1. Community Schemes Ombuds Service (CSOS) 2015-2020 STRATEGIC PLANNING and 2015/16 ANNUAL PERFORMNCE PLAN PRESENTATION DATE: 26 MARCH 2015 PRESENTED BY: REV. DR. VUKILE MEHANA- (CHAIRMAN OF THE CSOS BOARD) THEMBA MTHETHWA (CHIEF OMBUD) THEMBA MABUYA (CHIEF FINANCIAL OFFICER) Saturday, 12 March 20161

2. Presentation Overview  CSOS Mandate  Our Main Functions  Key Strategic Objectives  Key Priorities  Goals  Actions  Risk Register and Mitigation Plan  Financial forecast Saturday, 12 March 20162

3. 1. CSOS Founding Mandate The Community Schemes Ombud Services Act (Act No 9 of 2011) [CSOS ACT] was promulgated on the 11 June 2011 and provides for the establishment of the Community Schemes Ombud Services (CSOS) as a Public Entity. The CSOS has been classified as a Schedule 3A Public Entity in terms of the Public Finance Management Act (Act No 1 of 1999) [PFMA]. Saturday, 12 March 20163

4. 2. Our Main Functions a) To develop and provide a dispute resolution service in terms of the Act. b) Provide training for Conciliators, Adjudicators and other Employees of the Service. c) Regulate, Monitor and control the quality of all Sectional Title Schemes governance documentation and such other scheme governance documentation as may be determined by the Minister d) Take custody of, preserve and provide access electronically or by other means to Sectional Title Schemes governance documentation and such other Scheme governance documents as may be determined by the Minister. e) Manage the Sectional Titles Management Act as provided by the relevant Act. Saturday, 12 March 20164

5. 3.Key Priorities a) Establish world-class dispute resolution service within community schemes characterized by organizational excellence and a conducive organizational culture; b) Promote good governance of community schemes by developing and implementing appropriate guidelines to enhance stability and harmonious relations amongst the parties; c) Roll-out massive educational campaigns to educate and train stakeholders within community schemes and the public at large; d) Enhance community schemes tenure (the right to stay permanently) as well as alternative tenure options; and e) Appropriate organizational systems, controls and measures to enhance financial, economic and organizational efficiency. f) Manage the Sectional Titles Management Act as provided by the relevant Act. Saturday, 12 March 20165

6. 4.STRATEGIC OVERVIEW a. Vision: To establish a world-class dispute resolution service within community schemes. b. Mission:To facilitate and maintain a world-class dispute resolution service to promote good governance of community schemes by providing education and training to all relevant stakeholders. c. Values:i) Service Excellence:The CSOS will provide best dispute resolution services to its clients in a timely and responsive manner. ii) Independence: The CSOS will act independently and objectively in the undertaking of its activities. iii) Transparency: The CSOS will execute its functions in an open and transparent manner and ensures that it is easily accessible to its clients. iv) Integrity: The CSOS will strive to execute its functions in an honest, ethical, transparent and reliable manner. v) Innovation: The CSOS will strive to apply innovative capabilities to improve its service delivery. vi) Fairness: The CSOS will make decisions in a fair and impartial manner that espouses the principles of Ubuntu. Saturday, 12 March 2016

7. 5. CSOS STRATEGIC OBJECTIVES Saturday, 12 March 20167 Strategic Objective 1: Community schemes dispute resolution service Strategic Objective 2: Taking custody and control of schemes governance documentation Strategic Objective 3: Ensure that CSOS is managed in and efficient and effective manner in a way that values its employees. Strategic Objective 4: Manage the sectional titles Management Act.

