Transcript The City of Cape Town’s Role in Creating a Better Life for All

5 year plan (IDP) for the City
Mayco Workshop
Date: 15.02.07
General comments
Executive Summary introduction to be reviewed
Provision to be made for Executive Mayor and City Manager
introductions
Numbering on objectives went haywire, to be corrected;
Objectives to be reviewed and repackaged in line with the final
corporate scorecard;
Prioritization categorization still to be done;
Compliance documentation still to be completed.
The City’s long term vision
The vision of the political leadership elected in March 2006 is that
Cape Town will:
be a prosperous city in which City Government will create an enabling
environment for shared growth and economic development;
become a city known for its effective and equitable service delivery; and
distinguish itself as a well governed and efficiently run administration.
In order to achieve this vision, the City should:
actively contribute to the development of its human and social capital;
offer high quality services to all who live in it, transact here and visit it as
tourists or holiday makers;
be known for its efficiency, effectiveness and clean and caring
government.
Alignment with Provincial and National
Government
Accelerated and Shared Growth-South Africa (ASGI-SA): State-led investment plan that with SOEs,
strategic partnerships and all spheres of government. Emphasis on high impact state-led projects.
National Spatial Development Perspective (NSDP):- Advocate capital investment in areas of growth
potential (Metropolitan economic centres), emphasis on providing basic services and access to
social services and human resource development in areas of need and less potential.
Provincial Growth and Development Strategy (PGDS):- Focus on strengthening growth sectors,
resource management and implementation strategies. Key pillars: growth, equity, empowerment
and environmental integrity.
The Provincial Spatial Development Framework (PSDF): Address urbanisation pressures on natural
resources and economic and social divisions within cities and towns. Provide policy context for
urban development and environmental resource protection.
The Intergovernmental Development Agenda for Cape Town: Shared and sustainable growth and
development in the functional region. Three critical outcomes have been identified by the National,
Provincial, City and District representatives involved in the intergovernmental task team:
A Shared Prosperity - 6% average GGP growth per annum to 2014, 50% reduction in
unemployment and poverty.
An Inclusive and Equitable Society - 50% improvement in the Access Index (incorporating
proximity to service centres, public transport, education, health and recreation facilities and
the upgrading of informal settlements), 50% improvement in the Integration Index (which
includes settlement and economic activity patterns, black economic empowerment and
gender) and 50% increase in the Skills Index (which incorporates pre-school, school and
post-school learning performances)
An Ecologically Sustainable future - No increase in the per capita ecological footprint.
Positioning the City in the global, national
and provincial arena
Strategically position itself nationally and internationally,
and meet the needs of all its citizens,
address its development challenges in a coherent way,
recognise our larger responsibility to fulfil
as a globally relevant city in the growth and development of the African
continent
The 5 Principles Informing the Spatial
Framework and District Plans
1.
Consolidate, protect and improve access to natural resources
2.
Promote an equitable pattern of access
3.
Sustainable and accessible economic opportunities
4.
Settlement – An integrated development path
5.
Create more great people places
2
State of the City: A brief summary
Economic conditions
Comparison of level of unemployment and GGP growth in Cape Town
● Mismatch between
available skills and
those that are needed
by
the
economy
remain in the city.
140.0
30
25
82.3
% unempoyment
● High unemployment
(13% in 1997, almost
23% in 2004, and 20,
7% in 2005) and a
35
82.4
86.1
90.3
20
94.5
15
15
108.0
112.5
120.0
100.0
19.7
18
10
98.4
102.3
23.8
23.4
20.7
19.8
80.0
60.0
16.5
13.3
40.0
5
20.0
0
0.0
1997 1998
1999 2000
2001 2002 2003
GGP (R billions)
● Jobless growth,
2004 2005
Source:- Strategic Development Information & GIS using Quantec and STATSSA Labour Force Survey data
Infrastructure and Services
City of Cape Town
1996
2001
2004
2005
651 972
759 765
845 000
2 563
095
2 893
251
3 239
768
% of households out without weekly refuse
removal
10.2%
5.8%
Number of households without weekly refuse
removal
65 882
45 031
% of households without piped water on site
10.2%
15.6%
Number of households without piped water on
site
66 133
121 258
% of households without flush toilet
10.4%
12.5%
Number of households without flush toilet
67 785
96 799
% of households without electricity supply
12.8%
11.2%
Number of households without electricity
supply
82 928
87 024
Demography
Number of Households
Population
Refuse Removal
2.0%
3.6%
6.0%
7.4%
9.7%
9.9%
3.0%
4.7%
Water Supply
Toilet Facilities
Electricity Supply
Source: Strategic Development Information & GIS using STATSSA Census and General Household Survey data
Investment into public
infrastructure such as
public
transport
and
investment into bulk
services systems has
lagged behind advances
made in the extention of
basic
services
and
housing
and
the
replacement,
rehabilitation
and
preventative maintenance
of existing infrastructure
has suffered as a result of
the persistent focus on the
(often reactive) extension
of infrastructure at the
cost of maintenance.
