No. 39 MINUTES - durban.gov.za Minutes and Decisions/Council... · N Munien, RM Mzobe, BD Naidoo, M...

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No. 39 MINUTES

OF

ETHEKWINI MUNICIPAL COUNCIL

Meeting held on Thursday, 2018-08-30T11:00,

City Hall Main Auditorium, Church Walk, Durban

PRESENT : Councillors WL Mapena (Speaker), MA Ally, J Annipen, S Aslam, A Beetge,

S Bhanprakash, MPN Bhengu, MC Bhengu, NC Biyela, T Biyela,

M Brauteseth, S Brijmohan, WJD Burne, SS Butelezi, VP Caluza, H Cele,

NT Cele, J Chetty, BA Chili, TJT Cibane, R Cloete, TP Collins, M David,

HU De Boer, SV De Boer, GT De Lange, MAK Dladla, AN Dlamini,

CB Dlamini, JA Dlamini, SB Dlamini, MP Dlomo, BA Fortein, VE Gebashe,

HD Goge, R Gokool, G Govender, S Govender, Y Govender, NL Graham,

PJC Graham, BR Gumede, NC Gumede, NP Gumede, TR Gumede, ZD Gushu,

MS Gwala, MH Haniff, GJ Hegter, NP Hlomuka, RC Hlophe, NB Hoosman,

NB Iyir, JA Johnson, M Johnson, SA Kaunda, DM Khanyile, ES Khanyile,

KNN Khubone, JS Khuboni, PZ Khumalo, HL Khubisa, NL Khuzwayo,

S Khuzwayo, ZW Khuzwayo, SNC Khwela, CJ Laing, CB Langa, P Luthuli,

TJ Luthuli, MT Mabaso, NI Madlala, A Maharajh, B Majola, TG Makhanya,

ZP Makhanya, NZ Maluleka, MW Manqele, SD Maphumulo, PM Mbambo,

V Mbanjwa, AM Mbele, RD Macpherson, SM Mdlalose, FW Mdletshe,

LM Meyer, P Mfeka, TP Mfusi, K Mhlaba, GN Mhlongo, MB Mjadu,

AZ Mkhize, HGB Mkhize, KV Mkhize, MM Mkhize, MP Mkhize, S Mkhize,

SM Mkhize, SM Mkhwanazi, PS Mncube, E Mngadi, SB Mngadi, SV Mngadi,

NE Mnguni, BV Mngwengwe, LN Mngwengwe, SR Moodley, S Moonsamy,

B Mpanza, SB Mpanza, SNL Mshengu, B Msomi, NP Msomi, LG Mthembu,

M Mthembu, MGF Mthembu, MM Mthembu, ON Mthembu, TT Mthiyane,

N Munien, RM Mzobe, BD Naidoo, M Nair, X Nala, PL Ncayiyana,

BP Ndlela, AB Ndlovu, PB Ndlovu, AS Ngcobo, MM Ngiba, TT Ngubane,

SJM Nhlapho, MS Nkosi, DR Nowbuth, GM Noyce, B Ntshangase,

PC Ntshangase, SC Ntshangase, BT Ntuli, PB Ntuli, PH Nxumalo,

NP Nxumalo, W Nyaba, NN Nyanisa, TT Nzuza, CJ Pappas, BW Phewa,

JP Phewa, TK Phohlo, BP Phungula, D Pillay, DR Pillay, KR Pillay, P Pillay,

JP Prinsloo, GDA Pullan, BR Qhantsi, A Ramkissoon, S Ryley, AN Shabalala,

B Shabane, MG Shange, SG Shange-Dlamini, MT Shelembe, ES Shezi,

MC Shezi, VH Shezi, DM Shozi, HP Shozi, KS Sibisi, M Sibisi, N Sibiya,

B Singh, EL Singh, Sagar Singh, Samier Singh, PS Sishange, AD Snyman,

ZR Sokhabase, M Tembe, JB Thabethe, S Thango, WM Thring,

JC Van den Berg, SM Windvogel, MC Xulu, TV Xulu, NY Young, BM Zulu,

TM Zuma, TG Zungu, MH Zwane and there being one (01) vacancy.

ABSENT : Councillors ZRT Gumede (Mayor) (On leave - Mayoral Duties), F Peer

(Deputy Mayor) (On leave), SR Dlamini (On leave – Indisposed),

TN Mabanga, SE Mhlongo, BA Mkhize (On leave), LC Mnguni (On leave),

NE Mthembu, TM Mthethwa (On leave – Indisposed), AB Mvubu

(On leave - Indisposed), J Naidoo (On leave – Indisposed), MK Ndzimbomvu,

ZS Ndzoyiya, S Ngema (On leave – Indisposed), BS Ngiba (On leave),

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Council Minutes - 2018-08-30)

M Nojiyeza (On leave – Indisposed), MS Nyawose (On leave), MD Qwabe,

A Rampersad, S Sewshankar, BP Shozi (On leave), PN Sikhosana

(On leave - Indisposed), NI Sithole, C Xesibe (On leave – Indisposed),

GB Zulu and MBR Zuma (On leave –Indisposed).

AMAKHOSI

PRESENT : Inkosi VR Cele, Inkosi TF Gwala, Inkosi NC Maphumulo, Inkosi RF Mthembu

and Inkosi MJ Ngcobo.

AMAKHOSI

ABSENT : Inkosi BF Bhengu, Inkosi NM Hlengwa, Inkosi PP Luthuli (On leave),

Inkosi KS Makhanya, Inkosi DZ Mkhize (On leave), Inkosi LD Mkhize,

Inkosi KT Mkhize (On leave), Inkosi TBE Mkhize, Inkosi S Mlaba (On leave),

Inkosi MB Ngcobo, Inkosi JP Shangase and Inkosi EB Shozi (On leave).

OFFICIALS

PRESENT : Messrs/Mesdames SO Cele (Acting City Manager), G Phungula (Head : Legal

Services and Compliance), M Lelosa (Manager : Council Committees),

KR Ramsunder (Chief Committee Officer) and S Ramgolam (Principal

Committee Officer).

(At the commencement of the meeting 190 Councillors were present, comprising ANC – 109,

DA - 55, IFP - 9, EFF - 5, INDEPENDENT - 3, AIC - 2, ACDP – 1, MF - 1, DLC – 1, TA - 1,

MOSA – 1, APC - 1 and AL JAMA-AH - 1).

_________________

1. NOTICE CONVENING THE MEETING

The Acting City Manager read the Notice convening the meeting as per the statutory

requirement.

2. OPENING

The Speaker declared the meeting open and extended a warm welcome to Members

of the Executive Committee; Honourable Councillors and Traditional Leaders

present; Acting City Manager; Deputy City Managers and Heads present; Head:

Legal Services and Compliance; Media; Members of the Public and Members of the

Administration.

3. AFRICAN UNION AND NATIONAL ANTHEM

At the request of the Speaker the meeting stood to sing the Anthem of the African

Union and the National Anthem of the Republic of South Africa.

4. OPPORTUNITY FOR PRAYER/MEDITATION

The Speaker requested Council to observe a moment’s silence for all those who had

passed on.



5. OFFICIAL ANNOUNCEMENTS

In initiating his announcements, the Speaker, on behalf of the Council, conveyed his

condolences to all those who had lost their loved ones, especially the Dube and

Gumede families from Mariannhill, whereby four members of their family had

passed away in an apparent murder-suicide. He was however grateful that the life of

their 2 year old daughter had been spared.

He advised of the hosting of the Womens’ Day function held on 10 August 2018 and

in doing so, thanked all stakeholders who had contributed to the success of the event.

On behalf of the City he extended his condolences to the family and friends of

Ms Veronica Zondeni Sobukwe, wife of the late Robert Sobukwe who had passed

away on 15 August 2018.

He congratulated the people of Zimbabwe on the election of their President

Emmerson Mnangagwa and was confident that his term of Presidency would prove

to be productive for the citizens of that country.

He thereafter extended his best wishes to all Councillors celebrating their birthday

during the month of August 2018.

The Speaker reminded Councillors of Rule of Order (16) and as per these Rules,

Councillors were requested to conduct themselves in a respectful manner, to refrain

from interrupting the proceedings and were encouraged to conduct business with the

highest decorum and integrity that the occasion and the residents of the municipality

deserved.

6. SPEAKER’S REPORT

In terms of Back to Basics the Speaker reported on the following for the

month of August:

- 79 Ward Committee meetings had been held.

- 55 Ward Committees had submitted compliance documents with

24 still outstanding.

- 22 Ward Committees had not convened meetings as yet. In that regard it was

advised that 7 Ward Committees, namely; 31, 35, 50, 64, 69, 93 and 97 had not

met due to internal disputes that required intervention.

In the functionality assessment carried out by COGTA, it was advised that in the last

quarter (April–June 2018) a total of 52 Wards had deemed to be functional with

58 being non-functional. The following reasons were submitted for

non-functionality:

● Lack of evidence from community report back meetings that had been held.

● Lack of evidence on sectoral reports submitted by Ward Committee members.

● Lack of evidence of Ward reports by Ward Councillors

● Some Ward reports were incomplete and/or lacked content.

● Insufficient evidence of Ward Committee meetings having been convened, eg;

attendance registers; minutes; etc.



The Speaker advised of proposed interventions that would be introduced to Council

members in an attempt to mitigate the causes of non-functionality.

With regard to Community Meetings/Engagements it was noted that 42 meetings had

been convened with evidence having been received for 30 and 12 were outstanding.

With regard to SALGA matters the Speaker reported on the following for the

month of August:

- Membership Levies –Municipalities that had paid their levies were

commended as they had assisted in the successful hosting of the SALGA-KZN

Provincial Lekgotla.

- Local Labour Forum & Collective Agreement Training – Municipalities were

advised of planned training, and three (3) employer representatives to the Local

Labour Forum, per Municipality had been invited to attend. The said training

would be held on 7 September 2018, at the SALGA-KZN Training Centre.

Relating to Capacity Building Programmes for Councillors it was noted that the first

group of Councillors had successfully completed the Sign Language training, and

their examination had been conducted by the Blind and Deaf Society on

28 August 2018.

A meeting has been scheduled to be held in the City Hall, Main Auditorium on

5 September 2018 for all Councillors that would be registering for completion of

their Matric Certificate.

At this juncture the Speaker requested that the report of the City Manager dated

20 August 2018 relative to Filling of Vacancy on the Executive Committee, as

contained in the Second Supplementary Agenda of Council, be considered.

6.1 Filling of Vacancy on the Executive Committee

With the above-mentioned item having been presented by the Speaker, it was noted

that the Democratic Alliance had proposed that Councillor TM Mthethwa replace

former Councillor S Hoosen on the Executive Committee.

In that regard majority of the Councillors expressed their non-support of the above-

mentioned proposal on the basis that the vacancy should be filled by a female

Councillor given the fact that such vacancy had been created by the departure of a

female Councillor. It was further questioned whether Councillor TM Mthethwa had

resigned as a Member of the Municipal Public Accounts Committee. The Speaker

advised that he had not received a resignation notice in that regard.

In response the Democratic Alliance made the point that once Councillor Mthethwa

became an Executive Committee Member, his vacancy on the Municipal Public

Accounts Committee would be filled.

With no consensus having being reached the matter was put to the vote.

With 189 Councillors present, 57 Councillors (DA – 55, ACDP – 1 and MOSA – 1)

voted in favour and no Councillors voted against. 132 Councillors (ANC – 109,

IFP – 9, EFF - 5, IND - 3, AIC - 2, MF - 1, TA - 1, APC – 1 and AL JAMA - AH - 1)

abstained from voting.



It was thereafter, by the majority vote,

RESOLVED:

6.1.1 That Council notes the appointment of Councillor Thabani Mbongiseni Mthethwa as

the newly appointed Democratic Alliance (DA) Caucus Leader.

6.1.2 That Council accepts the nomination of Councillor Thabani Mbongiseni Mthethwa

by the Democratic Alliance, as a replacement of the erstwhile Councillor Sharon

Hoosen on the Executive Committee, in line with the eThekwini Municipal

Council’s proportional representation.

7. APPLICATIONS FOR LEAVE OF ABSENCE

RESOLVED:

The following Councillors and Amakhosi be granted leave of absence as indicated

hereunder:-

COUNCILLORS

Councillor S Bhanprakash : 2018-09-19 to 29 (Overseas Trip)

Councillor VP Caluza : 2018-08-30 to 31 (Indisposed)

Councillor AN Dlamini : Request to leave at 12:30

Councillor S Dlamini : 2018-08-30 to 09-01 (Indisposed)

Councillor ZRT Gumede : 2018-08-30 (Mayoral Duties)

Councillor NI Madlala : Request to leave at 13:15 (Municipal Business)

Councillor BA Mkhize : 2018-08-29 to 30 (Personal Commitments)

Councillor LC Mnguni : 2018-08-29 to 09-01 (Personal Commitments)

Councillor TM Mthethwa : 2018-08-29 to 30 (Indisposed)

Councillor TT Mthiyane : Request to leave at 14:00

Councillor AB Mvubu : 2018-08-31 to 31 (Indisposed)

Councillor J Naidoo : 2018-08-30 (Indisposed)

Councillor S Ngema : 2018-08-30 (Indisposed)

Councillor BS Ngiba : 2018-08-29 to 09-01 (Personal Commitments)

Councillor M Nojiyeza : 2018-08-30 (Indisposed)

Councillor B Ntshangase : 2018-08-29 to 31 (Indisposed)

Councillor MS Nyawose : 2018-08-30 (Personal Commitments)

Councillor F Peer : 2018-08-29 to 31 (Personal Commitments)

Councillor P Pillay : Request to leave at 14:00

Councillor A Shaheed : Request to leave at 13:30

Councillor BP Shozi : 2018-08-29 to 09-01 (Personal Commitments)

Councillor M Sibisi : Request to leave at 14:00

Councillor PN Sikhosana : 2018-08-29 to 30 (Indisposed)

Councillor AD Snyman : Request to leave at 13:30

Councillor C Xesibe : 2018-08-30 (Indisposed)

Councillor MBR Zuma : 2018-07-05 to 10-31 (Indisposed)

AMAKHOSI

Inkosi PP Luthuli : 2018-08-30 (Personal Commitments)

Inkosi DZ Mkhize : 2018-08-30 (Personal Commitments)

Inkosi KT Mkhize : 2018-08-30 (Provincial Meeting)

Inkosi S Mlaba : 2018-08-30 (Provincial Meeting)

Inkosi EB Shozi : 2018-08-30 (Personal Commitments)

(NOTE: It is recorded that whilst Councillors VP Caluza and B Ntshangase had

submitted applications for leave, they were present at the meeting).



8. CONFIRMATION OF MINUTES: Meeting held on 2018-07-31

During confirmation of the abovementioned Minutes, Councillor WJD Burne

referred the Council to the item relative to Confirmation of Minutes as contained on

Page 1376 wherein the Minutes of 2018-06-28 was confirmed. He made the point

that it was imperative to reflect in the Minutes, the names of the Councillors who

had, at the request of the Speaker, recused themselves from the Council meeting on

2018-06-28, in respect of the item relative to a “Request for Additional Funding for

Public Transport Service Improvement Incentive Program.”

In that regard he referred to the Minutes of 2018-07-31 and requested the following

amendment thereto:

- that the sentence, “On page 1359, at the end of the second paragraph in bold

print, by the inclusion of the names of the Councillors who obliged to the

request of the Speaker to recuse themselves from the meeting.” be deleted, and

- be replaced with, “The following Councillors obliged to the request of the

Speaker to recuse themselves from the meeting.” (names of Councillors to be

added)

In that regard the Speaker advised that such Minutes would need verification by

listening to its recording. However, since majority of the Councillors were in support

of the Minutes of 2018-07-31 as being a true reflection of the proceedings, the matter

was put to the vote. With 187 Councillors present 132 Councillors (ANC – 107,

IFP – 9, EFF – 5, IND – 3, AIC – 2, ACDP – 1, MF – 1, TA – 1, MOSA – 1,

APC - 1 and AL JAMA-AH – 1) voted in favour and 55 DA Councillors voted

against. There were no abstentions recorded.

Thereafter, it was by the majority vote

RESOLVED:

That the minutes of the meeting of the eThekwini Municipal Council held on

2018-07-31, as circulated and taken as read, be and they are hereby confirmed.

9. QUESTIONS IN TERMS OF SECTION 27 OF THE RULES OF ORDER

The following Questions in terms of Section 27 of the Rules of Order were

submitted:-

9.1 Questions submitted by Councillor TM Mthethwa : Acquisition of Portion 278

(of 275) of the Farm Uitkoms (17/2/1/1/2):

In 2017 Council adopted a recommendation to acquire portion 278 (of 275) of the

farm Uitkomst and Doornug number 852.

Considering the above, I ask the following question:

1. Has the council resolution been implemented?

2. What is the status of productivity of this property?

3. What is the economic benefit of the acquisition to the local

economic entities?

4. How many job opportunities were created as a result of this acquisition?



The following respective responses were provided:

1. The farm acquired through the real Estate Unit was registered under the

Municipality on 20 December 2017. Official site handover to the Municipality

took effect from 15 January 2018.

2. The Municipality had procured security and the yard areas that were being

maintained through the Parks and Recreation Unit. The assessment of the

infrastructure is currently underway. A comprehensive business plan for the

development of an Indigenous Free Range Chicken business was completed in

February 2018. Negotiations underway to subcontract out-grower contracts.

3. This is still being finalised and will be reported to the Economic Development

and Planning Committee when completed.

4. It is anticipated that this project will create in excess of 250 direct jobs which

will include a number of workers that were retrenched by Rainbow Chicken.

9.2 Questions submitted by Councillor HP Shozi : Illegal Car Wash Business in the City

(7/6/1/5 & 21/12/2/1/R):

From the 1st of July 2018 the water tariffs was officially increased by 15% which

made life of the poor citizens of eThekwini even more difficult.

1. How many illegal car wash businesses across the city?

2. What has been done about those illegal car wash businesses?

3. What are the city’s plans to legalize them?


1. 124.