8. a) Constitution of the Republic of South Africa (Act 108 of 1996); b) Public Finance Management Act (Act No. 1 of 1999); c) Community Schemes Ombud Services Act (Act No 9 OF 2011); d) Estate Agency Affairs Board Act 1976; e) Sectional Titles Act of 1986; f) Sectional Titles Management Act of 2011; and g) Housing Act (Act No. 107 of 1997). ALIGNMENT TO THE NDP 2030 a) Service delivery b) Medium Term Strategic Framework 6. Legislative Mandates & Policy Frameworks Saturday, 12 March 20168

9. 7.Organisational structure (Executive only)s Company Secretary Maruma Risenga Chief Ombud (Appointed) Mr T Mthethwa Executive Manager: Corporate Services Ms. Laurie Less Adjudicator- General Dinkie Dube Chief Financial Officer (Appointed) Mr T D Mabuya Saturday, 12 March 20169 Board

10. 8. Stakeholder and partner profile Name of EntityArea of interaction/Relationship i.National Home Builders Registration Council (NHBRC)Construction related disputes. ii.Estate Agency Affairs Board (EAAB)Community schemes related disputes iii.District and Local Municipalities, SALGAIdentification of database of community schemes iv.National and Provincial Departments of Human SettlementsReferral of disputes to CSOS v.Department of Rural Development and Land Reform (DRDLR) Transfer of schemes governance documentation vi.Department of Justice and Constitutional Development (DJCD) Compliance Issues/Applicable acts, vii.National Treasury (NT)CSOS funding viii.Department of Social Development (DSD)Identification of Retirement Housing Schemes ix.Department of Trade and Industry (DTI)Disputes affecting mixed-used developments x.Social Housing Regulatory Authority (SHRA)Disputes affecting owners/occupiers and determination of levies payable xi. Rental Housing TribunalsManagement Agencies Xii Banking Council NHFC, NURCHACommunity Schemes related information and referral of disputes. Xiii Associations. legal fraternity, Black Conveyancers Association, academia, NAMA Referral of Disputes Saturday, 12 March 201610

11. Saturday, 12 March 201611 STRENGTHS Legislative Monopoly Board and Core Executive team energetic and established. Robust Policy framework in place. Strict adherence to compliance. Unqualified audit 2013/14 year. Government and Ministerial support to establish the CSOS. Opportunity to develop an efficient, service oriented organisational culture. Design organisational structure determined by the Board strategy Determine the pace for “going to market” strategy. Active and committed participation of the Board. Partnership with EAAB ito infrastructure and support WEAKNESSES Human Capital competence and capacity (short-term). Turn around time for decision making between CSOS and NDoHS (Mandate MOU). Organisational IT Systems not developed and documented. Case management programme not in place. Finalisation of all legal requirements for CSOS to operate (proclamation). No Stakeholder Relations plan Positioning strategy for CSOS to be developed. Lack of knowledge of potential market size. Financial model to be established. Access and take over of governance data-base. Education and Awareness programme to be developed. OPPORTUNITIES Develop a registration and levies model. Develop a financial sustainability plan. Opportunity to develop a credible body of knowledge wrt schemes governance data. Develop robust stakeholder buy-in strategy. Develop credible jurisprudence influencing the reputation of the CSOS brand. Investment fund established. Launch of CSOS 1 st April 2015 Develop training & awareness programme for stakeholders and the public. Opportunity to establish provincial footprint. THREATS Potential qualification in annual audit wrt surplus funds (unauthorised exp) to be condoned. Potential failure to meet stakeholder expectations and the imminent backlash. Current operators (illegal parallel structures) in the Schemes space may capitalise on the non-operational CSOS. Legally challenging the levy and registration model. Syndicates and collusion operating in the Schemes space. Initial institutional antagonism against CSOS by the market and public. SWOT ANALYSIS 9. Current Position - SWOT

