MUNICIPAL MANAGERS INDABA 28 FEBRUARY 2011 Johnny Douglas, Municipal Manager – Knysna Municipality and Chairperson of Western Cape Municipal Managers Forum

STRUCTURE OF PRESENTATION BACKGROUND PROBLEM ROLE MUNICIPAL MANAGER PURPOSE PROPOSED TERMS OF REFERENCE ROLE OF SECRETARIAT KEY THEMATIC ISSUES KEY DELIVERABLES

BACKGROUND Chapter 3 of the Constitution of South Africa, 96 provides for the principles of co- operative government and intergovernmental relations and states in section 41.(1) that the three spheres of government should co-operate with one another in mutual trust and good faith by:

BACKGROUND fostering friendly relations; assisting and supporting one another; informing one another of and consulting one another on matters of common interest; coordinating their actions and legislation with one another; adhering to agreed procedures; and avoiding legal proceedings against one another.

BACKGROUND The Intergovernmental Relations Framework Act, Act No. 13 of 2005 provides within the principles of co-operative government set out in Chapter 3 of the Constitution a framework for the national government, provincial governments and local governments and all organs of state within those governments, to facilitate co-ordination in the implementation of policy and legislation, including :

BACKGROUND coherent government; effective provision of services; monitoring implementation of policy and legislation; and realization of national priorities

BACKGROUND In conducting their affairs the national government, provincial governments and local governments must seek to achieve the object of the Intergovernmental Relations Framework Act, Act no. 13 of 2004 this Act, by amongst other participating in intergovernmental structures of which they are members

PROBLEM No platform exist for Municipal Managers to discuss matters that affect local government, share knowledge, show case good practises and raise problems/challenges in local government No structured relationship or strategic engagement between Municipal Managers and the representative body for Local Government (SALGA) at a national level Perception that SALGA is not doing enough to protect interest of Local Government

PROBLEM Currently no professional body representing the interests of Municipal Managers Security of Municipal Managers position within the current volatile political environment SALGA mandating and consultation process Over regulation of local government and changes that may undermine the role of local government. Example is the proposed Systems Amendment Bill

PROBLEM Proposals in the bill aimed at limiting political interference in municipal administration, as well as addressing its “professionalisation”, compromise the institutional integrity of local government as enshrined in the Constitution; If promulgated in its present form, the bill would “significantly” increase the minister’s powers in respect of “staff establishment” and human resource systems, at the expense of the “distinctiveness” of local government as provided for in the Constitution; and Undermine the status of municipalities as employers would limit their ability to negotiate collective bargaining agreements

ROLE OF MUNICIPAL MANAGER The roles include those of managing the implementation of the municipality's Integrated Development Plan (IDP) and unfolding the Development Strategy (CDS) premised on the pillars of financially sustainable good governance that is both inclusive and productive. The municipal manager is also responsible for ensuring that the administration is aligned with the political priorities and programmes of Council. While ensuring the administration's compliancy with relevant legislation with a development ethos, the municipal manager also provides advisory services to the executive mayor and council with regard to policy issues.

ROLE OF MUNICIPAL MANAGER The municipal manager also ensures that the development and implementation of strategies have measurable positive impact on organisational productivity and financial performance. The municipal manager's key performance areas include ensuring that the Council's policies and relevant national and provincial legislation are implemented with noteworthy impact on socio-economic development of citizens.

ROLE OF MUNICIPAL MANAGER The management of the provision of services to the local community in a sustainable and equitable manner The appointment of staff other than those referred to in section 56(cz), subject to the Employment Equity Act, 1998 (Act No. 55 of 1998); The management, effective utilisation and training of staff The promotion of sound labour relations and compliance by the municipality with applicable labour legislation

ROLE OF MUNICIPAL MANAGER The administration and implementation of the municipality’s by-laws and 15 other legislations Developing and maintaining a system whereby community satisfaction with municipal services is assessed

ROLE OF MUNICIPAL MANAGER The municipal manager's key performance areas include: Basic Service Delivery Local Economic Development Municipal Financial Viability Municipal Transformation Good Governance and Public Participation

ACCOUNTING OFFICER As accounting officer, the Municipal Manager is responsible for The general financial administration of the Municipality Asset and liability management Revenue and expenditure management Budget preparation and implementation Compliance and oversight reporting to Executive Mayor, Council and provincial and national government The Office of the Municipal Manager provides the momentum of the administration and integrates all the disparate components of the Municipality.

