No. 52 MINUTES Minutes and... · TG Makhanya, ZP Makhanya, MW Manqele, TZ Mathe, PM Mbambo, ... Municipalities was being undertaken by COGTA on a quarterly basis and the results of

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No. 52 MINUTES

OF

ETHEKWINI MUNICIPAL COUNCIL

Meeting held on Wednesday, 2019-05-29T10:00,

City Hall Main Auditorium, Church Walk, Durban

PRESENT : Councillors WL Mapena (Speaker), ZRT Gumede (Mayor), F Peer

(Deputy Mayor), MA Ally, J Annipen, S Aslam, A Beetge, S Bhanprakash,

MPN Bhengu, MC Bhengu, NC Biyela, T Biyela, S Brijmohan, WJD Burne,

SS Butelezi, H Cele, NT Cele, J Chetty, TP Collins, M David, SV De Boer,

GT De Lange, MAK Dladla, CB Dlamini, JA Dlamini, SR Dlamini,

MP Dlomo, BA Fortein, VE Gebashe, HD Goge, R Gokool, G Govender,

Y Govender, NL Graham, BR Gumede, NC Gumede, NP Gumede,

TR Gumede, ZD Gushu, MS Gwala, MH Haniff, GJ Hegter, PL Hlengwa,

QL Hlengwa, NP Hlomuka, NB Hoosman, NB Iyir, JA Johnson, M Johnson,

SA Kaunda, DM Khanyile, ES Khanyile, KNN Khubone, JS Khuboni,

PZ Khumalo, S Khuzwayo, ZW Khuzwayo, SNC Khwela, CJ Laing, P Luthuli,

TJ Luthuli, TN Mabanga, MT Mabaso, NI Madlala, A Maharajh, B Majola,

TG Makhanya, ZP Makhanya, MW Manqele, TZ Mathe, PM Mbambo,

V Mbanjwa, AM Mbele, RD Macpherson, FW Mdletshe, P Mfeka, K Mhlaba,

GN Mhlongo, MB Mjadu, AZ Mkhize, BA 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,

S Mnguni, BV Mngwengwe, LN Mngwengwe, S Moonsamy, B Mpanza,

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

M Mthembu, MGF Mthembu, MM Mthembu, ON Mthembu, TM Mthethwa,

TT Mthiyane, N Munien, AB Mvubu, RM Mzobe, BD Naidoo, J Naidoo,

M Nair, X Nala, PL Ncayiyana, BP Ndlela, AB Ndlovu, PB Ndlovu,

MK Ndzimbomvu, AS Ngcobo, MM Ngiba, TT Ngubane, BE Nhlangulela,

SJM Nhlapho, MS Nkosi, M Nojiyeza, DR Nowbuth, GM Noyce,

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

W Nyaba, NN Nyanisa, TT Nzuza, BW Phewa, JP Phewa, TK Phohlo,

BP Phungula, D Pillay, DR Pillay, KR Pillay, P Pillay, GDA Pullan,

BR Qhantsi, MD Qwabe, A Ramkissoon, A Rampersad, S Sewshankar,

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, EL Singh, Sagar Singh, Samier Singh, PS Sishange, NI Sithole,

AD Snyman, ZR Sokhabase, M Tembe, JB Thabethe, S Thango,

JC Van den Berg, PA Vedan, SM Windvogel, MC Xulu, TV Xulu, T Xuma,

NY Young, GB Zulu, MBR Zuma, TM Zuma, TG Zungu, MH Zwane and

there being seven (07) vacancies.

ABSENT : Councillors M Brauteseth (On leave – Indisposed), VP Caluza, BA Chili,

TJT Cibane (On leave), R Cloete (On leave – Indisposed), SB Dlamini,

S Govender (On leave – Indisposed), PJC Graham (On leave), RC Hlophe

(On leave – Municipal Business), HL Khubisa, NL Khuzwayo

(On leave – Municipal Business), CB Langa (On leave – Indisposed),

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Council Minutes - 2019-05-29)

SE Mhlongo (On leave – Indisposed), SR Moodley, NE Mthembu

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

BT Ntuli, MS Nyawose, JP Prinsloo (On leave), S Ryley (On leave),

PN Sikhosana (On leave – Indisposed), C Xesibe (On leave) and

BM Zulu (On leave).

AMAKHOSI

PRESENT : Inkosi TF Gwala, Inkosi DZ Mkhize, Inkosi KT Mkhize, Inkosi EB Shozi and

Inkosi MJ Ngcobo.

AMAKHOSI

ABSENT : Inkosi BF Bhengu, Inkosi VR Cele (On leave), Inkosi NM Hlengwa,

Inkosi PP Luthuli, Inkosi KS Makhanya, Inkosi NC Maphumulo (On leave),

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

Inkosi RF Mthembu Inkosi MB Ngcobo and Inkosi JP Shangase.

OFFICIALS

PRESENT : Messrs/Mesdames SC Nzuza (City Manager), M Mthiyane (Acting Head:

Legal Services and Compliance), M Mhlongo (Deputy Head: Legal Services

and Compliance), BM Mhlongo (Deputy Head: Office of the Speaker),

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

Committee Officer).

(At the commencement of the meeting 174 Councillors were present, comprising ANC – 104,

DA - 43, IFP - 10, EFF - 6, INDEPENDENT - 4, AIC - 2, ACDP – 0, MF - 1, DLC - 1, TA- 1,

MOSA – 0, APC – 1 and AL JAMA-AH - 1).

_________________

1. NOTICE CONVENING THE MEETING

The 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 Her Worship the Mayor, the Deputy Mayor; Members of the Executive

Committee; Honourable Councillors and Traditional Leaders; Distinguished Guests;

City Manager; Deputy City Managers and Heads present; Legal Services and

Compliance officials; 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 African Union Anthem

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.

(It is recorded that Items 5, 6 and 7, relative to Official Announcements,

Speakers Report and Confirmation of Minutes were dealt with after the

2019/2020 Budget had been considered).



5. OFFICIAL ANNOUNCEMENTS

On behalf of the City, the Speaker extended his heartfelt condolences to all bereaved

families who had lost their loved ones during the month of April & May, including

those that had passed away in accidents and in the recent floods that had ravaged

areas around KwaZulu-Natal and the Province. He also extended his condolences to

the family of the former Councillor, Chief Whip Stanley Xulu who had passed away

on 17 May 2019. Commiserations were further extended to the families and friends

of the two Metro Police Inspectors, Inspector Z Dladla and Constable N Mhlanga,

who had lost their lives tragically, whilst on duty.

Congratulations were extended to all those Parties who had been victorious in the

National and Provincial Government elections held on 8th May 2019. He mentioned

the City having marked the celebration of Freedom Day on 27 April and was pleased

to announce that eThekwini Municipality had been placed first in the Business

Category by the South African National Blood Services (SANBS), for collecting the

highest pints of blood in April 2019.

On behalf of the City he congratulated the newly elected President, The Honourable

Cyril Matamela Ramaphosa and in doing so, expressed his appreciation to all citizens

of eThekwini who came out in numbers and made their voices heard. He extended

his heartfelt appreciation to Councillors and Officials on the successful Draft Budget

2019/2020 and Regional Public Hearings that had been convened in the months of

April and May 2019.

He mentioned Africa’s Travel Indaba, hosted by the City at the Inkosi Albert Luthuli

International Convention Centre between 2 and 4 May 2019 and the showcasing of

greening products and services by 200 exhibitors at the 9th Sustainable Living

Exhibition held during the weekend of 17 and 19 May 2019. Having said that he also

advised of the Youth Employability Indaba and KwaZulu-Natal Career Expo held on

23 & 25 May respectively.

He conveyed his best wishes to all Councillors celebrating their birthdays during the

months of April and May 2019, especially Councillor JS Khuboni who was

celebrating her birthday today.

Councillors were requested to switch off their microphones after speaking to avoid

interference with the sound system and talk slowly and clearly during the

proceedings for the interpreters.

In conclusion, the Speaker referred Councillors to Rules of Order 16(1) (a)-(e) and

(4), (5), (6), (7) and (9). As per such 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 his report the Speaker provided statistics in respect of Ward Committee meetings

held for the months of April and May, as follows:

April

● 86 Ward Committee meetings had been held and 24 meetings had

not been held.

● 55 Wards had submitted evidence of meetings held whilst 31 Wards had not

submitted any evidence.

May

● 94 Ward Committee meetings had been held and 16 meetings had

not been held.

● 22 Wards had submitted evidence of meetings held whilst 72 Wards had not

submitted any evidence

The Speaker made the point that the performance of Ward Committees also impacted

on the functionality of Council, and meetings not convened contributed negatively to

the smooth operation of the Municipality.

He mentioned that a Ward Committee functionality assessment had been undertaken

for the quarter ending 3 January to 31 March 2019. Noteworthy was that the said

assessments, which formed part of a monitoring functionality of various

Municipalities was being undertaken by COGTA on a quarterly basis and the results

of the assessments were as follows:

● In quarter 1, July to September 2018, 52 Wards had been functional.

● In quarter 2, October to December 2018, 28 Wards had been functional.

● In quarter 3, January to March 2018, 54 Wards had been functional.

Whilst due cognisance was given to the noticeable improvement in functionality over

the quarters, however there were Wards that were deemed to be non-functional, a

factor that was contributed to Ward Councillors having not convened Community

Report Back meetings. Councillors were reminded that in terms of the COGTA

functionality tool, community meetings weighed 30% of the total functionality score,

and the absence thereof implied that those wards would be non-functional.

The Speaker advised that letters would be addressed to those Councillors who had

not held any meetings.

It was noted that 19 Community Report Back meetings had been held for the Month

of May. A total number of 7 Sectoral meetings and a total number of 14 205

one-on-one Councillor consultations had also been held and reported. These included

engagements with various Stakeholders such as Religious representatives,

Business, etc.

The Speaker announced that following the National and Provincial Government

elections in May, some Councillors had been appointed by their respective Parties to

serve as members of the National Parliament and/or Provincial Legislature. In that

regard he advised that the following 7 Councillors had resigned from the Council:



NAME PARTY DESIGNATION

Councillor VP Caluza ANC PR Councillor

Councillor HU DeBoer DA Ward Councillor

Councillor CJ Pappas DA Ward Councillor

Councillor LM Meyer DA Ward Councillor

Councillor B Ntshangase ANC PR Councillor

Councillor B Singh DA Ward Councillor

Councillor WM Thring ACDP PR Councillor

In total Council had nine (9) vacancies, including a resignation of Councillor

Maluleka, an ANC, PR Councillor, who resigned on 31 March 2019, and one (1)

outstanding representative from EFF.

The Speaker announced and welcomed the following four (4) Councillors from the

Economic Freedom Fighters (EFF) who had been recently appointed to Council:

● Councillor Thamisanqa Xuma

● Councillor Qalukwenza Hlengwa

● Councillor Bongani Nhlangulela

● Councillor Sibongile Mnguni

In conclusion, the Speaker requested Councillors to note the following:

- Some Councillors were undertaking the Senior Certificate (Matric) programme

and were currently writing exams. He extended the Council’s best

wishes to them.

- A Project Management training programme would be rolled out in June 2019.

Those Councillors who had indicated their interest in the programme would be

contacted in due course.

- The second phase of the Councillor Accelerated Leadership Development

workshops would also be rolled out in June 2019 to all Support Committees,

with much focus on Change Management, Diversity Management and Business

Etiquette. Respective Chairpersons have been consulted in terms of

confirmation of dates for the said workshops.

7. APPLICATIONS FOR LEAVE OF ABSENCE

RESOLVED:

The following Councillors and Amakhosi were granted leave of absence as

indicated:-

COUNCILLORS

Councillor MA Ally : Request to leave at 15:15

Councillor MB Brauteseth : 2019-05-29 (Indisposed)

Councillor TJT Cibane : 2019-05-29 (Personal Commitments)

Councillor R Cloete : 2019-05-29 to 30 (Indisposed)



Councillor S Govender : 2019-05-29 to 30 (Indisposed)

Councillor P Graham : 2019-05-28 to 30 (Personal Commitments)

Councillor RC Hlophe : 2019-05-29 to 30 (Municipal Business)

Councillor NL Khuzwayo : 2019-05-29 (Municipal Business)

Councillor CB Langa : 2019-05-28 to 31 (Indisposed)

Councillor TN Mabanga : Request to leave at 15:00

Councillor BA Mkhize : 2019-05-29 (Indisposed)

Councillor SE Mhlongo : 2019-05-29 (Indisposed)

Councillor NE Mthembu : 2019-05-29 (Indisposed)

Councillor BD Naidoo : Request to leave at 13:00

Councillor BS Ngcongo : 2019-05-28 to 29 (Indisposed)

Councillor S Ngema : 2019-05-29 to 30 (Indisposed)

Councillor TT Ngubane : Request to leave at 15:15

Councillor JP Prinsloo : 2019-05-29 (Personal Commitments)

Councillor S Ryley : 2019-05-29 (Personal Commitments)

Councillor A Shaheed : Request to leave at 13:00

Councillor PN Sikhosana : 2019-05-29 (Indisposed)

Councillor PS Sishange : 2019-05-29 (Personal Commitments)

Councillor C Xesibe : 2019-05-29 (Personal Commitments)

Councillor BM Zulu : 2019-05-29 (Personal Commitments)

AMAKHOSI

Inkosi V Cele : 2019-05-29 (Personal Commitments)

Inkosi NC Maphumulo : 2019-05-29 (Personal Commitments)

Inkosi S Mlaba : 2019-05-29 (Personal Commitments)

(It is recorded that although Councillors BA Mkhize and PS Sishange had

submitted applications for Leave of Absence, they were present at the meeting).

At this stage of the proceedings, Her Worship the Mayor, Councillor

ZRT Gumede proceeded to the Podium to deliver her Budget speech which is

attached to these Minutes. However, prior to her commencement, the IFP and

the DA expressed concern at the late submission of budget documents and the

presence of Her Worship, the Mayor and Councillor MM Mthembu at this

meeting in view of what they regarded as a violation of their bail conditions and

the alleged charges against them. The point having been made that the charges

were regarded as “alleged” and that the Constitution of the Republic of South

Africa provided for a person to be innocent until proven guilty, Her Worship

continued with her budget speech.

In her speech Her Worship the Mayor, Councillor ZRT Gumede advised,

inter-alia, that the budget was largely aimed at broadening service delivery,

attracting investors and expanding investment in infrastructure. She mentioned

an increase in the Capital expenditure to approximately R7.9 billion in

2019/2020 that would meet infrastructure and household service needs and

simultaneously address backlogs over the medium term. Noteworthy was that

R3.7 billion of that budget would be directed to new housing developments and

interim servicing of informal settlements. On the Operating budget she advised

of increases in the amount of R42.8 billion in 2019/2020, R47 billion in

2020/2021 and R51.1 billion in 2021/2022.



In delivering the budget, she highlighted the need for it to be implemented in the

facilitation and provision of infrastructure, services and support to create an

enabling environment for all residents to utilize their full potential and access

opportunities. In line with the Integrated Development Plan priority areas

would be identified and addressed during the 2019/2020 Financial Year in an

endeavor to revive development and structural reforms. She cited service

delivery as being at the heart of eThekwini Municipality with the Capital

Budget continuing to reflect ongoing efforts to address service delivery backlogs

and renewal of infrastructure of existing networks, particularly roads and

electricity.

She pointed out that the compassion displayed by the City was evident in the

provision made for residents who were unable to pay for basic services. In doing

so she stated that the City’s social package of R3.9 billion for 2019/2020 was

partially funded by the Municipality’s equitable share allocation of R3.2 billion

from National Government. On the issue of tariffs she spoke of attempts to ease

the burden on ratepayers taking cognizance of the current economy, hence the

rates increase of 6.9% was amongst the lowest in the country.

Speaking on the electricity tariff she mentioned an increase of 13.07% which

was indicative of the increase of 15.69% expected from Eskom. However, should

there be a further review by the energy regulator NERSA on the Eskom

increase, the City would be required to review the tariff. Alluding to the

increase in water tariffs, she was of the view that the 15% increase for domestic

consumers and 15.5% for businesses was based on the Umgeni Water Board

increase of 9.6%, taking into consideration the additional capital expenditure on

water in terms of rollout.

In conclusion, she advised that the sewer tariff had been contained to 9.9%

whilst the 9.9% refuse tariff increase was due to the inclusion of additional

areas for services.

(At this stage, Her Worship the Mayor proceeded to her seat. The Speaker

referred the Council to item 7 of the Fifth Report of the Executive Committee,

relative to Budget 2019/2020, 2020/2021 and 2021/22 Medium Term Revenue

and Expenditure Framework (MTREF). Following discussion of item 7, details

of which are reflected therein, the Council adjourned for lunch. When the

Council resumed at 14:30 it dealt with the Official Announcements, Speaker’s

Report, Confirmation of Minutes and the remaining items contained in the

Agenda, Supplementary Agenda and Laid on Table Reports).

8. CONFIRMATION OF MINUTES: Meetings held on 2019-03-28

RESOLVED:

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

2019-03-28, 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 EL Singh: Traffic congestion in Phoenix due to

development at Cornubia (26/1/1/3):

Phoenix is now densely populated and rapidly growing due to the development at

Cornubia and Infill Housing. Traffic congestion is a major concern and it is in light

of the aforegoing that I pose the following questions:

1. Has the Municipality conducted an assessment or study on the traffic

congestion in the following roads, main entrances and exits:

1.1 Woodview Drive and R102

1.2 JG Champion Drive and R102

1.3 R102 and M41

1.4 Stonebridge Drive and R102

1.5 Phoenix Highway and R102

1.6 Industrial Park Road and Fernham Drive

2. What are Municipality’s plans in dealing with the current traffic

congestion in Phoenix, at all the main entrances and exits?

3. What is the short term plan to alleviate the traffic congestion in Phoenix?

4. What is the long term plans to alleviate the traffic congestion in Phoenix?

The following respective responses were provided:-

1. Planned road upgrades

a. All the intersections along the R102 fall under the jurisdiction of the

KwaZulu-Natal Department of Transport (KZNDOT). Upgrades along

the R102 between Stonebridge Drive and JG Champion Drive are

currently being considered by KZNDOT. The timing of these upgrades

have not been finalised. In this regard this Unit will communicate

directly with Councillor Singh as soon as more information is available

from KZNDOT.

b. The intersection of Industrial Park/Fernham Drive will be impacted on by

the IRPTN C9 route. Necessary improvements will be included to

address mobility at this junction. In addition, a traffic accommodation

plan to be employed along the whole of Phoenix Highway during

construction of C9, is currently being discussed with the affected public

transport operators. Once this consultation is completed, engagements

with relevant Councillors and communities will be arranged.

c. The following road upgrades have been budgeted for in the

2019/2020 MTREF-



1.1 Upgrade of JG Champion Drive from R102 to Viewhaven Drive

1.2 Upgrade of the intersection of Phoenix Highway/Stonebridge Drive

1.3 Upgrade of the intersection of Phoenix Highway/Clayfield Drive

1.4 Upgrade of JG Champion Drive/Palmview Drive (South)

1.5 Upgrade of JG Champion Drive/Sastri Park Drive

2. With regard to long term planning in the City, including Phoenix, the City’s

strategy is to promote public transport and non-motorised transport. As a

consequence less emphasis will be placed on infrastructure to support private

transport requirements. This strategy is being used to inform the City’s

Transport Master Plan which is a key component of the Comprehensive

Integrated Transport Plan (CITP)

_____________

(Her Worship the Mayor, Councillor ZRT Gumede, presented the First Report

of the Executive Committee)

__________

FIRST REPORT OF THE EXECUTIVE COMMITTEE (Meeting held 2019-04-16)

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

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

MM Mthembu, TM Mthethwa and MS Nkosi.

ABSENT : Executive Committee Member ZR Sokhabase (on Leave-Indisposed)

_____________

1. REPORT OF THE HUMAN SETTLEMENTS AND INFRASTRUCTURE

COMMITTEE: MEETING HELD ON 2019-04-09

1.1 Expansion of City Fleet Western Workshop (2/3/1/7) (7/6/1/2):

(Page 55: Human Settlements and Infrastructure Committee - Agenda 2019-04-09)

COMMITTEE RECOMMENDS:

That authority be granted to the Head: Real Estate to advertise an expression of

interest to identify suitable properties in the Western Region of eThekwini for

acquisition in order to expand the City Fleet Western Workshop and undertake the

cost benefit exercise to establish the best option to be pursued, it being recorded that

a further report on the findings thereto, will be submitted to the Human Settlements

and Infrastructure Committee.

ADOPTED.



1.2 Acquisition for Regularisation of Road Encroachment (17/2/1/1/R):


At the Executive Committee meeting the recommendations as contained in the report

of the Human Settlements & Infrastructure Committee were amended in

recommendation 1 by the deletion of the words “deviate from the Supply Chain

Management Regulations and” and by the deletion of recommendation 3

in its entirety.

Accordingly,


1.2.1 That in order to regularize the partial encroachment of the road Tipclay Place over

privately owned property, authority be granted to the Head: Real Estate to negotiate

the acquisition of a road servitude over Erf 816, Clayfield, as reflected on Plan

SJ4701/10, it being recorded that Section 36(1)(a)(ii) of the Supply Chain

Management Regulations (market related values) will be invoked with the approval

of the Bid Adjudication Committee.

1.2.2 That subject to the adoption of .1 above and approval of the Bid Adjudication

Committee (BAC) pursuant to successful negotiations, authority be granted to the

Head: Real Estate to sign all relevant documents necessary to effect transfer to the

eThekwini Municipality.

1.2.3 That in the event of negotiations being unsuccessful, authority be granted to the

Head: Real Estate to expropriate the required servitude as depicted on

Plan SJ4701/10 and to sign all documents necessary to give effect to

such expropriation.

This will be provided for in the Real Estate blocksum.

Financial Year: 2019/2020 & 2020/2021

ADOPTED.

1.3 Review of Tariffs: Surveying and Land Information Department: 2019/2020

(7/6/1/2):



1.3.1 That the tariffs applicable to the eThekwini Municipality’s copying fees for Plans

and Photographs be amended as reflected in the Annexures attached to the report of

the Head: Engineering dated 2018-12-12.

1.3.2 That subject to .1 above the City Manager be requested to implement the following:

(a) Display a copy of this resolution and the said tariff charges conspicuously:

(i) on the City Hall Notice Board, and

(ii) at such other places within the Municipality as the City Manager

may determine.

