1. PRESENTATION TO THE SELECT COMMITTEE ON COOPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS ON THE STATE OF MADIBENG LM
MEC C. MAINE
PRESENTER
24 JUNE 2015

2. Presentation outline Purpose of presentation Background on Madibeng LM
Previous interventions in the municipality
Current status of the municipality
Way forward
Conclusion

3. Purpose of presentation
The purpose of this presentation is to provide a brief on the status of the Madibeng Local Municipality to the COGTA Minister and COGTA Portfolio Committee

4. It has a significant revenue base and is a highly viable municipality
BACKGROUND
The Madibeng LM is a category B municipality situated in the Bojanala Platinum District Municipality
It is a high capacity municipality with a well developed town (Brits), a number of townships and villages
It has a significant revenue base and is a highly viable municipality
It is an executive mayoral type municipality with 36 wards and 72 councillors

5. Background cont.
The municipality has not performed optimally over the past two terms as a result of leadership problems both politically and administratively (despite it being a high capacity municipality)
The municipality was placed under section 139(1)(b) intervention in 2010 to 2011 due to poor council oversight, lack of leadership, poor administration and alleged fraud, corruption and maladministration
There has been changes in political leadership (TROIKA) in the middle of the past term and the current term, resulting in instability
Madibeng is the municipality that has experienced the highest number of community protests in the past 10 years

6. Previous interventions in the municipality
The former Premier of the NW Province, Premier Edna Molewa, instituted a forensic investigation into the municipality on reported allegations of fraud, corruption and maladministration
The investigation was conducted by Gobodo and a report was presented to the Premier, however, the recommendations of the report were not implemented by the municipality
The Special Investigation Unit (SIU) also conducted an investigation in the municipality, which led to the intervention in terms of section 139(1)(b)
In 2010, the Provincial EXCO resolved to invoke section 139(1)(b) in the municipality

7. Previous interventions in the municipality
The section 139(1)(b) intervention was as a result of the poor financial state resulting in inability to pay creditors; poor delivery of services resulting in community protests; numerous allegations of fraud and corruption
The intervention was implemented from March 2010 until the Local Government elections of 2011 when it was automatically uplifted
The Administrator prepared a close-out report which was presented to the newly elected council in 2011

8. Previous interventions in the municipality
The Administrator of the previous intervention took disciplinary action against the former Municipal Manager on charges of maladministration and financial misconduct
The charges were also linked to the SIU investigation and an investigation that was conducted by a private law firm, De Swart, Vogel and Myambo Attorneys
The Municipal Manager was charged and a legal case ensued, where he ended receiving a settlement
A new Municipal Manger was subsequently appointed by the new council

9. Previous interventions in the municipality
The service delivery and financial problems of the municipality escalated (high debt to ESKOM, PIC loan, Tshwane Metro for bulk water) and more service delivery protests occured
The then EXCO resolved to place the municipality under section 139(1)(b) once again in December 2011 because almost all the gains of the previous intervention were reversed (especially disciplinary processes)
This was not approved by the then Minister of COGTA, who instead, established a Task Team to conduct an investigation into the affairs of the municipality prior to any intervention; and to establish if the recommendations of the previous intervention were implemented

10. Previous interventions in the municipality
The Ministerial Task Team conducted its investigation and made recommendations to the council on disciplinary action that must be taken against the MM, some senior officials and some councillors. The Task Team also recommended that the recommendations of the former Administrator be fully implemented
There was lack of political will and resistance on the part of council to implement the recommendations of the Task Team report
The Minister deployed a team of local government practitioners to support the council to implement the recommendations of the Task Team report in terms of section 154 of the Constitution, however, this was not effective

11. Previous interventions in the municipality
There was a change on the political leadership of the council (TROIKA) in 2013
The Minister then seconded an Acting Municipal Manager after the current Municipal Manager was placed on suspension pending investigation
The department has not received the final report of the disciplinary process of the Municipal Manager, who was since re-instated into his position in 2014/15
The municipality continues to experience service delivery and financial management problems despite all the interventions that have been put in place since 2010

12. Current status of the municipality
There were numerous service delivery protests recently and in the past two years that have even resulted in fatalities
The protests have mainly been about the following:
Poor water and sanitation services provision which often results in water supply disruptions
Poor water quality
Poor maintenance and operations of water infrastructure.
Uneven provision of services to communities.
Project delays due to prolonged procurement processes and possible fraud and corruption.

13. Current status of the municipality
To that effect, the Provincial EXCO resolved to invoke provisions of section 139(1)(b) in the municipality, specifically focusing on water and sanitation, which have been the main source of community unrest
The decision to intervene was taken in March 2015 and the terms of reference are as follows:
Planning and prioritisation of infrastructure programmes and projects on water and sanitation services (in line with the IDP)
Allocation of the budget for water and sanitation programmes and projects
Oversee the procurement of goods and services in relation to water and sanitation services
Management of the Project Management Unit
Monitoring and overseeing of water and sanitation projects and programmes

14. Current status of the municipality
To this end, a technical team, comprising of engineers and technicians from the Department of Water and Sanitation; DLGHS(overall Coordinator); Magalies Water and Sedibeng water have been deployed to implement the intervention on behalf of the Provincial EXCO
A Joint Operations Center (JOC) has been established and addresses water and sanitation related problems, including vandalism on a daily basis
The Technical team has identified the hot-spots and developed a recovery plan to address same (this also includes issues of electrification such as illegal connections) on a short, medium and long term basis
Water tankering still continues in the water distressed areas due to infrastructure that is still under construction or requires maintenance and refurbishment

15. Current status of the municipality
The achievements of the intervention so far can
be summarised as follows:
11 Water forums established with the inclusion of the community in the 11 water stressed communities (mainly villages)
Water leaks and repairs have been conducted
4 boreholes operating optimally in Majakaneng (where a lot of protests took place)
21 Jojo tanks installed and connected to reticulation network
10 stand-alone tanks provided for tankering until water disruption is restored in Majakaneng
Water restrictions applied to regulate use
New boreholes completed and awaiting connection and equipping

16. Current status of the municipality
Community members have conducted yard audits on water connection status, detection of leaks and information gathering for planning
Water provision has improved in most of the prioritised areas through restoration of water supply infrastructure
The DLGHS has allocated R10 million to refurbish the water treatment plant; R99 million of the MIG allocation for 2015/16 will be used for water and sanitation projects

17. Way forward
The Provincial government will continue with the intervention on water and sanitation until the end of the current term to ensure that the water challenges are addressed in a sustainable manner
The municipality will continue receiving support on financial management from DLGHS and Provincial Treasury focusing on revenue and debt management; property rates; credible budgeting and prudent financial management

18. THANK YOU