2. Compliance workshops had been conducted throughout the eThekwini

Municipal area to familiarise owners of these businesses aware to the rules and

regulations, Town Planning Schemes, business licences, etc. The database of

all illegal car wash businesses was compiled and forwarded to the eThekwini

Water Department to effect water disconnections on these businesses and law

enforcement agencies to issue fines to owners for breaking the law, coupled

with frequent operational and routine inspections in order to close down all

non-compliant car wash businesses operated on Council land.

3. Car wash business owners are encouraged to follow proper processes in terms

of Land Use Management and ensure that the identified site is correctly zoned,

or alternatively apply for special consent, thereby submitting plans for approval

depicting grease traps, etc. before entering into the lease or purchase of land for

car wash businesses. Lastly we have allowed waterless car wash services which

were piloted along the coast and currently we have permitted twelve waterless

car wash businesses in the Durban Beachfront area, where they only use

chemicals and no water.



9.3 Questions submitted by Councillor NL Graham : The Natal Command Site

(17/2/1/2/3):

The Natal Command site was sold to Anant Singh in 2003, with the aim of having

‘Durban Film City’ operational by the middle of 2018. To date, no construction has

taken place but the project remains on the list of Catalytic Projects. Against this

background, I pose the following questions:

1. Is Mr Singh the current lawful owner of the Natal Command site?

2. What are the current obstacles to construction getting underway?

3. Does the city still consider this a Catalytic Project, considering that it is

stagnant?

4. When is it likely that work will begin on this site?

5. When is it envisaged that the Durban Film City will be complete and

operation?


1. No. Although there is a sale agreement in place between the Municipality and

Mr Singh’s company (Rinaldo Investments), the transfer cannot as yet be

effected as portions of the property are still in the ownership of the

RSA Government.

2. As mentioned, until the land can be transferred across to the Municipality, the

developers (Rinaldo) will not be able to submit the relevant legislative

applications that are required in order to commence construction. (eg. rezoning,

building applications, etc.)

3. Yes, given the anticipated socio-economic benefits of the proposed

development to the City, all efforts are being made to help facilitate the

unblocking of the issues currently stalling development.

4. Unfortunately due to the challenges that are being experienced in terms of

getting transfer of the land by the relevant National departments, it is difficult

to project when this will be resolved. Once the land transfer has been finalised,

however, it is envisaged that construction could commence within six months,

once the necessary approvals have been obtained.

5. It is the intention of the Developer to roll out the full development in phases on

a precinct by precinct basis. It is envisaged that the first phase could be

complete and operational within two years of the start of construction on site.



9.4 Questions submitted by Councillor LM Meyer : Orange Bags Recycling Programme

(24/3):

The city’s orange bag recycling program has been marred with controversy and

failures for many months now. Still many residents are complaining that they are still

not picked up.

In light of the above I request that the following questions be answered:

1. Which contractor\s have been awarded the orange bag recycling contract?

2. Is the program now once again fully operational?

3. Are orange bags being delivered to residents’ homes?

4. If not why, and where can residents get the bags?

5. Are townships and RDP homes also being serviced by the Orange Bag

Recycling program?

6. Are Informal Settlements being services by the Orange Bag Recycling

program?

7. If not why not, and are there plans to extend the program to Informal

Settlements?

8. What steps are the city taking regarding the damming report into

irregularities and corruption regarding the Orange Bag Recycling

program?


1. The Unit is currently working on a 6 month tender to address the backlog.

This tender would be concluded in 2 weeks and deliver of orange bags was

expected during the month of October 2018.

2. The programme has not stopped. The Unit will continue with the programme

and encourage all residents to continue with recycling efforts.

3. The delivery of orange bags have presently ceased but will resume

in October 2018.

4. Problems have been experienced with the current bag manufacturer and as a

result the contract had been terminated.

5. Townships are part of the Unit’s recycling programme.

6. Currently informal settlements were not part of the programme. However it

must be noted that the Unit was working on a new recycling model and going

forward informal settlements may be included.

7. As above.

8. The orange bag irregularities have been referred to SAPS and the Financial

Misconduct Committee for investigation.



9.5 Questions submitted by Councillor J Annipen : Sale of a Play Lot (Erf 543 Grove

End) Phoenix (17/2/1/2/3):

The Community of Lancegrove/Cillagrove in Phoenix has made several requests to

City officials for Information regarding the sale of a play lot (ERF 543 Grove End).

This has been ongoing for about 6 months. Petitions have also been lodged with the

City Manager’s office, the office of the Chairpersons of Community Services and

Humans Settlements respectively. To date there has not been any response

from the same.

It is in light of the above that I pose the following questions:

1. Has the Play lot, ERF 543 of Groove-End, been sold to a private

developer? If so when was it?

2. Who is the developer?

3. Were the residents of Cillagrove/ Lancegrove consulted about the sale?

If so, by whom and when?

4. Did the respective department(s) note any objects from the community

during the process of sale?

5. When are developments expected to begin on the site?

6. Who are the Officials/ Councillors cited on the authority proceed

with sale?

7. Has the site been rezone? If so when?

8. Who were the Officials/ Councillor(s) involved in the Public Consultation

Processes?

The above-mentioned questions by Councillor J Annipen were DEFERRED to

the next meeting of the Council.

9.6 Questions submitted by Councillor DR Nowbuth : Dwellers in Isipingo Transit

Settlement in Hargovan Road (22/6/4/2):

The dwellers in the Isipingo Transit settlement in Hargovan Road, Isipingo, have on

a number of occasions staged protest actions over the unhealthy living conditions in

the Settlement and over the slow pace of housing delivery.

In the light of the above, I pose the following questions:

1. How many households are currently living in the Settlement?

2. How long would it take to allocate all households with proper housing?

3. How many families have thus far been allocated houses?

3.1 How many from January 2018 to date?



4. Are there any setbacks in the roll-out of housing for the families?

4.1 If yes, what are these?


1. There are 439 households currently residing at the transit facility.

2. Three projects have been identified to house the household of Isipingo Transit

camp facility and these are as follows:

KANKU HOUSING PROJECT

The Kanku Road Housing Project is situated within the Isipingo Hills area,

approximately 500m away from the existing Transit camp facility.

The development aims to provide formalised housing to families from the

Transit camp facility as well those within the local ward 90. Kanku Road

Housing Project is currently at the detailed planning stage. The project is

envisaged to be in construction in 2019/2020 Financial year. Environmental

studies have been submitted to the DEDTEA and reference number received

(13 April 2018) the application is out for public comments thereafter final

documentation can be submitted for a decision. SPLUMA application can only

be submitted once the Environmental Assessment is granted. The SPLUMA

approval process is anticipated to take 120 working days from date of

submission. Qualifying beneficiaries from the Transit Camp will be allocated

housing units within the Kanku Road development as and when they become

available.

CRAIGIEBURN HOUSING PROJECT

The project was screened and comments received. The project was then

presented at BSC and approved. Appointments for the professional team will

be finalised by the end of 2018. Planning studies for SPLUMA approval is to

be conducted. The project is envisaged to be in construction in 2020/2021

Financial Year.

UMKOMANZI DRIFT HOUSING PROJECT

The project was pre-screened and comments received. The project was

presented at BSC and has been approved. Appointments for the professional

team will be finalised by end of 2018. Planning studies for SPLUMA approval

will be conducted. The project is envisaged to be in construction in 2020/2021

Financial Year.

3. Currently 309 families have been allocated in various housing projects around

the City.

4. No.



9.7 Questions submitted by Councillor M Johnson : Travel and Subsistence Allowance

Policy (4/5/1/8/9):

The International Governance Policy Documents are guidelines on how the

municipality engages with international, national, provincial and local role players to

ensure mutual benefits. The policy is also guided by various legislations with

includes also the Travel and Subsistence Allowance Policy.

In view of the above, I pose the following questions:

1. How many international trips were undertaken by officials and from

which departments?

1.1 Has any official undertook more than the prescribed number of trips as

per the Travel and Subsistence Allowance Policy?

2. How many international trips were taken by Councillors?

3. How many local trips were undertaken by both Councillors and Officials?

4 How much does these trips cost the Council for the 2016/2017 and

2017/2018 financial years?

5. Where are these visits beneficial to the city?


Item No. Travel Details Year 2017/2018 2016/2017

1. International Trips by Officials 403 352

2. International Trips by Councillors 30 27

3. Domestic/Local Trips by Councillors & Officials 2292 2150

Undertaken by Councillors 108 67

Officials 2 192 2 083

Estimated Total cost to Council for trips

undertaken by both Councillor’s and Officials

R23,000,000.00 R22,000,000.00

Various departments will have detailed information about the value of the visits/trips.

Trips that were undertaken were in line with the provisions of the policy and were

beneficial to Council.

_____________

(In the absence of Her Worship the Mayor, Councillor ZRT Gumede and the

Deputy Mayor, Councillor F Peer, Councillor SA Kaunda, Member of

Executive Committee presented the First Report of the Executive Committee).

__________

(At this stage Councillor AD Snyman declared an interest in respect of Item 5

on Page 15 of the Second Supplementary Agenda, relative to International

Benchmark Study Tour to South America by ETA and Minibus Taxi &

Bus Operators Representatives).



FIRST REPORT OF THE EXECUTIVE COMMITTEE (Meeting held 2018-08-14)

PRESENT : Executive Committee Members ZRT Gumede (Mayor and Chairperson),

F Peer (Deputy Mayor), HU De Boer, BA Fortein, NL Graham, SA Kaunda,

MM Mthembu, and there being one vacancy.

ABSENT : Executive Committee Members ZR Sokhabase (on leave-Municipal Business)

and MS Nkosi (On Leave)

1. REPORT OF THE HUMAN SETTLEMENTS AND INFRASTRUCTURE

COMMITTEE: MEETING HELD ON 2018-08-07

(Page R1)

1.1 Management, Administration and Support for Zibambele Poverty Alleviation

Programme (25/4/6/1/2) & (4/3/5/3):

(: Human Settlements and Infrastructure Committee - Agenda 2018-08-07)

COMMITTEE RECOMMENDS:

1.1.1 That the role of the service provider tasked with the management of the Zibambele

Poverty Alleviation Programme, which seeks to alleviate poverty and provide people

with the opportunity to re-establish a sense of identity, be noted, it being recorded

that the costs and maintenance thereof would be more than double should the

programme be managed internally.

1.1.2 That the current resource capacity in terms of the outstanding program management

approach, be noted.

1.1.3 That a detailed feasibility study to institutionalize the capacity currently outsourced

within the City, be initiated by the Human Settlements Department, so as to enable:

1.1.3.1 A progressive reduction of wage disparities within existing categories internally in

future; and

1.1.3.2 Adequate options for the Council to efficiently implement the program.

1.1.4 That the Deputy City Manager : Human Settlements, Engineering and Transport

Authority be tasked to provide quarterly progress reports to the Human Settlements

and Infrastructure Committee on 3.1 and 3.2 above and quarterly service delivery

outcomes be tabled for information.

Breakdown costs of managing the programme internally:

ITEM DESCRIPTION COST

1. Programme Manager (1)1/3TK16 R27 333.33

2. Assistant Programme Manager (!)TK14 R59 300.50

3. Payment of Technical Staff 4 Technologies (TK14) and 10

Technicians (TK12)

R237 202+R499 166.00 =

R728 862.00 pm

4. Payment of Administrative Staff 1 Admin Clerk and 4 Principal

Clerks (one for each region)

R53 909.6+R27 905.05=

R81 814.73




5. Payment of beneficiaries 1 Accountant R49 166.00

6. Management System 1 IT Systems Administrator

TK10

R35 905.05

7. Programme Management System Licensing and maintenance of

management system

R30 000.00

8. Vehicles 10 LDV’s for Technicians and

Fuel

R5000 X10=R50 000.00+R25000

=R75 000.00

9. Electronic Devices 14 Cellphones/hand held R700.00X14=R9800

10. Geographic Information System 1 GIS Officer 1/3 TK 10 R11 967.00

11. Office Accommodation Rental of Office building, water

and electricity

R30 000.00

12. Health and Safety 1 Health and Safety officer

TK6

R23 638.28

13. Beneficiary payment EFT Bank charges R86 800.00

TOTAL R1 249 586.89

Setting up costs:


1. Telephones R9500.00

2. Set up office space Furniture R100 00.00

3. Cabling R15 000.00

4 Computers 19 Computers (Technologists,

Technicians, Administration,

Staff, Finance)

R10 000.00X19=R190 000.00

5. Develop Pay slips R18 000.00

R332 500.00

ADOPTED.

1.2 Management, Administration and Support for Sihlanzimvelo Stream Cleaning

Programme:

(Page 20: Human Settlements and Infrastructure Committee - Agenda 2018-08-07)


1.2.1 That the role of the service provider tasked with the management of the

Sihlanzimvelo Stream Cleaning Programme, which aims to ensure that streams in the

Inanda, Ntinzuma, Kwamashu and Umlazi areas are brought to and maintained at an

appropriate standard and provide work opportunities for local operatives, be noted,

it being recorded that the cost and maintenance thereof would be more than double

should the programme be managed internally.

1.2.2 That the process to analyse the implementation approach of the programme and

current rollout methodologies be reviewed by the Deputy City Manager: Human

Settlements, Engineering and Transport and presented to the Human Settlements and

Infrastructure Committee for consideration.



Breakdown costs of managing the programme internally:


1. Programme Manager (1)1/3TK16 R27 333.33

2. Assistant Programme Manager (!)Technologist TK14 R59 300.50

3. Payment of Technical Staff 2 Technologies (TK11) and

7 Clerks of Works (TK06)

R54 903.44+R94341.94

4. Payment of Cooperatives 1 Admin Clerk R16 293.10

5. Payment of beneficiaries 1 Accountant 1/4 TK 14 R10 803.18

6. Management System 1 IT Systems Administrator 1/3

TK10

R7 751.40

7. Programme Management System Licensing and maintenance of

management system

R10 000.00

8. Vehicles 9 LDV’s for Technicians and

Fuel

R5000 X 9 = R45 000.00+

R25000=R70 000.00

9. Electronic Devices 14 Cellphones/hand held R700.00X9=R6300

10. Geographic Information System 1 GIS Officer 1/3 TK 10 R7 751.00

11. Office Accommodation Rental of Office building, water

and electricity

R15 000.00

12. Health and Safety 1 Health and Safety officer

TK6

R23 638.28

Total R403 416.51

Setting up costs:


1. Telephones R9000.00

2. Set up office space Furniture R90 00.00

3. Cabling R10 000.00

4 Computers 19 Computers (Technologists, Technicians,

Administration, Staff, Finance)

R10 000.00X15=

R150 000.00

R259 000.00

ADOPTED.

1.3 Proposed DSW Shongweni Landfill: Request for Intervention:


At the Executive Committee meeting clarity was provided that an update on the

status of the Shongweni Landfill had been provided at Support Committee level with

a request for political intervention by Her Worship the Mayor and Honourable

MEC of Economic Development, Tourism and Environmental Affairs.

Members of the Democratic Alliance abstained on the basis that an inspection in loco

should be undertaken of the site taking into account what had transpired at other

landfill sites.



With majority of the Executive Committee members in support,


1.3.1 That the Honourable Mayor, Councillor ZRT Gumede and the City Manager be

tasked by Council to request the intervention of the MEC : Economic Development,

Tourism and Environmental Affairs (edTEA) for the immediate clearance and

issuance of the Appeal decisions to enable the Cleansing & Solid Waste Unit

DSW to secure the proposed Shongweni General Regional Landfill Site.

1.3.2 That the existing professional services contract for the Shongweni Landfill:

PSC2015-010 contract period, be approved to commence alignment to the date of

appeal clearance and be noted by the Bid Adjudication Committee.

1.3.3 That a special City Community Participation Task Team be set up for ongoing

community support in lieu of the existing precedent experienced in the west it being

recorded that the Cleansing and Solid Waste Unit had been tasked to develop a

landfill accordingly to international standards, best practices and intend to improve

the facility towards integrated waste management solutions.

1.3.4 That the relaxation of Water Use License Applications be requested from the

KwaZulu-Natal Department of Economic Development, Tourism, and

Environmental Affairs (edTEA) to enable the Unit to commence with design,

construction and retrospective authority be motivated by the City’s Environment

Planning and Climate Protection Unit.

Whilst the need for another landfill site was expressed, some Councillors were

not in support of the above-mentioned recommendations of the Executive

Committee contending, inter-alia, that a landfill site in the location in question

would have long term health and environmental effects. With the majority of

Councillors indicating that a landfill site was required in the west of the City the

matter was put to the vote.

With 181 Councillors present 124 Councillors (ANC – 105, IFP – 7, EFF – 5,

IND – 3, AIC – 2, APC – 1 and AL JAMA-AH – 1) voted in favour and

55 DA Councillors voted against. 2 Councillors (ACDP – 1 and MF – 1)

abstained from voting.

The above recommendations of the Executive Committee was, by the

majority vote, ADOPTED.

1.4 Request for Authority for Land Acquisitions and Signing of a Memorandum of

Agreement for North Park Sewer Reticulation Project (Ward 63) (17/1/1/2) &

(23/2/1/3/5/1)

(Page 79 : Human Settlements and Infrastructure Committee - Agenda 2018-08-07)


1.4.1 That the Acting Head: Real Estate be authorised to acquire any pipeline servitude as

well as any other necessary servitudes, wayleaves, encroachment and land by

negotiation and/or expropriation as considered necessary to accommodate the

North Park Sewer Reticulation Project.



1.4.2 That the Deputy City Manager : Trading Services be authorised to sign a

Memorandum of Agreement between Ezemvelo KwaZulu-Natal (KZN) Wildlife and

eThekwini Municipality to give effect to the North Park Sewer Reticulation Project

in Ward 63.

1.4.3 That subject to the approval of .1 and .2 above, it be noted that the approval of the

Bid Adjudication Committee will be sought to deviate from the normal Supply Chain

Management Regulations for the Acting Head: Real Estate to negotiate directly with

the property owner for the acquisition of the affected property, using

Section 36 (1)(a)(ii) of the Supply Management Regulations.

1.4.4 That in the event of negotiations being unsuccessful, the Acting Head: Real Estate be

authorised to expropriate the affected property.