(b) To publish in the Ezasegagasini Metro a notice in the following format:-



ETHEKWINI MUNICIPALITY

Notice is hereby given that:-

(a) A resolution of the kind contemplated in Section 75A(2) of the Local

Government: Municipal System Act 2000 (Act 32 of 2000) was passed by

the Municipal Council on ……………………………

(b) A copy of the said resolution and annexed tariff of charges is available for

inspection at:-

(i) City Hall, Dr Pixley KaIsaka Seme Street, (West Street) Durban

(ii) ……………………………etc.

(c) The effective date for the implementation of the said tariff of charges is

2019-07-01.

(d) To seek to convey the information referred to in the said notice to the public

on East Coast Radio and Ukhozi Radio; and

(e) To send a copy of the said notice to the Provincial Minister of Local

Government and Traditional Affairs

…………………………………….

CITY MANAGER

ETHEKWINI MUNICIPALITY

Date: ………………………………

As some Councillors were not in support of the above recommendations of the

Executive Committee the matter was put to the vote. With 173 Councillors

present 156 Councillors (ANC- 100, DA – 47, IND – 4, AIC – 2, DLC – 1,

APC – 1 and AL JAMA-AH - 1) voted in favour and 10 IFP Councillors voted

against. 7 EFF Councillors abstained from voting.

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

ADOPTED.

1.4 Acquisition of Land in the Brackenhill or Surrounding Areas of eThekwini

Municipality (17/2/1/1/R):



1.4.1 That authority be granted to the Head : Real Estate to enter into negotiations with

private land owners for the purchase of land to develop a new Road and Stormwater

Maintenance Depot in the Brackenhill or surrounding areas.

1.4.2 That subject to the approval of .1 above, a budget of R10 000 000.00 (Ten Million

Rand) for purchase of the land to develop new roads and a Stormwater Maintenance

Depot in the Brackenhill or surrounding areas be made available in the 2019/2020

financial year.



1.4.3 That authority be granted to the Head : Real Estate to submit a report to the Human

Settlements and Infrastructure Committee on the outcome arising from negotiations

with the land owners, with a specific amount to be utilized for the purchase of land

to develop a new Roads and Stormwater Maintenance Depot.

ADOPTED.

1.5 Registration of 9m Wide Servitudes and Wayleaves for the Proposed Cato Ridge

Pipeline (23//1/11/1/1/2):



1.5.1 That authority be granted to the Head: Real Estate to acquire any pipeline servitude

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

negotiation and/or expropriation as considered necessary.

1.5.2 That subject to .1 above, it be noted that the approval of the Bid Adjudication

Committee (BAC) will be sought to deviate from the Supply Chain Management

(SCM) Regulations for the Head: Real Estate to negotiate directly with the property

owner for the acquisition of the property in question using Section 36 (1)(a)(ii) of the

Supply Management Regulations.

1.5.3 That in the event of negotiations being unsuccessful, authority be granted to the

Head: Real Estate to expropriate the affected property.

1.5.4 That in the event of negotiations being successful, the City Manager record reasons

for the deviations and report at the next meeting of the Council and include the

reasons as a note to the Annual Financial Statement in terms of Section 36(2) of the

Municipal Supply Chain Management Regulations.

Cost Centre: 69200 Project No.: X4625 R300 000.00 Provided in 2018/2019

via X4625

ADOPTED.

1.6 Request for Approval to Transfer Funds in the Outer Financial Year within the Water

Capital Budget (7/1/2/2):



That Council approves the adjustment to the Water Capital Budget in the outer

financial years for professional services contracts as listed below to fund the

completion of their scope of work.

Project

Number

Funding

Required

Financial

Year

Funded

from

Reasons for Savings

X5254 R50 000.00 2020/2021 X8233 Project delayed due to development being

delayed in the area

X6599 R100 000.00 2019/2020 X8083 Project delayed due to land acquisition

X4877 R50 000.00 2020/2021 X8233 Project delayed due to development being

delayed in the area

FC 364/C170

ADOPTED.



1.7 Request for Authority to be granted to the Head: Real Estate to Acquire by Means of

Private Treaty, Acquisition and or Expropriation of the Land/Servitudes Required for

the Hammarsdale High Level Reservoir Inlet: Construction of 500mm Ø 1440m

Long Steel Inlet Main (17/2/2/1/3):



1.7.1 That for the reasons stated in the report by the Head: Water and Sanitation dated

2018-12-14, the Head: Real Estate be authorized to proceed with the

acquisition/expropriation for the required servitudes as listed in the table below:

Description Hand Plan No.

Erf 111 Drummond SJ 4765/2

Rem of Erf 120 Drummond SJ 4765/3



Rem of Erf 3 Cliffdale SJ 4765/6

Rem of Erf 3 Cliffdale SJ 4765/7

1.7.2 That subject to the adoption of .1 above, and approval by the Bid Adjudication

Committee pursuant to successful negotiations, the Head: Real Estate be authorized

to sign the relevant agreements and all documents necessary to effect transfer of the

Municipality’s requirements.

Cost Centre : 69200

Project No. : X4625

Funding for the 2018/2019 and 2020/2021 financial years will be provided in X4625:

Western Aqueduct

ADOPTED.

1.8 Request for Authority to Transfer Funds to Project Y8763 (23/1/11/2/1/2):



1.8.1 That the request for authority to transfer funds from block sums as indicated below to

project No Y8763 for Design, Manufacture, Supply, Delivery, Installation, Testing

and Commissioning of MV Switchgear at the Southern Waste Water Treatment

Works (SWWTW), be approved:

1.8.1.1 Y7083B (Northpark sewer Reticulation) to the value of R2 500 000.00

(excluding VAT)

1.8.1.2 Y8612BZ1 (Northdale Pump Station) to the value of R3 100 000.00

(excluding VAT)

1.8.1.3 Y8142A (Ntuzuma C) to the value of R400 000.00 (excluding VAT)

1.8.1.4 Y8145B (Ntuzuma G infills) to the value of R1 154 000.00 (excluding VAT)

1.8.1.5 Y8138 (Umdloti Beach) to the value of R175 000.00 (excluding VAT)



1.8.2 That authority be granted to the Deputy City Manager: Treasury to include in his

Adjustment Budget Report, the transfer of funds from block sums Y7083B

(Northpark sewer Reticulation) to the value of R2 500 000.00 (Two Million, Five

Hundred Thousand Rand), (excluding VAT), Y8612BZ1 (Northdale Pump Station)

to the value of R3 100 000.00 (Three Million, One Hundred Thousand Rand),

(excluding VAT), Y8142A (Ntuzuma C) to the value of R400 000.00 (Four Hundred

Thousand Rand), (excluding VAT), Y8145B (Ntuzuma G infills) to the value of

R1 154 000.00 (One Million, One Hundred and Fifty Four Thousand Rand),

(excluding VAT), Y8138 (Umdloti Beach) to the value of R175 000.00

(One Hundred and Seventy Five Thousand Rand), (excluding VAT) to Y8763 for the

design, manufacture, supply, delivery, installation, testing and commissioning of

MV Switchgear at SWWTW.

Vote: Y8763 R7 329 000.000 (excluding VAT) FC No. 365/C142

ADOPTED.

1.9 Renewal of Lease for the Northern Customer Services Centre - Suite 4 Manhattan

House - 15 Twilight Drive - Umhlanga (17/2/2/5/1):



1.9.1 That authority be granted to the Head: Real Estate to conclude a lease agreement

with Manhattan Grove (Pty) Ltd in respect of the property situated at 15 Twilight

Drive, Manhattan House, in extent of approximately 446m2, for the Electricity

Northern Customer Service Centre, for a period of three years commencing on

2019-10-01 and terminating on 2022-09-30.

1.9.2 That authority be granted to the Head: Real Estate to sign all documents necessary to

conclude the lease.

ADOPTED.

1.10 Request for Authority to Transfer Funds to Project No. X4625: Hammarsdale

High Level Reservoir Inlet: Construction of 1440m of 50mm Steel Inlet Main,

Ward 103 (23/1/11/3/1):



1.10.1 That in line with the Municipal Finance Management Act, authority be granted for

the Head: Water & Sanitation to transfer funds in the amount of R24 000 000.00

(Twenty Four Million Rand) which represents savings from project

X5906: PRV Installation to Project X4625 : Hammarsdale High Level Reservoir

Inlet to ensure continuity and completion of the contract, thereby adequately meeting

water demand in this area.

1.10.2 That subject to the approval of .1 above, authority be granted to the Deputy City

Manager: Finance to include in his Adjustment Budget report, the transfer of funds.



Project No. Description Funding

Required in

2019/2020

Project No. Funding

Provided from

Project

Surplus

Funding

2019/2020

X4625 Hammarsdale

High

Level Reservoir

Inlet

R24 000 000 X5906 PRV Installation R24 000 000

Total funds required in

2019/2020 financial year

R24 000 000 Total funds required in

2019/2020 financial year

R24 000 000

FC No.: 364/C169

ADOPTED.

1.11 Request for Authority to Transfer Funds within Water and Sanitation Capital Budget

in the 2018/2019 Financial Year - for Contract WS 6772 (23/2/2 & 7/1/2/2):

(Page L35: Human Settlements and Infrastructure Committee - Agenda 2019-04-09)


1.11.1 That authority be granted to the Head: Water and Sanitation for the transfer of funds

from the Water and Sanitation Blocksum project No. X5258 budget to project

No. Y8841 where savings have been identified.

1.11.2 That subject to the approval of .1 above, the Deputy City Manager: Treasury include

in his adjustment budget report, the transfer of funds from the Water and Sanitation

project budgets where savings have been identified for the project to provide

sanitation services and associated infrastructure at different Wards where on-site is

crucially required in the 2018/19 financial year.

Cost Centre/Project No: X5258 FC No.: 365/C163

ADOPTED.

2. REVIEW OF TENDER FEES ISSUED TARIFFS: 2019/2020 (7/6/1/5)

(Page 24)

Taking cognisance of the Radical Economic Transformation (RET) framework as

adopted by Council and the need for local communities to be afforded the

opportunity to tender, the tariffs relating to Tender Fees is being amended to indicate

that there shall be no increase in tariff for tenders from R0.00 to R5million.

In the circumstances,


2.1 That Council of the eThekwini Municipality resolves in terms of Section 75A of the

Local Government Municipal Systems Act of 2000 (Act 32 of 2000) that, with effect

from 2019-07-01, the tariffs as set out hereunder, be levied:

2.1.1 That there be 0% increase in the base tariff for tenders issued in the range of

R0.00 to R199K. The tariff excluding VAT shall be R0.00.




R200K to R1M. The tariff excluding VAT shall be R86.96 (Eighty Six Rand,

Ninety Six Cents).


R1M to R5M. The tariff excluding VAT shall be R217.39 (Two Hundred and

Seventeen Rand and Thirty Nine Cents).

2.1.4 That there be a 10% increase in the base tariff for tenders issued in the range of

R5M to R10M. The tariff inclusive of VAT shall be R550.00 (Five Hundred

and Fifty Rand).

2.1.5 That there be 10% increase in the base tariff for tenders issued in the range of above

R10M. The tariff inclusive of VAT shall be R1 100.00 (One Thousand and One

Hundred Rand).

2.2 That subject to the adoption of .1 above, the City Manager be requested to comply

with the provisions of Section 75A (3) and (4) of the said Act.

ADOPTED.

3. TRANSFER OF PROPERTIES UNDER THE OWNERSHIP OF THE

KWAZULU-NATAL DEPARTMENT OF HUMAN SETTLEMENTS AND

BEING UTILISED BY THE MUNICIPALITY (27/1/1/5/R)

(Page 26)


That authority be granted to the Head: Electricity to initiate the transfer of various

electricity substation sites located in Austerville, as listed hereunder, to be received

from the KwaZulu-Natal Department of Human Settlements (KZNDHS) by way of

donation to eThekwini Municipality, it being recorded that there are no financial

implications to the Municipality as all transfer costs of the sites will be borne

by KZNDHS.

a) Erf 1054 Austerville

b) Erf 1055 Austerville

c) Erf 1056 Austerville

d) Erf 1057 Austerville

e) Erf 1058 Austerville

f) Erf 1059 Austerville

g) Erf 1071 Austerville

h) Erf 1072 Austerville

i) Erf 1073 Austerville

j) Erf 1074 Austerville

ADOPTED.



4. REPORT BACK ON THE INTERNATIONAL ASSOCIATION FOR IMPACT

ASSESSMENT (IAIA) 2018, 38TH ANNUAL CONFERENCE AND

PARTNERSHIP, HELD IN DURBAN IN MAY 2018 (13/7)

(Page 29)

The Executive Committee noted that the delay in submitting the close-out report had

been attributed to the process of the Department having to analyse numbers and

verification of attendance with other International associations that were in

partnership with the Conference.



4.1 That the close-out report dated 2019-03-06, relative to the partnership between the

eThekwini Municipality, the International Association for Impact Assessment South

Africa (IAIAsa) and the International Association for Impact Assessment (IAIA) for

the planning and hosting the IAIA eighteenth (18th) International Conference held in

the Durban International Convention Centre in May 2018, be noted, it being recorded

that consideration should be afforded to relevant Councillors to attend future Annual

IAIA Conferences that will enable them to benefit from international environmental

best practices.

4.2 That it be noted that the partnership for hosting IAIA 18 in the City of Durban has

accorded eThekwini Municipality the opportunity to profile its ground breaking

planning that responds to environmental justice challenges of a society in transition

and has further promoted the Municipality’s status as South Africa’s choice of

destination for tourism and hosting of major events.

NOTED.

5. ERADICATION OF 40 YEARS OF HOUSING BACKLOG (17/2/1/1/2)

(Page 43)

The report relative to the eradication of forty years housing backlog was welcomed,

taking into account the City’s reliance on Cornubia Housing which was not

capacitated to cater for the relocation of residents who have been housed in transit

camps for many years.

In response to the City’s tardiness in securing land acquisition, it was pointed out that

the process would be twofold, namely; to enter into an amicable agreement to

purchase land and secondly, expropriation on negotiated settlement prices. A further

proposal is to maximize the availability of land to afford communities an opportunity

to construct homes of their choice.

Being in agreement therewith and following amendments to the departmental

recommendations as contained therein,




5.1 That the Head: Real Estate and the Head: Human Settlements be authorized to

negotiate for the acquisition or expropriation of the properties as per Annexure 2 to

the report of the City Manager dated 2019-04-09, as part of the Municipality’s

initiatives to address 40 years housing backlog, it being recorded that the process will

be subjected to positive pre-screening and feasibility.

5.2 That subject to adoption of .1 above and the approval of the Bid Adjudication

Committee pursuant to successful negotiations, the Head: Real Estate and the Head:

Human Settlements be authorised to sign all documents necessary to effect transfer

of the properties as per the abovementioned Annexure.

5.3 That should the process of expropriation be deemed necessary, the Head: Real Estate

and the Head: Human Settlements be authorized to proceed with the expropriation of

the properties in terms of Section 9(3)(a)(ii) of the Housing Act No 107 of 1997 and

as per the Council Resolution dated 2019-02-28, attached as Annexure 1 to the report

of the City Manager dated 2019-04-09, it being recorded that such expropriation will

be subject to the consent of the Honourable MEC Human Settlements being sought

in terms of Section 190 of the Local Authorities Ordinance.

5.4 That subject to the adoption of .3 above, the Head: Real Estate and the Head: Human

Settlements be authorised to conclude the compensation agreements and sign all

necessary documents to effect registration of the properties as per Annexure 2 to the

report of the City Manager dated 2019-04-09, in favour of the Municipality.

5.5 That the Head: Legal Services & Compliance and the Head: Security Management,

be authorized to take the necessary steps to protect the acquired properties and

prevent unlawful invasion thereon.

MOTION TO AMEND

In terms of Rule of Order Bylaw 20(4), Councillor RD Macpherson, seconded

by Councillor ZW Khuzwayo, moved as a procedural motion that the above

recommendations of the Executive Committee be amended by the addition of

the following recommendations:

- That a list of the properties identified be circulated.

- That an estimated value of the aforesaid list of properties be

attached.

- That the relevant officials advise where the funds for the purchase of

properties will be derived from.

- That an open and transparent Housing List be established with

immediate effect.

NOT CARRIED

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

Motion to Amend, the matter was put to the vote. With 171 Councillors present,

58 Councillors (DA – 46, IFP – 10 and AIC - 2) voted in favour and

105 Councillors (ANC- 101, IND – 3 and APC - 1) voted against. 8 Councillors

(EFF – 7 and MF – 1) abstained from voting.



The above-mentioned Motion to Amend 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.

With 174 Councillors present, 107 Councillors (ANC – 102, IND – 3, APC – 1

and AL JAMA-AH - 1) voted in favour and 67 Councillors (DA – 47, IFP – 9,

EFF – 7, AIC – 2, MF – 1 and DLC- 1) voted against. There were no abstentions

recorded.

The above recommendations of the Executive Committee were, by the

majority vote, ADOPTED.

6. ESTABLISHMENT OF THE GO! DURBAN LEGACY FUND (7/5/1&26/3/1/2)

(Page 76)

Some Members of the Executive Committee expressed concern on the current status

of the City’s Integrated Rapid Public Transport Network (Go!Durban) in terms of

deadlines not being adhered to especially as the C3 corridor from Pinetown to Bridge

City was scheduled to “go live” in June 2019. Given that the corridors were lying

vacant was another aspect of concern in that it would further delay the strategic

objectives of promoting creativity, social cohesion, youth development and

empowerment.

The majority of Executive Committee Members welcomed the long overdue report

on the premise that the framework contained therein would empower youth

development and foster innovation and creativity among young people. It was further

suggested that the departmental recommendations would require an amendment to

enable the establishment of a Political Oversight Committee to oversee the equitable

disbursement of funds to beneficiaries, with due cognisance being taken on the cross

cutting of funding with other Clusters affected.

With three (03) Executive Committee Members of the Democratic Alliance

dissenting and with the majority of Executive Committee Members being in favour,


6.1 That in-principle authority be granted for the establishment of the GO!Durban

Legacy Fund and Programme whereby all existing and future contributions for social

investment flowing from requirements in the GO!Durban Radical Economic

Transformation Specification shall be deposited, and from where funds shall be

allocated to support various initiatives in line with the objectives of the Fund.

6.2 That subject to .1 above,

6.2.1 The focus for the investment and allocation of contributions into the GO!Durban

Legacy Fund and Programme be utilised to target the development of youth in the

City through the support for talent, innovation and entrepreneurship.



6.2.2 The theme or slogan (isiqubulo) for the Legacy Fund and Programme will be

“Go Durban! Go Until You’re Great!”

6.2.3 The key focal areas for the Legacy Fund and Programme to be:

(a) Supporting talent in sport, especially cycling,

. (b) Recognizing creative arts and driving “Art in transit”.

(c) Entrepreneurship in young people; and

(d) Supporting initiatives in communities aimed at youth development.

6.2.4 The potential beneficiaries to be targeted by the Legacy Fund and Programme

would include:

(a) Talented young people in all communities in the City.

(b) Young existing and aspiring entrepreneurs.

(c) Young innovators and researchers.

(d) Young people with superior grades at school or university.

(e) Young artists, digital creative artists and place making practitioners

in the City; and

(f) The convening of community programmes to target youth development

6.3 That subject to .1 and .2 above, authority be granted to the Head: eThekwini

Transport Authority to, in line with the requirements of the GO!Durban

Empowerment Charter/GO!Durban Radical Economic Transformation Specification,

engage with business entities that have made contributions for skills development

and corporate social investment, in an attempt to inform them on the proposal for the

establishment of the GO!Durban Legacy Fund and Programme as an appropriate

legal “vehicle” into which all existing allocations to potential beneficiaries shall be

made, and to solicit their support for the proposal.

6.4 That subject to the approval of .3 above and following his engagement with the

aforesaid contributing business entities, the Head : eThekwini Transport Authority be

requested to submit a report to Council, it being noted that such recommendations

will be endorsed and/or approved in order to facilitate the setting up of the

GO!Durban Legacy Fund.

6.5 That taking cognisance of the cross cutting of funding with other Clusters affected,

the implementation of the abovementioned recommendations be co-ordinated by the

relevant Deputy City Managers.

6.6 That a Political Oversight Committee be established to monitor the disbursement of

funding to the beneficiaries.

6.7 That a report on the prioritization programme for implementation of the

establishment of the Go!Durban Legacy Fund be submitted by end of June 2019

to Council.

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

of the Executive Committee expressing concern at the current status of the

City’s Integrated Rapid Public Transport Network. Further, it was mentioned

that deadlines in the construction thereof were not being adhered to with some

of the “corridors” still lying vacant.



As the majority of the Councillors were in support of the aforesaid

recommendations of the Executive Committee, especially taking into account

that the youth would benefit from the programmes associated therewith, the

matter was put to the vote. With 174 Councillors present, 126 Councillors

(ANC – 103, IFP – 10, EFF – 7, IND – 3, AIC – 2 and DLC - 1) voted in favour

and 48 Councillors (DA – 47 and MF - 1) voted against. There were no

abstentions recorded.

The above recommendations of the Executive Committee were,

by the majority vote, ADOPTED.

7. AUDIT COMMITTEE REPORT FOR THE SECOND QUARTER ENDED

31 DECEMBER 2018 (11/1/2)

(Page 128)

The Chairperson of the Audit Committee presented the abovementioned report and

highlighted the following areas of risk that could have an adverse impact on the

seamless running of the City:

► Poor attendance at Audit Committee meetings by Executive Management.

► No segregation of duties between User Unit and Supply Chain

Management Unit.

► Irregular Expenditure.

► Electricity and water losses.

► CAPEX spent to date.

► Performance Scorecard Review – 2019/2020.

► City Integrity and Investigation Unit Reports.

► Appointment of Inkosi Albert Luthuli ICC Chairman.

► Resolution of Previous Years Audit Findings.

Following such presentation an appeal was made to Members of the Executive

Committee to ensure that the recommendations made by the Audit Committee were

followed through and decisive action implemented.

Concern was expressed, amongst other things, on the ongoing irregular expenditure

due to lack of consequence management, backlog at the City Integrity &

Investigations Unit and lack of capacity thereto. The poor functionality of the

Revenue Management System in quantifying water losses and water theft was

concerning, taking into account the adoption of recent tariff increases.

The Executive Committee acknowledged the concerns raised and made the point that

that the onus rested upon it to ensure that all recommendations of the Audit

Committee were appropriately actioned. The view was expressed that every effort

should be made to ensure a robust engagement of the critical issues as raised by the

Audit Committee Chairperson, especially as such issues could compromise the City,

hence such matters should be urgently addressed. In that regard the City Manager

was requested to address the issue on behalf of the Committee with the following

recommendations:

● A Special Meeting of the Executive Committee be held on Thursday,

2019-04-25 at 17:00 to consider a comprehensive report from the

City Manager, comprising inter alia, the following issues, it being recorded that

all relevant role-players be requested to be in attendance.



