1. HSDG Performance 2018/19FY

2. Presentation Outline 3. Approved Business Plan 2018/19 FY
1. Recap on 2017/18 FY
2. Previous Challenges & Implemented Interventions
3. Approved Business Plan 2018/19 FY
4. HSDG Allocation – 2018/19 FY
5. Quarterly Performance 2018/19 FY
6. Way Forward

3. PURPOSE OF THE PRESENTATION
The presentation serves to;
Appraise on progress relating to implementation of HSDG 2017/18 FY
Present progress on quarterly performance 2018/19 fy
Present performance at at Outline the impact of the plan on performance during the 2017/18 financial year.
To share Provincial Dept Performance Q1 & 2
To present a progress report on current performance by the Dept

4. Recap on 2017/18 Financial Year cnt…
The HSDG Budget allocation for 2017/18 financial year was R1,
A roll over budget of R86, 968, 000 was approved thus making the total budget to be R1,406, 461, 000.
An amount of R150m was withheld by National the remaining budget was R1, 256, 461, 000
With the balance of the budget, department was expected to deliver 9956 housing units and 5151 serviced sites as per the approved Business Plan for the year under review.

5. Recap on 2017/18 Financial Year cnt…
During the previous engagement with portfolio committee in September 2017, the expenditure was at 39% (R ).
Performance at that stage was 1339 sites and 5487 units
As at 31 December 2017 expenditure was at 59% (R746,065,000) including the approved roll over budget.
According Nat Dept figures of January 31st 2018, the Province performance was at 80% in terms of sites and units with an expenditure of 67% . This performance does not include the rolled over target of 939.
Expenditure as at the 31st of March 2018 was R1,256,461, translating to 100% of the available budget
Below is the detailed non-financial deliveries as at 31st March 2018

6. Recap on 2017/18 Financial Year cnt…
Rural housing – 1935 units completed, cumulative delivery = 8241
Rectification – 78 units completed, cumulative delivery = 385
Disaster/Emergency housing – 17 units completed, cumulative delivery = 393
Informal settlements upgrading – 1305 sites services, cumulative delivery = 3334
Total number of units delivered as at 31st March 2018 is 9132.
Total number of sites delivered as at 31st March 2018 is 3334.

7. Previous Challenges
The following are challenges that the department was faced with during 2017/18 FY:
Constant reallocation of projects without developmental areas.
None- appointments of service providers to implement IRDP.
Late appointment of service providers
Late approval of developmental areas
None application of consequence management for none performance of contractors
Poor Contract Management & Planning (Geotechs & Beneficiary Management)

8. Implemented Interventions 2017/18 FY
Development of a recovery plan/turn around plan focusing on the following:
Increasing HSDG expenditure through appointment of HDA high capacity contractors
Improving contracts management through continuous engagements with contractors and technical sessions
Improving contractors performance by applying a carrot and stick approach
Accelerating supply chain processes
The following are the interventions on Title deeds
Meetings arranged with affected municipalities and a follow up to get the clearance certificate signed
Ward councilors and committees are assisting in tracing approved beneficiaries, and announcement’s to be presented in three languages on the radio.
Meetings are arranged with affected municipalities to confirm the status of signing of transfer documents to be submitted to state attorney

9. Implemented Interventions 2017/18 FY cnt…
From the 1st February 2018 contractor to contractor cessions are no longer accepted unless they are material supply related and are approved by the Department.
The department is now allowing only 50% of geotechnical to be paid at foundation phase and the balance would be paid on completion of a housing structure.

10. Business Plan 2018/19 FY Sub Intervention Sites Units Title Deed New
Annual Budget
4.2 Rural Housing
6 071 R
2.2a IRDP: Phase 1: Planning and Services
1 313 R
2.2c IRDP: Phase 2: Top Structure Construction
300 R
2.3a People Housing Process
170 R
Sub-total
6 541 R
2.2b IRDP: Phase 1: Planning & services Informal Settlements
3 316 R
2.2d IRDP: Phase 2: Top Structure Construction Informal Settlements
594 R
2.4 Informal Settlements Upgrading R
Sub-Total R
1.2 Housing Finance Linked
100 R
3.3b Community Residential Units Constructed
215 R
1.8 Operational Capital Budget (4%) R
1.11a Land Parcel Procured R
1.7 Accredited Municipalities (Level 1 & 2) R
NHBRC R
4 629
7 450 R

11. HSDG Allocation – 2018/19 FY
The HSDG Budget allocation for 2018/19 financial year was R1, excluding title restoration grant allocation.
The expenditure as at October 2018 is R translating to 58% against the annual allocation.
The business plan targets for housing units for the current financial year is 7450.
There are currently 7449 units completed to date translating to more that 100% achievement
The planned target for services in 2018/19 financial year is 4629.
Only 1050 sites have been serviced to date translating to 23%

