FINAL TWK CITIZENS REPORT 2022-2023

Citizens Report 2022-2023

Late CouncillorAlderman KarelPapier

GameChangestoAchievetheVision

Mayor’s Foreword

In 2022/23 the coalition Government, consisting of the PA, GOOD and the ANC, provided the municipal administration with a vision, mission and strategic objectives which enabled acceptable levels of service delivery, the provision of services to all, and, in terms of the pro-poor approach of the Coalition, services that specifically focus on the poorest of the poor

As a government we guided the administration in the provision of the best possible and affordable services to tax and tariff payers. This government understands that the tax and tariff payers are over-burdened and that the decline in financial allocations from the National Equity Funding Scheme and other National Funds leaves the municipality with no choice but to utilize income, through taxes and tariff, to cross-subsidise the services costs of indigent families.

The political administration is adamant to convince organs of government that it is a myth to believe that municipalities can generate sufficient income to fund all municipal mandates. As an alternative, this government is giving the administration a clean mandate to identify and recruit funds from non-traditional municipal income sources.

The Municipality continued the path it embarked on in 2021/22: To make the Municipality a developmental and pro poor organ of state that can successfully deal with challenges, such as community-based discontent and subsequent actions; enabling an environment in which all people work together; improving municipal sustainability; and enhancing service delivery and sustainability. The pro-poor approach is paving the way towards equality amongst all people; the enhancement of the dignity of all people; harmonious communities, unity in diversity; and access, for all, to scares resources. In a changing environment, Theewaterskloof succeeded to maintain financial, infrastructure and service delivery sustainability; projects based on new ideologies; political stability; a fit-for-purpose administration; managing of land invasions; and extended informal human settlements.

KeyPolicyDevelopments

Several policies were adjusted, and others were created to comply with various pieces of legislation and to ensure good municipal governance in Theewaterskloof Key policies amendments focussed on rates, risk management, a risk based internal audit plan for 2022/23; and a SCM Policy

KeyServiceDeliveryImprovements

Service delivery levels depends on the state of infrastructure. In this regard, Council and the administration mitigated several challenges that relates to insufficient bulk services infrastructure. Council adopted a medium to long-term approach to facilitate sustainable and effective infrastructure upgrade and development. After many previous attempts Council established an infrastructure reserve fund.

Mayor’sForewordcont.

PublicParticipation

The municipality adhered to various pieces of public participation legislation and policies to comply with legal requirements to involve the broader community in enhancing development goals and service delivery. Hence, communities took ownership of projects and developments that impacted heavily on their lives and livelihoods.

FutureFocusses

The future of sustainable municipal governance and service delivery in Theewaterskloof hinges on the success of the implementation of the restructuring model and the mitigating of key challenges and matters facing the Municipality. In this regard I refer to the foreword of the Municipal Manager. The Municipality will focus on long-term effective and sustainable governance, institutional development, community growth and local economic enhancement. The goal of future actions will be to enhance the pro-poor and the-people-first approach.

Conclusion

Local government is where the people and the leaders of the country meet on ground level; it is also the place where people articulate their most basic needs. In the past year the municipality created good relationships and communication tools with the people of Theewaterskloof. There is a need to create an environment where the people can live and play with greater freedom and to facilitate this, the municipality committed to the values and goals of the National Development Plan. As the Executive Mayor of Theewaterskloof Municipality, I commit myself to serve the people of the municipal area who provides us an opportunity to serve them.

I praise the Lord for guiding us in a robust municipal environment and for making it possible for us to not only pursue and achieve the improbable but indeed the “impossible”.

NewMayor’s OpeningRemarks

In the 2022/23 year Theewaterskloof Municipality made great strides towards Council’s vision, mission, and strategic objectives for this term. Enabling economic growth, creating safe and secure communities, making Theewaterskloof a tourism destination of choice and promoting innovative service delivery opportunities has been at the forefront of the Municipality’s agenda.

