Chief Officer: Municipal Finance, Fiscal Policy & Economic Growth

SUMMARY:
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POSITION INFO:

Cluster Solution Portfolio

As the Head of the Municipal Finance, Fiscal Policy & Economic Growth Cluster, the Chief Officer will provide strategic leadership and ensure integration of the following cluster solution portfolio to ongoing and critical challenges in the Local Government Sector:

• Positively influence fiscal policy to ensure financial resilience and sustainability of municipal institutions
• Provide a range of services to support audit performance in municipalities
• Offer technical services to support cash flow management, expenditure forecasting and developing forecasting plans
• Revenue management solutions focused on strengthening billing and revenue collection, municipal borrowing, levy’s and taxes, debt management and restructuring, and transaction advisory services
• A range of advisory and support solutions to strengthen regional and local economic development, economic growth and trade & investment promotion
• Offer strategic and technical leadership in the development of solutions aimed at enhancing the creation and delivery of services within the sectors of energy, electricity, water, sanitation, and waste management.
• Lead in advocacy and lobbying national and provisional government to provide meaningful technical and financial support to local government

Position Context

Internal Operating Environment

The Chief Officer: Municipal Finance, Fiscal Policy & Economic Growth is part of the Executive Team of the organisation.

The structure provides for a smaller executive team with the specific focus on longer term strategy and visionary leadership in anticipating the needs of the local government.

The current strategy requires a step-up change process to become more relevant and effective at representing and supporting municipalities and the executive team is required to support the CEO in championing and driving the change required. Focus is required on the value propositions of “the voice of Local Government” and “the support and capacity building of municipalities” in the delivery of their developmental mandate. 

There are implicit strategic shifts underpinning the adoption of the strategy in creating a balanced environment to optimise Local Government’s ability to function optimally.

• The Strategic Plan not only strengthens the “Protector” role to defend local democracy and to enforce the rights of the LG Sector; it also introduces the “Disruptor” role where the organisation seeks to inspire positive change where the current system compromises the ability of LG to deliver on its mandate:
• The internal and external operational governance machinery need to become far more inclusive and collaborative;
• The agenda requires increased integration and consolidation across silos and sectors;
• The service delivery approach requires greater focus and responsiveness to the specific needs of our members to become more differentiated and member-centric in our offerings;
• The organisation's resources need to be developed for future competency demands and utilised optimally with increased mobility and flexibility.
• The organisation's way of work needs to become far more team orientated to ensure multi-disciplinary solutions to LG challenges

The organisation recognised that to bring about the strategic shifts, it is necessary to reconfigure, renew and revitalise the organisational capabilities. This will be achieved through the implementation of an intensive but planned Organisational Design (OD) and Development process.

As part of the executive team, the incumbent is required to work closely with his/her fellow executives to drive the achievement of the strategic objectives of the organisation, as a team; and increased collaboration and interdependence is required at this level. The incumbent will be required to work closely with all Executives and Heads of Operations in the Provinces to ensure the achievement of the strategic objectives as a unitary organisation.

As part of the executive team, the cultural and transformational shifts required to underpin the implementation of structural and process and system changes need to be championed and role-modelled.

Role Specific:

The incumbent plays a significant role in driving programmes of Lobbying and Advocacy and programmes of municipal support and advice to address challenges experienced in the sectors applicable to Financial Resilience and Sustainability and Regional and Local Economic Development and Growth.

The majority of work in this cluster relates to the role in protecting the rights of the municipalities in the IGR space and to disrupt the Policy, Legislative and Governance frameworks and systems where it inhibits the LG Sector to achieve and deliver against its developmental mandate.

The incumbent is required to be skilled and have a proven track-record in lobbying and advocacy and should have a profile typically associated with that of an activist.

Participation and representation of the organisation and LG at IGR and other fora is required at a senior level in the Trading services, Financial and Economic sectors. The engagement with the sectors takes place at various levels - Ministers, MECs, MMCs, DGs, DDGs and across many stakeholders (such as state owned entities) at CEO level.

The organised Local Government Act establishes procedures for representation at the Financial and Fiscal Commission (FFC) and the intergovernmental Fiscal Relations Act provides for representation at the Local Government Budget Forum. Other pieces of legislation where the organisation is expected to play a role in relation to its remit include: Financial and Fiscal Commission Act; Municipal Structures Act; Municipal Fiscal Powers and Functions Act; Municipal Property Rates Act; Municipal Finance Management Act etc.

The Chief Officer is expected have a high level of emotional maturity with a sound business acumen and political savvy.

Role Specific External Operating Environment

Fiscal and Financial Management -

Some of the challenges experienced by municipalities include the resultant effect of the national fiscal consolidation process - resulting in a reduction in the growth of national transfers to municipalities and the growth in the persistently vulnerable cash-flow position in municipalities.

Half the country’s municipalities are in financial distress; nearly a quarter collects less that 80% of revenue owed to them and about 59% of municipalities have debtor levels higher than 30% of own revenue; and many

Service Delivery and Infrastructure -

A key symptom of the challenges experienced by municipalities in service delivery is visible in the increase in protest action (often accompanied by violence).

