1. SELECT COMMITTEE ON FINANCE
TOPIC: PERFORMANCE OF BUDGET (2017 / 2018)
PRESENTATION: SELECT COMMITTEE ON FINANCE
Date: 14 AUGUST 2018

2. ABBREVIATIONS USED IN THIS PRESENTATION
ATTP - Assistance to the Poor Programme
BEPP - Built Environment Performance Plan
CRR - Capital Replacement Reserve
DME - Department of Minerals and Energy
ICDG - Integrated City Development Grant
IDP - Integrated Development plan
IGR - Intergovernmental Relation
IPTS - Integrated Public Transport System Grant
LTGDP - Long Term Growth and Development Plan
UNS - Urban Network Strategy
USDG - Urban Settlements Development Grant
SDF - Spatial Development Framework

3. INTRODUCTORY REMARKS
The key issues that currently confront Nelson Mandela Bay include:
Nelson Mandela Bay is still in the grip of the most severe drought ever experienced – previously lowest ever dam levels were 33% and currently 18%.
Water and electricity losses remain unacceptably high and programmes of the Budget and IDP are to reduce these.
Positive negotiations have yielded competitive electricity tariffs for industrial users.
The issue of under- and unfunded mandates remain problematic (libraries, roads, housing).
The three audit qualifications of 2016/17 have been addressed.
IGR challenges.
Bayworld challenges.

4. PROFILE Size 1 959 km² (Source: StatsSA) Population
Total Households
(Source: StatsSA)
Indigent Households
30% households receive at least one social grant
Number of Informal Settlements 79
Unemployment
34,3% (Source: StatsSA)
Access to water
100% of formal households in the urban edge
Access to electricity
100% of households on formally surveyed sites
Access to waste collection
100% of households in the urban edge
Access to sanitation
100% of households (excluding the bucket system)
Number of staff
7 000
Capital Budget
R1,67 billion
Operating Budget
R9,68 billion
Non-revenue water
33,49% (Real water losses)
Electricity losses
12,75% (Technical and non-technical losses)

5. THE OVERALL SPENDING OF THE CAPITAL BUDGET – 2017 / 2018 (Based on Preliminary Results)

6. PRELIMINARY RESULTS PRE DIRECTORATE OF CAPEX SPENDING – 2017/18 (AT 3 AUGUST 2018)
CAPITAL EXPENDITURE BY DIRECTORATE AS AT 3 August 2018
Org Code
Directorate
Approved 2018 Capital Adjustments Budget Capital Budget
Additional USDG Funding Received
Budget Amendment
Disaster Relief Grant
Total 2018 Capital Budget
Expenditure as at
% spent
1198
Budget & Treasury
23,574,580
4,059,554
17.22%
1656
Chief Operating Officer
6,410,526
6,418,983
100.13%
1197
Corporate Services
53,220,000
41,446,499
77.88%
1196
Economic Development, Tourism and Agriculture
1,000,000
999,999
100.00%
1194
Sport and Recreation
42,386,580
7,652,174
50,038,754
20,696,546
41.36%
1191
Human Settlements
221,676,316
207,319,598
93.52%
1477
Electricity and Energy
282,371,749
47,905,870
330,277,619
318,486,212
96.43%
384
Roads, Stormwater, Transportation & Fleet
455,012,175
18,355,000
2,728,070
476,095,245
438,297,835
92.06%
1412
Water Services
200,200,000
44,173,913
84,347,830
328,721,743
256,114,036
77.91%
1411
Sanitation Services
231,764,035
-15,000,000
216,764,035
214,589,823
99.00%
1193
Public Health
55,287,790
21,739,130
15,000,000
92,026,920
87,665,357
95.26%
1195
Safety & Security
16,700,000
15,635,844
93.63%
1474
Motherwell Urban Renewal Programme
7,894,737
6,661,817
84.38%
1,597,498,488
139,826,087
1,824,400,475
1,618,392,102
88.71%
This is work in progress as the 2017/18 AFS are not yet finalised so this picture continues changing every day….

