2007 / 2008 SERVICE DELIVERY & BUDGET IMPLEMENTATION PLAN

EXECUTIVE SUMMARY

We are pleased to present to you the 2007/2008 Service Delivery and Budget Implementation Plan (hereinafter referred to as SDBIP).

In terms of Section 69 (3) (a) of the Municipal Finance Management Act, the Municipal Manager must submit a Draft SDBIP to the Mayor within 14 days after the approval of the Budget. The Mayor must subsequently approve the SDBIP within 28 days after the approval of the Budget in terms of Section 53 (1) (c) (ii) of the Municipal Finance Management Act.

Our Budget was approved by the municipal council on 30 May 2007, following an extensive public participation process to compile the Integrated Development Plan and community and stakeholder consultation after tabling the Draft Budget on 29 March 2007.

The SDBIP gives effect to the Integrated Development Plan and the Budget and serves as a „contract“ between the municipal council, its administration and the local community. It is the vital link between the Mayor and administration and facilitates the process for holding management accountable for its performance. It is thus a tool for inplementation, management and monitoring.

It further serves as the basis for performance measurement in service delivery against the year-end targets and the implementation of the budget. Without contributions and constructive participation, we would not have been able to produce this budget.

The goals and objectives set by council as quantifiable outcomes thatshould be implemented by the administration over the financial year (01 July 2007 – 30 June 2008).

The SDBIP consists of the following components:
· Monthly Projections of Revenue to be collected for each Source.      
· Monthly Projections of Operating and Capital Expenditure and Revenue for each Vote.
· Quarterly Projections of Service Delivery Targets and     Performance Indicators for each Vote.
· Detailed Capital Works Plan broken down by ward.
· Ward information for Expenditure and Service Delivery.

It is required of municipalities to be developmental and we needed to take stock of our strengths and short-comings to enable us to adapt in order to gear ourselves for the service delivey challenges.

Our Budget Theme is therefore “Capacity Building“ which will ensure that we are well resourced in terms of human resources, property, plant and equipment, policies, procedures, strategies and filling of skills development gaps.

The budget has been influenced by, inter alia, the following:     a. IDP: Consultations in all Wards and Ward Committees included in the Budget documentation).
b. Internal Consultation to translate the IDP and the determination of Institutional Needs.
c. Simonstown Strategic Planning.
d. Restructured Macro Organogram.
e. The National Strategic Agenda (LED, Financial Viability, Good
Governance, Service Delivery and Infrastructure Development,
Institutional Transformation and Organisational Development).
f. Socio-Economic and Demographic Profile.
g. LGMTEC Engagements.
h. Budget Guideline Circulars No. 41 and 42.
i. Provincial Growth and Development Strategy.
j. Realistically anticipated Revenue based on 2005/2006 Actual
Revenue, 2006/2007 Actual Year-to-date, Collection Rate and
Growth.
k. Contribution from Cash-backed Accumulated Surplus.
l. 2005/2006 Financial Health Assessment (Determination of the
municipality’s Financial-and Cash Flow Positions as well as its
Performance by way of ratio-analyses).
m. Division of Revenue Act (DORA) Allocations.
n. Tariffs which are both Affordability and Sustainable.

In addition to the legislative requirement, we were also evaluated at the LGMTEC3 engagement on 21 May 2007, whether we have adhered tothe following:

· That the Budget is Sustainable
· That the Budget is Credible.
· That the Budget is Responsive to IDP and LED.

EXECUTIVE MAYOR
C.B. PUNT