1.4.5 That in the event of negotiations being successful, the City Manager be tasked to

record reasons for the deviations and report at the next meeting of the

eThekwini Municipal Council and include the reasons as a note to the Annual

Financial Statements in terms of Section 36(2) of the Municipal Supply Chain

Management Regulation.

Vote No.: Y7083 FC No.365/C70

ADOPTED.

1.5 Request to Utilise War-On-Leaks Programme to Facilitate Youth Skills Development

(23/1/6):


With the Democratic Alliance requesting that a presentation be made to the

Executive Committee on water leaks and its programme to curb such leaks,


1.5.1 That Council notes and supports the involvement of the Water and Sanitation Unit in

the National Department of Water and Sanitations “War-on-Leaks” Programme that

aims to repair leaks within Low Cost Housing Projects and former R293 Townships

to assist indigent homeowners in reducing their water consumption and wastage.

1.5.2 That subject to the adoption of .1 above, the Deputy City Manager: Trading Services

be tasked to incur expenditure in the amount of approximately R47 500 000

(Forty Seven Million and Five Hundred Thousand Rand) over the next 5 year period

as the City’s contribution to the program.

Approved FC Number : 364/02

Required Budget : R47 500 000 (or R9 500 000 per financial year)

Vote Number : 60510.11560.11500.92827.0010

REFERENCE BACK

In terms of Rule of Order Bylaw 20(1)(c), Councillor MM Mthembu, seconded

by Councillor BA Fortein, moved as a procedural motion that the above

recommendations of the Executive Committee be referred back to the Human

Settlements and Infrastructure Committee in order to obtain clarities on the

recruitment of the list of Plumbers.



CARRIED

The above-mentioned motion to Refer Back was unanimously CARRIED.

Thereafter, it was

RESOLVED:

That the recommendations in respect of the item entitled Request to Utilise

War-on-Leaks Programme to Facilitate Youth Skills Development be

REFERRED BACK to the Human Settlements and Infrastructure Committee

to enable clarities to be obtained on the list of Plumbers.

1.6 Expropriation of Road Servitude for Development Purposes: Ntshongweni Road

Upgrade (REF: 17/2/1/1/106GMN) (17/2/1/1/4):


An in-loco inspection of the land in question was undertaken by the

Human Settlements and Infrastructure Committee to determine the suitability of the

land in question.

Accordingly,


1.6.1 That in order to access land required for Ntshongweni Road upgrade, authority be

granted to the Acting Head : Real Estate to make offers and payments of the

Municipality’s assessed compensation as reflected below, to the respective owners or

to the Master of the High Court where applicable, in terms of section 11 (1) of the

Expropriation Act No.63 of 1975, plus VAT (Value Added Tax) and interest if

applicable (calculated in terms of Section 12 of the Expropriation Act).

Property

Description

Property Owners Approx.

Extent

Market

Valuation

Solatium

Total

Compensation

Proposed Road Servitude over the

Remainder of Portion 6 of the farm

Lot O No.7528.

L Mcoyi

(ID No. None)

1 806 m2 R12 600 R1 260 R13 860

Proposed Road Servitude over Portion

38 (of 6) of the farm Lot O No.7528

M Miya

(ID No.060000)

343 m2 R2 400 R240 R2 640



S S Makhathini

(ID NO.1-1492994-1)

1 201 m2 R8 400 R840 R9 240



T Mnguni

(ID NO 161008)

1 501 m2 R10 500 R1 050 R11 550



H Sishi

(ID No. None)

2 098 m2 R14 700 R1 470 R16 170

1.6.2 That subject to the adoption of .1 above, authority be granted to the Acting Head:

Real Estate to conclude the relevant compensation agreements and all necessary

documents to effect registration in favor of the eThekwini Municipality.

Project No. : P10885 Amount: R53 460.00

Vote No. : 49500.45110.12120.0000.P10885.W018

FC No.: 49/C025 (Provided 2017/2018)

ADOPTED.



2. JOINT HOSTING OF THE UNITED CITY AND LOCAL GOVERNMENT

CONGRESS (UCLG) IN 2019: WORK PLAN AND PROGRESS REPORT

(14/2/1/1/1)

(Page 27)

The Executive Committee was advised that the annual Executive Bureau meeting

had been convened in Strasbourg, France, in May 2018 whereat the lead up to the

hosting of the 2019 UCLG Congress had been discussed. All Municipal stakeholders

thereat requested to familiarize themselves with the roles and responsibilities of the

host City. Accordingly it was proposed that the Strategy Office hosts two

familiarization officials workshops, namely; for the Executive Committee and for the

senior administration who would be involved in the organization of the Congress.

Noteworthy is that the outcome of the two workshops would assist in the

development of the Congress thematic areas and programme that would commence

in December 2018.

In the circumstances and based on the information provided thereon by the

Chief Strategy Officer, in his report dated 2018-06-29,


2.1 That the signing of the United City and Local Government Congress Agreement as

delegated to the Chief Strategy Officer and signed by the Chief Strategy Officer

together with the outcome of the Executive Bureau meeting held in Strasbourg

France in May 2018 be noted.

2.3 That the hosting of two workshops by the Chief Strategy Officer to familiarize the

Political and Administrative representatives of their respective roles and

responsibilities in respect of the UCLG in 2019, be approved.

ADOPTED.

3. INDIVIDUAL PERFORMANCE MANAGEMENT POLICY FRAMEWORK

(4/6/P)

(Page 52)

In noting that the Individual Performance Management Policy Framework had been

submitted to the relevant Support Committees in the first instance,


That the Individual Performance Management Policy Framework for Sections 54A

and 56 Employees and Senior Management on the Executive Payroll of eThekwini

Municipality, as attached to the report of the City Manager dated 2018-07-18,

be approved.

ADOPTED.



4. ORGANISATIONAL PERFORMANCE MONITORING FRAMEWORK (4/6/1)

(Page 110)

Due cognisance is taken that the Organisational Performance Monitoring Framework

is a performance monitoring tool to monitor the performance of eThekwini

Municipality on a quarterly and annual basis.

Accordingly,


That the Organizational Performance Management Policy Framework developed for

utilization as an effective performance management tool to monitor the performance

of eThekwini Municipality and its Entities, as attached to the report of the

City Manager dated 2018-07-18, be approved.

ADOPTED.

5. PROMOTION OF ACCESS TO INFORMATION ACT: FEES FOR ACCESSING

MUNICIPAL RECORDS (1/1/3/1/31)

(Page 170)

Given that the Promotion of Access to Information Act (PAIA) gives effect to the

Constitutional right to access to information, as provided for under Section 32 of the

Constitution,


5.1 That the following prescribed fees payable by requesters of access to Municipal

records as determined by the Minister of Justice and Constitutional Development in

the Government Gazette, Notice No. 23119 dated 15th February 2002, be noted.

5.1.1 That the fee for a copy of the manual; R0.60 for every photocopy of an A4 size page

or part thereof, be noted.

5.1.2 That the fees for reproduction referred to in Section 15(3) of the Act would

be as follows:

R

a. For every photocopy of an A4 size page or part thereof 0.60

b. For every printed copy of an A4 size page or part thereof held on a

computer or in electronic or machine readable form

0.40

c. For a copy in a computer readable form on:

i. stiffy disc 5.00

ii. compact disc 40.00

d. Visual Images

i. For a transcription of visual images for an A4 size page of part

thereof

22.00

ii. For a copy of visual images 60.00



R

e. Audio Record

i. For a transcription of an audio record for an A4 size page of part

thereof

12.00

ii. For a copy of an audio record 17.00

5.1.3 That the request fee payable by every requester, other than a personal requester

referred to in Section 22(1) of the Act would be R35.00.

5.1.4 That the access fees payable by the requester referred to in Section 22(7) of the Act,

unless exempted under Section 22(8) of the Act would be as follows:

R

a. For every photocopy of an A4 size page or part thereof 0.60

b. For every printed copy of an A4 size page or part thereof held on a

computer or in electronic or machine readable form

0.40

c. For a copy in a computer readable form on:

i. stiffy disc 5.00

ii. compact disc 40.00

d. Visual Images

i. For a transcription of visual images for an A4 size page of part

thereof

22.00

ii. For a copy of visual images 60.00

e. Audio Record

i. For a transcription of an audio record for an A4 size page of part

thereof

12.00

ii. For a copy of an audio record 17.00

f. To search for and prepare the record for disclosure, R15.00 for every hour or part of

an hour, excluding the first hour, reasonably required for such search and

preparation.

ADOPTED.

6. RECOVERY OF DEBT FROM PARASTATALS (7/6/3/1)

(Page 177)

The Municipality is required by law to report on government debt and amounts owed

by parastatals to Provincial and National Treasury through a Section 71 Report.

A breakdown of the debt owed was submitted with progress thereto being

highlighted and clarification of the legality in some instances being awaited.

During consideration some Members expressed concern in respect of amongst other

things, issues related to ongoing debt, dispute resolution in terms of Provincial and

National debts, the need for diversity on the manner in which outstanding debts are

dealt with special emphasis on disconnections relative to residential properties.

A further contention was the lack of a way forward in terms of actual recovery of the

debt by the Head: Real Estate.



Notwithstanding that the report entailed background to the debt, clarity was provided

in respect of the following:

● Department of Human Settlements – exemption of properties from rates due

to non-signing of the agreements. A report authorising the exemption of

those properties will be submitted in due course.

● Transnet - rates had been reduced substantially and the dispute is in terms of

valuation as their lease arrangements are reviewed periodically and

furthermore their property has not been subdivided in terms of the

Deeds Office.

● Prasa – have resolved some of the disputes however there have been

objections raised with classification to determine between commercial

activity and commuter related issues, hence it is complex.

● Ingonyama Trust - due to an unsuccessful intergovernmental dispute

resolution process a report has been prepared to recommend a legal process

to fast track the issue.

On that basis,


That the debt recovery report as per the table below in relation to the amounts owed

by Parastatals and Government Departments as requested and submitted to the

Municipal Public Accounts Committee, be noted.

ARREARS CURRENT TOTAL

Department of Human Settlements 21 699 670.21 2 615 455.26 24 315 125.47

National Ports Authority 14 421 389.54 (303 109.37) 14 118 280.17

Transnet Freight Rail 4 472 256.28 8 437 425.71 12 909 681.99

Prasa 30 053 982.25 3 929 414.94 33 983 397.19

Ingonyama Trust 146 013 895.00 - 146 013 895.00

TOTAL 216 661 193.28 14 679 186.54 231 340 379.82

Some Councillors expressed concern that the debt owed by Parastatals was

spiralling out of control. Further, concern was also expressed in respect of issues

related to ongoing debt, dispute resolution in terms of Provincial and National

debts, the need for diversity on the manner in which outstanding debts were

being dealt with, with special emphasis on disconnections relative to residential

properties.

However, the majority of the Councillors made the point that the breakdown of

the debt owed was submitted with progress thereto being highlighted and

clarification of the legality in some instances being awaited.

In view of no consensus being reached with regard to the above-mentioned

recommendation of the Executive Committee the matter was put to the vote.

With 182 Councillors present, 113 Councillors (ANC – 103, EFF – 5, IND – 3,

APC -1 and AL JAMA-AH – 1) and 69 Councillors (DA – 54, IFP – 9, AIC – 2,

ACDP – 1, MF – 1, DLC – 1 and MOSA – 1). There were no abstentions

recorded.

The above recommendation of the Executive Committee was, by the

majority vote, NOTED.



7. REQUEST TO AUTHORISE CITY’S STRATEGIC TOURISM PARTNERSHIP

WITH BIO AFRICA CONVENTION 2018 TO BE HELD FROM

27-29 AUGUST 2018 (20/1/4/1)

(Page 181)

In considering the abovementioned matter, Members of the Democratic Alliance

abstained on the basis of issues relative to the amount being utilised to host the

Convention, benefits, if any, to the City and the last minute request for such funding.

A further contention was whether the hosting of the Convention would benefit

entrepreneurs in the townships.

With majority of the Members being in agreement, given the opportunity to position

the City of eThekwini as a destination of choice in the Continent,


7.1 That authority be granted for the strategic business event partnership of

R2 600 000.00 (Two Million Six Hundred Thousand Rand) including VAT for the

Bio Africa Convention 2018 to be held from 28 to 29 August 2018 at the

Inkosi Albert Luthuli International Convention Centre.

7.2 That authority be granted for the Deputy City Manager: Economic Development and

Planning to negotiate and finalize the appropriate partnership mileage for the

destination promotion leveraging, commensurate to the financial investments with

the organizers of the Bio Africa Convention 2018 in monitoring that the City yields

the valuable tourism and local economic development benefits.

7.3 That authority be granted to the City Manager to contract with the organizers of the

Bio Africa Convention as outlined in the report of the City Manager dated

2018-07-31 and in compliance with the Municipal Finance

Management Act of 2003.

As some Councillors were not in support of the above-mentioned

recommendations of the Executive Committee on the contention that the City

needed to be mindful of spending a huge amount of money to host the

convention with no benefits being derived. However, whilst the majority of the

Councillors were in agreement with the above-mentioned recommendations in

view of the opportunity for the City of eThekwini to position itself as a

destination of choice in the Continent, the matter was put to the vote.

With 180 Councillors present, 122 Councillors (ANC – 104, IFP – 7, EFF – 5,

IND – 3, AIC – 1, MOSA – 1 and APC – 1) voted in favour and

54 DA Councillors voted against. 4 Councillors (ACDP – 1, MF – 1, DLC – 1

and AL JAMA-AH – 1) abstained from voting.

The above recommendations of the Executive Committee were, by the majority

vote, ADOPTED.

__________

(Councillor SA Kaunda presented the Second Report of the

Executive Committee).

__________



SECOND REPORT OF THE EXECUTIVE COMMITTEE (Meeting held 2018-08-28)

PRESENT : Executive Committee Members ZRT Gumede (Mayor and Chairperson),

F Peer (Deputy Mayor), HU De Boer, BA Fortein, NL Graham, SA Kaunda,

MM Mthembu, MS Nkosi, ZR Sokhabase and there being one vacancy.

__________

1. REPORT OF GOVERNANCE AND HUMAN RESOURCES COMMITTEE:

MEETING HELD ON 2018-08-15

(Page R1)

1.1 Opening of Human Resources Computer Laboratory Centres at Umnini Thusong and

Hambanathi) (4/3/1):

(Page 9: Governance and Human Resources Committee - Agenda 2018-08-15)


1.1.1 That authority be granted to the Head: Human Resources to incur expenditure

in the amount of R60 000.00 (Sixty Thousand Rand) to be split equally between

Umnini Thusong and Hambanathi Centres for the opening of Human Resources

Computer Laboratories aimed at promoting online job application and empowering

users on the usage and functionality of web recruitment.

1.1.2 That subject to the adoption of .1 above, authority be granted to the Head: Human

Resources to ensure that local communities are given an opportunity to supply

the Municipality with promotional items to be required for this project.

1.1.3 That it be noted that funds for this project have been provided for in the 2017/2018

financial year budget.

Vote No.: 33163.44630.12120.0000.10035.0010

FC No.: 2018/14/41

ADOPTED.

1.2 Establishment of Invest Durban Unit (4/1/1/2/1):


The Executive Committee looked into similarities and/or differences between

the Unit established to focus on the City’s catalytic projects and the Invest Durban

Unit. The two Units were reported to be pursuing different objectives with one

focusing on strategic projects and the other solely responsible for investment

promotion within the City. A workshop is to be held to gain a better understanding

of the core functions of these Units. Meanwhile the view that specific targets be set

to clearly monitor the deliverables of Invest Durban Unit was supported.

The attention of the Committee was drawn to the process of gathering statistical

information to measure the initiatives of the City in an authentic manner.



Thereafter,


1.2.1 That all funded posts under the Investment and Promotion Department as reflected

on Annexure “A” of the report by the Head: Organisational Development

and Change Management dated 2018-02-22, be transferred to the newly created

Invest Durban Unit and that unfunded vacant positions, be deleted.

1.2.2 That the recommended organisation and establishment as reflected on Annexure “B”

of the report by the Head: Organizational Development and Change Management

dated 2018-01-25, be created.

1.2.3 That authority be granted to the Head: Organizational Development and Change

Management to implement the organisation and establishment of Invest Durban Unit

in phases over a period of one (1) year and that the filling of posts

on the recommended structure be also implemented in phases.

1.2.4 That it be noted that the cost implications for the organisation and establishment

of Invest Durban Unit have been provisionally calculated using the median of the

salary scales of the envisaged T.A.S.K. Grade of the posts, subject to the grading

process by the Compensation Management Branch and that all new and amended

posts will be subjected to the grading process in order to be given the correct

T.A.S.K. Grade.

1.2.5 That it be noted that the implementation of the recommendations of the organisation

and establishment of Invest Durban Unit will require an additional expenditure

of R17 364 876 (Seventeen Million Three Hundred and Sixty Four Thousand Eight

Hundred and Seventy Six Rand).

1.2.6 That authority be granted to the Deputy City Manager: Finance and the Deputy City

Manager: Economic Development and Planning to make budget provision to meet

the Strategy’s calculations according to the 2018/2019 Year 1 recommendations,

through to the 5th year end Strategy Budget.

REFERENCE BACK

In terms of Rule of Order Bylaw 20(1)(c), Councillor M Nair, seconded by

Councillor RD Macpherson, moved as a procedural motion that the above

recommendations of the Executive Committee be referred back to the Economic

Development and Planning Committee to enable the matter to be fully

workshopped and deliberated thereat in the first instance prior to submission

the Executive Committee and Council as not all Political Parties are represented

on the Executive Committee.

NOT CARRIED

As some Councillors were not in support of the reference back, the matter was

put to the vote. With 172 Councillors present, 53 DA Councillors voted in

favour and 119 Councillors (ANC – 97, IFP – 9, EFF – 4, IND – 2, AIC – 2,

ACDP – 1, MF – 1, MOSA – 1, APC - 1 and AL JAMA-AH - 1) voted against.

There were no abstentions recorded.

The above-mentioned motion to refer back was, by the majority vote,

NOT CARRIED.