7. HOW HAS OUR (NMBM) BUDGET BEEN FINANCED OR SOURCED FOR 2017/18
HOW HAS OUR (NMBM) BUDGET BEEN FINANCED OR SOURCED FOR 2017/18? (PRELIMINARY RESULTS AT A HIGH LEVEL)
100% of USDG has been spent and invoiced and to date invoices totaling approximately 97% have been paid with the remaining 3% to be paid shortly. This includes the original USDG amount of R911 million and the additional R178.8m received in March The Emergency Disaster Grant was also received late in the 2017/18 financial year.

8. VARIOUS PROJECTS FUNDED FROM THE USDG
DETAILED PROJECTS FUNDED FROM THE URBAN SETTLEMENTS DEVELOPMENTS GRANT (USDG)
Project ID
Project Title
Org Code
Budget
Actual
% Spent
Resurfacing Tar roads (non-subsidy)
427
1,800,000
1,796,200
99.79
Sanitation Services: Sewer Replacement and Relining
447
2,070,000
2,067,482
99.88
Public Lighting
380
30,864,230
30,317,870
98.23
Water Services: Pipe Rehabilitation and Improvements
504
37,088,000
37,134,916
100.13
Sanitation Services: Improvements to Sewerage System
20,866,139
20,947,447
100.39
Water Services: Elandsjagt WTW - Upgrade to Restore Capacity
486
9,265,490
9,257,966
99.92
Reinforcement of electricity network - Redhouse
374
558,050
388,144
69.55
Sanitation Services: Chatty Valley collector Sewer Stage 1
500,000
495,340
99.07
Reinforcement of electricity network - Bethelsdorp 11 kV
484,569
96.91
Cable Replacement 6.6kV
1,000,000
964,567
96.46
Upgrade Existing Sports Facilities 64
3,391,310
938,762
27.68
Sanitation Services: Paapenkuils Main Sewers Augmentation
924,040
1,061,553
114.88
Sanitation Services: Purchase Telemetry Equip- Pump Stations
449
1,345,862
1,266,557
94.11
Water Services: Rehabilitation of Reservoirs
26,145,650
26,006,777
99.47
Water Services: Loerie Treatment Works: Rehabilitation
485
1,725,000
1,475,285
85.52
Water Services: Installation of Zone Water meters
2,386,510
2,384,676
Water Services: Purchase of Water Meters - Metro
507
16,250,000
17,631,464
108.5
Reinforcement of electricity network - Swartkops
978,411
97.84
Water Services: Upgrading Groendal Water Treatment Works
951
855,000
855,732
100.09
Upgrade and Development of Public Open Spaces 71
33,441,540
100
Stormwater Improvements
428
2,855,000
2,813,439
98.54
Sanitation Services: Lorraine - Bulk Sewerage Augmentation
Sanitation Services: Markman - Replace 600mm Sewer
Water Services: Construction of Amanzi Reservoir and Pipeline
1,721,963
99.82
Sanitation Services: Witteklip Bulk Sewerage
550,000
520,193
94.58
Upgrade and Development of Cemeteries 80
New Brighton/Kwazakhele: Bulk Stormwater
5,000,000
4,928,601
98.57
Water Services: Seaview Bulk Water
687,000
686,435
Water Services: Construction of a 1,0 ml reclaimed effluent
941
84,000
83,406
99.29
Water Services: Upgrade and Rehabilitation of Water Pipelines
474
40,972,870
40,815,210
99.62
Water Services: Older Dams Pipelines Augmentation
479
2,700,000
2,463,368
91.24
MV and HV Switchgear replacement
4,909,525
98.19