PURPOSE To reflect on what has been achieved and not achieved in local government during the past ten years To identify the most critical lessons learned and the most critical challenges faced by local government during the next five years To communicate such findings and positions to relevant key stakeholders in order to influence the future agendas and debates of such stakeholders.

PROPOSED TERMS OF REFERENCE The MM Network should be a technical consultative body aimed at increasing co-ordination and communication through information sharing, dialogue, capacity building and consultation on matters of mutual interest, including Draft national and provincial policies and legislation relating to matters affecting local governments interests

PROPOSED TERMS OF REFERENCE The implementation of national policy and legislation affecting local government interests: Matters arising from intergovernmental forums affecting local government interests in each province Discuss the problems/challenges with current legislation and offer solutions to address the challengesproblems Any other matter that affects the interest of local government.

PROPOSED TERMS OF REFERENCE The Network could meet at least twice a year. The hosting Municipality could act as the Chairperson of the meeting Secretariat services could be provided by SALGA The Network is an independent meeting of Municipal Managers and should not become a SALGA meeting or dominated with SALGA items on the agenda

ROLE OF SECRETARIAT The secretariat will be responsible for : sending invitations and co-ordinating attendance of relevant stakeholders; preparing the draft agenda for approval by the Chairperson; logistical arrangements, i.e. venues, registration, equipment, catering, etc.; drafting action minutes and distributing it to relevant stakeholders at least within 7 days after the meeting; drafting the minutes and distributing it to all relevant stakeholders

KEY THEMATIC ISSUES Financial Viability Is local government financially in trouble? Unfunded Mandates National Fiscal Policy The cost of compliance Escalating costs charged by bulk service providers like Eskom and Water Boards Debt owed by Government departments Revenue enhancement

KEY THEMATIC ISSUES Collective Bargaining and Human Capital Management Is the human capital ability of municipalities currently a strength or a development area and if a development area what are the main causes of the problem that need to be addressed Is the relationship with Trade Unions currently an opportunity or a threat to the further development and optimization of human capital and if a threat what are the main causes of the problem that need to be addressed. Is the current bargaining process an enabler or an obstacle in improving the positive impact of our human capital and if an obstacle what are the most critical causes that need to be attended to and inter alia taking the following into consideration

KEY THEMATIC ISSUES Our experience with the TASK process Centralization vs. a more decentralized approach to collective bargaining and the resolution of labour matters in local government Mandating processes Increasing Labour cost Industrial Unrest in the sector during the past five years. The speed and success with which discipline is being managed and the internal capacity of municipalities to manage discipline in terms of the relevant collective agreements

KEY THEMATIC ISSUES Strengthening the relationship between the Technocrats of local government and that of SALGA as well as between local government and other key spheres of government and stakeholders Is the relationship between municipal executives and the SALGA technocrats of concern and if so what are the causes that should be addressed in improving the relationship Which provincial and or central government departments are considered the most critical in terms of the guidance, support and oversight relationship it has with municipal executives and what is the state of the general relationship of such departments

KEY THEMATIC ISSUES The professionalism of Local Government Executives Is there agreement that due to the unique complexities of leading and managing a municipality a special effort is required to develop a specific professional skill, expertise and attitude and code that does not currently sufficiently exist. Are the current measures that are currently being initiated appropriate and sufficient to address the actual needs that exists and if not what are the most critical concerns and objections to such measures. Guidelines to be followed in successfully improving the professionalism of the municipal executive profession

KEY THEMATIC ISSUES Obstacles in the way of Service Delivery Are we in agreement that during the past five years we have not as a sector succeeded in our service delivery task What have been the key obstacles in our way of meeting stakeholder expectations? The most critical interventions required in the next five years to narrow the gap between stakeholder expectations and institutional capacity

KEY DELIVERABLES MM’s has as a collective group been able to for the first time during the past 10 years express a collective opinion and position on critical LG management issues. Political Parties, National and Provincial Government Departments, the media,civil society,academics,researchers and other key stakeholders have been informed of the views,perceptions and expectations of current municipal executives.

KEY DELIVERABLES The current generation of MMs has taken stock and has been able to inform the agenda and debates of the next generation of MMs and thereby ensuring continuity in the management of LG challenges and issues. The MMs has had the opportunity to as a group inform future debates,agendas and the perceptions and expectations of politicians,technocrats in other spheres of government,academics etc,to hopefully a more realistic,reasonable and affordable level.

THANK YOU THESE ARE A FEW THOUGHTS TO BE CONSIDERED BY THE MEETING I.E Need for a Municipal Managers “Network” Administration and Secretariat role Our challenges/problems Key thematic issues for discussion Key Deliverables THANK YOU