Departmental / SDBIP Scorecard
2. Internal Audit
The municipality’s internal audit function must continuously be involved in auditing the performance reports of Departmental/SDBIPs and the Municipal/Strategic Scorecard. As required by the
regulations, they shall produce an audit report on a quarterly basis, to be submitted to the municipal manager and the audit committee. The capacity of the internal audit unit must be improved beyond the auditing of financial information.
Auditing is necessary to prevent:
Inconsistencies in performance management definition or methodology of data collection;
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Incorrect processing and poor documentation of performance management; and
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Biased information collection and reporting by those whose image is at stake in the performance
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management process.
The regulations specify that any auditing must include assessment of:
The functionality of the municipality’s performance management system;
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The compliance of the system with the legislation; and
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The extent to which performance measurements are reliable in measuring performance of the
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municipality.
2.1 Audit Committee
In ensuring an objective and functional audit committee, Council shall ensure:
That the majority of members are not councillors or employees of the municipality;
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That the chairperson of the committee is neither a councillor nor an employee of the municipality;
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That the members of the committee have credibility within all Chris Hani’s communities and
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organs of civil society; and that the composition of the audit committee sufficiently caters for the following competencies:
o An understanding of performance management;
o An understanding of municipal finances;
o An understanding of development, including rural development; and o An insight into the municipality’s IDP objectives.
The operation of this audit committee shall be governed by section 14 (2-3) of the regulations. As per the regulations, the performance audit committee shall:
Review the quarterly reports submitted to it by the internal audit unit;
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Review the municipality’s performance management system and make recommendations in this
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regard to the council of that municipality;
Assess whether the performance indicators are sufficient; and
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Submit an audit report to the municipal council at least twice during a financial year.
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The audit committee shall also be tasked with assessing the reliability of information reported.
In order to fulfill its function, a performance audit committee may, in terms to the regulations:
Communicate directly with the council, municipal manager or the internal and external auditors of
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the municipality concerned;
Access any municipal records containing information that is needed to perform its duties or
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exercise its powers;
Request any relevant person to attend any of its meetings, and, if necessary, to provide
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information requested by the committee; and
Investigate any matter it deems necessary for the performance of its duties and the exercise of its powers.
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Chapter 7: Performance Management System
Glossary of Terms
ABET Adult Based Education and Training ABSA Amalgamated Banks of South Africa AG Auditor-General
AIDS Acquired Immune Deficiency Syndrome CBO Community Based Organization CPF Community Policing Forum
CSIR Council for Scientific and Industrial Research DBSA Development Bank of South Africa
DEAT Department of Tourism, Environment and Economic Affairs DEDEA Department of Economic Development & Environmental Affairs DFA Development Facilitation Act No 67 of 1995
DHS District Health System
DRDLR Department of Rural development & Land Reform DLG & TA Department of Local Government & Traditional Affairs DM District Municipality
DME Department of Mineral and Energy
DARD Eastern Cape Department of Agriculture & Rural Development DoE Department of Education
DoH Department of Health
DoSD Department of Social Development DoT Department of Transport
COGTA Department of Co-operative Governance & Traditional Affairs DPSS Department of Public Safety and Security
DRPW Department of Roads & Public Works DSAC Department of Sport, Arts and Culture DWA Department of Water Affairs
DAFF Department of Agriculture, Forestry & Fisheries ECA Environmental Conservation Act
EIA Environmental Impact Assessment ES Equitable Share (grant)
FBO Faith Based Organizations
ECDC Eastern Cape Development Corporation PGDP Provincial Growth & Development Plan
GCIS Government Communication and Information Systems GGP Gross Geographic Product
GIS Geographical Information System GTZ German Technical Cooperation GVA Gross Value Added
HDI Human Development Index HIV Human Immune Deficiency Virus
HR Human Resource
IDC Independent Development Corporation IDP Integrated Development Plan
IDT Independent Development Trust ICT Information Communication Technology ITP Integrated Transportation Plan
IWMP Integrated Waste Management Plan JOC Joint Operational Centre
LDO Land Development Objectives LED Local Economic Development LSA Local Service Area (Primary Health) MAYCO Mayoral Committee
MEC Member of the Executive Committee MIG Municipal Infrastructure Grant MFMA Municipal Finance Management Act MSIG Municipal Support & Institutional Grant MSyA Municipal Systems Act, 2000
MStA Municipal Structures Act, 1998
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NDC National Development Corporation NEMA National Environmental Management Act NER National Electrification Regulator NGO Non Governmental Organizations NSS National Sanitation Strategy
PATA Promotion of Administrative Justice Act PMS Performance Management System PPP Public Private Partnership
RDP Reconstruction and Development Programme REDs Regional Electricity Distributors
SADC Southern African Development Community SALGA South African Local Government Association SANDF South African National Defense Force SAPS South African Police Service
SGB School Governing Body
SMME Small, Medium and Micro Enterprises STDs Sexual Transmitted Diseases
TB Tuberculosis
UYF Umsobomvu Youth Fund VAT Value Added Tax
VIP Ventilated Improved Pit (dry sanitation facility) WSDP Water Services Development Plan
ASGISA Accelerated and Shared Growth Initiative of South Africa BDS Business Development Services
CASP Comprehensive Agriculture Support Programme CHARTO Chris Hani Regional Tourism Organisation CHDM Chris Hani District Municipality
RTP Responsible Tourism Planning SLA Service Level Agreement
SMME Small Medium and Micron Enterprises SOE State Owned Enterprises
SoR State of Environment Report StatsSA Statistics South Africa
IDP Approval
The process of approval for this IDP involved a series of consultative meetings with all stakeholders including: all municipalities within CHDM, representative forum members, sector departments, internal departments and some comments from MEC for Local Government. After approving a draft document on the 30th March 2011, the stakeholders were given an opportunity to make comments on the document. When comments are received from various interests groups, the drafting team will consider their comments and amend the document accordingly for Final Council adoption that was on the 06th May 2011 at Qamata Great Place.