Since taking office in September 2023, I have seen the administration and political arms of Theewaterskloof come together during adverse times and great challenges. I have also witnessed the administration exceed in its service delivery goals with the addition of new vehicles, generators, and support staff.

In my inauguration speech I said our Nation often does not aim for the improbable but indeed the impossible. I know Theewaterskloof Municipality has limited resources, but I also know how to lead people to achieve the best with what they have, and I believe that is exactly what we have been doing through partnerships and progressive leadership.

CouncillorMaryLiebenberg ExecutiveMayor

MunicipalManager’s Foreword

The Municipality honoured the manifest of Human Rights as articulated in the Constitution; as well as Batho Pele Principles and other adherences.

WilfredSolomons-Johannes MunicipalManager

TheChangedNatureofIncome

As a result, the municipality succeeded with, amongst others, certain key interventions as planning and zoning bylaws; and array of municipal by-laws and policies; taxation; local socio-economic business support; collaborating with and between communities; utilising of programs of the provincial and national governments; the advocating off community economic development priorities, in consultation and interaction with communities, organs of the collective government, and the holistic industry.

AYearofChange

It became abundantly clear that municipalities must change on various fronts to remain functional and relevant in its provision of services to all an especially the poorest of the poor It also became clear that municipalities need to rethink and subsequently redefine sources for sustainable income

As others, the Theewaterskloof Municipality must change the way it deals with threats and challenges

I am glad to say that, in the year under review, the Theewaterskloof Municipality administratively and politically arrested control of much of the changed municipal environment

The Municipality changed its perceptions of municipal sources of revenue and was forced to think outside the box when it identified additional income sources. This was an important intervention as existing income streams are no longer sufficient to generate enough funds to deliver on our mandates and to secure the effectiveness of our infrastructure.

As has been the case for several years, the municipal income for 2022/23 did not grow at the same speed as the holistic community’s demand for extended service delivery programs.

To counter this, I led a program where we identified projects and programmes in which the Municipality could and can tap in as to raise our capacities to develop infrastructure and to create a holistic growth environment.

We laid the platform to tap into non-traditional funds of the state and statutory entities. At the end of the year, it became clear that this out-of-the-box-interventions will result in infrastructure upgrades and development. In this context the Municipality already tapped into the clean green-initiative and a project with Working on Fire.

In the years to follow we will identify more such projects and programmes to recruit funds from new sources of income.

InfrastructureChallenges

The Municipality is confronted with holistic aging infrastructure. As mentioned, funds to develop and upgrade infrastructure is limited in terms of own reserves and the national Municipal Infrastructure Grant (MIG).

The Municipality therefore embarked on a special intervention to negotiate infrastructure development funds from national government and organs of state

A decision was taken in 2022/2023 to implement the infrastructure tariff levy in 2023/2024

MM’sForewordcont.

KeyInfluencesontheMunicipality

The most critical internal and external influences on the municipality remained inadequate national government subsidies for indigent families; inadequate government contributions to the Municipal Infrastructure Grant (MIG); internal inability to spend grants for infrastructure and housing projects; public dissatisfaction; rapidly deteriorating infrastructure and related service delivery effects; the broadened gap between public expectations and municipal capacities; vandalizing of municipal assets; the negative ration of those who pay municipal taxes and tariffs and those who receive indigent support

AuditOutcomeoftheAuditor-General

The Municipality gained a clean audit outcome for the 2021/22 financial year and an unqualified audit with findings in 2022/2023 In this regard, it is clear that the systems, measures and governance controls implemented from a financial health perspective, it is extremely positive placing the municipality in a good financial position. I want to express my sincere thanks and appreciation to the administration and political leadership for a job well done.

CustomerCare

The governing coalition partners developed a methodology whereby it constantly and timeously engages with the public. This mitigates tension and prevent protests and the broadening of the gap between municipal abilities and public expectations.

