ANNUAL REPORT OF THE SELECT COMMITTEE ON LAND AND ENVIRONMENTAL AFFAIRS

DRAFT 1

ANNUAL REPORT OF THE PORTFOLIO COMMITTEE ON PROVINCIAL AND LOCAL GOVERNMENT

JANUARY – DECEMBER 2005

NAME OF COMMITTEE:

Portfolio Committee on Provincial and Local Government.

Chairperson: Ms N R Ntshulana-Bhengu. - June 2004 to June 2005.

Acting Chairperson: Mr M M S Lekgoro - July 2005 to September 2005

Chairperson: Mr S L Tsenoli - October 2005 to date.

CHAIRPERSON’S OVERVIEW:

The Portfolio Committee has worked tirelessly in the last six months to ensure that we cover and complete the program that we agreed on at the beginning of the year. A key element of he program was to hold the department and other accounting institutions accountable to Parliament as required by the Constitution and relevant legislation. The activities of the Committee brought to bare the challenges facing the department and these institutions. It is clear from these engagements that the Committee needs to develop a more aggressive oversight program to ensure that the issues raised by the Portfolio Committee of Parliament are energetically pursued by the department and these institutions. Whilst it was not possible for the Portfolio Committee to call before it all institutions and organizations that do work in the local government sphere. A few of these were invited to Parliament to share their experiences and challenges. These engagements were highly valuable and enriched the committee's work. It should be noted that whilst the Committee had developed a program of oversight visits to the different provinces it has not been possible to implement due to red tape in the system of Parliament. The Committee is however determined to execute this program in the next term. I wish to thank all members of the Portfolio Committee for their cooperation and commitment to the work of the Committee and making it possible for us to achieve our objectives.

On behalf of the Committee I wish to thank the Minister and Deputy Minister, the department and the Director-General in particular for a good working relationship we had and the good leadership they provided to the department.

3 (A) MISSION.

- To contribute to the effective implementation of the system of cooperative governance and

intergovernmental relations enshrined in the Constitution.

- To contribute to the effective implementation of the new model of local government.

To contribute, as appropriate, to the effective functioning of provincial government as part of the

cooperative governance system.

- To contribute towards defining the role of traditional leaders in a democratic South Africa.

To seek to ensure that the system of governance facilitates significant delivery and development in

the country.

To attend to issues related to disaster management, cultural rights and other matters dealt with by the

Ministry and Department of Provincial and Local Government.

- To facilitate public participation in parliament relating to the above issues.

To effectively play an oversight role of the Ministry and Department of Provincial and Local

Government.

(B) VISION

Maintaining an effective and efficient Portfolio Committee that is able to legislate and provide oversight on all local government related entities, thereby enhancing the consolidation process of a non-racial, non-sexist, prosperous, democratic South Africa.

LIST OF ENTITIES REPORTING TO THE COMMITTEE:

The Department of Provincial and Local Government. (DPLG)
South African Local Government Association (SALGA)
Municipal Infrastructure Investment Unit (MIIU)
Local Government Water and Related Services SETA (LGWSETA)
Municipal Demarcation Board (MDB)
Commission for the Promotion and Protection of the Rights of Cultural, Religious and Linguistic Communities (CRL Commission)
National House of Traditional Leaders (NHTL)

NUMBER OF METINGS HELD AND THOSE CANCELLED:

Meetings held - 35

Meetings cancelled - None

LEGISLATION REFERRED TO THE COMMITTEE:

Legislation	Referral Date	Briefings by Department	Public Hearings	Adoption (Amended/Not)	Report Publication	Debate in House
(i) Intergovernmental Relations Framework Bill [B 3 – 2005]	7 February	15 February	Yes, 15 March 2005 SA Human Rights Commission Democracy Development Programme South African Local Government Association Idasa Cape Winelands Municipality Department of Land Affairs SA Municipal Workers Union Community Law Centre SA National Civic Organisation National House of Traditional Leaders	Adoption with amendments	ATC No 39 – 2005, 13 April	24 May

