extract from minutes of the special council meeting (no.

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EXTRACT FROM

MINUTES OF THE SPECIAL COUNCIL MEETING (NO.

8 OF 2020/21) HELD BOTH VIRTUALLY ON MICROSOFT TEAMS LIVE AND ON METSIMAHOLO FACEBOOK PAGE ON MONDAY, 31^ST MAY 2021 AT 10:00 PRESENT

COUNCILLORS COUNCILLORS

1 L A Makhefu Speaker 19 F J van der Merwe 2 L S Tshongwe (Ms) Executive Mayor 20 S Matwa

3 V L Mashia Council Whip 21 M G Leotlela (Ms) 4 J M Molawa MPAC Chairperson 22 G S Burger

5 L S Semonyo 23 H J Van Heerden

6 M S Poho 24 J J Barnard

7 L Fisher 25 Z J Zwane

8 N P Mokoena (Ms) 26 P Mohapi

9 F Mosokweni 27 S M Matwa

10 N M Mtshali (Ms) 28 T Mofokeng

11 M J Malindi 29 T A Motaung

12 K B Mofokeng 30 R Meyer (Ms)

13 P M Mahlaela (Ms) 31 M T Mbana

14 M M Telane 15 G B Nnune (Ms)

16 N N Dywili

17 T du Toit 18 T M Motloung OFFICIALS ON DUTY

NAMES DESIGNATION

T Manele Administrator

M Mathe Acting Municipal Manager

L Ntoyi Acting Director: Technical and Infrastructural Services K B Lepesa (Ms) Chief Financial Officer

Dr G Alberts Acting Director: Social Services

M Theko Acting Director: Local Economic Development and Planning

M E Sediane Acting Director: Organizational Development & Corporate Services L N Kasa Administrative Officer/Scribe

S N Msimanga (Ms) Mayoral Committee Administrator

ABSENT WITH AN APOLOGY

J J Grobbelaar Councillor

K A Mare Councillor

K T Mabasa Councillor

ABSENT WITHOUT AN APOLOGY

T J Taats Councillor

J L Tsotetsi (Ms) Councillor

S S Kobo Councillor

M E Maseko Councillor

L L Nhlapo Councillor

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M P Mokoena (Ms) Councillor

S J Nteso Councillor

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M I N U T E S

ITEM 1 OPENING

Mr. S. Molala welcomed all Councilors and officially opened the meeting. He indicated that his role is to ensure that the Acting Speaker is elected because the Speaker, Councillor K T Mabasa had been admitted in hospital. Mr S Molala further indicated that the Acting Speaker serve until the Speaker, Councillor K T Mabasa, returns to resume his duties.

The Municipal Manager checked whether the councillors quorate before the meeting could continue with the election of the Acting Speaker.

The Municipal Manager, Mr. S. Molala, after having ensured that the Council meeting does quorate, presided over the process of electing the Acting Speaker by the Council.

Councillor L A Makhefu was nominated by Councillors to be the Acting Speaker.

Councillor L A Makhefu was subsequently elected as the Acting Speaker. The Municipal Manager, Mr S. Molala, thereafter handed over to Councillor L A Makhefu to continue with the Council meeting as the Acting Speaker.

The Acting Speaker, Councillor L A Makhefu indicated that the Council meeting is convened in line with chapter 4 of the Municipal Finance Management Act (no. 56. of 2003). He then extended a word of welcome to Councillors, officials, guests and the community.

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ITEM 2

APPLICATION FOR LEAVE OF ABSENCE

RESOLVED: FOR

ATTENTION That leave of absence from the eigth virtual Special Council

meeting (No. 8 of 2020/21) held on Monday, 31st May 2021 at 10:00 am, be granted to Councillors K T Mabasa, J J Grobbelaar and K A Mare.

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ITEM 3

OFFICIAL ANNOUNCEMENTS

3.1 There were no announcements from the Speaker.

None

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3.2 There were no announcements from the Executive Mayor.

