2014 FLAGSHIP PROJECTS
Operation Clean Audit 2014
What prompted the establishment of the Operation Clean Audit Project?
The Operation Clean Audit Project was established with the purpose of addressing negative audit outcomes raised by the Auditor-General on his Annual General Report on Provincial and Local Governments audits and to reduce the risk of Fraud and Corruption in the provincial departments and municipal financial management and governance processes and systems.
When was Operation Clean Audit launched?
It was launched nationally by the former Minister Sicelo Shiceka in June 2009 in nine provinces and the Operation Clean Audit Provincial Coordinating Committees (PCCs) were established in each province.
Who is responsible for the coordination, implementation and reporting on the Operation Clean Audit project milestones?
The Department of Cooperative Governance and the Provincial Coordinating Committees are responsible for the coordination, implementation and reporting of milestones achieved in municipalities to roll out the Operation Clean Audit project.
What is the cause of ineffectiveness in the internal control environments in the audit reports of many municipalities in South Africa?
According to the Auditor-General, poor performance or absence of systems, especially financial management systems were the cause of ineffectiveness in the internal control environments in the audit reports of many municipalities in South Africa.
What audit challenges facing provincial and local government were identified by the Operation Clean Audit Project?
Operation Clean Audit identified the following audit challenges facing the provincial and local government spheres:
- Inadequate skills on planning, financial management, expenditure management, credit control, debt management, risk and internal audit;
- Poor interface between financial and non financial information (in year monitoring and quality annual reporting);
- Cash flow management;
- Lack of systems to manage good governance practices (especially, conflict of interest and accountability frameworks) within provincial departments and municipalities;
- Leadership and management inaction, especially with regard to following on audit queries, both from internal and external auditors;
- Inadequate administrative and political oversight to strengthen accountability and responsibility
What is the timeframe for the Operation Clean Audit Project to assist all the municipalities and provincial departments to achieve sustainable improvement in financial management and governance?
The Operation Clean Audit is targeting 2014 as the year by which all municipalities and provincial departments will have achieved good financial and governance practices.
What is Operation Clean Audit Campaign’s plan to achieve its milestones?
The project plan for Operation Clean Audit set out to achieve the following milestones:
- By 2014, no municipality and provincial department are expected to receive adverse and disclaimer audit opinions;
- 100% of municipalities should achieve unqualified audit opinions by 2014; and
- At least 60% of provincial departments and the 278 municipalities are expected to achieve unqualified audit reports by 2012.
The National Municipal Revenue Enhancement Project
What is the National Municipal Revenue Enhancement Project?
The National Municipal Revenue Enhancement Project is a project of the Department of Cooperative Governance aimed at assisting municipalities to put in place improved systems of collecting taxes and rates for services rendered by municipalities.
What are the key objectives of the National Municipal Revenue Enhancement Project?
The key objectives of the National Municipal Revenue Enhancement project are to:
- Contain the current runaway municipal debt and stabilize it at a fixed level;
- Enhance current revenue realisation capacity;
- Eliminate stock shrinkage (unaccounted for water and electricity);
- Educate and mobilise the public to be good citizens by paying for their municipal services through the cultivation of a culture of “You use you pay” to your local municipality theme;
- Educate new clients and new households on the benefit of paying for services promptly; and
- Meet and exceed clients’ service delivery expectations.
How much is owed to municipalities by business, government institutions and South African households?
It is estimated that business, government departments, institutions and South African households owed municipalities approximately R54 billion in 2010.
What specific interventions will the National Municipal Revenue Enhancement Project effect to offset revenue collection challenges faced by municipalities?
The National Municipal Revenue Enhancement Project will endeavour to:
- Improve the public and market confidence in local governance matters by paying attention to issues that have irritated the public and eroded the public’s confidence in municipalities;
- Improve the financial and economic viability of municipalities; and
- Paying particular attention to improving the sense of accountability and performance in local government.
What are the four key intervention areas that provide the strategic thrust of the National Municipal Revenue Enhancement Project’s business plan?
- The project has identified support to municipalities with the improvement of the metering infrastructure and billing system as critical and urgent to avoid billing mistakes;
- Pay attention to inefficient and ineffective billing and collection processes;
- Improve the sense of accountability and performance within municipalities and focusing on enhancing systems of internal control as well as financial information management systems; and
- Create effective customer relations management processes and capabilities within municipalities and embarking on road shows to promote the culture of paying for municipal services and thereby reducing municipal accounts debts.
Ward Based Cooperatives Project
What is a Cooperative?
A cooperative is defined in terms of the Co-operatives Act, 2005 as follows: “co-operative” means an autonomous association of persons united voluntarily to meet their common economic and social needs and aspirations through a jointly owned and democratically controlled enterprise organised and operated on co-operative principles.
What is the Ward Based Cooperatives Project (WBCP)?
