Comprehensive Overview of the 2023/24 IDP Process and Budget Review in Ward 6
This detailed presentation covers the importance, phases, and activities involved in the Integrated Development Plan (IDP) process, focusing on the 2023/24 municipal budget and development needs in Ward 6. It explains why having an IDP is necessary, outlines the IDP life cycle, discusses the grow strategy, and provides insights into the IDP process plan activities. The content emphasizes efficient resource utilization, democratic strengthening, and coordination among government levels to enhance service delivery and attract additional funding.
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Presentation Transcript
2023/24 DRAFT IDP & BUDGET REVIEW WARD 6 IDP OFFICE APRIL 2023
OVERVIEW Overview of 2023/24 municipal budget Why is it necessary to have an IDP?? IDP life Cycle Capital Projects: 2023/24 budget Ward Tariffs and Subsidies Development Needs
WHY IS IT NECESSARY TO HAVE AN IDP? Legislative requirement Effective use of scarce resources 50% discount on property rates / sewerage fees: Income limit is R17 200 p/month IDP helps to speed up service delivery IDP helps to attract additional funding Strengthens democracy Promotes coordination between local, provincial and national government
IDP LIFE CYCLE 2022 - 2023 2023 - 2024 2024 - 2025 2025 - 2026 2026 - 2027 5-YEAR IDP LIFE CYCLE (VISION 22) 2027 2022 5-Year IDP 1st IDP Review 3rd IDP Review Final IDP Review 2nd IDP Review Draft to be tabled in May 2022 1 Jul 2023 30 Jun 2024 Cycle ends 30 Jun 2026 Cycle ends 30 Jun 2027 Cycle ends 30 Jun 2025
PHASES IN THE IDP PROCESS NEEDS ANALYSIS - WARD COMMITTEES - EXTERNAL ANALYSIS - INTERNAL ANALYSIS APPROVAL STRATEGY -Tabling and Adoption of draft IDP and Budget - ORGINASATIONAL STRATEGY REVIEW - Public and Stakeholder consultation - STRATEGIC PLANNING SESSION -Tabling and Approval of IDP and Budget INTERGRATION PROJECTS -Intergovernmental alignment and Public Private Partnerships - PROJECTS AND PROGRAMMES IDENTIFICATION
IDP PROCESS PLAN ACTIVITIES MBDF Consultation for needs analysis phase August 2022 Conduct public participation into 23/24 IDP & Budget Review - September 2022 Ward based planning session (ward committee capacity building session) 25 March 2023 Submission of capital budget priorities by Executive Management November 2022 Tabling of Draft IDP and Budget 31 March 2023 Public comment window on Draft IDP and Budget - April 2023 Ward Committee consultation on IDP and Budget - March 2023 MBDF Consultation on IDP and Budget March 2023
PUBLIC PARTICIPATION AND STAKEHOLDER INVOLVEMENT The Public Participation process for the 2023/24 financial year reviewal exercises some flexibility in order to adapt to the ongoing loadshedding situation. Therefore, we are applying the following methods of public interaction: Email Submissions Virtual Meetings via Social Media Community Surveys METHODS Municipal Newsletter & Local newspapers Public meetings at areas who indicated IDP talks on regional radio stations
TOTAL BUDGET OVERVIEW 2023/24 BUDGET R 413 836 049 R 1,598,674,245 Operating Capital TYPE 2022-2023 Adj BUDGET 2023-2024 Draft BUDGET % Increase / (Decrease) % of Total Operating 1 444 173 128 1 598 674 245 10.7% 79% Capital 281 029 425 413 836 049 47.3% 21% TOTAL 1 725 202 553 2 012 510 294 16.7% 100%
23/24 MTREF DRAFT CAPITAL BUDGET PER SOURCE FUNDING SOURCE 2023/2024 % of TOTAL BUDGET Capital Replacement Reserve (Internal) R241 499 289 58.4% Municipal Infrastructure Grant R24 433 044 5.9% Integrated National Electrification Programme R10 440 870 2.5% Informal settlements upgrading partnership grant R14 337 429 3.5% Borrowings R110 298 000 26.7% Donated Asset R1 250 000 0.3% K9 Unit grant R1 791 304 0.4% Insurance Reserve (Internal) R8 830 000 2.1% Developers Contributions Municipal Service Delivery and Capacity building grant R756 114 0.2% R200 000 0.0% TOTAL R413 836 049 100%
23/24 MTREF DRAFT OPERATING BUDGET REVENUE SOURCE SOURCE OF REVENUE BUDGET AMOUNT 2023/2024 % of TOTAL REV BUDGET Property rates Service charges - electricity revenue Service charges - water revenue Service charges - sanitation revenue Service charges - refuse revenue Rental of facilities and equipment Interest earned - external investments Interest earned - outstanding debtors Fines, penalties and forfeits Licenses and permits Agency services Transfers recognised - Operational Other revenue Other Gains Transfers recognised - Capital TOTAL R 216 546 097 R 651 015 484 R 165 614 081 R 91 202 020 R 90 650 719 R 9 508 197 R 50 313 000 R 7 580 900 R 18 523 984 R 1 370 898 R 9 206 875 R 165 446 057 R 49 911 824 R 500 000 R 58 078 043 R 1 585 468 179 13.7% 41.1% 10.4% 5.8% 5.7% 0.6% 3.2% 0.5% 1.2% 0.1% 0.6% 11.4% 4.1% 0.0% 3.7% 100%
