MUNICIPAL BOUNDARY DEMARCATION PROCESS A PROCESS MAP FOR THE DETERMINATION AND RE-DETERMINATION OF MUNICIPAL BOUNDARIES

Transcription

1 MUNICIPAL BOUNDARY DEMARCATION PROCESS A PROCESS MAP FOR THE DETERMINATION AND RE-DETERMINATION OF MUNICIPAL BOUNDARIES

2 HOPE IS BORN OF PARTICIPATION IN HOPEFUL SOLUTIONS MARIANNE WILLIAMSON 2

3 TABLE OF CONTENTS 1. INTRODUCTION LEGISLATIVE FRAMEWORK MANDATE CATEGORIES OF MUNICIPALITIES MUNICIPAL BOUNDARY RE-DETERMINATIONS PROCESS THE DEMARCATION CRITERIA TYPES OF BOUNDARY RE-DETERMINATIONS RE-DETERMINATIONS PLANNING AND TIMEFRAMES OVERVIEW OF DEMARCATION PROCESS AND TIMEFRAMES...18 ANNEXURE 1: RE-DETERMINATION INFORMATION FORM...20

4 DEFINITIONS AG Auditor General Board Board/MDB refers to the Municipal Demarcation Board established in terms of section 2 of the Municipal Demarcation Act DM District Municipality EPWP Extended Public Workers Programme IEC Independent Electoral Commission LM Local Municipality MDA Municipal Demarcation Act 27 of 1998 MEC Member of Executive Council MSA Municipal Structures Act 117 of 1998 SALGA South African Local Government Association MBD staff educating Grade 12 Geography learners at Olievenhoutbosch Secondary School about demarcations 04

5 1 INTRODUCTION 1.1 During the first three years of its operation, the current Board has given priority to addressing challenges related to boundary re-determinations and to improve on the general demarcation process. 1.2 One particular challenge was with respect to a lack of public participation where, very often, the Municipal Demarcation Board (MDB) would be accused for its failure to consult adequately and educating members of the public, mostly affected by its determinations, and thus, resulting in the latter resorting to protests and seeking legal recourse at times. aimed at addressing impediments to MDB s approach to public participation. This resulted in a series of workshops, including formal and informal engagements with stakeholders where the MDB engaged extensively with issues of public participation in order to improve its policies and procedures. 1.5 This booklet, among other public education initiatives adopted by the MDB, is aimed at providing members of the public with information regarding the demarcation and public participation processes with the view to empower them to actively take part in MDB programmes. 1.3 The MDB has since acknowledged this limitation in its processes and the fact that there has been insufficient consideration of public participation in the implementation of its programmes especially with regard to the determination and re-determination of municipal boundaries In view of the need to improve its processes, the MDB proposed a number of initiatives, including the development of a public participation framework 1.6 Below are some of the main objectives of this document: a) To serve as a resource for anyone requiring information on the legislation, processes, information requirements and approach regarding the boundary determination and redetermination process; and b) To empower members of the public with sufficient information regarding the demarcation process with the view to encourage them to actively participate in MDB s programmes. 05

6 2 LEGISLATIVE FRAMEWORK 2.1 The Constitution provides that the whole territory of the Republic must be covered by municipalities (sec 152) and requires that the determination and redetermination of municipal boundaries must be done by an independent authority (sec 155). 2.4 The Municipal Demarcation Act, 1998 provides, amongst others, for the Board as an independent authority as envisaged in section 155 of the Constitution, and also for the criteria and procedures for the determination and re-determination of the municipal boundaries. 2.2 The Board determines municipal boundaries in accordance with the Municipal Demarcation Act (MDA) and other appropriate legislation enacted in terms of Chapter 7 of the Constitution, and must render an advisory service in respect of matters provided for in this act and other appropriate legislation (MDA sec 4). 2.3 The Municipal Demarcation Act, 1998 provides that the Board is a juristic person, is independent and must be impartial and must perform its function without fear, favour or prejudice (MDA sec 3). 2.5 The Local Government: Municipal Structures Act, 117 of 1998 provides the framework for the establishment of municipalities in accordance with the requirements and criteria relating to categories and types of municipalities. It further determines the appropriate division of powers and functions between categories of district and local municipalities and regulates governance structures, the electoral system for local government, and the delimitation of wards for local elections. LEGAL MANDATE Determination of municipal outer boundaries Section 4(a) of the Municipal Demarcation Act 27 of 1998 (MDA) Section 4 of the Municipal Structures Act 117 of 1998 (MSA) provides for categorisation of municipalities Delimitation of municipal ward boundaries Schedule 1 to the MSA MDB, after consultation with the Electoral Commission must delimit wards for purposes of local elections Determination of the work programme Section 22 MDA (Outer boundaries) Schedule 1 (2) MSA (Wards) 06