12. Planning Sections: Saturday, 12 March 201612

13. CSOS Strategic Plan 2015 - 2020 Saturday, 12 March 201613

14. KEY PERFORMANCE AREA 1: Resolved Community Scheme Disputes Saturday, 12 March 201614 STRATEGIC OBJECTIVE0 MEASURABLE OBJECTIVE INDICATOR/ MEASURE TARGET 2014/15 TARGET 2015/16 TARGET 2016/17 TARGET 2017/18 TARGET 2018/19 Provide Community Schemes Dispute Resolution Services to all South Africans Established and operational dispute resolution facilities Facilities available and accessible for members of the public where dispute resolution services can be obtained Head Office established with key staff members. Establishment plan for the establishment of the Gauteng, Kwa-Zulu Natal and Western Cape regional offices. Regional Office established in Gauteng, Kwa- Zulu Natal and Western Cape. Head Office and 5 regional offices fully staffed together with the necessary systems, infrastructure and equipment to be operational. Feasibility report on the establishment of other regional and or satellite offices Head Office and 7 regional offices fully staffed together with the necessary systems, infrastructure and equipment to be operational. All 9 regional offices established and fully operational. Provision of efficient and cost effective dispute resolution services to members of the public in all 9 provinces. Established satellite offices where a need has been assessed. Dispute Resolution Model Developed and implemented Number of reports on the implementation of dispute resolution model) Dispute resolution model developed 4 Reports on the implementation of dispute resolution model 4 Reports on the implementation of dispute resolution model 4 Reports on the implementation of dispute resolution model 4 Reports on the implementatio n of dispute resolution model Dispute Resolution Funding Model Approved and implemented Number of reports on the implementation of dispute resolution funding model - Development of a Dispute Resolution Funding Model 4 Reports on the implementation of dispute resolution funding mode 4 Reports on the implementation of dispute resolution funding model 4 Reports on the implementatio n of dispute resolution funding model

15. KEY PERFORMANCE AREA 2: Custody and Control Of Schemes Governance Documentation (includes Doc Man system) Saturday, 12 March 201615 STRATEGIC OBJECTIVE MEASURABLE OBJECTIVE INDICATOR/ MEASURE TARGET 2014/15 TARGET 2015/16 TARGET 2016/17 TARGET 2017/18 TARGET 2018/19 Taking Custody and Control of Schemes Documentation The management of existing schemes taken-over from the Department of Rural Development and Land reform. Number of reports on the take-over of the management of existing schemes governance documentation from the Department of Rural Development and Land Reform submitted to the Department. 4 reports on the take- over of the management of existing schemes governance documentation from the Department of Rural Development and Land Reform submitted to the Department An effective Records Management System Control of schemes governance documentation Number of reports on the implementation of the records management system developed n/a 4 reports on the implementation of the records management system 4 reports on the implementation of the records management system 4 reports on the implementation of the records management system 4 reports on the implementation of the records management system Schemes governance documentation funding model determined Determine schemes governance documentation funding model Number of reports on the implementation of schemes governance documentation funding model developed - 4 reports on the implementation of schemes governance documentation funding model 4 reports on the implementation of schemes governance documentation funding model 4 reports on the implementation of schemes governance documentation funding model 4 reports on the implementation of schemes governance documentation funding model

16. KEY PERFORMANCE AREA 3: Ensure that CSOS is managed in and efficient and effective manner in a way that values its employees. Saturday, 12 March 201616 STRATEGIC OBJECTIVEMEASURABLE OBJECTIVEINDICATOR/ MEASURE TARGET 2014/15 TARGET 2015/16 TARGET 2016/17 TARGET 2017/18 TARGET 2018/19 Ensure that CSOS is managed in an efficient and effective manner in a way that values its employees The sustainability of the organization ensured Effective and efficient financial services Number of financial management policies developed Turnaround time for submission of financial reports to National Treasury 4 approved policies (new and old) required Submission of financial reports on quarterly basis 4 approved policies (new and old) required 4 times in a year for submission of financial reports on quarterly basis 4 approved policies (new and old) required 4 times in a year for submission of financial reports on quarterly basis 4 approved policies (new and old) required 4 times in a year for submission of financial reports on quarterly basis 4 approved policies (new and old) required 4 times in a year for submission of financial reports on quarterly basis Effective management of the organization Number …of performance plans submitted for approval by the Minister 2 performance plans (Strategic plan for 2014- 2019& APP for 2015/16) Annual Strategy and APP developed and submitted to Board 2016/17 Annual Strategy and APP developed and submitted to Board 2017/18 Annual Strategy and APP developed and submitted to Board 2018/19 Annual Strategy and APP developed and submitted to Board 2019/20 Ensure that the provisioning of goods and services is done in a compliant, fair and transparent manner and that the assets of the organization are properly managed Number of SCM policies reviewed, developed and implemented Number of SCM plans (procurement & acquisitions) submitted for approval. Number of procurement, acquisition and asset management reports developed. Two (2) policies reviewed, approved and implemented Two (2) policies reviewed, approved and implemented 2 SCM plans (procurement & acquisitions) submitted for approval 4 Report on procurement, acquisition and asset management Two (2) policies reviewed, approved and implemented 2 SCM plans (procurement & acquisitions) submitted for approval 4 Report on procurement, acquisition and asset management Two (2) policies reviewed, approved and implemented 2 SCM plans (procurement & acquisitions) submitted for approval 4 Report on procurement, acquisition and asset management Two (2) policies reviewed, approved and implemented 2 SCM plans (procurement & acquisitions) submitted for approval 4 Report on procurement, acquisition and asset management

