Transcript Document

AMATHOLE DISTRICT
MUNICIPALITY
2015/16
DRAFT
INTEGRATED
DEVELOPMENT PLAN &
BUDGET
Background
• ADM developed its 5-year strategic plan linked to the
term of Council in 2011 (2012-2017 IDP)
• The Plan was reviewed in 13/14 and 14/15 financial
years
• The 15/16 Draft IDP marks the 3rd review of our 5
year strategic plan
• This draft document is as a result of many
interactions with various stakeholders, sector
departments, local municipalities and community
representatives, as reflected in the IDP Process Plan
adopted by Council on 22 August 2014
Legislative Context
• Municipal System Act 32 of 2000 requires municipalities to
adopt a 5 year Integrated Development Plan (IDP) that is
reviewed annually in accordance with the assessment of its
performance measurements and to the extent that changing
circumstances so demand.
• Municipal Finance Management Act 56 of 2003 requires the
Mayor of a municipality to coordinate the processes for
preparing the annual budget and for reviewing the IDP and
budget related policies to ensure that they are mutually
consistent and credible.
IDP Review Process
• District IDP Framework and IDP/Budget process plan
were adopted by Council on 22/08/14
• Process Plan outlines timeframes of events, structures
involved to ensure achievement of key milestones and
deliverables
• Key organisational arrangements were established for the
review process: IGR, DIMAFO, Rep forum, IDP and
Budget steering committees, Sector Plan and District
Planning Coordination Forums
• Particular attention was paid to the IDP, SDBIP & Budget
linkages, district-wide analysis, integration and alignment
of plans
The Municipal Vision
Amathole District Municipality:
Commitment towards selfless, excellent
and sustainable service to all our
communities
District Population
Census 2001
Census 2011
Municipality
Population
% of total
Population
% of total
Mbashe
263 959
27.2
254 909
28.6
Mnquma
283 667
29.3
252 390
28.3
Great Kei
44 459
4.6
38 991
4.4
Amahlathi
137 904
14.2
122 778
13.8
Ngqushwa
84 233
8.7
72 190
8.1
Nkonkobe
129 874
13.4
127 115
14.2
24 824
2.6
24 264
2.7
968 920
100
892 637
Nxuba
Amathole
Source STATS SA
100
Access to Water
• The proportion of Amathole households
with access to piped water has
increased since 2001 from 112 400
households (48.6%) to 166 600
households (70.1% of households) in
2011.
Sanitation
• The proportion of Amathole households with
access to a flushing toilet has increased from
29 000 households (13.8% of households) in
2001 to 41 300 households (17.3% of
households) in 2011
• Households with no access to proper toilet
facilities has decreased significantly from 98
500 households (43.1% of households) in
2001 to 40 600 households (17.2% of
households) in 2011
Sanitation cont…
• Bucket system in all formal areas has been
eradicated
• The remaining areas are the informal settlements,
due to zoning challenges at LMs
• ADM is in the process (15/16) of developing a policy
on the temporary/alternative service provision to
informal settlements and farms
Municipal Approach on Needs
Assessment
• Great Kei utilized ward councilors to collect the priorities
• Nkonkobe utilised the 50 days of service delivery event to
refine ward priorities and the IDP Rep Forum to confirm
these
• Nxuba utilized the IDP/Annual Report Roadshows
• Mbhashe conducted ward based planning
• Mnquma utilized CDW’s, Traditional Leaders and Ward
Committees to collect the priorities
• Ngqushwa and Amahlahi utilized previous year’s issues and
verified from communities
• ADM Departments conducted sector specific analysis and
utilized IDP/Annual Report Roadshows comments
Basic Service Delivery & Infrastructure
Priority Issue
Possible Intervention
Municipal Area
Responsible
Department
Water services
Provide access to adequate quality water
supply (eradicate backlogs);
Installation of water connections to HH;
Infrastructure maintenance (ADM)
All Municipalities
ADM
Sanitation
Fast track eradication of bucket system;
Construct adequate sanitation facilities in HH
(ADM)
All Municipalities
ADM
Alternative service provision to informal
settlements
Roads
Paving of internal roads; Road construction
and maintenance of internal roads (DRPW,
LM)
Mbhashe, GKM,
Amahlathi, Nkonkobe,
Nxuba, Mnquma
DPRW
LM
Electricity
Electricity connection to HH; Installation of
high mast /street lights (ESKOM, LM, DME)
Mbhashe, GKM,
