Hansard: NCOP: Unrevised hansard

House: National Council of Provinces

Date of Meeting: 10 Mar 2021

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Minutes

UNREVISED HANSARD

NATIONAL COUNCIL OF PROVINCES

WEDNESDAY, 10 MARCH 2021

Watch the video here: PLENARY

PROCEEDINGS OF THE NATIONAL COUNCIL OF PROVINCES

 

The Council met at 10:02.

 

 

The Chairperson took the Chair and requested members to observe a moment of silence for prayers or meditation.

 

 

The Chairperson announced that the virtual sitting constituted a Sitting of the National Council of Provinces.

 

 

NOTICES OF MOTION

 

 

[NO LOGGING OR REPORTING POSSIBLE AS FROM START OF DAY AT 10:02 UNTIL 10:10 DUE TO AUDIO-VISUAL TRANSMISSION NOT STARTED.]

 

 

Ms S A LUTHULI: Chairperson, in Ward 13, Ndwedwe in KwaZulu- Natal, Lihlithemba Technical School is built within close proximity to a tavern, affecting learners and teachers adversely when it comes to productivity and attendance. I

 

 

therefor rise on behalf of the EFF to propose that, at its next sitting, the Council debates the social impact of shebeens and taverns being built close to schools and possible intervention strategies and outcomes. [Interjections.]

 

 

Xitsonga:

 

Manana B T MATHEVULA: Mutshamaxitulu,

 

 

English:

 

... at Dzumeri Clinic in Mopani, Limpopo, a patient recently died whilst waiting for eight hours for an ambulance to arrive because the ambulance did not have diesel. I therefore rise on behalf of the EFF to propose that, at its next sitting, the Council debates the shortage of emergency medical service vehicles in Limpopo, where patients can wait for hours for an ambulance to arrive or are told the vehicles do not have fuel. [Interjections.]

 

 

Ms C LABUSCHGNE: Chairperson, I rise on a point of order. Could you please ask the members to mute their microphones because the background noise makes it difficult to hear.

 

 

The CHAIRPERSON OF THE NCOP: That is a valid point. I appeal to all members to mute their microphones when they are not on

 

 

the floor so as to avoid adding unnecessary noise to the proceedings. Hon Shaik?

 

 

Ms S SHAIKH: Chairperson, I hereby give notice on behalf of the ANC that, in the next sitting of the Council, I shall move that the Council debates the killing of police officials in the line of duty in South Africa, and measures to wage a concerted battle against the brutal and senseless murder of police.

 

 

Mr E Z NJANDU: Chairperson, on behalf of the ANC, I note that a four-year old child was shot in Lavender Hill, Cape Town, on Monday, 8 March. Further notes that the 17-year old boy died at the scene and the four-year old was hospitalised. Also notes that the incident follows a number of gang-related shootings in the area. Therefore call on the police to do everything in their power to arrest the perpetrators and stop the carnage. I so move.

 

 

Mr M NHANHA: Chairperson ...

 

 

The CHAIRPERSON OF THE NCOP: On what point are you rising, hon Mhanha?

 

 

Mr M NHANHA: Chair, I realise that hon Njandu has basically read out a Motion without Notice. I also have one. I’m not saying he is wrong. I’m worried. I want to check where we are now. Are we still at Notices of Motion, or are we now at ... [Inaudible.]

 

 

The CHAIRPERSON OF THE NCOP: Notices of Motion. The point that you are raising is noted. But for as long as we keep to the requirements of a Notice of a Motion, let us do so. Let’s try and speed up the process. The point that you are raising is noted. I have raised this point before with the Whips and have encouraged Whips of political parties to meet and just make sure that they assist us to speed up the process. Hon Apleni?

 

 

Mr T APLENI: Chairperson, I rise on behalf of the EFF to propose that the Council debates the state of public roads in the Eastern Cape, in both rural and urban areas, where roads are dilapidated and dangerous to drive on, despite countless stop-and-go road construction sites on numerous roads where work seems to be underway but is never completed.

 

 

Ms M N GILLION: Chairperson, I hereby give notice on behalf of the ANC that, in the next sitting of the Council, I shall move that the Council debates the South African Reconstruction and

 

 

Recovery Plan that is aimed at stimulating equitable and inclusive growth, and interventions that are geared towards stimulating a stable economy that creates work opportunities for our people, especially women, the youth and rural communities.

 

 

Ms M BARTTLET: Chairperson, I hereby give a notice of a motion that, in the next sitting of the Council, I shall move that the Council firstly debates the impact of the COVID-19 pandemic, especially the lockdown, on the transport industry in South Africa and, secondly, further debates measures that have been put in place to mitigate the impact of that in the transport industry.

 

 

 

INTERNATIONAL WOMEN’S DAY

 

 

(Draft Resolution)

 

 

The CHIEF WHIP OF THE NCOP: Chairperson, I move without notice:

 

 

That the Council-

 

 

(1) notes that two days ago, on 8 March, the global humanity was celebrating International Women’s Day and it is indeed an international day for solidarity, remembrance and celebration of the collective heritage of resilience, struggle and advances made by women against patriarchy and all other forms of social injustices;

 

 

(2) further notes, that South Africa takes pride that, as we celebrate International Women’s Day in the third decade of the 221st century, we are counted amongst best in terms of women’s representation in critical decision–making, both in the public governance and corporate sectors; and

 

 

(3) recognises that it will be very critical for our hon members in this Chamber to ensure that their speeches, public pronouncements bear relevance to this critical important area on the role of women in the transformation of our society, and how transformation itself will be incomplete without the liberation of women, as the late Samora Machel once said.

 

 

Agreed to.

 

 

VIOLENT PROTESTS DUE TO THE DISARRAY OF SERVICES

 

 

(Draft Resolution)

 

 

Ms H S BOSHOFF: Chairperson, I move without notice:

 

 

That the Council-

 

 

(1) notes with concern the current spate of violent protests taking place, due to the disarray of services in the Thaba Chweu Local Municipality;

 

 

(2) also notes that the protests come after threats to the community regarding the issue of ballooning electricity prices and threats of electricity cut-offs to owing residents;

 

 

(3) further notes that, even though the DA is not against any protests, provided that it falls within the ambit of the law, we do not encourage the violence accompanied with these protests, as many residents who are fully paid up are now being subjected to electricity cuts;

 

 

(4) recognises that many indigents who are indebted to the municipality are now expected to pay half of their outstanding amounts or risk being disconnected completely;

 

 

(5) also recognises that the question that needs to be answered is how effective the indigent program of this municipality is, when it is led by an ANC administration who has had numerous electricity scandals;

 

 

(6) further recognises that the Thaba Chweu Municipality is failing dismally in providing the citizens they serve with electricity and calls for calm from our communities in this crucial moment of time, as we venture into lockdown level 1; and

 

 

(7) further notes that under a DA government, the livelihoods of the citizens would be at the forefront, and every necessary step would have been taken to rectify these problems to allow for these citizens to live in a clean and healthy environment.