17. KEY PERFORMANCE AREA 4: Manage the Sectional Titles Schemes Management Act. Saturday, 12 March 201617 STRATEGIC OBJECTIVE MEASURABLE OBJECTIVE INDICATOR/ MEASURE TARGET 2015/16 TARGET 2016/17 TARGET 2017/18 TARGET 2018/19 TARGET 2019/20 Ensure compliance with the management of the Sectional Titles Management Act Approved Code of Conduct. Developed and approved Code of Conduct. Popularise and implement Code of Conduct. Roll out approved training and capacity building training for CSOS staff, management agencies and stakeholders Register all identified management agencies. Number of identified management agencies registered Specify the targeted number of identified agencies to be registered Number of BI reports submitted 12 Monthly reports to be submitted

18. Annual Performance plan 2015/2016 Saturday, 12 March 201618

19. Final Draft Business Plan 2015/16 NDHS: Programme: Strategic Objective 1: Provide Community Scheme Dispute Resolution Services No Key Result Area Indicator/ Measures OutputsBase lineTarget Key Activities2014/152015/16Q1Q2Q3Q4 SO1 Established & opertaional ised DR facilities DR Facilities & accessible for members of the public where dispute resolution services can be accessed. 1.1 Obtain lease agreements for facilities and set up H/O, KZN, WC and Gauteng offices. Head Office established and key staff members appointed. 1.1.1 Capacitate three regions in KZN, Gauteng and WC Approved phased-in Resource plan. n/a KZN, WC and Gauteng offices staffed as per the approved HC plan. 3 x provincial offices established Gauteng, KZN and WC. 1.1.2 Feasibility report on the establishment of Regional/ provincial offices. 3 x provincial offices fully staffed (WC, (Gauteng, KZN and WC). Develop a feasibility and space planning of physical environment to manage disputes. Develop a TOR for a space planning design and partitioning company Appoint company and complete works Close report. 1.1.3 CSOS offices x3 operational with relevant systems, infrastructure & equipment. n/a 3 x offices fully operational.

20. Final Draft Business Plan 2015/16 NDHS: Programme: Strategic Objective 1: Provide Community Scheme Dispute Resolution Services No Key Result Area Indicator/ Measures OutputsBase lineTarget Key Activities2014/152015/16Q1Q2Q3Q4 SO1 Develop and implement a DR Model Board approved DR model. Develop DR model. Appoint service provider to develop a DR model. Board Approved DR model Implement approved DR model. Monthly reports on recorded and resolved disputes. 50% of conciliations settlement agreement concluded within 60 days 100% investigations finalsed within 30days 50% of adjudication awards issued within 90 days Monthly and quarterly reports submitted by 5 th of every month 50% of conciliations settlement agreement concluded within 60 days 100% investigations finalsed within 30days 50% of adjudication awards issued within 90 days Monthly and quarterly reports submitted by 5 th of every month 50% of conciliations settlement agreement concluded within 60 days 100% investigations finalsed within 30days 50% of adjudication awards issued within 90 days Monthly and quarterly reports submitted by 5 th of every month 50% of conciliations settlement agreement concluded within 60 days 100% investigations finalsed within 30days 50% of adjudication awards issued within 90 days Monthly and quarterly reports submitted by 5 th of every month