23/24 MTREF DRAFT OPERATING BUDGET EXPENDITURE CATEGORY OF EXPENDITURE CATEGORY OF EXPENDITURE BUDGET AMOUNT BUDGET AMOUNT 2023/2024 2023/2024 % of TOTAL EXP % of TOTAL EXP BUDGET BUDGET Employee related costs R 470 736 529 29.4% Remuneration of Councillors R 14 344 800 0.9% Debt impairment R 53 260 493 3.3% Depreciation & asset impairment R 126 510 722 7.9% Finance charges R 23 775 356 1.5% Bulk purchases - Electricity R 511 000 000 32.0% Inventory consumed R 110 460 296 6.9% Contracted services R 194 722 464 12.2% Transfers and subsidies R 8 180 714 0.5% Other expenditure R 85 182 871 5.3% Other losses R 500 000 0.0% TOTAL R 1 598 674 245 100%
PROPOSED TARIFF INCREASES Property Rates 11% Sanitation charges 6% Water charges (Decrease of 5% in basic charge) 14% Refuse charges 5% Electricity charges (Decrease of 5% in basic charge) 14.89% (Eskom increase to purchase electricity of 18.7%)
SUBSIDIES& REBATES Subsidies to Indigent LEVEL 1 Household + Indigent Valuation Households DEFINITION: Indigent Level 1 household: A household with a total monthly income of not more than two times the monthly Government old age pension DEFINITION: Indigent Valuation household: The household residing on a premises or a permanently occupied residential property with a total municipal valuation which does not exceed R125 000 2022/23 2022/23 (Inc VAT) (Inc VAT) 50 kwh R122.10 R199.13 R299.46 R244.99 R865.68 100% R122.50 2023/24 2023/24 (Inc VAT) (Inc VAT) 50 kwh R121.45 R203.07 R303.32 R267.38 R895.22 100% R133.69 SUBSIDIES: SUBSIDIES: Electricity: Total free units Electricity: per month Water: per month Sewerage: per month Refuse: per month TOTAL INDIGENT SUBS. Property rates Refuse additional Household: per month
SUBSIDIES & REBATES Subsidies to Indigent LEVEL 2 Household DEFINITION: A household with a total monthly income of more than two times, but less than four times the monthly Government old age pension 2022/23 2022/23 (Inc VAT) (Inc VAT) 25 kwh R122.10 R99.57 R149.73 R122.50 R493.89 2023/24 2023/24 (Inc VAT) (Inc VAT) 25 kwh R121.45 R101.54 R151.66 R133.69 R508.34 SUBSIDIES: SUBSIDIES: Electricity: Total free units Electricity: per month Water: per month (A. 901) Sewerage: per month (A. 904) Refuse: per month (A. 903) TOTAL INDIGENT SUBS. Property rates Refuse additional Household: per month 50% 50% R61.25 R66.85
SUBSIDIES & REBATES Subsidies to Households that houses a person with a disability DEFINITION: A household who houses someone who has a physical or mental impairment that has a substantial and long-term adverse effect on his or her ability to carry out normal day-to-day activities. (i) The verified gross monthly income of all occupants of the dwelling over 18 years of age may not exceed the sum of four times the amount of state funded social pension (ii) The person with a disability must be registered as a person with a disability, diagnosed by a medical practitioner and must be a full-time occupant of the property concerned. 2022/23 2022/23 (Inc VAT) (Inc VAT) 50 kwh R122.10 R199.13 R299.46 R244.99 R865.68 100% R122.50 2023/24 2023/24 (Inc VAT) (Inc VAT) 50 kwh R121.45 R203.07 R303.32 R267.38 R895.22 100% R133.69 SUBSIDIES: SUBSIDIES: Electricity: Total free units Electricity: per month Water: per month Sewerage: per month Refuse: per month TOTAL INDIGENT SUBS. Property rates Refuse additional Household: per month
2023/2024 CAPITAL BUDGET WARD 6 2023/2024 2024/2025 2025/2026 CAPITAL PROJECTS WARD 6 Upgrading Pinnacle Point Collector Sewer Pipelines 300000 1500000 3500000 Upgrading of Public Open Space in Heiderand 250000 150000 0 New Rodeo Fence around Public Open Space Heiderand Upgrading of stormwater system between Village on Sea & Blombosch 200000 0 0 200000 200000 0 New stormwater system in Schoeman Yard 0 500000 0 Sidewalks:New Sidewalks: Ward Six Fencing of eastern boundary of the Diosma Reserve adjacent to Koraalboom Street 10000 200000 300000 200000 0 0
SUBSIDIES & REBATES Pensioner Discounts on Property Rates / Sewerage fees and new discount for pensioners on Electricity Basic charges: 30% discount on property rates / sewerage fees/ elec basic charge: Income limit is R24 200 p/month 50% discount on property rates / sewerage fees / elec basic charge: Income limit is R18 100 p/month
2023/24 DRAFT INTEGRATED DEVELOPMENT PLAN & BUDGET PUBLIC PARTICIAPTION PROCESS Additional written comments and inputs can be forwarded via: Email to: idp@mosselbay.gov.za (IDP related) admin@mosselbay.gov.za (Budget related) Post to: Private Bag X29, Mossel Bay, 6500 Hand delivered: 101 Marsh Street, Mossel bay, 6500 CLOSING DATE FOR WRITTEN COMMENTS OR INPUTS: 28 APRIL 2023 AT 15:00 For any further enquiries please do not hesitate to contact: Mr S Vayisi at (044) 606 5227/ email svayisi@mosselbay.gov.za - IDP or Ms V Basson at (044) 606 5154/ email vbasson@mosselbay.gov.za Budget. 2023/24 Integrated Development Plan PUBLIC PARTICIPATION PROCESS Section 16(1) of the Local Government: Municipal Systems Act, No. 32 of 2000 makes provision for a Municipality to create an opportunity to encourage the local community to participate in municipal matters. All Inputs must be received by the Municipality on or before 28 April 2023