12. 2018/19 FY Business Planned Delivery Targets and Expenditure
Quarterly Targets 2018/19 FY
2018/19 FY Business Planned Delivery Targets and Expenditure
2018/19 FY
Quarter 1
Quarter 2
Yearly Plan Summary
Units
Sites
Budget
2026
1221
R ,00
2905
1829
R ,00
7450
4629
R ,00
Quarter 3
Quarter 4
1996
1201
R ,00
523
378
R ,00

13. Summary of Performance Title Deeds Restoration Programme: First & 2ND Quarter: 2018/19 FY
Programmes
Planned Target
01 April to 30 June 2018
Actual Performance
Actual : Expenditure
01 April to 30 June 2018
R’000
Sites
Units
Title Deeds
Title Deeds: Pre 1994 - 80 15
Title Deeds: Post 1994
768
895
946
Total
975
635
*New Indiv units consist of the following programmes: 1.1a Individual housing subsidies (R0 - R3 500) credit linked 1.1b Individual housing subsidies (R0 - R3 500) Non - Credit Linked 2.2a Integrated Residential Development Programme :Phase 1:Planning and Services 2.2c Integrated Residential Development Programme :Phase 2:Top Structure Construction 2.3a People's Housing process 2.5a Consolidation Subsidies (Excluding Blocked Projects) Farm Worker Housing Assistance Rural Housing 5. PRIORITY PROJECTS 6. PROVINCIAL SPECIFIC PROGRAMMES
*Other Programmes (not MTSF) consist of 1.5a Rectified RDP stock b Rectification of Housing Stock(pre 1994) 1.9 Blocked projects 1.12 Housing chapters of IDP's 2.1 Project Linked Subsidies(current commitments approved up to 31/03/07) 2.5b Consolidation Subsidies (Blocked Projects) 2.6 Emergency Housing Assistance 3.3a Community residential units (CRU) Converted/Upgraded , 1.3 Enhanced Extended Discount Benefit Scheme (EEDBS) 1.4 State Asset Maintenance Programme 1.6 Social and Economic Facilities 1.8 Operational Capital Budget 1.11a Land parcels procured(IHAHSD) , 1.10 NHBRC enrolment (related to grant) 3.2a Social Housing:operational support 1.7 Accredited Municipalities (level 1 & 2): .

14. Quarterly Performance 2018/19 FY
Progress Per Quarter 2018/19 FY
Programme
Quarter 1
Quarter 2
Units
Sites
Finances
Target
2026
1221
R ,00
2905
1829
R ,00
Actual Delivery
2892
834
R ,07
4004
216
R ,54
Shortfall
+866
-387
R ,93
+1099
-1613
R ,46
Performance %
143%
68%
83%
138%
12%
49%
SUMMARY OF PERFORMANCE BY END OF STEPTEMBER 2018
Units
Sites
Finances
Target
7450
4629
R ,00
Actual Delivery
6896
1050
R ,61
Shortfall
554
3579
R ,39
Performance %
93%
23%
40%

15. Work in progress as at 30 September 2018
Work In Progress 2018/19 FY Quarter 2
Programme
Fnds WP UT
17/18 Rural Housing A (14 - 69
120
222
17/18 Rural Housing B 67
103 16
17/18 Rural Housing C
606
986
917
17/18 Rural Housing D-U/T units
148
105
371
17/18 Rural Housing HDA (5000)
273
655
2438
17/18 Military Veterans
238
17/18 Emergency Housing 28
366
17/18 Rectifications 8
377
17/18 EPHP 5 44 51
Total
1204
2013
4996

16. Military Veterans programme
Backlog is 411
The Annual target for 2018/19 is 0 units: Delivery is 13 units.
Challenges
There has been gross under performance on the programme in the 2018/19 financial year that has seen only 3 units delivered in the financial year.
Interventions
Appointment of 5 service providers has been concluded for an allocation of 238 units. Beneficiary approvals are now at 63%.

17. Mining Towns & Services
4 Areas identified namely:
Elias Motsoaledi,
Fetakgomo-Tubatse 476
Thabazimbi, and,
Lephalale.
Challenges
Elias Motsoaledi and Fetakgomo- Tubatse did not have projects ready for services as township proclamation processes are still underway. The delay is as a result of authorisations from different departments e.g. LEDET with environmental Record of decision (ROD).
No appointment done as yet on Mogalakwena due to the municipality constantly changing development area
Interventions
Engineering firms are finalising designs for bulk infrastructure, appointment of contractors to be done by November 2018