Discussion thereafter reverted to the substantive motion and as some

Councillors were not in support of the above-mentioned recommendations of

the Executive Committee and with majority of the Councillors being in favour

thereof, the matter was put to the vote.


IND – 2, AIC – 2, ACDP – 1, MF – 1, MOSA – 1, APC - 1 and

AL JAMA-AH - 1) voted in favour and 53 DA Councillors voted against.


The above recommendations of the Executive Committee were, by the


1.3 Organisation and Establishment of Occupational Health and Safety Unit (2/1/5/1):



1.3.1 That the organisation and establishment of the Occupational Health and Safety Unit

as reflected on Annexure “A” of the report by the Head: Organizational

Development and Change Management dated 2018-08-02, be deleted.

1.3.2 That the recommended organisation and establishment of the Occupational Health

and Safety Unit as reflected on Annexure “B” of the report by the Head:

Organizational Development and Change Management dated 2018-08-02, be

approved.

1.3.3 That authority be granted to the Head: Organizational Development and Change

Management to implement the recommended organisation and establishment

of the Occupational Health and Safety Unit to be done in phases over for a period

of one (1) year depending on the availability of funds for the filling of posts

on the recommended structure.

1.3.4 That it be noted that the cost implications for the organisation and establishment

of the Occupational Health and Safety Unit have been provisionally calculated using

the median of the salary scales of the envisaged T.A.S.K. Grade of the posts subject

to the grading process by the Compensation Management Branch and that all new

and amended posts will be subjected to the grading process in order to be given

a correct T.A.S.K. Grade.

1.3.5 That it be noted that the implementation of the recommendations of organisation

and establishment of the Occupational Health and Safety Unit will require

an additional expenditure of R6 478 384.00 (Six Million Four Hundred and Seventy

Eight Thousand Three Hundred and Eighty Four Rand).

ADOPTED.



2. ADDENDUM REPORT FOR HUMAN SETTLEMENTS AND

INFRASTRUCTURE COMMITTEE: MEETING HELD ON 2018-08-07

(Page R3)

2.1 Proposed Alienation by Lease: Property Described as Proposed Lease on Erven

959 and 960 Isiphingo (17/2/1/2/5):



2.1.1 That the Municipality declares in terms of Section 34 read with 36 of the Municipal

Asset Transfer Regulations that:-

2.1.1.1 The property described as Proposed Lease on Erven 959 and 960 Isipingo is not

required for providing the minimum level of basic Municipal services; and

2.1.1.2 The property described as Proposed Lease on Erven 959 and 960 Isipingo, in extent

of 981m² as depicted on SJ Plan No.4569/10, be leased out by public tender

in accordance with the provisions of the Preferential Procurement Policy Framework

which supports the Radical Economic Transformation Framework and the Supply

Chain Management Policy.

2.1.2 That the amount of R30 000.00 (Thirty Thousand Rand), excluding VAT, be set

as an upset rental based on open market value of the property.

2.1.3 That the property be alienated by lease for a period of fifteen (15) years without

an option to renew.

2.1.4 That in the event of the objections being lodged to the granting of the lease,

the matter be referred for resolution in terms of Section 50 of the Supply Chain

Management Policy headed “Resolution of Dispute, Objections, Complaints

and Queries.”

2.1.5 That in the event of the lease not being concluded within six (06) months from

the date of determination of the value of the site, the Head: Real Estate be authorized

to review the rental in line with the current market value of the property in the event

where there has been a change in the market value.

2.1.6 That subject to the adoption of .1 - .5 above and the approval of the Bid Adjudication

Committee, the Head: Real Estate be authorized to sign all documents necessary

to conclude the agreement.

ADOPTED.

3. REPORT OF THE COMMUNITY SERVICES COMMITTEE: MEETING HELD

ON 2018-08-20

(Page R5)

3.1 Request for Authority to Support UMkhosi WoMhlanga (Reed Dance),

06 – 07 September 2018, Enyokeni Royal Palace, KwaNongoma (13/R):

(Page L3: Community Services Committee - Agenda 2018-08-20)

Council is requested to provide financial support for Maidens from different areas

of eThekwini qualifying to participate at the Annual UMkhosi WoMhlanga taking

place at eNyokeni Royal Palace, KwaNongoma from 06 to 07 September 2018.



Authority is requested for twenty (20) female Councillors from the Community

Services Committee to accompany the maidens. The event is key to nation building

and restoration of African pride.

Whilst acknowledging the benefits of participating in the event, reference was also

made to previous shortcomings on logistical arrangements which subjected the City

to negative media publicity. Therefore, a request was made to achieve co-operation

between officials and Councillors in preparation for this event for the City

to maintain a good representation given its Metro status within the Province.

The Community Services Committee was then tasked to monitor logistical

arrangements and provide update to the Executive Committee.

On this basis,


3.1.1 That the Head: Community Participation and Action Support be granted authority

to incur expenditure in the amount of R1 382 000.00 (One Million Three Hundred

and Eighty Two Thousand Rand) to fund qualifying Maidens of eThekwini

to participate at the Annual Read Dance taking place from 06 to 07 September 2018

at Enyokeni Royal Palace, KwaNongoma.

3.1.2 That any shortfall in funding be met from savings identified within the Community

Participation and Action Support Unit and budget virement be done accordingly.

3.1.3 That procurement of goods and services required for this event in the form

of transport; accommodation; catering; and sleeping mattresses be undertaken

in compliance with the Supply Chain Management Policy.

3.1.4 That a total of twenty (20) female Councillors from the Community Services

Committee be delegated to accompany the Maidens to this event and the cost thereof

be incurred by the Office of the Speaker.

Financial Implications:

Details of

Expenditure

Items Estimated Expenditure

Total Estimated Cost Hire of Transport, Catering Accommodation

and Sleeping foam for maidens.

R1 382 000.00

Vote Numbers:

No. Details

Expenses

Business

Unit

Item Fund Costing Project Region Amount

1 Transport 32303 21805 12120 0000 53500-37 0010 918 000

2. Catering 32303 11400 12120 0000 53500-37 0010 280 000

3 Accommodation 32303 21920 12120 0000 53500-37 0010 184 000

Total (R) 1 382 000

ADOPTED.



3.2 Request for Project Authority to Acquire Professor Shabalala House in Clermont

through Lease Agreement (35/2/R):

(Page 33 of the Community Services Committee - Agenda 2018-08-20)

In accordance with Plan 6 of the Integrated Development Plan of the eThekwini

Municipality and as per the strategic objective of the Municipality there is a need

to successfully transform the Heritage Landscape of the City. Authority is sought

for Parks, Recreation and Culture Unit in liaison with the Real Estate Unit

to commence negotiations/consultations with Professor Shabalala, the founder

of Ladysmith Black Mambazo and all other relevant stakeholders with a view

to acquiring his house in Clermont through a lease agreement to enable its use

as a Museum and subsequently form part of the existing Liberation Heritage

Route project.

It being noted that the Business Unit would be accountable for providing detailed

financial implications to the Committee once the negotiation process has been

finalised and that such information would be included in the report to be submitted

to the Committee requesting final project authority.


3.2.1 That authority be granted to the Parks, Recreation and Culture Unit in liaison with

the Real Estate Unit, to commence negotiations with Professor Shabalala and his

family and all other relevant stakeholders regarding the City’s project of acquiring

the Shabalala House in Clermont through a minimal lease agreement for the house

to be used as one of the City’s Museums.

3.2.2 That subject to the adoption of .1 above, prior to the actual commencement of the

project, the Parks, Recreation and Culture Unit submits a follow-up report providing

specific details including financial implications, once negotiations/consultations with

the Shabalala family and relevant stakeholders have been concluded.


recommendations of the Executive Committee and with majority of the

Councillors being in favour thereof, the matter was put to the vote.

With 173 Councillors present, 164 Councillors (ANC – 98, DA – 53, EFF – 4,

IND – 2, AIC – 2, ACDP – 1, MF – 1, MOSA – 1, APC - 1 and

AL JAMA-AH - 1) voted in favour and 9 IFP Councillors voted against.




3.3 Approval to Implement Interactive Public and Cultural Museum Programmes in Line

with UNESCO City of Literature Award (35/2/R):

(Page 40 of the Community Services Committee - Agenda 2018-08-20)

The Libraries and Heritage Department is responsible for implementing interactive

public and cultural programms as part of creating a City where people interact

creatively to stimulate economic growth; social cohesion and unity in diversity.

This is in line with the Department’s predetermined objectives in the Service

Delivery and Budget Implementation Plan.



The Department receives request for financial assistance from community-based

organizations, non-governmental organizations as well as individual members of the

community to educate and promote their local art, culture and heritage. Most of these

projects are in line with the Department’s core mandate to preserve and promote the

City’s heritage.

Given the mandate to promote and preserve heritage within the City,


3.3.1 That project authority be granted to Parks, Recreation and Culture Unit to incur

expenditure in the amount of R1 840 000.00 (One Million Eight Hundred and Forty

Thousand Rand) to coordinate and implement, through the Local History Museums,

cultural programmes scheduled to take place during the 2018/19 financial year,

as reflected in the table in .3 below.

3.3.2 That adherence be made to the Supply Chain Management Policy in procuring

services required for the programmes and for the expenditure to be incurred in line

with the Municipal Finance Management Act Circular No. 82 on Cost Containment

Measures.

3.3.3 That subject to .1 and .2 above, a close-out report on all programmes granted project

authority be submitted to the Community Services Committee for

oversight purposes.


Name Costs Description of Code Budget

Nelson Mandela Educational Jazz/Musical Programme

for Saturdays (in commemoration of the Mandela

Centenary which will take place in various LHM sites).

R60 000 Catering, sound, pamphlets,

video, photography, MC,

performing groups

MUSEUM

SUBSIDY

Being African Seminar Series/ Amahubo a-KwaZulu). R80 000 Marquee, chairs, stage,

lights, catering, sound,

pamphlets, video,

photography, MC,

performing groups

MUSEUM

SUBSIDY

Victoria Mxenge Annual Lecture (honouring the life of

Victoria Mxenge) and it takes place in different halls at

Umlazi every year in partnership with the Mxenge

Family ad Mxenge Family Trust.

R60 000 Lights, catering, sound,

pamphlets, video,

photography, MC,

performing groups

MUSEUM

SUBSIDY

Ubizo Intergenerational Heritage Talk (this is a talk

about izinhlanya zesintu or izangoma together with

umsamo). (ideally this would be more appropriate in

September in line with Heritage month where we invite

people and traditional leaders to explain their

conscription, people like V.V.O Mkhize, etc.)

R60 000 Marquee, chairs, stage,

lights

MUSEUM

SUBSIDY

UNESCO Passbook Competition Awards Ceremony

(passbook competition is a school competition done in

partnership with our sister city of Bermen and runs

throughout the year and culminates in the awards

ceremony in September/October).



pamphlets, video,

photography, MC,

performing groups

MUSEUM

SUBSIDY

UNESCO International Museums Day Programme

(As Museums we are mandated to observe and

commemorate this day. Within eThekwini

Municipality we join forces with Durban Natural

Science Museum and Durban Art Gallery to embrace

this day and invite schools to celebrate and career

guidance).

R80 000 Transport for learners,

Marquee, chairs, stage,

lights, catering, sound

pamphlets, video,

photography, MC,

performing groups

MUSEUM

SUBSIDY




UNESCO Educators Workshop (this happens every

February or March to workshop teachers about the

Passbook competition and other Museum programmes)



pamphlets, video,

photography, MC,

performing groups

MUSEUM

SUBSIDY

UNESCO Human Rights Day Seminar (takes place in

March). This seminar takes place in different areas of

Durban such as Tongaat, Inanda, Umlazi, etc. Where

various government organisations exhibit their work

and share information on human rights with ordinary

people.



pamphlets, video,

photography, MC,

performing groups

MUSEUM

SUBSIDY

Liberation Heritage Rout Seminar and Book Launch

which celebrates the heroes and heroines of Durban as

well as the places of significance associated with

liberation struggle such as JL Dube House,

Summerhouse in Hammarsdale, Diakonia, etc.



pamphlets, video,

photography, MC,

performing groups

MUSEUM

SUBSIDY

Asinamali Township struggle/ lecture. (Lamontville)

this seminar celebrates one struggle stalwarts from

Lamontville which takes place in the local hall.

R80 000 Transport for school kids

and elderly as well as the

sick, chairs, stage, lights,

catering, sound, pamphlets,


performing groups

MUSEUM

SUBSIDY

UNESCO Speech Contest Annual Programme for

School learners and takes place at Old Court House

Museum,

R60 000 Transport, chairs, stage,


pamphlets, video,

photography, MC,

performing groups

UNESCO School Holiday Programmes for school

learners (December, Easter and June Holiday

Programmes).

R60 000 Catering for learners and

transport

MUSEUM

SUBSIDY

Being an African Seminar Series (in line with May

which is Africa month)



pamphlets, video,

photography, MC,

performing groups

MUSEUM

SUBSIDY

Mpumalanga Township Peace Lecture (this would be

an annual lecture to heal people and saw a seed of

peace among factions which were fighting).

R80 000 Transport for learners and

community, marquee, chairs,

stage, sound system

MUSEUM

SUBSIDY

Abasha Bash (Celebration of Youth in struggles in line

with June which is Youth Month). This programme is

also done in partnership with the City of Bermen,

Germany.

R80 000 Transport for school kids

and elderly as well as the

sick, chairs, stage, lights,

catering, sound, pamphlets,


performing groups

MUSEUM

SUBSIDY

Launch of Museum Exhibition (KwaMuhle Museum,

Old Court House Museum).



pamphlets, video,

photography, MC,

performing groups

MUSEUM

SUBSIDY

KwaMashu Turns 60 Post Group Areas and Forced

Removals (Commemoration of Heroes and Heroines)

R60 000 Transport for Learners and

elderly as well as the sick,

chairs, stage, lights, catering,

sound, pamphlets, video,

photography, MC,

performing groups

MUSEUM

SUBSIDY




1949 Afro-Asian Cato Manor Tension Seminar R100 000 Transport for Learners and




photography, MC,

performing groups

MUSEUM

SUBSIDY

Educational Health and Wellness Program (Wellness

Campaigns for Libraries and Heritage Depart).



pamphlets, video,

photography, MC,

performing groups

MUSEUM

SUBSIDY

Andrew Zondo Lecture. R80 000 Transport for Learners and




photography, MC,

performing groups

MUSEUM

SUBSIDY

UNESCO Quiz Competition (Primary Schools). We

aim to start a program with Primary schools of

eThekwini. This will be in a form of a Quiz and

questions will be based on our Museums (LHM).

R50 000 Transport for Learners and




photography, MC,

performing groups

MUSEUM

SUBSIDY

Total R1 840 000

Vote:

Museums: Various.12120.0000.Various.W028;

15522.Various.75150.0000.Various.W028 (Provincial Subsidy)

FC No.: 34/333

ADOPTED.

3.4 Request for Project Authority for Mxenge House Museum Facility to be Converted

into Museum (35/2/R):

(Page of 52 of the Community Services Committee - Agenda 2018-08-20)

The report seeks authority to be granted to the Parks, Recreation and Culture Unit to

work together with the Real Estate Unit to consult with Mxenge family and all other

relevant stakeholders with a view to acquiring the Mxenge House facility through a

lease agreement in order for it to be used as a Museum thereby forming part of the

existing Liberation Heritage Route project.

It being noted that the Business Unit would be accountable for providing financial

implications once the process has being finalised.


3.4.1 That the Parks, Recreation and Culture Unit in liaison with the Real Estate Unit be

granted project authority to commence negotiations with Mxenge family and all

other relevant stakeholders regarding the City’s project of acquiring the Mxenge

House in Umlazi, through a minimal lease agreement to be used as one of the

City’s Museums.



3.4.2 That subject to .1 above, prior to the actual commencement of the project, the Parks,

Recreation and Culture Unit submits a follow-up report providing specific details

including financial implications, once negotiations/consultations with the Mxenge

family and relevant stakeholders have been concluded.




With 173 Councillors present, 160 Councillors (ANC – 98, DA – 53, IND – 2,

AIC – 2, ACDP – 1, MF – 1, MOSA – 1, APC - 1 and AL JAMA-AH - 1) voted

in favour and 9 IFP Councillors voted against. 4 EFF Councillors abstained

from voting.



3.5 Request for Project Authority for New Facility Verulam Heritage Centre

(35/2/1/1/1):

(Page of 59 of the Community Services Committee Agenda)

The Committee noted that the City has committed to building new Heritage Centre or

Museum in Verulam, the North of Durban, as one of its strategic infrastructural

development projects to stimulate economic growth in the greater Verulam area in

particular and the City in general. Consequently, the aim of this project is to

successfully transform the heritage landscape of eThekwini Municipality.

Therefore, the Verulam Heritage Centre would also serve a strategic purpose in

preservation of liberation heritage route history and narrative of activists in the

North of Durban.

With eThekwini being one of the major Cities in South Africa, eThekwini

Municipality has partnered with the National Heritage Council and other

stakeholders, as stipulated in the City Manager’s report, to pursue this project.

Therefore the purpose of this report is to achieve the following goals:

(a) To seek project authority for this new facility to be transferred from Economic

Development & Investment Promotion Unit to Parks, Recreation and Culture

Unit and be used as a new Verulam Heritage Centre.

(b) To appraise Council to allocate necessary financial resources for operational

purposes of this facility and have necessary human personnel in line with Plan

6 of the Integrated Development Plan of eThekwini Municipality.

With the Committee endorsing the project and noting that financial implications

would be activated once the final project approval has been secured,


3.5.1 That Council grants project authority, in principle, for the new Facility which is

Verulam Heritage Centre to be transferred from the Economic Development and

Investment Promotion Unit to the Parks, Recreation and Culture Unit for use as the

new Verulam Heritage Centre.



3.5.2 That subject to the approval of .1 above, the Parks, Recreation and Culture Unit be

authorised to identify/set-aside budget allocation and submit a report with detailed

financial implications for the purpose of funding the centre and its operations.

