Free State Province Second Provincial Senior Management Service Conference 29 August 2006

1. Free State Province Second Provincial Senior Management Service Conference29 August 2006 INTERGOVERNMENTAL RELATIONS ACT: CHALLENGES AND OPPORTUNITIES DR. MAKHOSI KHOZA SALGA CEO

2. PRESENTATION OUTLINE Introduction Current Institutional Arrangements - Constitutional Structure; - Roles of different spheres; - Role of IGR Structures; - Current IGR Structures 3. IGR Framework Act - Background; - Challenges; and - Opportunities 4. Conclusion

3. INTRODUCTION WHY IGR & WHAT IS THE CONTEXT? CHOICE & DICTATES OF A DEVELOPMENTAL STATE THREE LEGGED POT – NATIONAL, PROV. & LOCAL GOVTS CAN SERVICE DELIVERY & DEVELOPMENT BE CHAMPIONED BY MARKET FORCES? WHAT IS THE ROLE OF THE STATE?

4. INTRODUCTION THE DEVELOPMENTAL DICTATE A SPECIAL CALIBRE OF CADRE THAT HAS A DEVELOPMENTAL IDEOLOGICAL ORIENTATION AND INTELLECTUAL GROUNDING THROUGH THE BALANCE OFFERED BY IGR, DEVELOPMENT IS POSSIBLE

5. INTRODUCTION Constitution stipulates that government is constituted as national, provincial and local spheres of government, which are distinctive, interdependent and interrelated. The three spheres of government and organs of state in each sphere thereof are constitutionally bound by the basic principles of co-operative governance. Co-operative government is the marshalling of the distinctive effort, capacity, leadership and resources of each sphere; and directing these, as effectively as possible, towards the developmental and service delivery objectives of government as a whole.

6. INTRODUCTION (cont) Intergovernmental relations have been conceptualized as processes through which political priorities across the nation are harmonized to flow in the same developmental direction. Intergovernmental Relations incorporates political leadership and aligning and directing spheres of government towards the same political priorities. Historically Intergovernmental Relations have been largely unregulated, were informal in nature and practices have evolved pragmatically as government across the spheres sought to give effect to the founding principles of co-operative government.

7. Current Institutional Arrangement Constitutional Structure Service provision functions are shared between the three spheres of government. National government and provinces are concurrently responsible for social services such as health, education and social welfare. National and local government are jointly responsible for functions such as the provision of water, electricity, sanitation and environmental health.

8. Current Institutional Arrangement (cont) Roles of different spheres:- National government’s role is primarily a regulatory role, for instance:- - setting policy norms to ensure equitable service provision, - dividing revenue through the budget process, - monitoring impact, providing information; and - support and exercising oversight. Provinces and municipalities deliver services to the public within the framework of national policy, with the authority:- - to determine their own budgets, - to decide the appropriate mix of services, - to provide these services to the public, and - to account for performance at first instance.

9. Current Institutional Arrangement (cont) Role of IGR Structures:- Play a crucial role in forging coherent government for the country by establishing platforms for engagement to take place between national policy direction for the country and the distinctive service preferences of provincial and local government. Intergovernmental institutions are one of the most important instruments for coordinating the actions of all spheres of government towards the realization of common policy goals for the country.

10. Current Institutional Arrangement (cont) Current IGR Structures:- A range of IGR Structures have been established at national and provincial level, most of which are non-statutory. They arose out of practical necessity as spheres of government sought to give effect to the constitutional principle of cooperative government. Its non-statutory nature allowed the “establisher” thereof to decide its internal arrangements, business and proceedings. This gave rise to the exclusion of local government as participants.

11. IGR Framework Act Background:- Section 41(2) of Constitution requires that an Act of Parliament must:- - establish or provide for structures and institutions to promote and facilitate intergovernmental relations, and - to provide for appropriate mechanisms and procedures to facilitate the settlement of intergovernmental disputes. The IGR Framework Act:- - gives effect to this constitutional requirement, and - provides for an institutional framework for interaction between national, provincial and local governments and all organs of state within those spheres

12. IGR Framework Act(cont.) The IGR Framework Act attempts to:- Reflect on and codify best practices on IGR since 1994; Establish common approaches and understanding of IGR; and Provide greater predictability and uniformity in core IGR areas such as intergovernmental development planning; coordinated implementation and service delivery; uniform approaches to IGR forums and predictable approaches to addressing IGR disputes.

13. IGR Framework Act(cont.) In terms of national IGR imperatives, the Act seeks to affect the conduct of government in the following ways:- All spheres must set, execute and monitor development priorities for the country, having due regard to the priorities and plans of other spheres; All spheres must consult another sphere on policy or actions affecting it, and give regard to views and circumstances of affected spheres; Manage service delivery efficiently, and in a way that is accessible to beneficiaries, in spite of jurisdictional boundaries and with due regard to differential capacities; Forge strong, flexible goal directed partnerships, without weakening performance and accountability; Plan and act within a framework of global and domestic economic conditions, within available budget constraints and account for performance in terms of existing legislation; and Resolve disputes without recourse to court action.

14. IGR Framework Act(cont.) Challenges of the Act To realize key developmental priorities relating to poverty eradication, work creation and social services; Applying “one size fits all” solutions and requiring municipalities to do more with less. Trying to achieve forging of stronger forms of collaboration and partnerships between spheres, boosting performance and accountability across spheres and finding simpler, faster and more effective ways to get things done will require a variety of strategies over and above what the Act provides for. Ineffectiveness and non-functionality of the established structures.

15. IGR Framework Act(cont.) Challenges of the Act To ensure that IGR structures are able to bring certainty in how the three spheres interact on key developmental priorities of the country as a whole, and how to position government better for local and community focused development. The IGR Framework Act provides for the Minister to issue regulations or guidelines regarding a framework for co-ordinating and aligning development priorities and objectives between the three spheres of government; a framework for co-ordinating IGR conduct and action affecting municipal functions and indicators for monitoring and evaluating the implementation of the Act. These guidelines are key to the implementation of the Act but have, to date, not been published.

16. IGR Framework Act(cont.) Opportunities provided by the Act Proper implementation of the Act will go a long way to improving government’s performance as a whole. Through the interaction of the Premier’s Co-ordinating Forums with the District-Mayoral Forums around key developmental objectives of the country as a whole, municipalities would be able to develop credible five-year programmes and provinces would be in a position to intensify and institutionalize the hands-on support to municipalities. District Mayors will be in a position to assume more responsibility in ensuring that there is a district-wide development vision.

17. CONCLUSION SALGA is strongly of the view that this Act, when implemented fully and when consideration is given to the challenges faced, will contribute immensely in:- - facilitating and ensuring coherent government; - a coordinated process of implementation of policies, programmes and legislation; and - effective delivery of services, which is a top priority at local government level.

18. THANK YOU Dr Makhosi Khoza mkhoza@salga.org.za