 

 

Ms C LABUSCHANGNE: No, no objection. [Interjections.] You are actually saying that people can live without electricity, if you object, but it is fine.

 

 

The CHAIRPERSON OF THE NCOP: Hon members, can you just stop the dialogue? [Interjections.]

 

 

Ms H S BOSHOFF: ... subjected to violence.

 

 

The CHAIPERSON OF THE NCOP: Let us stop the dialogue.

 

 

There being an objection, the motion may not be proceeded with and it becomes a notice of a motion.

 

 

THE FIRST SOUTHERN AFRICAN CANDIDATE TO WIN THE CAF PRESIDENTIAL ELECTION

 

 

(Draft Resolution)

 

Mr M S MOLETSANE: Chairperson, I move without notice:

 

 

That the Council-

 

 

(1) notes Mr Patrice Motsepe’s bid to become the first Southern African candidate to win the CAF presidential election; and

 

 

(2) extends its well wishes to Mr Motsepe in his endeavour.

 

 

Agreed to.

 

 

INCREASING NUMBER OF GENDER-BASED VIOLENCE INCIDENTS IN KWAZULU-NATAL

 

 

(Draft Resolution)

 

 

Ms S LUTHULI: Chairperson, I move without notice:

 

 

That the Council-

 

 

(1) notes with concern the increasing number of gender- based violence incidents in KwaZulu-Natal, where 2020 crime statistics recorded an increase in crimes against women, with Umlazi and Inanda police stations recording the highest increase in rape and sexual offences; and

 

 

(2) calls for immediate awareness to the plight of women in this province and commits to advocating for justice for victims of gender-based violence.

 

 

Agreed to.

 

 

DETERIORATION OF THE STATE OF SOL PLAATJE MUNICIPALITY

 

 

(Draft Resolution)

 

 

Ms D C CHRISTIANS: Chairperson, I move without notice:

 

 

That the Council-

 

 

(1) notes with great concern the further deterioration of the state of the Sol Plaatje Municipality service delivery in the Northern Cape;

 

 

(2) also notes that since the President visited the ANC’s 106th birthday celebration in 2019, the city continues to indicate a pitiful, dirty and neglected state;

 

 

(3) further notes that potholes, burst pipes, running sewage in the streets, as well as a dirty unkempt city

 

 

all indicate that the acting municipal manager and the executive mayor have disrespected the wish of the President who reprimanded them about it in 2019;

 

 

(4) acknowledges that the sewage dam that has formed outside Kimberley is now an official environmental and human disaster;

 

 

(5) also acknowledges that the Premier of Sol Plaatje Municipality has recently received a warning letter from Eskom indicating that, unless Sol Plaatje Municipality deals with its outstanding debt, the city will soon be in the dark;

 

 

(6) further acknowledges that this is further compounded by the water situation, where Sol Plaatje Municipality has been experiencing significant water challenges, with nightly water cuts becoming a norm and excessive water leaks, causing the city to lose 60% of its water;

 

 

(7) notes with frustration that the Sol Plaatje residents who have threatened a rates boycott, which will bring service delivery in the municipality to a grinding

 

 

halt, have now started to clean and repair the city on their own;

 

 

(8) recognises that Sol Plaatje Municipality is a municipality in political, financial and operational crises;

 

 

(9) also recognises that Sol Plaatje Municipality and Kimberley are in a state of chaos and the Kimberley has never looked and felt worse than it is today;

 

 

(10) further recognises that, if Sol Plaatje Municipality were a business, it would have been declared bankrupt; and

 

 

(11) calls on the Minister of Co-operative Governance and Traditional Affairs for intervention into Sol Plaatje Municipality or alternatively urgently place the municipality under administration, to improve financial and administrative service delivery.

 

 

There being an objection, the motion may not be proceeded with and it becomes a notice of a motion.

 

 

Mr M NHANHA: Chair, on a point of order: Chairperson, at some point, people must stop calling for objections, without even listening to the content of the motion. Because it is being read by somebody from another party, they call for an objection. It is disgraceful!

 

 

FAILURE OF ALL DISTRICT MUNICIPALITIES IN THE EASTERN CAPE

 

(Draft Resolution)

 

 

Mr M NHANHA: Chairperson, I move without notice:

 

 

That the Council-

 

 

(1) notes with concern the constant failure of all district municipalities in the Eastern Cape without exception in delivering of key basic services such as water and sanitation;

 

 

(2) also notes that residents of Amathole District Municipality in Alice, Butterworth, Qumrha and Adelaide, to mention but a few, all remain without a reliable supply of water for over five years now;

 

 

(3) further notes that in Chris Hani District Municipality things are equally as bad and the municipality has failed to provide water and sanitation to residents, raw sewerage running through the streets is a daily sight, and it ends up contaminating the Fish River, as farmers along the Fish River use its water to irrigate their crop and this poses a real and serious health hazard to us as consumers;

 

 

(4) commends the DA MPs, hon Jane Cowley and hon Retief Odendaal, for having laid criminal charges against the municipal manager of Chris Hani District Municipality for contravening the National Water Act;

 

 

(5) acknowledges that due to underspending of grant funding and mismanagement of Nelson Mandela Bay by the coalition of corruption, the coalition of good governance is doing everything at its disposal to push back day zero; and

 

 

(6) calls on the Minister of Water Affairs and Sanitation to implement a plan to address the suffering of the people of the Eastern Cape.

 

 

There being an objection, the motion may not be proceeded with and it becomes a notice of a motion. [Intrjections.]

 

 

The CHAIRPERSON OF THE NCOP: Order!