3.5.3 That Council recognises the project as part of other Museums and Heritage Centres

even though these are classified as unfunded mandates in terms of the Constitution of

the Republic of South Africa.

ADOPTED.

3.6 Request for Project Authority for Implementation of Libraries 2018/2019 Year

Calendar Programmes (34/3/1):


With this report being resubmitted to the Committee following its consideration

being deferred from the previous Committee meeting held on 2018-07-19, the Head:

Parks, Recreation and Culture highlighted that dates of the projects were delayed in

order to await projects authority. The purpose of the report was to appraise the

Committee on upcoming Department’s programmes and to seek project authority for

the implementation of the Libraries 2018/2019 Year Calendar programmes in terms

of Circular 15/2015.

It being noted that there were no legal implications,


3.6.1 That project authority be granted to the Parks, Recreation and Culture Unit to incur

expenditure in the amount of R8 392 060.00 (Eight Million Three Hundred and

Ninety Two Thousand and Sixty Rand) in order to coordinate and implement

educational and public programmes, listed in the table below, through Libraries and

Heritage Department during the 2018/2019 Financial Year.


Consolidated events/ programmes with financial implications are detailed below:

Programme No. of

Activities

Venue Wards Date Amount

R

Vote Number

Districts Storytelling

Competition

10 Various Metro-wide 22 August 2018 100 000 15032.37150

Districts Quiz

Competition


District Spelling Bee

Competition


Inter-district Storytelling

Finals

1 Umkhumbane Metro-wide 19 September 2018 60 000 15032.37150

Creative Writers

Competition

1 Central Metro-wide January – March 2019 80 000 15032.37150

Inter-district Spelling Bee

Finals

1 Umkhumbane Metro-wide 12 September 2018 60 000 15032.37150

Inter-district Quiz Finals 1 Central Metro-wide 05 September 2018 60 000 15032.37150

One City Book Launch

1 Central Metro-wide 26 September 2018 300 000 15032.39420



One City One Book Fun

Run

1 North 46, 53, 48,

34, 35, 36,

37, 58, 102

13 March 2019 200 000 1503.39420

One City One Book

Panel discussion

1 South 28, 29, 30,

31, 33

17 June 2019 80 000 15032.39420

One City One Book

Seminar

1 West 28, 29, 30,

31, 33

09 November 2018 80 000 15032.39420

Articulate- Book & Art

Fair

1 Central Metro-wide 29 September 2018 to

02 October 2018

4 768 580.00 15032.37150

Economic Development 16 Various 19, 20, 61,

58, 35, 30,

17, 15, 76,

94, 68, 64,

107, 36, 48

Various 186 000 15032.37150

Holiday Programs 4 Various Metro-wide Various 188 000 15032.37150

Book Launches 11 Various 66, 68, 96,

18, 23, 16,

70, 31, 35,

58

Various 106 500 15032.37150

Youth Programs 11 Various 14, 73, 70,

16, 22, 20,

01, 24, 40,

58

Various 102 500 15032.37150

Social Cohesion 6 Various 93, 99, 53,

24, 69, 58,

18

Various 90 000 15032.37150

Reading Programs 30 Various 19, 20, 61,

58, 35, 30,

17, 15, 76,

94, 68, 64,

107, 36, 48

Various 435 900 15032.37150

Time of the Writer 4 Various Metro-wide 13-18 March 2019 100 000 15032.39430

Library International &

National Days

Celebration

8 Various Metro-wide Various 656 480 15032.39440

Social Responsibility

Programs

2 Various 28 29 Various 20 000 15032.39430

Woman Empowerment

Programs

6 Various 62, 61, 35,

61, 53

Various 60 000 15032.37150

Skills Development 2 North &

Central

27, 58 22 March 2019 40 100 15032.37150

Creative writers and

publishing workshop

1 Central Metro-wide July 2018-

June 2019

100 000 15032.37150

AFLIA Programs Central Metro-wide 02-04 July 2018 3000 000 00 15032.37150

TOTAL R7 092 060.00

Subsidy Allocation R1 300 000.00

GRAND TOTAL R8 392 060.00

FC No.: 33/647

Council Funding = R2 232 480.00

Subsidy Required = R1 300 000.00

Articulate Africa = R2 689 580.00

Durban Art Gallery = R2 079 000.00

Grand Total = R8 392 060.00



MOTION TO AMEND

In terms of Rule of Order Bylaw 20(4), Councillor ZR Sokhabase, seconded by

Councillor BA Fortein, moved as a procedural motion that the above

recommendations of the Executive Committee be amended by the addition of

the following recommendation 3.6.2:

“3.6.2 That subject to .1 above, a project implementation report be submitted

on a quarterly basis to the Community Services Committee for

oversight purposes, prior to implementation.”

CARRIED

The above-mentioned Motion to Amend was unanimously CARRIED.

Thereafter, it was

RESOLVED:

3.6.1 That project authority be granted to the Parks, Recreation and Culture Unit to

incur expenditure in the amount of R8 392 060.00 (Eight Million Three

Hundred and Ninety Two Thousand and Sixty Rand) in order to coordinate and

implement educational and public programmes, listed in the table below,

through Libraries and Heritage Department during the 2018/2019

Financial Year.


Consolidated events/ programmes with financial implications are

detailed below:

Programme No. of

Activities

Venue Wards Date Amount

R

Vote Number

Districts Storytelling

Competition


Districts Quiz

Competition


District Spelling Bee

Competition


Inter-district

Storytelling Finals

1 Umkhumban

e

Metro-wide 19 September 2018 60 000 15032.37150

Creative Writers

Competition

1 Central Metro-wide January – March 2019 80 000 15032.37150

Inter-district Spelling

Bee Finals

1 Umkhumban

e

Metro-wide 12 September 2018 60 000 15032.37150

Inter-district Quiz

Finals

1 Central Metro-wide 05 September 2018 60 000 15032.37150

One City Book Launch 1 Central Metro-wide 26 September 2018 300 000 15032.39420

One City One Book Fun

Run

1 North 46, 53, 48,

34, 35, 36,

37, 58, 102

13 March 2019 200 000 1503.39420

One City One Book

Panel discussion

1 South 28, 29, 30,

31, 33

17 June 2019 80 000 15032.39420

One City One Book

Seminar

1 West 28, 29, 30,

31, 33

09 November 2018 80 000 15032.39420



Articulate- Book & Art

Fair

1 Central Metro-wide 29 September 2018 to

02 October 2018

4 768 580.00 15032.37150

Economic Development 16 Various 19, 20, 61,

58, 35, 30,

17, 15, 76,

94, 68, 64,

107, 36, 48

Various 186 000 15032.37150

Holiday Programs 4 Various Metro-wide Various 188 000 15032.37150

Book Launches 11 Various 66, 68, 96,

18, 23, 16,

70, 31, 35,

58

Various 106 500 15032.37150

Youth Programs 11 Various 14, 73, 70,

16, 22, 20,

01, 24, 40,

58

Various 102 500 15032.37150

Social Cohesion 6 Various 93, 99, 53,

24, 69, 58,

18

Various 90 000 15032.37150

Reading Programs 30 Various 19, 20, 61,

58, 35, 30,

17, 15, 76,

94, 68, 64,

107, 36, 48

Various 435 900 15032.37150

Time of the Writer 4 Various Metro-wide 13-18 March 2019 100 000 15032.39430

Library International &

National Days

Celebration

8 Various Metro-wide Various 656 480 15032.39440

Social Responsibility

Programs

2 Various 28 29 Various 20 000 15032.39430

Woman Empowerment

Programs

6 Various 62, 61, 35,

61, 53

Various 60 000 15032.37150

Skills Development 2 North &

Central

27, 58 22 March 2019 40 100 15032.37150

Creative writers and

publishing workshop

1 Central Metro-wide July 2018-

June 2019

100 000 15032.37150

AFLIA Programs Central Metro-wide 02-04 July 2018 3000 000 00 15032.37150

TOTAL R7 092 060.00

Subsidy Allocation R1 300 000.00

GRAND TOTAL R8 392 060.00

3.6.2 That subject to .1 above, a project implementation report be submitted on a

quarterly basis to the Community Services Committee for oversight purposes,

prior to implementation

FC No.: 33/647

Council Funding = R2 232 480.00

Subsidy Required = R1 300 000.00

Articulate Africa = R2 689 580.00

Durban Art Gallery = R2 079 000.00

Grand Total = R8 392 060.00



3.7 Request for Financial Support: SPCA for Provision of Pound Services and Collection

of Stray Cats and Dogs on Behalf of the Municipality (7/5/R):


The Committee considered the above matter as having been deferred by Council at

its meeting held on 2018-06-28. The report seeks authority to disburse funds in terms

of Section 57 of the Municipal Finance Act (MFMA) Act 56, 2003 to the SPCA

to perform part of the pound function on behalf of the municipality.

The Committee emphasised that funding be allocated accordingly to prioritise

matters pertaining to human life. With regard to SPCA, concerns were expressed that

their service is not extended to other areas including rural; townships; and informal

settlements. Therefore, emphasis was put on the need for SPCA to decentralise its

activities to service all eThekwini Municipal areas.


3.7.1 That authority be granted to the City Manager to conclude a Memorandum of

Agreement (MOA) with Durban and Coastal SPCA for the next three-year period

starting from 2018-07-01 to 2021-06-30 to perform part of the pound function on

behalf of the Municipality and in line with the relevant statutory requirements.

3.7.2 That, subject to .1 above, the City Manager be duly authorized in terms of Section 67

of the Municipal Finance Management Act, to disburse funds in the amount

of R13 556 000.00 (Thirteen Million Five Hundred and Fifty Six Thousand Rand),

excluding VAT, over the three (03) years in terms of the MOA.

3.7.3 That authority be granted to the Deputy City Manager: Finance to identify savings

amounting to R1 500 000 (One Million Five Hundred Thousand Rand) by means

of an adjustments budget to fund the increase in expenditure to R4.3 Million

for the period 2018/2019 financial year.

3.7.4 That a high level engagement be held with SPCA with a view to discussing

the rationalization of its operations to cover the entire eThekwini Municipal area,

in particular, the townships and rural areas.

3.7.5 That the Health Unit be identified as a responsible Unit to be assigned the function

of monitoring the implementation of the requirements of the MOA and which MOA

will cover the aspect of monitoring and evaluation of the SPCA operations

and reporting thereon.

Vote Financial Year R

(Excluding VAT)

31103.25427.12120.0000.MRC01.0010 2018/2019 4 300 000.00 Subject to adjustment budget

of R1.5 Million

2019/2020 4 515 000.00 To be adjusted based CPI in

next year 2020/2021 4 741 000.00

ADOPTED.



4. REVISED CHARGES FOR FLORIDA ROAD SPECIAL RATING AREA (7/6/1/5)

(Page 15)

The rationale behind revising tariffs charged in Florida Road which is categorized

as a Special Rating Area (SRA) was noted. This relates to the correction to exclude

residential properties in SRA for this to be applicable only to Business &

Commercial and Industrial properties in line with prior agreement. The Committee

would receive a presentation on developments taking place in Florida Road precinct.

In view of the foregoing,


4.1 That the correction effected to the accounts of Residential; Business & Commercial;

and Industrial property owners situated within the boundary of Florida Road

in Durban, which is categorized as a Special Rating Area (SRA), be approved,

it being recorded that the correction has been informed by the exclusion of residential

properties, hence, the revised tariffs.

4.2 That the change in tariffs as a result of the correction in .1 above, be approved as

depicted in the table below:

Business & Commercial Industrial Residential

Tariff 31 May 2018 0.006753 0.008715 0.002978

Corrected Tariff 31 July 2018 0.008058 0.010399 0.000000

4.3 That the Head: Revenue and Communications be mandated to promulgate

an addendum to Section 14, published under Section 14 of the Municipal Property

Rates Act (MPRA).


The correction in the incorrect tariff resulted in a change in the tariffs for Business &

Commercial and Industrial Owners. The tariff change is required for the SRA

to generate R3 437 049.00 as per budget and commitments in this regard.

ADOPTED.

(Noted that Councillor AD Snyman was not at the meeting when the following

item (Item 5) was considered).

5. REQUEST FOR APPROVAL OF INTERNATIONAL BENCHMARK STUDY

TOUR TO SOUTH AMERICA BY ETHEKWINI TRANSPORT AUTHORITY

AND MINIBUS TAXI & BUS OPERATORS REPRESENTATIVES (6/4/1 &

26/3/2/3)

(Page 18)

As part of the City’s key strategic imperative to improve public transport business,

a study tour has been arranged to share best practice on Bus Rapid Transit (BRT)

system. This would enable minibus taxi and bus operators to obtain extensive

knowledge and understanding of BRT system. Exposing the industry to an

international standard will lead into a better insight into the operations of the system

and subsequently show co-operation in fulfilling the City’s vision of providing

sustainable transport system that moves people and goods effectively; efficiently and

safely thereby achieving social and economic upliftment.



The travelling costs in the estimated amount of R2 Million for a number of fifty four

(54) delegates would be covered under the Public Transport Network Grant which is

dedicated for transport project within the City. The number of delegates has been

informed by the complex nature of the public transport industry and the unique

nature of the BRT system. It is imperative for the study tour to be all-inclusive for

the overall buy-in of the parties concerned and ultimately achieve successful

negotiations for the BRT system roll-out.

The Democratic Alliance was of the view that alternative measures to obtain

information on BRT operations should be implemented rather than funding the travel

of 54 delegates. Hence, its two (02) members present voted against this matter.

A member of Inkatha Freedom Party expressed reservations on the R2 Million spent

for this travel and enquired the possibility of reducing the number of delegates.

He then abstained to take the matter to his Party Caucus in the first instance.

The majority five (05) members of the African National Congress supported this

benchmarking exercise. The initiative was considered critical to empower industry

representatives to gain world-class experience on BRT system operations.

Cognizance was taken of the fact that the bus and taxi industry were major

contributors in the City’s Gross Domestic Product.

With the majority members being in support,


5.1 That Council approves the delegation of City Officials, Councillors, Minibus Taxi

Industry Representatives and Bus Operators’ Representatives to undertake a

benchmark international study tour to South America, Sao Paulo in Brazil and

Bogota in Columbia, to allow the delegates an opportunity to engage with operating

companies providing Bus Rapid Transit Services as well as City Authorities to learn

first-hand how the transition and business processes were addressed and experience a

successful Integrated Public Transport Network (IPTN)/ Bus Rapid Transport (BRT)

service for themselves:

5.1.1 Two (2) Councillors - Lessons learned from previous implementations for

IPTN/BRT systems in the South Africa and internationally has shown that the

support from the politicians is a critical success factor.

5.1.2 Thirty three (33) Minibus Taxi Industry Representatives from the EThekwini Metro

Taxi Council and taxi associations affected by the C3 Corridor: extensive negotiation

have transpired with the ETA and the industry in order to determine the number of

delegates that would represent key stakeholders within the industry and have thus

arrived at a number that is believed by both parties to adequately represent the

industry.

5.1.3 Fourteen (14) bus operators representing bus companies affected and the bus sector

as above, this number is believed to be an adequate representation of the bus

operators.

5.1.4 Five (5) EThekwini Transport Authority officials – due to the large size of the

delegation, at least 5 officials will be required from the ETA to ensure that there is

adequate support and management of the delegation.




The estimated budget for the visit is R2 Million and will be fully funded from the

Public Transport Network Grant (PTNG) allocated for the project. The budget will

cover the costs of flights, accommodation, land transport, subsistence allowance and

facilitation fees for the co-ordination of meetings and land-based transportation.





IND – 2, AIC – 2, ACDP – 1, MOSA – 1, APC - 1 and AL JAMA-AH - 1) voted

in favour and DA – 53 voted against. 1 MF Councillor abstained from voting.



6. REQUEST FOR APPROVAL OF EXPANDED PUBLIC WORKS PROGRAMME

POLICY 2018/2019 (4/3/P)

(Page 25)


6.1 That Council approves the Expanded Public Works Programme (EPWP) Policy

developed for the purpose of achieving the following objectives:

6.1.1 To achieve necessary alignment of Cluster and Units functions with EPWP to ensure

effective implementation.

6.1.2 To establish eThekwini’s EPWP as an approved socio-economic development and

poverty alleviation programme with sustainable exit strategies that maximize SMME

development; employment creation and skills development.

6.1.3 To entrench EPWP methodology within the Integrated Development Plan, a

methodology that expands the current service delivery of goods and services to

ensure shared economic growth.

6.1.4 To ensure developmental integration across all sectors and re-engineer how to plan;

design; and implement projects or programmes within the existing Municipal

operational and capital budgets to maximize greater employment opportunities per

unit of expenditure.

6.2 That subject to the approval of .1 above, the policy be used as a guideline for the

implementation of the Expanded Public Works Programme within eThekwini

Municipality.

REFERENCE BACK

In terms of Rule of Order Bylaw 20(1)(c), Councillor S Govender, seconded by

Councillor S Windvogel, moved as a procedural motion that the above

recommendations of the Executive Committee be referred to Party Caucuses to

enable the matter to be fully deliberated thereat in the first instance.



NOT CARRIED

As some Councillors were not in support of the reference back, the matter was

put to the vote. With 171 Councillors present, 54 Councillors (DA – 53 and

ACDP – 1) voted in favour and 116 Councillors (ANC – 97, IFP – 9, EFF – 4,

IND – 2, AIC – 2, MOSA – 1 and AL JAMA-AH - 1) voted against.

1 MF Councillor abstained from voting.

The above-mentioned motion to refer back was, by the majority vote,

NOT CARRIED.

Discussion thereafter reverted to the substantive motion and as some

Councillors were not in support of the above-mentioned recommendations of

the Executive Committee on the contention that due process in respect of

approval of the policy had not been followed, there were no clear guidelines on

the appointment of officials and certain political Parties had not been consulted

on the policy and with majority of the Councillors being in favour thereof, the

matter was put to the vote.