7 3 MANDATE 3.1 The Constitution mandates the Board to determine and re-determine municipal boundaries, consider the capacity of district and local municipalities to perform their function and to exercise their powers, delimit wards independently (sections 155(3) (b) to and 157(4)(a) and render an advisory service in respect of matters provided for in this act and other appropriate legislation. Figure1. MDB mandate and functions Determination of municipal outerboundaries Assessment of municipal capacity Section 4(a) of the Municipal Demarcation Act 27 of 1998 Section 4 of the Municipal Structures Act 117 of 1998 provides for categorisation of municipalities Section 85 of MSA provides for the MDB to assess municipal capacity when determining boundaries Impact analysis and evaluation of Board decisions Delimitation of municipal ward boundaries Rendering of advisory services to stakeholders Schedule 1 of the MSA MDB, after consultation with the Electoral Commission must delimit wards for purposes of local elections Section 4(b) of the MDB Opportunity to follow through on implementation of re-determinations 07

8 4 CATEGORIES OF MUNICIPALITIES 4.1 The Board may determine or re-determine the boundaries of the three Categories of municipalities specified in the Constitution - Category A (metropolitan) municipalities, Category B (local) municipalities, and Category C (district) municipalities (sec 155). 4.2 The Constitution provides that national legislation musta) Establish the criteria for determining when an area should have a single Category A municipality or when it should have municipalities of both Category B and Category C; b) Establish criteria and procedures for the determination of municipal boundaries by an independent authority. 4.3 The applicable national legislation referred to in the Constitution is the Local Government: Municipal Demarcation Act, 1998, and the Local Government: Municipal Structures Act, The Municipal Structures Act, 1998, indicates when an area should have a single Category A municipality or when it should have municipalities of both Category B and Category C. This is linked to the criteria which will be addressed later in this booklet. Figure 2. Categories of municipalities Category A Metros Metropolitan municipalities are governed by single councils with exclusive executive and legislative authority within their boundaries. Category B Locals These are local municipalities that share municipal executive and legislative authority in its area with a Category C (district municipality) within whose area it falls under. District municipals are responsible for the co-ordination of a number of local municipalities within a region. They Category C are responsible for the provision of bulk public services and share legislative and executive authority with the Locals Category B municipalities within their jurisdiction. 08

9 4.5 Since the establishment of the MDB in 1999, the boundaries of the three categories of municipalities have been demarcated and reviewed as follows: Table 1: Number of municipalities determined or re-determined since 2000 Effective as from the Local Election date No of Category A Municipalities No of Category B Municipalities No of Category C Municipalities Total Olievenhoutbosch Secondary school host the MDB during Mandela Day 09

10 5 MUNICIPAL BOUNDARY RE-DETERMINATIONS PROCESS Though the Board has the sole responsibility to determine and re-determine municipal boundaries, it needs to follow certain procedures and take into account certain criteria in this process. The Demarcation Act, 1998, and Structures Act, 1998, provide a detailed process for the determination of municipal boundaries: Figure 4. Municipal boundary re-determination process Municipal boundary re-determination process Conduct public meetings Request in terms of section 22 Publication in term of section 26 Consideration of section 26 views and representations Public meetings & formal investigations Consider reports Decision to re-determine and publish in terms of section 21 for objections or Decision not to re-determine Consider objections Conduct formal investigations Final decision on re-determination - confirm vary or Withdraw publish decision in provincial Gazette in terms of section 21(5) 10