 

 

ANC GOVERNMENT’S FAILURE TO ERADICATE POVERTY AND UNEMPLOYMENT

 

 

(Draft Resolution)

 

 

Mr A ARNOLDS: Chairperson, I move without notice:

 

 

That the House –

 

 

(1) notes the announcement by Stats SA that the unemployment rate increased by 1,7% to 32,5% in the fourth quarter of 2020;

 

 

(2) further notes that unemployment has been an economic pandemic that has characterised South Africa’s reality for over three decades;

 

 

(3) notes even further that the high unemployment rate

 

reflects the ANC government’s poor economic planning,

 

 

mismanagement and misdiagnosis of the economic challenges of South Africa;

 

 

(4) affirms that despite the understandable impact of Covid-19 globally, the reality is that in our country unemployment has been a permanent nemesis;

 

 

(5) further affirms that the inability to use state power to lead massive industrial development based on labour intensive initiatives and protection of infant industries has failed;

 

 

(6) reaffirms that as long as South Africa is led by the ANC and relies on a generally racist white monopoly capital, there will never be a decisive defeat of unemployment and under industrialisation;

 

 

(7) acknowledges that to break out of chronic unemployment and lead massive industrial development, the country requires a collective plan that should be led by a democratic and corrupt-free State which the ANC is uninterested and incapable of;

 

 

(8) upholds that to overcome poverty and unemployment, the people of South Africa must remove ANC from power or suffer complete economic degeneration.

 

 

I so move.

 

 

Not agreed to.

 

 

EXTENTION OF TEACHING ASSISTANT CONTRACTS

 

 

(Draft Resolution)

 

 

Mr T APLENI: Chairperson, I move without notice:

 

 

That the House –

 

 

(1) notes that the Department of Basic Education should extend the contracts of all assistant teachers, since there may still be disruptions to the academic year as a result of COVID-19.

 

 

I so move.

 

 

Not agreed to.

 

 

BITOU COUNCIL REAPPOINTS MUNICIPAL MANAGER WHO WAS PREVIOUSLY DISMISSED OVER FINANCIAL MISCONDUCT

 

 

(Draft Resolution)

 

 

Ms C LABUSCHAGNE: Chairperson, I move without notice:

 

 

That the House –

 

 

(1) notes that the Bitou Council decided to reappoint a municipal manager who was dismissed from the same municipality over financial misconduct in 2012;

 

 

(2) also notes that the MEC for Local Government in the Western Cape took them to court after exhausting all other options;

 

 

(3) further notes the Labour Court found that the decision the Council took was unlawful and it ordered that the settlement agreed between the municipality and the municipal manager, as well as the municipal manager’s appointment be set aside. The municipality took the matter on appeal based on the majority votes of the ANC and the Active United Front. On February 11th 2021

 

 

the appeal was dismissed with costs and on February 19th 2021 the ANC and Active United Front majority took a decision to contest the judgement;

 

 

(4) calls on the Minister of Co-operative Governance and Traditional Affairs, CoGTA and her Deputy in charge of local government to oversee that municipal managers found guilty of financial misconduct by disciplinary hearings be placed on the required register and should not be reemployed in any municipality for the next ten years as provided in section 6(9) of the Municipal Regulations on Financial Misconduct Procedures and Criminal Proceedings;

 

 

(5) further calls on the Minister of CoGTA to walk the talk to prevent taxpayers money meant for service delivery from being spent on legal fees to defend corruption and mismanagement; and

 

 

(6) lastly call on the Chair of the Select Committee of Local Government to prioritise the forensic report on the Bitou Municipality referred to them in 2020.

 

 

I so move.

 

 

Not agreed to.

 

 

SOUTH AFRICAN POLICE SERVICE’S FOUR HELICOPTERS IN THE EASTERN

 

CAPE NOT OPERATIONAL

 

 

(Draft Resolution)

 

 

Ms N NDONGENI: Chairperson, I move without notice:

 

 

That the House -

 

 

(1) notes with utmost concern reports that none of the four helicopters of the South African Police Service located in the Eastern Cape Province are working;

 

 

(2) further notes with utmost apprehension that one of the helicopters has been out of operation for more than two and a half years and another one for almost a year and that two of the helicopters are expected to be in service in 2021; and

 

 

(3) finally takes this opportunity to call on the Minister of Police, the MEC for Safety in the Eastern Cape Province and the management of the South African Police

 

 

Service to make sure that the issue of the helicopters receives urgent attention and that their services are restored to assist the province to continue its tireless fight against stock theft, cash in transit crimes and other business robberies.

 

 

I so move.

 

 

Mr M NHANHA: Chair, on a point of order. Having listened to hon Ndongeni’s progressive motion and grasp the content of her motion, I will not be objecting for the sake of the fact that she is in the other party. I know you cannot second a motion but I do second her motion. Thank you very much.

 

 

The CHAIRPERSON OF THE NCOP: But that’s not a point of order.

 

 

Agreed to.

 

 

CONSIDERATION OF REPORT OF SELECT COMMITTEE ON FINANCE ON 2021 FISCAL FRAMEWORK AND REVENUE PROPOSALS DATED 9 MARCH 2021

 

 

Mr E Z NJANDU: Hon Chairperson, Deputy Chairperson, hon Chief Whip, good morning hon members of the NCOP, I table the Report

 

 

of the Select Committee on Finance on the 2020-21 Fiscal Framework and Revenue Proposals dated 9 March 2021.

 

 

The Minister of Finance Minister Tito Mboweni tabled the

 

2021 national Budget before Parliament on 24 February 2021 in line with section 27 of the Public Finance Management Act, Act

1 of 1999, PFMA, and section 7(1) of the Money Bills Amendment Procedure and Related Matters Act, Act 9 of 2009, Money Bills Act. The Minister, together with the director-general, DG, and senior officials from the National Treasury, briefed the committees on Finance on 25 February 2021. The committees received a post-Budget tabling input from the Parliamentary Budget Office, PBO, and the Financial and Fiscal Commission on

2 March 2021. Public hearings were held on 3 March 2021.

 

 

The committees received 12 written and oral submissions from Cosatu, the Budget Justice Coalition, the Fiscal Cliff Study Group, the SA Institute of Chartered Accountants, the SA Institute of Tax Professionals, PricewaterhouseCoopers, the Research Unit on the Economics of Excisable Products from the University of Cape Town, the Organisation Undoing Tax Abuse, Outa, Amandla.mobi, 1 Road Consulting, the National Council Against Smoking and the Healthy Living Alliance. ...

[Inaudible.] ... responded to the issues raised during the

 

 

public hearings and engaged with the committees on 5 March 2021.

