nelson mandela bay (ite) ICUPALITY Tee 027 0)41 583057 Fax 627) 21 752 poo 116, Por Sabah, 6000 Repaticot Soun ates si: psrmoxsiandsmso.oovz3 31 October 2019, ‘The President Honourable Cyril Ramaphosa ‘emai: malebo@presidency.tov 2a /president@po,gov.za Dear Honourable President PERSISTENT NON-COMPLIANCE WITH THE INTEGRATED PUBLIC TRANSPORT GRATS AND THE ELATED GOVERNANCE ISSUES THAT HAVE ENSUED Please find the attached correspondence in response to the National Treasury regarding the above. sincerely, ‘WONGAMEL! BOBANI EXECUTIVE MAYOR NELSON MANDELA BAY MUNICIPALITY Cc —: Minister: Finance -Hon Tto Mbowent EC Premier = Hon Oscar Mabuyane IMEC: Finance, Economic Development, Environmental Affairs and Tourism ——— Tiare ttn [mens eemtemrte% nelson mandela bay MUNICIPALITY Ir fun tea ‘Seance ‘sat enamels as 30 October 2019 “The Diectoc Gener nergovernmental Relations ational Treasory vate Bag X15 rota ‘tention: Deputy Drector-Genert Inergoverretal Relations ir Mateng Naaalen Dear Me Nope PERSISTENT NON-COMPLIANCE WITH THE INTEGRATED PUBLIC TRANSPORT SYSTEMS GRANT (PTS) AND THE RELATED GOVERNANCE ISSUES THAT HAVE ENSUED 1. Your fetes dated 19 November 2018, 13 June 2018, 20 September 2019 and 18 Getover 2019 inte abovementioned mater ees. 2. Ido nok intend ta respond to each and every allegation as conkined in you leer lund" raply My fare to-do £0 shoul nat be constued as an admission of the oneness and er veracty there and oUF Vighs to respond thereto at the ‘propre tne and in he appropriate fou are exoressy resend 13. Inthe interest of good governance and inorder to move orwas wil primal de ‘sh he point asus ase your leer under ret. 4. Tt is unfonunate that you fest we are persistenty not complying wih, the fecormondations ofthe Delite report, when we have repeately informed you 20, {The below tnt wl show fo what exon su muncpalty has gone fo comply with the Deotte repo. The coment fal ou previous eters are over the Past Year must aso be read asl iearporated her for purposes of his response ‘SHORT. CHRONOLOGY OF PAST YEAR 5 On 13 November 2018, you wrota to our muniiplty seeking 2 progiess report regerdng implementation othe Deal eport 6 On 7 December 2018, ur municipality rps to your aforemertoned leer wih & ‘ory comrenensve and datas progress report. [if toner [eee omens ONE CITY ONE FUTURE wtnelson mandela bay MUNICIPALITY 7. On 10 December 2018, our then ating cy manager wrote to you and informed you {hat Out MPAC wos desrous of having mecing wh yeu or members of your ‘Seportment in err to ecu te Delotefeprt and where we fad curses; this request was never hosed 8 On 17 January 2018, our exceuive mayor once more wrte to you, agaloiforming You that cur MPAG has requested your presence or that of your cals in oe {Geeusecertan tues pertain tha IPTS ante Delt repo. 4g, no reposrs from your depart 8 0n.13 June 2049, you once more wrote to Us seeking a progress reprt on the Implementaton ofthe recammendatons a8 cotarea the Delote repo, rising ‘your coroern othe aust dings dang back tthe 2011/12 tnancal yea. 10. 00.27 sue 2019 our then acting aty manager dly responded, and cess having ‘lanty questions. gave you 2 upaste 11. 0n20 September 2018, you once more sought a status repo othe munca, femincing the moneipaliy thatthe Delite report was commissioned bated on request Rom the mumopaly. This ls confmed fo be so, Pence wo are taking the Fovessary redial apes roconmendod nthe sae report and es Indes 0 you Ine fom ot progres oper 42, On 01 October 2019, In respon Yo your ler dated 20 September 2019, the ‘municipality gave @ progess reper. Netwlandng your comments tat the sais Slats repod was somenat watered down, fd’ ot ately aler fom the ‘revcus topo, and yore so nt from the comprehensive and deed stats repo ‘tposed by te mumepaly on ? Dacomber 2018, as mst ofthe mates ae efor ‘enn itgaton whe oer ae at vaneus stapes of ispnary ection. 13, Hence, given the above biel chronlogy of events, you can understand ou surprise {hat you fe! there fs posistent ated of en-compkance wih the Debt rept Shu deimplementing governance esues around franca management 14. As slated above, and inthe interet of good itr governmental lations and good {Gevernca, undertake todo an vegan ia the Nh rstancss of unaithorse, Erogular and ‘utioss end wastets expend, we agree that Hs totaly ‘Unaccapable 15. Accordingly, | hereby request that you afford me the oppatunty to do my vestigation into the ressors of the unsccepiably high uneunerized, regula and fulless and Wrastefl experature, and then afford me an appertunty to come and preset my fining to You and your team sta meeting to be scheduled dur the last week of Noverbar or the it week of Decerber 2018 16. _Dutng this te leading up to end December 2018 | wil so be engaging your offs tnd Separmnt for gudance on clan maters inorder to achive the necessary {Unaround17. atthe same tine, wil ge my senior management ard managenentinsrucons to the eto tht ney must eneute tat o futher unauthorze, regular ang ules land wastets expenditure i nerfed and lo vopor any instances of such possible ‘xpanatre andor deviation fo mo toaush. 18. Furthermore, your etre somavhat bud tothe extent that you eer onthe one hand ote fat hat Nationa Treasisy may stp funds, carecy Saintes of ection 53. the MMA. and onthe oer hand fo wtharaw areca al anes recaived by our manepaiy when, | am egal informed has no basi in 19, Inthe raga. yu are intending to stop any payments to cur munity in ters of Sovton 3b ofthe NEMA kindy ge Us the necessary notice and eatons therefore n fondo for us to be allocated tie to adequately respond thereto mn tems of secon ‘(2a ofthe NEMA 20, Lastly, n onder for us to progress on this mater in an amicable way. I would prefer for {snot to boeome advaeana where you now want fecal rrcever the PTS funds ‘Steady spent on peta ae stated above, am legal adved thet tere Is no ‘Staltory or legal base erate 21. As such, we would cbvousy want t have a coral relaonhi wth you and your parent tls inambent upon goverreent Instone to have good ier ‘Governmental rlaionsip te nerest othe paople we sere and n be wterests Steentes aelvery. 22. Forease of convenience | stash hereto, copies of al eur previous conespondences, ‘wheten your concars were adaressed 23, trust youl fn the above to bein orer, ard hank youn antcnation tere Yours sincerely (CC: Auditor Genera: Easter Cape Provincial partment: Shereen Noble HOD EC Provincial Treasury: Daluhlanga Majke HOD E€ Provincia! COSTA ‘Retin CFO: NM ‘Acting Aesountent General: National Treasury: Sie Kubek ‘Executive lnyor Nelson Mandela Bay Municipalty