Amahlathi, Nkonkobe,
Nxuba, Mnquma
ESKOM
LM
DME
All Municipalities
ADM
Mbhashe, GKM,
Amahlathi, Nkonkobe,
Nxuba, Mnquma
LM
Incorporate alternative power supply into
project implementation
Community Halls
Construction of community halls (LM)
Basic Service Delivery & Infrastructure
Local Economic Development
Good Governance & Public
Participation
Priority Issue
Possible Intervention
Municipal
Area
Responsible
Department
Public
Participation
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Constant feedback to municipalities and
wards on implementation progress
PSC to also monitor implementation
progress of projects (in the same vein as
progress on expenditure is prioritised)
Creation of projects database that will be
updated continuously
District wide Public Participation calendar
All LMs
ADM and LMs
Local Government &
Traditional Affairs
(DLGTA)
Review of IDP policy framework/legislation to
include provincial government in the IDP
process
Development of IDP policy framework for
ADM and its LMs
Creation of a District Planning Data Bank
(accessible through the District intranet)
Development of a uniform prioritisation
model for the District and LMs
All LMs
ADM and LMs
DLGTA
Office of the Premier
(OTP)
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Integrated
Planning
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Good Governance & Public
Participation
Priority Issue
Possible Intervention
Municipal
Area
Responsible
Department
Project management
Improve project management,
implementation and feedback utilising
Intergovernmental Relations For um
(IGR)
All LMs
LMs
ADM
All Sector Departments
Municipal Health
services
Fast tracking the devolution of powers
and functions
All LMs
DoH
Disaster Management
Co-operation from relevant
stakeholders in addressing disaster
backlogs
All LMs
All relevant Sectors
Municipal Transformation &
Institutional Development
Priority
Issue
Possible Intervention
Municipal
Area
Responsible
Department
Skills
Development
Collaboration with other stakeholders in
addressing limited skills base within the
district
Development of Retention Strategy to
address the inability to attract and retain
personnel
All LMs
ADM and LMs
All relevant sectors
Performance
Management
System (PMS)
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Separation of IDP from PMS with full
staff for each function
Enhance independency of both functions
(location)
Capacity building and support initiatives
All LMs
ADM
LMs
DLGTA
Sector Departments and ADM to develop
sector plans for LMs
LMs to prioritise by-laws and policies
All LMs
ADM
Sector Departments
LMs
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Plans, policies
and by-laws
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Municipal Financial Viability
Priority Issue Possible Intervention
Budget
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Investment
Review allocation of funding nationally to
address issue of limited funding (Grant s)
Credit control measures to improve
revenue collection rate
Fast-track projects expenditure
Collaboration of all stakeholders to address
lack of productive investment
Municipal
Area
Responsible
Departmen
All LMs
National Treasury
ADM and LMs
All LMs
All Sector
Departments
ADM and LMs
OBJECTIVES
Municipal Transformation &
Institutional Development
• Ensure ADM performs optimally in all its
assigned powers and functions by 2017
• To attract, retain, build capacity and maximise
utilization of district human capital by 2017
• Ensure integrated and responsive Information
Communication Technology function by 2017
• To ensure ADM has a fully operational and
effective Fleet Management function by 2017
• Mainstreaming of Special programmes by 2017
Municipal Transformation &
Institutional Development
cont
• Facilitate Sustainable and self-sufficient
livelihoods in Rural Communities by 2017
• Ensure coherent strategic Spatial
Development Framework to guide
development by 2017
• To ensure that local municipalities are
empowered to render services that are within
their powers and function by 2017
• To promote effective communication of ADM’s
business to its stakeholders by 2017
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Basic Service Delivery & Infrastructure
Investment
Provision of adequate, potable and sustainable
water services infrastructure by 2018
Provision of sustainable and environmentally
