1. 1 PUBLIC HEARING on HOUSING CONDITIONAL GRANT 2006/07 Presented by: M Nkoana-Mashabane The Honourable MEC of Local Government and Housing :Limpopo Province 24 NOVEMBER 2006

2. 2 Contents Key ObjectivesKey Objectives AchievementsAchievements Housing programmesHousing programmes Spending Trends and PerformanceSpending Trends and Performance ChallengesChallenges InterventionsInterventions

3. 3 Key Objectives The Department identified the following as its key objectives: To provide regulatory framework for housing delivery To provide capacity and support to municipalities with regard to housing delivery in line with the Housing Act To create integrated and functional settlements

4. 4 Achievements 7 750 houses completed to date7 750 houses completed to date 5 blocks with 30 family and bachelor rental units completed to date5 blocks with 30 family and bachelor rental units completed to date 0800 Ntshebele Toll Free line to report fraud and provide consumer has been established to be operational during January 20070800 Ntshebele Toll Free line to report fraud and provide consumer has been established to be operational during January 2007 100 youth have been trained in construction and are currently being engaged in construction at Bela- Bela100 youth have been trained in construction and are currently being engaged in construction at Bela- Bela Public –Private Partnership affordable housing project with ANGLOPLAT at Northam has been launched in which 320 houses are being built for mining employees earning up to R7000.Public –Private Partnership affordable housing project with ANGLOPLAT at Northam has been launched in which 320 houses are being built for mining employees earning up to R7000. Partnership between the Department and Bricks supplier have received the Govan Mbeki Housing awardPartnership between the Department and Bricks supplier have received the Govan Mbeki Housing award Modimolle municipality has also been awarded the Govan Mbeki Housing recognition award for partnership with department by making serviced land available for housing developmentModimolle municipality has also been awarded the Govan Mbeki Housing recognition award for partnership with department by making serviced land available for housing development Retired technical building expert has been deployed by Development Bank of Southern Africa to the Department for a year to provide capacity in technical quality assurance and project management strategiesRetired technical building expert has been deployed by Development Bank of Southern Africa to the Department for a year to provide capacity in technical quality assurance and project management strategies 36 technically trained project managers will be deployed to all municipalities to increase project inspection capacity36 technically trained project managers will be deployed to all municipalities to increase project inspection capacity Payment of contracts has been reduced from a month to average of 8 days to support financial viability of emerging contractorsPayment of contracts has been reduced from a month to average of 8 days to support financial viability of emerging contractors 46 non-performing contractors have been terminated46 non-performing contractors have been terminated

5. 5 Housing Development The Housing Development comprises the following programmes: Housing Performance/project management Housing Performance/project management Social Housing Social Housing Housing administration and property management Housing administration and property management Housing Sector Performance and municipal support Housing Sector Performance and municipal support

6. 6 Restructured Structure Old Structure General Manager Senior Manger Senior Manager 32 Project Managers already deployed to municipalities

7. 7 Senior General Manager GM: Social Housing SM: CBH SM: Institutional Housing GM: Housing Admin and Property SM:Subsidy and contracts SM: Prop GM: Housing Sector Performance SM: Capacity Development (V) SM: Accreditation SM: Industry & Econ Dev GM: Housing Project Management SM-CLPLSASM-R&R District 1 District 2 District 3 District4 District 5 25 Municipalities: 36 additional Project Managers will be Deployed

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9. 9 Rural and Urban Housing Target :29 240 Target :29 240 7 213 houses completed 7 213 houses completed 8 762 wall plates 8 762 wall plates 8 547 foundations 8 547 foundations Housing Performance /Project Management

10. 10 Social Housing People Housing Process Annual Target:3922 Annual Target:3922 537 houses completed 537 houses completed 522 wall plates 522 wall plates 629 foundations 629 foundations

11. 11 continued Institutional /Social Housing (Rental ) Target :508Target :508 38 blocks with 228 units are roofed38 blocks with 228 units are roofed 22 blocks with 132 units have slabs22 blocks with 132 units have slabs 8 blocks with 24 units are at foundation level8 blocks with 24 units are at foundation level 5 blocks with 30 units are completed5 blocks with 30 units are completed Each block has 6 or 4 unitsEach block has 6 or 4 units

12. 12 Housing Sector Performance and Municipal Support Polokwane Municipality is being accredited as level one Polokwane Municipality is being accredited as level one Development of Multi-year Housing Development plan in progress Development of Multi-year Housing Development plan in progress Housing Customer care line for reporting fraud and consumer awareness has been established Housing Customer care line for reporting fraud and consumer awareness has been established Limpopo Housing Development Bill has been tabled at Legislature Limpopo Housing Development Bill has been tabled at Legislature Rental tribunal and housing panel appointment in progress Rental tribunal and housing panel appointment in progress

13. 13 Housing administration and property management Housing administration and property management Housing transfer (Extended Discount Benefit Scheme) Annual target:4770 3718 legal tenants have been profiled and ready for lodgement with deed office 3718 legal tenants have been profiled and ready for lodgement with deed office 725 properties transferred 725 properties transferred

14. 14 Challenges Bricks supply capacity Bricks supply capacity Municipal elections Municipal elections Loading of subsidy quantum Loading of subsidy quantum Institutional capacity Institutional capacity Contractors capacity to deliver at scale Contractors capacity to deliver at scale

15. 15 Interventions New appointment in line with new structure: New appointment in line with new structure: – 8 Senior managers already appointed – 7 Cuban engineers deployed to municipalities – DBSA Technical Building expert already deployed to the department – 36 technically trained project managers will be deployed to municpalties Project Management Unit has been established to assist with management of Project Management Unit has been established to assist with management ofcontractors Non performing contractors have been terminated Non performing contractors have been terminated Housing Subsidy Scheme has been enhanced Housing Subsidy Scheme has been enhanced Strategy to deal with blocked projects is in place and new big contractors have been profiled Strategy to deal with blocked projects is in place and new big contractors have been profiled Sites audit of developable land is completed and Geotechnical engineers to commence with geotechnical investigation have been appointed Sites audit of developable land is completed and Geotechnical engineers to commence with geotechnical investigation have been appointed Trilateral agreement facility has been created for material suppliers to assist emerging contractors Trilateral agreement facility has been created for material suppliers to assist emerging contractors

16. 16 THANK YOU THANK YOU