- All recommendations taken by the Audit Committee in respect of issues

of concern and the actioning thereof.

- Recommendations of the Auditor-General and its implementation.

- Segregation of duties between User Units and Supply

Chain Management.

- Staffing capacity and backlog at City Integrity and Investigations Unit.

● Consideration of all Finance issues at the last monthly meeting of the

Executive Committee.

Accordingly,


7.1 That the Audit Committee Report for the Second Quarter ended 31 December 2018,

as submitted in terms of Section 166(2) of the Municipal Finance Management Act

No. 56 of 2003, to advise Council on the activities of the Audit Committee and the

results of its quarterly reviews, the systems of internal control; risk management;

financial management; performance and financial reporting; organizational

performance management and evaluation; internal audit function and outcomes;

fraud and corruption matters brought to the attention of Council, be noted.

7.2 That in noting and accepting the Audit Committee report as indicated in .1 above, the

City Manager is tasked to develop an action plan that will respond to the following

resolutions adopted by the Executive Committee on 2019-04-16 for consideration at

the Special Meeting of the aforesaid Committee to be convened on 2019-04-25:

7.2.1 All recommendations taken by the Audit Committee in respect of issues of concern

and the actioning thereof.

7.2.2 The implementation of recommendations by the Auditor-General and

its implementation.

7.2.3 Segregation of duties between User Units and Supply Chain Management.

7.2.4 Staffing capacity and backlog at City Integrity and Investigations Unit.

7.3 That the City Manager reports to the Executive Committee on a monthly basis on the

implementation and progress in respect of consequence management relative to the

issues raised by the Audit Committee.

7.4 That the report as mentioned in .3 above to include the progress in respect of

remedial action on the Auditor General’s findings and the Municipal Public

Accounts Committee’s oversight report.

ADOPTED.

8. NOTING OF RULE OF ORDER 28: REQUEST FOR APPROVAL TO HOST THE

2019 MEN’S COSAFA CUP TOURNAMENT TO TAKE PLACE FROM 25 MAY

TO 08 JUNE 2019 (33/2&13/2/1/1/1)

(Page L40)

In view of the Council meeting scheduled for 2019-04-30 not convening,

Her Worship the Mayor, Councillor ZRT Gumede approved the recommendations in

respect hereof, in terms of Rule of Order 28(1)(a)





8.1 That in view of the Council meeting scheduled for 2019-04-30 not convening, the

action of Her Worship the Mayor, Councillor ZRT Gumede, in approving as a matter

of urgency in terms of Rule of Order Bylaw 28(1)(a) the following recommendations

in respect of the above-mentioned matter, be noted:

8.1.1 That in acknowledging that the hosting of the Council of Southern Africa Football

Association (COSAFA) Cup would showcase the City of Durban as an

internationally renowned conference and sporting destination, in particular, sport

tourism and simultaneously attracting further high profile events to the City, the

hosting of the 2019 Men’s COSAFA Cup tournament to be held from 25 May to

08 June 2019 at the Moses Mabhida Stadium, be approved.

8.1.2 That subject to the approval of .1 above, authority be granted for the Inkosi Albert

Luthuli International Convention Centre (Durban ICC) to host the launch/draw

dinner for the COSAFA Cup.

8.1.3 That subject to approval of .1 and .2 above, the Head: Moses Mabhida Stadium be

authorised to enter into agreement with the South African Football Association for

the hosting of the COSAFA Cup.

8.1.4 That subject to approval of .1, .2 and .3 above, the budget of R7 200 000.00

(Seven Million Two Hundred Thousand Rand) towards the hosting of the

COSAFA Cup in eThekwini Municipality, be approved, it being recorded that funds

will be identified from savings in the Operating Budget.

8.1.5 That it be noted that the income to Council would be in the amount of R4 536 000.00

(Four Million Five Hundred and Thirty Six Thousand Rand) being derived from

ticket sales and that the KwaZulu-Natal Province will be approached to fund the net

cost of R2 664 000.00 (Two Million Six Hundred and Sixty Four Thousand Rand).

NOTED.

9. AUTHORITY TO EXTEND THE EXISTING MEMORANDUM OF

AGREEMENT FOR THE VUKUPHILE II LEARNERSHIP PROGRAMME

(EPWP) (4/3/5/3)

(Page L41)

It was noted that there would be no financial implications to the extension of the

existing Memorandum of Agreement for the Vukuphile Learnership Programme.

In amending the contract extension from twelve (12) to twenty four (24) months as

indicated in the departmental report,


9.1 That authority be granted to the City Manager to extend the Memorandum of

Agreement for Vukuphile Learnership Programme from twelve (12) to twenty four

(24) months.



9.2 That the Head: Mayoral Parlour, in consultation with the Acting Head: Legal

Services and Compliance, be authorized to finalize the extension of the

Memorandum of Agreement for a 24 (twenty four) month period or until the learner

contractors have reached the required level of competence in terms of the process,

whichever comes first.

ADOPTED.

____________________

(Her Worship the Mayor, Councillor ZRT Gumede, presented the Second

Report of the Executive Committee)

__________

SECOND REPORT OF THE EXECUTIVE COMMITTEE (Special Meeting held 2019-04-26)

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

(Deputy Mayor), HU de Boer, BA Fortein, NL Graham, SA Kaunda,

MM Mthembu, TM Mthethwa, MS Nkosi and ZR Sokhabase.

_____________

1. NOTING OF RULE OF ORDER 28: INTERIM REPORT ON THE HEAVY

RAINFALL THAT OCCURRED FROM 22 TO 23 APRIL 2019 (29/2/2/2)

(Page L1)

The tragic incident and loss of life as a result of heavy rainfall experienced by the

Municipality over the period 22 to 23 April 2019 was acknowledged with deep regret

and sadness by all Members of the Executive Committee.

However, some Members of the Executive Committee, having extended their

condolences to the grieving families who had lost loved ones, expressed concern on

issues, amongst other things, that the Disaster Management call centre was

incapacitated to receive a high volume of calls from the public during disasters.

The relief provided by NGO’s, churches and religious organisations was applauded

with a request for increased effort by the Municipality to provide necessary relief.

Consequently the need for a warehouse type facility to store large numbers of relief

merchandise was deemed to be crucial. It was further contended that the issue of

stormwater related incidents and the numerous complaints by communities with

other related incidents called for urgent intervention. Concern was also expressed on

the legitimate strike action by Municipal employees that was compounded by the fact

that many parts of the City were without electricity and water for a number of days.

In acknowledging that assistance to bereaved families in terms of burial and comfort

was imperative, Committee was cautioned to ensure that funding would be solely for

the benefit of such families and not spent on elaborate Memorial Services.



In response to the abovementioned concerns expressed the following clarity

was provided:

► The current call centre system was an improvement from previous years.

However, in an endeavour to further improve the process some calls that went

beyond the capacity would now be rerouted to other operational sectors.

► On the issue of a warehouse, the current storeroom at the Pinetown fire station

housed emergency stock, albeit not in large quantities.

► The Municipality was equipped with a state of the art Flood Early Warning

System, however publishing of the warning cannot be undertaken ahead of the

South African Weather Services Bureau. In that regard an intended

corroboration between National Disaster Management, the South African

Weather Services Bureau and the Municipality would mandate the City to

warn communities of flooding 48 hours prior to the incident.

► The contributory factor to the tardiness in distributing food was that certain

areas had been inaccessible due to damages that had occurred.

► The table of incidents as contained in the report was a summary compiled by

on the ground inspectors from the Municipality. A further comprehensive

report would be submitted to the Executive Committee.

► The amounts reflected for rehabilitation of hostels included that of Glebelands,

SJ Smith, Chatsworth and Bayview. A report thereto would be submitted to

both the Community Services Committee and Human Settlements and

Infrastructure Committee. With regard to R293 Townships, specific affected

Wards had been indicated.

► On the issue of funding, a portion of the damages would be claimed from

Council’s Insurers with a request to both the Provincial and National

Governments for funding. In terms of immediate rehabilitation funding would

be obtained from Council’s reserves.

However, in view of the Council meeting scheduled for 2019-04-30 not convening,


respect hereof, in terms of Rule of Order 28(1)(a)

Accordingly,






1.1.1 That Council approves the interim assessment report of the heavy rainfall incidents

which have occurred within the eThekwini Municipal area on 22 and 23 April 2019

resulting in the infrastructural damage estimated at R658 849 000.00 (Six Hundred

and Fifty Eight Million Eight Hundred and Forty Nine Thousand Rand) as quantified

by various Municipal Units and indicated in the table below:



Department Estimated Costs

Health Unit R 3 000 000.00

Engineering R248 400 000.00

Human Settlement R327 919 000.00

Electricity R 19 530 000.00

Water & Sanitation R 60 000 000.00

Parks & Recreation Not yet available

Total R658 849 000.00

1.1.2 That in view of .1 above, authority be granted to the City Manager to commission

the Units concerned to commence with the planning and rehabilitation of

infrastructure on both a short and long term basis.

1.1.3 That authority be granted to the City Manager to ensure that all infrastructure are

assessed and emergency rehabilitation implemented where required.

1.1.4 That authority be granted to the Deputy City Manager: Human Settlements,

Engineering & eThekwini Transport Authority to commence with the rehabilitation

and construction of damaged Low Cost Housing, Community Residential Units,

Informal Settlements and Transit Facilities utilizing existing funding and also seek

additional funding from the National Government for the full extent of the disaster to

implement the entire scope of damages incurred.

1.1.5 That based on the extent of damages as a result of heavy rainfall of 22 and

23 April 2019, the Municipality declares a local state of disaster within the

eThekwini Municipal area, as per Section 55 of the Disaster Management

Act No. 57 of 2002.

1.1.6 That, subject to .5 above, Council recommends to the KwaZulu-Natal Provincial

Cabinet for the declaration of a National Disaster within the eThekwini Municipal

area, in line with the provisions of Section 55 of the Disaster Management

Act 57 of 2002.

1.1.7 That authority be granted to the City Manager to develop programs that respond to

both the National and Provincial determined programs.

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

emergency funding for the emergency relief and rehabilitation as indicated in .2, .3,

.4, .5, and .6 above, and to re-prioritise Urban Settlement Development Grant

(USDG) funding in order to fund human settlements projects that require

USDG funding.

NOTED.

__________

(Her Worship the Mayor, Councillor ZRT Gumede, presented the Third Report

of the Executive Committee)

__________



THIRD REPORT OF THE EXECUTIVE COMMITTEE (Special Meeting held 2019-04-29)

PRESENT : Executive Committee Members F Peer (Deputy Mayor – In the Chair),

HU de Boer, BA Fortein, NL Graham, SA Kaunda, MM Mthembu,

TM Mthethwa, MS Nkosi and ZR Sokhabase.

ABSENT : Executive Committee Member ZRT Gumede (Mayor and Chairperson –

Municipal Business Leave)

_____________

1. REPORT OF THE COMMUNITY SERVICES COMMITTEE: MEETING HELD

ON 2019-04-11

(Page R1)

1.1 Call for Applications for Sundry Grant-In-Aid: 2019/20 (7/14/1):

(Page 49: Community Services Committee - Agenda 2019-04-11)


That Council notes that the Head: Community Participation and Action Support

is in the process of advertising to invite applications from Non-Profit Organisations

to be considered to be allocated Sundry Grant-In-Aid for the 2019/20 financial year,

to support organisations aimed at addressing socio-economic issues within

the eThekwini Municipal area, with the advert to be open from 01 May to 01 July

2019, as per the advert and application form contained in the report by the

City Manager dated 2019-03-29 and to be advertised in local newspapers and in the

Municipal website.

ADOPTED.

1.2 Allocation of Grant-In-Aid: Parks, Recreation and Culture Unit (7/14/1/1):



1.2.1 That in accordance with Section 67 of the Municipal Finance Management Act,

certain requirements must be met before transferring funds of the Municipality to

organisations and bodies outside any sphere of government, therefore, in this regard,

subject to a Memorandum of Agreement between eThekwini Municipality and each

Art Centre being concluded, authority be granted to the Parks, Recreation and

Culture Unit to allocate grants to the following Art organisations:-

1.2.1.1 Wushwini Pan African Centre be allocated a grant of R1 250 000.00 (One Million

Two Hundred and Fifty Thousand Rand) for the 2019/2020 financial year.

1.2.1.2 The Play House be allocated a grant of R2 000 000.00 (Two Million Rand) for the

2019/2020 financial year.



1.2.1.3 Siwela Sonke Dance Company be allocated a grant of R1 250 000.00 (One Million

Two Hundred and Fifty Thousand Rand) for the 2019/2020 financial year.

1.2.1.4 Wentworth Arts and Culture Organisation be allocated a grant of R500 000.00

(Five Hundred Thousand Rand) for the 2019/2020 financial year.

1.2.1.5 The KwaZulu-Natal Society of The Arts be allocated a grant of R1 000 000.00

(One Million Rand) for the 2019/2020 financial year.

1.2.1.6 Simphiwe Shembe Foundation be allocated a grant of R500 000.00 (Five Hundred

Thousand Rand) for the 2019/2020 financial year.

1.2.1.7 African Art Centre be allocated a grant of R1 000 000.00 (One Million Rand) for the


1.2.1.8 Nelisa Mzimela Foundation be allocated a grant of R500 000.00 (Five Hundred

Thousand Rand) for the 2019/2020 financial year.

1.2.1.9 Zizezande Youth Organisation be allocated a grant of R250 000.00 (Two Hundred

and Fifty Thousand Rand) for the 2019/2020 financial year.

1.2.1.10 Durban Black Drifters be allocated a grant of R500 000.00 (Five Hundred Thousand

Rand) for the 2019/2020 financial year.

1.2.1.11 The KwaZulu-Natal Heritage Foundation be allocated a grant of R250 000.00

(Two Hundred and Fifty Thousand Rand) for the 2019/2020 financial year.

1.2.1.12 The KwaZulu-Natal United Music Industry Association be allocated a grant of

R1 750 000.00 (One Million Seven Hundred and Fifty Thousand Rand) for the


1.2.1.13 K-CAP be allocated a grant of R1 000 000.00 (One Million Rand) for the 2019/2020

financial year.

1.2.1.14 Bat Centre be allocated a grant of R1 000 000.00 (One Million Rand) for the


1.2.1.15 Durban Music School be allocated a grant of R1 000 000.00 (One Million Rand)

for the 2019/2020 financial year.

1.2.1.16 LEBU Discovery Productions NPC be allocated a grant of R250 000.00 (Two

Hundred and Fifty Thousand Rand) for the 2019/2020 financial year.

1.2.1.17 Centre for Creative Arts be allocated a grant of R2 000 000.00 (Two Million Rand)

for the 2019/2020 financial year.

1.2.2 That in the interim, subject to the approval of 1.2.1.1 to 1.2.1.17 above, authority be

granted to the City Manager to enter into a Memorandum of Agreement with the

organisations be allocated grant funding, for a period of one (1) year, covering all

aspects as required in terms of Section 67 of the Municipal Finance Management

Act, 2003 (Act No. 56 of 2003).



1.2.3 That, thereafter, a call for funding proposals be made no later than 2019-12-13 for all

interested organisations to apply for a three (3) year grants during which Parks,

Recreation and Culture Unit will undertake public consultations with interested

organisations.

Financial Implications

Budget Provision : R16,000 000.00 (for 2019/2020 financial year)

Vote No. 15503 Various

FC No.: 34/349

ADOPTED.

1.3 2019 Verge Competition (31/4/1):


Committee noted that there was an amount of R500 000 00 (Five Hundred Thousand

Rand) that the City won in the City Arbor Awards and kept in the Arbour Winning

Budget. It was therefore advised that the City will not incur any costs for the Verge

Competition since the Arbour Winnings budget of R500 000 00 (Five Hundred

Thousand Rand) be used to fund the competition. Furthermore, it was mentioned that

competition will be hosted in December 2019.

Accordingly,


1.3.1 That authority be granted for the Head: Parks, Recreation and Culture to administer

overall implementation of the 2019 Verge Competition and ensure that procurement

process is followed in this regard.

1.3.2 That authority be granted for the Head: Parks, Recreation and Culture to utilise an

amount of R450 000.00 (Four Hundred and Fifty Thousand Rand) from the Arbour

Winnings for the 2019 Verge Competition and follow the Supply Chain Management

Policy for the logistical requirements.


Arbour Winnings budget provision-R500 000.00

FC No. 59/971

ADOPTED.

1.4 Liberation Heritage Route Project – Celebrating 25 Years of Democracy (2/3/2/1/2):


The City of eThekwini is celebrating twenty five (25) years of democracy through

Liberation Heritage Route Project. The celebration will include performing arts in

commemoration of the liberation struggle. During discussion at the Community

Services Committee it was agreed that a consultation process would be undertaken

across political parties to ensure an all-inclusive celebration in terms of political

leaders who were involved in the liberation struggle. The exact date of the

celebration would be confirmed after the consultation stage.

Members of the Democratic Alliance registered their concerns with the content of the

report citing that it is politically-biased to the ruling party. As such, they voted

against the matter.



Members of the Inkatha Freedom Party supported the matter provided consultation

is conducted and the involvement of leaders of other political parties who were also

part of the struggle. With the majority being in support and understanding that

further engagements will be held in preparation for the celebration the matter

approved at Support Committee level.

During deliberations at EXCO, Members of the Democratic Alliance reiterated their

concerns that the report is solely focused on elevating the ruling party. As such, they

voted against the matter, pointing out that the Municipal funds could not be utilised

to fund what is regarded a politically-related activity.

A member of the Inkatha Freedom Party made reference to a pivotal role played by

the IFP President as well as other leaders in the liberation struggle. However, that he

and other leaders are often overlooked when it comes to recognition. Further,

that although commitments are made to consult other parties, but in practice this

never happen. As such, the IFP voted against the matter.

Members of the African National Congress confirmed that the process would

be transparent as per the recommendation indicating that consultation will be

undertaken. They were of the view that issues could only be raised when there is

evidence that the Department has failed to implement the recommendation

as outlined.

With the DA (03); IFP (01) voting against and; the ANC (05), voting in support,


1.4.1 That authority be granted to the Head: Parks, Recreation and Culture to incur

expenditure in the amount of R960 000.00 (Nine Hundred and Sixty Thousand Rand)

to support the Liberation Heritage Route Project: Celebrating 25 years of democracy

on the date and venue still to be confirmed.

1.4.2 That consultation and invitation to involve other political parties be made by the

Parks, Recreation and Culture Unit.



FC No. 34/333

During discussion of this item some Councillors were not in support of the

recommendations of the Executive Committee, contending that such

recommendations would be solely to the benefit of the ruling Party, also citing

the utilisation of Municipal funds thereto as being inappropriate.

Furthermore, the issue of consultation on this matter with Leaders of other

Political Parties, especially the Leader of the IFP was highlighted, with special

reference to his role in the liberation struggle.

At this juncture Councillor MS Nkosi of the IFP indicated that he had heard a

derogatory comment from a Councillor of the ANC about the Leader of the

IFP. In that regard he appealed to the Speaker to request for such comment to

be withdrawn. The Speaker advised that he had not heard the comment and

therefore could not request a withdrawal thereof. Having said that,



he apologised to Councillor Nkosi and thereafter requested that the meeting

proceed. Councillor Nkosi was adamant that the derogatory comment had been

made and reiterated his request for a withdrawal of that comment.

He proceeded to approach the front table of the Speaker demanding equal

treatment on matters of this nature.

A vigorous discussion thereafter ensued with Councillor Nkosi insisting that the

comment be withdrawn and with an interjection from many Councillors who

wished to speak on the matter. As no progress had been made in that regard,

Her Worship the Mayor, Councillor ZRT Gumede and the Chief Whip,

Councillor NN Nyanisa exercised responsible leadership and apologised

unconditionally to Councillor Nkosi. Councillor Nkosi however was unyielding

in his request for the comment to be withdrawn, by a specific Councillor who

uttered it.

With no amicable resolution being reached 10 Members of the IFP left and

abandoned the meeting.

The matter was thereafter put to the vote. With 164 Councillors present

110 Councillors (ANC – 105, IND – 3, AIC – 1 and DLC – 1) voted in favour

and 8 Councillors (EFF – 7 and MF – 1) voted against. There were no

abstentions recorded. However, it is recorded that 46 DA Councillors did not

vote on the above-said recommendations.

The above recommendations of the Executive Committee were, by the

majority vote, ADOPTED.

(At this juncture the DA requested a 10 minute caucus which was granted.

On their return the DA expressed concern on the manner in which this item had

been addressed and the poor treatment of the IFP. They contended that the

Speaker had shown bias towards the ANC and had not permitted Councillors

from the DA and the EFF to speak thereon. With the Speaker not allowing any

further Councillors to speak on the matter as consideration of the item had been

concluded, 46 Councillors of the DA, followed by 7 Councillors of the EFF left

and abandoned the meeting. With 111 Councillors (ANC – 105, IND – 3,

AIC - 1, MF – 1 and DLC – 1) being present it was noted that this Council

meeting was quorate).

1.5 Request for Adjusted Budget for Articulate Africa Programme 2018/2019 (34/3/1):

(Page L38: Community Services Committee - Agenda 2019-04-11)

The Democratic Alliance submitted that there were various other matters that were

part of the Articulate Africa Programme in addition to hosting events. A request was

therefore made to receive update report on implementation of those matters.

On this basis,


1.5.1 That approval be granted to allow the addition of R5 029 332.50 (Five Million and

Twenty Nine Thousand Three Hundred and Thirty Two Rand and Fifty Cents) from

Provincial Subsidy and UNESCO funding in order to fully fund the Articulate Africa

Programme, taking into account as well .2 below.



1.5.2 That the approval of .1 above takes into account expenses which were previously

covered by centralised Essence Votes and the expansion of the project to include

additional creative sectors identified by the City’s Participation in the UNESCO

Creative Cities Network emanating from its recent designation as a UNESCO

City of Literature.

1.5.3 That subject to .1 & .2 above, approval be granted for the total budget of Articulate

Africa to be increased to R9,797 912.56 (Nine Million Seven Hundred and Ninety

Seven Nine Hundred and Twelve Rand and Fifty Six Cents).

1.5.4 That the change of date for Articulate Africa from September 2018 to

10-13 April 2019, be noted.



FC No. 32/215

ADOPTED.

2. REPORT OF THE SECURITY AND EMERGENCY SERVICES COMMITTEE;

MEEETING HELD ON 2019-04-17

(Page R5)

2.1 Report on Loaned Gym Equipment to Amanzimtoti Fire Station By a Private Citizen

(8/1/2):

(Page 47: Security and Emergency Services Committee - Agenda 2019-04-17)

The erstwhile Amanzimtoti Fire and Emergency Services Department had previously

received various items of gym equipment from Mr J Cilliers in 1995. The assets were

received as a loan with a condition that Mr Cilliers was entitled to repossess

them in future.