With 170 Councillors present, 111 Councillors (ANC – 96, IFP – 8, IND – 2,

AIC – 2, MOSA – 1, APC - 1 and AL JAMA-AH - 1) voted in favour and

55 Councillors (DA – 53, ACDP – 1 and MF – 1) voted against.

4 EFF Councillors abstained from voting.



7. REPORT ON AWARDS MADE BY THE CITY FOR THE MONTH

OF JULY 2018 (9/1/3)

(Page 72)

With an undertaking by management to verify prices charged for supply and delivery

of thirteen (13) rigid hull infallible rescue boats complete with motors and trailors,

Contract No. IP-35247; and supply and delivery of eighteen (18) quad bike fitted

with amber and red hazard lights and rescue decals painted in-house colours

(yellow), Contract No. IP-35248,


7.1 That the public tender awards made by the City for the month of July 2018, inclusive

of awards made in terms of Section 36 of the Supply Chain Management

Regulations, as contained in the report by the City Manager dated 2018-08-15,

be noted.

7.2 That it be noted that where information is available for wards and registration

numbers, it is included in the report, as information used to compile the report is

taken from submissions made by Units.

7.3 That the City Manager reserves the right to investigate the awards with a view to

taking disciplinary, criminal and recovery actions where wilful and negligent

violation of the Supply Chain Management Policies and the Municipal Finance

Management Act provisions are observed.



7.4 That the City Manager shall table a report to the Committee relative to the

disciplinary, criminal and recovery actions taken, it being recorded that the City

Manager can only respond when the reports are available.

Recommendations 7.1 and 7.2 NOTED and Recommendations 7.3

and 7.4 NOTED.

8. REPORT ON INVESTMENTS FOR THE PERIOD 30 JUNE TO 31 JULY 2018

(7/11/4)

(Page 141)


That the report on investments for the eThekwini Municipality as at 2018-07-31,

which records the total funds invested at financial institutions as R7 158 474.00

(Seven Million One Hundred and Fifty Eight Thousand Four Hundred and Seventy

Four Rand), at an average rate of return on investments of 7.55%, as submitted

by the City Manager in line with the requirements of the Municipal Cash

Management and Investment Regulations of the Municipal Finance Management

Act, 2003, be noted.

NOTED.

9. APPROVAL FOR THE IMPLEMENTATION OF MAYORAL PARLOUR UNIT

PROGRAMMES AS PER APPROVED BUDGET (19/1/1/2/R)

(Page 149)

Members of the Democratic Alliance voted against this matter on the basis of what

they regarded as incomplete report with no detailed information in terms of costs

breakdown and the benefits by the City. Further, that some of the programmes could

be implemented in-house.

The majority African National Congress and the Inkatha Freedom Party supported

the matter. This was based on the fact that the events in question respond to the needs

of the vulnerable groups, including Youth; Women and People with Disabilities.

They also focus on the promotion of participatory governance with local

communities being given the opportunity to contribute input and comments into the

local government affairs. Other engagements relate to Municipal planning process to

ensure effective alignment between budget and Municipal objectives.

Accordingly, two (02) members of the Democratic Alliance voted against this matter.

A number of five (05) members of the African National Congress and

one (01) member of the Inkatha Freedom Party supported the matter.

Therefore,


9.1 That Council approves a number of thirty (30) programmes planned to be

implemented by the Mayoral Parlour Unit in the 2018/19 financial, as listed in the

report by the Head: Mayoral Parlour dated 2018-08-07, with the programmes to be

implemented at an estimated amount of R36 902 370.00 (Thirty Six Million Nine

Hundred and Two Thousand Three Hundred and Seventy Rand) in the 2018/19



financial year, it being recorded that budget provision has also been made for the

2019/20 and 2020/21 financial years for the same programmes.

9.2 That Council notes the programmes referred to in .1 above relate to strategic sessions

to provide a platform for eThekwini Municipality leadership to set goals and

prioritise resources to respond to the needs of the local communities; youth

programmes to respond to socio-economic demands; women programmes to ensure

effective empowerment to promote self-sufficiency; moral regeneration and

contribution into the local economy; protection of senior citizens and people with

disabilities; participation in intergovernmental engagements and other civic

engagements aimed at promoting eThekwini as a caring City.

9.3 That authority be granted to the Head: Mayoral Parlour to incur expenditure in the

estimated amount of R36 902 370.00 (Thirty Six Million Nine Hundred and Two

Thousand Three Hundred and Seventy Rand) to implement programmes in the

Mayoral Parlour Unit during the 2018/19 financial year.


Vote: Various; R36 902 370.000; FC 2019/08/09; 2018/19 budget provision

Some Councillors were not in support of the above-mentioned recommendations

of the Executive Committee on the contention that the costs for the events in

question were exorbitant with no breakdown being indicated and no benefits

being derived for the City. However, the majority of Councillors supported the

recommendations as such events promoted social cohesion and addressed the

needs of the vulnerable groups, including youth, women and people with

disabilities. With no consensus being reached the matter was put to the vote.


IND – 2, AIC – 2 and MOSA – 1) voted in favour and 54 Councillors (DA – 53

and ACDP – 1) voted against. 3 Councillors (MF – 1, APC - 1 and

AL JAMA-AH - 1) abstained from voting.



10. COLLECTIVE AGREEMENT ON SALARIES AND WAGES 2018-2021 (4/5/1/1)

(Page L4)

The Committee received update on the conclusion of the Salary and Wage Collective

Agreement at the South African Local Government Bargaining Council. The

Agreement stipulates a salary increase of 7% during the 2018/19 financial year for all

employees covered by the Agreement. It should be noted that the Agreement

comprises increases in other benefits such as home owners allowance and medical

aid. Parties have entered into a three-year agreement which covers 2018/19; 2019/20;

and 2020/21 financial years.

It was noted that budget provisions have been made for salary increases and that staff

would receive a back-pay since increment was due to be effected on 01 July 2018.



Accordingly,


10.1 That Council endorses a three-year Salary and Wage Collective Agreement

concluded with the South African Local Government Bargaining Council and

effective from 2018-07-01 to 2021-06-30, which Agreement makes provisions for

(i) Salary and related increases; (ii) Home Owners Allowance; and (iii) Medical Aid

for staff members covered by the Agreement, and the copy of the Agreement is

included in the Report by the City Manager dated 2018-08-27.

10.2 That Council notes that the Parties have agreed to conclude terms and conditions

of the Retirement Fund Restructuring process in a separate Collective Agreement

under the auspices of the applicable Bargaining Council Committee.

10.3 That Council notes that all employees covered by the Agreement shall receive an

increase of seven percent (7%) with effect from 01 July 2018, it being recorded that

back pay will be implemented in this regard.

10.4 That Council notes that employees earning a basic salary of R9 000.00

(Nine Thousand Rand) or less shall receive a further increase of zero comma five

percent (0,5%) with effect from 01 October 2018 based on the salaries

of the employees as at 30 September 2018.

10.5 That employees covered by the Salary and Wage Collective Agreement shall receive,

with effect from 01 July 2019, an increase based on the projected Consumer Price

Index (CPI) percentage for 2019, plus one comma five percent (1,5%), it being

recorded that in the event the CPI percentage for the period contemplated is less than

5% then the projected CPI will be deemed to be 5% and if it is above 10% will be

deemed to be 10%.

10.6 That employees covered by the Agreement shall receive, with effect from

01 July 2020, an increase based on the projected CPI percentage for 2020, plus one

comma twenty five percent (1,25%), it being recorded that in the event the CPI

percentage for the period contemplated is less than 5% then the projected CPI will be

deemed to be 5% and if it is above 10% will be deemed to be 10%.

10.7 That Council notes that Municipal Managers and employees directly accountable

to Municipal Managers in terms of Sections 54A and 56 of the Local Government:

Municipal Systems Act No. 32 of 2000, are excluded from the Salary and Wage

Collective Agreement.

ADOPTED.

_____________

(Councillor SA Kaunda presented the Third Report of the Executive

Committee).

_____________



THIRD REPORT OF THE EXECUTIVE COMMITTEE (Special Meeting held 2018-08-30)

PRESENT : Executive Committee Members MS Nkosi (Acting Chairperson), HU De Boer,

BA Fortein, NL Graham, SA Kaunda, MM Mthembu, ZR Sokhabase and there

being one vacancy.

ABSENT : Executive Committee Members ZRT Gumede (Mayor & Chairperson:

Municipal Business) and F Peer (Deputy Mayor: Municipal Business)

_____________

1. REPORT OF THE SECURITY AND EMERGENCY SERVICES COMMITTEE:

MEETING HELD ON 2018-08-15

(Page R1)

1.1 Request for Authority to Attend Urban Resilience Asia Pacific Conference,

07 - 08 November 2018 (4/3/3/2):

(Page 63: Security and Emergency Services Committee – Agenda 2018-08-15)

The Committee considered the report to grant authority for Councillors together with

officials from the Disaster Management Unit to attend the 2018 Urban Resilience

Asia Pacific (URAP) Conference to be held in the University of New South Wales,

Kensington Campus, Sydney, Australia from 7 to 8 November 2018. The Conference

will focus on how vulnerable neighbourhoods in fast growing Cities can become

more resilient to disasters and climate change. While urbanisation brings

unprecedented social and economic opportunity, it also increases threats of disasters

with greater concentrations of people living in dangerous places such as those living

in coastal areas, floods-prone land or marginalised land. Hence, better insight would

be obtained on how to respond to this aspect.

It is within this background that the Disaster Management Unit requests authority to

attend the aforementioned Conference with the objective of attaining a much wider

horizon to positively impact the City's attempt to find sustainable solutions for many

of the complex challenges faced in this regard. It is recommended that four (4)

Councillors from the Security and Emergency Services Committee be nominated to

attend the 2018 URAP Conference.

Members of the Democratic Alliance raised concerns regarding the number of

overseas trips taken by the Disaster Management Unit and were of the view that

detailed reports explaining benefits of each trip should be tabled to the Committee

following participation in such Conferences. On the basis of the lack of informative

reports being submitted to the Committee, Members of the Democratic Alliance (9)

voted against the nomination of four (4) Councillors to attend the Conference.

The majority of the Committee members (14) voted in support of the matter given

the importance of sharing best practices on disaster management principles for the

City of eThekwini to implement global standards in protecting its residents from

incidents of disaster.



At the Executive Committee level, two (02) Members of the Democratic Alliance

voted against this matter based on what they regard as inadequate disaster response

plans despite the number of knowledge-sharing engagements attended.

A number of four (04) Members of the African National Congress and one (01)

Member of the Inkatha Freedom Party supported participation by eThekwini

Municipality delegates. Reference was made to Disaster Management Strategies in

place as a result of global benchmarking and knowledge-sharing engagements.

An undertaking was made to make available a feedback report on URAP Conference

for the leadership to exercise effective oversight.

Accordingly, with the majority vote,


1.1.1 That authority be granted for eThekwini Municipality, through Disaster Management

Unit, to participate in the 2018 Urban Resilience Asia Pacific Conference scheduled

to take place in the University of New South Wales, Kensington Campus, Sydney,

Australia from 7 to 8 November 2018.

1.1.2 That subject to the approval of .1 above, the Office of the Speaker be mandated to

nominate four (4) Councillors to attend and participate in the Conference.


Conference, Seminars, Workshops & Events : R 5 000.00

Accommodation : R10 000.00

Air Transport : R34 000.00


of the Executive Committee on the basis that regular report backs for such visits

were not being received and the City was not deriving any demonstrable

benefits from such visits. Furthermore, the costs for the attendance of four

Councillors thereat was excessive and was against National Treasury Circular

regarding austerity measures. However, the majority of Councillors expressed

their support for the matter given the importance and benefits of sharing best

practices on disaster management principles and for the City of eThekwini to

implement global standards in protecting its residents from incidents of

disaster.

As no consensus was reached the matter was put to the vote. With

170 Councillors present, 117 Councillors (ANC – 96, IFP – 9, EFF – 4, IND – 2,

AIC – 2, ACDP – 1, MF – 1, MOSA – 1 and AL JAMA-AH - 1) voted in favour

and 52 DA Councillors voted against. 1 APC Councillor abstained from voting.





2. SUPPLEMENTARY REPORT: IRREGULAR EXPENDITURE 2017/18

FINANCIAL YEAR (9/1/3)

(Page 5)

The Committee noted the year-end process and the need to balance the financial

statements, hence, the request to condone irregular expenditure incurred. Assurance

has been given that due process will be followed by structures responsible

for maintaining good governance within the Municipality, including Bid

Adjudication Committee; City Integrity and Investigations Unit; Audit & Risk

Committee; Municipal Public Accounts Committee; amongst others. This is meant

to implement consequent management in the event of findings relating to, inter alia,

fraud or fruitless and wasteful expenditure.

Two (02) Members of the Democratic Alliance and one (01) Member of the Inkatha

Freedom Party voted against the recommendation to condone irregular expenditure.

The majority four (04) Members of the African National Congress supported

the matter given the statutory processes being followed to subsequently implement

consequent management where applicable and that a comprehensive process has

been followed to give analysis of the extent of irregularity.

Accordingly,


2.1 That Council approves the condonement of irregular expenditure totaling

R182 617 180.00 (One Hundred and Eighty Two Million Six Hundred and Seventeen

Thousand One Hundred and Eighty Rand) for the 2017/2018 financial year, as per

the items recorded in detail in Annexure A of the report by the City Manager

dated 2018-08-23.

2.2 That irregular expenditure amounting to R96 866 728.00 (Ninety Six Million Eight

Hundred and Sixty Six Thousand Seven Hundred and Twenty Eight Rand) quantified

by the City Integrity and Investigations Unit for the 2017/2018 financial year

as reflected in Annexure B of the report by the City Manager dated 2018-08-23,

be noted.

2.3 That Council approves the condonement of irregular expenditure in the amount

of R59 801 380.00 (Fifty Nine Million Eight Hundred and One Thousand Three

Hundred and Eighty Rand) for the 2017/2018 financial year; and R385 568 362.00

(Three Hundred and Eighty Five Million Five Hundred and Sixty Eight Thousand

Three Hundred and Sixty Two Rand) for the 2016/2017 financial year that relates

to cases finalised by the City Integrity and Investigations Unit, as reflected

in Annexure B of the report by the City Manager dated 2018-08-23.

2.4 That Council notes expenditure amounting to R73 115 639.00 (Seventy Three

Million One Hundred and Fifteen Thousand Six Hundred and Thirty Nine Rand)

as a result of Out-of Court settlement for the 2017/2018 financial year.

2.5 That Council notes that goods and services have been received and value for money

has been certified by the respective Heads of Departments.



2.6 That Council notes that the regularization of expenditure referred to herein relates

only to the contravention of Supply Chain Management Policy issues and that

depending on the outcome of further investigations by the Speaker; City Manager;

City Integrity & Investigations Unit; Line Departments; and Municipal Public

Accounts Committee, further action may arise, including disciplinary action,

recovery of monies and criminal charges being instituted where applicable.

2.7 That subject to the approval of Council, a report be submitted to the Department of

Co-operative Governance and Traditional Affairs, National Treasury and the Office

of the Auditor-General in line with the requirements of Section 32 and Section 170

of the Municipal Finance Management Act No.56 of 2003.


of the Executive Committee advising that the incurring of irregular expenditure

was not good governance and therefore could not be condoned. However, the

majority of Councillors expressed their support for the matter as statutory

processes would be followed to subsequently implement consequent

management where applicable in the event of findings relating to, inter alia,

fraud or fruitless and wasteful expenditure.

The matter was thereafter put to the vote. With 171 Councillors present, 100

Councillors (ANC – 97, IND – 2 and MOSA – 1) voted in favour and 66

Councillors (DA – 53, IFP – 9, ACDP – 1, MF – 1, APC – 1 and AL JAMA-AH –

1) voted against. 5 Councillors (EFF – 3 and AIC – 2) abstained from voting.



3. APPROVAL FOR EXTENSION OF MENTORS FOR EPWP VUK’uPHILE

PROGRAMME (4/3/5/2)

(Page 10)

In order to enable Learners to complete the programme competencies to exit the

programme fully qualified to bid and execute labour-intensive projects, a need exists

to extend the SEDA Construction Incubator Contract for a further eight (08) months.

Given the significance of empowering emerging contractors,


3.1 That authority be granted for the City Manager to sign an extension of the

Memorandum of Agreement (MOA) between eThekwini Municipality and SEDA for

the SEDA Construction Incubators (SCI) for the existing Vuk’uPhile II Learnership

Programme for an additional eight (08) months commencing from 01 August 2018 to

30 March 2019 to enable Learners to complete the programme competencies to exit

the programme fully qualified to bid and execute labour-intensive projects.

3.2 That subject to the approval of .1 above, authority be granted to the Head: Mayoral

Parlour to transfer a sum of R2 736 873.00 (Two Million Seven Hundred and Thirty

Six Thousand Eight Hundred and Seventy Three Rand) to SEDA Construction

Incubator, in terms of Section 67 of the Municipal Finance Management Act 56 of

2003, for the implementation of the mentorship programme.




Programme Activity 2018/2019 Estimate

(Additional Funding)

Total Funding

EPWP Vuk’uPhile Provision of Business Mentorship

support to Vuk’uPhile Phase II

contractors (25 contractors)

R784 389.00 R784 389.00

Provision of Technical Mentorship


contractors

R1 952 484.00 R1 952 484.00

TOTAL R2 736 873.00 R2 736 873.00

Programme Vote Number FC Number

EPWP Vuk’uPhile 2018/19 30730.10970.12120.0000.MRC01.0010 2019/49/02

ADOPTED.

4. REQUEST FOR APPROVAL IN TERMS OF SECTION 116(3) OF THE

MUNICIPAL FINANCE MANAGEMENT ACT TO EXTEND PERIOD

OF PERFORMANCE FOR CONTRACT NO PSC 2015/006 FOR

PROFESSIONAL SERVICES CONTRACT FOR MKHIZWANA AND OGUNJINI

WATER TREATMENT WORKS 1 M1/d TREATMENT CAPACITY INCREASE

IN WARDS 8 AND 59 (23/1/11/2/1/1)

(Page 14)


4.1 That, in terms of Section 116(3) of the Municipal Finance Management Act No. 56

of 2003, authority be granted for the extension of the period of performance for

Contract No. PSC 2015/006: professional services under Mkhizwana and Ogunjini

Water Treatment Works 1 M1/d Treatment Capacity Increase, for an additional

period of twenty two (22) months from 30 January 2019 to 30 November 2020, due

to the following reasons:

4.1.1 The vandalisation of Mkhizwana Water Treatment Works in September 2017 and

changes to the scope of works for Ogunjini Water Treatment Works as well as

stringent Water Use Licence requirements for both treatment works has caused

significant delays in completing the project.

