ANNUAL REPORT 200312004


PROGRAMME TWO: GOVERNANCE AND DEVELOPMENT


PRESENTATION TO THE PORTFOLIO COMMITTEE ON PROVINCIAL AND LOCAL GOVERNMENT

19 October 2004

 


PURPOSE OF PRESENTATION

1. To present the Annual Report 2003/2004 for Program Two to the Portfolio Committee of the National Assembly

2. To explain progress for the period for seven (7) sub programs, namely -

· Intergovernmental relations

· Development and Planning

· Local Economic Development

· CMIP


1. INTER GOVERNMENTAL RELATIONS

Output one: Legislation

1. Objective: To provide a legal framework for intergovernmental relations and intergovernmental dispute settlement to give effect to section 41 of the Constitution

2. Target: September 2003

3 Progress: Bill drafted and consulted on


POLICY CONTEXT OF BILL

Constitutional Requirement (s41)

Act providing for structures to facilitate IGR and procedures for dispute resolution

Makgotla resolutions

Integrated governance

Ten Year Review

Realizing national vision given relative autonomy of provincial and local government

POA (2004-2008

December 2004 deadline for Bill

LENGTHY, INCLUSIVE CONSULTATION

2003

June 2004

2004-05

Version 1

Version 2

Version 3/4

Cabinet Committee

Cabinet Workshop

Cabinet approval

Cluster (2) PCC MinMec Budget Coun. Written inputs

Premiers wkp LG MinMec PCC

2nd Cabinet wkp

Cabinet Com Revision Cluster Distribution Cluster

INTERGOVERNMENTAL RELATIONS….

Output two: Assessment of powers and functions

1. Objective: To assess distribution! Assignment of powers and functions as it pertains to consolidation of local government

2 Target: September 2003

3 Progress: First phase completed


Output three: assignment framework

1. Objective: To provide a clear framework for managing future assignment of functions to local sphere

2. Target: March 2003

3. Progress: Municipal Systems Act amended to provide more certain procedure. Assignment framework developed and consulted on


DEVELOPMENT PLANNING

Output one: Guidelines on intergovernmental planning

1 Objective To provide framework guidelines for aligning planning of all three spheres

2 Target: September 2003

3. Progress: Guidelines developed and incorporated into intergovernmental relations bill


Output two: Guidelines for LED

1. Objective: To promote LED

2 Target: July 2003

3. Progress:

· IDP nerve center pilot in NW commenced

· IDPNC website activated

· Draft LED policy developed and consulted on

Output three: Provincial performance assessment

1. Objective: To develop strategy for dplg support to provinces

2 Target: July 2003

3 Progress: Work not completed. Dedicated unit included on establishment


LED

Output one: LED and social plan

1. Objective: To promote job creation through grant finance

2. Target: As in DORA

3. Progress:

· 100% funds transferred

· 96 projects (1551 job opportunities created)


CMIP

Output one: Funding for bulk infrastructure

1 Objective: Revenue stream for capital projects

2. Target: As in DORA

3 Progress:

· 721,328 households serviced

· 42,79% allocated to ISRDP/URP nodes

· 2,38 million person days employment created

· 112,159 person days training provided

· 336 SMMEs utilised


MIG

Output one: Consolidation of capital grants

1. Objective: To integrated revenue streams to municipalities within Municipal Infrastructure Grant and to pilot

2. Target: March 2004

3. Progress:

· Policy framework approved

· Rollout for pilot projects commenced

· 590,323 households benefited

· 1635 employment opportunities

· 163 training opportunities

· DORA allocations for 2004/05 finalised

· R40,5 m transferred to MIG pilot sites in nine municipalities

· MIG rollout plan completed

· Introductory guide for MIG completed

· Program management capacity established in dplg


PUBLIC PARTICIPATION

Output: Municipal Service Partnerships (MSP)

1 Objective: To provide guidelines on MSP

2 Target: March 2004

3 Progress: Guidelines and regulations completed

ISRDP/URP

Output one: Effective intergovernmental Co-ordination of program

1 Objective: To co-ordinate participation of relevant departments in program

2 Target: Quarterly meetings

3 Progress: Intergovernmental forum established and active.


Output two: Demonstrate visible delivery in nodes

1 Objective: To coordinate investment in anchor projects in nodes

2. Target: Quarterly

3 Progress:

· 98 anchor projects in urban nodes (March 2004), 79 in July 2003

· Project value: R 1,95 billion (R1,3 billion in July 2003)

· 177 anchor projects in rural nodes in March 2004 (155 in January 2003)

· Value of projects in July 2003 was R45, 4 billion


Output two: Securing and co-ordinating funding

1. Objective: To secure and coordinate funding for projects in nodes

2 Target: July 2003 for funding, and March 2004 for finalisation of financing protocol

3 Progress:

· Dplg allocated R400 m to nodes (CMIP and equitable share)

· General national funding to nodes exceeds R2 billion

· Financing protocol reached an advanced stage of development


PRIORITIES FOR 2004

1. Priorities in new Government's 5 year Program of Action:

· Legislation on intergovernmental relations

· Provincial legislation on institution of traditional leadership

2 completing establishment of Branch: Governance, Policy and Research