Underspending on capital budgets, repairs and maintenance continues to be a regular phenomenon. There is a widening funding gap for capital expenditure needs due to (among others) unfunded mandates, expenditure inefficiencies, inadequate transfers, significant electricity and water losses.

There is a growing need to respond to disruptions in the energy sector, including uptake of renewable energy and changing consumer demand, through new business models that encourage internal efficiency, electricity trading, grid charges, alternative energy services; the adoption of proactive climate change adaptation strategies; and Infrastructure life cycle planning and management from project identification through to operations and maintenance.

Spatial Transformation and Inclusion –

Challenges in the space of spatial transformation is directly linked to the relatively poor coordination of spatial planning. The urban agenda prioritises densification but the municipal revenue mode which is dependent on property rates, incentivizes urban sprawl. In addition, there has been slow progress by some municipalities in readiness for giving effect to SPLUMA provisions.

Access to land (both public and private) for housing delivery, bulk services provision for housing and the issue of land expropriation (with or without compensation) remains critical challenges against the backdrop of weakening social cohesion in communities.

Generic External Operating Environment:

Political and Legislative –

The Cluster has a clear strategic role to play in, representing the interests of local government within the system of government and supporting its members to fulfil their developmental obligations. However, with the diversity of political players in local government, the organisation must be a non-partisan organisation that serves all members, regardless of the lead party.

In addition, the executive must have a sound understanding of global and national political strategies and directives relating to this broad scoped and complex cluster.

The amount of legislation and regulations impacting on this cluster is wide spread and voluminous and the executive is required to have a working knowledge of the entire legislative framework.

Economic –

The organisation is faced with a skewed dependence on member levy income whilst municipal members are faced with an ongoing shrinking envelope and an increasing demand for services against the backdrop of increasing capacity constraints and reduced household incomes due to the general economic decline.

The executive team will play an important role in creating an environment that promotes innovative thinking to solving challenges faced by municipalities. There is a need to promote the innovative development of specialized and value-added services to become more relevant to the differentiated needs of the municipalities and to diversify the revenue sources and to implement a differentiated approach to service delivery with the aim to improve the relevance to its members.

Socio-Cultural –

The principal challenges of inequality, poverty, joblessness and the need for basic services persist and manifest themselves in different ways in communities. On spatial transformation and social cohesion, the local economic reality is still characterized by pervasive (and increasing) inequality.

Integrated planning and implementation among role-players operating in the local government space is negatively impacted on by the deemed duplication of powers and functions experienced at implementation level among various organs of state. As an executive of the organisation, there is an important role for effective stakeholder management in the local government sector to ensure an integrated approach to supporting municipalities with their challenges.

Environmental and Geographical –

There has been a number of fundamental changes in spatial planning and land use management as spatial development has slowly improved for the better, mainly in urban areas. However, the actual spatial transformation is still outstanding as the inherent past apartheid policies and infrastructure design still maintain.

Stakeholder engagements –

The Chief Officer will be expected to support the CEO in attending high level and potentially sensitive and highly technical IGR and other fora to represent LG as the protector and disruptor on behalf of the LG. The engagement takes place at various levels Ministers, MECs, MMCs, DGs, DDGs and across many stakeholders (such as SOEs) at CEO level. The Chief Officer will require superior advocacy and lobbying skills to fulfil this accountability. 

Position Purpose

Build planning capacity and enhance the delivery of trading services to enable financial resilience, spatial transformation and economic growth for resilient and inclusive regional and local development: -

• Support budget management, revenue enhancement and audit performance in municipalities
• Support regional economic strategies and effective Land Use Management as drivers for inclusive growth and social cohesion
• Influence and drive enabling policy, legislation & fiscal frameworks for financial resilience of municipalities
• Optimise institutional arrangements for sustainable infrastructure Services
• Support municipalities in the promotion of trade and investment for economic growth
• Support the development of solution-oriented programs to address service delivery challenges in municipalities

KEY PERFORMANCE AREAS

Financial Resilience and Economic Development Portfolio

• Oversee and lead the organisation’s participation in policy development processes that impact on municipal finances and the broader fiscal framework
• Ensure that priorities and policies determined at a national level are articulated down to local government in areas such as Financial resilience and revenue enhancement;
• Lead and strategically plan lobbying and advocating programs to effectively represent local government at an intergovernmental level through the development of the organisation's positions on key policies affecting financial resilience and revenue enhancement capabilities in municipalities
• Oversee the dentification of best practices in financial management and promote these in municipalities to enhance performance.
• Oversee and lead programs to support municipalities in improving audit outcomes, financial management and SCM practices
• Oversee the monitoring of municipal cash flow management, expenditure forecasting and plans; revenue and debt management.