friendly sanitation and services to all communities
by 2018
To ensure reduction of the prevalence of
communicable diseases by 2017
Facilitate Sustainable coordination of disaster relief
and response by 2017
Enhance the provision and standardisation of fire
services by 2017
Basic Service Delivery & Infrastructure
Investment
• Ensure that solid and medical waste is managed in
an integrated, environmentally friendly and
sustainable manner throughout the district by 2017
• All households to have access to public transport
facilities, within 2km walking distance by 2022
• Facilitate development of sustainable and viable
settlements by 2014
• Develop, conserve and maintain heritage sites by
2017
• Ensure efficient and effective procurement of goods
and services by 2017
Local Economic Development
• To promote holistic sustainable regional
economic development by 2030;
• To promote compliance with the Municipal Health
Legislation throughout the district by 2017
Municipal Financial Viability &
Management
• To ensure 43% recovery of costs incurred to
provide water and sanitation services by 2017
• To ensure 100% utilisation of budget by 2017
• To ensure sound and sustainable management
of municipal finances by 2017
• To ensure ADM Assets are adequately managed
and monitored by 2017
• To ensure that local municipalities are
empowered to render services that are within
their powers and function by 2017
Good Governance and Public Participation
• To ensure clean and accountable governance in the
district by 2017
• To facilitate coordination, cooperation and joint planning
between the spheres of government by 2017
• To promote learning and sharing, both domestically and
internationally by 2017
• Mainstreaming of Special programmes into ADM
programmes by 2017
• To ensure a district-wide coordination of integrated
planning, implementation, monitoring and evaluation by
2017
Good Governance and Public Participation
• To ensure that Local Municipalities are empowered
to render services that are within their powers and
functions by 2017
• To promote effective communication of ADM’s
business to its stakeholders by 2017
• To improve compliance of business premises with
respect to Municipal Health Services legislation by
2017
• To deepen local democracy through community
participation by 2017
Newly Developed and Comprehensive
Reviewed Sector Plans
• New
– Fleet Management Strategy
– HIV/AIDS/STI/TB and Cancer Strategy
– Disaster Management Plan
• Comprehensive
– Employment Equity Plan
Principles
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7.5% salary increases and 2.5% notch increase with salary related benefits also
increasing by 7.5%
Medical Aid 12% increase and other benefits 8%
General expenses & repairs and maintenance increased 6.19%
Electricity increased by 13%
Bulk Water increased by 9% estimate
Performance Bonuses : between 0 and 14% of overall package
Top slice equitable share and LRG by R85 million for internally funded projects
Allocated available budget in the same ratio as the prior year
R10 million for vacancies – critical posts
R2.8 million for movable capital requirements
Funding envelopes initially based on prior year expenditure patterns but due to
significant deficit changed basis to current year expenditure and cut further
The draft tariffs for 2015/16 will only be increased by 6%, in line with the average
inflation and the maximum growth set by National Treasury
ADM has adopted the balanced budget principle to ensure sustainability (i.e.
expenditure must equal income)
Expenditure requirements need to be tailored to fit available revenue streams
DORB 2015 Growth from 2014
Prior Year Income Comparison
Income 2015/16
Prior Year Expenditure Comparison
Expenditure 2015/16
Analysis of 15/16 Budget
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62% of 15/16 total income is Grant funding, which must be ring fenced
for specific functions (R1.2 billion)
Core function of providing Water & Sanitation in the form of service
charges only contributes 12% towards income base
Depreciation, Leave Redemption Provision, Bad Debt Provision and
Post Retirement benefits amount to R398 million – this exceeds the
amount in reserves, so the requirement that these should be cash
backed cannot be met
Past consumer payment trends have resulted in a need to provide for
80% of the debt book as a provision for bad debts