21. NDHS: Programme: Strategic Objective 2: Taking Custody and Control of Schemes Governance Documentations (incl Doc Man Systems) No Key Result Area Indicator/ Measures OutputsBase lineTarget Key Activities2014/152015/16Q1Q2Q3Q4 SO2 Take-over the management of existing schemes governance documentatio n from the Dept of Rural Development & Land Reform and other institutions. Develop an MOU for take over. n/a2.1 Board approved MOU for take over. Develop an MOU/ Inter ministerial agreement for take over draft. Approval of MOU/ Inter ministerial agreement by Board. Report on take over and implementatio n of the MOU. Take over of CS governance documentation on- going. n/a 2.2 Ensure state of readiness at CSOS for governance database Engage officials to speed up process. Gain access to the governance. Migration process plan developed. Determine system to capture data. Appoint Service provider for the DMSystem Design and development of the DMS for testing and implementation. Control of schemes governance documentatio n Approved records management system, framework, policies, processes & procedures. Develop a schemes governance records management framework. Acquisition of an online Records Management system Approved and implemented records management system Develop the records management system. Report quarterly on the implementation of the records management system policies and procedures. Report quarterly on the implementation of the records management system policies and procedures Determine schemes governance documentatio n funding model Approved schemes governance documentatio n funding model. n/aDeveloped and approved schemes governance documentation funding model. Development of a funding model as well as costs per transaction. Approval of funding/costing model. Chief Ombud issue the tariffs to the public Income generated from sale of documents. Saturday, 12 March 2016

22. NDHS: Programme: Administration Strategic Objective 3: Ensure that CSOS is managed in and efficient and effective manner in a way that values its employees NoKey Result Area Indicator/ Measures OutputsBase lineTarget Key Activities2014/152015/16Q1Q2Q3Q4 SO3 Effective and efficient financial services Approved financial systems, controls and policies Develop all key financial policies, materiality framework, investment policy etc… Approved all financial policies and systems in place. Audited financial statements Financial policies implemented and complied with. Preparation and submission of financial statements Implement approved financial policies. Annual financial statements (AFS) prepared and submitted to ARCO, Board and Auditor General. Implement approved financial policies. Submit 1 st quarterly Financial Statements to ARCO and the Board. Implement approved financial policies. Submit 2 nd quarterly Financial Statements to ARCO and the Board Implement approved financial policies. Submit 3 rd quarterly Financial Statements to ARCO and the Board Approval of quarterly Approved quarterly reports Submission of 4 sets of quarterly reports Submission of 4 th quarterly report of 2014/15. Submission of 1 st quarterly report of 2015/16. Submission of 2 nd quarterly report of 2015/16 Submission of 3 rd quarterly report of 2015/16. Adequate secured funding for CSOS Approved funding Model and financial reviews Approved funding model Approved management accounts N/A Approved management accounts Funding model developed and approved Approved management accounts Funding model approved by the Minister Timely management accounts produced and submitted to EXCO, ARCO and the Board. Progress report on the approval by the Minister on the funding model Timely management accounts produced and submitted to EXCO, ARCO and the Board. Develop a CSOS funding model framework. Timely management accounts produced and submitted to EXCO, ARCO and the Board. Implement funding model approved by the Minister Timely management accounts produced and submitted to EXCO, ARCO and the Board. Provisioning of goods and services system is compliant. Approved SCM & Asset management policy. Approved SCM and Asset management policy. 100% compliant with SCM and Asset Management policy. Implement approved procurement plan, SCM and Asset management policy Risk identification and the mitigation thereof. Approved risk management policy/plan. Approved risk management framework, policy and plan (incl. risk register). Approved Risk management policy, framework & plan. Implemented approved Risk management policy, framework & plan. Assess and mitigate 25% risk register. Assess and mitigate 25% risk register Assess and mitigate 25% risk register. Assess and mitigate 25% risk register and review the risk management plan.

