INTERGOVERNMENTAL RELATIONS AND SERVICE …

1 1 INTERGOVERNMENTAL RELATIONS AND SERVICE DELIVERY IN SOUTH AFRICA A TEN YEAR REVIEW COMMISIONED BY THE PRESIDENCY Final report completed by Timothy Layman August 2003 2 CONTENTS PAGE ACKNOWLEDGEMENTS 5 CHAPTER 1 6 1. INTRODUCTION 6 Terms of Reference 6 Main Objectives 6 Research Questions 6 Methodology 7 CHAPTER 2 8 2.

2 CONSTITUTIONAL FRAMEWORK FOR GOVERNMENT IN SOUTH AFRICA 8 The structure of government 8 Principles of co-operative government and INTERGOVERNMENTAL RELATIONS 9 Managing INTERGOVERNMENTAL RELATIONS 10 Mandatory legislation in terms of section 41(2) of the Constitution 11 CHAPTER 3 12 3. EVOLUTION OF INTERGOVERNMENTAL RELATIONS IN SOUTH AFRICA 12 Transforming the South African state and government 12 Evolution of the INTERGOVERNMENTAL system 12 The establishment of INTERGOVERNMENTAL forums 13 Current systems, processes and procedures for coordination 15 Implementing joint work, programmes and projects 16 3 CHAPTER 4 4.

3 KEY CHALLENGES FOR IMPROVING INTERGOVERNMENTAL COORDINATION 21 Challenges for INTERGOVERNMENTAL forums 21 Challenges for coordinating through systems and processes 23 Challenges for joint work and projects 25 CHAPTER 5 28 5. LEGISLATION AND OTHER MEASURES TO IMPROVE INTERGOVERNMENTAL COORDINATION 28 Introduction 28 legislation to implement section 41 29 0ther measures for improving coordination 33 Joint work and projects 35 CHAPTER 6 37 6.

4 LOCAL GOVERNMENT FINANCE 37 Local Government Budget Priorities 37 Policy and Budget Reforms 39 Equitable share 40 CHAPTER 7 42 7. COLLABORATION WITH THE DPLG 42 Branch: Governance and Development 43 Chief Directorate INTERGOVERNMENTAL RELATIONS and Directorate IGR Co-ordination and Implementation 43 Directorate: Research (Governance) 46 Directorate: Development Planning and LED 47 Directorate: Infrastructure Implementation 49 Branch: Institutional Reform and Support 51 Directorate.

5 Fiscal Transfers 51 Directorate: Infrastructure Implementation 53 Directorate: Municipal Finance Monitoring 55 National Co-ordination of the Local Government Transformation Programme (LGTP) 56 4 CHAPTER 8 59 8. INTEGRATED SUSTAINABLE RURAL DEVELOPMENT PROGRAMME AND URBAN RENEWAL PROGRAMME 59 Assessment of Project Progress 59 Assessment of ISRDP Nodal Progress 60 Assessment of URP Nodal Progress 70 CHAPTER 9 78 9.

6 REPORT ON STUDY TOUR OF MUNICIPALITIES 78 Significance of Study Tour 78 An Overview 78 The Way Forward 82 REFERENCES 84 ANNEXURE: I 85 ANNEXURE: II 86 ANNEXURE: III 92 5 ACKNOWLEDGEMENTS This report was made possible through funding from the Swedish International Development Agency (SIDA).

7 Acknowledgement is also due to Mr Shuaib Chalklen, Chief Director: Policy Unit (PCAS) in the Presidency, and Mr Jacques van Zuydam, Chief Director: Department of Population Development. Their support and understanding has been immeasurable. The Department of Provincial and Local Government were extremely supportive and co-operative. Much appreciation to them and many thanks to particularly: Ms Lindiwe Msengana-Ndlela, the Director-General and Mr Dino Poonsamy, Director in the Office of the Director-General.. Many thanks to all the senior managers, consultants attached to the DPLG, and the Portfolio Committee on Provincial and Local Government who availed themselves for interviews, and/or provided valuable information: Branch: Governance and Development Mr DM Powell, Chief Director: INTERGOVERNMENTAL RELATIONS Mr AP Botha, Director: Research (Governance) Mr RJ Mosiane, Director: IGR Co-ordination and Implementation Mr YE Patel, Director: Development Planning and LED Mr RA Kruger, Director: Infrastructure Implementation Mr SZ Nofemela, Director: Infrastructure Policy and SERVICE Partnerships Branch: Institutional Reform and Support Ms W Fanoe, Director: Fiscal Transfers Mr G Miya, Acting Director.

8 Municipal Finance Monitoring Local Government Transformation Programme Mr P Flusk, National Co-ordinator Urban Renewal Programme Ms Y Silimela, Secondee Portfolio Committee on Provincial and Local Government Mr Y Carrim, Chairperson This work would not have been possible without the support and contributions of all those involved. 6 CHAPTER 1 1. INTRODUCTION Terms of Reference Main Objectives To identify and analyze key features of SERVICE delivery through the INTERGOVERNMENTAL system with special reference to social services, and to assess how efficient and effective the government has been in delivering these basic services. Research Questions How have the functions of government contributed to the efficient and effective delivery of services? Has government delivered these services at the lowest possible cost? What were the main blockages to SERVICE delivery?

9 Can good practices be identified? What were the main features of failures as well as successes in INTERGOVERNMENTAL SERVICE delivery? Identify major INTERGOVERNMENTAL projects. Identify projects experiencing: (i) major blockages and (ii) good practices that could be studied in more depth and recorded as case studies. What are the major problems of Administration/Management, Implementation and Delivery? Recommendations? Methodology A proper understanding of South Africa s system of INTERGOVERNMENTAL RELATIONS and how it evolved since 1994 should be established. Information is to be obtained through a literature study and close collaboration with the Department of Provincial and Local Government (DPLG). Major INTERGOVERNMENTAL projects should be identified under the main themes contained in the objective above. Existing studies of INTERGOVERNMENTAL projects and interviews with key informants should be conducted on each identified project.

10 Blockages and good practices should be identified. Projects experiencing major blockages and good practices should be studied in more depth, and recorded as case studies (The Presidency, 2003). 8 CHAPTER 2 2. CONSTITUTIONAL FRAMEWORK FOR GOVERNMENT IN SOUTH AFRICA The structure of government The Constitution states that "government is constituted as national, provincial and local spheres of government which are distinctive, interdependent and interrelated" (s 40(1))1. The "distinctive" element reflects that each sphere exists in its own right; it is the final decision-maker on a defined range of functions and is accountable to its constituency for its decisions. The Constitution allocates government functions on either an exclusive or shared (concurrent) basis. The national government is exclusively responsible for national defense, foreign affairs, the criminal justice system (safety and security, courts), higher education, water and energy resources and administrative functions such as home affairs and tax collection.