(ii) Re-Determination of the Boundaries of Cross-Boundary Municipalities Bill [B 12 – 2005]	13 May	19 May	No	Adoption without amendment	ATC No 58 – 2005, 30 May	2 June

(iii) Cross-Boundary Municipalities Laws Repeal Bill [ B 36 – 2005	29 September	17 October	Yes, 18 October 2005 Mutatiele Municipality ANC Itsokolele Branch South African Communist Party Young Communist League L M Ntshayisa W M Vimbi Groblersdal Chamber of Commerce Moutse Demarcation Forum Kali Ramochele Mokoena COSATU Bohlabela District Municipality	????????????	???????????	?????????

PAPERS (INTERNATIONAL AGREEMENTS, PROTOCOLS, REPORTS) REFERRED :

REPORTS:

PAPERS	REFERRAL DATE	CONSIDERATION DATE	REPORT PUBLICATION	DEBATE IN HOUSE

Report on B 3 – 2005	7 February	12 April	13 April	24 May

Report on Budget Vote 5	2 March	16 May	17 May	18 May

Report on B 12 – 2005	13 May	24 May	30 May	2 June

Report on Tabling of Annual Reports and Financial Statements	??????????????	??????????????????	????????????????	?????????????

REFERRALS:

Government Notice No R.2458 published in Government Gazette No 26945 dated 29 October 2004: Draft Regulations published for public comment in terms of the Local Government: Municipal Finance Management Act, 2003 (Act No 56 of 2003).

Government Notice No 1156 published in Government Gazette No 26866 dated 14 October 2004: Setting out particulars of areas demarcated by municipalities of Johannesburg and Cape Town, which shall constitute urban development zones, in terms of the Income Tax Act, 1962 (Act No 58 of 1962).

Government Notice No 1474 published in Government Gazette No 27124 dated 23 December 2004: Adjusted allocations in terms of the Division of Revenue Act, 2004 (Act No 5 of 2004)

Government Notice No 1432 published in Government Gazette No 27077 dated 10 December 2004: Notice setting out particulars of areas demarcated by Municipalities of Ethekwini, Tshwane, Emfuleni, Sol Plaatje, Manguang, Buffalo City and Mbombela in terms of section 13quat of the Income Tax Act, 1962 (Act No 58 of 1962), which shall constitute urban development zones

Government Notice No 1404 published in Government Gazette No 27044 dated 1 December 2004: Exemptions from supply chain management provisions in terms of the Local Government: Municipal Finance Management Act, 2003 (Act No 56 of 2003)

Government Notice No 1405 published in Government Gazette No 27044 dated 1 December 2004: Amendment of Government Notice No 773 dated 1 July 2004 in terms of the Local Government: Municipal Finance Management Act, 2003 (Act No 56 of 2003)

Government Notice No 1433 published in Government Gazette No 27084 dated 8 December 2004: Approval of allocations in terms of the Division of Revenue Act, 2004 (Act No 5 of 2004)

Memorandum on Vote No 5 - "Provincial and Local Government", Main Estimates, 2005-2006 – ATC No 18 - 2005 dated 2/03/05.

Agreement on the Financing of Innovative Local Economic Development Initiatives by South African Department of Provincial and Local Government between the Government of the Republic of South Africa and the Government of the Republic of Italy, tabled in terms of section 231(3) of the Constitution, 1996

Explanatory Memorandum on the Agreement on the Financing of Innovative Local Economic Development Initiatives by South African Department of Provincial and Local Government between the Government of the Republic of South Africa and the Government of the Republic of Italy. – ATC No 44 – 2005 dated 5/5/05

Government Notice No R.308 published in Government Gazette No 27431 dated 1 April 2005: Municipal Investment Regulations in terms of the Local Government: Municipal Finance Management Act, 2003 (Act No 56 of 2003).