Housing and shelter conditions
Housing backlog compared to housing delivery
350000
350000
300000
300000
245000
240000
250000
265000
265000
300000
250000
245000 245000
221000
200000
150000
200000
150000
100000
household size is
50000
4110 9729 1808 3469
declining.
These
0
contribute
to
an
1998 1999 2000 20012002 2003 2004 2005 2006 2007 2008 2009 2010
increasing
housing
Source: Strategic Development Information & GIS using Housing Department data
backlog (150 000 in
1998 to approximately
300 000 in 2006).
150000
100000
50000
0
housing delivery
Housing backlog (no. of
dwelling units)
The number of people
living
in
informal
settlements is growing
(23 000 families in
1993 to 115 000
families in 2005),
overcrowding
is
increasing and
Safety and Security conditions
Improving
situation
(reduced
murder
and
business crime),
murders still high with 1856
murders
in
2005/6,
representing an annual
murder rate of 57 per 100
000 population (5 per day).
Drug related crime has
almost tripled in the past
five years.
Property
related
crime
(especially
residential
burglaries)
has
also
increased
(Reflecting
possible
connection
between drugs and property
crime.)
Murder rate per 100 000
100
86
80
77
60
55
60
57
40
20
0
2001/2002
2002/2003
2003/2004
2004/2005
2005/2006
Source: Strategic Development Information & GIS using SAPS data
Drug re late d crim e pe r 100 000
700
616
600
482
500
400
314
300
241
232
2001/2002
2002/2003
200
100
0
2003/2004
2004/2005
2005/2006
Health, Social and Human conditions
32%
30%
25%
25%
20%
15%
10%
5%
0%
1996
2001
2005
2001
2004
HIV Prevalence (%) by Health District
35
2002
2005
32.5
30.2
30
29.1
25
20
17.7
16.2
15
12.8
15.2
15
15.7
12.4
11.5
10
7.3
5.1
Source: Strategic Development Information
& GIS using STATSSA
5
Census and General Household Survey data
South Africa
(Total)
Cape Town
(Total)
Tygerberg
West
Tygerberg
East
South
Peninsula
Oostenberg
Nyanga
Mitchells
Plain
Khayelitsha
Helderberg
0
Central
Increasing HIV prevalence among
women visiting public health clinics
(from 1,2% in 1994 to 15% in
2005).
35%
Blaauwberg
Rise in incidence of HIV
prevalence.
38%
40%
Athlone
Trend towards rising poverty (from
25% in 1996 to 38% of households
living below or marginally above
the household poverty line in
2005).
Poverty Level
2003
Public Needs
Sub-Council workshops
were
held
where
members of the public
could vote for priorities in
their community.
Housing
and
job
creation was clearly
ranked as the most
important priorities.
30
26
25
20
17
15
10
5
12
11
6
8
10
5
2
0
Ba
sic
Cl
Se
ea
r vi
ns
ce
in g
s
/S
an
Cl
ini
ita
cs
t io
n
an
dH
ea
lt h
Ho
us
in g
Jo
bC
Ro
re
ad
ati
&
on
pa
v
Sa
em
fet
en
y&
ts
Se
So
cu
cia
rity
lF
ac
ilit
ies
St
re
et
L ig
hts
Tr
an
sp
ort
Public workshops were
held as part of a National
Imbizo, and
Source:- IDP Office Summary. January 2007
3
Goals:
A prosperous city
Effective and equitable service
delivery
A well governed and efficiently
run administration
Aim is to achieve the national
target of a 6-8% growth in the
Gross Geographical Product
of Cape Town
Strengthening the important
pillars of urban efficiency (all
the required infrastructure
and resources in place) and
5 YEAR PLAN FOR THE CITY
Institutional effectiveness (all
public and private institutions
providing
effective
and
efficient services and
constructively
contributing
towards the growth and
development of the City).
