 Mission  Principles  Values  Locality  Challenges  Strengths  Opportunities  Free Basic Serv  Mission  Principles  Values  Locality  Challenges  Strengths  Opportunities  Free Basic Serv OVER-VIEW  Population  Demographic  Ward Resp.  Council  Oversight Role  Council Rep.  Admin - Functionality  Population  Demographic  Ward Resp.  Council  Oversight Role  Council Rep.  Admin - Functionality  Admin – Functionality  Internal Audit  Audit Comm.  Fraud Prev.  Risk Mang.  MPAC  Admin – Functionality  Internal Audit  Audit Comm.  Fraud Prev.  Risk Mang.  MPAC  Cllr Inherited  Cllr Hand- Over  Dashboard  Future Priorities  Debt Recovery Proc.  Cllr Inherited  Cllr Hand- Over  Dashboard  Future Priorities  Debt Recovery Proc.  Fin. Ratios  Income  Debtors  Investments  Assets  Grants  SCM  Fin. Chall.  Fin. Ratios  Income  Debtors  Investments  Assets  Grants  SCM  Fin. Chall. COLLECTIVE RESPONSIBILITY LEADERSHIPGOVERNANCE PERFORMANCE MANAGEMENT FINANCIAL MANAGEMENT

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The Umdoni Municipality is a small municipality and is faced with many challenges, some of which are indicated below: 1. Unemployment and Poverty: large percentage of the population is not economically active and lack skills. 2. Backlog on the provision of basic services in rural areas 3. Limited financial resources/income and a limited rates base. 4. Limited available, suitable Land for housing development. 5. Limited available, suitable Land for expansion and industrial development. 6. Negative Impacts of certain social issues e.g. HIV/AIDS, poverty, unemployment etc. 7. Lack of the provision of social services throughout the area eg. health, education 8. Participation in the economy, and benefits, by previously disadvantaged groups. 9. Lack of necessary skills to contribute to economic growth, and address unemployment in the area. The Umdoni Municipality is a small municipality and is faced with many challenges, some of which are indicated below: 1. Unemployment and Poverty: large percentage of the population is not economically active and lack skills. 2. Backlog on the provision of basic services in rural areas 3. Limited financial resources/income and a limited rates base. 4. Limited available, suitable Land for housing development. 5. Limited available, suitable Land for expansion and industrial development. 6. Negative Impacts of certain social issues e.g. HIV/AIDS, poverty, unemployment etc. 7. Lack of the provision of social services throughout the area eg. health, education 8. Participation in the economy, and benefits, by previously disadvantaged groups. 9. Lack of necessary skills to contribute to economic growth, and address unemployment in the area.

10.Lack of certain key established, partnerships with stakeholders. 11.Public Participation is considered an area where improvement is required, especially to include the entire geographical area. 12.Inter-governmental non-alignment challenges persist. 13. Increase in Crime levels are considered a challenge; 14. Lack of trade. 15. Outstanding debt to the municipality is considered a challenge. 16.Eskom, energy is a challenge. 17. Skills migrations. 18. Low industrial base, with limited industrial economic activity and over reliance on primary products in agriculture and tourism sectors. 19. Disparity and inequality: including rural and urban dichotomies. 10.Lack of certain key established, partnerships with stakeholders. 11.Public Participation is considered an area where improvement is required, especially to include the entire geographical area. 12.Inter-governmental non-alignment challenges persist. 13. Increase in Crime levels are considered a challenge; 14. Lack of trade. 15. Outstanding debt to the municipality is considered a challenge. 16.Eskom, energy is a challenge. 17. Skills migrations. 18. Low industrial base, with limited industrial economic activity and over reliance on primary products in agriculture and tourism sectors. 19. Disparity and inequality: including rural and urban dichotomies.