11 5.1 PERIOD PRIOR TO BOUNDARY RE-DETERMINATION DECISION a. During this period the MDB does not take any decisions on a re-determination, but merely receives a request, test public opinion, considers the public inputs, conducts investigations, and holds public meeting. b. The relevant sections of the Act (MDA) that are applicable during this phase are the following: Section Activity Responsibility 22 A request is submitted to the MDB (or the MDB takes the initiative). Minister, MEC, MDB, other person or institution 26 A notice is published to inform the public that it is the intention of the MDB to consider the matter. The notice is also sent to core stakeholders to make inputs on the request. 26 The public is invited to submit their views and representations on the matter/the request. MDB MDB 26 The public submits views and make representations. Public 27 The MDB considers public views and representations. MDB 27 The Board may also hold a public meeting, and/or conduct a formal investigation, to further investigate support for the request. 28 At a public meeting a representative of the Board must explain the issue the Board has to consider, and allow members of the public attending the meeting to air their views. (thus still testing public opinion on, the proposal or request, and not to allow them to vote in favour, or not, of the request or proposal) 22 The MDB may also require of the person or municipality that submitted the request to furnish the Board with information as may be required by the Board. MDB Public MDB Applicant 5.2 BOUNDARY RE-DETERMINATION DECISION MAKING PERIOD a. Only after the MDB has tested public opinion, and has collected all relevant information, can the Board consider the request, decide as to whether the boundary should be determined, or not, and take the legal steps to, again, test public opinion on its decision, before finalising the re-determination. b. This phase is triggered by section 27 that requires that the MDB must consider all representations and views submitted to it 11

12 in terms of section 26. At this point in time the MDB may decide not to hold a public meeting, or to conduct an investigation, but to take a decision on the determination. When taking a decision to determine or re-determine a municipal boundary, the MDB must also take into account the criteria provided for in sections 24, and 25 of the MDA. c. The decision making process unfolds as follows: Section Activity Responsibility 24 & 25 The MDB takes into account the criteria (See attached Annexure 1). MDB 22 The MDB may also require of the person or municipality that submitted the request to furnish the Board with information as may be required by the Board. MDB Applicant 21 The Board determines or re-determines the municipal boundary. MDB 21 The MDB publishes its determination or re-determination of a municipal boundary in the relevant Provincial Gazette. 21 Any person aggrieved by a determination of a municipal boundary may within 30 days of publication of that determination submit objections in writing to the MDB. (Such objections should ideally be based on the criteria set out in sections 24 and 25 so as to empower the MDB to determine the validity of the objections). 21 The MDB must then consider any objections; and either confirms, varies or withdraws its determination; and publish its decision in the relevant Provincial Gazette. MDB The public MDB 5.3 POST BOUNDARY RE-DETERMINATION DECISION-MAKING PERIOD Section Activity Responsibility 21 If so requested, the MDB must provide reasons to any person for its decision to confirm, vary or withdraw its determination. MDB 23 The MDB sends particulars of its determination to the Electoral Commission. MDB 23 The Commission expresses its view about the representation of voters in the council of any of the municipalities affected by the boundary determination. IEC 23 The MDB informs the Minister of Finance of the determination. MDB 12

13 Section Activity Responsibility 23 The relevant MEC publishes his/her section 23 notice. MEC 31 The legal, practical and other consequences resulting from the area of a municipality being wholly or partially incorporated in or combined with the area of another municipality, are dealt with in terms of the Local Government: Municipal Structures Act, MEC 23 The determination takes effect either on the date of the next local elections, or on the commencement date of the municipal financial year following the date of publication of the notice effecting such determination (1 st of July). 6 THE DEMARCATION CRITERIA 6.1 The decisions to determine and or re-determine municipal boundaries are governed by a fairly comprehensive set of criteria set out in section 24 and 25 of the Municipal Demarcation Act. The Demarcation Act refers to these as demarcation objectives and factors to be taken into account, all these are discussed in detail below. Section 24 - Objectives of re-determination municipal boundaries (a) The objectives of re-determining municipal boundaries are to enable the municipality, for that area, to fulfil its constitutional obligations, including: (i) the provision of democratic and accountable government for the local communities; (b) (c) (d) (ii) the provision of services to the communities in an equitable and sustainable manner; (iii) the promotion of social and economic development; and (iv) the promotion of a safe and healthy environment; enable effective governance, enable integrated development, Have a tax base as inclusive as possible of users of municipal services in the municipality. 13