 

 

The committee acknowledged that the 2021 Budget was tabled under extremely difficult economic conditions exacerbated by the impact of the COVID-19 pandemic. On macroeconomic issues, the committee notes that despite GDP contraction of 7,2% in 2020, National Treasury expects real GDP growth of 3,3% in 2021, 2,2% in 2022 and 1,9% in 2023.

 

 

The GDP growth focus assumed a rebound of household consumption from 0,59% in 2020 to 2,9% in 2021, notwithstanding an expected continued decline in investment from the estimated -18,4% in 2020 to -2,4% in 2021, and moderate improvements in exports from -10,9% in 2020 to 5,7% in 2021, partially supported by a recovery in global growth. Inflation expectations appear to be well anchored over the medium term, remaining within the set target range of 3% to 6% and averaging at 3% in 2020 despite a slight increase in the total employment ... to 15 million. The ... [Inaudible.]

 

 

The CHAIRPERSON OF THE NCOP: Please proceed hon Njandu. We also ask the Table to assist. Hon Njandu? It seems that we have a problem there. If it doesn’t get sorted in the next

 

 

minute or so we will have to move on and proceed to voting on the matter. However, before that we will have to provide provinces with an opportunity to make declarations of vote in terms of Rule 71 if they so wish. I want to remind members that a maximum of three minutes is allowed per declaration.

Hon Njandu, are you there? We will make the report of hon Njandu available to members. Before we go straight to the voting are there any provinces wishing to make declarations?

 

 

Ms C LABUSCHAGNE: Yes, Chairperson, the Western Cape wants to make a declaration.

 

 

The CHAIRPERSON OF THE NCOP: Labuschagne, why don’t we start

 

with you?

 

 

Declaration(s) of vote:

 

Ms C LABUSCHAGNE: Thank you Chair. If it’s okay I will keep my

 

video off so as not to jeopardise the connection.

 

 

We find ourselves in unchartered territory. Following years of state capture marked by the unbridled greed of the politically connected, South Africa was in deep recession with spiralling debt and a yawning budget deficit. The country’s growth was

 

 

depressed and confidence levels plummeted, and then came a pandemic.

 

 

Now, the pandemic has been bad but could’ve been managed with reasonable ease from an economic point of view. But no, the ANC had squandered our resources through its greedy feeding frenzy and we have been left without the tools to effectively navigate through the crisis.

 

 

In truth, Minister Mboweni hit many of the issues that we as the opposition wanted him to during last month’s speech. He delivered a Budget that indicated that the reform agenda was on the table. The government’s wage bill is to be cut.

Departments will need to cut back considerably on their spending as resources ... [Inaudible.] ... to put it to best use. Revenue collection will continue with fair and reasonable proposals considering the massive impact of COVID-19 and the ANC’s protracted hard lockdown.

 

 

The end result in this well-written report presented today ... the fiscal policy framework signals many of the right choices. While more could be said about reigning in spending, obtaining value for money and stopping bailouts ... [Inaudible.] ... are all there.

 

 

Yet, in the committee, even as we agreed on the contents of the report, the issue of zero-based budgeting saw the ideological chasm in the ANC grow even wider than the Budget deficit. The policy framework will receive its biggest opposition, not from the DA or even the EFF but from within the governing ANC.

 

 

We support the report and we can only hope that the policy indicators given can be translated into action to save South Africa from those who wish to feast at the ... [Inaudible.]

... of the goose that once laid the golden eggs.

 

 

The CHAIRPERSON OF THE NCOP: Thank you very much hon Labuschagne. Is there any other province wishing to make a declaration? Let’s go to Yunus Carrim.

 

 

Mr S F DU TOIT: Hon Chair ... [Inaudible.]

 

 

The CHAIRPERSON OF THE NCOP: Sorry, let’s first start with Du Toit. Du Toit and then Yunus Carrim, as the hands appear on the screen. So Du Toit.

 

 

Mr M RAYI: Point of order Chair. This is a report ... [Inaudible.] It’s provinces that should be declaring not political parties. So ... [Inaudible.]

 

 

The CHAIRPERSON OF THE NCOP: Yes, that’s a valid point. In

 

that instance, Du Toit ...

 

 

Mr S F DU TOIT: Hon Chair, with all due respect, as a member of the committee I do have permission to make a declaration on the report that served before the committee.

 

 

The CHAIRPERSON OF THE NCOP: You have permission from the province?

 

 

Mr S F DU TOIT: Not permission from the province. We can check with the Table but as far as I am concerned, since I am a member of the Finance Committee and this Fiscal Framework served before the committee, committee members are obliged to make a declaration on this ... on the report that served before it.

 

 

An HON MEMBER: Chairperson?

 

 

An HON MEMBER: Not correct.

 

 

The CHAIRPERSON OF THE NCOP: Not correct. Sorry hon Du Toit.

 

Let’s try next time. Hon Carrim?

 

 

[Interjections.]

 

 

Mr Y I CARRIM: Thank you Chair. Firstly, I personally — not that it matters as I don’t decide the Rules — have no difficulty with Mr Fanie du Toit speaking, except that I too had to go through my province. So, I’m speaking on behalf of KwaZulu-Natal, with the permission of the Whip of our province. So are the Rules. In fact, the FF Plus often points to the need to observe the Rules of Parliament and they keep attacking us as the ANC for not doing so, or the Constitution for that matter. Yet, when it comes to this matter — while I have no problems as I know Mr Fanie du Toit views as he expresses them volubly in our committee — he also has to abide by the Rules and norms, and he can agitate to have them changed.

 

 

Firstly, can we stress that the ANC is not reckless. I mean, it’s not as if we are not aware of the severe economic and financial crisis we are in. I mean, the figures are startling. Even a little child can see them. We are all worried about the Budget deficit; about the debt to GDP ratio; about the amount

 

 

of money we are paying per rand on debt; on the fact that the economic growth rates are very, very worrying; the job losses; the cost of the pandemic; and so on. Of course we are aware of all of that.

 

 

What we are saying though ... because we are aware of all of that and because we are concerned about increasing inequality, poverty and increasing job losses, it doesn’t follow therefore that there’s only one answer. Not everything that the National Treasury offers is the answer. That’s what we are simply saying and there is a healthy debate within the ANC. That’s not a crime. That’s a reflection of a party that’s debating within itself. They are complex issues.

