Annual Performance Plan

1. 2011 / 12 Annual Performance Plan Presentation to Portfolio Committee on CoGTA Xolile George Chief Executive Officer 19 April 2011

2. SALGA’S ORGANISING FRAMEWORK PROGRAMMES SALGA’s three key main roles cut-across to underpin its 5-Year Strategic Objectives & Programmes Strategy, Policy and Research Finance and Corporate Services Governance & IGR Economic Development and Development Planning Provincial Programmes Infrastructure and Municipal Services Municipal Institutional Development Community Development OCEO Represent VISION Advise & Support To be consultative, informed, mandated, credible and accountable to our membership & provide value for money Employer Body Profile LG

3. SALGA’s Mandate and Strategic Priorities 2011-2012 LGTAS SALGA 5 YEAR STRATEGIC PLAN 2007-2012 SALGA CONSTITUTION 1. Employer Role 2. Representative Role 3. Advisory Role 4. Profiling Role SALGA’S MANDATE MTSF 2009-2014 MDG’s COGTA 10-POINT PLAN SALGA CHANGE AGENDA • Improve SALGA’s capacity to support and advise its • members. • Improve SALGA’s capacity to engage with stakeholders, • lobby and advocate them on issues in the interest of • member municipalities. • Improve SALGA’s capacity to effective represent members as • the employer. • Enhance and maintain a high profile position nationally, • regionally and internationally. • SALGA’s corporate governance and internal functioning. SALGA 10 PRIORITY OUTCOMES 2011-2012 6. Sound financial management and governance system: Improved financial management and financial viability of municipalities. 1. Councillor Support: High calibre, professional and effective Local Government political leadership. 2. Service Delivery: Improved access to municipal services and enhanced provision of FBS, through effective operations management and service maintenance. 7. Stable Municipal Governance: Stable Municipal Governance. 8. Capacity Building and Institutional Development: Enhanced skills and organisational systems and structures of municipalities towards improved service DELIVERY. 3. Social Cohesion: Transversal (gender, youth, children, HIV/AIDS) socio-economic issues mainstreamed. 9. Reform Organised Local Government: A more effective, responsive and financially viable SALGA. 4. Economic Development: Municipalities drive growth and employment creation, both in urban and rural areas. 10. Climate Change response measures at municipal level: Integrated climate change responses in development planning and management. 5. Labour Relations: A productive, stable labour environment, supported by a mutual gains approach.

4. HIGHLIGHT OF ACHIEVEMENTS 2010 / 11

5. Achievements 2010/11 Municipal Service Delivery

6. Achievements 2010/11 Municipal Service Delivery (Cont...)

7. Achievements 2010/11 Social Cohesion

8. Achievements 2010/11 Economic Development

9. Achievements 2010/11 Economic Development (Cont...)

10. Achievements 2010/11 Labour Relations

11. Achievements 2010/11 Municipal Governance and IGR

12. Achievements 2010/11 Capacity Building and Institutional Development

13. Achievements 2010/11 Climate Change Responses

14. Achievements 2010/11 Internal Capacity / Corporate Governance

15. ANNUAL PERFORMANCE PLAN 2011 / 12 Annual Performance Plan 2011/12 was submitted to the Minister: COGTA for approval on 1st March 2011

16. Annual Performance Plan 2011/12 • National Treasury launched a Revised Framework for Strategic Plans and Annual Performance Plans in November 2010: • The revised framework refers to the business plan as the “Annual Performance Plan” hence SALGA 2011/12 Annual Performance Plan. • The SALGA Annual Performance Plan 2011/12 has been aligned to the Delivery Agreement of the Minister: COGTA.

17. SALGA 5-YEAR STRATEGY 2007-2012 Retain, but much lower priority Superseded by the LGTAS, but retain programmatic continuity and repackage

18. MTSF OUTCOMES Informed by the 2009 Election Manifesto Supersede the 09/10 Apex priorities as the centrepiece of policy & DELIVERY

19. MTSF OUTCOME 9: LGTAS 10 POINT PLAN Provides concrete ‘outcomes’ for the LGTAS & replaces the 5YLGSA

20. Top 10 PRIORITY OUTCOMES 20011-2012

21. Annual Performance Plan 2011/12 LEGEND: CA = Change Agenda PO = Priority Outcome • Notes: • There are no KPI’s for “CA 3: Improve SALGA’s capacity to effectively represent members as the employer” because the Change Agenda focuses on building the internal capacity of SALGA and as this was achieved in previous years the employer role emphasis has shifted to serving the membership of SALGA in terms of its priorities P0 1, P0 5 and P0 8 i.e. Councillor Support, Labour Relations and Capacity Building respectively. • The quantities in this slide are the number of KPI’s that the entire organisation will focus on in terms of the priority areas identified and there is no correlation to the effort or resources required to undertake these programmes. Therefore, although the greatest number of KPI’s are in Social Cohesion and Internal Corporate Governance functions does not mean that most of the resources will be focused on these areas.

22. Annual Performance Plan 2011/12

23. P O1. Councillor Support - High caliber, professional and effective Local Government Political Leadership LGTAS 9: Develop and strengthen a politically and administrative stable system of municipalities

24. P O2. Service Delivery - Improved access to municipal services and enhanced provision of FBS, through effective operations management and service maintenance. LGTAS 1: Improve the quality and quantity of access to municipal basic services.