In February 2018, Mr Cilliers notified the Amanzimtoti’s Fire and Emergency

Services Department of his intention to claim back the gym equipment. It has been

ascertained that the gym equipment was kept and used by the Firefighters

for over 20 years and that few items had been decommissioned and disposed of

during this period.



2.1.1 That authority be granted to the Head: Fire and Emergency Services Department

to return the assets loaned from Mr J Cilliers as per the agreement entered into by the

erstwhile Borough of Amanzimtoti, it being recorded that the normal Council

procurement processes shall be followed to procure replacement gym equipment.

2.1.2 That subject to the approval of .1 above, authority be granted to the Head: Legal and

Compliance Services to terminate the agreement entered into by the erstwhile

Borough of Amanzimtoti and Mr. J Cilliers.



2.1.3 That authority be granted to the Deputy City Manager: Finance for the removal

of the equipment to the value of R369 368.80 (Three Hundred and Sixty Nine

Thousand Three Hundred and Sixty Eight Rand and Eighty Cents) from the current

asset register, it being noted that some items listed at the initiation of the loan have

been decommissioned and disposed of during the loan period.

ADOPTED.

2.2 Establishment of Ward Safety Committees:


Based on the existing Ward Committee structures informed by Section 73

of the Municipal Structures Act 117 of 1998, in September 2018, the Safer Cities

Unit embarked on the process to establish Ward Safety Committees. They are

Sub-Committees to Ward Committees and are founded on principles of National

Crime Prevention Strategy which are community based and created to support crime

prevention initiatives. The recently established Ward Safety Committees have

undergone initial capacity building conducted by the Safer Cities Unit.

Accordingly,


That Council notes progress in terms of the establishment and initial training of Ward

Safety Committees as well as their participation in the launch of the eThekwini

Municipal-wide Community Safety Forum scheduled for 2019-04-23, which seeks to

co-ordinate safety programmes and projects.

NOTED.

2.3 Illegal Encroachment into Pipeline Servitudes (29/1/2/5):


An urgent need exists to relocate communities who had erected informal settlements

within and in the immediate vicinity of flammable gas and petroleum pipeline

servitudes in an effort to prevent loss of life should an accident occur involving the

pipeline. Formal complaint has been received from Sasol and Transnet regarding

illegal construction of unauthorized structures (informal structures) encroaching on

pressure methane rich gas pipeline in various areas like Clairwood and Cato Manor.

This matter has connotation of land invasion and therefore the Land Invasion Unit

would be involved.

This situation poses risk of litigation should any accident involving pipeline occurs,

therefore, certain interventions or remedial actions such as public awareness

meetings had been convened by all parties involved.

During deliberations at the Executive Committee level, the recommendations were

amended with a view to identifying all communities residing in the vicinity of

flammable pipeline for relocation purposes.

Accordingly,


2.3.1 That in a bid to avert illegal encroachment into pipeline servitude and subject to

confirmation of ownership of the land affected, the communities residing in and in

the vicinity of flammable pipeline be relocated and their structures be demolished.



2.3.2 That an assessment be undertaken of all informal settlements located in dangerous

areas including rivers and flood plains and all communities be relocated with

immediate effect.

2.3.3 That the location of such settlements in dangerous areas be prohibited in future.

MOTION TO AMEND

In terms of Rule of Order Bylaw 20(4), Councillor MM Mthembu, seconded by

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

recommendations of the Executive Committee be amended in 2.3.2 thereof, by

the deletion of the words “all communities be relocated with immediate effect”

and by the substitution therefor of the words “and a report be submitted to the

Human Settlements and Infrastructure Committee”, to read as follows:

“2.3.2 That an assessment be undertaken of all informal settlements located

in dangerous areas including rivers and flood plains and a report be

submitted to the Human Settlements and Infrastructure Committee.”

CARRIED

The above-mentioned Motion to Amend was unanimously CARRIED.

Whereafter, it was

RESOLVED:

2.3.1 That in a bid to avert illegal encroachment into pipeline servitude and subject to

confirmation of ownership of the land affected, the communities residing in and

in the vicinity of flammable pipeline be relocated and their structures be

demolished.

2.3.2 That an assessment be undertaken of all informal settlements located in

dangerous areas including rivers and flood plains and a report be submitted to

the Human Settlements and Infrastructure Committee.

2.3.3 That the location of such settlements in dangerous areas be prohibited in future.

3. REVISED REMUNERATION FRAMEWORK FOR MEMBERS OF OVERSIGHT

ASSURANCE COMMITTEES OF ETHEKWINI MUNICIPALITY (4/5/1/1)

(Page 39)


3.1 That Council approves the revised Remuneration Framework for Members

of Oversight Assurance Committees of eThekwini Municipality, which represents

an annual inflation adjustment of 6%, which will be implemented as per the

breakdown of oversight functions and categories contained in the report by the City

Manager dated 2019-04-09, and, payable for the duration of the term of office in the

case of the Audit Committee.



3.2 That, subject to .1 above, and given that the remuneration rates were last reviewed

in 2016, Council approves retrospective payment of 6% to the Audit Committee

Members for the past two financial years, 2016/17 and 2017/18.

ADOPTED.

4. NOTING OF RULE OF ORDER 28: FILLING OF VACANT BOARD MEMBERS’

POSTS AT INKOSI ALBERT LUTHULI INTERNATIONAL CONVENTION

CENTRE 4/3/2)

(Page 52)

The Inkosi Albert Luthuli International Convention Centre has three (03) vacant

positions of Board Members. The term of office of two (02) Board Members,

namely, Mr Mike Jackson and Mr Zwile Zulu has expired on 30 September 2018.

The necessary recruitment and selection process has been followed to fill the

positions. While in the middle of this process, another Board Member, namely,

Mr Sifiso Msomi, resigned effective 30 September 2018 thus making vacant

positions to be three (03).

As such, authority is being sought to fill three (03) positions of Board Members as

per the candidates recommended who are in possessions of requisites skills;

qualifications; experience and expertise. The due process for the appointment of

Board of Directors of Municipal Entities was followed.

However, in view of the Council meeting scheduled for 2019-04-30 not convening,


respect hereof, in terms of Rule of Order 28(1)(a).

Accordingly,






4.1.1 That Council notes the expiry of the term of office of the Inkosi Albert Luthuli

International Convention Centre (ICC) Board Members, namely, Messrs Mike

Jackson and Zwile Zulu with effect from 30 September 2018.

4.1.2 That Council notes the resignation of the ICC Board Member, Mr Sifiso Zulu,

effective 30 September 2018.

4.1.3 That subject to .1 and .2 above, Council approves the filling of the positions of three

(03) vacant positions of Board Members with the following candidates which have

met the ICC Board appointment criteria:

No. Candidate Profile

1. Professor Bonke Dumisa Former CEO of Durban Chamber of Commerce and Economic

Analyst

Currently Chairperson of KZN Provincial Planning Commission

Holds various degrees and has a combination of business and law

expertise

Has adjudicated in various institutions such as National consumer

Tribunal and Broadcasting Complains Commission of SA



No. Candidate Profile

2. Mrs Linda Rose-Ann Ngcobo Managing Director in Aqrate KZN, a BEE Rating Agent

Extensive Board experience having served in public and private

sector institutions

A qualified Chartered Accountant

Appointed first female Vice President at the Durban Chamber of

Commerce

3. Mr Moses Tembe Seasoned Entrepreneur

Former President of Chamber of Commerce

Currently Co-Chair KZN Growth Coalition

Non-Executive Chair of Ubuhle OCS Cleaning Services (Pty) Ltd

Holds BA in Public Administration and Political Science

Completed the Caltex Business Management Programme with the

University of Cape Town

Plays a pivotal role in advancing regional economy

4.1.4 That the term of office for the new three (03 Board members referred to in .3 above

commences on 01 May 2019 and expires on 30 April 2021.

NOTED.

5. UPDATE REPORT ON 2019 TOURISM INDABA, 02-04 MAY (20/1/4/3)

(Page 56)

It will be recalled that the City of eThekwini together with its Bid Parties

won a bid to host Tourism Indaba in Durban for a five (05) year period with effect

from 2018 to 2022. This is the largest tourism event in the African Continent where

tourism products are showcased. The event also attracts a number of international

buyers and media thus positioning the City as the destination of choice worldwide.

The 2019 event is scheduled to take place from 02 to 04 May. The City is ready to

welcome the world and the official opening would be made by the State President

accompanied by the National Minister of Tourism. A variety of other events

will be held as part of Tourism Indaba.


5.1 That Council notes that the 2019 Tourism Indaba is scheduled to take place from

02 to 04 May at Inkosi Albert Luthuli International Convention Centre and

Durban Exhibition Centre.

5.2 That Council notes activities to be held as part of Tourism Indaba, in particular, the

temporarily installation of sculptures of two global icons, Dr. Nelson Mandela and

Inkosi Albert Luthuli for marketing purposes in line with celebrating 25 years of

Democracy to showcase Durban’s Culture and Heritage as a tourism experience.

5.3 That Council notes strategic platforms have been created for the City leadership

to participate at Tourism Indaba to promote the City of eThekwini.

NOTED.



6. QUARTERLY REPORT ON WITHDRAWALS FROM MUNICIPAL BANK

ACCOUNT IN TERMS OF THE MUNICIPAL FINANCE MANAGEMENT ACT

(7/13/R&11/1/2)

(Page 64)


That the quarterly report on withdrawals from the Municipal bank account

as at 31 March 2019 submitted in terms of Section 11(4) of the Municipal Finance

Management Act, be noted, it being recorded that the withdrawals were in terms of

the following subsections:

● Section 11(f): To refund money incorrectly paid into a bank account

● Section 11(g): To refund guarantees, sureties and security deposits

● Section 11(h): Investment of money not immediately required

NOTED.

7. REPORT ON INVESTMENTS FOR THE PERIOD 28 FEBRUARY TO

31 MARCH 2019 (7/11/4)

(Page 66)


That the report on investments for the eThekwini Municipality as at 2019-03-31,

which records the total funds invested at financial institutions as R7 979 Million

Rand, at an average rate of return on investments of 7.99%, 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.

8. REPORT ON AWARDS BY THE CITY FOR THE MONTH OF MARCH 2019

(9/1/3)

(Page 72)


8.1 That the public tender awards by the City for the month of March 2019, 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 2019-04-18,

be noted.

8.2 That it be noted that where the 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.

8.3 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.



8.4 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 8.1 and 8.2 NOTED and Recommendations 8.3 and

8.4 ADOPTED.

9. BUDGET STATEMENT REPORT FOR THE QUARTER ENDING 2019-03-31

(7/1/4)

(Page 96)

The City Manager was requested to look into the issue of performance information

where achievements of predetermined targets appeared to be lower that the

projection. This was considered concerning given the imminence of the end of the

financial year.

On this basis,


That Council notes the Budget Statement Report for the Month ended 31 March 2019

and submitted in compliance with Section 52 (d) of the Municipal Finance

Management Act and Regulations under this Act.

NOTED.

10. REPORT ON THE SERVICE DELIVERY AND BUDGET IMPLEMENTATION

PLAN (SDBIP) FOR QUARTER ENDING 31 MARCH 2019 (2/10/1/1/9)

(Page 247)


10.1 That in terms of the Municipal Finance Management Act, Circular No. 13,

the Service Delivery and Budget Implementation Plan for the quarter ended

31 March 2019, which reflects the overall unaudited achievement rate of 76.86% for

eThekwini Municipality; 94.12% for Inkosi Albert International Convention Centre;

and 100% for Durban Marine Them Park., be noted.

10.2 That Council notes the unaudited achievement rate in terms of projects and

sub-projects as at 31 March 2019 is 87.57% for eThekwini Municipality; 93.75% for

Inkosi Albert Luthuli International Convention Centre; and 100% for Durban Marine

Theme Park.

NOTED.

__________

(Her Worship the Mayor, Councillor ZRT Gumede, presented the

Fourth Report of the Executive Committee).

__________



FOURTH REPORT OF THE EXECUTIVE COMMITTEE (Meeting held 2019-05-21)

PRESENT : Executive Committee Members F Peer (Deputy Mayor – Acting Chairperson),

BA Fortein, NL Graham, SA Kaunda, MM Mthembu, TM Mthethwa,

MS Nkosi and ZR Sokhabase and there being one vacancy.

ABSENT : Executive Committee Member ZRT Gumede (Mayor and Chairperson)

(On Leave).

_____________

1. PROGRESS REPORT ON THE ESTABLISHMENT OF ETHEKWINI

MUNICIPALITY DOMESTIC MEDIUM-TERM NOTE PROGRAMME (7/3/1/1/2)

(Page 19)

It will be recalled that Council has previously approved the establishment of the

eThekwini Municipality’s Domestic Medium-Term Note (DMTN) Programme

totalling R10 Billion to be issued over the next ten years. In receiving progress

report, clarity has been provided with regard to oversight in terms of borrowings and

the Domestic Medium Term Note programme being listed on the Johannesburg

Stock Exchange and the benefits being derived therefrom,


1.1 That progress and overview of the establishment of the eThekwini Municipality

Domestic Medium-Term Note (DMTN) Programme totaling R10 Billion, as

indicated in the report of the City Manager dated 2019-05-13, be noted, and the key

salient features include the following:

1.1.1 DMTN serves as an alternative borrowing source where the Municipality will issue

to potential investors a wide range of debt instruments on a short to long-term period

with a desired maturity date and earn interest to supplement funds for its service

delivery obligations.

1.1.2 The Municipality has procured the services of a Lead Arranger to facilitate

the Johannesburg Stock Exchange (JSE) formalities on behalf of the Municipality

and give access to a pool of credible investor base.

1.1.3 The Municipality will procure the services of external Legal Advisors to vet the

JSE registration documents.

1.1.4 The Municipality will require the service of external auditors to verify financial

matters contained in the DMTN Programme documentation and auditing the work of

the Lead Arranger.

NOTED.



2. ADDENDUM REPORT ON PUBLIC TENDER AWARDS MADE BY THE CITY

FOR THE MONTH OF FEBRUARY 2019 (9/1/3)

(Page 24)

The eThekwini Municipal Council at its meeting held on 30 March 2019 considered

and noted a report on tenders awarded by the Municipality during the month of

February 2019. It has since become necessary to submit an addendum report to make

corrections in respect of two (02) contracts) relating to the supply, installation,

testing and commission of CCTV electronic security equipment for a period of 36

months (Annexure A of Addendum report); and the accumulative figures of contracts

that were awarded in the current financial year (Annexure C of Addendum report),

contained in the Report by the City Manager dated 2019-04-29.

With respect to the security equipment tender, clarity is given that the differences

in the total value of tenders reported in three categories is that the contract amount

of EOH Security and Building Technologies (Pty) Limited is not calculated in any of

the reported target groups because the company is not claiming BEE points and it is a

Cape Town-based.

With regard to Annexure C, the addendum report now contains the correct figures

of contracts awarded in the current financial year and accumulating in terms

of contracts awarded and contract values from July 2018 to June 2019.



That Council notes the two (02) corrections made to the report on Public Tender

Awards for February 2019, as indicated in Annexures A and C of the addendum

report of the City Manager dated 2019-04-29, it being recorded that such corrections

relate to the contract for the supply, installation, testing and commission of CCTV

electronic security equipment for a period of 36 months and the accumulative figures

of contracts that were awarded in the current financial year.

NOTED.

3. REPORT ON AWARDS MADE BY THE CITY FOR THE MONTH OF APRIL

2019 (9/1/4)

(Page 28)

Reference was made to CCTV infrastructure installed within the City to monitor

crime and traffic but which is not operational. Reservations were therefore expressed

on additional tender awards under these circumstances. It was then requested that

a presentation on CCTV infrastructure within the City be made to the Executive

Committee to make necessary assessment.

However,


3.1 That the Public Tender Awards made by the City for the month of April 2019,

inclusive of awards made in terms of Section 36 of the Supply Chain Management

Regulations, as contained in the report of the City Manager, be noted.



3.2 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.

3.3 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.

3.4 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 3.1 and 3.2 NOTED and Recommendations 3.3 and

3.4 ADOPTED.

4. FUNERAL ASSISTANCE IN LINE WITH THE CIVIC FUNERAL POLICY

GUIDELINES: THE LATE FORMER ETHEKWINI MUNICIPALITY’S

COUNCILLOR AND CHIEF WHIP: STANLEY ZAMOKWAKHE XULU (13/6)

(Page L5)

The former Councillor and Chief Whip of eThekwini Municipal Council,

Stanley Zamokwakhe Xulu, had been called to rest on 2019-05-17. It was noted he

had served as a Ward Councillor for more than eleven (11) years and had been

appointed as Chief Whip for the Council term 2011 to 2016. During that period he

made certain that Council had exercised a strong oversight role to ensure speedy and

effective service delivery. He was accredited for ensuring the participation of local

communities in service delivery initiatives and this enabled a prosperous future for

generations to come.

The Executive Committee Members Graham and Mthethwa of the Democratic

Alliance abstained and requested a breakdown to categorise items to be covered by

the amount of R200 000.00 (Two hundred Thousand Rand) being recommended for

funeral costs.

With the majority of the members being in support,


That in line with the provision of the Municipality’s Civic Funeral Policy, Council

approves the allocation of an amount of R200 000.00 (Two Hundred Thousand

Rand) to contribute towards the funeral costs of the late eThekwini Municipality’s

Former Councillor and Chief Whip, Stanley Zamokwakhe Xulu.

Vote Number Estimated Cost

32601.19110.10.12120.0000.MRC01.0010 R200 000.00

ADOPTED.

____________________

(Her Worship the Mayor, Councillor ZRT Gumede, presented the Fifth Report

of the Executive Committee).

___________



FIFTH REPORT OF THE EXECUTIVE COMMITTEE (Meeting held 2019-05-28)

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

F Peer (Deputy Mayor), BA Fortein, NL Graham, SA Kaunda, MM Mthembu,

TM Mthethwa, MS Nkosi and there being one (01) vacancy.

1. REPORT OF THE ECONOMIC DEVELOPMENT AND PLANNING

COMMITTEE: MEETING HELD ON 2019-05-22

(Page R1)

1.1 Authority to Acquire Portions of Property from South African National Roads

Agency (17/2/1/1/2):

(Page 20: Economic Development and Planning Committee - Agenda 2019-05-22)

Authority is being sought to acquire from the South African National Roads Agency

(SANRAL), properties described as PTN 2 of ERF 165, PTN 2 of ERF 166, PTN 2

of ERF 167, PTN 2 of ERF168 and PTN 2 of ERF 169, all of Cato manor –

Registration Division FT, situated in the eThekwini Municipal area

of KwaZulu-Natal.

Tourism Development and Destination Promotion, Enterprise Development and

Access to Market, with more focus on Township and Rural Tourism, remain the

strategic focus area to promote economic growth and job creation. The acquisition

of the aforementioned properties will contribute toward achieving this aim by:

● Achieving economic transformation since the location of this property in the

township will benefit previously disadvantaged people and enable

the Municipality to realise the goals of Radical Economic Transformation.

● Promoting Township Tourism as enshrined in the Durban Tourism’s Visitor

Marketing Strategy to ensure total experience for visitors and all-inclusive

participation and benefits.

A total amount of R268 000.00 (Two Hundred and Sixty Eight Thousand Rand),

(excluding VAT), is estimated to be the cost of acquiring the property, provision

for which has not been made in this financial year. However, savings have been

identified from Project S3072, and the expenditure will be regularized

via the 2018/2019 Capital Adjustment Budget.

Members of the DA and the EFF abstained at the Economic Development

and Planning Committee level. The DA was of the view that the Municipality should

not purchase the land whilst it was still being occupied by tenants, which could pose

a problem for the Municipality in terms of evicting occupants.

In terms of the information shared at the Executive Committee, the property will be

purchased and owned by the Municipality. That various tourism offerings will be

considered as part of promoting township tourism in this area. A proper land use plan

was therefore requested to ensure various tourism-related business were

accommodated. The recommendations were thereafter amended for Council



to delegate authority to the Head with no involvement in the Supply Chain

Management processes.

Accordingly,


1.1.1 That authority be granted for the Head: Real Estate to facilitate the acquisition

of the property described as PTN 2 of Erf 165, PTN 2 of Erf 166, PTN 3 of Erf 167,

PTN 2 of Erf 168 and PTN 2 of Erf 169, all of Cator Manor – Registration Division

FT at an estimated amount of R268 000.00 (Two Hundred and Sixty Eight Thousand

Rand) (excluding VAT).

1.1.2 That subject to the adoption of .1 above and the approval of the Bid Adjudication

Committee, authority be granted to the Head: Real Estate to sign the relevant

agreements and all documents necessary to effect transfer / registration of the said

property to the eThekwini Municipality.

Financial Implications:

PORTION ERF EXTEND AMOUNT

2 165 Cator Manor – FT 1516m² R 50 000.00

2 166 Cator Manor – FT 3107m² R 25 000.00

3 167 Cato Manor – FT 2787m² R 85 000.00

2 168 Cator Manor – FT 1903m² R 80 000.00

2 169 Cator Manor - FT 2033m² R 28 000.00

R268 000.00

Vote Number: 26540.45595.12120. 0000. PC5100.0010; F.C No. 2019/32/CA03.

ADOPTED.

1.2 Partnership Platform for the Digital Industrial Revolution Programmes (20/1/6/1):


A need exists for the eThekwini Region to start preparing for the Fourth Industrial

Revolution (4IR). This relates to human development enabled by extraordinary

technological advances. The 4IR will bring significant changes in business life and

will dictate new skills requirements.

With eThekwini Municipality being mandated to promote economic and social

development within its area of jurisdiction, it is responsible for managing digital

transition linked to the 4IR. Hence, the Municipality through its Economic

Development Unit will collaborate with the University of KwaZulu-Natal (UKZN)

to run the KZN Centre for Radioastronomy Economic Advancement, Technology

and Entrepreneurship (KREATE).

The establishment of KREATE as the partnership platform to support the Digital

Industrial Revolution in order to achieve the desired outcomes of strong economic

growth; sustainable job creation, and poverty alleviation across industrial sectors

aligns with the economic development objectives of the Municipality.



Having noted the importance of keeping up with technology and the

industrial revolution,


1.2.1 That authority be granted for the support and funding of the KZN Centre for

Radioastronomy Economic Advancement, Technology and Entrepreneurship

(KREATE) as a collaboration platform to prepare local industrial sector for the

Fourth Industrial Revolution.