The integration of social media such as the Collaborator application, website, Facebook, Instagram, Twitter and SMS-communication channels opposed to the traditional means of communication such as newsletters improved municipal communications with the clients, customer and residents.

FinancialSustainability

In the year under review, the municipality kept its financial sustainability indicators to acceptable levels. An analysis done by the Auditor-General of South Africa shows that the Theewaterskloof Municipality is one of a decreasing number of municipalities that remains sustainable in the long and short-term.

The Theewaterskloof Municipality developed a sustainable ability to work within the constraints of its revenue and budget. The budget was limited in all respects and did not keep pace with population growth. The national government reduced its contributions to municipalities, but the municipality was able to lower its overheads and to offer quality services.

I thank the Executive Mayor, Alderman Kallie Papier, the coalition partners, the Mayoral Committee (Executive Mayoral Committee) and all Councillors for supporting the administration.

I thank my management team and all the employees who did a great work under testing circumstances.

I thank the communities and stakeholders who worked with the municipality to grow and develop the organisation, communities, and the economy.

I thank our Heavenly Father for his guidance and ever prevailing grace.

Vision& Mission

Vision

Creating a safe and secure environment and enabling economic growth through innovative servive delivery.

Mission

To create and sustain an environment which shall enhance the socioeconomic development capacity and impact of the Theewaterskloof Municipality in accordance with the Vision as stated in the Vision.

StrategicObjectives

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Community Safety

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Improve the social environment fabric of TWK community

Healthy and Productive Workforce

Basic Services for All Integrated Human Settlements

Maintenance, replacements and upgrades of municipal infrastructure

Make Theewaterskloof the investment destinantion of choice and promote the second and township economy

Upgrading of Informal Settlements and prioritising the most needy in housing allocation

Democratic, responsive and accountable government

Sound financial management and continuous revenue growth

OurTowns

Grabouw

TheGrabouw/ElgindistrictisthefirsttownintheMunicipalareawhen drivingfromCapeTownalongtheN2 Grabouw isthecommercialcentre forthevastElginValley,thelargestsingleexportfruit-producingareain SouthernAfrica.Thetowniswellknownforitsapples,opengardensand isincreasinglybecomingknownasatouristandwinebuyingregion

Tesselaarsdal

Tesselaarsdalistheideal getawayinwhichto experienceunpolluted naturalbeautyandsmalltowncommunitylivingatits best Thereareplentyof opportunitiestoexplorethe outdoorsevenuntildeepin thenightwhere onewilldiscoversomeofthe clearestMilkyWayviewings inSouthAfrica

Botrivier

IttakesitsnamefromtheBotRiveronthewestbank ofwhichitissituatedThe areaisknownforits vineyardsandwinefarms,withthewell-known BeaumontFarmsituatedinthetown.Thereisa growingtourismmarketlinkedtoagri-tourismand winetasting.

Villiersdorp

Thetowniswellknownforitsmajorlandmark, theTheewaterskloofDam,anditsagricultural activity.Villiersdorpispartofboththe TheewaterskloofDamandtheElandskloofDam catchmentareassituatedbehindtheGroenland andHottentotsHollandMountainrangesandat thefootoftheBlokkopPeak

Genadendal

Caledon

Caledonisthecentreofabroaderagriculturalregion whichproducesbarley,wheatandwool.Overberg-Agri, whichprovidesservicesandsupporttothefarming sector,hasitsheadofficelocatedinCaledon The Municipalheadofficesareinthetownalongwiththe regionalofficesfortheDepartmentsofEducation,Social DevelopmentandHomeAffairs.

Greyton

Greytonisbothalifestyleandtourism destination,whilethesurrounding areasarefarmlands.Thisbeautifulsmall townisnestledatthefootofthe RiviersonderendMountainswiththe RiviersonderendRiveron itsboundaryandsurroundedby mountains.