Economic Development & Investment Portfolio

• Oversee and lead the organisation’s participation in policy development processes that impact on economic development and Trade and Investment
• Ensure that priorities and policies determined at a national level are articulated down to local government in areas such as regional and local economic development
• Lead and strategically plan lobbying and advocating programs to effectively represent local government at an intergovernmental level through the development of the organisation's positions on key policies affecting the sectors included Economic Development and Investment
• Oversee the dentification of best practices in financial management and economic development (Including trade and investment) and promote these in municipalities to enhance performance.
• Oversee and lead the organisation's programs to support municipalities in improving regional and local economic development and growth to stimulate and promote investment.

Trading Services portfolio

• Oversee the development of solution-oriented programs to address service delivery challenges common with municipal infrastructure services (including Energy, Water and Sanitation, 5th utility).
• Lead and strategically plan lobbying and advocating programs to effectively represent local government at an intergovernmental level through the development of the organisation positions on key policies affecting the sectors included in Trading Services
• Lead the coordination and support from partners and stakeholders
• Ensure the facilitation of knowledge sharing from lessons learned through innovations within municipalities.
• Ensure the identification of funding and training opportunities to support Municipal Service Delivery.

Business Integration and coordination

• Oversee the integration of Finance and Economic Development portfolio
• Lead, shape and influence the development and integration of solution oriented and integrated lobbying and advocacy programmes and capacity building and support programmes to address the growing challenges experienced in municipalities
• Work closely with the Metro Key Accounts management function to develop and provide a solution-oriented product and service portfolio targeted at the unique needs of metros

Strategic and Business Planning

• Actively participate and support the CEO with the development of the strategy
• Through an integrated planning process, develop and implement Cluster Strategy and business plan in line with the overall strategy and business plan of the organisation such that the mandate of the function is achieved.
• Develop, review and implement programmes, policies, Systems, procedures and mechanisms to ensure that the Resilience, Sustainability and Spatial Transformation Cluster is integrated and effective.

Financial and Budget Management

• Prepare, control and monitor the annual and monthly cluster budget so that expenditure is in line with the organisation’s financial requirements.
• Fulfil revenue generation requirements the organisation has of all Executives

People management and promoting a high performance culture

• Lead, manage and equip staff in the cluster so that they achieve their work objectives and work within an environment conducive to achieving required results.
• Uphold sound leadership and people management practices and ensure compliance with policies and procedures.
• Drive and support organisational priorities by developing and implementing systems and processes to mobilise staff and apply current capacity where it is required, through effective consultation with peers.
• In line with the organisational culture, role model and educate staff on the importance of alignment of personal and organisational values for improved performance.
• Support the CEO in building a high-performance culture in the organisation and in the Cluster.
• Promote and implement the performance management and recognition and reward processes in the organisation to drive high performance on an ongoing basis.

Corporate Governance and Risk management

• Ensure compliance with national, provincial and Local Government Legislative frameworks applicable to the business.
• Uphold sound corporate governance principles in the day-to-day operation of the cluster
• Ensure compliance with organisational policies and procedures
• Identify and mitigate organisational and operational risks identified in the cluster
• Ensure that systems, processes and programmes are developed and implemented to facilitate, coordinate and ensure legislative compliance and good governance in terms of the Resilience, Sustainability and Spatial Transformation Cluster.
• Participate in the Combined Assurance Forum

IGR, Strategic and Stakeholder Relations

• Within the scope of area of accountability lead the organisation's representation of the LG Sector/ mobilise and capacitate internal and external resources to represent the LG Sector at various IGR and other fora. This is to protect the rights of the Local Government Sector; and to proactively disrupt the system where it is not assisting the local government sector to deliver on its mandate.
• Lead and monitor Cluster IGR involvement and support the improvement of political relationships in relevant fora
• Support Portfolio Executives in leveraging stakeholder relationships for the good of LG sector in the respective professional discipline in a politically astute manner

 Monitoring, Evaluation & Reporting

• Direct and shape the development of a wide M&E framework and mechanism to determine baseline of performance and impact.
• Compile consolidated M&E reports for the Resilience, Sustainability and Spatial Transformation Cluster
• Monitor and report on the progress of the business plan and take necessary action to ensure that the goals and targets of the Cluster is met within time, quality and budget requirements.

MOE Advisory Services Portfolio

• Ensure the establishment of an MOE Advisory Services portfolio and capability in the organisation
• Monitor MOE performance and challenges to identify trends and areas where MOEs can be supported for improved performance
• Oversee the development of solution-oriented programs to address specific challenges experienced in MOEs

POST REQUIREMENTS

Minimum qualifications and experience

Qualification

• Relevant Post-graduate qualification in Municipal Finance, finance development studies, political science or equivalent preferably with a Masters/ MBA and or doctoral degree
• Valid Driver’s Licence

Experience:

• At least 10 years’ experience at an executive management level within a medium to large sized organisation;
• At least 5 years’ relevant experience in the Local Government Sector is required.
• Previous Executive Management experience in a multidisciplinary unit and in in developing and implementing strategy are minimum requirements
• Sound track record in effectively managing complex and sensitive political and stakeholder engagements at all levels.
• Proven lobbying and advocacy track record.