9. VARIOUS PROJECTS FUNDED FROM THE USDG (Cont…)
Project ID
Project Title
Org Code
Budget
Actual
% Spent
Sanitation Services: Augment Collector Sewer Walmer Heights
447
101,164
100
Improve access roads - Sanitation
459
Water Services: Nooitgedagt/Coega Low Level System
487
50,967,390
50,707,897
99.49
Sanitation Services: Sewer Protection for Collector Sewers
1,540,000
1,536,322
99.76
Water Services: Seaview Water Pump Station: Upgrades
501
5,851,000
6,763,081
115.59
Sanitation Services: Bucket Eradication Programme
453
2,316,067
Sanitation Services: Driftsands WWTW Phase 3 extension
2,050,159
1,952,226
95.22
Tarring of Gravel Roads
427
75,000,000
65,534,411
87.38
Provision of Sidewalks
8,750,000
5,520,508
63.09
Sanitation Services: Cape Receife WWTW : Upgrade
458
4,298,836
4,273,261
99.41
Water Services: Upgrading of Churchill Water Treatment Works
483
1,500,000
1,100,230
73.35
Water Services: Coega Reclaimed Effluent Scheme
946
Water Services: Upgrading of Springs Water Treatment Works
948
Water Services: Rudimentary Service: Water
504
1,056,000
906,582
85.85
Sanitation Services: Jagtvlakte Bulk Sewerage
1626
Sanitation Services: Motherwell North Bulk Sewerage
449
3,008,000
2,909,539
96.73
Sanitation Services: Motherwell/Coega WWTW and outfall sewer
3,283,000
3,282,025
99.97
Sanitation Services: Driftsands Collector Sewer Augmentation
35,792,350
35,783,823
99.98
Sanitation Services: Rehabilitation of Pump Stations
11,905,470
11,118,565
93.39
Theescombe/Gqebera Bulk Stormwater
428
1,800,000
1,526,042
84.78
Rehabilitation of roads
1,789,105
99.39
Sanitation Services: Rehab of Kwazakhele Collector Sewer
679,700
639,310
94.06
Sanitation Services: Kwanobuhle WWTW : Upgrading
977
73,800
982,252
1,330.97
Sanitation: Kelvin Jones WWTW:Upgrade
975
3,850,000
3,840,938
Sanitation Services: Brickfields WWTW: Upgrade
460
458,000
72,770
15.89
Sanitation Services: Fishwater Flats WWTW Upgrade
457
11,713,357
13,535,496
115.56

10. VARIOUS PROJECTS FUNDED FROM THE USDG (Cont…)
Project ID
Project Title
Org Code
Budget
Actual
% Spent
Water Services: Telemetry Equipment
621
3,175,000
3,111,303
97.99
Groundwater Drought Interventions - Coegakop Wellfield
946
16,650,000
15,318,050 92
Cannonville/Colchester: Stormwater improvements
428
5,000,000
4,953,628
99.07
Water Services: Bulk Water Metering and Control
477
3,000,000
2,637,554
87.92
Water Services: Rehabilitation of Pump Stations
474
4,365,000
4,321,625
99.01
Mendi Arts & Cultural Centre
1002
2,086,960
1,666,542
79.85
HV Network Reinforcement - New Substations
375
4,934,790
4,958,069
100.47
Sanitation Services:Swartkops Low Level Collector Sewer Upgd
447
82,365
44,680
54.25
Bulk Sewer JoeSlovo Mandelville Allenridge Phase 2 Sub 1
9,200,000
8,244,406
89.61
Sanitation Services: Kwanobuhle Area 11 - Link sewer
67,300
66,967
99.51
Khayamnandi Extension - Roadsworks (Human Settlements)
415
11,337,540
11,337,539
100
Missionvale Garden Lots - Human Settlements (Services)
12,418,480
10,479,338
84.39
Kwanobuhle Area Roadsworks Human Settlemnts (Services)
24,136,510
24,068,740
99.72
Kwazakhele: Ekhumphumleni - Roadworks (Human Settlements)
4,776,060
4,776,058
Jagvlagte (Chatty 11-14) Roadworks ( Human Settlements)
21,627,000
17,971,465
83.1
Seaview Housing Project - Roadworks (Human Settlements)
5,161
5,160
99.98
Fencing of Cemeteries 71
8,297,600
7,997,261
96.38
Walmer Development - Roadworks Human Settlements (Services)
14,828,985
14,186,795
95.67
N2 North Development - Roadsworks ( Human Settlements )
388,723
388,722
MK Silvertown 2 Qaqawuli - Human Settlements (Services)
5,768,100
5,810,148
100.73
Motherwell NU30 - Roadworks Human Settlements (Services)
20,944,802
20,657,742
98.63
Malabar Ext 6 Phase 2 - Roadworks (Human Settlements)
10,301,500
8,672,659
84.19
Motherwell NU31- Roadworks Human Settlements (Services)
703,000
702,578
99.94
Relocation of Existing Electrical Service Connections
369
3,478,260
3,457,427
99.4
Nkatha/Seyisi - Roadworks (Human Settlements)
73,300
33,299
45.43
Raymond Mhlaba/ Buyambo - Human Settlemnts (Services)
1,165,000
1,158,604
99.45
Bethelsdorp Ext 32, 34 & 36 - Roadworks (Human Settlemnts)
132,400
132,399
Kleinskool Kliprand - Roadworks Human Settlemnts (Services)
22,000
Pola Park - Human Settlements (Services)
719,805
719,804
Rehabilitation of Stormwater Ponds
2,600,000
2,522,018 97
Refurbishment of Power Transformers
340
5,267,489
105.35
Water Services: Advanced Meter Infrastructure
506
7,250,000
8,599,495
118.61
ERF 10015, Uitenhage Human Settlements (Services)
408,783
400,489
97.97
Erf 3179 Uitenhage Roads (Human Settlements)
3,196,437
3,065,231
95.9

