I have read and analysed the feedback on KDM’s draft annual report for 2019/2020, presented by the Mayor on January 28.
A more detailed report can be found on our website. Please note that the report does not yet include the audited financials for 2019/20 nor did it have the mid-term results for 2020/21.
During this reporting period, there were 3 months of Covid-19 lockdown.
I am pleased with the honesty and transparency in the report and believe it has been verified by the Auditor General.
It is evident that our, and the community’s comments and feedback, has been noticed and recorded.
My key takeouts from the report include:
Outstanding debt to KDM has increased by 2,65% to R219 million. The debt is alarmingly high, yet I am impressed that it only increased by such a small percentage considering 3 months of lockdown in that year.
I am pleased with the revenue collection performance. The average of the 3 categories of revenue collection sits around the mid 90%.
There have also been great results on the terminating of electricity supply to non-payers and illegal connections and this has yielded good income.
Sadly, a surprising high percentage, around 40% of these, are businesses.
The delivery of basic services has increase by a whopping 11%.
Sadly though, from an exceptionally low base.
It increased from 36% to 47%.
This is the only metrics that has increased.
Once again capital expenditure does not get much traction and was underspent by 37% or R87M.
There is some definite action to improve irregular expenditure, to curb electricity theft and nonpayment, to improve and streamline procurement processes and to improve performance evaluation.
KDM has a good handle on the financial management aspects – collections, provisions, reserves, cash flow, great reports and focus.
So, planning and a stated commitment, with a strong financial support is half the battle won.
One now only need implementation.
The overall performance of KDM has decreased from 64% the year before, to 47%. Looking at it in another way, in 2018/19 the “efficiency” of the expenditure was 74%, and in 2019/20, this same “efficiency” ratio is 54%.
The productivity of our municipality is sitting at a paltry 50%.
Using a three-legged pot as a metaphor, we have 2 legs that are supporting the pot, planning and finance, with the third leg at 50% toppling the pot, namely implementation.
Fortunately, this has been identified by at least the Mayor, and hopefully others, and there is a commitment to remedy this.
However, without consequences for poor performance KDM is getting stuck.
Withholding bonuses is not good enough. Losing jobs, is.
We also now know that rigorous, supportive, and constant community engagement, does make a difference.
DOCRRA remains committed to support the Dolphin Coast community by sharing relevant information, giving access for input and opinions, and exerting the influence of the Dolphin Coast community on KDM in particular.
For further info visit docrra.co.za or email admin@docrra.co.za.