 

 

On zero-based budgeting for that matter, it’s very melodramatic. The provincial representative of the Western Cape ... [Inaudible.] ... very melodramatic. We agreed; in fact, some 18 months ago if I’m correct and again in July last year, that we want a briefing on what exactly this means. What are its implications? How will it affect the poor and disadvantaged? What is the view of other departments ... [Inaudible.] That’s all. We are not saying no to it; we are not saying yes to it. We want a debate. That’s what a robust party would do.

 

 

Now, of course the Western Cape once again repeats the greed frenzy and so on. Of course, all of us, not least the ANC, is worried about this. In fact, the Special Investigating Unit, SIU, the Premier of Gauteng in particular, and other premiers like from the Eastern Cape and so on, have acted on this. So has the National Prosecuting Authority, NPA, and so has the Hawks.

 

 

Now, here it is. Interestingly, it’s not only here. What about the UK? Many of the people who actually delivered personal protective equipment, PPE, of a poor quality mind you, came from the sponsors of the Conservative Party of the UK. In only the last week, two German Members of Parliament from Angela Merkel’s party had to resign because they are connected in some or other way in providing PPE. There are other countries like Brazil and so on, but developed countries too. So in short, this is not something that’s restricted to South Africa, as bad as it is and as reprehensible as it is. We need to act on that. We all agree on that.

 

 

On the protracted lockdown, I don’t think we should ever apologise for that. The World Health Organisation no less, and so many other organisations, as the speaker of the DA for the Western Cape well knows, have complimented South Africa. We

 

 

would not be where we are, relatively okay, if it were not for the severe lockdown. In fact, the scientists of this country, for the most part, agree on that, not least the world-class scientists. Even those who are critical of aspects of the way our government has handled the pandemic, all agree, as far as I can tell — Ms Labuschagne must suggest otherwise — that in fact, South Africa handled it very well.

 

 

So, on the issues of what are in fact issues that we have difficulty with the ANC ... On the one hand we are accused of just mollycoddling the government ... the executive, of being servile, of being submissive. Interestingly, when we challenge the National Treasury, who comes to the executive’s defence if not the DA.

 

 

So yes, there are very good things about this Budget and no, there are things that are not good about this Budget. It’s the ANC that is saying it and the DA is protecting the Minister and the National Treasury. Isn’t that quite bizarre?

 

 

However, let me put this to you Chairperson. We are acutely

 

... excruciatingly aware of the severe financial and economic crisis, and of the severe problems we have with growth rates. A total of 7% lost in growth last year and if we recover the

 

 

most optimistic expectation is around 3,2%; that’s from a -7%. So, we are not even any near. As Treasury itself admits, it will take another three years to where we were pre-COVID times.

 

 

So, what are we saying? We are saying that precisely because

 

... [Inaudible.] ... there should be consideration over time for a basic income grant. Thank you Chairperson. Can’t I speak on behalf of other provinces led by the ANC?

 

 

The CHAIRPERSON OF THE NCOP: Thank you very much. Is there any other province wishing to make a declaration now? Hon Labuschagne?

 

 

Ms C LABUSCHAGNE: Chairperson, thank you. I just want to state that I’m living in South Africa ... no other developing country.

 

 

The CHAIRPERSON OF THE NCOP: That’s not a point of order. We

 

then move on to voting on the question.

 

 

Debate concluded.

 

 

Question put: That the Report be agreed to.

 

 

IN FAVOUR: Eastern Cape, Free State, Gauteng, KwaZulu-Natal, Limpopo, Mpumalanga, Northern Cape, North West, Western Cape.

 

 

Report accordingly agreed to in accordance with section 65 of the Constitution.

 

 

CONSIDERATION OF REPORT OF SELECT COMMITTEE ON TRADE AND INDUSTRY, ECONOMIC DEVELOPMENT, SMALL BUSINESS DEVELOPMENT, TOURISM, EMPLOYMENT AND LABOUR VIRTUAL ENGAGEMENT WITH NATIONAL, PROVINCIAL AND LOCAL GOVERNMENT ON COVID-19 RESPONSE FOR THE TOURSIM SECTOR, DATED 16 FEBRUARY 2021

 

 

Mr M I RAYI: Hon Chairperson, Deputy Chairperson, Chief Whip, hon members, staff and guests, on 15 September 2020, the committee hosted a meeting with selected provincial and local government authorities, and the national government department, the Department of Tourism, which have functional responsibilities to ensure growth and development of the tourism industry.

 

 

The meeting included the Department of Tourism, SA Tourism, Tourism Business Council of South Africa, the KwaZulu-Natal Department of Economic Development and Tourism and Mpumalanga Department of Economic Development and Tourism, the Nelson

 

 

Mandela, Johannesburg and Buffalo City metropoles, the Mopani, Garden Route, Dr Ruth Segomotsi Mompati, Thabo Mofutsanyane district municipalities.

 

 

Global institutions such as World Travel & Tourism Council including McKinsey Global Institute indicate that it will take four to seven years for tourism demand to return to 2019 levels, which means that overcapacity will be the new normal in the medium term.

 

 

The Organisation for Economic Co-operation and Development survey of small enterprises in the tourism sector suggested more than half of SMMEs, if the pandemic continues without major control, would not survive.

 

 

It is reported by the World Travel & Tourism Council that the long-term recovery of the tourism industry depends on how long it takes to roll out the covid-19 vaccines globally to achieve effective immunity so that travel restrictions can be lifted and borders opened. This is likely to happen first in developed economies, and then in middle-income or emerging market economies.

 

 

This means that South Africa would fall behind the recovery pattern that will be exhibited by our advanced industrial countries, which are our major tourism market partners, including China, as one of our major tourism market.

 

 

It is essential that the global and domestic vaccination programme rollout succeeds. In the short term, existing health and safety protocols and covid-19 testing should be observed.

 

 

The recovery of the tourism industry is a key priority. Tourism is very important to both the global and domestic economy in terms of its contribution to the economic growth, employment creation. It is becoming recognised as one of the potential vital growth contributors to rural economies, and township economic activity.

 

 

It is with this economic and social consideration, that the committee engaged the critical stakeholders, which participated in this meeting that took an intergovernmental approach framed within the District Development Model that is heralded by the Presidency.