4.1.2 The delay to prepare a new Professional Service Provider document, advertise,

tender, review and award would not take less than six (06) months.

4.1.3 The delay to effect a comprehensive handover from one Consultant to another would

be in order of an additional six (06) months. The process would require a detailed

review and acceptance of the design and drawings to facilitate the transfer of liability

from one Professional Indemnity Policy to another.

4.1.4 Significant additional costs will be incurred for another Consultant to check and

accept the original design before taking liability.



4.1.5 The additional time delay and costs associated with the above items would be

significant and no additional value for money would be obtained.

4.2 That, subject to the adoption of .1 above, the corresponding completion date of the

professional services appointment be extended from 2019-01-30 to 2020-11-30.

4.3 That subject to the adoption of .1 and .2 above, public notices be advertised in the

relevant print media requesting comments and/or objections to the proposed

amendments to Professional Services Contract No. PSC 2015/006 for Mkhizwana

and Ogunjini Water Treatment Works 1 M1/d Treatment Capacity Increase, as per

the requirements in terms of Section 116 (3) of the Municipal Finance

Management Act No. 56 of 2003.

Vote No.: X6306 - Mkhizwana

X6307 - Ogunjini

R35 700 000.00 (Provided in the 2018/19 Capital Budget)

R24 600 000.00 (Provided in the 2019/20 Forward Capital Budget Estimates)

R 9 600 000.00 (To be provided in the 2020/21 Forward Capital Budget

Estimates)

R 2 300 000.00 (To be provided in the 2021/22 Forward Capital Budget

Estimates)

FC No.: 364/C128

ADOPTED.

5. EXTENSION OF MEMORANDUM OF AGREEMENT FOR EXTENDED

PUBLIC WORKS PROGRAMME (4/3/5/2)

(Page 28)

A need exists to extend a Memorandum of Agreement between eThekwini

Municipality and Department of Public Works for a further period of six (06)

months. This is to enable Learners to complete programme competencies and exit the

programme fully qualified to bid and execute labour-intensive projects.

In view of the foregoing,


5.1 That authority be granted for the City Manager to sign an extension of the

Memorandum of Agreement (MOA) between eThekwini Municipality and

Department of Public Works for the existing Vuk’uPhile II Leanership Programme

for an additional six (06) months commencing from 01 October 2018 to 30 March

2019 to enable Leaners to complete programme competencies and exit the

programme fully qualified to bid and execute labour-intensive projects.

5.2 That subject to the approval of .1 above, authority be granted to the Head: Mayoral

Parlour to transfer a sum of R2 736 873.00 (Two Million Seven Hundred and Thirty

Six Thousand Eight Hundred and Seventy Three Rand) to Department of Public

Works, in terms of Section 67 of the Municipal Finance Management Act 56 of

2003, for the implementation of the Expanded Public Works Programme.




Programme Activity 2018/2019 Estimate

(Additional Funding)

Total Funding

EPWP Vuk’uPhile Provision of Business Mentorship


contractors (25 contractors)

R784 389.00 R784 389.00

Provision of Technical Mentorship


contractors

R1 952 484.00 R1 952 484.00

TOTAL R2 736 873.00 R2 736 873.00

Programme Vote Number FC Number

EPWP Vuk’uPhile 2018/19 30730.10970.12120.0000.MRC01.0010 2019/49/02

ADOPTED.

6. BUDGET PREPARATION PROCESS 2019/2020 – 2021/2022: SCHEDULE OF

KEY DEADLINES (2/10/1/1/9)

(Page 121)


6.1 That Council notes the schedule of key deadlines in respect of budget preparation

and associated processes including the Integrated Development Plan, Service

Delivery and Budget Implementation Plan, Performance Management and the

Annual Report processes for the 2019/20 - 2021/22 financial years, submitted in

compliance with the requirements of Section 21 of the Municipal Finance

Management Act No. 56 of 2003 and clearly outlined in the report by the

City Manager dated 2018-08-24.

6.2 That Council notes the deadlines incorporate specific processes including

preparation, tabling and approval of the Annual Budget, the annual review, tabling

and adoption of any amendments to the IDP and budget related policies and any

consultative engagements forming part of the processes.

6.3 That Council notes that progress reports will be submitted to the respective

Committees during the course of the budget process.

ADOPTED.

7. BUDGET STATEMENT REPORT FOR THE MONTH ENDED 31 JULY 2018

(7/1/4)

(Page 147)


That the Budget Statement Report for the month ended 2018-07-31, submitted by the

City Manager as per his report dated 2018-08-24, in compliance with Section 71 of

the Municipal Finance Management Act No. 56 of 2003 and Section 28 of the

Municipal Budget and Reporting Regulations in terms of Government Notice 32141

dated 17 April 2009, relating to the “Local Government: Municipal Finance

Management Act 2003, be noted.

NOTED.



8. ETHEKWINI MUNICIPALITY ADJUSTMENT BUDGET 2017/2018 (7/1/2/2)

(Page 352)

Members of the Democratic Alliance (02) voted against the recommendation to

approve the adjustment budget citing huge expenditure incurred on events;

Metro Police overtime; EPWP Programme; marketing and advertising and protection

services. A member of Inkatha Freedom Party also voted against this approval and

cited a number of adjustment approvals submitted whereas the Municipal Finance

Management Act permits one report in this regard.

The majority African National Congress (04) voted in support of the matter given the

explanation that adjustment to the budget is effected when the Municipality has

received additional revenue and to authorize unforeseen and unavoidable

expenditure. Further, close-out reports have been previously reported for some of the

items where reasons for the expenditure incurred were duly noted.

Accordingly,


8.1 That in accordance with the provisions of Section 28 of the Municipal Finance

Management Act No.56 of 2003 and in compliance with the Municipal Budget and

Reporting Regulations, the additional adjustments to the 2017/2018 Budget for

eThekwini Municipality, as reflected in the report of the City Manager dated

2018-08-24, be approved, and the approval of the Capital Adjustment Budget

constitute project approval of the specific projects.

8.2 That the Adjustment Budgets of the Municipal Entities as approved by the respective

Board of Directors and reflected in the report of the City Manager dated 2018-08-24,

be approved, in compliance with Section 87 of the Municipal Finance Management

Act No. 56 of 2003.

8.3 That Council notes that the additional Adjustment Budget is required based on the

following reasons:

(a) Adjustments in respect of Grant Funding allocations to the Municipality;

(b) Reallocation of funding sources with respect to capital projects due

to reduced borrowings;

(c) Re-prioritisation of projects mainly in the Engineering; eThekwini

Transport Authority; Office of the City Manager; Water & Sanitation; and

Community and Emergency Services Units.


of the Executive Committee advising that certain categories such as the

EPWP Programme; marketing and advertising and catering had been

drastically overspent and had to be adjusted. Further the issue of overtime for

Metro Police was concerning. However, the majority of the Councillors noted

that adjustments to the budget were effected when the Municipality had

received additional revenue and there was a need to authorize unforeseen and

unavoidable expenditure.



The matter was thereafter put to the vote. With 171 Councillors present,

103 Councillors (ANC – 96, IND – 2 and AIC – 2, MOSA – 1, APC – 1 and

AL JAMA-AH – 1) voted in favour and 63 Councillors (DA – 53, IFP – 9 and

ACDP – 1) voted against. 5 Councillors (EFF – 4 and MF – 1) abstained

from voting.



9. COMPENSATION FOR DWELLING OWNERS AFFECTED BY

CONSTRUCTION OF ETAFULENI / ANGOLA ROAD BUS ROUTE IN WARDS

53 AND 56 (26/3/2/3)

(Page 388)

The Committee acknowledged a process being followed to assess the need to

compensate owners affected as a result of Etafuleni road construction for bus route

purpose. Confirmation was given that a comprehensive analysis is being undertaken,

including property valuation in line with the Municipality’s Property Valuation Roll

and undertaking geotechnical assessment to compensate based on legitimate reasons.


9.1 That authority be granted to the Head: Real Estate to make offers and payments of

70% of the Municipality’s assessed compensation, where applicable, plus VAT if

applicable, to owners affected by Etafuleni road construction for bus route, as per the

list of owners affected reflected in Annexure B of the report of the Head:

Engineering dated 2018-08-27 and subject to the dwelling owners affected producing

Identity Documents.

9.2 That subject to adoption of .1 above, authority be granted to the Head: Real Estate

to conclude the relevant Compensation Agreements.

9.3 That subject to adoption of .2 above, the balance of the 30% assessed compensation

be paid, where applicable, once the Municipality has been provided with vacant

occupation of the dwelling affected to confirm that owner has already relocated.

Financial implications

Vote: 49500.45110.51080.P10154.R003; R6 785 017.85 (Provided 2018/19)

FC: 2019/49/C065

ADOPTED.



10. WS. 2018/001: REQUEST FOR APPROVAL IN TERMS OF SECTION 116(3)

OF THE MUNICIPAL FINANCE MANAGEMENT ACT TO EXTEND PERIOD

OF PERFORMANCE FOR CONTRACT NO. PSC 2015/004: PROVISION

OF CONSULTING SERVICES FOR DESIGN AND CONSTRUCTION

SUPERVISION OF NORTH PARK AREA SEWER RETICULATION PROJECT

(WARD 63) (23/1/11/1/1/2)

(Page 397)


10.1 That, in terms of Section 116(3) of the Municipal Finance Management Act No. 56

of 2003, authority be granted for the extension of the period of performance under

Contract No. PSC 2015/004 for Provision of Consulting Services for Design and

Construction Supervision of North Park Area Sewer Reticulation Project, from thirty

six (36) months to seventy two (72) months period, due to the following reasons:

10.1.1 The project has been delayed significantly due to stringent environmental

compliance requirements set out by Ezemvelo KZN Wildlife which include:

(i) That a formal application to construct sewer pipeline within the North Park

Protected Area be made for approval by Ezemvelo KZN Wildlife Board,

which approval process can take up to ten (10) months.

(ii) That a Memorandum of Agreement be entered into between eThekwini

Municipality and Ezemvelo KZN Wildlife to confirm and stipulate

requirements of both parties and protocol to be followed when dealing with

sensitive areas.

(iii) That Standard Sewer Maintenance Management Programme be compiled

and implemented for Sensitive Areas throughout eThekwini.

10.2 That subject to the adoption of .1 above, public notice be advertised in the relevant

print media requesting comments and/or objections to the proposed amendments

to Contract No. PSC 2015/004, as per the requirements in terms of Section 116 (3)

of the Municipal Finance Management Act No. 56 of 2003.

Vote No.: Y7083

R579 000.00 (Provided in the 2018/19 Capital Budget)

R577 000.00 (Provided in the 2019/20 Draft Capital Budget)

R401 894.52 (Provided in the 2020/21 Draft Capital Budget)

R200 000.00 (To be provided in the 2021/22 Draft Capital Budget)

FC No.: 365/C1101

ADOPTED.



2017/2018:

Annual

Report:

MPAC

July 31

2018

The Annual Report of the Municipal Public Accounts Committee (MPAC)

records the Committee’s activities for the 2017/2018 financial year

Municipal Public

Accounts Committee

(MPAC)



TABLE OF CONTENTS

1. CHAIRPERSON’S STATEMENT 1467

2. MEMBERSHIP OF THE COMMITTEE 1469

3. ROLE OF THE COMMITTEE 1469

4. REVIEW OF THE IMPLEMENTATION OF THE 2016/2017 RECOMMENDATIONS 1470

5. REPORTING ARRANGEMENTS 1470

6. MUNICIPAL PUBLIC ACCOUNTS COMMITTEE COMMENTS,

FINDINGS AND RECOMMENDATIONS FOR 2017/2018 1471

7. CONFERENCES, WORKSHOPS AND TRAINING 1471

8. REVIEW OF EFFECTIVENESS 1472

9. ANNEXURES 1473



1. CHAIRPERSON’S STATEMENT

It is my pleasure to present to you the Annual Report of the Municipal Public Accounts Committee

which records the Committee’s activities during the 2017/2018 financial year.

The major areas that featured in the Committee’s work programme were the Auditor General’s

Report, the IDP, Budget and Municipal Performance, Annual Report Process, In-Year Monitoring

and the Audit Committee Report.

There were also other matters which the Committee prioritised in 2017/2018 which are reflected in

Annexure A, attached hereto.

It is disappointing to note that the Committee encountered a number of challenges during our

interrogation of this year’s Annual Report. Our work and role was greatly undermined by some

officials who failed to appear before the Committee despite numerous requests to do so. Officials

have further failed to submit reports and in some instances, the quality of the said reports was

questionable due to incomplete and/or incorrect information provided. However, some Units

cooperated fully and enabled Committee to exercise its oversight role.

The Committee still lacks support staff such as researchers which is crucial if it is to be effective in

the execution of its oversight responsibilities.

I believe that for the Committee to be more effective, study tours and further training need to be

organised for Committee Members and the support staff.

As we are striving for a clean audit in 2019, the relationship between the Committee and the

Chairpersons of Support Committees is crucial to guard against duplications and

unnecessary conflicts.

Besides the usual reports as set down in the Committee’s Terms of Reference, other issues likely to

be prominent in the work programme of the Municipal Public Accounts Committee for 2018/2019

are the monitoring of the implementation of Committee’s recommendations to Council; more

vigorous oversight over the implementation of the action plan in response to the audit findings,

supply chain management oversight, monitoring of the performance of plan owners as well as

oversight in respect of financial management.



Effective participation in the work of the Municipal Public Accounts Committee makes demands on

the time and energies of members – not just in attending the 21 meetings which took place in

2017/2018 but equally important is the considerable volume of reading and preparation for

meetings. Members of the Committee are part time Councillors, some of whom are also Ward

Councillors, and I am very appreciative of the professionalism and support provided by my

colleagues.

May I place on record my appreciation of the support provided by the management and staff of

eThekwini Municipality. My particular thanks are extended to the Head: City Hall Administration,

the Secretariat Department, the City Integrity and Investigations Unit and to Deputy Head:

Litigation whose continued support has made an invaluable contribution to the work of

the Committee.

Thabane Luthuli

Chairperson: Municipal Public Accounts Committee

eThekwini Municipality



2. MEMBERSHIP OF THE MUNICIPAL PUBLIC ACOUNTS COMMITTEE

Members of the Municipal Public Accounts Committee (MPAC) are non-Executive Members of

Council. The Mayor, Members of the Executive Committee, Speaker and the Chief Whip may not

serve on MPAC. Councillors serving on MPAC do not serve on other Committees of Council to

minimise possible conflicts of interest.

The Committee comprises of 11 members appointed by full Council on a proportional

representation basis and one Inkosi on an ex-officio basis.

During 2017/2018, the members of the Committee were:-

NO. SURNAME NAMES DESIGNATION PARTY

1. Luthuli Thabane Jacques Chairperson ANC

2. Luthuli Pearl Deputy Chairperson ANC

3. Beetge Andre Member DA

4. Collins Terence Peter Member DA

5. Dlamini Conrad Bongimusa Member ANC

6. Iyir Noorharpersadh Birtharthee Member IFP

7. Mnguni Lungile Claire Member EFF

8. Mnguni Ntombizodwa Enid Member ANC

9. Mthethwa Thabani-Mbongiseni Member DA

10. Shezi Muziwenhlanhla Conelius Member ANC

11. Sibiya Ntokozo Member ANC

12 Shozi Emmanuel Bhekuzalo Ex-Officio Amakhosi

3. ROLE OF THE COMMITTEE

The primary function of the Municipal Public Accounts Committee is to help Council to hold the

Administration, Municipal Agencies and Entities accountable for their management of municipal

funds and assets in order to ensure the efficient and effective utilisation of council resources.

This includes the Council’s Support Committees, Executive Committee as well as Councillors.

MPAC plays a role in increasing public and Council awareness of the financial and performance

issues of the Municipality and its Entities.

The Committee activities include a mix of self-initiated enquiries and referred enquiries.

The Committee receives submissions and conducts briefings and hearings on such matters as

required.

Summary of Committee Activities Activity Number

Reports Tabled 192

Deliberative Meetings 21

Hearings 4

Briefings 1

Witnesses Appearing Nil



4. REVIEW OF THE IMPLEMENTATION OF THE 2016/2017 RECOMMENDATIONS

The Municipal Public Accounts Committee highlights in its Annual Report recommendations to the

Council its examination of the management of municipal funds and assets throughout the year. The

purpose of these recommendations is to draw attention to issues which in the opinion of the

Municipal Public Accounts Committee warrant follow up action. The Committee attaches

considerable importance to having them actioned.

The Committee places on record its disappointment in the delay and failure in some instances to

receive responses to the recommendations made to Council in the 2016/2017 financial year. These

include issues such as:- Service Provider Performance, Revenue Management System, Non-

compliance with Laws and Regulations resulting in Irregular Expenditure; Consequence

Management and Material Water Losses.

Therefore, to enable systematic implementation of its recommendations, Committee will be

requesting that the City Manager institute arrangements for tracking follow up actions and

preparing periodic progress reports on their implementation. The Committee believes that this will

enhance the effectiveness of its work by both minimising the need for unnecessary repetition of

recommendations and by providing a framework for dialogue with management on issues arising

from the implementation process.

The process of constructive engagement can also be enhanced by the timeous circulation of detailed

responses to the recommendations made by the Committee. In future, these responses will be

appended to the Committee’s Annual Report.

5. REPORTING ARRANGEMENTS

The Municipal Public Accounts Committee reports directly to Council. In addition to reporting on

issues which require the attention of the Council on an adhoc basis, MPAC will be reporting to

Council on a quarterly basis as well as providing an Annual Report to Council at financial year end.