14 Section 25 - Factors to be taken into account when redetermining municipal boundaries In order to attain the objectives set out in section 24, the Board must, when determining a municipal boundary, take into account- (i) the need for coordinated municipal, provincial and national programmes and services, including the needs for the administration of justice and health care (j) topographical, environmental and physical characteristics of the area (a) (b) (c) (d) (e) (f) the interdependence of people, communities and economies as indicated by- (i) existing and expected patterns of human settlement and migration; (ii) employment; (iii) commuting and dominant transport movements; (iv) spending; (v) the use of amenities, recreational facilities and infrastructure; and commercial and industrial linkages the need for cohesive, integrated and unfragmented areas, including metropolitan areas the financial viability and administrative capacity of the municipality to perform municipal functions efficiently and effectively the need to share and redistribute financial and administrative resources provincial and municipal boundaries areas of traditional rural communities (k) the administrative consequences of its boundary determination on- (i) municipal creditworthiness; (ii) existing municipalities, their council members and staff; and (iii) any other relevant matter; and (l) the need to rationalise the total number of municipalities within different categories and/ or different types to achieve the objectives of effective and sustainable service delivery, financial viability and macro-economic stability. 6.2 When the Board determines the boundary of a Category A municipality it must also take into account the criteria provided for in section 2 of the MSA. Criteria for the categorisation of a metropolitan municipality Areas which must have category A municipalities The Municipal Structures Act (Act No. 117 of 1998) provides that an area must have a single category A municipality if that area can reasonably be regarded as- (g) (h) existing and proposed functional boundaries, including magisterial districts, voting districts, health, transport, police and census enumerator boundaries existing and expected land use, social, economic and transport planning (a) a conurbation featuring- (i) areas of high population density; (ii) an intense movement of people, goods, and services; (iii) extensive development; and (iv) multiple business districts and industrial areas; 14

15 (b) (c) (d) a centre of economic activity with a complex and diverse economy; a single area for which integrated development planning is desirable; and having strong interdependent social and economic linkages between its constituent units. 6.3 MDB decisions are based on evidence against criteria, reason and support. It is therefore very important that what people say or propose to the MDB is well-argued, and backed up by credible evidence and it is supported locally (see Annexure 1: Re-determination information form). MDB Board member (in grey sweater) consulting affected stakeholders (top right).affected stakeholders being consulted about demarcation processes (top left & bottom). 15

16 7 TYPES OF MUNICIPAL BOUNDARY RE-DETERMINATIONS 7.1 This legislation does not provide for different types or classes of determinations or re-determinations. However, for internal purposes the MDB classified these as follows: Figure 5. Types or classes of determinations or re-determinations Class 1 Technical and minor boundary re-determinations Class 2 Consolidation and Annexations This re-determination entails a small scale boundary adjustment and alignment with a minor impact on the geographic area, a negligible or no impact on the number of voters and no impact on the capacity of the affected municipalities. This is a medium scale boundary re-determination that may impact on a sizable geographic area, and number of voters in one or all the municipalities affected. This type of determination may impact on ward arrangements but will not materially impact on the capacities of the affected municipalities to deliver services. Class 3 Amalgamations This type of re-determination entails a major and large scale municipal boundary redetermination which will have a significant impact on the geographic areas, the number of voters, and the capacities of the affected municipalities, the re-determination includes the merging of adjacent municipalities or the splitting of municipal areas to create other municipal areas. Class 4 Categorisation Class 5 Declaration of district management areas This is a type of re-determination that involves the categorisation of any new Category A Metropolitan, Category C district and Category B local municipalities with or without boundary changes; Category A must satisfy section 2 of the MSA and section 24 and 25 of the Act respectively; the Board will categorise an area that qualify to be a category A municipalities after consultation with national Minister responsible for local government the MEC for local government in the provinces concerned and SALGA. This is part of a district municipality which in terms of section 6 of the Act has no local municipality and is governed by that district municipality alone. *Class 5: Note that the declaration of District Management Areas is discontinued. 16

17 8 RE-DETERMINATIONS PLANNING AND TIMEFRAMES 8.1 Municipal boundaries are reviewed regularly and at least once every five years. 8.2 The review of boundaries must be completed in advance and at least 6 months before national and provincial elections with the view to allow the IEC to take into account municipal boundaries when determining the national voters roll and voting district boundaries within which voters must be registered, including the setting up of voting stations, for the national and provincial elections. MDB officials engaging with Board stakeholders. 8.3 MDB will produce a work plan linked to timeframes for the determination and redetermination of municipal boundaries. 8.4 MDB will consult all stakeholders, including the Minister, within reasonable time on the work plan and timeframe for the review of municipal boundaries. 8.5 The scheduled workplan and timeframes will detail the period for submitting new applications. 8.6 MDB does not accept new proposals beyond the allowed timeframes. MDB provincial coordinators engaging stakeholders and community members on the demarcation processes 17

