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Municipal Systems Act, 2000 (Act No. 32 of 2000)

Chapter 6 : Performance Management

41. Core components



1) A municipality must in terms of its performance management system and in accordance with any regulations and guidelines that may be prescribed -
a) set appropriate key performance indicators as a yardstick for measuring performance, including outcomes and impact. with regard to the municipality’s development priorities and objectives set out in its integrated development plan;
b) set measurable performance targets with regard to each of those development priorities and objectives;
c) with regard to each of those development priorities and objectives and against the key performance indicators and targets set in terms of paragraphs (a) and (b)-
i) monitor performance; and
ii) measure and review performance at least once per year;
d) take steps to improve performance with regard to those development priorities and objectives where performance targets are not met; and
e) establish a process of regular reporting to-
i) the council, other political structures, political office bearers and staff of the municipality; and
ii) the public and appropriate organs of state.


2) The system applied by a municipality in compliance with subsection (1)(c) must be devised in such a way that it may serve as an early warning indicator of under-performance.