HOUSING DELIVERY Nelson Mandela Metropolitan Municipality

Declaration ●The Executive Mayor declared Housing as priority ●Vision 2020 ●10 Year housing program

Optimisation of the People’s Housing Process (PHP) ●Masangwanaville, community participation enhancement ●Establishment of co-operatives ●Establishment of Housing Associations

Housing Support Centres ●Construction of 5 major centres ●Staff complement and support

Strategies ●± 58 Projects ●Empowerment initiatives ●Public / Private partnerships

Nelson Mandela Metropolitan Municipality’s contribution ●R6 000 per site - reduced to R3 000,00 reviewal ●Technical support ●Administrative support

Metro House ●Aims (Dignity, Integrated community, Future extension) ● Subsidy and Nelson Mandela Metropolitan Municipality ’ contribution (entire subsidy utilised for super structure) (annual quantum increase review contribution) (alternate service delivery initiatives) (bulk material tender) ●Specification ●Quantum adjustment

Challenges ●Backlog ± units ●Eradication of informal settlements ●Community participation ●Population of organogram ●Major development (Urbanisation) ●Emerging contractor and supplier empowerment programs

Challenges (continued) ●Previously serviced small units ▪Erf size 50m ² to 100m ² ▪transfers effected ▪relocation resistance

Achievements ●National Housing Award 2002 (Best PHP Project) ●Metro House 40m ² ●Establishment of leadership qualities

Capacity and readiness to deliver ●Executive Mayor ’ s declaration ●Dedicated Housing and Land Business Unit ●Management structure

Capacity and readiness to deliver (continued) ●Integrated Disciplines ▪Administration ▪Financial support ▪Technical support ▪Town Planning ▪Surveyors ▪Building Inspectorate

Capacity and readiness to deliver (continued) ●5 Year Housing plan ●Turn-around strategy delivery workshop (20 to 21 June 2003) ●Provincial support ●Cluster approach

End User Product Quality ●Regular site meetings and inspections ●Dedicated team ▪2 x Provincial representatives ▪Project Managers ▪Building Inspectorate ▪Housing support committee representatives ▪Beneficiaries

Peri-Urban Areas ●5 Development nodes (Rocklands, Kuyga, St Albans, Seaview, Witteklip)

Progress To Date ●Layout plans generally prepared and approved ●EIA complete, recommendations being reviewed ●Acquisition of land being finalised ●Services design generally complete

Challenges ●Privately owned land ●Bulk services ▪Cost per capita household ▪Limited grant funding ●Employment opportunities ●Integral transport plan

Way forward ●Social compact review ●Beneficiary data confirmation ●Subsidy application ●Services and super structure ●Integrated communities

Accreditation ●Application ●Response (Moratorium) ●Review Business plan and pursue

HOSTEL REDEVELOPMENT PROGRAM MATTHEW GONIWE HOSTEL

Background ●Single men ’ s hostel - E.C. Administration Board 1987 ● “ One City ” - erstwhile P E Municipality

Background state of affairs ●Overcrowding families - increased to families ●Extreme rudimentary service - communal toilets ●Illegal electrical distribution ●Sanitation and cleaning services non- existent

Action plan ●Establishment of committee ●Hostel upgrading ± R ●Conversion to units ●Transfers effected ●Greenfield development

Challenges ●Illegal occupation ●De-densification ●Insutu upgrade ●Limited subsidy ●Influx control

RENTAL HOUSING STOCK

Background ●Establishment of Nelson Mandela Metropolitan Municipality ●Rental stock - Uitenhage, KwaNobuhle, Port Elizabeth ●Total stock units ●1993 Capital discount scheme - historical cost R7 500,00

Existing situation ●Ablution upgrade ● % sold ● transferred - title deeds issued ●993 Instructions pending registration

Challenges ●± 253 unit selling price in excess of R7 500,00 ●Community instability - family disputes ●Resistance ●Severe poverty and unemployment

Strategies ●Establishment of social compact committee and task team ●Home ownership educational programs ●Cluster approach

Future Rental Stock ●Development of development framework - policy ●Establishment of Housing Association

INDIGENT POLICY Nelson Mandela Metropolitan Municipality

Present scheme ●Introduced July 1997 ●Provided – two schemes – household income 0 to R700 per month – 100% - R700 to R800 – 50% ●Services credited – rates, refuse / environmental, water up to 12kl and sewerage ●2001/2002 financial year - Households assisted Total credits R ●Approximate average account credit R70 per month

New Scheme ●Target July 2003 ●Qualification criteria reviewed ●Benefits extended to include electricity

Qualification criteria - requirements ●Must occupy ●Must not own other property ●Maximum household income of R1 500 pm ● Maximum municipal valuation ●Prepaid meter with consumption not exceeding 150Kwh monthly average

Benefits ●Rates to the maximum value – 100% ●Refuse and environmental charge – 100% ●Water 6 kilolitres – 100% ●Sewerage – to the maximum of the minimum – 100% ●Free prepaid token for 50Kwh

Other ●Application ●Subject to on-site audit ●Annual review by applicant ●Annual Policy review linked to Equitable share and responsibility

Future refinements ●Remove application process ●Self assessment and control ●Possibility of alternatives targeting system – consumption levels, valuation levels or combinations

Challenges ●Control water consumption above the benefit ●If benefits are exceeded who pays ●How will this be enforced ●Determining a future system and the consumption levels