25. P O3. Social Cohesion - Transversal (gender, youth, children, HIV/AIDS) social-economic issues mainstreamed. LGTAS 9: Develop and strengthen a politically and administrative stable system of municipalities

26. P O4. Economic Development- Municipalities drive growth and employment creation, both in urban and rural areas LGTAS 2: Enhance the municipal contribution to job creation and sustainable livelihoods through LED: LGTAS 3: Ensure the development and adoption of reliable and credible IDP’s.

27. P O5. Labour Relations - A productive, stable labour environment, supported by a ‘mutual gains’ approach. LGTAS 5: Build and strengthen the administrative, institutional and financial capabilities of municipalities

28. P O6. Sound Financial Management and Governance system - Improved financial management and financial viability of municipalities LGTAS 5: Build and strengthen the administrative, institutional and financial capabilities of municipalities

29. P O7. Stable Municipal Governance - Stable municipal governance LGTAS 8: Develop a coherent and cohesive system of governance and more equitable intergovernmental fiscal system. LGTAS 10: Restore institutional integrity of municipalities.

30. P O8. Capacity Building and Institutional Development - Enhanced skills and organisational systems and structures of municipalities towards improved service delivery. . LGTAS 5: Build and strengthen the administrative, institutional and financial capabilities of municipalities

31. P O9. Reform Organised Local Government - A more effective, responsive and financial viable SALGA

32. P 10. Climate Change response measures at municipal level - Integration of climate change responses in development planning and management. LGTAS 1: Improve the quality and quantity of access to municipal basic services.

33. MANAGING TRANSITION IN LOCAL GOVERNMENT (2011 Local Elections)

34. Background • SALGA and Municipalities will be faced with a number of processes related to the elections as well as typical municipal processes which will be influenced by the elections • The 2011 local government elections provide an opportunity for organised local government to play a proactive and leadership role in all processes related to the elections • SALGA has developed a Transition Management Framework to support municipalities through the this period. The support provided in terms of the Framework will be coordinated internally, will be coherent from the perspective of municipalities, and is integrated into the priorities and programmes of SALGA • The transition framework covers the period: Pre; During; Post elections

35. Pre - Elections Development of guidelines/circulars in respect of: • Budgeting, integrated development planning in the period February to May 2011 • Appointment and terms of reference for MEOs • Continued meetings of Mayco/Exco/Council during this period • Funding of municipal activities relating to elections • The continuation of projects and tenders as per the SDBIP • Preparation of a Mayco/Exco handover report on most urgent/strategic matters on municipal horizon • Councilor support and benefits for outgoing (executive) councilors • Protocols related to overall administration of municipalities during the transitional period • Extent of delegation of Powers to Heads of Administration in municipalities leading up to and during the transitional period • Cooperation in the overall administration between SALGA, municipalities and Sector Departments, leading to and during the transitional period

36. Pre - Elections • Development of ongoing SALGA communication to broader LG community on SALGA role in elections, as per communications plan. • Development of “Day 1” guidelines/circulars in respect of governance issues, such as: • Role of municipal manager during transition • First council meeting, and matters for discussion/decision, including nominations to SALGA internal structures, such as provincial WGs, provincial SALGBC structures • Councilor support and benefits for incoming (executive) councilors • Approach to budgeting and planning • Convening of an “Executive/Mayoral Lekgotla” where top management team will brief incoming executive leadership on state of municipality, and will be briefed by incoming political executive on electoral priorities

37. During Elections • Development of circular on role of (executive) councillors when new council is “declared elected” • Development of circular on role and responsibilities of municipal manager • Continued showcasing of LG successes • Continued SALGA communication on SALGA role during elections • Ensuring sustainability of municipal administration through continuous support and monitoring during the transitional period

38. Post Elections • Roll-out of Councillor Induction Programme as per project plan • Extensive communication on SALGA Councilor Induction Programme • Guidelines/circulars on councillor support and benefits to incoming (executive) councillors • Prepare and attend SALGA Provincial and National Conferences • Induction of SALGA PECs and NEC (post respective Conferences) • Advise on appointment of Section 57 Managers • Provide advice and support on the establishment of Mayco/Exco and Portfolio Committees in municipalities

39. Post Elections • Provision of support and advise on the sitting of Council meetings • Prioritisation of attendance of first Council meetings by SALGA, alternatively ensuring that SALGA item features on agenda • Continued SALGA communication on SALGA’s role as organized Local Government. • Development of a circular on the relationship between councillors and officials in municipalities as well as the relationship between districts and local municipalities. • Guidelines on the role of the different office bearers: office of the Mayor, office of the Speaker, office of the Chief Whip. • Understanding the processes and procedures regarding Section 106 (MSA) and 139 of the Constitutions. • Functioning of Committees of Councils (section 79 & Section 80 Committees)

40. BUDGET 2011/2012 to 2013/14 (MTEF)

41. Revenue Budget 2011/12 MTEF

42. Revenue Budget 2011/12 MTEF % Contribution

43. Revenue Budget 2011/12 MTEF

44. Revenue Budget 2011/12 MTEF • Over-reliance on membership levies • The organisation is primarily dependent on membership levies (about 81% of total income is derived from membership levies). The disadvantage of this state of affairs is that membership levies are unreliable in terms of collections, which may lead to a negative impact on programme implementation. • In 2011/12 the Sponsorships & Donations revenue stream has decreased phenomenally from 7% contribution to 1%. • This is clearly not a reliable revenue stream.

45. Budget per Strategic Objective: (Priority Outcomes)

46. Budget per Strategic Objective: (Change Agenda)

47. Budget per Programme / 2011/12 (MTEF)

48. Directorate Budget 2011/12 MTEF

49. Provincial Budget 2011/12 MTEF

50. Provincial Budget per Programme / Cost Centre 2011/12 MTEF