 

 

The committee wanted to have a deeper appreciation of government intervention relating to the covid-19 pandemic, and

 

 

its impact on the tourism industry. In the main, it wanted to understand the state of readiness of the government, including the industry players to kick-start actions plans within the risk-adjusted strategy towards rebooting the industry, to contribute to the overall economic recovery.

 

 

The engagement of the committee with the selected provincial and local government authorities, and the national government department focused on the following key areas: financing that national, provincial and local government offer tourism SMMEs including co-operatives; nonfinancial development programmes; partnership initiatives with other spheres of government, including other development institutions; donor funding to support tourism SMMEs and co-operatives; partnership initiatives established with the private sector, including civil society and institutions of higher learning; policy response initiated in response of covid-19; action plans to reset the tourism industry post covid-19.

 

 

All the stakeholders recognised the important role played by government in its bid to mitigate the damaged caused by the covid-19 pandemic to various industries in the economy, and to the lives of people.

 

 

We have noted, and welcomed the fiscal and monetary stimulus package that the government launched to assist businesses, and also to save needed jobs.

 

 

Tourism relief funds and the UIF-Ters funding form part of the government fiscal stimulus package, to protect jobs and maintain the existing business capacity. We have welcomed the introduction of the loan guarantee scheme to support businesses.

 

 

However, we have noticed that its implementation needed to be accelerated. Access to funding, and financing for businesses, particularly SMMEs in the tourism industry should be prioritised. The tourism industry is one of the industries that has been ravaged by the covid-19 pandemic.

 

 

Some of the local municipalities were also able to support SMMEs providing incentives, such as municipal services rates rebates. However, it should be emphasised that local government budgets do not sufficiently respond to the needs of the tourism industry, despite its potential growth contribution to the local economies and household incomes.

 

 

Further, transformation remains a challenge. Participation of historically disadvantaged people lags behind. The most vulnerable groups still are the most affected.

 

 

The tourism industry has a great economic potential to change the material lives of women, including youth and people with disabilities.

 

 

The Transformation Fund coupled with the recently launched Tourism Equity Fund should be implemented in a way to diversify participation in the tourism the industry, further, taking into account the maintenance of the existing capacity to preserve and create needed jobs.

 

 

The committee recognised that the role of the provinces and local government is critical for the successful implementation of the Tourism Recovery Plan. Integrated planning, including monitoring and risk management should be prioritised.

 

 

Government across spheres should avoid duplication. Fragmentation relating to resources mobilisation and allocation should be eliminated. The Presidency, National Treasury, Co-operative Government and Traditional Affairs

 

 

should also play an essential role to ensure that co- ordination and allocation of resources are improved.

 

 

What is central is to frame the implementation of the tourism industry. We have agreed that tourism activities and the investment drive is concentrated in Gauteng, the Western Cape, and KwaZulu-Natal, and also follows the inequity patterns within those regions and outside the concentrated regions.

Small, rural and poor towns are neglected.

 

 

Investments in transport and tourism infrastructure need to be aligned, to boost tourism particularly in rural and township economies.

 

 

Government across the spheres should also focus on easing the regulatory regime to support growth and development of SMMEs across all regions and districts.

 

 

Investment in innovation and development of technologies should adopt an equitable approach. Businesses residing in rural areas and townships should also benefit from technological advances.

 

 

There is a need to introduce electronic visas to overcome the obstacles hindering the growth of international tourism. In line with the safety and health requirements, the number of countries falling under visa-waiver agreements should be increased. Further, the Africa region should be prioritised.

 

 

The safety of tourists should continue to be prioritised. Government should continue to improve the co-ordination of allocation of resources across the spheres of government.

 

 

Declaration of vote:

 

Ms C LABUSCHAGNE: Chair, the DA in the Western Cape supports this report, but we would like to get commitment from the Minister and her department, which will ensure that more capacity building and resources are made available to the whole tourism sector, and not an elite field, as tourism is the creator of the variety of economic opportunities within the country.

 

 

Furthermore, tourism has enormous potential for job creation. In light of the pandemic, Minister and her department must place more emphasis on the domestic tourism, to allow South Africans opportunity to experience its tourism wealth. The safety of tourists must be prioritised through the co-

 

 

ordination of the allocation of resources across all spheres of government, and the recruitment of tourism safety personnel should be prioritised by focusing and capacitating the youth and women for these positions.

 

 

Furthermore, the interaction between various departments is imperative, to ensure that government invests in transport and infrastructure, especially in rural and township areas, with the focus on easing regulatory regimes to support the growth and development of small businesses. Thank you, Chair.

 

 

Question put.

 

 

[Take in from minutes.]

 

 

Agreed to.

 

 

CONSIDERATION OF REPORT OF SELECT COMMITTEE ON PETITIONS AND EXECUTIVE UNDERTAKINGS, HEARING OF THE KAT-KOP PETITION ON 14 OCTOBER 202, AS ADOPTED ON 24 FEBRUARY 2021

 

 

AND

 

 

CONSIDERATION OF REPORT OF SELECT COMMITTEE ON PETITIONS AND EXECUTIVE UNDERTAKINGS, EXECUTIVE UNDERTAKINGS BY MINISTER OF COOPERATIVE GOVERNMENT AND TRADITIONAL AFFAIRS DURING THE HOUSE SITTING OF 16 JULY 2020 ADOPTED ON 24 FEBRUUARY 2021

 

 

Mr T S C DODOVU: Hon Chairperson and hon members of this House, it is indeed my similar honour to present on behalf of the Chairperson of the Select Committee on Petitions and Executive Undertakings and all its members, two reports that deems me, the Kat-Kop petition hearing held on 14 October 2020, as well as the executive undertakings by the Minister of Cooperative Government.

 

 

With regards to the Kat-Kop petition hearing, hon Chair, the petitioner, Mrs Z Makalima, submitted the petition on behalf of the community of Kat-Kop village in the Elundini Local Municipality in the Eastern Cape. In her submissions, Mrs Makalima alleges the following: That for a number of years to date, the community of Kat-Kop had experienced a high increase in property theft and violent crimes.

 

 

That property crimes are a common occurrence in the area, and these include, stock theft, residential and business burglaries, that criminals and syndicates are sexually

 

 

assaulting women and children in certain areas of the village, and in some cases, they end up murdering women and children, that the police are enabling criminals to commit crime rather than protecting the community. Mrs Makalima, further submitted that they have been raising these concerns for a while with the authorities, but no progress has been registered.