• Shared economic growth and
• development
•Sustainable Urban Infrastructure
Urban
Efficiency
and
Services
•Public Transport Systems
•Integrated Human Settlements
•Safety and Security
•Health, Social and Human Capital
Development
•Good Governance and Regulatory
reform
Institutional
Effectiveness
Strategy – Budget relationship
Visionary
Framework
Realities and
Challenges
7 Strategic
Focus Areas
Strategic
Choices
City
Scorecard
Directorate
Scorecards
Departmental
Scorecards
Prioritisation
Objectives
Programmes
KPI’s
Projects
Targets
Budgets
Funding
Regime
Key Strategic Focus Areas
Strategic Focus Area 1: Shared Economic Growth
and Development
OBJECTIVES
Corporate Objective 1.1 :- Develop new and strengthen existing partnerships to meet the City’s
strategic objectives focussing in particular on new direct investment and tourism.
Corporate Objective 1.2:- Develop and implement low complexity and high impact Local Area
Development (LED) initiatives
Corporate Objective1.3:- Strengthen the City’s tourism capability and events management
calendar 365 days a year.
Corporate Objective 1.4:- Develop and grow SMME opportunities through 2010, Supply Chain
Management processes and events to encourage SMME development.
Corporate Objective 1.5 :- Direct investment in strategic infrastructure where economic benefits
are demonstrated..
Corporate Objective 1.6:- Proactively support the formal business environment.
Corporate Objective 1.7:- Develop skills to support the growing sectoral economy and access to
opportunities. Prioritise skills development based on the needs of the local economy to support
continued economic growth and access to opportunities.
Corporate Objective 1.8:- Develop policy to encourage economic growth, job creation and
broader participation.
Corporate Objective 1.9:- Support the expansion and development of established Businesses to
strengthen the city’s economic base and competitiveness.
Corporate Objective 1.10:- Support an enabling environment for the development of
opportunities.
Corporate Objective 1.11:- Hosting of the FIFA 2010 World Cup in the City of Cape Town in
accordance with FIFA’s requirements and the City’s developmental objectives
Strategic Focus Area 2: Sustainable Urban
Infrastructure and Services
Key Objectives:Corporate Objective 2.1:- Reduce service backlogs for infrastructure-related services
in accordance with national objectives for basic services.
Corporate Objective 2.2:- Develop an integrated programme approach to
infrastructure and service planning and budgeting.
Corporate Objective 2.3:- Develop demand management programmes for water,
electricity, waste and transport and reduce attendant pollutants.
Corporate Objective 2.4:- Conserve biodiversity and improve quality living
environments through greening, education and access
Corporate Objective 2.5:- Develop and maintain zoned public open spaces, beaches
and resorts.
Corporate Objective 2.6: -Prioritise essential large or bulk infrastructure programmes.
Corporate Objective 2.7:- Reduce impact of flooding on community livelihoods and
regional economies
Corporate Objective 2.8:- Safeguard human health, protect natural aquatic
environments, and improve and maintain recreational water quality.
Corporate Objective 2.9:-. Develop a short, medium and long term burial facility plan
towards the creation of dignified public spaces.
Strategic Focus Area 3:
Public Transport Systems
Key Objectives:Corporate Objective 3.1:- Improve public transport services and secure
new investment in infrastructure
Corporate Objective 3.2:-Promote use of public transport. Create a
unified road-based public transport system utilising the optimum mode
for a particular route/corridor. Promote use of public transport to access
all facilities and services and reduce the need to use private cars.
Corporate Objective 3.3:- Reduce the demand for travel and create
conditions for all day public transport services.
Corporate Objective 3.4:- Integrate Land Use and Transport
Corporate Objective 3.5 Ensure that freight moves efficiently and safely
within the City
Corporate Objective 3.6:- Develop and implement a transport asset
management plan for the City
Strategic Focus Area 4:
Integrated Human Settlements
Key Objectives:Corporate Objective 4.5: Development of new housing opportunities.