1.2.2 That subject to approval of item .1 above, authority be granted to the City Manager

to conclude a Memorandum of Agreement (MOA) with KREATE on registration as

the Non Profit Company to give effect to the above.

1.2.3 That subject to the approval of .1 and .2 above and in terms of Section 67 of the

MFMA and in accordance with the Memorandum of Agreement, authority be

granted to the Head: Economic Development and Investment Promotion to disburse

funds to KREATE (non-profit entity) amounting to R2 732 600.00 (Two Million

Seven Hundred and Thirty Two Thousand Six Hundred Rand), (Excl. VAT) for the

2019/2020 financial period; R2 872 800.00 (Two Million Eight Hundred and

Seventy Two Thousand Eight Hundred Rand), (Excl. VAT) for the 2020/21 financial

period; and R3 000 000.00 (Three Million Rand), (Excl. VAT) for the 2021/2022

financial period.

1.2.4 That the Head: Economic Development and Investment Promotion reports to Council

progress on this initiative on an annual basis and also presents the Annual Business

Plan for noting.

Note No. Proposed Expenditure Financial Year

26102.25030.17.12120.0000.MRCO1.0010 R2 732 600.00 (excluding VAT) 2019/20



FC No.: 2020/18/01

ADOPTED.

1.3 Status Report: Proposed Amendment Along the C3 Corridor: Mis-Matches in the

Adopted Land Use Strategy and the Planning Schemes (Central/Inner

West/Outer West) (21/4/1):


Committee was advised that the aforementioned matter was tabled before it in 2018,

when authority was sought for the public participation process to commence.

The primary purpose of the prosed amendment was to address transit orientated

anomalies in the Schemes.

It was noted that the public participation process had subsequently taken place, and

no objections to the Proposed Amendment along the C3 Corridor, relative

to Mismatches in the Adopted Land Use Strategy and the Planning Schemes

(Central/Inner West/Outer West) were raised.

Having noted the concerns related to the delay in completion of the

“GO DURBAN” project,




That in terms of Section 18, Chapter 6 of the Planning Bylaw, the following Schemes

be amended and ADOPTED:

A. The Durban Planning Scheme be amended as follows:

● To Amend Appendix 1 by inserting Zone 43 IPTN Zones, to add new

Clause 35 and to insert the new Appendix 11 into the Durban Scheme

as per annexure B.

● The incorporation of Plan No. LU_STRAT_NOV 2018 into the

Durban Planning Scheme.

B. The Inner West Planning Scheme be amended as follows:

● The Incorporation of Plan No. LU_STRAT_NOV 2018 into the Inner

West Planning Scheme.

● The incorporation of Annexure A into the Inner West Scheme.

C. The Outer West Planning Scheme be amended as follows:

● The incorporation of Plan No. LU_STRAT_NOV 2018 into the Outer

West Planning Scheme.

● The incorporation of Annexure C into the Outer West Scheme.

The above amendments are in the public interest and are in line with the vision and

the development goals of the City.

ADOPTED.

1.4 Proposed Amendments to Bridge City: Book End of the C3 Corridor (21/4/1):


Members of the Democratic Alliance abstained on the matter at the Economic

Development and Planning Committee as they were of the view that the minimum

parking lot requirements need to be reviewed with a view to increasing same.

The Democratic Alliance once again abstained at the Executive Committee level.

With the majority being in support,


1.4.1 That in terms of Section 18, Chapter 6 of the Planning Bylaw, the Durban Planning

Schemes be amended as follows:

1.4.1.1 That Special Zone 44 be replaced in the Durban Planning Scheme with the new

Development Facilitation Tables for Bridge City as attached at Annexure A;

1.4.1.2 That the Durban Scheme Map be amended as per the map attached at Annexure B;

1.4.1.3 That Special Zone 44 only be applicable to Portions 486 and 506 of Erf 433 of the

Farm Melkhout Kraal No. 789; until the sites are rezoned further.

1.4.2 That the above amendments are in the public interest and are in line with the vision

and the development goals of the City.



1.4.3 That the objection is dismissed as the proposal clearly excluded the sites which the

objection concerns itself with. Such sites were part of a High Court order and were

not part of this amendment.

ADOPTED.

1.5 Annual Review of the North, South, Inner West and Outer West Regional Land Use

Schemes (27/7/R):



1.5.1 That in terms of Section 19 of the eThekwini Municipality: Planning and Land use

Management By-law 2016, and the Spatial Planning Land Use Management Act No.

13 of 2013; the Annual Review of the North, South, Inner West and Outer West

Regional Land use Schemes be adopted for the following reasons:

1.5.1.1 The review ensures compliance with the Spatial Planning Land Use Management Act

No.16 of 2013 in that it gives effect to the Development Principles, as described in

Chapter 2, Clause 7(a)(b)(c)(d) and (e; and Chapter 5, Land use Management, Clause

24 (1) of the Spatial Planning Land Use Management Act No.: 16 of 2013.

1.5.1.2 The reviewed Land Use Schemes are in alignment with the Spatial Development

Framework of the Municipality.

1.5.1.3 This review responds to the ever changing development pressures and trends within

the Municipality.

ADOPTED.

1.6 Permission to Advertise the Review of the Central Use Scheme (21/4/1):


Following brief elaboration on the report by the City Manager dated 2019-03-08

relative to the request for Permission to advertise the Review of the Central

Use Scheme, Committee was advised that this was the first time that the Durban

Scheme would be included in the annual review.

Having noted same,


1.6.1 That the Land Use Management Branch proceeds to advertise the Review of the

Central Land Use Scheme of the eThekwini Municipality for public participation

in terms of Section 14(2) of the Planning and Land Use Management By-law, 2016.

1.6.2 That on conclusion of the public participation process, the Central Land Use Scheme

be further refined and submitted to Council for adoption.

ADOPTED.



1.7 Application in Terms of Section 26(1) of the eThekwini Municipality Planning and

Land Use Management By-Law 2016 (Municipal Notice 114 of 2017) for the

Amendment of the Durban Scheme: Removal of Clause 6(42) (21/7/3):


Committee was advised that the proposed amendment of the Durban Scheme relates

to the removal of Clause 6(42) of the Scheme that states that “the development

of Portions 3 of (1) of Erf 113, Springfield, situated at 1/3 Alpine Road is subject

to a limitation on the coverage on the site, which may not exceed 30%.”

It was noted that removal of the aforementioned Clause from the Scheme is required

in order for the zoning of the site (Special Shopping – with a residential component)

to be brought in line with the Scheme controls i.e. General Shopping, which allows

for a coverage of 50%.

Having noted the foregoing,


1.7.1 That in terms of Section 26(1) (b) of the eThekwini Municipality Planning and Land

Use Management By-Law 2016 (Municipal Notice 114 of 2017),

the application for the Amendment of the Durban Scheme by the deletion of Clause

6 (42), “The development off portion 3 of Erf 113 Springfield situated at 1/3 Alpine

Road is subject to a limitation on the coverage on the site, which may not exceed

30%” by removing of Clause 6 (42) be approved for the following reasons:

1.7.1.1 The proposal is in line with the eThekwini Municipality’s objective to promote

spatial efficiency by optimizing development in areas of greatest opportunity and

encourages efficient use of existing infrastructure and facilities

1.7.1.2 The proposal promotes a better mix of land uses within the Springfield precinct

and aligns to the Municipal Spatial development Plan which focuses on nodal

economic development, mixed-use developments. Accordingly, the proposed

amendment to the Durban Scheme by removing Clause 6 (42) will contribute

to ensuring that these mixed use development.

1.7.1.3 The General Shopping Zone permits Coverage of 50% and this will ensure that the

sites are in line with the zone upon the successful completion of the

rezoning application.

ADOPTED.

1.8 Review of the Telecommunication Infrastructure (Cellular Mast and Antennae)

Provisions in eThekwini Municipality Schemes (21/4/1):


Having noted that there was a need to convene a workshop to address

the issue of the erection of cellular masts on Council owned property as well

as private property and determining the implications thereof,


1.8.1 That a workshop be convened for the Economic Development and Planning

Committee to unpack proposed changes to the current Development Standards as



they relate to Telecommunication Infrastructure (Including cellular mast and

antennae) within the North, South, Inner West, Outer West, Durban and Westville

No.2-Resevoir Hills Land Use Scheme of the eThekwini Municipality.

1.8.2 That subsequent to the workshop alluded to in .1 above, authority be granted

to the Head: Development Planning, Environment & Management to advertise

this review for public participation in terms of Section 14 (2) of the Planning

and Land Use Management By-law, 2016;

1.8.3 That on conclusion of the public participation process, the final draft of the reviewed

Development Standards as they relate to Telecommunication Infrastructure

(Including cellular mast and antennae) within the North, South Inner West, Outer

West, Durban and Westville No.2-Reservoir Hills Land Use Schemes

of the eThekwini Municipality be submitted to Council for adoption.

ADOPTED.

1.9 Draft Student Accommodation Policy and Permission to Advertise the General

Scheme Amendments (21/4/1 & 21/7/P):



1.9.1 That the draft Student Accommodation Policy including the two precinct areas,

be approved in principle;

1.9.2 That a workshop be convened with Members of the of the Economic Development

and Planning Committee to consider the draft Student Accommodation Policy in

detail, including recommended Scheme amendments to operationalize the Policy,

and make necessary input;

1.9.3 That subsequent to the workshop, the proposed amendments to the Inner West,

Durban and Reservoir Hills Scheme be advertised for public participation;

1.9.4 That the final draft Student Accommodation Policy be submitted to Council

for adoption.

ADOPTED.

1.10 EThekwini Municipality: Planning and Land Use Management Amendment

By-Law 2019 (1/1/3/1/41):


With Members having concurred that the Planning and Land Use Management

Amendment By-Law, 2019 would assist the City in making planning related

decisions, by correcting the procedure of reporting to the correct Council structures,


1.10.1 That Council approves that the eThekwini Municipality: Planning and Land Use

Management By-law, 2019 as contained in the report by the 2019-05-06

be advertised for public participation.

1.10.2 That a public participation notice calling for representations on the proposed By-law

be published in the Ezasegagasini Metro, the Mercury and Isolezwe and a copy



of the By-law be placed on the City Hall notice board and website for a period not

less than 14 days to allow the public an opportunity to make representations

with regard to the proposed By-law.

1.10.3 That the final Planning and Land Use Management By-law, 2019 be submitted

to Council for adoption.

ADOPTED.

1.11 Proposed Amendment of the Land Use Schemes of eThekwini by the Introduction of

a Nature Reserve Zone Designed for Nature Reserves Proclaimed In Terms of the

National Environmental Management Protected Areas Act of 2003 (Act No. 57 of

2003) and Identified D’moss Areas Under Consideration for Such Proclamation:

Request for Permission to Undertake a Public Participation Process in Terms of the

eThekwini Municipality: Planning and Land Use Management By-Law, 2016 (21/2).


Following consideration of the report by the City Manager dated 2019-03-20 relative

to the request for permission to undertake a public participation process in terms

of the eThekwini Municipality: Planning and Land Use Management By-Law, 2016,

Committee noted that 10 nature reserves were proclaimed last year, for which there

has to be a Management and Zonation Plan (i.e. How land can be used in terms

of vegetation and other uses, example- Paradise Valley),


1.11.1 That authority be granted for the Acting Deputy Head: Environmental Planning and

Climate Protection to undertake public participation, in terms of By-law 14 of the

eThekwini: Planning and Land Use Management By-law, 2016, through advertising

for public on the proposal to amend the North, Durban South Inner West and Outer

West Land Use Schemes and the Westville Scheme No.2, of the eThekwini

Municipality by:

1.11.1.1 The introduction of a new land use zone called Nature Reserve as detailed on the

table below:

NATURE RESERVE

INTENTION: To protect, conserve land, dedicated to the conservation and management of natural areas of land and/or water for the ecosystem goods and services that the areas provide and the biodiversity which they support, where the land is proclaimed, or where there is an intention to proclaim, as a Nature Reserve in terms of the relevant environmental legislation. To consider the inclusion of land uses which are beneficial to the Nature Reserve and are in compliance with the approved Management Plan. Colour: To be determined.

1. PRIMARY

2. SPECIAL CONSENT

3. PROHIBITED

Land uses which are directly aligned with the Management Plan specifically related to the Nature Reserve.

Unless provided for in the Management Plan, land uses which complement the purpose of the Nature Reserve which may include residential, commercial, and educational.**

Uses not under Columns 1 and 2.

ADDITIONAL CONTROLS

* Primary Land Uses: These are land uses included in the Management Plan which are deemed compatible with the

intention of the Nature Reserve. They will enhance the environmental, economic and social purpose of the Nature Reserve. All Primary Land Uses are subject to alignment with the Zonation Map of the Management Plan and to the approval of the Deputy Head: Environmental Planning and Climate Protection.



For the purposes of this Land Use Zone: “Zonation Map” means a map forming part of a Management Plan, indicating areas within a protected area, the use to which the land may be put, whether by indicating the natural occurrence of vegetation or areas of human disturbance through artificial land uses. “Management Plan” means a document required in terms of the National Environmental Management: Protected Areas Act of 2003 which describes the methods of environmental management of a protected area.

** For the purposes of this Land Use Zone, residential, commercial and educational are defined as follows:

- “Residential” means a residential use conforming to the land use scheme definition of chalet development, dwelling house, multiple unit development and mobile home park and camping ground (excluding a mobile home park) which is specifically for ecotourism purposes; provided that in the case of a dwelling house, such use may be for the purposes of housing a Reserve Manager or caretaker on-site.

- “Commercial” means shop and restaurant which is specifically for ecotourism purposes and enhances the economic viability of the Nature Reserve as may be determined by the Management Plan zonation provisions.

- “Educational” means premises used as a place of instruction for the education of the public on matters relating to the environment or the Nature Reserve as may be determined by the Management Plan zonation provisions.

*** For the purposes of this Land Use Zone, Space About Buildings means that space free of all buildings or structures between the outer wall of such building or structure, and an area designated on the zonation map as being a natural zone. The positioning of all buildings and structures within the Nature Reserve shall be to the satisfaction of the Head: Development Planning, Environment and Management in consultation with the Deputy Head: Environmental Planning and Climate Protection.

1. Within a Nature Reserve Zone, unless with the prior written authorization from the Municipality in consultation

with the Deputy Head: Environmental Planning and Climate Protection and within the principles encompassed within the Scheme intention for this Zone;

1.1 No development of any building or structure, including but not restricted to buildings, fencing, swimming pools,

wastewater, and storm water infrastructure (including evapo-transpiration areas for on-site sanitation), roads, tracks, driveways, walking or cycling trails, or dams, shall be permitted;

1.2 No landscaping or planting of any vegetation, unless it is a requirement for the rehabilitation of the environment

in terms of a Management Plan approved in terms of the provisions of the National Environmental Management: Protected Areas Act of 2003;

1.3 No harvesting, collecting, cutting, hunting or otherwise damaging of indigenous flora or fauna and soil and water

resources, shall be permitted; 1.4 No vehicles, motorized or non-motorized, other than on established roads, driveways or tracks, shall be

permitted; 1.5 No pets or other domestic animals shall be permitted. 1.6 No use of the land, which, in the opinion of the Deputy Head: Environmental Planning and Climate Protection,

may be detrimental to the intentions of this Zone, shall be permitted. 2. A Memorandum of Understanding, outlining the management of the Nature Reserve and the method of

exchange of scientific information necessary for the preparation of the annual State of Biodiversity Report, shall be entered into between the Deputy Head: Environmental Planning and Climate Protection and the Deputy Head: Parks, Recreation and Culture.

3. For the purposes of this Use Zone, and in particular to align with the interpretation of terms contained within the

Management Plans for Nature Reserves, the following definitions shall apply:

“Ecotourism” means an interactive, participatory and enlightening travel and visitation experience to environments, both natural and cultural, that ensures the sustainable use, at an appropriate level, of environmental resources and, while producing viable economic opportunities for the tourism industry and host/local communities, makes the use of these resources through sound environmental management beneficial to all tourism role players. “Nature-based Recreation and Tourism means recreation and tourism that is based on the natural attractions of the area, e.g. bird watching, hiking, trail running, and photography, which does not conflict with the primary land use viz. nature conservation. This activity may contribute to the conservation of the environment and improve the well-being of the local community.” “Nature Reserve means premises declared to supplement the system of national parks in South Africa; protect areas with significant natural features, species, habits or biotic communities; protect a particular site of scientific, cultural, historic, or archaeological interest; provide for its long-term protection and the maintenance of its biodiversity; provide for a sustainable flow of natural products and services to meet community needs; enable a variety of traditional consumptive uses; or, provide for nature-based recreation and tourism opportunities

SPACE ABOUT BUILDING

BUILD-TO / SETBACK

LINE

MIN ERF SIZE

DWELLING UNITS / HA

HEIGHT COVERAGE FLOOR AREA

B.L S.S R.S.

Refer to Additional Controls.***

N/A N/A To be determined in consultation with the Deputy Head: Environmental Planning and Climate Protection.****



1.11.1.2 The introduction of the definition of “Ecotourism” as detailed on the table above.

1.11.1.3 The deletion of the words “protected Areas Bill” in the definition of

Nature Reserve.”

1.11.1.4 The introduction of the definition of “Nature Reserve” and Ecotourism as detailed on

the table above, into the Westville Scheme No.2.

1.11.2 That on completion of the public participation process referred to in .1 above, the

Acting Deputy Head: Environmental Planning and Climate Protection reports back

to the Committee on the outcome of the process.

ADOPTED.

1.12 Permission to Advertise the Review of the Westville No. 2 (Reservoir Hills) Land

Use Scheme (21/4/1):


Following brief elaboration on the report by the City Manager dated 2019-03-08,

relative to the request for Permission to Advertise the Review of the Westville No. 2

(Reservoir Hills) Land Use Scheme,


1.12.1 That the Land Use Management Department proceeds to advertise the review of the

Westville No. 2 (Reservoir Hills) Land Use Scheme of the eThekwini Municipality

for public participation in terms of Section 14(2) of the Planning and Land Use

Management By-Law, 2016.

1.12.2 That on conclusion of the public participation process, the Westville No. 2

(Reservoir Hills) Land Use Scheme be further refined for onward submission to

Council for adoption.

ADOPTED.

2. REPORT OF THE SECURITY AND EMERGENCY SERVICES COMMITTEE:

MEEETING HELD ON 2019-05-22

(Page R9)

2.1 Proposal to Transfer Strollers Facility Located at Mansel Road from Human

Settlements Unit to Safer Cities Unit for use as Emergency Shelter for Homeless

People (22/8/3):

(Page L6: Security and Emergency Services Committee - Agenda 2019-05-22

The Strollers Building located at Mansel Road is Municipal-Owned and currently

under management of the Human Settlements Unit. The aforementioned Unit

has subsequently reached an agreement to transfer the building to the Safer Cities

Unit for use as an Emergency Shelter to accommodate homeless people. The transfer

is being supported by the Committee. Cognisance has been taken that the upper floor

level of the building will be reserved for homeless people, with the ground floor level

being used by the Business Support Unit and the eThekwini Municipal Academy for

small business support and skills development initiatives.



With the initiative being applauded, and an amendment being made to indicate

that the shelter should be a multi-purpose facility,

COMMITTEE RECOMENDS:

2.1.1 That, in compliance with the relevant Municipal processes, authority be granted

for the transfer of the Strollers facility located at Mansel Road, presently owned

by the Human Settlements Unit, to the Safer Cities Unit to be used as an Emergency

Shelter for homeless people and accommodate in particular the vulnerable groups

including women; children; and families.

2.1.2 That subject to the adoption of .1 above and in line with the requirements of the

Supply Chain Management Regulations, authority be granted for the Acting Deputy

City Manager: Community & Emergency Services to advertise and call for proposals

with a view to securing a suitable Non-Government Organisations in possession of

capacity and resources to operate the Strollers facility as a multi-purpose facility,

including a shelter for vulnerable homeless people.

2.1.3 That upon the establishment of the Non-Profit Company (NPC), for use as Special

Purpose Vehicle/mechanism to implement projects and programmes linked to

curbing homelessness in eThekwini, funds generated through the NPC be utilised

towards supporting the Emergency Shelters, including Strollers Building and other

related projects.

2.1.4 That the KwaZulu-Natal Provincial Department of Social Development and the

Department of Human Settlements be consulted to provide necessary support in the

form of institutional subsidy/funding for projects and programmes linked to

alleviating homelessness in eThekwini.

2.1.5 That a Business Plan outlining business processes applicable to the Strollers Building

and financial implications thereof be submitted to the Finance Unit.

2.1.6 That the operational mandates of the Strollers facility/building be handed over to the

Acting Head: Safer Cities so as to immediately align and realise the functions and

objectives of the Unit.

ADOPTED.

3. UPDATE REPORT ON HEAVY RAINFALL INCIDENT: 22-23 APRIL 2019

(29/2/2/2)

(Page 1)

It will be recalled that Council had previously received an update on heavy rainfalls

which ravaged the City resulting in loss of human lives and damage

to infrastructure. The Disaster Management Unit has continued to co-ordinate reports

of damages, hence the submission of this latest update.

Arising from issues of clarity, confirmation was given that the Disaster Management

Unit was currently exploring measures to strengthen systems to monitor potential

disaster in a proactive manner. However, that disaster management requires

concerted efforts since no amount of readiness would be adequate to cater for natural

disasters. That incidents reporting and relief provision need to be jointly co-ordinated



by stakeholders and structures existing within the eThekwini Municipal area

to obtain a true reflection of the situation on the ground.

The leadership reiterated its appreciation for stakeholder involvement and support

by the Provincial Government; Non-Government Organisations; Business

Community; Churches; Community-Based Organisations etc. Most importantly, that

the working arrangements institutionalized during this disaster period, such as the

establishment of “Zonal Champions” should be maintained to be readily available

should a need arise to deal with a particular situation.

The critical aspect now was to accelerate remedial work, in particular, to address the

issue of displaced families. That senior management strengthens supervision in this

regard with political leadership strengthening oversight in terms of conducting

inspections to ensure remedial work is undertaken accordingly.

Given the significance of the climate change and the negative consequence thereof,

a stakeholder workshop was recommended to share best practices; contribute

expertise; ideas and subsequently put plans in place for climate change management.

With the Committee acknowledging that specific focus was required for disaster

prevention measures,


3.1 That Council notes progress report on incidents caused by heavy rainfalls on

21-23 April 2019 and the resultant interim assessment requiring expenditure in the

amount of R1 161 587 162.00 (One Billion One Hundred and Sixty One Million Five

Hundred and Eighty Seven Thousand One Hundred and Sixty Two Rand).

3.2 That authority be granted for the Municipal Heads of the Units listed in the table

below to incur expenditure amounting to the damage of the functions relating to the

unit to ensure remedial work is undertaken accordingly.

