City of Johannesburg Press Statement by The Executive Mayor, Cllr Herman Mashaba
In today’s Council meeting we have tabled the City’s proposed budget for 2017/18 financial year, and the Integrated Development Plan (IDP) for the 2017-2021 period.
Johannesburg has the potential to be a city of golden opportunities for all its residents but that potential is currently not being fully realised. The proposed budget reflects how this administration intends on use R56 billion to meet our residents’ clear demand for change within the City.
Too many of our residents remain without the dignity of a job and incapable of supporting their loved ones as the cost of living escalates. Spatial and income inequality continues to define the city landscape with poor communities suffering from inadequate service delivery in comparison to their more affluent counterparts. We also face a depressed fiscal climate, which requires us to do significantly more with significantly less, not only here in the City but across government as a whole.
These are the challenges which we must collectively overcome as a City – residents and officials alike.
Over the next month, both the proposed budget and IDP will be open to extensive public comment so as to ensure that the City’s spending best reflects our residents’ needs – this is to be the peoples’ budget and development plan.
The proposed budget, together with the IDP, represents this administration’s keen desire to get Johannesburg working so as to improve the lived experiences of those residents who, despite their hard work and dedication, still struggle to get ahead in life.
Indeed, the budget tabled in council today aims to ensure that a minimum of 60% of the City’s capital expenditure is directed towards projects in traditionally poor and underserviced communities, that the safety of all residents is prioritised, and that the City’s infrastructure challenges are addressed by progressively moving towards 10% expenditure on repairs and maintenance.
In addition, within the proposed budget and in line with our pro-poor agenda, we have increased the City’s expenditure for improving sanitation in informal settlements from R6,9 million in the 2016/17 financial year to R30 million, we have increased the allocation of site and service upgrades in informal settlements from R10 million in the last budget to R30 million, we have increased the budget for improved area cleaning in informal settlements from R134 million to R150 million, and we have increased allocations for police visibility in identified hotspots from R31 million to R131 million in the 2017/18 proposed budget.
As the new administration, we are committed to building a working Johannesburg with improved opportunities and services for residents. Underpinning this vision are 5 pillars which inform this administration’s strategic foundation for delivering services within the City, and indeed, inform the proposed budget.
These are to:
- Grow the economy and create jobs;
- Enhance quality of life by improving services and taking care of the environment;
- Advance pro-poor development that provides meaningful redress;
- Build caring, safe and secure communities; and
- Institute an honest, responsive and productive government.
Highlights from the Proposed 2017/18 Budget
Economic Growth Cluster
This administration sees economic growth, which creates jobs, as the central enabler for realising and extending opportunity to all residents. To make this a reality, the City envisions its role as creating an environment where businesses want to invest, where entrepreneurship can thrive and where government is supportive and enabling. To do this the City proposes to spending over R5.2 billion to set the City on the path to meeting the target of 5% economic growth by 2021.
To this end, the City has made allocations which include:
- R5 million for the Alexandra Shared Industrial Production Facility;
- R15 million to revamp informal trading stalls within the Inner City as part of the R128.2 million allocation to Johannesburg Property Company’s capital projects;
- R5 million for the promotion of small to medium enterprises;
- R643 million to expand Bus Rapid Transit through Rea Vaya;
- R166.1 million for the purchase of buses for both Rea Vaya and Metrobus;
- R100 million for the redevelopment of the public transport facility in Karzene, Newtown Ext.1;
- R23 million for additional building inspectors and town planners to fast track by-law enforcement and building/re-zoning plans applications;
- R90 million for Inner City public environment development upgrades; and
- The Johannesburg Roads Agency is allocated R1.2 billion for the provision of –
- o emergency stormwater improvements and new stormwater management projects;
- o Surfacing of gravel roads:
- Orange Farm and surrounding areas – R25 million;
- Ivory Park and surrounding areas – R25 million; and
- Diepsloot – R21 million;
- o R100 million for the road rehabilitation and reconstruction programme;
- o R95 million for the Resurfacing of M1 motorway;
- o R8 million for the installation of new traffic signals at key intersections and the upgrade of existing signalised intersections throughout the City.
Sustainable Services cluster
In a well-run City, the vulnerable members of society have access to quality public services and a roof over their heads. Recognising this, a cornerstone of the City’s development plan is to ensure improved access to quality and affordable basic services.
The City’s proposed budget makes an allocation amounting to over R28.6 billion to the City’s sustainable services cluster.
This allocation, amongst others, includes:
- R655.2 million allocated to City Power for electrification of housing developments throughout the City;
- R168 million for bulk and roads infrastructure, sewer, water and storm water management systems for 24 000 houses in Lufhereng;
- R74 million for the formalisation of informal settlements across the city;
- R30 million for housing related projects in Ennerdale South;
- R73 million for various projects at Pikitup, including an additional R50 million for an additional cleaning shift for the Inner City and informal settlements; and
- R548.8 million for social housing projects to be implemented in the 2017/18 financial year in areas such as: Lombardy east, Randburg,Turffontein, Nancefield, Lufhereng, the Inner City, Dobsonville, Jabulani, Princess plots, Kliptown, and Devland Golden Highway.
Human and Social Development Cluster
Key to the City’s approach to delivering services is ensuring improved access to quality and affordable basic services alongside safe roads and well-maintained public spaces. To deliver on our approach, the proposed budget for the Human and Social Development Cluster services is increase by 4.3% to R6.5 billion.
Allocations in this cluster include amongst others:
- R22.2 million for the Ebony Park Clinic renewal;
- R22.2 million for New Florida Clinic;
- R30 million for the procurement of Health Information System to improve health services;
- R1 million to begin work on the new Naledi Clinic which has been allocated a total of R31 million over three years;
- R37 million to extended working hours at City clinics;
- R100 million for the implementation of phase 2 of JMPD’s Integrated Operational Centre; and
- R110 million to support the JMPD’s additional 1500 officers providing visible policing.
Good Governance Cluster allocations
An honest, responsive and productive government is to be the hallmark of this administration.
For Johannesburg to achieve its developmental goals over the next five years, communities must be able to develop a high level of trust with the City. Residents need to know what their money is being spent on and have a say in the planning for their futures.
This requires honest communication from the side of government about what it can and cannot achieve within its current financial limitations, as well as a willingness to listen to the concerns of residents and respond appropriately.
This all means we need to eradicate corruption from within the ranks of government.
To this end, the expenditure budget of the Good Governance Cluster increases by 8.5% to R8.9 billion to meet the needs of the City.
Allocations to this cluster include:
- R10 million for infrastructure to enhance City’s Anti-Corruption unit;
- R110 million in ICT- Infrastructure upgrades for the City;
- R50 million for community-based planning and service delivery interventions; and
- R14.5 million for the City’s ongoing Institutional Review and Skills Audit.
These are just some of the proposals contained within our proposed budget. As we begin the City’s public consultation process on the budget, I hope that residents of this City will embrace the opportunity to scrutinise our efforts and make their voices heard.
During the month of April, the City will be embarking on a number of regional IDP/Budget summits to consult with our residents as part of our Integrated and Community Based Planning and Budgeting process.
Residents, members of the academic and business community are encourage to attend the consultations to make their voices heard and provide meaningful input in the governance of the their City.
Details on when public consultations will take place in communities are attached to this statement.
I know that working together, we can do much to make ours a great City with an abundance of opportunities for all our residents.