Genadendal,or'ValleyofGrace',was establishedbytheMoravianChurchin themid-1700sandistheoldestmission stationinSouthAfrica Theeconomyof thetownisdominatedby'development' projects,mostlydrivenbylocal developmentorganizations,awellas small-scaleagriculturalproductionand subsistencegardening.

Riviersonderend

Riviersonderendislocatedonaloopofthe SonderendRiver,fromwhichittakesitsname.The N2nationalroadpassesthroughRiviersonderend, formingitsmainstreet Riviersonderendoffers beautifulmountainandriverscenery,anine-hole golfcourseandsightingsofSouthAfrica'snational bird,thebluecrane.

Knowyour Councillors

CllrMaryLiebenberg (PA) ExecutiveMayor

CllrDerickAppel(ANC) Speaker

CllrJohnMichels(GOOD) DeputyMayor

CllrMzwanele Mpambani(ANC) Ward8 Grabouw

CllrRinaMienies(ANC) Ward6 Villiersdorp

CllrMekiePlatoMentoor(DA) Ward7 Botrivier

CllrDawidJooste (DA) Ward9 Villiersdorp

CllrCraigSmith(DA) Ward10 Grabouw

CllrPetrusStander (DA) Ward1 Riviersonderend

CllrChristiaanCloete (DA) Ward2 Greyton/Genadendal

CllrCarolBenjamin (DA) Ward3 Caledon,Myddleton, Tesselaarsdal

CllrYvonnevan Tonder(DA) Ward4 CaledonTown

CllrMichelleBotes(DA) Ward5 Villiversdorp

CllrMamothipane Shale(ANC) Ward12 Grabouw

CllrDenzilJacobs(DA) Ward11 Grabouw

CllrMbongeni Nomkoko(ANC) Ward13 Grabouw

CllrSamuelFredericks (DA) Ward14 Grabouw

CllrThozamaMangcayi

ProportialRepresentative Councillor

Knowyour Councillors

CllrMicheleMathews

ProportialRepresentative Councillor

ProportialRepresentative

CllrBongiweMkhwibiso

ProportialRepresentative Councillor

CllrMhlawakheGana (SRWP)

ProportialRepresentative Councillor

CllrTapeloPrincessLesesa (ANC) ProportialRepresentative Councillor

CllrJenniferMckenzie (GOOD)

Councillor

(EFF)

(GOOD)

(ANC)

CllrMonwabisiRaymondNongxaza (ANC)

ProportialRepresentative Councillor

CllrHenrySyster(PA) ProportialRepresentative Councillor

CllrTheunisZimmerman (FF+) ProportialRepresentative Councillor

CllrUnathiMabulu(DA) ProportialRepresentative Councillor

Population Summary

The municipal population has risen by 28% within 11 years, from 108 864 to 139 563. (Census2022data)

TWKPopulation

PopulationbyRace

PopulationbyGender PopulationbyAgeGroup

The number of households with access to water and sanitation includes informal settlements.

The number of households with access to electricity excludes the Eskom supplied towns within the Municipal borders.

Initiatives have been implemented to reduce the water losses such as:

replacement of meters, old pipes, network infrastructure public awareness campaigns

EPWP team to repair water infrastructure in informal settlements

WaterServices Milestones

1 GRABOUWWATER TREATMENTPLANTPUMP STATIONUPGRADING

The pump station was fully upgraded with the replacement of pumps and distribution boards. A standby generator was also installed to overcome the loadshedding challenge. The supply of water has since stabilised.

2 DRINKINGWATER ANALYSIS

The Municipality achieved 93.40% on the overall drinking water analysis (in accordance with SANS 241-1:2015

SanitationServices Milestones

1 CALEDONWASTEWATER TREATMENTWORKS (WWTW)

The aim of this project is to facilitate the provision of basic services to more households, specifically those users with no formal form of sanitation and those using dry sanitation system, the provision of other support services has to be secured.

With the successful completion of this project the municipality has sufficient capacity for the future growth of Caledon.