Department Estimated Costs

Health Unit R 3 000 000.00

Parks & Recreation R 1 800 000.00

Engineering R 405 468 340.40

Human Settlements R 663 308 400.00

Electricity R 19 530 000.00

Water & Sanitation R 60 000 000.00

Metro Police R 3 158 000.00

Disaster Management R 5 322 422.00

TOTAL R1 161 587 162.00

ADOPTED.



4. APPROVAL OF BUILT ENVIRONMENT PERFORMANCE PLAN (BEPP)

2019/20 (21/5/1)

(Page 32)


4.1 That, as per the requirement in terms of Section 14 of the Division of Revenue

Bill 2019, Council approves the 2019/2020 Built Environment Performance Plan

(BEPP) developed to prioritise and integrate planning of key sectors and co-ordinates

budgets for long-term spatial transformation and inclusivity facilitating economic

growth and improved service delivery.

4.2 That detailed engagement be undertaken with the relevant Municipal structures with

a view to unpack BEPP in detail, integrating key Municipal programmes and

preparing for the development of the 2020/2021 BEPP and Budget process.

It was noted that this item had been considered in conjunction with the Budget.



present 116 Councillors (ANC- 109, IND- 4, AIC – 2 and APC- 1) voted in

favour and 65 Councillors (DA – 47, IFP - 10, EFF – 6, MF – 1 and DLC – 1)

voted against. There were no abstentions recorded.


ADOPTED.

5. APPROVAL OF MUNICIPAL SPATIAL DEVELOPMENT FRAMEWORK

2019-2020 (21/5/1)

(Page 53)


That in line with the requirements of the Municipal Systems Act No. 32 of 2000 and

the Spatial Planning and Land Use Management Act No. 16 of 2013, Council adopts

the revised Spatial Development Framework 2019/2020 developed to guide the

desirable spatial distribution of land uses within the Municipality and prioritizes

areas for spatial interventions, it being recorded that the SDF is aligned with

Provincial and Municipal sector plans and strategies.








ADOPTED.



6. REPORT ON INVESTMENTS FOR THE PERIOD ENDED 30 APRIL 2019

(1/11/4)

(Page 76)


That the Report on Investments for eThekwini Municipality as at 2019-04-30,

which records the total funds of R8 001 million invested at financial institutions at an

average rate of return on investments of 7.90%, 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.

7. BUDGETS 2019/20; 2020/21 AND 2021/22 MEDIUM TERM REVENUE AND

EXPENDITURE FRAMEWORK (MTREF) (7/13/1)

(Page 82 of the Main Agenda and Laid on Table the amended Version)

In compliance with the statutory processes, the budget was presented before

the Committee in preparation for final approval at Council following the completion

of the budget hearings. Confirmation was given that most of the issues raised during

the hearings relate to service delivery and that budget provisions have been made

for service delivery matters with prioritization to be made where required.

On the issue of tariffs which were regarded high, mention was made that these have

been contextualized within the rates set by external bodies including the National

Electricity Regulator of South Africa (NERSA) for electricity tariffs and Umgeni

Water Board for water tariffs. However, that the City has endeavoured to charge

reasonable tariffs with special arrangements having been made to cater for

pensioners and indigent people.

Furthermore, the eThekwini Municipality Budget has been assessed by National

Treasury and submitted that it is credible, reliable, funded and sustainable

over the MTREF in terms of Section 18 of the MFMA. EThekwini Municipality

budget is also regarded as competitive when benchmarked with the budgets

of counterparts.

Members of the Democratic Alliance (02) voted against the budget as well as (01)

Member of Inkatha Freedom Party stating the unaffordability of tariffs and the

inability to appropriately allocate funds to certain projects.

With (06) Members of the African National Congress voting in support of the budget

given the conscious efforts made to balance the budget and the vetting done

by National Treasury as well as the competitiveness of the City,


7.1 That the following resolutions approving the 2019/20 – 2021/22 MTREF of the

eThekwini Municipality and its entities tabled in terms of Section 24 of the

Municipal Finance Management Act (MFMA), are submitted to the Budget Steering

Committee/ Executive Committee for consideration and adjustment where necessary.

7.2 That note be taken of the contents of the budget documentation circulated in

accordance with the Municipal Finance Management Act, No.56 of 2003.



7.3 Estimates of Income and Expenditure:

7.3.1 That in terms of section 24 of the Municipal Finance Management Act, 56 of 2003,

the annual budget of the municipality for the financial year 2019/20; and indicative

allocations for the two projected outer years 2020/21 and 2021/22; and the multi-year

and single year capital appropriations are approved as set-out in the following tables

of the budget document:

● Budgeted Financial Performance (Revenue and Expenditure by Standard

Classification) (Table A2; Page 70)

● Budgeted Financial Performance (Revenue and Expenditure by Municipal

Vote) (Table A3; Page 71)

● Budgeted Financial Performance (Revenue by Source and Expenditure by

Type) (Table A4; Page 72)

● Multi-year and single year capital appropriations by municipal vote and

standard classification and associated funding by source (Table A5; Page 73)

7.3.2 That the financial position, cash flow, cash-backed reserve/accumulated surplus,

asset management and basic service delivery targets are adopted as set out in the

following tables:

● Budgeted Financial Position (Table A6; Page 75)

● Budgeted Cash Flows (Table A7; Page 77)

● Asset Management (Table A9; Pages 79 – 81)

● Basic Service Delivery Measurement (Table A10; Page 82)

7.4 Municipal Entities:

That the Municipal Entities budget as reflected on pages 275 to 302 of the budget

documentation be approved.

7.5 Recapitulation: Valuation of Rateable Property:

That it be recorded that the recapitulation certificate summarising the valuations of

rateable property, as certified by the City Valuer, is laid on the table.

The following resolutions, pertaining to property rates (items 7.6 to 7.11) and in

conformity with the provisions of Section 14 of the Local Government: Municipal

Property Rates Act 6 of 2004 and Sections 17 (3) (a) (ii) and 24 (2) (c) (i) of the

Local Government: Municipal Finance Management Act 56 of 2003, be adopted.

7.6 Determination of Rates:

7.6.1 In terms of Section 8 of the Local Government: Property Rates Act, 2004 read

together with the Rates Policy, as amended, and to be adopted with the current

budget, the Municipality may levy different Rates for different categories

of Property.

7.6.2 That the rate randage for the said financial year for the eThekwini Municipality,

be and is hereby assessed and levied for the following categories at:



CATEGORY OF PROPERTY

2019 Cents in the

Rand

2020 Cents in the

Rand

2021 Cents in the

Rand

Agricultural 0.2986 0.3192 0.3412

Business & Commercial 2.7081 2.895 3.0947

Outside Urban Development Line 1.7672 1.8891 2.0195

Industrial 3.495 3.7361 3.9939

PSI 0.2986 0.3192 0.3412

Residential 1.1944 1.2768 1.3649

Unauthorised/ Abandoned/ Illegal Usage 9.5549 10.2142 10.919

Vacant Land 5.3551 5.7246 6.1196

Agricultural 0.2986 0.3192 0.3412

Sectional Title Registered Real Rights of

extension 5.3551 5.7246 6.1196

Mining property 3.495 3.7361 3.9939

Multiple-Use Property will be dealt with in accordance with the Rates Policy.

7.7 Exemptions, Rebates and Reductions:

That the following reductions on the market value of the property and rebates on the

rates payable, be and are hereby granted in accordance with the Rates Policy.

7.7.1 Residential Property:

That in addition to the statutory reduction of R15 000, a further reduction of

R105 000 be and is hereby approved for property values exceeding R230 000.

7.7.2 Public Benefit Organisations:

That on application and approval, only Public Benefit Organisations listed in

Clause 7.5 of the Municipality’s Rates Policy 2019/2020 shall receive an exemption

from rates.

7.7.3 Senior Citizens, Disability Grantees / Medically Boarded Persons and Child Headed

Households:

7.7.3.1 That in addition to the reduction in 7.7.1 above, a rebate not exceeding R4 373 or

such lesser amount as may otherwise be payable, be and is hereby approved for

qualifying Senior Citizens, disability grantees / medically boarded persons and child

headed households as defined in the rates policy.

7.7.3.2 That it be and is hereby resolved to place a maximum limit of R2 million on the

value of the property, in order to qualify for the Senior Citizens rebate in

(7.7.3.1) above.

7.7.3.3 That it be and is hereby resolved that a rebate under Clause 7.2.2.4 of the rates policy

may be granted to qualifying Senior Citizens who are trustees in a trust,

notwithstanding that an independent professional person also holds office as a trustee

and does not meet the qualifying criteria.



7.7.4 Life Rights Schemes and Retirement Complexes:

That on application and approval, a 25% rebate be granted to qualifying Life Rights

Schemes and Retirement Complexes registered in terms of the Housing Development

Scheme for Retired Persons Act 65 of 1988.

7.7.5 Schools Not For Gain:

That a rebate of 50% be and is hereby granted to qualifying schools not for gain.

7.7.6 Bed and Breakfast Undertakings:

That on application and approval a rebate of 50% be granted to all Bed and Breakfast

establishments that satisfy the requirements of the Rates Policy, as amended.

7.7.7 Guest House Undertakings:

That on application and approval a rebate of 25% be granted to all Guest House

undertakings that satisfy the requirements of the Rate Policy, as amended.

7.7.8 Back–Packer Lodges, Holiday Accommodation and Student Accommodation:

7.7.8.1 That on application and approval, the following rebates shall apply to Back-packer

establishments that satisfy the requirements of the Rates Policy, as amended:

a) Where up to 40 beds are available to guests, a rebate not exceeding

50% will apply;

b) Where up to 80 beds are available to guests, a rebate not exceeding

25% will apply;

7.7.8.2 That on application and approval, property let out for the purposes of

Holiday Accommodation, be granted a rebate of 64%

7.7.8.3 That on application and approval, property let out for the purposes of

Student Accommodation, be granted a rebate of 25%.

7.7.9 Natural and Other Disasters:

7.7.9.1 That on application and approval a temporary rebate of 75% be granted in respect of

property damaged by disaster for a period of six months or a portion thereof.

7.7.9.2 That on application and approval, a further temporary rebate of 75% be granted

thereafter, for a period not exceeding six months.

7.7.9.3 That the rebate is granted on the category of property prior to damage.

7.7.10 Vacant Land:

That the reduction of R30 000 on the market value of Vacant Land located in the

‘outside the Urban Development Line’, as defined in the amended Rates Policy,

be granted.



7.7.11 Properties in the Ownership of the Municipality or Municipal Entities:

7.7.11.1 That all municipal owned properties are exempted from property rates, except for

Trading Services and municipal owned properties where the Municipality has

entered into an agreement with any person, indicating otherwise.

7.7.11.2 That a rebate of 63% be and is hereby granted to the International Convention Centre

in respect of property rates payable to the Municipality.

7.7.12 Nature Reserves and Conservation Areas:

That on application and approval, nature reserves and conservation areas shall be

excluded from rates.

7.7.13 Economic Development:

7.7.13.1 Greenfield Developments in Priority Areas:

That on application and approval by Council, all non-residential developments which

are located in Priority Areas, as contemplated in the Economic Development

Incentive Policy, shall receive a rebate limited to the difference between the Vacant

Land rate randage and that of the intended use of the developed land, as envisaged in

the Rates Policy read with the Economic Development Incentive Policy.

7.7.13.2 Brownfield Developments in Priority Areas:

That on application and approval by Council, all non-residential developments which

are located in Priority Areas, as contemplated in the Economic Development

Incentive Policy, shall receive a rebate based on the value of the development as per

the table below:

VALUE OF DEVELOPMENT

R (MILLIONS)

PERCENTAGE REBATE ON RATES

0 - 50 15%

51 - 150 25%

151 - 300 50%

301 and above 65%

7.7.13.3 That subject to compliance with criteria contained in the Economic Development Incentive

Policy read together, where applicable, with the Rates Policy, all industrial or

commercial Brownfield developments which are located outside of Priority Areas, be

granted a general rebate for a fixed period of three years, calculated on the value of

the additional new investment as follows:

Brownfield Development Outside

the Priority Areas

Outside the Priority Areas – Job Creation Rebate Incentive

20%

The rebate becomes effective upon

completion of construction and

receipt of a valid occupancy

certificate

20%

The rebate becomes effective upon completion of construction

and receipt of a valid occupancy certificate



7.7.14 Special Rating Areas:

7.7.14.1 That the existing Special Rating Areas as indicated in Annexure A be and are

hereby noted.

7.7.14.2 That in respect of the Special Rating Areas, additional rates, as indicated in

Annexure A hereto, be approved and levied (subject to any exclusions or

exemptions determined in the Rates Policy) in respect of each category of rateable

property within the boundaries of the Special Rating Area.

7.7.14.3 That for the purposes of Clause 9 of the Rates Policy in relation to requirements for

the determination of a new special rating area, the total minimum value of the

rateable properties within the proposed boundaries of the area, be determined

at R400 Million.

7.7.15 Consulates:

That property owned by Consulates be valued and rates be raised and recovered from

the Department of International Relations and Co-operation in terms of the

Diplomatic Immunities and Privileges Act 2001 (Act 37 of 2001).

7.7.16 Green Certified Buildings:

On application and approval by Council, all non-residential developments which fall

within the City, as contemplated in the Green Building Incentive Policy of Council

read together with the Rates Policy shall receive a rebate as set out below:

(a) GREEN STAR

Certification Description Incentive/Provision Responsibility

6 Star

Mandatory: 6 Star rating,

i.e. over 75 points, with a

minimum of 14 points for

ENE 1.

Optional additional: 1. 6

points or more for the

Socio-Economic

Category, and/or

2. 3 points or more for

the Innovation Category.

Rebate calculated on

property rates tax

payable:

Mandatory: 35%

reduction.

Optional additional:

1. Additional 3%; and/or

2. Additional 2%.

Revenue Management Unit and

Development Planning,

Management and Environment Unit.

5 Star


i.e. between 60 and 74

points, with a minimum

of 8 points for ENE 1.



Socio-Economic

Category, and/or

2. 5 points or more for

the Innovation Category.


property rates tax

payable:

Mandatory: 20%

reduction.


1. Additional 6%; and/or

2. Additional 4%.




4 Star


i.e. between 45 and 59

points, with a minimum

of 4 points for ENE 1.



Socio-Economic

Category.


property rates tax

payable:

Mandatory: 9%

reduction.


1. Additional 6%.






(b) EDGE

Certification Description Incentive/Provision Responsibility

Edge

Mandatory: Residential

buildings to achieve

minimum 20% less

energy use (than National

Building Regulations),

20% less water use, and

20% less embodied

energy in materials, as

per the EDGE tool.


property rates tax

payable:

Mandatory: 35%

reduction.




7.8 Phasing in of Rates:

7.8.1 That the following phasing in of rates be and are hereby approved subject to

Section 21 of The Local Government: Municipal Property Rates Act 6 of 2004:

7.8.1.1 A rate levied on newly rateable property must be phased in over a period of three

financial years.

7.8.1.2 A rate levied on property belonging to a Land Reform Beneficiary or his or her heirs

must, after ten years from the date on which such beneficiary’s title was registered in

the office of the Registrar of Deeds, be phased in over a period of

three financial years.

The phasing in discount on properties referred to in (7.8.1.1) and (7.8.1.2) above will

apply as follows:

a) 75% in the first year

b) 50% in the second year

c) 25% in the third year

7.8.1.3 A rate levied on newly rateable property owned and used by organizations

conducting specified public benefit activities and registered in terms of the Income

Tax Act for those activities must be phased in over a period of four financial years,

with the following phasing in discounts:

a) 100% in the first year

b) 75% in the second year

c) 50% in the third year

d) 25% in the fourth year

7.9 Flat Service Charge Rate for Formal Properties Valued Below R185 000 and

Informal Settlements Where Water and Ablution Facilities Have Been Provided:

That a flat service charge rate be investigated for formal properties valued below

R185 000 and those informal settlements where water and ablution facilities have

been provided.

7.10 Date of Operation of Determination of Rates:

That this determination comes into operation on 1 July 2019.



7.11 Final Date for Payment of Rates:

7.11.1 Where rates are payable in monthly instalments, such payments shall be in

twelve (12) equal or near equal instalments payable 21 days from the date of account.

7.11.2 Where rates are payable annually the final date for payment shall be

31 October 2019, provided that where this date falls on a Sunday or public holiday

payment shall occur on the last working day prior to such Sunday or public holiday.

7.12 Administration Charge on Arrear Rates:

That the administration charge on arrear rates as referred to in Section 10.7 of the

Credit Control and Debt Collection Policy is determined at 10%. Collection of arrear

rates is in accordance with the Credit Control and Debt Collection Policy.

7.13 Interest on Arrears:

That the interest rate to be applied to arrear accounts, shall be the interest rate as

prescribed by Regulation 9 of the Municipal Property Rates Regulations, 2006.

7.14 Other Tariffs and Charges:

7.14.1 That other tariffs and charges as circulated with the budget document in terms of

Section 24(2)(c)(i) and (ii) be approved for the financial year commencing

1 July 2019.

7.14.2 That the average Electricity Tariff increase of 13.07 % be hereby approved by

Council, it being recorded that the proposed Municipal Electricity Tariff guideline is

yet to be finalised by NERSA and that any adjustment and revision must be in

accordance with applicable legislation. Accordingly, the impacts of any changes to

NERSA’s proposed municipal tariff increase will need to be considered

by the Council.

7.14.3 That the average Water tariff increases of 15.0% for residential properties and 15.5%

for commercial properties be hereby considered by Council

7.15 Domestic Water Debt Relief Programme:

That it be and is hereby resolved to place a maximum limit of R250 000 on the

rateable value of the property in order to qualify for the Water Debt

Relief Programme.

7.16 Budget Related Policies:

7.16.1 Rates Policy:

That the Rates Policy, as amended be adopted with the final budget.

7.16.2 Credit Control and Debt Collection Policy:

That the Credit Control and Debt Collection Policy, as amended be adopted with the

final budget.



7.16.3 Tariff Policy:

That the Tariff Policy as adopted by Council on 2017-05-31 remains unchanged for

the 2019/20 financial year.

7.16.4 Funding and Reserves Policy:

That the Funding and Reserves Policy adopted by Council on 3 May 2010 has been

reviewed and remains unchanged.

7.16.5 Budget Policy:

That the Budget Policy adopted by Council on 23 February 2011 has been reviewed

and remains unchanged.

7.16.6 Investment Framework Policy and Borrowing Policy:

That the reviewed Investment Framework policy and Guidelines as adopted by

Council on 2017-06-28 remains unchanged.

7.16.7 Supply Chain Management Policy:

That the Supply Chain Management Policy is currently under review and the

amended policy will be submitted to Council for adoption.

7.16.8 Other Budget Related Policies:

That in terms of Section 24(2)(c)(v) of the Municipal Finance Management Act, 56

of 2003, there are no proposed amendments to any other budget related policies.

7.17 Capital Expenditure Estimate:

7.17.1 That in those instances where information has been provided in terms of

Section 19(2)(b) of the Municipal Finance Management Act No. 56 of 2003, together

with project procurement scheduling, the approval of the capital budget constitutes

project approval for the specific projects as reflected in the detailed capital budget. It

being noted that project budgets will be re-prioritised if departments fail to submit

their project procurement schedules.

7.17.2 Where information in terms of Section 19(2)(b) is not provided, specific project

approval is to be sought from Council during the course of the year and that approval

by Council be given only if the report seeking approval is accompanied by the

specific project procurement schedule.

7.17.3 That the capital budget procurement process commences with the approval of the

tabled budget.

7.17.4 The spend on the capital budget for the first 6 months of the financial year is targeted

at not less than 35%.



7.18 Borrowings to Finance the Capital Budget:

That authority be sought from Council for the raising of appropriate long term debt

in terms of Section 46 of the Municipal Finance Management Act No 56 of 2003, to

finance in part the municipality’s capital budget over the MTREF period. In this

regard authority is sought to raise an amount of R 1.5 billion per annum over the

MTREF period. It being noted that the increase of 0.5bn is mainly as a result of the

purchases of buses for the rollout of the IRPTN.

7.19 Housing/Hostels Deficit:

7.19.1 That the estimated Formal Housing Deficit of R65.9m for the 2019/2020 financial

year be met from the Rate Fund.

7.19.2 That the estimated New Development Housing and Hostels deficit of R458.1m be

funded from the Rate Fund.

7.19.3 That appropriate interventions be escalated by the Executive Committee including,

inter alia, the phased introduction of economic rentals, the constructive engagement

of the Provincial State Authorities to secure additional funding and strategies to

reduce electricity and water consumption.

7.20 New Functions/ Services:

That no new functions or service be introduced without specific approval thereto by

the Council after full consideration of the effect thereof on the Council’s Budget.

In addition the budgets pertaining to new functions or services can only be approved

in principle and thereafter would have to be prioritised in terms of the Integrated

Development Plan together with all other submissions that have been received.

7.21 Measurable Performance Objectives:

That in terms of Section 24(2)(c)(iii) of the Municipal Finance Management Act No.

56 of 2003, the measurable performance objectives for capital and operating

expenditure by vote for each year of the medium term revenue and expenditure

framework as set out in Table SA7 (Page 150) be approved.

7.22 Integrated Development Plan (IDP):

That the draft reviewed Municipality’s Integrated Development Plan (IDP) was

tabled with the budget in terms of Section 17(3)(d) of the Municipal Finance

Management Act No.56 of 2003, it being recorded that the annual review process as

prescribed in terms of Section 34 of the Municipal Systems Act, is continuing and

that report to the Executive Committee will be submitted on completion of the

consultative process.

7.23 Particulars of Investments:

That in terms of Section 17 (3) (f) of the Municipal Finance Management Act No. 56

of 2003, particulars of the Councils investments are reflected in

Tables SA15 – SA16 (Pages 160 – 161).



7.24 Remuneration of Councillors and Senior Officials:

That in terms of Section 17(3)(k) of the Municipal Finance Management Act No.56

of 2003 that the proposed cost to Council of the salary, allowances and benefits of

each political office bearer, councillor and senior officials of the municipality and its

entities, is reflected in Table SA23 (Pages 171 ).

7.25 Unfunded Mandates:

That the Council make representation to the Provincial and National Government

regarding unfunded mandates presently undertaken by the Municipality with a view

to securing funding for those services. The cost of unfunded mandates is set out

hereunder:

R’ m

Libraries 434.6

Health – other than municipal health services 367.2

Museums 92.0

Housing: New Development and Hostels 458.1

Formal Housing 65.9

1417.8

7.26 Impact of Housing Expenditure on the Cash Reserves:

7.26.1 That Council makes further representation regarding expenditure incurred in

previous years by the municipality amounting to R4.07 bn for the construction and

provision of housing done on an agency basis on behalf of the KZN Department of

Human Settlements (KZN DOHS) in order to finalise the approval in principle that

was made that USDG funds could be utilised over a five year period subject to

Council committing expenditure of the same amount on Human Settlements

related infrastructure.

