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In: Operations Management

Carefully follow the instructions below. [60 marks] 1.1 Identify and discuss four important pieces of legislation...

Carefully follow the instructions below. [60 marks]

1.1 Identify and discuss four important pieces of legislation about local government that were passed in the dawn of the democratic dispensation in South Africa . 1.2 The various levels of government cannot exist in isolation – they are widely influenced by the environments that exist all around them. Identify and discuss any 4 external environments for the local government. 1.3 Examine the main functions of the Municipal Demarcation Board. 1.4 Briefly outline the 3 categories of municipalities.

Solutions

Expert Solution

1.1) The Municipal Systems Act 32 of 2000

  • It empowers the local government to constitutional objectives.
  • Municipalities should encourage community participation
  • Performance management in municipalities.
  • The municipalities should encourage public administration to built human resources.
  • Credit control and debt control should be done at the municipality level.

  

The Municipal Property Rates Act 27 of 2000

The Municipal Property Rates Act describes the processes that municipal councils must follow when setting their property rates and taxes. The Act regulates property rates and also sets out a uniform national framework for the levying of property rates by municipalities.

The Local Government Municipal Electoral Act 27 of 2000

This Act regulates municipal elections in terms of preparing for municipal elections. Duties covered include the establishment of timetables, nomination of candidates, location of voting stations, appointment of officers at voting stations, etc.

By-laws

By-laws are laws that are made by the local governments. Municipal by-laws are no different to any other law in the country – they can be enforced with penalties, challenged in court and must comply with other laws such as the Constitution. People who do not comply with by-laws can be charged with a criminal offense.

A by-law is passed if it has a favorable vote from the majority of the municipal council. Before passing a by-law, a municipal council must give the community an opportunity to review and comment on the by-law.

The Promotion of Access to Information Act of 2000 (PAIA)

Constitution protects the right of South African citizens to access information. This section states that everyone has the right of access to any information held by the state, or held by any other person, that is to be used for the protection or exercise of any right. The Promotion of Access to Information Act of 2000 (PAIA) is the law that gives effect to this right.

Under PAIA, anybody can request information from both natural and juristic persons. Information can be requested from public and private bodies, and at the national, provincial, and municipal levels.

A person requesting information must make the request in writing by completing the prescribed form. When applying to a public body, the requester is not obliged to provide reasons for his request – but if making a request to a private body, the requester is obliged to provide reasons. If a person requesting the information is denied the requestor feels aggrieved by the decision, they are able to lodge an internal appeal, in the case of public bodies; to apply to the court to intervene in the matter, or to lodge a complaint with the public protector.

PAIA also takes into account the possibility that certain information may not be released. In this case, the information officer can separate or delete parts of the record in order for that information to be withheld. This is called the ‘severability of the record’.

Now that you know which laws apply to local government, look out for part five of our series, which will show us how a municipality manages its finances.

1.2) The various levels of government cannot exist in isolation – they are widely influenced by the environments that exist all around them. Identify and discuss any 4 external environments for the local government.

  • The external environment of a municipality includes the technological, social, economic, and political environment. The municipal environment affects municipal decisions, strategies, processes, and performance. The external environment consists of factors and forces which are beyond the control of municipalities, and therefore municipal leadership has to keep abreast of the changes in the external environment to enable them to achieve the dynamic homeostasis.
  • The technological environment encompasses new work methods and procedures, new technological innovation, new products, the state of technology for maximum inputs and outputs, the obsolescence of technology, and the dynamic changes that frequently occur in technologies that enable organizations to get a competitive advantage. Few examples of factors in the technological environment include the availability of electric power, telecommunications, roads and highways, and public transport.
  • The political environment includes the regulatory burden and red tape, taxes, levels of political stability, labor market regulations, and policy predictability. The legal environment plays a very important role. The laws of the country, the judicial system, and laws that affect the operation of municipalities are important.
  • The economic environment consists of the demand dynamics, supply situation, pricing factors, degree of competitiveness, and financing decision. Since municipalities are assigned to implement Local Economic Development (LED) strategies to deal with economic and social challenges within their municipal jurisdiction, the economic environment within which they operate is also of critical importance.
  • The physical often referred to as the natural environment comprises living and non-living entities that occur naturally. Examples of these include for instance the geographical area in which municipalities are located, natural resources, and physical phenomena that lack clear-cut boundaries, such as air, water, climate, as well as energy, radiation, and electric charge. A more prominent example of the influence of the physical environment on municipal strategies is that they are now assigned to develop disaster management strategies that will form part of their IDPs.

1.3 Examine the main functions of the Municipal Demarcation Board.

  • Determination and re-determination of municipal boundaries
  • Delimitation of ward boundaries
  • Alignment of service delivery boundaries with municipal boundaries
    • Functional/service-delivery boundaries should be finalized by departments in consultation with the to-be-established Municipal Demarcation Board.
    • Departments supply data for the establishment of an information technology system for demarcation purposes
  • Technical alignment of boundaries and mapping.
  • Capacity assessments and advice on the division of powers and functions
    • Drafting of reports to assess the impact of the proposed Ministers‟ authorizations on the MECs adjustment process.
    • Preparation of power and function questionnaire and concomitant database development to facilitate the assessment of municipal capacity to perform powers and functions.
  • Activities related to the above-mentioned functions.
  • Establishing cross-boundary municipalities.
  • The boundary assessment and rectification carried out under the municipal demarcation board.
  • Three reports were prepared by the Board, on Water and sanitation, electricity, and health.

1.4)  Briefly outline the 3 categories of municipalities.

Metropolitan municipalities – defined as category A – govern the major city regions.

Category A – Metropolitan: A municipality that has exclusive municipal executive and legislative authority in its area.

Metropolitan (or category A) municipalities represent large densely urbanized regions that encompass multiple cities and so constitute a metropolis.

For example, the eThekwini Metropolitan Municipality encompasses the city of Durban and surrounding towns.

The Johannesburg region is actually covered by three municipalities: the Johannesburg Metropolitan Municipality, the Ekurhuleni Metropolitan Municipality, and the West Rand District Municipality.

There are eight metropolitan municipalities in South Africa, with the most recently created concurrently with the 2011 municipal election being the Mangaung Metropolitan Municipality surrounding the metropolitan area of Bloemfontein and Buffalo City Metropolitan Municipality around East London.

Districts are further divided into local municipalities, category B.

Category B – Local: A municipality that shares municipal executive and legislative authority in its area with a category C municipality within whose area it falls.

Local municipalities represent a subdivision of the district municipalities and form the third layer of government. Metropolitan municipalities have no such official subdivisions, but in one case, the Johannesburg Metropolitan Municipality, custom subdivisions have been established, known as administrative regions.

District municipalities, category C.

Category C – District: A municipality that has municipal executive and legislative authority in an area that includes more than one municipality.

Metropolitan and district municipalities form the layer of government directly below provinces. Eight metropolitan municipalities and 44 district municipalities cover the entirety of South Africa.


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