23. NDHS: Programme: Administration Strategic Objective 3: Ensure that CSOS is managed in and efficient and effective manner in a way that values its employees NoKey Result Area Indicator/ Measures OutputsBase lineTarget Key Activities2014/152015/16Q1Q2Q3Q4 SO3 Effective Board governance. 4 Board meetings held per annum. Hold 4 x Board meetings 4 Board meetings heldQuorate Board meetings x 4 per annum 1 Board meeting held Hold x 8 committee meetings 16 committee meetings heldCommittee meetings held x 4 Annual Board Calendar approved Approved reviewed annual Board calendar Board calendar developed and approved n/a Review the annual Board calendar Effective Board administrative processes and reporting Annual Strategy and APP developed and submitted to Board EA. Strategic plan and draft APP developed 2 nd Draft Strategic plan and APP submitted to Board and EA. 3 rd Draft Strategic plan and APP submitted to Board and EA. Approved strategic and APP by EA. Quarterly management reports produced approved and submitted to EA Quarterly management report approved and submitted to EA. Approved annual budgetVariance reports completed. Budgeting cycle reviewed. Annual budget completed approved and submitted to NT and EA. Variance reports completed. Variance reports completed. Annual budgetary review. Variance reports completed. Adequate HR capable of executing the mandate of the CSOS Approved HR resourcing plan, budget and org structure Adequate HR capable of executing the mandate of the CSOS Org structure approved. Remaining provincial and head office staff employed Vacant positions advertisedRecruitment process on-going Scheduled vacant posts all filled in three provinces. HC conditions of service (COS) policy approved Implement all HC policies100% compliance with all HC policies. Performance contracts in place for all staff. Performance assessments for all staff Approved and implemented Education and training programme Number of training programmes approved Approved and implemented Education and training programme N/ADevelop, approve and roll out the CSOS public education & training plan. Train management agencies and body corporates to set a baseline Develop the CSOS training module. Approved training plan and modules. Roll out Training to 3 stakeholder groups as well as internal staff. Train identified management agencies and body corporates. Train CSOS adjudicators and conciliators. Train identified management agencies and body corporates. Train CSOS adjudicators and conciliators. Train identified management agencies and body corporates. Train CSOS adjudicators and conciliators. Train identified management agencies and body corporates. Train CSOS adjudicators and conciliators. Implemented Human Resource Development plan. Train all staff according to the HRD plan. Quarterly training for staff conducted. Annual Training report submitted to appropriate SETA. Quarterly training for staff conducted.

24. NDHS: Programme: Administration Strategic Objective 3: Ensure that CSOS is managed in and efficient and effective manner in a way that values its employees No Key Result Area Indicator/ Measures OutputsBase lineTarget Key Activities2014/152015/16Q1Q2Q3Q4 SO3 Provisioning of legal services Legal drafting of all notices and regulations in terms of the CSOS ACT Provision of legal advice Contract management services for CSOS. Compliance on issuance of legal notices. Ensure 100 Compliance with and Provide assistance with the administration of the CSOS Act Legal advice [provided timeously Contracts and Service Level Agreements concluded timeously Ensure CSOS complies with all contractual obligations. Draft Notices and Regulations in terms of the CSOS Act submitted to the Adjudicator General within 30days Provide legal advice upon request within 14 days Draft contracts and Service level agreements and submit timeously Monthly and quarterly review of CSOC contracts and ensure that it complies with its contractual obligation Draft Notices and Regulations in terms of the CSOS Act submitted to the Adjudicator General within 30days Provide legal advice upon request within 14 days Draft contracts and Service level agreements and submit within 7 days Monthly and quarterly review of CSOC contracts and ensure that it complies with its contractual obligation Draft Notices and Regulations in terms of the CSOS Act submitted to the Adjudicator General within 30days Provide legal advice upon request within 14 days Draft contracts and Service level agreements and submit within 7 days Monthly and quarterly y review of CSOC contracts and ensure that it complies with its contractual obligation Draft Notices and Regulations in terms of the CSOS Act submitted to the Adjudicator General within 30days Provide legal advice upon request within 14 days Draft contracts and Service level agreements and submit within 7 day Monthly and quarterly review of CSOC contracts and ensure that it complies with its contractual obligation Draft Notices and Regulations in terms of the CSOS Act submitted to the Adjudicator General within 30days Provide legal advice upon request within 14 days Draft contracts and Service level agreements and submit within 7 days Monthly and quarterly review of CSOC contracts and ensure that it complies with its contractual obligation Draft Notices and Regulations in terms of the CSOS Act submitted to the Adjudicator General within 30days Provide legal advice upon request within 14 days Draft contracts and Service level agreements and submit within 7 days Monthly and quarterly review of CSOC contracts and ensure that it complies with its contractual obligation