11. VARIOUS PROJECTS FUNDED FROM THE USDG (Cont…)
Project ID
Project Title
Org Code
Budget
Actual
% Spent
Erf 12931,Uitenhage-Roadworks (Human Settlements)
415
2,678,040
2,126,732
79.41
Astroturf Surfaces 64
2,173,920
1,449,563
66.68
ERF 818/868, Roadworks (Human Settlements)
153,500
149,564
97.44
John Street-Roadworks (Human Settlements)
Undeclared Informal Electrification
374
14,956,530
14,890,618
99.56
Malabar Ext 6 Phase 2 - Stormwater (Human Settlements)
2,000,000
1,951,548
97.58
Malabar Ext 6 Phase 2 - Water Bulks (Human Settlements)
4,734,500
4,501,607
95.08
Khayamnandi Extention - Water Bulks (Human Settlements)
104,810
100
Khayamnandi Extention - Stormwater (Human Settlements)
Malabar Ext 6 Phase 2 - Sewer Bulks (Human Settlementd)
4,652,000
4,565,707
98.15
Khayamnandi Extention - Sewer Bulks (Human Settlements)
139,747
Motherwell NU 31 - Water Bulks (Human Settlements)
142,000
141,874
99.91
Motherwell NU 31 - Sewer Bulks (Human Settlements)
483,000
482,536
99.9
Kwanobuhle Area 11 - Stormwater ( Human Settlements)
6,567,860
6,497,158
98.92
Kwanobuhle Area 11 - Water Bulks ( Human Settlements)
5,844,865
5,804,247
99.31
Kwanobuhle Area 11 - Sewer Bulks ( Human Settlements)
4,256,240
4,143,714
97.36
Nkatha/Seyisi - Stormwater (Human Settlements)
9,520
9,514
99.94
Nkatha/Seyisi - Water Bulks (Human Settlements)
23,790
23,785
99.98
Nkatha/Seyisi - Sewer Bulks (Human Settlements)
28,550
28,542
99.97
Bethelsdorp Ext 32, 34, & 36 - Stormwater(Human Settlements)
60,870
Jagvlagte (Chatty 11-14) Stormwater ( Human Settlements)
5,200,000
4,643,017
89.29