Government Notice No R.309 published in Government Gazette No 27431 dated 1 April 2005: Municipal Public-Private Partnership Regulations in terms of the Local Government: Municipal Finance Management Act, 2003 (Act No 56 of 2003)

Strategic Plan of the Department of Provincial and Local Government for 2005 to 2010

OVERSIGHT VISITS

Objective	Date	Delegation	Place	Report adopted

Conference on "State of Municipalities"	18 – 20 January	Ms N R Ntshulana-Bhengu	Durban	No

SA Institute of Valuers Seminar	11 March	Ms N R Ntshulana-Bhengu	Pietermaritzburg	No

National Forum on Municipal Finance	11 –12 April	Ms N R Ntshulana-Bhengu Mr B Solo Ms P Bhengu Mr M Swathe	Gauteng	No

Official Handover of 2005 Ward Boundaries	20 May	Ms N R Ntshulana-Bhengu	Pretoria	No

National Municipal Housing Indaba	31 October	Mr S L Tsenoli	Gauteng	No

Poverty Alleviation Strategies Convention	30 November – 1 & 2 December	Mr S L Tsenoli	Johannesburg	No

INTERNATIONAL VISITS

None

BUDGET VOTE

Referral date	Briefing by Department	Hearings	Report Publication (ATC date)

2 March 2005	1 March	Statutory Bodies – 15 April	17 May

ANNUAL REPORTS OF THE EXECUTIVE:

Referral date	Briefing by Department	Hearings	Report Publication (ATC date)

MDB – 7 September MIIU – 13 September LGWSETA – 13 September DPLG – 29 September CRL Commission – 29 September NHTL – 30 September	13 September	MDB – 30 August MIIU – 16 August LGWSETA – 23 August CRL Commission – 13 September NHTL – 30 August	?????????

OTHER COMMITTEE ACTIVITIES

The Committee dealt with the following:

- Umvoti Municipality on the handling of a private individual, Mr Mkhize’s, - 8 February, 5 April

who’s property was auctioned off to recover debt owed to the Municipality 17 May, 24 May

- Joint meeting with PC on Public Enterprises on Electricity Restructuring - 2 March, 31 May

The committees invited the Electricity Distribution Industry (EDI) for a briefing

- Restructuring of the Water Distribution by Municipalities - 7 June

- Debt Collection and the Billing Systems of Municipalities - 14 June

- Free Basic Services supplied by Municipalities - 21 June

- Discussion and adoption of the 3^rd Term Programme - 2 August

- Levels of service delivery in rural municipalities - 16 August

- Impact of municipal police services on crime - 23 August

- Briefing on Indigent Policy - 2 September

- Joint meeting with PC on Justice and Constitutional Development - 2 November

on Constitution Twelfth Amendment Bill B 33 – 2005]

- Discussion on progress in respect of B 36 – 2005 - 8 November

Discussion on tentative programme for 1^st Term 2006

FINANCIAL STATEMENTS: (as at 2 November 2005)

Budget allocated to Committee: R 418 762.00

Expenditure:

Subsistence Domestic: Hotel R 9 757.00

Subsistence Domestic: Meals R 18 082.90

Subsistence Attendance R 150.00

Travel Air: Domestic R 15 980.00

Mileage Claims: R 10 264.00

Credit to Consolidated Fund: R 96 569.70

Transfers to Staff Travel: R 44 752.00

Total Expenditure : R 195 555.60

Balance : R 223 206.40

OUTSTANDING MATTERS: ?????????

SUPPORT STAFF:

Committee Secreatry: Mr Llewellyn A Brown

Control Committee Secretary: Mr Lusanda Myoli

Committee Assistant: Ms Bulelwa Madikane

Secretary to Chairperson: Ms Thandi Mhlana

Researcher: None

……………………………………… ……………………………..

COMMITTEE SECRETARY DATE

Mr Llewellyn A Brown

……………………………………… ……………………………..

CONTROL COMMITTEE SECRETARY DATE

Mr Lusanda Myoli

……………………………………… ………………………………

COMMITTEE CHAIRPERSON DATE

Mr S L Tsenoli