25. NDHS: Programme: Administration Strategic Objective 3: Ensure that CSOS is managed in and efficient and effective manner in a way that values its employees NoKey Result AreaIndicator/ Measures OutputsBase line Target Key Activities2014/152015/16Q1Q2Q3Q4 SO3 Effective Communication, Marketing and S// management Approved Marketing and Communication framework Develop the marketing and communications framework Marketing and Communications Manager appointed. Launch concept paper presented to NDHS task team. Approved marketing and communications framework Develop the Marketing and Communications CSOS framework. Formal launch (kick off) of the CSOS. (Proclamation of the regulations). Implement the Marketing and Communications CSOS framework Assess customer awareness and positioning of CSOS. Approved S/H management framework Develop the S/H management framework n/a Approved and implemented S/H management framework Develop the CSOS stakeholder framework with stakeholder inputs. Implement the CSOS stakeholder framework with stakeholder inputs. Approved Customer care framework Develop the Customer Care framework n/a Approved and implemented Customer Care framework. Develop the Customer Care framework. Implement the Customer Care framework. Customer satisfaction survey conducted. Approved and implemented Guidelines on the Promotion of Good Governance of Community Schemes Approved guidelines Develop and approve guidelines on Promotion of Good governance of Community Schemes. Develop guidelines on Promotion of Good governance of Community Schemes Board approved guidelines on Promotion of Good governance of Community Schemes Implement and train body corporates and management agencies on the CSOS guidelines on Promotion of Good governance f Community Schemes. Functional community schemes database for SA Approved community schemes database and system Effective and smooth running Community Schemes database n/a Designed and implemented community schemes database Scoping and business requirements assessment conducted Procure the database system Data cleansing and capturing. Evaluate the content and scope of all data. Provision and maintenance of the information technology required for CSOS to deliver effectively on its mandate. Approved functional IT plan Approved IT policies Board approved functional IT plan and governance framework. Compliance to the CGCIT guideline. Develop an IT governance framework and IT plan. Compliance to the CGCIT, Procure an ERP system Implement and go live on the CSOS ERP. Produce monthly BI reports and dashboards or the CEO and management.

26. NDoHS: Programme: Administration Strategic Objective 4: Manage the Sectional Titles Schemes Management Act as provided by the STSMA Act. NoKey Result Area Indicator/ Measures OutputsBase lineTarget Key Activities2014/152015/16Q1Q2Q3Q4 SO4 Ensure compliance with the management of the Sectional Titles Management Act Approved Code of Conduct Developed and approved Code of Conduct. Approved Code of Conduct. Popularise and implement Code of Conduct. Roll out approved training and capacity building training for sectional titles management agencies. Register all identified management agencies. Registration of all management agencies on the CSOS database. n/aRegister all identified management agencies. Set annual targets for registration numbers Achieve target of 20% registered Achieve target of 30% registered Achieve target of 50% registered Fully functional and established Advisory Council. Ministerial appointment of an Advisory Council. n/aAppointment of an advisory council concluded. Developed Terms of Reference (Charter) for the functioning of the Advisory Council. n/a Ministerial jurisdiction n/a Provision of administrativ e support to the Advisory Council. Manage the Advisory Council in an efficient and effective manner with an approved budget. n/aEffectively and efficiently managed Advisory Council chaired by the Chief Ombud. n/aAdvisory Council convened twice per annum. n/aAdvisory Council convened twice per annum. Document discretionary powers of the Chief Ombud. Unpack discretionary powers of the Chief Ombud. n/aDiscretionary powers of Chief Ombud documented. Unpack and define the discretionary powers of the Chief Ombud. Chief Ombud publishes practice notes Unpack and define the discretionary powers of the Chief Ombud. Chief Ombud publishes practice notes