12. VARIOUS PROJECTS FUNDED FROM THE USDG (Cont…)
Project ID
Project Title
Org Code
Budget
Actual
% Spent
Bethelsdorp Ext 32, 34, & 36 - Water Bulk(Human Settlements)
415
86,957
100
Jagvlagte (Chatty 11-14) Water Bulks ( Human Settlements)
6,935,740
5,479,296 79
Bethelsdorp Ext 32, 34, & 36 - Sewer Bulk(Human Settlements)
34,346
34,345
Kleinskool Kliprand - Stormwater (Human Settlements)
Jagvlagte (Chatty 11-14) Sewer Bulks ( Human Settlements)
6,055,100
5,944,966
98.18
Seaview Housing - Stormwater (Human Settlements)
Kleinskool Kliprand - Water Bulks (Human Settlements)
Seaview Housing - Water (Human Settlements)
Kleinskool Kliprand - Sewer Bulks (Human Settlements)
14,237
14,236
99.99
Seaview Housing - Sewer Bulks (Human Settlements)
Motherwell NU 29 - Water Bulks (Human Settlements)
175,500
175,439
99.97
Motherwell NU 29 - Sewer Bulks (Human Settlements)
266,300
263,275
98.86
Rocklands - Stormwater (Human Settlements)
709,805
709,804
Rocklands - Water Bulks (Human Settlements)
Rocklands - Sewer Bulks (Human Settlements)
100,000
98,500
98.5
Walmer Development - Stormwater ( Human Settlements)
2,013,103
1,606,279
79.79
Walmer Development - Water Bulk ( Human Settlements)
4,265,451
3,395,556
79.61
Walmer Development - Sewer Bulk ( Human Settlements)
5,413,307
4,752,895
87.8
N2 North Development - Stormwater ( Human Settlements )
233,234
233,233
N2 North Development - Water Bulk ( Human Settlements )
396,750
396,739
N2 North Development - Sewer Bulk ( Human Settlements )
314,900
314,885
Motherwell NU30 - Stormwater ( Human Settlements )
3,133,903
1,684,944
53.77
Motherwell NU30 - Water Bulk ( Human Settlements )
2,853,690
2,712,560
95.05

13. VARIOUS PROJECTS FUNDED FROM THE USDG (Cont…)
Project ID
Project Title
Org Code
Budget
Actual
% Spent
Motherwell NU30 - Sewer Bulk ( Human Settlements )
415
2,929,000
2,510,703
85.72
Rocklands - Roadworks ( Human Settlements )
634,180
539,609
85.09
Kwazakhele: Ekuphumleni Water Bulks (Human Settlements)
512,000
511,992
100
Kwazakhele: Ekuphumleni Sewer Bulks (Human Settlements)
695,830
695,828
Pola Park Extention - Stormwater(Human Settlements services)
99,467
99,466
Kwazakhele: Ekuphumleni Stormwater (Human Settlements)
Raymond Mhlaba Stormwater (Human Settlements Services)
174,500
174,476
99.99
Raymond Mhlaba Water Bulks (Human Settlements Services)
437,000
436,189
99.81
Raymond Mhlaba Sewer Bulks (Human Settlements Services)
1,376,000
1,375,947
Pola Park Extention - Water Bulks (Services)
333,479
333,478
Pola Park Extention - Sewer Bulks (Services)
152,803
152,802
Erf 3179, Uitenhage - Stormwater(Human Settlements Services)
218,000
217,901
99.95
Erf 3179, Uitenhage - Water Bulk(Human Settlements Services)
362,000
361,954
Erf 3179, Uitenhage - Sewer Bulk(Human Settlements Services)
359,000
358,933
99.98
Erf 10015, Uitenhage - Stormwater (Services)
10,000
Erf 10015, Uitenhage -Water Bulks (Services)
16,810
16,803
99.96
Erf 10015, Uitenhage -Sewer Bulks (Services)
John Street Sewer Bulks
MK SILVERTOWN 2 QAQAWULI WATER BULK
2,829,300
2,839,011
100.34
John Street Stormwater
John Street Water Bulks