7.26.2 In addition, in order to avoid the cash reserves dropping below prudent levels that

could negatively impact our good credit rating, the municipality only implement

KZN DOHS approved housing projects and implementation (incl. invoicing and

submission of claims to KZN DOHS) of these approved projects to be in line with

the approved KZN DOHS budget and cash flows.

7.27 Expenditure Control, Austerity Measures & Tariffs in the Current State

of the Economy:

7.27.1 That in view of the current economic climate further austerity measures be

considered and that all departments review their expenditure and ensure that Council

is getting best value for all expenditure.

7.27.2 That in view of high water, sanitation and electricity increases the price elasticity be

closely monitored as there has been decreasing volumes of sales over the past five

financial years and the sustainability of these services need to be closely monitored.

Tariff structures as well as alternate sources of revenue need to be considered

together with the improved effectiveness of spend.



7.27.3 That the recommendations by the independent consultant on security costs be

urgently implemented.

7.27.4 That overtime and outsourcing of services as well as higher of equipment be

critically evaluated as per city manager circulars Dated 28 February 2019.

7.27.5 That all vacant posts be evaluated ito need to fill on an absolute necessary basis ,refer

CM circular 04/2019.

7.27.6 That the operating model for the IRPTN be urgently considered as the current

projected deficits cannot be met from property tax.

7.27.7 That the EPWP spend is reviewed taking into account the outcome of the audit

currently underway and key interventions put in place to drive the expenditure down

to the grant amount.

7.27.8 That NT circular no 82 be strictly adhered to iro cost containment with regard to

travel, entertainment eventing ,etc .

7.27.9 That Manager’s closely monitor the use of council vehicles and ensure that all trips

are justified and in the best interest of council.

7.27.10 That urgent interventions be put in place to improve the collection rates in hostels

and that appropriate sanctions be considered to enforce payment.

7.27.11 That all reports to BAC include a section on the benchmarking of the most

responsive tender and that any Tender that is above the market rates be justified.

7.27.12 That the SCM unit also introduce benchmarking of prices on all good and services

that are procured for less than R 200 000 and that a motivation be provided for the

acceptance of any quote that is more than the bench mark rate.

7.27.13 That all departments need to expedite the outstanding disciplinary proceedings as the

Auditor-General has raised the issue of consequence management in the

last three audits

7.27.14 That a zero tolerance approach to irregular, fruitless & wasteful, and unauthorised

expenditure be enforced.

7.27.15 That Department’s look at opportunities for rationalization of services and

elimination of duplication.

7.28 Free Basic Services:

7.28.1 That the Free Basic Services Package as set out on page 98 is approved for the

budget year 2019/2020.

7.28.2 That in view of the sustainability of providing free basic services a flat rate for

services be considered as a matter of urgency



7.29 Off Balance Sheet Financing:

That approval in principle be granted for alternate financing options/models to be

considered, incorporating but not limited to Sect 33 (Contracts having future

budgetary implications) of the MFMA type arrangements, to finance major

infrastructure works requiring significant capital sums over several years where risks

and rewards are equitably shared between the municipality and its chosen partner/s.

Each specific project will be submitted to Council for consideration.

7.30 Catalytic Projects:

7.30.1 In keeping with National Treasury’s directive to stimulate the economy, grow the

rates base and create jobs, the City is considering the implementation of several

catalytic projects, subject to these projects having a favourable return on

investment (ROI).

7.30.2 That Council supports these projects in principle and that whilst initial funding has

been provided for feasibility studies, further funding be sourced during the year as

and when the projects are ready for implementation.

7.31 Food Aid Programme (Soup Kitchens):

That the engagement of faith-based organisations and NGO’s to assist the

municipality in its food aid program by adopting soup kitchens be investigated and

where considered necessary a grant in aid be provided. It being noted that a provision

of R 87.7 million has been budgeted for to increase the number of soup kitchens

from 74 to 92.

7.32 Hostel Collections:

That the Council supports the installation of prepaid electricity and water meters for

individual hostel units using the 50/50% principle inclusive of the payment of

rentals, in view of the low hostel debtors collection rate of 5%.

7.33 Meter Reading Strategy:

7.33.1 That the Electricity and Water Units finalise their strategy on the replacement of

electricity and water meters. It being noted that the Electricity Unit is currently in the

process of finalising an implementation plan for all electricity meters to be smart by

2026. A similar implementation plan needs to be developed by the Water Unit.

7.33.2 That the feasibility of combining the electricity and water meter reading services

be investigated.

7.33.3 That quarterly reporting on progress on these issues be submitted to EXCO

7.34 Destination Marketing Programmes:

7.34.1 That Council approves the hosting of the destination marketing programs as

budgeted for and indicated on Annexure B.

7.34.2 That authority be granted to the City Manager to negotiate benefits and rights to

leverage the destination and profile Durban with the organizers.

7.34.3 That authority be granted to the City Manager to conclude contracts with the owners

in terms of the partnership investment.



ANNEXURE A – 2019/20 ADDITIONAL RATES LEVIED ON SPECIAL RATING AREAS (7.7.14 REFERS)

Special Rating Areas Residenti

al

Business

&

Commerc

ial

Industrial Vacant

Land

Agricultu

re

Unauthoris

ed/

abandoned

Public Service

Infrastructure

a) Precincts bordered by Monty

Naicker, Dorothy Nyembe,

Anton Lembede and Dr Yusuf

Dadoo Streets. (CBD Precinct)

0,001911

0,004332

0

0

0

b) Precinct bordered by Soldiers

Way, Dr AB Xuma Road,

Florence Nzama Street and

Bram Fischer Road. (North

East Business Precinct)

0

0,000608

0,000785

0,001203

0

c) Precinct bordered by Dorothy

Nyembe Street, Margaret

Mncadi Avenue, Beach Walk

and Anton Lembede Street.

(North East Business Precinct)

0

0,000608

0,000785

0,001203

0

d) Precinct bordered by Soldiers

Way, Bram Fischer Road,

Sylvester Ntuli, KE Masinga

and Archie Gumede (Place)

Roads. (North East Business

Precinct)

0

0,000608

0,000785

0,001203

0

e) Precinct bordered by OR

Tambo Parade, Dr Pixley

KaSeme Street Mall,

Rutherford and Gillespie

Streets (South Beach Precinct).

0,002259

0,005121

0

0,010126

0

f) Umhlanga Promenade Precinct

bordered by Ocean Way

(South), Lot 430 (North),

Lagoon Drive (West) and the

Indian Ocean (East).

0,001164 0,002639 0

0,005219

0

g) Precinct bordered by

Burlington Road, Burlington

Drive, Nagel Road, Windsor

Road, Midmar Road and

Henley Road.

0,002962

0,006717

0

0,013281 0

0

0

h) Umhlanga Village Precinct

bordered by Flamingo Lane,

Ocean Way, Lagoon

Drive,McCauland Crescent,

Weaver Crescent and the Ruth

First Highway.

0 0,002897

0

0

0

i) Giba Gorge bordered by N3

Highway (South), Reservoir

Road, Jan Smuts Avenue,

Galloway Lane, Mountbatten

Place, Alexander Drive, King

Cetshwayo Highway (East),

Portion 157 of Clifton (North)

to Saint Helier Road (West)

0,000428

0

0

0,001918

0,000107

j) Maytime Community bordered

by M13 Highway, Woodside

Avenue, Haygarth Road, Abrey

Road, Msonti, Quilhall Lane,

Alexander Avenue, Mtonbi and

Victory Road.

0,002701

0,006124

0

0,012109

0



Special Rating Areas Residenti

al

Business

&

Commerc

ial

Industrial Vacant

Land

Agricultu

re

Unauthoris

ed/

abandoned

Public Service

Infrastructure

k) Area consisting of the length of

Florida Road, from Lillian

Road to Mitchell’s Park,

including properties on both

sides of Florida Road.

0,0083

0,010712

0,016413 0

0

l) Westville Perth West Area

bounded by Glencairn Close in

the West, Stanley Teale Road

in the South, Robert Herrick

Avenue in the North and the

eastern boundary consisting of

Linford Place and Drayton

Place in Westville

0,003948 0 0,003948

0

m) Glenwood area bounded by

Helen Joseph Road, King

Dinuzulu Road, Berea Road,

Turners Avenue, Che Guevara

Road, Moore Road, Clark Road

and Bulwer Road.

0,004505

0,005813

ANNEXURE B

DESTINATION PROMOTION PARTNERSHIPS

PROGRAMS

Profile and Motivation

1. Durban Beach

Extravaganza

July Promotes and provides nautical and aqua sport entertainment

experience during holiday season along the Beachfront. It also has a

knowledge empowerment element for the students interested in aqua

sport that feature as sport tourism experience.

2. Joyous Celebration July/ August Biggest Gospel show attracting high LSM from various parts of

South Africa. It has a countrywide roadshow and the brand has huge

following locally and beyond Durban.

3. South African Music

Conference ( SAMC)

July Utilization of local talent to promote music that highlights Durban

lifestyle. The conference discusses the commercialization of local

music. Exhibition of Durban emerging talent utilizing township

lounges.

4. Township Tourism

Experience and

Promotion in across all

the townships in the

eThekwini Municipality

Various Periods

of the Year

This is a robust destination promotion of the townships in Durban

during in various seasons of the year to promote township tourism.

This is through leisure, culture heritage, Township Lifestyle

experience with a huge economic impact to the business in townships

and also destination exposure through the hosting of stakeholders in

the familiarization trips in various township tourism products such as

Max’s Lifestyle, Eyadini, Aritizens lounge, Magaba Lounge and

many other products.

5. Jazz in July July This is an entertainment and leisure experience that happens with the

Durban July festivities but a day after (Sunday) the main Durban July

main race. It attracts another targeted visitor’s audience that love the

jazz genre and it extends the length of stay for the visitors in Durban

during the Durban July festivities.




PROGRAMS


6. Sports Tourism Various period of

the year

Durban also position itself a premium leisure and sporting destination

hence the partnership with various sporting codes organizations is

paramount to help promote the sporting tourism. The sports tourism

promotion is through the hosting of various local national and

international tournaments in Durban’s world class sporting facilities

like Moses Mabhida Stadium. These sporting codes will range from

aqua sport, soccer, rugby cup tournaments and many more. Sports

tourism attracts a large number of national and international visitors

comprising of the athletes, accompanying friends and relatives of the

athletes and spectators. Sports tourism also affords the destination a

huge media exposure for destination promotion and brand exposure.

7. The Vodacom Durban

July

July Vodacom Durban July in an annual race horsing event that takes

place on first weekend of July at the Greyville Racecourse. It offers a

variety of activities taking place such as fashion, music and

entertainment and also a showcase of Durban lifestyle. This is

Africa’s greatest horse racing event that is witnessed by just over

56000 people and it one of the City’s mega events. It draws a number

of visitors to the city, which in turn generates substantial revenue for

the City in turn boosting the economy. The financial and service

support given to this event is substantially outweighed by the amount

of socio economic impact received from visitors, their spending and

destination exposure value received by the City. The event also

generates extensive media coverage pre, during and post event. The

coverage received from this event includes the repetitive use of the

Durban in the event name which in turn generate extensive total

coverage that converts to stimulating potential visitor interest to visit

the destination.

The occurrence of this event has become a spring board for

establishment of new SMME’s and significant growth of existing

businesses as it attracts a lot of visitors into the City. The business

development ranges from business within the urban and Township

areas whereby the livelihoods of the various communities are

economically transformed. These visitors arrive with a plan of getting

maximum leisure, sporting and lifestyle tourism and they extensively

spend till the Monday after the Vodacom Durban July weekend.

The City’s participation is in 3 components:

a) The destination promotion leveraging through destination

promotion partnership.

b) The Durban Tourism brand and destination activation at the

Vodacom July. This is through the hosting of national and

international key strategic stakeholders which includes

Tourism trade (from tour operators to tourism buyers), media,

Captains of industry and influencers in the tourism destination

promotion space.

c) The Durban July Local fashion talent development through the

partnership with Gold Circle a components of the Durban

Fashion Development Programme

8. Imbokodo Jazz Festival August In line with the women economic empowerment in the women’s

month, this is a programmer that completely has women feature in it

This is from the planning, management, artist performance as well as

the provision and oversight of the event technical logistics. The

unique offering attracts domestic visitors into the City to experience

leisure tourism.




PROGRAMS


10. Township to Township

Marathon

September An annual qualifier marathon that alternates each year between

KwaMashu to Umlazi. As the marathon happens, the local

communities gate business opportunities brought in by this marathon

from the spectators. There is also a township promotion brought

benefited through the marathon route in exposing what the township

has to offer hence stimulate culture and heritage tourism.

11. Shisanyama Festival September This program takes place during the heritage month and it brings

together diversity, fashion, art & craft and food particularly the

shisanyama experience at is predominantly in the townships. It is also

a platform to recognize and acknowledge the various township based

shisanyama restaurants that are predominantly owned by African

emerging businesses. This also gives them exposure at this festival

and the diverse ethnic groups get a taste their cuisine.

12. House and Garden Show October Promoting and taking Township Kasi Lifestyle Pavillion for music,

food, furniture SMME’s during this packed show across all

demographics.

13. Umlazi Jazz Festival November Umlazi Jazz is a budding Jazz event that aims to increase tourist

traffic to Umlazi by introducing a genre specific event. The event

works with the township products to promote the destination and

event.

14.

INKHop Festival

November

Promotes the Inanda route and tourism products in KwaMashu by

staging various activations. It also provides information economy by

staging an artist development workshop. The event has an element

that focuses on health and safety awareness during the festive season.

15. Amambazo November Specializes in producing and marketing world class theater

productions. The company is a brainchild of Professor Joseph

Shabala aimed at preserving South African arts and culture through

quality stage musical productions. The company boasts with the

expertise of personnel of high caliber and stature

16. Crown Gospel Awards November An annual gospel awards ceremony that attracts a large number of

gospels followers across the country and beyond South Africa to

converge to Durban.

17. Umnini Extravaganza December The event promotes Umnini Dam as a tourism product in the South

region and ability and flexibility to host mega events.

18. Durban Christmas Street

Lighting Festival

December This is a signature programme that will happen over two weeks of the

start of the festive season. It will be happening after the City’s Festive

and Management Committee (FEMAC) launch in and around the City

with an objective of promoting the culture and heritage tourism

attractions within the City center in alignment with the City’s urban

renewal programme. It will start with Christmas Carols and various

Christmas visitors’ entertainment while showcasing the City’s

attractions like museums, City tours etc as well as well as the street

festival including the Christmas lights and tree lighting festivities.

19. Durban New Year’s Eve

Festival

December As part of the promotion of the beach front as one of Durban’s natural

tourism attraction, a New Years’ eve festival will be staged at the

Durban beach front. This happens from midday till just after midnight

to give visitors a viable entertainment ambience through a big

fireworks display. It is also to create a hype within the beachfront for

all the visitors in Durban to disperse to the beach front.




PROGRAMS


20. Inkasi Experience December This event enables attendees to experience the Inanda route and the

INK area through music and entertainment.

21. Africa Youth Music

Festival

December An event facilitated by an NGO to celebrate young talent within the

space of music. The NGO is strictly youth and creates platforms for

youth to participate in government programs and engage with

government.

22. Good Sundae December Good Sundae is a lifestyle program where city trendsetters gather in

one venue to enjoy the countries best hip hop acts. Good Sundae has

made daytime/night time partying on a Sunday a culture for the past 4

years. Good Sundae boasts and attendance of between 3000 and 5000

with the December programs being the most highly attended.

The program primarily attracts the 18 – 35 age group. The program is

always themed which attracts more numbers.

23. Durban Underground December An annual Christmas Day program that celebrates Durban artists and

offers Tourist an entertainment and fun experience during

Christmas day.

24. Durban Braai Day December This is a first time program that envisages to attract 8000 - 12000

attendees to take place at the MMS Peoples park. It will be giving the

visitors and locals an additional desired lifestyle tourism experience

with the vibrant entertainment and great ambience in the festive. The

braai day is characterized as a family fun day which allows the

visitors to travel as a collective family at all times during the festive

season. This program is also platform to drive the campaign of youth

against crime during the festive season.

25. Durban Beach Festival December It is an extravaganza that offers a multiple entertainment package at

the beach front for the whole family. It also affords a platform for

local artists’ development through performance after a series of road

show recruitments.

26. Durban Jazz Festival December Biggest program in South Africa during the festive season taking

place on 26 December. Strategic hosting of stakeholders.

27. Ingoma Cultural Zonal

Festival

December and

January

Promotes cultural social cohesion, traditional dance competition and

ethnic pride. This is also an appealing attraction to the tourism and it

showcases the culture and heritage of the people of Durban and

KwaZulu-Natal which is of great interest to tourists.

28. KwaMakhutha New

Years

December A youth owned event from the local area of KwaMakhutha. The event

aims to participate in tourism by building a footprint by encouraging

visitors to the townships through events. The event is an event that

empowers 100% youth through the supplying of service,

entertainment, food and beverage supply.

29. Woz’ eDurban Picnic

Program Partnership and

Destination promotion

and leveraging

January Attracts high LSM from Gauteng and other provinces to come to

Durban during the Festive Season. It renders an opportunity to local

entertainment artists targeting hotel visitors to experience

various option.

30. Gospel All Stars December This is a gospel concert that is staged in commemoration of ending

the year. It has a great following of lovers of the gospel genre who are

then attracted a visitors. It is also a performing platform for emerging

gospel artists who are afforded exposure.

31. Metro FM Music Awards

(MMAs) and MMAs

Public Viewing Area

(PVA)

February Music awards owned by the biggest commercial Radio Station. The

Partnership seeks to yield the robust promotion of the destination

through the radios leadership and also leverage on the media muscle

that Metro FM has.




PROGRAMS


32. Lions of Zulu UK tour February This is a United Kingdom tour by local group of African artists in

promoting the Durban destination in the UK. It entails performances

in various schools and community shows that promote the

destination. They have in the past also had engagements with the

various local leadership of the City’s in the UK.

33. Lovers and Frinds February This is a leisure program for visitors for the month February as the

month of love. This is part of the Durban Summer love campaign that

runs from September to March and visitors come in the month of love

to celebrate their love in Durban.

34. Endless Summer

Experience

March Endless Summer Experience is an event that boasts that destination

and the various ongoing campaigns from Durban Tourism and

endless summer in Durban

35. Youth in Tourism

Development and Youth

Tourism Experience

Promotion.

Various periods of

the Year

This is a youth developmental program aimed as empowering youth

through the tourism sector as aligned to the radical economic

transformation. It will happen through various activations and

programs that are run and owned youth within the Durban Area

including townships. The aim is to develop young program organizers

in various platforms to support youth as they showcase the various

talent of the youth in music and also afford the various economic

development opportunities to the youth of eThekwini.

36. Durban Picnic Day Annually Easters

Weekend

A family orientated event that provides the Durban visitors some

entertainment during Easter weekend as they visit Durban. The day

is also characterized as a family fun day which allows the visitors to

travel as a collective family at all times during the festive season. It

also affords a platform for local artists to perform on stage hence

getting exposure and promoted social cohesion and is converges

Durban’s cultural diversity population in one event.

37. Tour Durban Cycle April A cycle race within Durban of exposing the various attractions of the

City. This destination exposure is through the attraction of cycle

lovers and mass media exposure.

38. Zakifo Music Festival May Zakifo is a music festival that brings the world’s biggest international

musicians to Durban. The event has a diverse and eclectic program

ranging from pop to reggae and world music as well as indigenous

sounds from Africa and the Indian Ocean Islands. The event boasts an

innovative urban festival concept

39. Iron Man June IronMan is an international triathlon with a half marathon taking

place in Durban. The event boasts participants of a high LSM. The

event is a gruelling swim, run and cycle event that has a spectacular

public participation as spectators.

40. Comrades Marathon June This is an international marathon that attracts thousands of athletes

from around the world. The destination exposure is through the live

media broadcast, post media coverage, activations culminating to the

marathon and on the day as well as the accompanying relatives of the

athletes into Durban.

TOTAL BUDGET OF R 34 893 730 PER ANNUM OVER THE MTREF PERIOD.

Following the Budget Speech by Her Worship the Mayor, a debate ensued on

the above-mentioned recommendations of the Executive Committee with the

budget not being favourably received by some Councillors, highlighting the

following issues:



● Stagnant rates base and tariff increases amounting to three billion rand

that was to the detriment of ratepayers.

● Decrease in the provision of houses in comparison to previous years,

including a backlog in the issue of Title Deeds.

● A contention that shortage in delivery of electricity and water connections

and increase in tariffs was being further compounded by service delivery

protests, strike actions, land invasions and escalating crime.

● The spillage of sewer in the harbour that posed a health hazard.

● Poor collection of rates with a suggestion that payment schemes be

implemented to encourage payment.

● Increase in Government and Parastatal debt was a matter of huge

concern.

● Employee related costs, namely; Metro Police overtime and projected

borrowings towards the Capital Budget.

● Catalytic Projects having fallen off the “radar”.

● Revenue Management System being in total disarray and amongst other

things, increase in unfunded mandates, housing loan consumer

expenditure exceeding purchases and increase in bad debt.

The dissolution of the Finance Committee was viewed with scepticism especially

as Sections 23(1)(a) and 23(2)(b) of the Municipal Finance Management Act

made provisions for a budget to be interrogated in an endeavour to respond to

the needs of the communities. It was felt that corruption and looting of

Council’s resources required drastic intervention for a clean administration.

In conclusion it was pointed out that there had been no material changes

to the budget.

Majority of the Councillors were in favour of the budget and congratulated

Her Worship the Mayor on a well-presented budget especially as 2019 was

viewed as the year of increased service delivery that would eventually surpass

delivery from previous years. It was pointed out that this Council had within its

three-year term committed itself to remove transit camps and reduce water loss.

Attention was drawn to the budget being compiled against a backdrop of slow

economic growth with clarity being provided that the recruitment of

approximately 400 Metro Police Officers would resolve the current overtime in

that Unit. In advising that the Land Invasion Unit had embarked on a process

to prevent incidents of land invasion, a point was made that this was being

fuelled by certain Political Parties. The establishment of Police Forums would

address the issues of crime and taxi/hostel conflicts. On the matter of rates

rebates, a policy was in effect to address the poor and pensioners.