32% of overall expenditure is committed to salaries and salary related
costs
If the grant funding is excluded, the percentage increases to 79%
Committed to paying R33.6 million for interest on the DBSA loan and
R20 million for new financial system
The tariffs for 2015/16 are not cost reflective as budgeted salary costs,
bulk water and electricity all increased beyond the inflation level
2015/16 Tariff Increases
• The draft tariffs for 2015/16 will only be
increased by 6%, which is in line with the
average inflation and the maximum growth set
by National Treasury
• The tariffs for 2015/16 are not cost reflective as
budgeted salary costs, bulk water and electricity
all increased beyond the inflation level
• The tariffs as tabulated below are VAT
exclusive
2015/16 Tariffs
• Domestic consumers – first 6kl free - a form
of relief for domestic consumers which is a
R 107.46 saving per month
• Indigent consumers – will receive first 10kl
free
• This relief is funded from the Equitable Share
allocation
Registered Indigents
• In terms of ADM’s policy, if a household earns less than
three times the old age government social grant in a month,
excluding the child support grant, qualify to register as an
indigent
• Get 10 kl free water a month
• Pay no basic water charges
• Don’t pay flat rate charges
• Pay no water or sanitation connection fee
• Pay reduced water deposit fee
• VIP & Bucket clearance is for free
• No charge for fire services
• Apply at any ADM Office to register
• Need proof of income, ADM account, affidavit proving
income and employment status
Sanitation Tariffs
Sundry Sanitation Charges
Water Tariffs
Water Tariffs
Water Tariffs
Water Tariffs
Water Tariffs
Water Tariffs
Sundry Water Charges
Fire Services Tariffs
Solid Waste Tariffs
Calgary Museum &
Conference Centre Tariffs
Building & Services Planning
Tariffs
Amahlathi LM Projects for
2015/16
PROJECT NAME
Stutterheim Sewer Pipe Replacement
Tsomo Villages Regional Water Supply
AMOUNT
4 000 000
21 000 000
Zingcuka Water Supply
8 100 000
Amahlathi Area wide Sanitation Projects (Region 2A)
1 000 000
Kei Road Settlement
1 000 000
Stutterheim Water Pipe replacement
1 000 000
Cathcart Infrastructure Refurbishment (Water Treatment Works
Upgrade, Bulk Upgrade & Pipeline Replacement)
400 000
Amahlathi Area wide Sanitation Projects (Region 3)
1 000 000
Amahlathi Interim Water Supply
4 700 000
TOTAL:
R42 200 000
Great Kei LM Projects for
2015/16
PROJECT NAME
Komga Commonage Settlement Services
New Waste Water Treatment Works - Morgan's Bay –
Feasibility Study
Great Kei Interim Water Supply
TOTAL:
AMOUNT
5 500 000
1 000 000
3 000 000
R9 500 000
Mbhashe Projects for 2015/16
PROJECT NAME
AMOUNT
Mbhashe North Regional Water Scheme
Kumbanga & Cwebe Sanitation
1 000 000
2 000 000
Sundwane Water Supply Scheme
5 000 000
Xora Water Supply Project
3 000 000
Mncwasa Water Supply Scheme
5 000 000
Mgwali North Water Supply Project
5 000 000
Mgwali South Water Supply Project
5 000 000
Idutywa East Water Supply Project
1 000 000
Area Wide Sanitation Projects(ASAP)(Mbhashe Phase 1A) (Region 1)
1 200 000
Mbhashe Area Wide Sanitation (Region 3B)
1 000 000
Mbhashe Area Wide Sanitation (Region 2C)
1 000 000
Mbhashe Area Wide Sanitation (Region 1B)
Mbhashe Area Wide Sanitation (Region 2B)
1 000 000
1 000 000
Mbhashe Area Wide Sanitation (Region 2D)
1 000 000
Mbhashe Projects for 2015/16
PROJECT NAME
Mbhashe Ward 31 Water Supply
AMOUNT
2 000 000
Mbhashe Ward 31 Sanitation
500 000
Bende Water Supply Scheme
3 000 000
Bende Sanitation
Shixini Water Supply Scheme
500 000
3 000 000
Shixini Sanitation
100 000
Elliotdale Waste Water Treatment Plant (Feasibility Study)
600 000
Dutywa Pipe Replacement
1 477 327
Idutywa Sewer Pipe replacement
1 400 000
Mncwansa Bulk Water Supply
41 000 000
Xhora East Water Supply
45 000 000
Idutywa East Interim Water Supply
6 200 000
Seymour Ext 6 and Surroundings Interim Water Supply
2 250 000
TOTAL:
R140 227 327
Mnquma LM Projects for
2015/16
PROJECT NAME
Ibika - Centane Regional Water Supply
Centane Bucket Eradication
Gcuwa West Regional Water Supply
Nxaxo and Cebe Water Supply
Ngqamakwe Regional Water Supply Phase 1
Ngqamakwe Regional Water Supply Phase 2
Ngqamakwe Regional Water Supply Phase 3
Area Wide Sanitation Projects (Mnquma Phase 1A) (Region 1)
Mnquma Area Wide Sanitation (Ward 17 and 19)
AMOUNT
2 000 000
1 000 000
5 000 000
4 000 000
2 000 000
1 200 000