14. VARIOUS PROJECTS FUNDED FROM THE USDG (End…)
Project ID
Project Title
Org Code
Budget
Actual
% Spent
MK SILVERTOWN 2 QAQAWULI SEWER BULK
415
3,377,500
3,402,075
100.73
MK SILVERTOWN 2 QAQAWULI STORMWATER
3,925,570
3,928,516
100.08
ERF 12931, UITENHAGE WATER BULK
283,000
152,999
54.06
ERF 12931, UITENHAGE STORMWATER
250,000
249,999
100
ERF 12931, UITENHAGE SEWER BULK
153,000
1411:Fishwater Flats WWTW: Medium Voltage Network Phase 2
457
16,030,239
16,018,743
99.93
1411:Fishwater Flats WWTW:Treated Effluent Reticulation Syst
1,070,000
1,017,362
95.08
1411:Fishwater Flats WWTW:Sludge Stabilisation
24,390,000
25,924,989
106.29
1411:Driftsands WWTW: Upgrade Existing Composting Plant
459
5,911,112
1411:Driftsands Collector Sewer Augmentation Phase 2
447
2,511,150
2,511,013
99.99
1411:Fishwater Flats WWTW:Mech & Elect Equip for Inlet Works
526,000
459,514
87.36
1412:Groundwater:Drought Intervention:Drilling of Boreholes
946
2,350,000
1,433,794
61.01
1412:Loerie Water Treatment Works:Rehab
485
1412:Seaview Water Pump Station:Upgrade WIP
501
1411:Augment Collector Sewer Walmer Heights & Mount Pleasant
1412:Nooitgedagt/CoegaLowLevel Scheme WTW PH2
487
5,545,000
5,543,375
99.97
1411:Sanitation Services:Cape Receife WWTW:Upgrade:
458
1411:Bucket Eradication Progr:Supply &Install Communal Ablut
453
10,996,363
10,989,204
1411:Markman Sewe Pipeline:Replace 600mm sewer - Phase 3
11,749,635
11,749,219
1411:Lorraine-Bulk Sewer Augmentation/Add Capacity
1411:Chatty Valley Collector Sewer:Install new bulk sewer
Bulk sewer Joe Slovo,Mandelville,Allenridge Phase2 Sub2
1411:Swartskops Low Level Collector Sewer Upgrade
1411:Kelvin Jones WWTW:Ugrade of Sludge handling Process
975
14,500,000
14,499,373
1411:Fishwater Flats WWTW Grit & Sludge Treatment Facility
1,100,000
1,062,029
96.55
ERf 818/868, water bulks
Erf 818/868, Sewer Bulks
ERF 818/868, Uitenhage Stormwater
150,000
149,564
99.71
889,096,590
858,799,132
96.59

15. OUR SPENDING AGAINST THE IPTS GRANT (2017/18)
Project ID
Project Title
Org Code
Budget
Actual
% Spent
IPTS - Work Package: Public Transport Facilities
426
79,109,757.00
78,048,166.84
98.66
IPTS - Work Package: TDM and ITS
7,800,000.00
6,829,336.84
87.56
IPTS - Work Package: Road Works
81,332,423.00
75,802,200.15
93.2
TOTAL
168,242,180.00
160,679,703.83
95.51

16. OUR DRAFT BUDGET – 2018/19 MTREF (THE YEAR AHEAD)

17. The High Level Overview of the consolidated 2018/19 to 2020/21 Budget
DETAILS
Adjustments Budget 2017/18
“R 000”
Budget Year 2018/19
Budget Year 2019/20
Budget Year 2020/21
Total Operating Revenue
9,651,844
10,363,386
11,096,207
11,937,206
Total Operating Expenditure
9,676,868
10,375,088
11,079,494
11,769,632
Surplus/(Deficit)
(25,024)
(11,702)
16,713
167,573
Total Capital Expenditure
1,669,909
1,740,079
1,974,862
1,951,681
Projected surplus of R172,584 over the MTREF period
Yes we include loans to be raised over a four financial year period…

18. OUR BUDGET GOES TO THE BEPP URBAN NETWORK STRATEGY AND PREVIOUSLY DISADVANTAGED AREAS – A GOOD STORY TO TELL

20. AMONGST OUR CHALLENGES – “THE UNFUNDED MANDATES” (An example being made of Libraries)

21. Library Services

22. BUILT ENVIRONMENT PERFORMANCE PLAN (BEPP)

23. VISION AND STRATEGY FOR 2017 AND BEYOND
The Mission:
To create freedom, fairness and opportunity for all in NMBM - stop corruption, create jobs and improve service delivery.
The Vision:
An iconic, friendly, ocean City driven by innovation, service excellence and economic development – destination of choice.
The Brand:
ONE CITY – ONE FUTURE

24. DEVELOPMENT FOCUS AREAS OF THE LTGDP VS IDP PILLARS
LTGDP FOCUS AREAS
IDP PILLARS
Governance and organisation-led development.
Infrastructure-led development.
Opportunity-led development.
Development for Resilience.
Development through lifestyle offering.
Development through conversation of our natural, built and natural cultural assets.
Safety-enabled development.
People-oriented development.
Technology-led development.
A Well-run City.
An Opportunity City.
A Safe City.
A Caring City.
An Inclusive City.
A Forward Thinking City.
BEPP / CAPITAL INVESTMENT STRATEGY
PERFORMANCE MANAGEMENT

25. ESTABLISHMENT OF A STRATEGIC PLANNING STEERING COMMITTEE
Politically led-Strategic Planning and Coordination/IDP/Budget.
All Directorates/Councillors responsible for strategic planning and capital projects.
TOR specifically include “alignment” (transversality) between strategic plans, which is addressed monthly with plan reports (LTGDP, BEPP, IDP and Budget) and an alignment report.