18 9 OVERVIEW OF DEMARCATION PROCESS AND TIMEFRAMES 9.1 Due to the current challenges in the municipal boundary re-determination landscape, the MDB has resolved that no major re-determination of municipal boundaries (i.e. amalgamations, annexations and categorizations) should take place within a period preceding 2019 national elections; safe for the boundary misalignment project. 9.2 Below is the broad process and timeframes for MDB boundary re-determination and ward delimitation processes: Figure 6. MDB Broad timeframes and processes: (tentative) Technical alignment of municipal boundaries Delimit wards for local government elections Prepare for local government elections Consultation and legal process Consultation and legal process IEC process 9.3 In the current period, only the correction of technical misalignment of municipal boundaries will be considered for determination and re-determination which involves minor adjustments to align municipal boundaries to either cadastral boundaries, natural or man-made features (e.g. farm boundaries, rivers, roads). 9.4 The technical misalignment process is aimed at improving the quality of boundaries by providing clearly defined boundaries. 9.5 These minor adjustments do not affect a sizable number of the population. See diagram below timeframes for the tentative process timeframes for the current 2017/18 technical re-determination process. 18

19 MDB officials engaging with affected communities and stakeholders during consultations 19

20 ANNEXURE 1: RE-DETERMINATION INFORMATION FORM INFORMATION REQUIRED TO CONSIDER A REQUEST FOR THE DETERMINATION OR RE-DETERMINATION OF MUNICIPAL BOUNDARIES 1. In terms of section 21 of the Local Government: Municipal Demarcation Act, 1998, the Demarcation Board determines or re-determines a municipal boundary: on request by a municipality with the concurrence of any other municipality affected by the proposed determination or re-determination; or on request by the national Minister responsible for local government; or on request by an MEC responsible for local government; or on its own initiative. 2. In terms of section 22 of the Local Government: Municipal Demarcation Act, 1998, the Demarcation Board may: Where it determines or re-determines a municipal boundary on request by a municipality, require that municipality to furnish the Board with such information as may be required by the Board. Where it, as a result of receiving a request from a member of the public, determines or redetermines a municipal boundary on its own initiative, require that member of the public to furnish the Board with such information as may be required by the Board; 3. Any municipality or person, wishing to request the Board to consider determining or re-determining a municipal boundaries, must complete the form, and submit it to the Board. For more information on the Board, its work and processes please contact the Board s website Familiarise yourself with MDB forms including Re-determination Information Form which can be easily accessed from the website. Should you want to engage with the MDB, feel free to forward any comment or enquiry to info@demarcation.org.za 20

21 SAMPLE SUBMISSION FORM 4. The request: I...(name of municipality or person) request the Municipal Demarcation Board to consider the following determination or re-determination of municipal boundaries: Description of the area (provide farm name, ward number, place name etc) Provide reason for the request: The area mentioned in column 1 is currently within the boundaries of the following local and district municipalities (Provide name of the local municipality (LM) as well as the name of the district municipality (DM)) LM DM I request that the area mentioned in column 1 be moved to the following local and district municipalities (Provide name of the local municipality (LM) as well as the name of the district municipality (DM)) LM DM 5. I provide the following information in support of my request (complete column 3): Criterion Information required: Information provided by municipality or person: Comments by MDB administration Section 2 of the Local Government: Municipal Structures Act, 1998 (Only applicable when the boundaries of a metropolitan municipality are affected) Areas of High Population Density Total population in metropolitan areas Population in metropolitan core areas (number and place names) 21

22 Criterion Information required: Information provided by municipality or person: Comments by MDB administration Population in metropolitan fringe areas (number and place names) Names of peri-urban areas which have a strong social and economic linkages with towns in the metropolitan area (provide names of peri-urban areas and names of towns) Names of rural areas which have a strong social and economic linkages with towns (provide names of rural areas and names of towns) Names of informal settlements with linkages to core towns, and population in each settlement (provide name of settlement, name of town, and population in settlement) Density patterns (provide density per sq/km for urban, periurban and rural areas) An Intensive Movement of People, Goods and Services Commuting patterns between places of residence and work Dominant passenger movements Significant transport and commuter infrastructure Average time from place of residence to place of work Extent to which public transport systems are provided efficiently Integrated land use and transport development potential Extensive Development Growth rate of GGP per person employed Gross Valued Added (GVA) Employment-to-population ratio Proportion of employed people living below $1 a day Human Development Index Deprivation Index 22