 

 

In her case, she has never had any formal feedback from the

 

police officers since opening a case on 31 August 2018. Based on the above, hon Chair, the committee made the following

observations and key findings: According to the petitioner, she did not exhaust all the avenues before petitioning

Parliament, stating that in some ways residents had been trying to go through the correct chains but she did not know what

those correct chains were. The committee further noted that, the

 

municipality was servicing 17 wards with limited resources.

 

 

 

The government grant that the municipality is receiving, does not allow the municipality to adequately construct roads that

meet the expectations of the community, and that there were no streetlights in almost all the rural areas of Kat-Kop village. The committee further noted that, the Provincial Commissioner emphasised the need to co-operate in the community, in order to strengthen the investigation by the police.

 

 

On the issue of a mobile police stations, space approval was needed from the Traditional Council, and that the community also noted the assurance of the Commissioner, that the Kat-Kop station would be upgraded to a Lieutenant Colonel station, so that it could match the vast area, as well as the reservists.

Based on the above, hon Chair, the committee made the

 

following recommendations: Firstly, that the Provincial Commissioner should follow up on all the cases reported by the

petitioner, especially the one that was registered on 31 August 2018.

 

 

In this regard, the Commissioner must submit a detailed

 

progress report to the petitioner and equally submit the same report to this House within six months of tabling this report.

Secondly, the Provincial Commissioner must provide a detailed

 

progress report to the House within six months of tabling this report on the progress made in setting up mobile police

stations within the Kat-Kop village, as well as upgrading the Kat-Kop Police Station into a Lieutenant Colonel Station.

 

 

The Provincial Commissioner should also provide a detailed plan to the House within six months of tabling this report to deal with fleet management and maintenance in the Kat-Kop area. In respect of the municipality, the committee made the

 

 

following recommendations: That the Mayor provide a progress report to the House within six months of tabling this report, and this report must cover the following:

 

 

Maintenance and construction of road infrastructure, as well

 

as maintenance, construction as well as erection of street

 

lights in all the wards of Kat-Kop village. I thank you very much in terms of this report, hon Chair.

 

 

With regards to the second report, during the House sitting on

 

16 July, the Minister of Cooperative Government and Traditional Affairs, hon Dr Nkosazana Dlamini-Zuma, made the

following Executive Undertakings to the House, and I quote:

 

“We are developing a Smart City Framework. All planning

 

instruments are in place to reinforce citizen participation

 

and change our current operating model.”

 

 

 

The Select Committee on Petitions and Executive Undertakings, requested the hon Minister on 04 November to appear before it,

in order to provide progress report of the implementation and fulfillment of the Executive Undertakings made during the House sitting on 16 July 2020. Based on the above, the committee made the following observations: That in noting the progress report given by the Department of Cooperative

 

 

Government and Traditional Affairs in relation to the implementation of the executive undertakings under review, the committee made the following observations and key findings:

 

 

Firstly, the committee was concerned that progress to develop

 

Smart Cities framework is very slow. Taking into account that

 

the President of the Republic had announced the idea of Smart Cities on 19 June 2019. That the department submitted that the

intention was beyond the pilot sites earmarked to ensure that there are Smart Cities in all of the provinces of the

Republic. That in terms of digital infrastructure, Smart Cities would constitute part of the economic recovery plan.

 

 

The relevant departments responsible which have the capacity

 

and skills to do so would have the resources allocated to them

 

for purposes of implementation. On the issues of the budget, the department indicated that at this stage it was looking at

the framework and envisaging to finalise it before April 2021, and that it would ensure that it is implemented accordingly.

Based on the above, hon Chairperson, the committee made the following recommendations to the House:

 

 

That firstly, the committee urges and recommends that further consultation is needed with other stakeholders responsible for

 

 

digital and communication technology, particular the Council for Scientific and Industrial Research, CSIR, to remedy the challenges, highlighted in the progress report. The committee further recommends that the department should appear before the committee itself, and provide a further progress report on

the outcome of finalising the Smart Cities framework and

 

timeframes in terms of the implementation of the Smart Cities framework.

 

 

This must be done within six months after the tabling of the

 

report in this House today. Based on that hon Chair, I am thankful that I just presented the two reports on behalf of

the committee on petitions and executive undertakings. Thank you very much.

 

 

Debate concluded.

 

 

 

The CHAIRPERSON OF THE NCOP: Hon members, we shall now proceed to voting, but before we vote on the reports, we shall allow

provinces to make declarations in terms of rule 71, if they so wish. The maximum allowed for declarations is three minutes.

Is there any province that wishes to make a declaration? None.

 

 

We shall now proceed to the voting on the third order.

 

 

Question put: That the report be agreed to.

 

 

[Take in from minutes.]

 

 

The Report accordingly agreed to in accordance with section 65 of the Constitution.

 

 

The CHAIRPERSON OF THE NCOP: We shall now proceed to the

 

voting on the fourth order.

 

 

Question put: That the report be adopted.

 

 

[Take in from minutes.]

 

 

Agreed to.

 

 

The Report adopted in terms of section 65 of the Constitution.

 

 

CONSIDERATION OF CONSOLIDATED REPORT OF THE JOINT STANDING COMMITTEE ON DEFENCE ON ENGAGEMENTS WITH THE SOUTH AFRICAN DEFENCE INDUSTRY ROLE-PLAYERS OVER THE PERIOD JULY 2019 TO 6 NOVEMBER 2020, DATED 25 FEBRUARY 2021

 

 

Mr M E NCHABELENG: Chairperson, good morning to you and the hon members. It gives me great pleasure to present a consolidated report of the Joint Standing Committee on Defence with the South African Defence Industry role players over the period of July 2019 to November 2020. This report is dated 25 February 2021. The South African Defence industry has a huge role to play in the economic development of the country and its responsibilities does not only end on the security matters but it must be creative and innovative.

 

 

This project will require a collective contribution by different shareholders in the sectors, to work together and develop a framework on how this can be done. These different role players are: National Convention Arms Control Committee, Denel, Armaments Corporation of South Africa, Armscor, The National Defence Industry Council and the South African Defence Industry represented by Aerospace, Maritime and Defence Industry Association. The above mentioned entities, all have a role to play in creating a dynamic department that is able to contribute towards economic development of the country in various ways.

 

 

Therefore, our purpose, is to get contribution from the role players and assessment of the possible threats and/ or

 

 

challenges. The first step is to establish the different roles and mandates of the various role players. The establishment was out of consultative processes between the relevant stakeholders on a number of occasions.