1 500 000
1 000 000
1 000 000
Mnquma LM Projects for
2015/16
PROJECT NAME
Mnquma Area Wide Sanitation Projects (Region 3A)
Zizamele Sewer
Centane Phase 4 Water Supply
Bawa Falls Water Supply Project
Cafutweni Water Supply Scheme
Ibika Water Supply
Ngqamakhwe Interim Water Supply
Toleni Interim Water Supply
TOTAL:
AMOUNT
1 300 000
5 000 000
5 459 000
5 000 000
1 500 000
9 000 000
6 200 000
4 500 000
R56 659 000
Ngqushwa LM Projects for
2015/16
PROJECT NAME
Peddie Waste Water Treatment Works Upgrade
Ngqushwa Villages - Water Reticulation
Prudhoe Housing (Bulk Water)
TOTAL:
AMOUNT
3 200 000
15 500 000
2 000 000
R20 700 000
Nkonkobe LM Projects for
2015/16
PROJECT NAME
West Victoria East (Roxeni) Water Supply (Phase 3)
Hogsback Water Treatment Works and New Reservoir
Fort Beaufort Bulk Water Services Upgrading
Nkonkobe Area Wide Sanitation Region 3A
Victoria Post Settlement
Nkonkobe Interim Water Supply
TOTAL:
AMOUNT
100 000
5 000 000
5 000 000
1 000 000
1 000 000
4 500 000
16 600 000
Nxuba LM Projects for 2015/16
PROJECT NAME
Bedford & Adelaide Bucket Eradication Project - Phase 6
Wortel Drift Farm Settlement
Nxuba East Interim WS
TOTAL:
AMOUNT
4 000 000
1 000 000
2 500 000
R7 500 000
Allocation of R85 million
Internally Funded Projects
DEPARTMENT
Legislative & Executive Support Services
AMOUNT
% OF TOTAL
ALLOCATION
16 410 000
19%
Strategic Management
7 684 471
9%
Corporate Services
5 732 000
7%
Budget & Treasury
4 710 306
6%
23 850 000
28%
7 150 000
8%
Land Human Settlement
17 240 000
20%
Municipal Management
2 223 223
3%
R85 000 000
100%
Engineering
Community Services
TOTAL:
L&ESS Internally Funded Projects
Strategic Management
Internally Funded Projects
Strategic Management
Internally Funded Projects
Corporate Services Internally
Funded Projects
BTO Internally Funded
Projects
Engineering Internally Funded Projects
Engineering Internally Funded
Projects cont
Engineering Internally Funded Projects
cont
Community Services Internally
Funded Projects
LHSED Internally Funded
Projects
LHSED Internally Funded
Projects cont
LHSED Internally Funded
Projects cont
LHSED Internally Funded
Projects cont
LHSED Internally Funded
Projects cont
LHSED Internally Funded
Projects cont
Municipal Management
Internally Funded Projects
ASPIRE
Agriculture and Rural Development Programme
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Support the 3 Fish Farming Projects: Hamburg Cob Fish, Qolora Fish and
Keiskammahoek Fish Project. They all have business plans. Still to raise
funds from DAFF and ADM
Out growers and Processing of Aloe: Tyhefu and Nxuba, liked to a
Processing Facility to be determined. CSIR working on the business plan
Out growers and Packing of Berries: Gxulu Berries (in full production),
Sinqumeni Berries (partial production) and Iqunube Berries (site to be
established). Funded by Rural Development
Honey Production, Packaging and Marketing. Supporting existing honey
producers within Amatole in order to secure consistent markets. Brand the
honey as Authentic Amathole. Majority of honey producers are in the
Ngqushwa and Willowvale areas. CSIR will finalize the business plan
Fully implementing the successful pilot project or Bamboo in Ndakana. To
be funded by Employment Creation Fund
Implementing a Beef Handling Facility in Ngqushwa and completing the one
for Ngangegqili. Project funded by National Agriculture Marketing Council
and ASPIRE
Small Towns Regeneration Programme
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Developing Regeneration Strategies for Kei Mouth, Qumra, Elliotdale, Adelaide
and Bedford
Implementing the Alice Transport Hub. R12m project funded by the National
Treasury
Implementing the Phase 1 of the Carthcart CBD Upgrade. ASPIRE to raise
funds for Phase 2 during FY 2015/16
Implementing Alice CBD Upgrade. R11.8m project funded by National Treasury
Implementing the Ngqushwa CBD Upgrade with approved funding from National
Treasury that will now be transferred to the Department of Rural Development
Secure funds approved for the Dutywa CBD Upgrade from the Department of
Rural Development in order to start the project in 2015/16
Facilitate funding for Bulk Services for the Ndabakazi Crossing Development
Secure additional funding from National Department of Tourism to complete the
Emthonjeni Arts Project and also upgrading of Rural Tourism Facilities in
Amathole, including Rural Art Centres.