None

3.3 There were no announcements from the Municipal Manager.

None

Councillor M Poho indicated in the special council meeting that in line with rule 53.

Sub rule 2 of the standing rules and order as it dictates the Council should note and start to make appointment for the Municipal Manager, Mr. S Molala as his term comes to an end at the end of July 2021 and that necessary arrangements be made before his contract ends.

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ITEM 4

AUDIT AND AUDIT PERFORMANCE REPORT

ATTENTION That the Council takes cognizance of the Audit & Performance

Committee report for the period 01 October 2020 to 31 March 2021.

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ITEM 5

APPOINTMENT OF AUDIT AND PERFORMANCE COMMITTEE MEMBERS

ATTENTION That Council approves the appointment of the following members

to the Audit and Performance Committee for three years from 01 April 2021 until 31 March 2024.

1. Mr. Zola Fihlani as chairperson 2. Mr. Mochele Noge as a member

3. Mrs. L.L Mbabale – Mathobo as a member

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ITEM 6

TABLING OF THE BUDGET SPEECH BY THE EXECUTIVE MAYOR

The following issues were raised immediately after the presentation of the Executive Mayor’s speech:

1. Councillor T Du Toit indicated that his party, the VF+ rejects- and does not support the Budget as tabled by the Executive Mayor.

2. Councillor J J Barnard said that the Democratic Alliance is also not supporting the budget.

3. Councillor M T Mbana also raised his concern regarding the budget and indicated that he supports Councillor J J Barnard.

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4. Councillor T Mofokeng raised his views in support of councillor Mbana and Councillor Barnard.

5. The Acting Speaker, Councillor L A Makhefu allowed councillors to vote on the approval or disapproval of the budget. All councillors participating virtually and physically present in the chamber formed part of the voting.

6. The outcome was as follows:

The councillors who were for the approval were twenty (20), nine (9)

councillors rejected the budget and five (5) councillors abstained from voting.

ATTENTION 1. That the tabled municipal budget for the year 2020/2021 be

approved as presented by the Executive Mayor as per section 24 (1) of the Municipal Finance Management Act.

2. Councillor M Poho moved as the seconder to the approval of the budget as presented.

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ITEM 7

DRAFT 2021/2022 REVISED INTEGRATED DEVELOPMENT PLAN

ATTENTION

1. That it be approved by Council:

1.1 That cognisance be taken of the contents of the report for approval.

1.2 That Council approves the 2021/22 Integrated Development Plan (IDP).

ITEM 8

2021/2022 Medium Term Revenue and Expenditure Framework (MTREF) Report

(Directorate: Financial Services) (5/4/2 -2021/2022)

ATTENTION

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The Council approved the annual budget of the municipality for the financial year 2021/22 and indicative budgets for the two projected outer years 2022/2023 and 2023/2024 as set out, subject to the following resolutions.

The Council, in terms of Section 24 of the Municipal Finance Management Act, (Act 56 of 2003) approves and adopts the following resolutions:

1 The annual budget of the municipality for the 2021/22 financial year and the multi-year and single–year capital appropriations as set out in the following tables:

1.1 Budgeted Financial Performance (revenue and expenditure by standard classification) as contained in Table 18 on page 90.

1.2 Budgeted Financial Performance (revenue and expenditure by municipal vote) as contained in Table 19 on page 92;

1.3 Budgeted Financial Performance (revenue by source and expenditure by type) as contained in Table 21 on page; and 1.4 Multi-year and single–year capital appropriations by municipal

vote and standard classification and associated funding by source as contained in Table 22 on page 98.

2. The financial position, cash flow budget, reserve/accumulated surplus, asset management and basic service delivery targets are noted as set out in the following tables:

2.1 Budgeted Financial Position as contained in Table 23 on page 101;

2.2 Budgeted Cash Flows as contained in Table 24 on page 103;

2.3 Reserves and accumulated surplus reconciliation as contained in Table 25 on page 104;

2.4 Asset management as contained in Table 26 on page 107; and

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2.5 Basic service delivery measurement as contained in Table 27 on page 113.