It was further pointed out that issues related to Provincial competencies was

currently work in progress. The budget was balanced, tested and fulfilled all

requirements especially the poorest of the poor to receive basic services.

Catalytic projects were a legacy of the previous administration that was being

addressed, especially around the Council Chamber, Central Library, etc.

It must however be noted that huge strides had been made in terms of the Mall

of the West, cited as one of the biggest developments of the City, upgrade and

extension of the promenade and sod turning for a hotel development at the

Point. In terms of housing development throughout eThekwini, plans were afoot

to have that realised within this term of office of the current Council.

In conclusion, due cognisance should be taken that the acceleration of catalytic

projects would contribute to job creation within the City.



Following debate, the matter was put to the vote. With 181 Councillors present

116 Councillors (ANC- 109, IND- 4, AIC – 2 and APC- 1) voted in favour and

65 Councillors (DA – 47, IFP - 10, EFF – 6, MF – 1 and DLC – 1) voted against.

There were no abstentions recorded.


ADOPTED.

8. APPROVAL OF FINAL DRAFT 2019/2020 INTEGRATED DEVELOPMENT

PLAN (IDP) (2/10/1/1/9)

(Page 98 and Letter circulated separately)


That Council adopts the 2019/20 Integrated Development Plan (IDP) of the

eThekwini Municipality reviewed in line with the requirements of the Municipal

Systems Act No 32 of 2000 to facilitate inclusive transformational and

developmental issues within the eThekwini Municipal area, and it being recorded

that inputs received from stakeholders have been taken into account in

finalizing the IDP.








ADOPTED.

9. REVIEW OF ELECTRICITY TARRIFS 2019/2020 (7/6/1/2)

(Page 103)

With the Democratic Alliance (02) and Inkatha Freedom Party (01) voting against

and the African National Congress (06) voting in support,


9.1 That Council of the eThekwini Municipality resolves in terms of Section 75A of the

Local Government Municipal Systems Act of 2000 (Act 32 of 2000) that with effect

from 2019-07-01 the tariffs set out in Annexure A and Annexure B of the

report 2578 compiled by the Head: Electricity Unit dated 2019-05-13 will be levied.

9.2 That subject to the adoption of .1 above, the City Manager be directed to comply

with the provisions of Section 75A 3 and 4 of the said Act.










ADOPTED.

10. INTERGRATED DEVELOPMENT PLAN (IDP) 2018/2019 MID TERM

AMENDMENTS TO THE ORIGANAL SERVICE DELIVERY AND BUDGET

IMPLEMENTATION PLAN (SDBIP) (2/10/1/1/9)

(Page 139)


That Council adopts corrections made to the Integrated Development Plan 2018/19

mid-term amendments in relation to Plans 1; 2; 3; 4; 6A and 6B to ensure accurate

reporting in this regard.








ADOPTED.

11. PROGRESS REPORT ON REQUEST TO BORROW R1.0 BILLION FOR

CAPITAL PROJECTS (7/3/1/1/2)

(Page 151)

Council initiated a process required to borrow funds for capital projects. The process

has since been concluded and this is a final submission confirming the finalization

of the process to raise the loan with Nedbank. The National Treasury and the

KwaZulu-Natal Provincial Treasury have been consulted accordingly in this regard.

Members of the Democratic Alliance (02) reiterated their vote on this matter as they

were against the raising of the loan of this nature. A Member of Inkatha Freedom

(01) Party voted against the matter and requested copies of the correspondence

received from National and Provincial Treasury on this matter.

Members of the African National Congress (06) supported the matter as they were

satisfied that necessary formalities have been complied with.



Accordingly,


11.1 That approval be granted to the raising of the long term debt of R1.0 Billion from

Nedbank to finance capital expenditure as set out in the approved Medium Term

Revenue and Expenditure framework for 2018/2019- 2019/2020 on the Terms and

Conditions as set out in the Loan Agreement.

11.2 That subject to the approval of .1 above, the City Manager be authorized to sign the

loan agreement.

11.3 That subject to .1 and .2 above the Deputy City Manager: Finance be authorized to

sign any and all documents, notices and request for disbursement in relation to

this loan.

ADOPTED.

12. BUDGET STATEMENT REPORT FOR THE MONTH ENDED 30 APRIL 2019

(Page 211)

Confirmation was given that the issue of the Tansnat debt was being dealt with

in terms of the adjudication process as per the decision taken previously and the

process will be followed to obtain an update and report accordingly.


That the Budget Statement Report for the month ended 30 April 2019, submitted in

compliance with Section 71 of the Municipal Finance Management Act (MFMA)

and in terms of Government Notice 32141 dated 2009-04-17, relating to the Local

Government: Municipal Finance Management Act 2003 and the Municipal Budget

and Reporting Regulations, be noted.

NOTED.

13. DURBAN CHAMBER OF COMMERCE AND INDUSTRY- CITY

PARTNERSHIP PROJECTS

(Page L9)

Members of the Democratic Alliance abstained on this matter and stated that a need

existed to determine the rationale behind approving financial support to the Durban

Chamber of Business. They were of the view that the activities the Chamber

is committing to could be undertaken internally by the Economic Development Unit,

hence the funds could be used to supplement the budget of this Unit.

With the majority supporting additional expertise for investment promotion,


13.1 That Council approves partnership between eThekwini Municipality and the Durban

Chamber of Commerce and Industry (DCCI) to drive investment and development

in the City of eThekwini.



13.2 That subject to the approval of .1 above, authority be granted to the City Manager to

conclude and sign a Memorandum of Agreement (MOA) with DCCI to give effect to

the above.

13.3 That subject to the approval of .1, authority be granted to the Deputy City Manager:

Economic Development and Planning, in terms of Section 67 of the Municipal

Financial Management Act (MFMA) and in accordance with the MOA, to disburse

funds to DCCI amounting to R3 440 000.00 (Three Million Four Hundred and Forty

Thousand Rand), excluding VAT, to undertake the partnership projects.

Business

Unit

Item Item

Subset

Fund Costing Project Region Expenditure

Proposed (VAT incl.)

Financial

Year(s)

91000 25030 17 12120 0000 38886 0010 R506 666.66 2018/2019

91000 25030 17 12120 0000 38886 0010 R933 333.34 2019/2020

26103 25030 17 12120 0000 38840 0010 R1000 000 2018/2019

26103 25030 17 12120 0000 38840 0010 R1000 000 2019/2020

Total R3 440 000

Vote Numbers: 91000.25030.17.12120.0000.38886.0010 (FC 2019/18/74)

26103.25030.17.12120.0000.38886.0010 (FC 2019/18/60)

ADOPTED.

______________________

(Councillor TJ Luthuli, Chairperson of the Municipal Public Accounts

Committee, presented the Report of the Municipal Public Accounts Committee).

______________________

REPORT OF THE MUNICIPAL PUBLIC ACCOUNTS COMMITTEE:

MEETING HELD ON 2019-05-22



Municipal Public Accounts Committee

Work Programme 2019/2020



TABLE OF CONTENTS

1. OUR MANDATE 3

2. IDP, BUDGET AND MUNICIPAL PERFORMANCE 5

3. ANNUAL FINANCIAL STATEMENTS 5

4. ANNUAL REPORT PROCESS 6

5. IN-YEAR REPORTING 6

6. AUDIT COMMITTEE 6

7. 2019/2020 MPAC WORK PROGRAMME 7

This Work Programme outlines the activities that will be undertaken by eThekwini Municipality’s

Public Accounts Committee in the 2019/2020 financial year.



Our Mandate

The key functions of the Municipal Public Accounts Committee are:

1. To review the municipal annual report with specific focus on the report of the

auditor general;

2. To hold the municipal Executive and Administration accountable for their

implementation of municipal policies and budget;

3. To develop recommendations to improve municipal finance administration.

National Treasury and the Department of Cooperative Governance and Traditional Affairs in their

Guideline advise that the functions of MPAC are:

1. To consider and evaluate the content of the annual report and to make recommendations

to Council when adopting an oversight report on the annual report;

2. In order to assist with the conclusion of matters that may not be finalised, information

relating to past recommendations made on the Annual Report must also be reviewed.

This relates to current in-year reports, including the quarterly, mid-year and

annual reports;

3. To examine the financial statements and audit reports of the municipality and municipal

entities, and in doing so, the committee must consider improvements from previous

statements and reports and must evaluate the extent to which the Audit Committee’s and

the Auditor General’s recommendations have been implemented;

4. To promote good governance, transparency and accountability in the use of

municipal resources;

5. To recommend or undertake any investigation in its area of responsibility, after

reviewing any investigation report already undertaken by the municipality or the Audit

Committee; and

6. To perform any other functions assigned to it through a resolution of council within its

area of responsibility.



Our Terms of Reference as approved by Council are:

1.1 To examine the following documents:

(a) Audit Reports on Annual Financial Statements of the Municipality and its Entities;

(b) Audit opinion, other reports and recommendations from the Audit Committee;

(c) Any reports issued by the Auditor General on the affairs of the Municipality and its

Entities;

(d) Any report on the outcome of any investigation relating to the financial affairs of the

Council;

(e) The annual reports and information on performance of the Municipality and of any

Municipal Entity under the Municipality’s shared or sole control;

(f) The Mayor’s quarterly reports on the implementation of the budget and the financial

state of affairs of the Municipality; and

(g) Any other financial statements or reports referred to us by the Council;

(h) Any information relating to personnel; books of account, records, assets and

liabilities of the Council and to any other source of relevant information that may

be required for the purpose of fulfilling its mandate;

(i) Information in respect of any disciplinary action taken in terms of the Municipal

Finance Management Act.

(j) Report on and/or make recommendations in relation to any of the reports or financial

statements which it may examine to Council.

1.2 To report on and/or make recommendations in relation to any of the reports or financial

statements which it may examine to Council.

1.3 In our examination (mentioned in .2 above) we must take into account previous statements

and reports and consider the degree to which previously identified shortcomings have been

rectified and report our findings to Council.

1.4 To initiate and develop the Annual Oversight Report on the Municipality’s Annual Report.

1.5 To initiate investigations into any matter falling within its terms of reference including

projects requested by the Executive Committee and Council. To recommend or undertake

any investigation after reviewing any investigation report already undertaken by the

Municipality or Audit Committee.

1.6 To consider any Audit Committee recommendations referred to us and render an opinion on

such recommendations.

1.7 To hold meetings that are open to the public unless we agree to have a closed

session/in-Committee.

1.8 To co-opt advisory members or experts to advise us in our deliberations provided that such

persons may not vote on any matter.

1.9 To call upon/summon Councillors; Officials; Department Heads and/or Heads of Municipal

Entities to assist us in the execution of our functions.



IDP, Budget and Municipal Performance

A municipal council is required to review its integrated development plan (IDP) annually. We will

ensure that the review is undertaken.

As the annual budget of a municipality must be informed by the IDP adopted by the municipal

council we will review the draft annual budget to ensure that is aligned to the IDP.

We will monitor the preparation of the annual performance plan.

The implementation of the budget and the performance of the municipality will be monitored by

examining the following documents:

1. Monthly budget statements

2. Quarterly reports

3. Mid-year budget and performance assessment reports of the municipality and entities

4. Annual report

Annual Financial Statements

We will examine the annual financial statements of the Municipality and its Entities and ensure that

they have been submitted timeously to the Auditor General.

In addition, we will ensure that the necessary disclosures have been made in the financial statements

including:

1. salaries, allowances and benefits of political office bearers, Councillors and boards of

directors of municipal entities;

2. any arrears owed by individual Councillors to the municipality or entity for rates and

services, which at any time were outstanding for more than 90 days;

3. salaries allowances and benefits of the municipal manager, CEOs of municipal entities, CFO

and every senior manager;



Annual Report Process

As the Auditor General’s report is our key oversight tool, we will:

1. Obtain a briefing on the audit findings, identified problems and recommendations from the

Auditor General;

2. Refer matters to the Audit Committee for investigation;

3. Prepare and refer policy matters to relevant Committees for their perspective and input;

4. Refer preliminary questions with time frames to the City Manager;

5. Analyse responses to preliminary questions;

6. Call upon the City Manager and Heads of Units to respond and to act upon audit queries and

recommendations;

7. Hold public hearings;

8. Compile the Oversight Report;

In-year monitoring

During the course of the year we will invite the City Manager to report on:

1. Policy and budget implementation;

2. Implementation of audit recommendations and Council resolutions;

3. Unforeseen and unavoidable expenditure

4. Unauthorised, irregular, fruitless and wasteful expenditure;

5. Disciplinary action instituted in terms of the MFMA

6. Implementation of investigation recommendations.

Audit Committee

The technical expertise, support and advice provided by the audit committee in its quarterly reports

and engagements with us will assist us to fulfil our mandate and to capacitate us.



MUNICIPAL PUBLIC ACCOUNTS COMMITTEE (MPAC) WORK PLAN: 2019/2020

Deliverable Statutory

References

Purpose July

2019

Aug

2019

Sept

2019

Oct

2019

Nov

2019

Dec

2019

Jan

2020

Feb

2020

Mar

2020

April

2020

May

2020

June

2020

Responsibilit

y

1 Municipal Finance Management Act

(MFMA)

1.1 Unforeseen and unavoidable

expenditure:

● Interrogate reports of any

unforeseen and unavoidable

expenditure incurred including

proof of the necessary

appropriation in an adjustment

budget

MFMA s29 For review and

recommendation

to Council

X X CFO

1.2 Unauthorised, irregular or fruitless

and wasteful expenditure:

● Interrogate reports of any

unauthorised, irregular or

fruitless and wasteful

expenditure by the Council, the

Mayor, Executive Committee or

any political office bearer of the

municipality

● Obtain reports from the

Municipal Manager on all steps

taken to either authorise or

certify the payment or to recover

or write off the expenditure


recommendation

to Council

X X X Mayor and

City

Manager




References

Purpose July

2019

Aug

2019

Sept

2019

Oct

2019

Nov

2019

Dec

2019

Jan

2020

Feb

2020

Mar

2020

April

2020

May

2020

June

2020

Responsibilit

y

● Receive reports from the

Municipal Manager on whether

any criminal action was instituted

in this regard and report to the

Council on the appropriateness

of any criminal or civil steps

taken and reported where no

further action was taken and why

1.3 The quarterly report of the mayor

on the implementation of the

budget and state of affairs of the

municipality/SDBIP:

● Interrogate the quarterly report of

the Mayor on the implementation

of the budget and the state of

affairs of the municipality and

recommendations be made to

Council

● Ensure that necessary

amendments to the SDBIP are

attended to by the Mayor and

submitted to Council with

proposals for the budget

MFMA s52(d) For review and

recommendation

to Council

X X X X Mayor, CFO

and City

Manager

1.4 Monthly budget statements:

● Interrogate the monthly budget

statements and report any matter

of concern on the statement to

the Council


recommendation

to Council

X X X X X X X X X X X X Mayor, CFO

and City

Manager




References

Purpose July

2019

Aug

2019

Sept

2019

Oct

2019

Nov

2019

Dec

2019

Jan

2020

Feb

2020

Mar

2020

April

2020

May

2020

June

2020

Responsibilit

y

1.5 Mid-year budget and performance

assessment:

● Interrogate the Municipality’s

mid-year budget and

performance assessment and

submit comments on the

assessment to the Council


recommendation

to Council

X Mayor, CFO

and City

Manager

1.6 Mid-year budget and performance

assessment of the municipal

entities:

● Interrogate the Entities mid-year

budget and performance

assessment reports and report

matters of concern to the Council


recommendation

to Council

X Mayor, CFO

and City

Manager

1.7 Disclosures concerning Councillors, directors and officials:

● In interrogating the annual

financial statements, ensure that

the necessary disclosures were

made in the financial statements,

including:

Salaries, allowances and

benefits of political bearers

and Councillors of the

Municipality


recommendation

to Council

X City

Manager

and CFO




References

Purpose July

2019

Aug

2019

Sept

2019

Oct

2019

Nov

2019

Dec

2019

Jan

2020

Feb

2020

Mar

2020

April

2020

May

2020

June

2020

Responsibilit

y

Arrears owed by individual

Councillors by the

Municipality for more than 90

days


benefit of the Municipal

Manager, CFO, DCMs and

Senior Managers


benefits of the board of

Directors of Municipal

entities

Salaries, benefits and

allowances of the chief

Executive Officer and Senior

Managers of Municipal

entities

1.8 Submission and auditing of

annual financial statements:

● Receive the annual financial

statements of the Municipality

and all its entities that are

submitted to the Auditor General

of South Africa (AGSA)


recommendation

to Council

X CFO and

City

Manager




References

Purpose July

2019

Aug

2019

Sept

2019

Oct

2019

Nov

2019

Dec

2019

Jan

2020

Feb

2020

Mar

2020

April

2020

May

2020

June

2020

Responsibilit

y

1.9 Submission of the annual report:

● Receive the annual report no

later than the second of February

2020.

● Monitor that the annual report

has been submitted to the

AGSA, as well as the provincial

government departments

required and has been published

for comment

MFMA s127 X City

Manager

1.10 Oversight report on the annual

report:

● Consider the annual report and

prepare a draft oversight report

to be submitted to the Council for

purposes of adopting the

oversight report

MFMA s129

N.T. Circular 32

For review and

recommendation

to Council

X X X City

Manager

1.11 Issues raised by the Auditor

General in audit reports:

● Interrogate report prepared to

address issues raised by the

AGSA and make

recommendations to the Council


recommendation

to Council

X X X X City

Manager

and CFO

1.12 Audit Committee:

● Interrogate audit committee

reports to be informed of matters

requiring the attention of the

Council and to be capacitated

X X X X




References

Purpose July

2019

Aug

2019

Sept

2019

Oct

2019

Nov

2019

Dec

2019

Jan

2020

Feb

2020

Mar

2020

April

2020

May

2020

June

2020

Responsibilit

y

1.13 Disciplinary action instituted in

terms of the MFMA:

● Monitor that all disciplinary

processes instituted for the

contravention of the MFMA are

brought to conclusion and report

to Council where matters are not

dealt with effectively and

timeously

For review and

recommendation

to Council

X X X X X X X X X X X X Mayor and

City

Manager

2 2.1 SCM Regulations

Monitor the implementation of

the SCM Policy

SCM s6(2)a(i) For monitoring X X X X X X X X X X X X CFO and

City

Manager

2.2 External Service Provider

Performance

Monitor the review of the

performance of external service

providers

MFMA s116(2)b For monitoring X X X X City

Manager

3 Interrogate the following aspects

addressed in Municipal Systems Act

Mayor and

City

Manager

3.1 Annual review of the IDP:

● Monitor whether EXCO has

initiated the annual review of the

IDP

MSA s34 For review and

recommendation

to Council

X X X Mayor and

City

Manager




References

Purpose July

2019

Aug

2019

Sept

2019

Oct

2019

Nov

2019

Dec

2019

Jan

2020

Feb

2020

Mar

2020

April

2020

May

2020

June

2020

Responsibilit

y

3.2 Monitor that the annual budget is

informed by the IDP:

● Review the draft annual budget

and ensure that it is informed by

the IDP adopted by the municipal

Council

Regulation 6 of

LGMPPMR

For review and

recommendation

to Council

X X Mayor, CFO

and City

Manager

3.3 Monitor that all declaration of

interest forms are completed by

Councillors:

● Monitor whether all Councillors

have completed their declaration

of interest forms and updated

them where necessary

MSA s54 read

with item 7 of

Schedule 1

For monitoring X X Speaker and

City

Manager

4 MPAC Annual Plan:

Prepare an annual work plan for

2020/2021

Approval by

Council

X X Chairman of

MPAC

5 Capacity Building:

Attend training courses as

outlined in the MPAC Skills

Development Plan

Attend the annual conference of

the Association of Public

Accounts Committees

Undertake visits to other

Municipalities; Provincial

Legislature and National

Legislature

As and when

required

MPAC

Secretariat

and Office of

the Speaker




References

Purpose July

2019

Aug

2019

Sept

2019

Oct

2019

Nov

2019

Dec

2019

Jan

2020

Feb

2020

Mar

2020

April

2020

May

2020

June

2020

Responsibilit

y

6 Oversight Visits:

Undertake oversight visits to

ensure accountability and

compliance with good

governance within the

Municipality and its Entities

As and when

required

MPAC

Secretariat

7 Performance Monitoring:

Evaluate the Committee’s

performance

X MPAC

8 Special Meetings:

To conduct public hearings

To consider issues raised by the

Auditor General

To consider outstanding matters

To consider matters reported to

MEC

As and when

required

MPAC

Secretariat

9 Municipal Standard Charter of

Accounts (MSCOA):

Monitor the progress of the

implementation of MSCOA

For monitoring X X X CFO

The Work Programme of the Municipal Public Accounts Committee, as indicated in its aforesaid Report, was ADOPTED.



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. CENTRAL EMPLOYMENT EQUITY AND SKILLS DEVELOPMENT

COMMITTEE

Meeting held on : 2019-04-17

2. COMMUNITY SERVICES COMMITTEE


3. ECONOMIC DEVELOPMENT AND PLANNING COMMITTEE


4. EXECUTIVE COMMITTEE

Meetings held on : 2019-03-19

: 2019-03-26

: 2019-03-28

: 2019-04-26

: 2019-04-29

5. GOVERNANCE AND HUMAN RESOURCES COMMITTEE


6. HUMAN RESOURCES DEVELOPMENT SUB-COMMITTEE: TREASURY AND

OFFICE OF THE CITY MANAGER


7. HUMAN SETTLEMENTS AND INFRASTRUCTURE COMMITTEE


: 2019-02-25

8. LOCAL LABOUR FORUM: TREASURY AND OFFICE OF THE CITY MANAGER


: 2019-03-20

: 2019-03-20 (Workshop)

: 2019-04-18



9. SECURITY AND EMERGENCY SERVICES COMMITTEE


: 2019-04-17

10. SPEAKER’S COMMITTEE


: 2019-03-25

: 2019-04-29

11. UNIT LOCAL LABOUR FORUM: FIRE & EMERGENCY SERVICES AND

MANAGEMENT & EMERGENCY CONTROL


: 2019-04-16

: 2019-05-14

12. UNIT LOCAL LABOUR FORUM: WATER AND SANITATION


NOTED.

_______________

ITEMS FOR NOTING

The Items for Noting, reflected on Pages 38 to 42 of the Agenda were

NOTED.

__________________

The meeting terminated at 16:00

CONFIRMED AT THE MEETING OF THE ETHEKWINI COUNCIL ON 2019-06-27

SPEAKER

Documents

No. 52 MINUTES Minutes and... · TG Makhanya, ZP Makhanya, MW Manqele, TZ Mathe, PM Mbambo, ... Municipalities was being undertaken by COGTA on a quarterly basis and the results of