Identify problematic access roads that require attention in order to boost Rural
Tourism within Amathole. Lobby for funds from Roads and Public Works
Culture, Heritage and Tourism Programme
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Identify and brand ADM products and services under the Authentic Amathole
Brand (Heritage Routes, Agricultural Products, Nature Reserves, Cultural
Centres, etc.)
Develop an Amathole Heritage Portal. An internet based information service that
highlight the rich culture and heritage that is Amathole for ease of Marketing the
District
Organise the first Annual Culture and Heritage Indaba. This is to highlight the
rich culture, heritage and brand that is Amathole to local, national and
international stakeholders
Partner with Sporting Associations of Rugby, Cricket and Athletics in order to
boost Tourism within the Border Region. Events in these will be able to boost
knowledge about Amathole’s Rural Tourism Potential
Develop baseline tools for collecting Tourism Information for ADM, what
Tourist’s come to do in ADM, how much money do they spend, what do they
buy, and so on.
Partner with the German and British Embassies to promote knowledge and
information about the wars that were fought in Amathole between the Germans,
English and Xhosas
Special Projects Programme (funded by DEA)
Alien Species Removal Project:
• ASPIRE is currently implementing projects for Alien Species Removal in
Willowvale, Ngqamakhwe, Shixini and Diya. This project is worth R6.6m and
will spillover to the FY 2015/16
• Additional sites under discussion for FY 2015/16 are Hogsback,
Keiskamahoek, Kubusi, Rooikraans and Buffalo City. A total of R8.9m has
been set aside by Environmental Affairs to be implemented by ASPIRE
Adopt a Spot Project:
• Project started beginning of March 2015 in Gompo, Zwelitsha and Haven Hills.
This project will also spillover to FY 2015/16
• ASPIRE is already engaging DEA to include the Amathole Region for the FY
2015/16 budgeting cycle so that ASPIRE can implement such in Amathole
Waste Management Project
• This project has not started yet, but will most likely spillover to FY 2015/2016
• Discussions are at an advanced stages with DEA to consider including areas
under Amathole Region for FY 2015/16 going forward.
• ASPIRE to play a Project Manager Role
Instruments of ADM PMS
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Performance Management Framework (policy)
Employment contracts
Performance agreements for MM & Directors
Service Delivery & Implementation Plan
E-Performance System
Accountability agreements and Performance
promises for employees below Directors
• Individual Employee Performance Plans
• Procedure manual for performance information
Performance Reporting and Reviews
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Departmental reviews - Monthly (Directors)
Director’s Reviews – Quarterly (Municipal Manager)
Performance Audit Committee Reviews – Quarterly
Municipal Manager’s Review Panel – Twice annually
Executive Mayor’s Review Panel – Twice annually
Council Reviews – Twice annually
- 1st review in preparation for the budget adjustment
- 2nd review for annual performance report
• Public Reviews
– Evaluation Panel Annually
– IDP Rep Forum Quarterly
Way Forward
• After all the road shows have been held in the
LM’s, Council Open will be held on 7 May
• Relevant comments will be incorporated to
the final document to be submitted to Council
on 22 May 2015 for approval
• State of the district address is scheduled for
29 May 2015