Corporate Objective 4.4: Development and Implementation of a incremental
housing programme.
Corporate Objective 4.6: Increase rental stock through social housing
partnerships
Corporate Objective 4.7: Redress land ownership inequities by providing
Housing based on Restitution claim settlements.
Corporate Objective 4.8: Facilitate gap housing programmes through
partnerships with Banks and private sector developers.
Corporate Objective 4.1: Transform dormitory suburbs into areas
which support a greater mix of land uses, offer a range of amenities
and are socially mixed facilities
Corporate Objective 4.2: Put in place policy and spatial planning
frameworks that will facilitate the development of integrated human
settlements.
Corporate Objective 4.3: Provide and maintain minimum level of service for
all categories of libraries and community facilities.
Strategic Focus Area 5:
Safety and Security
Key Objectives:Corporate Objective 5.1 Community and youth programmes directed at
reducing crime and lawlessness.
Corporate Objective 5.2:- Improve urban design to reduce crime and
emergencies.
Corporate Objective 5.3 The on- ongoing expansion of the CCTV
network covering key economic and transport locations as well as crime
hot spot areas.
Corporate Objective 5.4 Improve law enforcement (traffic policing,
licencing services and general law enforcement) through more visible
actions.
Corporate Objective 5.5 Develop of disaster risk assessment and proactive disaster prevention and response plans.
Corporate Objective 5.6 Fast, efficient and equitable emergency
response to safeguard life, property, the environment and livelihoods.
Strategic Focus Area 6:
Health, Social and Human Capital Development
Key Objectives:Corporate Objective 6.1 :- Maximising social cohesion and minimising
social exclusion.
Corporate Objective 6.2 :- Enabling vulnerable groups (Youth and Children,
Women,and Disabled) to enter the mainstream.
Corporate Objective 6.3:- Supporting communities towards the eradication of
extreme poverty amongst those excluded from the formal and informal economy
Corporate Objective 6.4 :- Skills and capacity development to enable
individuals, groups and communities to actively engage and benefit from
developmental interventions (infrastructural, economic or social) check
Corporate Objective 6.5 :- Use of the City’s community facilities as hubs for
economic development and social capital. (Youth, women empowerment and
early childhood development.
Corporate Objective 6.6 :- Provision of effective environmental health services
including Air Quality Management and Pollution Control programmes (Including
noise pollution).
Corporate Objective 6.7:- Provision of effective primary health care services in
close collaboration with Provincial Health Services with a special emphasis on
maternal and child health care and HIV/AIDS/STI and TB control.
Strategic Focus Area 7:
Good Governance and Regulatory Reform
Key Objectives:Corporate Objective 7.1:- Optimise the development of our Organisation staff
and promote skills development.
Corporate Objective 7.2:- Enhance service delivery through exploring alternative
service delivery mechanisms.
Corporate Objective 7.3:- Strategically utilise information technology to support
the transformation of public services to provide better and more efficient
government.
Corporate Objective 7.4: Improve the service culture and workplace ethics by
accomplishing sound financial governance, improved accountability and
transparency.
Corporate Objective 7.5:- Management of key financial areas such as income
control, cash flow, indigent support, alternative income opportunities, asset
management and risk management
Corporate Objective 7.6:- Improve the regulatory environment (Bureaucratic red
tape).
Note: no objective re intergovernmental linkages etc ?
4. Financial Strategy
The key challenges that will need to be
the focus of City resources include
Rising levels of unemployment and the need to create substantial
opportunities for job creation;
In-migration of people from other areas of South Africa, but also
outward migration of scare skills;
Social and economic development along major corridors such as the
N2 and Klipfontein;
Preparing the City and its facilities for the 2010 Soccer World Cup;
Infrastructure backlogs that are inhibiting economic growth.