26. BEPP MULTI-SECTORAL TASK TEAM ESTABLISHMENT
Deals with inter alia:
Strategic planning submissions and implementation
Alignment
Catalytic programme driving
Precinct planning detailed plan coordination
Grant monitoring – Capital budget - USDG and ICDG
Institutionalisation of strategic processes
Reference group for major programmes-LTFSS, SNDBS, Housing
Major projects influencing built environment
SIP Projects
Alignment of SOE and Government investment to our spatial strategy – Prasa/ Transnet / Provincial TT

27. PERFORMANCE MANAGEMENT
City transformation outcome Indicators- for transversal responsibilities such as improvement in rates base of spatially targeted areas, growth in land use changes etc.
All catalytic programmes are included in the performance contracts of senior managers.

28. COMMON THREAD

29. BEPP/URBAN NETWORK STRATEGY

30. URBAN NETWORK STRATEGY: CLUSTER DENSITIES (PERSONS/HA)

31. URBAN NETWORK STRATEGY - INCOME LEVELS PER CLUSTER

32. Distribution of ATTP programme beneficiaries32

34. THE CATALYTIC PROJECTS

36. INFORMAL SETTLEMENTS AND MARGINALISED AREAS

37. UPGRADING OF INFORMAL SETTLEMENTS
Upgrading plan approved by Council in December 2008 to eliminate 107 informal settlements.
Progress to date:
52 informal settlements in situ upgraded.
16 greenfield sites developed (with full water and sanitation).
sites created.
Buckets reduced from (2016/17) to (2017/18).

38. NMBM HOUSING PROGRAMME

39. Upgrading of Informal Settlements

41. GROWTH AREAS

43. BUDGET ALLOCATIONS: SPATIAL TARGETING43

44. Location of ATTP Beneficiaries

45. Budget Allocations
The following slides give a high level overview indicating where the Capital Budget will be spent (2018/19):

46. SUMMARY OF BUDGET ALLOCATIONS FOR BEPP
Description
Draft Capital Budget 2018/19 %
CENTRAL BUSINESS DISTRICT (CBD) 1%
GROWTH AREA 1 & INFORMAL SETTLEMENT UPGRADING 0%
GROWTH AREA 2
GROWTH AREA 3 & INFORMAL SETTLEMENT UPGRADING 3%
GROWTH AREA 4
GROWTH AREA 4 & INFORMAL SETTLEMENT UPGRADING
INFORMAL SETTLEMENT UPGRADING
14%
INTEGRATION ZONE 1
INTEGRATION ZONE 1 & CATALYTIC PROJECT -
INTEGRATION ZONE 1 & INFORMAL SETTLEMENT UPGRADING
INTEGRATION ZONE 2
INTEGRATION ZONE 2 & INFORMAL SETTLEMENT UPGRADING 2%
UNS CATALYTIC PROJECTS
MUNICIPAL MAJOR PROJECTS
10%
Total Draft Capital Budget Allocation
37%
REST OF THE METRO INVESTMENT
63%
TOTAL CAPITAL BUDGET
100% a

47. 47

48. ATTP Beneficiaries Capital Projects48

49. Provincial Alignment
The following slide shows the Provincial Capital Budget Project location.
The pattern reinforces the municipal Capital Budget trends.
NMBM is working hard on mutually reinforced planning alignment through our IGR processes.
The Municipality remains committed to upholding the Constitution and Local Government Legislation through such endeavours.

