Select Committee on Appropriations Wednesday, 29 August 2012 Committee Room M46, Marks Building Presentation by Mr MG Seitisho LOCAL GOVERNMENT TURNAROUND STRATEGY (LGTAS)

1. Purpose of the presentation 2. Acceleration of the LGTAS 3. Background 4. Broader focus and aims of LGTAS 5. Institutionalisation of LGTAS 6. The roll out 7. Ongoing performance 2 CONTENT OF PRESENTATION

1. PURPOSE OF THE PRESENTATION The purpose of the presentation is to submit a progress report with regard to the acceleration of the Local Government Turnaround Strategy in the main focussing on: 1. Accelerating service delivery 2. Enhancing Good Governance 3. Promoting sound financial management 4. Fighting corruption 5. Facilitating sustainable infrastructure development. 3 3

The Local Government Turnaround Strategy (LGTAS) was approved by Cabinet during December 2009 and is the overarching strategy that includes flagship projects such as Operation Clean Audit (OPCA), Business Adopt a Municipality, Revenue Enhancement as well as the Special Purpose Vehicle (SPV) now called the Municipal Infrastructure Support Agency (MISA). MINMEC has prioritized 108 municipalities throughout the country, 81 of these municipalities fall within the MISA programme. The MISA presentation will reflect this in detail. Implementation of Operational Clean Audit by 2014 is ongoing and the detail in this regard will be reflect in the next presentation ACCELERATION OF LGTAS

The Local Government Turnaround Strategy (LGTAS) finds its roots in the various government support programme i.e. Municipal Support Programme followed by the 5-year Strategic Agenda. Project Consolidate partnered with Siyenza Manje (MISA) Outcomes of the 2009 Assessment of State of Local Government; Conceptualisation and implementation of LGTAS 5 3. BACKGROUND

The implementation of the Outcome 9 Delivery Agreement between the President and the Minister finds expression in the roll out of LGTAS. To co-ordinate various stakeholders i.e. provincial and national sector departments as well as State Owned Enterprises to ensure the constitutional imperatives of the department which is cooperative governance. To enhance a developmental local government. To consolidate the pre 2011 priorities; and Implement the post 2011 priorities / Vision BROADER FOCUS OF LGTAS

COGTA branches are in the process of incorporating and mainstreaming LGTAS into their Annual Performance Plans (APP) LGTAS is currently co-ordinated by a team of Senior officials from three (3) branches within the department. The state of permanence of the team is being finalised. 7 5.INSTITUTIONALISATION OF LGTAS

The department acknowledges that majority of municipalities requires some support. After assessment and consultation with the provinces, 108 municipalities were identified to receive integrated support on the 5 identified key performance areas mentioned above. All 108 municipalities in the 9 provinces have been visited where detailed and thorough engagement took place focussing on their MTAS and support required to implement them. Most stakeholders participated consistently and meaningfully. 8 6.THE ROLL OUT OF LGTAS

9 9 Key Stakeholders are:  National Departments: Energy, Water Affairs, Public Works, Economic Development, Human Settlements, Rural Development and Land Reform, Environmental Affairs;  Heads of Provincial CoGTA Departments;  Provincial Sector Departments;  Provincial LGTAS Coordinators;  Municipal Managers of District and Local municipalities  CoGTA Technical Support Units;  CoGTA Branch representatives;  Salga National and Salga Provincial Executive Officers; and MISA deployees.

6. THE ROLL OUT IDENTIFIED MUNICIPALITIES 10 ProvinceNumber of municipalities identified/confirmed MISA municipalities Eastern Cape1916 of the 19 muns part of MISA. Free State104 of the 10 muns part of MISA. Gauteng 52 of the 5 muns part of MISA. Limpopo1211 of the 12 muns part of MISA. KwaZulu-Natal23All 23 municipalities part of MISA. Mpumalanga 98 of the 9 muns part of MISA. Northern Cape137 of the 13 muns part of MISA. North West 84 of the 8 muns part of MISA. Western Cape 95 of the 9 muns part of MISA. Total

7. ONGOING PERFORMANCE 11 LGTAS team will provide hands on support o provincial COGTA departments in supporting municipalities to implement the MTAS MISA has been finally proclaimed and established as part of implementation of the pre 2011 priorities. Operational Clean Audit by 2014 is in progress. The above is in line with addressing the co-ordination challenges and strengthening cross departmental initiatives and programmes in line with the Outcome 9 Delivery Agreement between the President and the Minister

THANK YOU 12