6. MUNICIPAL PUBLIC ACCOUNTS COMMITTEE COMMENTS, FINDINGS AND

RECOMMENDATIONS FOR 2017/2018

The Municipal Public Accounts Committee, having deliberated on a number of issues, made

recommendations to Council in relation to the following matters:-

Irregular expenditure

Consequence Management

Bad Debt Provision

Material Water Losses

Financial Management

7. CONFERENCES, WORKSHOPS AND TRAINING

The Municipal Public Accounts Committee recognises that training and capacity building

interventions assist its members enhance the quality and effectiveness of their performance.

It is therefore imperative that members are given the opportunity to receive ongoing training to keep

abreast with the requisite skills and knowledge to undertake the Committee’s oversight role.

The effectiveness and success with which the Committee performs its functions is dependent on its

members having the necessary skills and knowledge.

In 2017/2018 the Committee has attended the following conferences/workshops/training/study

tours:-

DATE CONFERENCES/WORKSHOPS/TRAINING/BENCHMARKING

01 November 2016 Training:

Supply Chain Management

Consequence Management Guidelines

Disciplinary Procedure and Code of Collective Agreement

10 November 2016 Training:

Municipal Finance Management Act (MFMA)

Service Delivery and Budget Implementation Plan (SDBIP) and

Performance Monitoring And Evaluation

19 January 2017 Training:

Budgets and Financial Management

Asset Registers and Reading Of Financial Statements

mSCOA

07 February 2017 COGTA Training:

Roles and Responsibilities of MPAC

Unauthorised, Irregular, Fruitless and Wasteful Expenditure

Analysis of Annual Report

Preparation of the Oversight Report



DATE CONFERENCES/WORKSHOPS/TRAINING/BENCHMARKING

20-21 June 2017 SALGA Training: MPAC

22-23 June 2017 Benchmarking: Study Tour to Ekurhuleni Municipality

23-24 July 2017 Benchmarking: Study Tour to Buffalo City Municipality

9-11 October 2017 2017 CIGFARO Annual Conference in Cape Town

23 June 2018 Councillor Accelerated Leadership Programme

8. REVIEW OF EFFECTIVENESS

The Committee’s effectiveness is hampered by the lack of resources as explained above as well as

tardy responsiveness from some officials, including sometimes, that of the City Manager whose

strategic thinking is vital in order for the Committee to prioritise its work.

However, the Committee has built a reputation for its insistence on proper governance within the

municipality and its aim to achieve a clean audit report from the Auditor General as soon as

possible, preferably by the 2019 financial year end. This has led to an extensive review of the

Supply Chain Management policies and recommendations for new or reviewed policies in other

areas of municipal business.

Progress is sometimes frustratingly slow, but it is the determination of the Committee that its

recommendations to Council are thoroughly researched, Departments properly interrogated and the

results targeted towards a City proud of its clean administration. There is still some way to go, but

the Committee is convinced it will achieve this aim.



Annexure A

ITEMS CONSIDERED BY THE MUNICIPAL PUBLIC ACCOUNTS COMMITTEE IN

THE 2017/2018 FINANCIAL YEAR

NO. ITEM DATE

CONSIDERED

STATUS

1. Revenue Management System 2017-07-26

Unresolved, due to challenges experienced by the

Water and Sanitation Unit.

2. Major Amendments category of monthly

report on awards made by the City

2017-07-26 Unresolved, awaiting additional information in

respect of major amendments category Supply Chain

Management.

3. Procurement of specialised vehicles:

Award of contract CF/66/16 to Denel

SOC Ltd

2017-07-26 Resolved on the basis that future reports contain

detailed and updated information to enable matters to

be dealt with expeditiously.

4. Blacklisting Committee Report 2017-07-26 Report from the Blacklisting Committee provided by

the City Manager to the meeting of 2017-07-17.

5. Settlement agreement in respect of

Tambo Plaza Housing Project: Namandla

Civils cc/eThekwini Municipality

2017-08-17 Unresolved, awaiting feedback from the City

Manager as matter was subjudice.

6. Illegal occupation of municipal land 2017-08-17 Report provided to Committee on 2017-05-23 and

awaiting further progress report from Head: Real

Estate in respect of the matter.

7. Procurement of Metro Police dogs 2017-08-17 Unresolved, awaiting results of investigation

undertaken by CIIU.

8. MPAC terms of reference 2017-08-17 Amendments made to TOR following benchmarking

visits to Ekurhuleni and Buffalo City and induction

by SALGA. Resolved and submitted to Legal and

Compliance Services for inclusion in the

consolidated terms of reference of the Municipality

9. Bad debt write off 2016/17 2017-08-17 Resolved on the basis of bad debts being monitored

on an ongoing basis by the Revenue Management

Unit.

10. Lack of formal policy for management of

road infrastructure

2017-08-17 In progress, a progress report dated 2017-08-08 on

the formulation of a policy was provided by Head:

Engineering to MPAC.

11. Status update of works at 75

Langalibalele Dube Street

2017-08-17 In progress. Awaiting consolidated report on

corrective measures to be undertaken by the DCM:

Human Settlements, Engineering and ETA.

12. Section 36: Queries in relation to Refuse

collection and street sweeping services

for townships in eThekwini areas.

2017-08-17 Resolved. Report by the Head: Strategic Projects

dated 2018-02-03 provided to Committee on 2018-

02-14.

13 Report on current status of 1C-18381:

Provision of Security services for 36

month period

2017-07-11 Unresolved as matter is subjudice. Awaiting progress

report from City Manager

14. Municipal Services & Living Conditions

Survey 2016/2017

2017-07-11 Resolved on the basis that concerns raised by

Committee would be considered in respect of the

sample size used for the survey.

15. Non-Revenue water reduction:

Interventions as at June 2017

2017-07-11 In progress, further NRW interventions put in place

in December 2017.



NO. ITEM DATE

CONSIDERED

STATUS

16. Infill sites in Newlands (East and West),

Phoenix, Chatsworth and Kwamashu:

Settlement agreement between

Municipality and Woodglaze Trading

2017-10-18 In progress. The Head: Legal and Compliance

Services to keep Committee abreast with regard to

further legal processes being undertaken and the

Head: CIIU to undertake a further forensic

investigation into construction contracts awarded to

Woodglaze and cover queries raised by

Committee as well.

17. Section 116(3): Ambiguity in relation to

how many times a contract could be

amended or extended

2017-11-29 Unresolved. Awaiting feedback from Legal and

Compliance Services

18. Progress Report on expenditure in

relation to implementation of top 150

projects

2018-02-06 As per Finance, progress report provided in Section

71 report to Council.

19. Status Report of Catalytic Projects 2018-02-08 Unresolved, awaiting detailed presentation by the

DCM: Economic Development and Planning.

20. Ward Committees: Consequences for

Members who default on their payment

of municipal accounts

2018-02-12 In progress. Committee requested that defaulting on

payment for municipal services be incorporated into

the Terms of Reference of Ward Committees as one

of the reasons for termination of membership.

Awaiting feedback.

21. Attendance of officials at MPAC

meetings

2018-02-19 Reported to Council in Oversight Report dated 2018-

03-28.

22. Provision of eThekwini Municipality’s

2016/17 Final Management Report to

MPAC

2018-03-08 Committee was unable to complete its interrogation

of the findings by the AG timeously as it was not

provided with the Management Report until the end

of March 2018.

23. Non achievement of key performance

indicators in Plan 2 and Plan 3

2018-03-08 Resolved. Committee interrogated Plan Owners on

the non-achievement of KPIs in Plan 2 and Plan 3.

Assurance was given that plans were in place to

address any targets which were not being achieved

timeously.

24. Review of external service provider

performance monitoring by Units:

Quarter 2, 2017/18

2018-03-13 Resolved. Committee interrogated Heads of Units in

respect of the matter on 2018-06-05 and obtained

feedback in respect of monitoring of performance of

service providers. A quarterly report will be

submitted to MPAC.

25. Intimidation of Council officials by

Business Forums

2018-03-15 Reported to Council in Oversight Report dated 2018-

03-28.

26. Action plan in response to AG’s findings

2016/17: Implementation of Action Plan

2018-03-15 Unresolved as the AG was unable to provide insight

into the extent of Management’s implementation of

the Action Plan

27. Consequence Management 2018-03-24 Unresolved. Awaiting feedback from the City

Manager in respect of CIIU being appropriately

capacitated to undertake investigations to effect

consequence management and ensure that cases are

timeously finalised. CM to ensure effective record

keeping by Units to enable provision of required

evidence at disciplinary hearings.

28. Audit issues and action taken for same to

be reported to the Provincial Legislature

2018-03-24 In progress. Awaiting feedback from Head:

Performance Monitoring and Evaluation.

29 ICT issues related to the 2016/2017

AG’s report: City wide centralisation of

the IT function

2018-05-08 Unresolved. Awaiting information in order to report

to Council.



NO. ITEM DATE

CONSIDERED

STATUS

30. 2016/2017 Audit Report: Status of Key

Controls: Financial Management:

Inadequate monitoring over recording

and disclosure of commitments

2018-05-10 Unresolved. Awaiting report in writing from Head:

Expenditure.

31. 2016/2017 Audit Report: Status of Key

Controls: Compliance monitoring:

Invoices not paid within 30 days

2018-05-10 Unresolved. Awaiting report in writing from Head:

Expenditure.

32. 2016/2017 Audit Report: Significant

emphasis of matters: Uncertainty relating

to future outcome of litigation

2018-05-23 In progress. Awaiting feedback from Internal Audit

regarding the categorisation of disputes and damages

lodged against the City per line department in order

for intervention strategies to be developed.

33. Status Report: Outcome of

audit/review/investigations undertaken in

respect of Revenue Management System

2018-05-23 In progress. Awaiting feedback from the City

Manager in relation to the investigations undertaken

into RMS.

35. Durban International Convention Centre

: Report in respect of conflict of interest

of 2 DICC board members

2018-06-11 In progress. Awaiting report from the CEO: Durban

International Convention Centre.

36. Centralisation of the City’s Call Centres:

Challenges experienced by Electricity

Unit

2018-06-11 In progress. Awaiting feedback from the DCM:

Governance and IGR in relation to the matter.

37. Presentation on Non-Revenue water,

including losses attributed to housing

rental stock and hostels

2018-06-11 Report received. To be considered at the meeting of

MPAC on 2018-08-07.



Annexure B

2016/2017 OVERSIGHT REPORT

1. REVIEW OF EXTERNAL SERVICE PROVIDER PERFORMANCE

MONITORING BY UNITS WITHIN THE MUNICIPALITY

Of the 385 contracts that were due for assessment (those valued at R10 Million and

above), only 315 (82%) were assessed as required by legislation. Some of the

assessments that were not fully compliant in that they were not signed by both the

reporting officer and the external service provider. The quality of some was

questionable. Assessment outcomes did not match the achievement of key

performance indicators; i.e. performance was said to be acceptable despite service

providers failing to achieve key performance indicators. In other instances,

incomplete forms were submitted; with no comment being provided on the

achievement of key performance indicators. The cooperation of all Unit Heads is

required to ensure full compliance and meaningful assessment of the performance of

service providers; which will result in improved service delivery.

In our engagement with management; we were informed that performance was

monitored by Units with warning letters being issued in instances of poor

performance. Should the performance not improve termination and blacklisting was

then considered.

We are concerned that the majority of the companies which are blacklisted are black-

owned companies which defeats the Municipality’s goal of Radical Economic

Transformation.

Of further concern is the issue of poor performance of service providers across the

municipality; many of whom are awarded numerous contracts. The issue of Business

Forums should be viewed in a serious light as we are informed it also contributes to

poor performance.

Accordingly,


1.1 That the manner in which awards are made to service providers be reviewed as it

appeared that the multiple award of contracts to service providers impacted

negatively on their cash flow and ability to perform effectively; which eventually

resulted in termination of contracts and blacklisting of the said companies.

1.2 That capacity building and support programmes be developed for emerging

contractors that are awarded contracts by the municipality to enable them to perform

effectively and deliver as expected.

1.3 That the City Manager ensure the effective implementation of the Preferential

Procurement Regulations of 2017 as this will go a long way in addressing the

concerns of the various business forums and interest groups.

ADOPTED.



2. ANNUAL REPORT PUBLIC PARTICIPATION PROCESS

Whilst we value and appreciate the level of public participation on the Annual

Report, it is our view that there is great room for improvement. Provision was made

for the engagement of communities through one central hearing; which was

unfortunately poorly attended. We believe that if the hearings were taken closer to

communities more meaningful engagement of communities would be realised.

It is also our view that the Annual Report Public Participation Process should be led

by the Municipal Public Accounts Committee; with Committee being privy to all

arrangements in this regard.

Accordingly,


That the required financial and human resources be provided to the Municipal Public

Accounts Committee to enable the engagement of communities on the Annual

Report at a ward level in future.

ADOPTED.

3. SUPPLY CHAIN MANAGEMENT

Following numerous engagements with Units, we have come to the conclusion that

the municipality’s SCM system has weaknesses and deficiencies which are

negatively impacting the ability of Units to effectively deliver services to

communities.

Some of the weaknesses are:

● in the crafting of tender specifications and evaluation of tenders which

results in awards being challenged;

● the length of time taken to conclude a tender process;

● insufficient vetting of service providers (particularly emerging contractors)

to determine whether they have the capacity to deliver on contracts prior to

award; and

● SCM processes being undertaken by officials who lack the requisite

knowledge of such processes.

In addition, we were previously informed that a database of vetted sub-contractors

per ward would be compiled and used by main contractors for the purpose of

implementing the Preferential Procurement Regulations. We are of the view that this

would go a long way in addressing the concerns raised by business forums and other

interest groups.

Therefore


A comprehensive evaluation of the municipality’s Supply Chain Management system

(structure, policy and processes) be undertaken to determine its ability to effectively

support service delivery; with measures being undertaken to correct any deficiencies

in this regard.

ADOPTED.



4. CHALLENGES

We encountered a number of challenges during our interrogation of this year’s

Annual Report. Our work and role was greatly undermined by some officials who

failed to appear before us despite numerous requests in this regard. In addition, they

failed to submit reports as required and instances where reports were submitted; the

quality of the said reports was questionable due to incomplete and/or incorrect

information being provided.

The non-cooperation by officials impacted on our ability to undertake our duties

effectively and to fulfill our mandate. We were unable to deliberate on all matters in

the Annual Report and report such matters to Council.

It is our view that the lack of consequence management is the root cause of the

continued undermining and disrespect of MPAC by officials.

Therefore,


That the City Manager take the requisite action against the officials who have

hampered the work of the Municipal Public Accounts Committee during the

2016/2017 Annual Report process.

ADOPTED.



Annexure C

2016/17 ACTION PLAN FOR AUDITOR GENERAL FINDINGS

AUDITOR GENERAL FINDINGS TRACKING OF ACTION PLANS STATUS AS AT 26 JUNE 2018

UNIT RESOLVED IN PROGRESS TOTAL

Expenditure 13 2 15

IMU / IT 14 4 18

Electricity 1 0 1

Housing 0 6 6

Revenue 8 6 14

PMU 1 0 1

SCM 13 6 19

CIIU 0 1 1

HR 2 1 3

Water 16 16 32

EPWP 5 5 10

Internal Control 0 1 1

TOTAL 73 48 121

Contd./AG Log 2016/17

_______________



NOTICE OF MOTION

IN TERMS OF SECTION 18 OF THE RULES OF ORDER

_______________

1. NOTICE OF MOTION : ESTABLISHING OF MUNICIPAL IN-PATIENT

REHABILITATION FACILITIES WITHIN ETHEKWINI MUNICIPALITY:

PROPOSED BY COUNCILLOR NL GRAHAM AND SECONDED BY

COUNCILLOR CP PAPPAS (30/1/1/1)

This Council noting that:-

● Drug addiction has become a huge crisis in eThekwini with tens of thousands

of people addicted to opiate based drugs like ‘whoonga’ and ‘sugars’;

● These drugs are incredibly hard to stop taking, and addicts generally need

medical assistance to be rehabilitated;

● The provincial government has incredibly limited capacity for in-patient

rehabilitation, leaving people without medical aid or money with few options

to access help;

● Durban’s drug crisis is severely impacting on the safety, aesthetics and

well-being of our communities;

Hereby resolves that the Executive Committee investigates and reports back on:-

The possibility of establishing municipal in-patient rehabilitation facilities with

eThekwini Municipality.

Councillor NL Graham moved her Notice of Motion and thereafter motivated

same. As not all Councillors were in support of the Motion the matter was put

to the vote. With 173 Councillors present, 54 Councillors (DA – 52, ACDP – 1

and APC – 1) voted in favour and 119 Councillors (ANC – 99, IFP – 9, EFF – 4,

IND – 2, AIC – 2, MF – 1, MOSA – 1 and AL JAMA-AH – 1) voted against.


The above Notice of Motion was, by the majority vote, NOT CARRIED.

_______________

REPORT OF COMMITTEE DECISIONS

Decisions of Committees reflected below have been reported to Council by way of circulating

minutes of such Committees to each Member of the Council:-

1. COMMUNITY SERVICES COMMITTEE

Meetings held on : 2018-06-14

: 2018-07-19



2. EXECUTIVE COMMITTEE


: 2018-08-14

3. GOVERNANCE AND HUMAN RESOURCES COMMITTEE


: 2018-08-15

4. HUMAN SETTLEMENTS AND INFRASTRUCTURE COMMITTEE


: 2018-08-07

5. HUMAN RESOURCES DEVELOPMENT SUB-COMMITTEE: TREASURY AND

OFFICE OF THE CITY MANAGER

Meeting held on : 2018-06-13

6. LOCAL LABOUR FORUM: COMMUNITY AND EMERGENCY SERVICES

CLUSTER


7. LOCAL LABOUR FORUM: METRO POLICE


: 2018-07-03

8. SECURITY AND EMERGENCY SERVICES COMMITTEE


9. SPEAKER’S COMMITTEE


NOTED.

_______________



ITEMS FOR NOTING

The Items for Noting, reflected on Page 16 of the Agenda were NOTED.

__________________

The meeting terminated at 16:00

CONFIRMED AT THE MEETING OF THE ETHEKWINI COUNCIL ON 2018-09-27

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