The municipal strengths include the following: The area has natural assets: a natural coastline, good quality soils, temperate climate: these can be harnessed to contribute to economic development imperatives through the tourism and agriculture sectors; The area has a diversity of cultural assets: which are currently not harnessed to contribute towards economic imperatives; Umdoni is easily accessible by air, road and rail: it is located along the primary movement corridor of the N2, and has an existing railway infrastructure and is located in close proximity to Durban with it’s harbor, airport, markets and logistics. Umdoni has established tourism infrastructure and an existing tourism market for coastal, golf and diving adventure tourism. Diversification of tourism products will improve the market share of Umdoni. Umdoni has a reasonable level of existing infrastructure along the coastline, and is considered a “going concern” The municipal strengths include the following: The area has natural assets: a natural coastline, good quality soils, temperate climate: these can be harnessed to contribute to economic development imperatives through the tourism and agriculture sectors; The area has a diversity of cultural assets: which are currently not harnessed to contribute towards economic imperatives; Umdoni is easily accessible by air, road and rail: it is located along the primary movement corridor of the N2, and has an existing railway infrastructure and is located in close proximity to Durban with it’s harbor, airport, markets and logistics. Umdoni has established tourism infrastructure and an existing tourism market for coastal, golf and diving adventure tourism. Diversification of tourism products will improve the market share of Umdoni. Umdoni has a reasonable level of existing infrastructure along the coastline, and is considered a “going concern”

Opportunities include the following: Tourism can be grown and diversified due to the existing market, infrastructural development, natural products, going concern of the area, and location to transportation; Agriculture can be diversified and niche as well as value add considered in product diversification due to Umdoni’s location, soils and climate which portend well for agricultural development; With a human capital resource, jobs and employment provide opportunities for investors and economic growth interventions; Existing agricultural products grown lend themselves to explore by- products being utilized for energy production i.e. Ethanol, and in terms of its location, possibly even a processing plan for ethanol; There is great potential for development in Umdoni. Opportunities include the following: Tourism can be grown and diversified due to the existing market, infrastructural development, natural products, going concern of the area, and location to transportation; Agriculture can be diversified and niche as well as value add considered in product diversification due to Umdoni’s location, soils and climate which portend well for agricultural development; With a human capital resource, jobs and employment provide opportunities for investors and economic growth interventions; Existing agricultural products grown lend themselves to explore by- products being utilized for energy production i.e. Ethanol, and in terms of its location, possibly even a processing plan for ethanol; There is great potential for development in Umdoni.

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Umdoni Dashboard Report - June 2012 docx (3).doc Financial YearType of Opinion Clean Audit 09-10Unqualified 08-09Unqualified 07-08Unqualified 06-07Unqualified 05-06Qualified 04-05Disclaimer 03-04Disclaimer

14 AREA OF FOCUSRESPONSIBILITYTIMEFRAME 1 Powers & FunctionsCouncil & Snr Mang.Annually 2StructureCouncil & Snr Mang.Annually 3Roles and Responsibilities Council & Snr Mang.Annually 4Policies and ProceduresCouncil & Snr Mang.Annually/Periodic 5Documented Registers & Records Snr ManagementMonthly 6Supervision & Reviews (Risk Management) Snr ManagementMonthly 7Monitor & Evaluate (Performance Mang.) Snr ManagementMonthly 8ReportingSnr ManagementMonthly, Quarterly, Annual

15 DASHBOARDFINANCIALPERFORMANCECOMPLIANCE 1Leadership 2Financial Management 3Risk Management 4Performance Management 5Governance (Corporate, Financial & IT)

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23 ( 2) Oversight Committee (3) Audit Committee (5)EXCO, Mayor (7) Chief Accounting Officer (MM) (10) Internal Audit Function (9) All HOD’s(Sec57 Emp) (4) External Audit Function (A-G) (8) Chief Financial Officer (CFO) (6) Finance /Adm Committee

24 8. Accountability MUNICIPAL MANAGER (Administratively) & MAYOR (Politically) 7. Oversight & Compliance Control INTERAL AUDIT for Independence & Alignment to A-G 6.Management Control CFO for Implementation – AFS & Working Papers & Snr MANAGEMENT 5.Roleplayers AUDIT COMMITTEE, COUNCIL & A-G (for intervention) 4.Situational Analysis Assess and measure challenges and obstacles 3.Control Identification Identify threats & opportunities that may result in objective not being achieved. 2.Objective Setting Set objectives that encompass the vision and mission of the municipality 1.Control Environment Create a control Environment that is conducive. COLLECTIVE RESPONSIBILITY

“THANK YOU – NGIYABONGA” QUESTIONS, COMMENTS and CLARIFICATION “THANK YOU – NGIYABONGA” QUESTIONS, COMMENTS and CLARIFICATION 25 “THANK YOU – NGIYABONGA” QUESTIONS, COMMENTS and CLARIFICATION “THANK YOU – NGIYABONGA” QUESTIONS, COMMENTS and CLARIFICATION