23 Criterion Information required: Information provided by municipality or person: Comments by MDB administration Job creation through EPWP Value of Commercial building plans passed Percentage of rand value of all procurement classified as SMME Multiple Business Districts and Industrial Areas Number and names of business districts and industrial areas Identify significant commercial and industrial linkages between areas e.g. raw production in relation to manufacture or processing, processing in relation to sales The extent to which the municipality is an importer or exporter of commercial goods or services to or from other municipalities. MDB continues to improve engagement with key stakeholders on its demarcation processes through education and awareness 23

24 Criterion Information required: Information provided by municipality or person: Comments by MDB administration Section 24 of the Demarcation Act, 1998 (to be completed for the re-determination of the boundaries of all categories of municipalities but not for annexations) Section 24 of the Demarcation Act i) the provision of democratic and accountable government for the local communities (ii) The provision of services to the communities in an equitable and sustainable manner (iii) the promotion of social and economic development Number of councilors Number of council meetings per year Portfolio committees established Community Participation Policy Number of wards Voter turnout % in previous elections No. of functioning ward committees Proportion of population using an improved drinking water services Proportion of population using an improved sanitation facility Percentage households without access to electricity; Implementation of service delivery and budget implementation plans (SDBIPs) Deprivation index rates for addressing services(list any) CAPEX for services Proportion of population using improved drinking water services Proportion of population using an improved sanitation facility Proportion of urban population living in slums (informal settlements) 24

25 Criterion Information required: Information provided by municipality or person: Comments by MDB administration Integrated Development Plans (IDP) City development strategies What is the life expectancy Infant Mortality Rate Growth rate of GGP per person employed Gross Valued Added (GVA) Employment-to-population ratio Proportion of employed people living below R5 a day Percentage of rand value of all procurement classified as SMME Value of commercial building plans passed (iv) the promotion of a safe and healthy environment Health expenditure (on an agency base for provinces) HIV/Aids Rates Infant mortality rates Number of crimes (SAPS stats) Number of police stations Number of metro police (b) enable effective local governance Findings of the Auditor General (AG) Is there an anti-corruption strategy? Is the annual performance report adopted? Is there an oversight report? Are citizen satisfactory surveys conducted? 25

26 Criterion Information required: Information provided by municipality or person: Comments by MDB administration (c) enable integrated development (d) have a tax base as inclusive as possible of users of municipal services in the municipality Integrated Development Plans Existing land use and transport planning Peri-Urban and rural areas which have a strong social and economic linkages with towns (provide names) Informal settlements with linkages to core towns (list the towns and their linkage) Density patterns (provide spreadsheet or map) Optimal planning areas (as per IDP) Total capital budget Total operating budget Operating budget per capita Capital budget per capita Own income as a percentage of total income Total rates income Total salaries over operating expenditure Section 25 of the Demarcation Act, 1998 (to be complete for the re-determination of the boundaries of all categories of municipalities) (a) the interdependence of people, communities and economies as indicated by commercial and industrial linkages Identification of significant commercial and industrial linkages between municipalities e.g. raw production in relation to manufacture or processing Processing in relation to sales The extent to which a municipality is an importer or exporter of commercial goods or services to or from other municipalities 26

27 Criterion Information required: Information provided by municipality or person: Comments by MDB administration (b) the need for cohesive, integrated and unfragmented areas, including metropolitan areas Peri-Urban and rural areas which have a strong social and economic linkages with towns (list names of such areas) Informal settlements with linkages to core towns Density patterns (provide spreadsheets and or maps) Optimal planning areas. (c) the financial viability and administrative capacity of the municipality to perform municipal functions efficiently and effectively Assessment of revenue base Total operating budget Total capital budget Operating budget per capita Capital budget per capita Percentage of operating budget spent Own income as a percentage of total income Total rates income Total salaries over operating expenditure Household income Households requiring indigent support. Debt servicing costs Liquidity Ratio: current assets to current liability Number of staff Qualifications of managers Number of councillors Number of functions performed Compliance with legislation 27

