO tabled before Provincial Parliament on15 October 2015

PERO & MERO 2015 Speechhttps://westerncape.gov.za/speech/minister-meyer-address-pero-and-mero

PERO 2015https://westerncape.gov.za/dept/treasury/documents/reports_research/P

MERO 2015https://westerncape.gov.za/dept/treasury/documents/reports_research/M


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presentation 21 nov 15 - minister ivan · pdf fileproject description project status ......

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