By the end June, all of Makana's stalled development projects will be up and running, says Municipal Manager Ntombi Baart.
By the end June, all of Makana's stalled development projects will be up and running, says Municipal Manager Ntombi Baart.
Several housing projects in the area had been held up by a combination of the municipality's laborious procurement process, and tardy responses from national government departments, she said at a press briefing on Tuesday.
But all this was about to end and the municipality had adopted the motto, "Fast-tracking and not frustrating service-delivery", as they entered the second half of their financial year. And their main tool for speeding up service-delivery was a new way of procuring goods and services.
Following its roasting by the Auditor-General in January – Makana's audit was qualified by a formal Disclaimer – the municipality is undergoing what Baart termed a comprehensive organisational development diagnosis to help bring about transformation within the organisation and improve service-delivery.
Baart said the exercise would include focusing on the supply chain management system. "It is your vehicle, your tool for service delivery,” she said. Previously, only goods and services valued at R20 000 or less could be bought by requesting quotations.
Now the threshold had been increased to R200 000. "This way it lessens the bureaucratic process of a tendering system, as any goods or services required up to the value of R200 000 are now allowed a quotation system," Baart said.
Baart said this adjustment did not necessarily do away with the provisions of procurement as prescribed in the Municipal Finance Management Act. Instead of waiting 21 days for tenders to be submitted, there would be a wait of only a week for quotations.
The bid adjudication committee was still included in the process of reviewing quotations. Baart said quicker turnaround time for projects, and paying suppliers promptly, meant there was a better chance of getting more funding through grants. She said prompt payment was also crucial for SMMEs, whose survival depended on it.
Baart said the municipality planned to ensure all its projects were being implemented by the end June. These included:
* The KwaNdancama housing development, delayed because of the discovery of human bones at the site in 2007. Baart said that they were waiting for the Department of Local Government to approve the revised project plans.
* Repairing houses affected by the 2008 tornado. Baart said letters of appointment had already been sent to contractors; however, they were waiting for the Department of Human Settlements to provide a consultant or project manager.
* The Alicedale housing project. Baart said the municipality had been under the impression that the land belonged to the Department of Land Affairs; however, it turned out to be owned by the Department of Public Works. The municipality is now awaiting for Cabinet approval to release the land.
* The upgrading of Alicedale's sewage plant. Baart said the tender for this had already been awarded.
* The Mayfield housing development. More than 2 351 units have been planned for this development. It is an integrated settlement, comprising different housing types, and amenities including schools and clinics. Baart said the project had started with bulk water provision, and the plans had been completed. She said they were waiting for the Department of Human Settlements to appoint a surveyor so they could begin putting in the infrastructure for municipal services.
The revised supply chain management policy states that:
* The procurement of goods and services up to a transaction value of R2 000 is by way of petty cash purchases (through verbal quotation).
* For items from R2 000 to R10 000 (vat inclusive) verbal quotations, preferably from three service providers, who must be registered on the municipality’s supplier database, must be obtained. Repeated utilisation of the same service provider/s must be at all times be discouraged.
* Purchase items of transaction value from R10 000 to R200 000 (vat inclusive) must obtain formal written quotations through a process of “calling for quotations”. This can be undertaken within a limited number of days, by placing advertisements on municipal websites, municipal public places (such as municipal libraries, ward councillors' offices, SCM Unit), small advertisements in local newspapers, or any other convenient method.
When placing an advertisement for “calling for quotations”, such an advertisement can be closed within a minimum period of five working days (which excludes Saturday, Sunday and Public Holidays).
According to the National Treasury's Supply Chain Management 2004 guide for accounting officers and authorities, the establishment of a database of suppliers when obtaining quotations stimulates the promotion of BEE and the development of historically disadvantaged individuals and small, medium and micro enterprises.