 

 

The primary challenge for the South African National Defence Force is the shortage of funds as its budget has been reduced and therefore it must be creative and come with non-budget ways of fundraising and be more with the innovative in its nature going forward. The shortage of budget has a negative impact on the programmes of the South African National Defence Force, like the maintenance and procuring of modern equipment and weapons.

 

 

The different role players have a collective responsibility of contributing towards economic growth and most important to contribute to the defence industry. They need to be creative and innovative, so that they can be self-sustainable and for to them continue to be able to rely on [Inaudible.] for generating revenue and to fulfil their constitutional mandate.

 

 

There is a general observation that, there is shortage of funds right across these different entities and that has become an obstacle in the process of fulfilling their mandate.

 

 

In some instances, entities have outdated tools which are not responsive and not efficient to address the current needs.

There is a need to upgrade in some areas that can be done if these entities are able to work together and support each other.

 

 

Each and every entity must be able to play the role they were created to play. Like the Navigation and Vessel Inspection Circular, NVIC, was created to facilitate working relations between the state and the defence industry. There must a clear monitoring process to ensure that these different entities are monitored from time to time and they are able to fulfil their constitutional obligation.

 

 

These include having regular meetings and discussing issues that affect the sector. The funding models that were developed need to be monitored. And if a need arises to review them, that must be done and there should be driven by the motivation of integrating the local businesses. In the process they will be contributing to the creation of the strong defence industry and also by producing local equipment, they will directly be contributing to the growth and the country’s economy.

 

 

As we have mentioned earlier, there is common challenge in these role players and that is financial problems and they are caused by different sectors. From the budget shortage in the department to the implications of the COVID-19 outbreak, which in a way made things to move slowly, particularly in cases that require the physical production of goods. These include entities that need to provide services to other sectors, like maintenance to generate their revenue – could not be conducted because of the pandemic challenges.

 

 

The impact of the challenges is severe on the entities because in some cases the entities could not even pay monthly salaries to their staff and that is a very serious sign of a... you know, that things are not very well at home, so we need to do more immediately to make those interventions. The challenges faced by the different entities, have more severe implications beyond the entities themselves.

 

 

These entities were never meant to only cater for the defence industry, but they were also meant to contribute in ways serving the defensive [Inaudible.] [Interjection.] to contribute economic challenges by the country.

 

 

The CHAIRPERSON OF THE NCOP: Order there, hon Nchabeleng just a second...let’s please, try and avoid all kind of noise from coming into the system and disturbing the proceedings. Please proceed.

 

 

Mr M E NCHABELENG: This was done through employing people, bringing small businesses on board, to actually play a role in the economic activities of the country. However, the conditions they find themselves require strong turnaround strategy to try to save those entities in the process that will be saving jobs and emerging black businesses in the defence industry.

 

 

There must be immediate measures to put in place resuscitate these entities during this emergence period. There must be an honest reflection of what has transpired and invitations must be extended to various departments which can bring a meaningful contribution, including the Presidency and even the Treasury so that short term solutions can be discussed and those short term solutions must give rise the longer term solution.

 

 

The challenges faced by the South African National Defensive Industry, require a collective effort from various

 

 

stakeholder. From the entities to Parliament committees, different leaders at different levels to provide assistance and guidance to the defence industry. This must be done because the defence industry has the important role to play in the protection of the people of the Republic from any kind of danger that is primarily why there’s a need to assist the defence industry.

 

 

Secondly, the industry was charged with the responsibility to further create economic activities to support the black small businesses that are emerging and in doing that they contribute both to the revenue of the country and are able to sustain themselves and not only rely on national budget for survival but find creative and innovative ways of generating resources.

 

 

We have established that the different role players in the defence industry are facing different challenges but there is common challenge, and that has to do with the shortage of resources across the board. There is a need for an urgent intervention to save these entities because they are collapse will directly translate to the collapse of the South African National Defence Force, that will pose a serious threat to the state security. That in [Inaudible.] by the role as the Defence Force plays on a daily basis, we have the

 

 

responsibility of fighting poverty and inequalities in South Africa and we cannot afford to let small businesses to collapse and we must try to save the jobs of ordinary people from skilled to unskilled people.

 

 

We therefore urge for immediate response and solutions [Inaudible.] and collectively let us work together save the entities im the South African Defence Industry and provide progressive response to the challenges faced by the defence industry and protect the image of our country. Indeed, together we can do more to make South Africa a better place for all and that unity is the corner stone of our democracy. We must protect it at all cost [Inaudible.] Chairperson, thank you, hon members.

 

 

Declarations of vote:

 

Ms C LABUSCHAGNE: Chairperson, as the NCOP gathers to consider this Report, I find it important to first pay my last respect to the memory of the late Chairperson of the National Conventional Arms Control Committee, Mr Jackson Mthembu. The hon Mthembu was indeed a giant personality and well-liked by all with whom he worked. His cheerful approach to get the job done will be missed and his passing leaves a big hole which is

 

 

unlikely to be adequately filled. Condolences are offered to his family and friends.

 

 

The Report tabled is a good summary of the work done by the Joint Standing Committee on Defence, as we consulted with all the relevant role-players in a defence industry. One stands out issue is around the end user certificates and the level of comfort given by these. The newly gazetted regulations are here to be tested and we will therefore be monitoring this closely going forward. Perhaps, the biggest concern is around the ... [Inaudible.] ... and the havoc that its instability has caused to the industry in general. Once again the abuse of the governing party is on display in a form of a skeleton of a once strong force in the international arms manufacturing industry.

 

 

The meagre remains give hardly a clue to that forgotten entity. The bones having been picked clean by the insatiable greed in it and short-sighted employees of the governing party. The Report makes for an accurate account and has produced sound recommendations. The Western Cape supports the Report. Thank you, Chair.

 

 

Question Put: That the Report be agreed to.

 

 

IN FAVOUR OF: Eastern Cape, Free State, Gauteng, KwaZulu- Natal, Limpopo, Mpumalanga, Northern Cape, North West, Western Cape.

 

 

Report accordingly agreed to in accordance with section 65 of the Constitution.

 

 

The CHAIRPERSONOF THE NCOP: Hon members, we are now at that point in our programme where everything that was set out to do have been done. That concludes the business of the day and I want to thank Special Delegates for availing themselves.

 

 

The Council adjourned at 11:42

 


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