27. Risk Register and Mitigation Plan Saturday, 12 March 201627

28. Saturday, 12 March 201628 RISK IMPACT PROBABILITYGROSS RISK MITIGATION IMPACT PROBABILITYNET RISK Policy Alignment High Medium Medium  Good Governance  Transparency  Clear right of appeal Medium Low Low Regulatory Capture High Medium Medium  Good governance  Transparency  Clear right of appeal Medium Low Low Regulatory authority risk High Medium Medium  Standing regulations  Annual plans  Intervention authority in legislation  Annual MoHS approvals Low Low Low Governance risk High Medium Medium  Clear operating procedures  Standing Committees  Annual Reports Medium Low Low Operational Capacity Risk High High High  High-level recruitment  Competitive salaries and contract terms  Succession planning & training  Accessing international expertise Medium Low Low Systems Risk High Medium Medium  Appropriate IT systems  Legal software  Security systems  Backup system  Ongoing IT training Medium Low High Financial administration risk High Low Medium Operating procedures  Separate financial function  Annual independent audits  Audit and risk committees Low Low Low Financial sustainability risk High Medium Medium  3 year budgetary framework  Annual budgets  Annual plans  Ongoing monitoring of development cost and project and institutional cost parameters Medium Low Low Demand Risk (no uptake) High Medium  Existing demand  Effective communications  Sector engagement Medium Low Organizational support & development risk High Low Medium  Public tender for panel,  Quality control experts Medium Low

29. MEDIUM TERM EXPENDITURE FRAMEWORK OVERVIEW Saturday, 12 March 201629

30. Saturday, 12 March 201630 INCOME ACTUAL 31 DEC 2014 BUDGET 2014/15VARIANCE BUDGET 2015/16 BUDGET 2016/17 BUDGET 2017/18 BUDGET 2018/19 BUDGET 2019/20 ACTUAL BUDGET 2014/15Variance2015/162016/172017/182018/192019/20 INCOME RRRRRRRR Government grant funding 30 000 00040 000 00010 000 00039 521 00023 920 00029 484 000 31 400 46033 441 490 Community Scheme Levy Income ----9 515 6038 662 718 9 225 795 9 825 471 Dispute Resolution Service Income ---- 9 194 4049 496 00010 113 24010 770 601 Community Scheme Documentation Income -412 510 519 763537 482572 418609 626 Interest receivable 694 514--694 5141 100 0001 320 0001 580 0001 682 7001 792 076 Other income 5 674--5 674----- Total income R30 700 18840 412 5109 712 32241 033 51044 469 77049 760 200 52 994 61356 439 263 TRANSFER OUT Transfer Out – Dept. of Human Settlement 16 857 000- ----- Total Transfer Out 16 857 000- ----- EXPENSES Board Expenses 193 5531 443 0191 249 4651 587 3211 746 0531 920 658 2 045 5012 178 458 Staff Remuneration 2 272 84820 221 81017 948 96222 995 00025 103 00026 734 000 28 471 71030 322 371 Administrative Expenses 3 252 113`18 747 68115 495 56816 451 18917 620 71721 105 54222 477 40223 938 433 Total expenses 5 718 51540 412 51034 693 99541 033 51044 469 77049 760 20052 994 61356 439 263 MEDIUM TERM EXPENDITURE FRAMEWORK

31. Thank you Enkosi Siyabulela Questions Saturday, 12 March 2016 31