50. Provincial infrastructure investment

52. INTEGRATED DEVELOPMENT PLAN (IDP)

53. PROGRESS IN THE IMPLEMENTATION OF THE IDP
The IDP is aligned to the Budget and BEPP.
The Draft Second Edition of the 5-year IDP was tabled in Council in March 2018 and approved for public participation. The Final version of the IDP was adopted by Council at its meeting held on 30 May 2018.
The IDP document is placed at strategic points for public access e.g. libraries, customer care centres, etc.
The IDP was sent to all relevant national and provincial.
The next round of public participation will take place during 17 to August 2018.
IDP is monitored through SDBIP on a quarterly basis.
SDBIP has outcomes KPIs.

54. PROGRESS IN THE IMPLEMENTATION OF THE IDP (cont.)
Additional inputs to enhance IDP/Budget Participation Processes
More methods would be used to allow participation during the IDP and Budget review process.
Inputs were received via the NMBM Mobile App, service delivery input/feedback forms and s.
In 2018/19 financial year, more use will be made of alternative methods.
The NMBM has conducted a Customer Satisfaction Survey in 2017/18 and will be conducting a further survey in 2018/19 which will enhance the IDP participation process.

55. PROGRESS IN THE IMPLEMENTATION OF THE IDP (cont.)
IDP Public Participation for 2019/20
Divide our approach to ward participation:
Affluent wards use NMBM Mobile App and bulk sms.
Disadvantaged wards use public meetings, but would be reduced.
All people in public participation meetings would be given input sheets in order to list ward priorities.
More platforms for IDP inputs would be created.
IDP input boxes will be placed in malls, libraries and customer care centres around the City.
There will be more engagements with provincial and national government departments.

56. OTHER CHALLENGES FACING NMBM

57. The escalating arrear Debt (June 2017 to April 2018) – Are we winning?
DESCRIPTION
OVERDUE CONSUMER DEBTORS AS AT 30 APRIL 2018
Service Type
June 2017
April 2018
Variance
Trade and Other Receivables from Exchange Transactions - Water
R 475,687,908
R 881,36.833
R 405,448,925
Trade and Other Receivables from Exchange Transactions - Electricity
R 506,947,143
R 524,350,821
R 17,403,678
Receivables from Non-exchange Transactions - Property Rates
R 399,081,134 R
R 86,820,019
Receivables from Exchange Transactions - Waste Water Management
R 247,648,254
R 289,480,152
R 41,831,898
Receivables from Exchange Transactions - Waste Management
R 132,659,770
R 171,604,763
R 38,944,993
Receivables from Exchange Transactions - Property Rental Debtors
R 18,546,630
R 23,618,235
R 5,071,605
Interest on Arrear Debtor Accounts
R 479,622,464
R 582,238,634
R 102,616,170
Other
R 241,680,632
R 300,947,857
R 59,267,325
Total By Income Source
R 2,501,873,935
R 3,259,278,448
R 757,404,513
Debtors Age Analysis By Customer Group 
Organs of State
R 113,654,665
R 109,626,926
-R 4,027,739
Commercial
R 916,832,846
R 1,039,180,221
R 122,347,375
Households
R 1,456,404,294
R 2,094,728,530
R 638,324,139
Other NMBM
R 14,982,130
R 15,742,771
R 760,641
Total By Customer Group
NB: 54% of the escalating arrear debt from June 2017 to April 2018 results from the increasing debt for Water Service. This is attributable to the drought and punitive tariffs

58. The Glaring Picture of Growth in Water arrears – Impact of Punitive Tariffs
Arrear debt for Water Service grown to greater than R800 million as at end April 2018 (FROM JULY 2017) AS A RESULT OF THE MANDATORY PUNITIVE TARIFF…

59. IMPROVING FINANCIAL POSITION

60. THE LATEST CREDIT RATING OF NMBM
On 29 March 2018, Moody’s Investor Services published a credit opinion of the NMBM based on its recalibration of the South African National Rating scale.
The rating assigned was Aaa.za based on the National Rating Scale (equivalent of Baa3 Stable on the Global Rating Scale);
The above indicates improvement as compared to the December 2017 rating.
The rating took into account the NMBM’s solid financial performance and low debt levels, though it expects debt to increase modestly over the next three years.
Continued fiscal consolidation has led to a robust financial performance and a comfortable liquidity position
The rating is also supported by a relatively large economic base, though it is concentrated on the automotive industry.

61. THANK YOU DANKIE ENKOSI