2 GREYTONWWTW

With the completion of the current phase of this project, the Newly Built Greyton WWTW now has sufficient capacity up to 20 years population growth as well as the proposed low-cost housing project.

ElectricityServices Milestones

1 INSTALLATIONOFHIGH MASTLIGHTSIN GRABOUW

The installation of 35 high mast lights in Grabouw has been completed.

2 GENERATORSATWTWIN VILLIERSDORPAND19

DAMME

Resolved the electrical supply outages due to loadshedding, which helps with the pumping of water and resolves water shortages.

SolidWaste Management Milestones

1 GREYTONDROPOFF

According to the decommissioning license, decommissioning should commence on or before 7 November 2025 whereafter the site will have to be decommissioned and rehabilitated. The Drop Off will be the alternative waste management system where waste will have to be temporarily stored before it will be transported to the regional landfill site, Karwyderskraal, for disposal.

2 CALEDONWASTETRANSFER STATIONANDMATERIAL RECOVERYFACILITY

It is uneconomical for the collection vehicles from Caledon to drive directly to the regional landfill site, Karwyderskraal, due to the location thereof, therefore the transfer station will be the alternative waste management system where waste will have to be temporarily stored before it will be transported to the regional landfill site for disposal.

SDBIP Performance

The organisational performance is evaluated by means of a municipal scorecard namely, the Top Layer Service Delivery and Budget Implementation Plan (SDBIP) at organisational level.

As illustrated in the graph above, the Municipality met 65% (46 of 71) of the applicable KPI’s for the 2022/23 financial year. 35% (25 of 71) kpi targets were not achieved for the 2022/23 financial year.

SDBIP Performanceper Department

Departments

OfficeoftheMunicipalManager(MM)

FinancialServices(FS)

TechnicalandInfrastructureImplementationPlan (TIIS)

CommunityServices(CommS) CorporateServices(CS)

EconomicDevelopmentandPlanning(EDP)

Financial Summary2022/23

TotalRevenue(excluding capitaltransfersand contributions)

R664 Million

TotalExpenditure

R805 Million

TotalOperating TransfersandGrants

R198 Million

MunicipalCost Containment R8 Million

FinancialRatios 2022/23

LiquidityRatio

Measuresthemunicipality’s abilitytopayitsbillsandis calculatedbydividingthe monetaryassets(duewithinone year)bythemunicipality’s currentliabilities.Ahigherratio isbetter

NationalNorm-1:1

CostCoverageRatio

Itexplainhowmanymonths expenditurecanbecoveredby cashandliquidassetsavailableto theMunicipalityexcluding utilisationofgrantscalculated

NationalNorm-1to3months

months

DebtCoverageRatio

Thenumberoftimesdebtpayments canbeaccommodatedwithin operatingrevenue(excluding grants).Thisinturnrepresentsthe easewithwhichdebtpaymentscan beaccommodatedbythe municipality.

NationalNorm-Below45%

1.6 months

TotalOutstanding ServiceDebtors

Measureshowmuchmoneyisstillowedby thecommunityforwater,electricity,waste removalandsanitationcomparedtohow muchmoneyhasbeenpaidforthese services Itiscalculatedbydividingthetotal outstandingdebtorsbytheannualrevenue. Alowerscoreisbetter

NoNationalNorm

DebtorsPayment Percentage

TheRatioindicatesthecollectionrate;i e levelofpayments Itmeasuresincreasesor decreasesinDebtorsrelativetoannual billedrevenue.Inaddition,inorderto determinetherealcollectionratebaddebts written-offistakenintoconsideration

NationalNorm:95%

CashPosition

Cashandcashequivalents(CCE)refers tothelineitemonthebalancesheet thatreportsthevalueofa municipality'sassetsthatarecashor canbeconvertedintocashimmediately

Audit Outcomes

The Municipality received an unqualified audit with findings for the period under review

The financial statements are free from material misstatements but findings have been raised.