Financial Strategies
Reducing salary costs to acceptable levels, taking into account the City’s new
operating model and transferring savings to improve asset maintenance
levels;
Reducing the cost of servicing long-term debt by creative methods of
borrowing and capital financing;
Reducing the dependency on cross-subsidisation from tariff-based services
to within acceptable norms;
Maintaining rate and tariff adjustments within national norms and guidelines,
ensuring the national and local economy are not undermined;
Making adequate provision for free basic services for the poor, to ensure that
there is no further marginalisation of poorer communities or individuals
through the entrenchment of the Indigent Policy;
Preparing realistic income budgets with adequate provision for non-recovery
to ensure the expenditure reflected for each year can be fully covered by
cash receipts;
Ensuring that adequate cash reserves are maintained to cover legislated
funds and provisions.
Medium-term budget projections –
MTIEF
In accordance with the City’s financial plan, the MTIEF has been
reviewed to determine the income envelope and affordability level for
the 2007/08, 2008/09 and 2009/10 financial years, noting that these
outer years are indicative at this stage.
These projections were based on:
Anticipated CPIX of 5.1% for outer years;
Expected growth in the City’s economic and income base, generally
in the range of 2% - 4%;
Projected staff costs;
Realistic target income collection rates for municipal services;
Growth in repairs and maintenance expenditure;
Affordable and sustainable rates and tariffs; and
Capital expenditure programmes and their impact on revenue
Capital budget
The City can
realistically
afford
and
sustain a capital
spend of
High Level
Summary
Capital
Budget
Funding Sources
2007/08
2008/0
9
2009/1
0
Indicative
Budget
Indicativ
e Budget
Indicativ
e Budget
Rm
Rm
R881m
(2007/08),
External Financing Fund (EFF)
881
824
824
R824m
(2008/09) and
Capital Replacement Reserve (CRR)
411
336
336
Capital Grants and Donations (CGD)
822
494
494
Revenue
0
0
0
Revenue – Insurance
7
0
0
2 121
1 654
1 654
R824m
(2009/10).
TOTAL
Operating Budget - Revenue
High Level Operating Budget Summary –
INCOME
Funding Sources
2007/08
2008/09
Indicativet
Indicative
Rm
Rm
2009/10
Indicative
Rm
Rates
2 837
3 010
3 194
User Charges
5 695
6 175
6 732
Rent
236
248
261
Interest Earned
371
387
422
Fines
176
185
195
Other Income
339
351
362
Grants and Subsidies
2 726
2 622
2 730
Internal Billing
2 412
2 534
2 748
143
142
136
14 935
15 654
16 780
Accumulated surplus
TOTAL
Operating Budget - Expenditure
High Level Operating Budget Summary EXPENDITURE
Expenditure Category
2007/08
2008/09
2009/10
Indicativ
e Budget
Indicative
Budget
Indicative
Budget
Rm
Rm
Rm
Salaries, Wages and Allowances
3 665
3 924
4 192
General Expenses & Other
3 779
4 006
4 244
234
246
259
Bulk purchases
2 185
2 402
2 655
Financing Costs
1 273
1 517
1 645
82
87
92
Repairs and Maintenance
621
665
712
Appropriations
542
122
74
2 554
2 685
2 907
14 935
15 654
16 780
Indigent Relief
Insurance Claims
Activity Based Costs and Internal Billings
TOTAL
5. Prioritising the allocation of resources
5. Prioritising the
allocation of resources
1. Strong impact
on growth
0
C1
+
B1
++
A1
2. Support
economic growth
C2
0
B2
+
A2
3. Neutral to
economic growth
-C3
B3
0
A3
C. Discretionary
(Non-Constitutional)
B. Support
Services
A. Basics re
Constitutional
Obligations
Prioritisation
an optimal return in terms of shared and sustainable growth, aimed at
achieving the 6 to 8% GGP growth targets for the City;
institutional stability;
enabling the City to provide basic and enhanced services effectively
and efficiently;
redressing of backlogs in a focussed and structured manner,
enable the City to leverage maximum business activity (commercial
and industrial) that will support shared growth, with the eventual aim
to
reduce poverty and inequality and a better life for all.
6. Development directions over the next 5
years
6. Development directions
Spatial alignment of public and private investment
2010 FIFA World Cup
Economic development opportunities
Residential densification
Urban renewal
Recommendations to Mayco
Mayco to
•
comment on the framework, layout and content of the draft IDP
document
to enable the IDP office to refine and finalise the draft for formal
submission to portfolio committees, Mayco and Council;
Action Sheet
Item
Activity
By Whom
By When
Action Sheet
Item
Activity
By Whom
By When