28 Criterion Information required: Information provided by municipality or person: Comments by MDB administration Is the municipal organogram aligned to allocated and assigned functions and powers City managers posts vacant (indicate if the manager is acting) Percentage staff that left during the financial year Percentage engineering posts filled by registered professional engineers Percentage posts filled by registered professional planners Percentage section 57 posts filled Do managers have signed performance agreements in place Is there a delegations framework (d) the need to share and distribute financial and administrative sources Is there documentation which clearly motivates why boundary adjustment is the appropriate solution for nonfunctioning poorer municipalities; Resources available from other municipalities which could be used to rectify these inadequacies? Documentation which indicates inequalities in services between different areas; Inadequate financial or administrative sources to rectify these inadequacies and the extent of resources which is required Deprivation Index (The deprivation index is a measure of relative deprivation across districts) Household gini coefficients Living Standard Measure (LSMs) 28

29 MDB officials engaging with stakeholders of different levels to communicate demarcation processes 29

30 Criterion Information required: Information provided by municipality or person: Comments by MDB administration (e) Provincial and local boundaries Maps indicating full legal description of each provincial boundary Maps indicating full legal description of each local government boundary (f) Areas of traditional rural communities Updated list of recognised traditional communities Proclamation reference in respect of each boundary and a full legal description of each boundary (g) existing and proposed functional boundaries including magisterial districts, voting districts, health, transport, police and census enumerator boundaries Maps showing municipal boundaries, magisterial boundaries, voting districts, transport boundaries, police boundaries, census enumerator boundary and any other statutory boundary contained with municipal boundaries (h) existing and expected land use, social, economic and transport planning Existing land usage Social planning (provide details) Economic planning (provide details) Transport planning (provide details) Expected future land usages (provide details) The availability of public transport and quality of roads Spatial development plans (provide details) Integrated Development Plans 30

31 Criterion Information required: Information provided by municipality or person: Comments by MDB administration i) the need for co-ordinated municipal, provincial and national programmes and services, including the needs for the administration of justice and health care Programmes of national, provincial and local departments National Planning Commission documentation Provincial Growth Development Strategies (provide details) Local Economic Development Programmes (provide details) Integrated Development Plans (j) topographical, environmental and physical characteristics of the area Maps of municipalities showing significant topographic Environmental and physical characteristics. (list any affected ) Water management areas (list any affected ) Availability of Water (list any affected ) National Parks (list any affected ) Conservation areas Desert and semi-arid areas Physical areas as constraints on boundaries THE MDB VALUES THE INPUTS RECEIVED FROM THE PUBLIC AND ITS KEY STAKEHOLDERS DURING DEMARCATION PROCESSES 31

32 Criterion Information required: Information provided by municipality or person: Comments by MDB administration (k) the administrative consequences of its boundary demarcation on: (i) municipal creditworthiness Assessment of revenue base Total operating budget Total capital budget Operating budget per capita Capital budget per capita Percentage of Operating Budget Spent Own Income as a Percentage of Total Income Total rates income Total salaries over operating expenditure Household income Employment Households requiring indigent support Assessment of liquidity and stability Total non-current liabilities to revenue ratio Vulnerability Index Outstanding debtors/ Collection rate Cash Flow DID YOU KNOW IT WILL BE TWENTY YEARS NEXT YEAR SINCE THE INCEPTION OF THE MDB? BETWEEN 2011 AND 2016 THE BOARD HAS RECEIVED 6000 REQUESTS FROM STAKEHOLDERS FROM ACROSS THE COUNTRY 32

33 Criterion Information required: Information provided by municipality or person: Comments by MDB administration (k) the administrative consequences of its boundary demarcation on (ii) existing municipalities; their council members and staff No. of councillors No. of wards Number of functioning ward committees Number of staff (l) The need to rationalise the total number of municipalities within different categories and of different types to achieve the objectives of effective and sustainable service delivery, financial viability and macro-economic stability No. of councils No. of councillors Financial viability indicators Macro-economic framework 33

34 MDB CONTACT INFORMATION Physical Address Eco Origins Office Park, Block C1 349 Witch-Hazel Street Highveld, Centurion 0157 Postal Address Private Bag x123 Centurion 0046 South Africa Telephone: Facsimile: MDB MDB Website 34

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