The Ward Based Cooperatives Project (WBCP) is a programme established by the Department of Cooperative Governance (DCoG) as part of the Local Government Turn-around Strategy (LGTAS). The project is meant to enhance the municipal contribution to job creation, sustainable livelihoods and local economic development through the establishment of cooperatives which is rooted within a ward system.
What is the purpose for the establishment of the WBCP?
The purpose of the establishment of the WBCP is for DCOG to support ward-based cooperatives owned by local communities in order to contribute towards job creation, skills development and ultimately, local economic development (LED). DCoG will mainly support Cooperatives involved in the following activities:
- Maintenance of roads
- Waste management
- Rural water supply
- Social services
- Greening projects
- Outsourced municipal services and maintenance work
- Trade sector
- Cleaning projects
- Catering and hospitality
- Health and Safety
- Financial and burial Cooperatives
- Computer literacy, training and skills development Cooperatives
What are the five main objectives and priority areas of the WBCP?
Through the promotion of cooperative types of enterprises, the five main objectives of the Ward Based Cooperatives Project are to:
- Promote functional cooperatives in at least two wards per municipality by 2014;
- Roll out the WBCP in all wards beyond 2014;
- Encourage entrepreneurship, particularly in rural communities;
- Create a platform for economic inclusion, particularly for women and the youth; and
- Mobilise all available development support.
How will the Department of Cooperative Governance facilitate the roll out of the WBCP?
DCoG aims to coordinate and ensure all available government and non-governmental (including private sector) resources and support to cooperatives that can be linked to the WBCP. The WBCP will therefore not support cooperatives on an ad hoc basis. Existing cooperatives can participate in the programme but will have to follow the norms and standards of the programme.
The coordinating role of DCoG with regard to the WBCP will inter alia include: Programme design, establishment of a National and Provincial Steering Committees comprising key departments and external experts in the Cooperatives field, stakeholder engagement, contracting and monitoring the work of implementing agents, mobilising additional resources, communications and ensuring the sustainability of the programme.
What are the priority focus areas of the WBCP project?
The WBCP will prioritize economically depressed municipal wards and rural areas with the intention to create job opportunities especially for women and the youth.
Who will coordinate and facilitate support measures such as resources for communities participating in Ward Based Cooperative projects?
The WBCP framework stipulates that the Department of Cooperative Governance (DCoG) should play a central role in terms of coordinating and facilitating support measures such as financial skills, development and resources for communities participating in the WBCP.
Who will drive provincial programmes for the WBCP?
It is proposed that Provincial Steering Committees in each province will together with key provincial departments such as the Office of the Premier, the provincial Department of Cooperative Governance and Traditional Affairs, Department of Local Government, Department of Economic Development, Department of Agriculture, District Cooperative Centres and other key provincial institutions and relevant stakeholders will drive provincial programmes of the WBCP.
Who will provide technical project management support and ensure implementation of the WBCP in the nine provinces?
Non-governmental organisations with the capacity and experience in supporting cooperatives and development programmes generally will be appointed to implement the WBCP in the provinces.
Clean Cities and Towns Project
Why the need for Clean Cities and Towns Project?
The Clean Cities and Towns Project was established to assist municipalities improve the way they manage waste and care for the environment to reduce health and safety hazards risks to society and the environment.
What are the key objectives of the Clean Cities and Towns Project?
To develop a roadmap toward a collaborative approach to clean cities and towns campaign focusing on vulnerable municipalities; to increase public awareness in clean cities, clean air, safe environment; and develop a better understanding of the undesirable causes of uncared for environment.
What environmental and social role will the Clean Cities and Towns Project play?
The Clean Cities and Towns initiative will tackle numerous environmental management challenges facing different municipalities across the country, including environmental health, waste management, job creation and local economic development in general.
How was the Clean Cities and Towns Projects established?
The Clean Cities and Towns Project was identified through the capacity assessment of all municipalities which was initiated by the Department of Cooperative Governance in 2008 to among others:
- Mobilise partners and identify roles that they can play in ensuring that our cities are clean, safe and attractive to the tourist and investors; and
- Improve the quality of life in neighbourhoods and fostering civic vitality and participation through urban and rural renewal programmes, local consultations and community empowerment.
Which outputs does the Clean Cities and Towns project respond to, in the Delivery Agreement on Outcome 9?
The Clean Cities and Towns project responds to the following outputs in the Delivery Agreement on Outcome 9:
- Output 2: Improving access to basic services;
- Output 3: Implementation of the Community Work Programme;
- Output 4: Actions supportive of the human settlement outcome;
- Output 5: Deepen democracy through a refined Ward Committee Model; and
- Output 7: A single Window of Coordination
Which other government initiative does the Clean Cities and Towns project respond to?
The Clean Cities and Towns campaign also respond to a National Waste Management Strategy developed by the Department of Environmental Affairs which addresses waste management in all spheres of government and private sector.