EASTERN CAPE DEPARTMENT OF HOUSING PRESENTATION TO SELECT COMMITTEE ON FINANCE 13/02/08 HOUSING EXPENDITURE FOR THE FIRST 9 MONTHS 2007/08 FINANCIAL YEAR MEC : HLTA: Mrs. T Xasa

Practical realities on the ground Key challenges Practical realities on the ground 01/07/2018 STRICTLY CONFIDENTIAL - NOT FOR CIRCULATION

Approval of projects that are not ready Poor planning Approval of projects that are not ready Land issues 01/07/2018 STRICTLY CONFIDENTIAL - NOT FOR CIRCULATION

Lean pool of established contractors attracted to low cost housing resulting in retendering Inability of bidders to produce NHBRC certificates Slow NHBRC project and home enrollment Material Supplies

Slow take off of the established contractor construction Re tendering for the emergency housing NHBRC slow start on the rectification programme EIA

HOUSING EXPENDITURE - PER SUBSIDY INSTRUMENT 1st 9 MONTHS OF 2007/08

CASH FLOW FORECASTS vs. EXPENDITURE IRO PROJECTS PER DISTRICT - THE 1ST 9 MONTHS OF 2007/8

ACTUAL OUTCOME HOUSING CONDITIONAL GRANT 2007/08 HOUSING ALLOCATION 2007/08 R1,052 ,554 LESS: FUNDS SURRENDERED R 543,078 REVISED ALLOCATION 2007/08 R 509,476 EXP. AS AT END DECEMBER 2007 R 155,219 BALANCE OF FUNDS – 31Dec. 2007 R 354,257

HOUSING EXPENDITURE - PER SUBSIDY INSTRUMENT NOV & DEC - 2007/08 (AFTER REVISION)

AREAS TO BENEFIT FROM R500M Alternative sanitation and energy Military Veterans Programme Inclusionary housing Delivery on social housing Intensify rural housing AREAS TO BENEFIT FROM R500M 01/07/2018 STRICTLY CONFIDENTIAL - NOT FOR CIRCULATION

HOUSING CONDITIONAL GRANT - 2007/08 CASH FLOW FORECAST – 4TH QUARTER JANUARY 2008 R 71,399 FEBRUARY 2008 R 146,816 MARCH 2008 R 136,042 TOTAL R 354,257

2007/8 Non Financial Performance Land acquisition for inclusive housing The department is currently busy with Audit of well located & suitable land for Housing Development. Negotiations are already in process for land in identified areas e.g. Maletswai & Buffalo City Municipalities 192 units in Amalinda (SOHCO) have had their consents signed and are in the process of taking transfer 2007/8 Non Financial Performance 01/07/2018 STRICTLY CONFIDENTIAL - NOT FOR CIRCULATION

Rural Housing Summit and launch of innovation hub 37 new projects and 16 385 housing subsidies approves 2 Locrete Technology show houses from Kuwait completed and packaged for shipping 01/07/2018 STRICTLY CONFIDENTIAL - NOT FOR CIRCULATION

4569 houses completed and 3000 at various stages of completion 6342 sites serviced 4569 houses completed and 3000 at various stages of completion 3519 transfers registered 01/07/2018 STRICTLY CONFIDENTIAL - NOT FOR CIRCULATION

Progress on the Turn Around Plan : Operation Thunderstorm: Various Housing Projects Nine projects allocated to established contractors Construction commenced in all nine projects Expenditure kicked in December

Progress on the Turn Around Plan : Proactive Planning for 2008/9 Department Driven projects Tenders for 14 projects translating into 5191 units now under adjudication Appointments to be made by end Feb and contracting and site establishment planned for March

Progress on the Turn Around Plan : Proactive Planning 2008/9 Municipal Driven projects Tender process completed for 15 projects amounting to 8461 housing units with a value of R329, 082, 134 Awarding of tender during February

Progress on the Turn Around Plan : Capacity Enhancement The appointment of a Rapid Delivery Team (multi disciplinary) to augment the capacity of the department in various disciplines and assist with fast tracking delivery has been done and the team is in operation. 3 GM and 2 Senior Managers appointed 39 positions advertised 16 are technical

Thank You