NDPW’s Annual Report for 2002-2003 Presentation to the Public Works Parliamentary Portfolio Committee by the Director-General, J Maseko

Presentation Outline Purpose Spending of Budget Programmes: Capital and Maintenance Community-Based Public Works Programme Asset Management Emerging Contractor Development Programme Women-in-Construction and progress Construction Industry

Purpose To share with the Committee progress made by the National Department of Public Works for the year 2002/2003

Budget Programme Spending Programme 2: Provision of Land & Accommodation - 100% spending for second consecutive year - Capital Works - Planned Maintenance Programme 3: National Public Works Programme - Community-Based Public Works Programme (CBPWP) - 100% for third consecutive year

Community-Based Public Works Programme (CBPWP) Deliverables: R274 million spent on 638 community projects and 20 539 jobs created Facilitated capacity enhancement initiatives for 27 District Municipalities Published a policy guide for implementation of CBPWP addressing the following: - programme clustering to promote sustainability and integrated approach to development - asset ownership and maintenance by communities CBPWP an integral part of Integrated Sustainable Rural Development Programme (ISRDP) operated within the nodal framework of ISRDP

Capital Works & Maintenance Deliverables Conceptualised New Generation Prisons Initiative with DCS Piloted RAMP for SAPS Handed over 3 major Justice projects (courts): - Blue Downs, Khayelitsha and Leeu- Gamka in W Cape Initiated 2 new court buildings: - Randburg and Tembisa in Gauteng

Capital Works & Maintenance cont’d As part of our heritage commissioned the Nkosi Albert Luthuli Museum Total amount spent on RAMP over 3 years was R2, 8 billion on 654 contracts Out of R2,8 billion R656 million specifically spent on RAMP year under review Out of 253 contracts awarded by August 2003, 182 awarded to Affirmable Business Enterprises (ABES) value of R1,165 billion RAMP encourages appointment of Affirmable Professional Service Providers

Asset Management (AM) The following Immovable Asset Management principles for asset life cycle management were approved by Cabinet in March 2003: - Immovable AM strategic planning - Acquisition of immovable assets - Maintenance and management of immovable assets - Disposal of immovable assets

Asset Management (AM) cont’d Disposal of eight commercial properties in extent of 456 hectares worth R6, 6 million Disposal of 825 non-commercial properties in extent of 63 502 hectares with an estimated market value of R36, 8 million for land reform Leaseholds: 5 500 lease agreements entered into to date Out of 442 new requests received – 80% were successfully concluded

Women-in-Construction Under the announced Strategic Empowerment Projects conceptualised (in 2001) women have completed following the critical projects: - RAMP project in Leeukop Prison worth R19 million - RAMP project at Krugersdorp Prison worth R3 million - Reconstruction of additional accommodation at Strandfontein Police Station worth R2 million

Emerging Contractor Development Programme (ECDP) Developed a database of 3200 emerging contractors Facilitated training of 300 emerging contractors through the Contracting Entrepreneurial Training Programme (CET) Facilitated access to finance for emerging contractors through the Industrial Development Corporation (IDC) for tenders to the value of R74 million Women-owned Businesses were awarded contracts worth R56 731 412

The Construction Industry Construction Industry Development Programme(CIDP) 2. Construction Industry Development Board (CIDB) First Construction Stakeholder Forum was convened in November 2003 Developed a transformation framework – focus on empowerment, link built-environment to socio-economic development and service delivery Developed HIV/AIDS awareness strategy Developed CIDB governance procedures Implemented an integrated industry development strategy Implemented procurement best practice strategy

Financial Management Financial management has significantly improved as indicated by the last AG report However, some areas such as the clearing of suspense accounts with National Treasury is currently being attended to; and Uniform documentation control is being implemented

Challenges To mobilise adequate funding for municipal accounts To recruit and retain qualified project and property management staff and address the scarce and aging professional staff problem – comprehensive HR plan is being developed Addressing the issues that gave rise to the qualification of the AG’s report

Challenges cont’d Successfully coordinate the implementation of the Expanded Public Works Programme (EPWP) Valuation of State-owned properties Emerging contractors faced with lack of sustainable opportunities, access to finance and other problems