3. The Council, in terms of Section 75A of the Local Government:

Municipal Systems Act (Act 32 of 2000) considered the tariffs with effect (billing) from 1 July 2021:

3.1 The tariffs for property rates – set out on pages 3.2 The tariffs for electricity – as set out on page

3.3 The tariffs for the supply of water – as set out on page 3.4 The tariffs for sanitation services – as set out on page

3.5 The tariffs for solid waste services (cleansing) – as set out on page 24

4. The Council, in terms of 75A of the Local Government:

Municipal Systems Act (Act 32 of 2000) considered with effect (billing) from 1 July 2021 the tariffs for other services, as set out on page 29 to 76 respectively.

5. The capital projects to be financed from own funds (accumulated surplus) be implemented subject to the

improvement of the cash flow position of the Municipality and subject to affordability.

6. The reviewed Budget Related Policies be approved by Council.

7. The prior resolutions of taking a financial lease of R18.9 million plus VAT to finance the purchase of vehicles be rescinded.

8. Council approves that the municipality raise an overdraft facility of R10 million with its primary bankers for utilisation in the 2021/2022 financial year but no security will be submitted.

9. The option be investigated by the Municipal Manager to take up external borrowing to finance the installation of services at 122 un-serviced stands in Vaalpark.

10. The option be investigated by the Municipal Manager to take up external borrowing (period of 3 years implemented) to finance the rehabilitation/ resurfacing of roads.

11. Operation Patala and Revenue Enhancement Strategy be submitted to Council and be implemented in order to obtain 76%

collection rate.

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12. Public Participation was done via social media, the municipality’s website, bulk SMS messages pamphlets and notices in newspapers

13. A report regarding the fleet of the municipality be submitted to Council.

14. The budget is not funded and a funding plan be submitted to Council for approval.

15. Capital budget of projects/items from own funding must be implemented in line with cash flow.

16. The community be informed through email and social media of the Property Rates Policy, Indigent Policy, Tariff Policy and Debt Collection and Credit Control Policy.

17. The municipality enter into negotiations with the light industries to amend the ratio of property rates between

industries and households to 3:1 over the two financial years.

18. The filling of vacancies be delayed by 5 months, excluding vacancies of Section 57 Managers.

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ITEM 9

DRAFT 2021/2022 SERVICE DELIVERY AND BUDGET IMPLEMENTATION PLAN

ATTENTION 1. That the Council takes note of the 2021/2022 Draft Service

Delivery and Budget Implementation Plan (Draft SDBIP).

2. That the 2021/2022 Draft SDBIP and subsequently the Final SDBIP be submitted to the Executive Mayor for approval as required by the MFMA.

3. That the SDBIP be discussed together with the policies in a workshop to be arranged for policy discussion:

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ITEM 9.1

BUDGET FUNDING PLAN 2021/22

ATTENTION That the Budget funding plan be approved.

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ITEM 10

MUNICIPAL POLICIES

ATTENTION 1. That a workshop be arranged for policy discussion on the

following:

1.1 Bad Debt Write-off policy 1.2 Cash Management policy

1.3 Credit control, Debt collection and customer cure policy 1.4 Indigent policy

1.5 Property rates policy 1.6 Asset Management policy 1.7 Borrowing policy

1.8 Budget policy 1.9 Tariff policy

1.10 UIFW Expenditure policy 1.11 Virement policy

1.12 SCM policy and 1.13 International policy

2. That the policies be accepted with reservations that a day be reserved for the policy discussion workshop.

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ITEM 11 CLOSURE

The Acting Speaker, Councillor L A Makhefu, thanked everyone present and officially closed the meeting.

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THE MEETING CLOSED AT: 12: 19

APPROVED : __________________________

CHAIRPERSON : __________________________

DATE : __________________________

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