DIRECTIONAL SPEECH DELIVERED BY THE EXECUTIVE MAYOR, CLR NICOLETTE BOTHA GUTHRIE ON 29 OCTOBER 2014
Direction was given by the Mayor at the 29 October 2014 Council meeting for the 3rd review of the approved 5 year Integrated Development Plan (IDP) of 2012/17 along with the budget preparation for 2015/16 to 2017/18 that is currently underway.
In setting and guiding the strategic direction for the 2015/16 IDP review and Budget process a Mayoral Strategic session with the Mayoral committee members and Top Management was held on 26 September 2014. At this session the gathering interrogated our vision, mission and strategic goals, reflected on our performance for the past financial year and discussed key considerations for the 2015/16 financial year.
Mayor mentioned that the biggest consideration in the development of the 5 year IDP and the subsequent 4 annual reviews is prioritizing the “vast needs” of the communities and assessing the resources (Budget) available to address the “vast needs.
In prioritizing the funding availability for the 2015/16 financial year to deliver on the priorities to be set in the 2015/16 IDP review, the Budget Steering Committee will be mindful of:
I. The findings of the INCA report on the long term financial sustainability. INCA’s recommendation is to curtail capital spending for the next three years. Identify and assess the critical capital projects funded from loans.
II. ESKOM’s proposed tariff increase of 12.6% for 2015/16 and the dire implications this will have on the municipality’s revenue.
III. The current economic pressure on all residents in Overstrand to afford municipal services (tariff increases) – also taking into account the Minister of Finance, Minister Nene’s Medium Term Budget Policy Statement for the 2014/15 financial year.
The Mayor emphasised that exercising strict financial discipline and balancing “tough trade-offs” will once again be required for the 2015/16 budget compilation process. She pointed out that pleasing the conversing needs of communities will require wisdom from the Budget Steering Committee and Budget holders.
She concluded that in moving forward the strategic discussions will continue over the next few months in order to table a credible IDP review and Budget at the end of March 2015. She urged all stakeholders to participate and engage in platforms created for the 2015/16 IDP review and Budget process.