18. Performance - HAD Projects
Funds transferred to HAD were used to deliver the following milestones:
2 692 housing units
1 850 serviced sites at Altoostyd – Lephalale
Bulk infrastructure at Altoostyd km of bulk water pipeline and 8.7 km of electrical over-headline were completed with associated infrastructure
250 temporary serviced sites at Bela-Bela, Warmbath ext 25
Marapong Community Residential Units (CRU) units are roofed, 229 units at foundation, 152 units at wall plate, electricity on 162 units.
Strategic Human settlements planning - Multi-Year Housing Development Plan (MYHDP), Provincial Master Spatial Plan (MSP), Informal Settlements Upgrading strategy, Rental Housing Strategy, Provincial Human Settlements Strategy and Land Acquisition Strategy
Human Settlements Programme Management - Municipal Accreditation Capacity and Compliance Reports, Projects’ and Programme Management Unit (PMU), township establishment in various areas, formalisation of informal settlements, feasibility studies, land holding as well as release of hectors of public land
Part of the funds were spent on project management fees which covers office overheads, wages and salaries

19. Performance - HAD Projects
Targets
The Business Plan for 2018/19 financial year for the HDA has the following delivery targets:
5000 housing units under rural housing programme,
215 units at Marapong CRU,
98 units under military veterans programme as well as land acquisition and human settlements progamme management and planning.
Non-financial Performance
Rural Housing units completed, with 712 units at wall plate and 325 units at foundation level
Marapong CRU - 50 units are roofed while 383 are at different construction stages (i.e. 234 foundations concrete and 149 wall plates),
Military veterans - 5 units are completed, 19 units are at foundation and 5 units are at preparation stage.
Human settlements programme management and planning - Survey and pegging at Ha-Mawasha, transfer of properties is under-way at Seshego F&H, township lay-out plans were developed for Altoostyd and Burgersfort extensions, 698 hectors of private land were identified and assessed and formalisation of informal settlements is under-way in 3 projects.
Financial performance
The opening cash balance into 2018/19 financial year was R318 981 777.
Total expenditure for 2018/19 financial year is R275 061  This figure includes invoices to the value of R55  that are yet to be paid to contractors.
The current cash balance as at 15 October 2018 is R43 919 866.

20. Performance of funds trasfered to HAD - 2015 to date
Performance of funds trasfered to HAD to date
Province: LIMPOPO
OPENING FUNDS BALANCE
RECEIVED FUNDS
PAYMENTS TO SERVICE PROVIDERS
PENDING PAYMENTS TO SERVICE PROVIDERS
TOTAL EXPENDITURE (payments + pending invoices)
AVAILABLE FUNDS (Pre-Interest)
% SPENT YTD
TOTAL AVAILABLE FUNDS (Incl. Interest)
Progress
MTOP
-R 594,106
R 0
R 7,370,552
-R 7,964,658
-1241%
See progress below
Bela Bela Warmbaths Ext.25
R 43,149,008
R 1,474,718
R 41,674,290 3%
R 61,695,900
No progress. Project on hold
Lephalale - Altoostyd
-R 2,010,134
R 3,021,953
-R 5,032,088
-150% -
Limpopo various areas-PMU
R 5,654,951
R 9,194,269
-R 3,539,318
163%
Disaster Housing
R 41,200,275 0%
0 units are completed, 12 units are at wall plate level and 18 units are at foundation
Enhance People Housing Programme (EPHP)
-R 447,728
Military Veterans
R 2,862,019
5 units are completed, 19 units are at foundation level
Marapong - CRU
R 61,870,873
R 31,720,591
R 30,150,282
51%
50 units are roofed 234 foundations concrete and 149 wall plates)
Rural Housing Programme
R 166,168,619
R 167,273,310
R 55,006,518
R 222,279,828
-R 56,111,209
134%
1775 units are completed, 712 are at wall plates and 325 at foundation
Geo Technical Investigations
R 1,128,000
Completed
TOTAL
R 318,981,777
R 220,055,393
R 275,061,911
R 43,919,866
86%
R 63,941,476

21. Current Performance as at 19 October 2018 - HSDG P
Item
ACTIVITIES PER PROGRAMME
Amended Allocation '000
Total Expenditure '000
Target Units
Delivered units
Target Sites
Delivered Sites
% Expenditure 1
Accredited Municipalities
R ,00
R ,00 -
100% 2
Housing Chapters of IDP R R 3
Land Parcel Procurement
R ,00 0% 4
Priority Projects 5
OPSCAP
R ,00
R ,19
51% 6
Rectification RDP Stock 36 7
Housing Finance Linked
R ,00
100 8
NHBRC Enrolment
R ,00
R ,82
18% 9
People Housing Process
R ,00
170 10
Emergency Housing Assistance
R ,00 11
Informal Settlement Upgrading
R ,00
R ,53
10% 12
Intergrated Res Develop Programme
R ,00
R ,89
894
4 629
1 050
16% 13
CRU
R ,00
R ,00
215 2% 14
Rural Housing
R ,00
R ,94
6 071
7 272
108% 16
EEEDBS
R ,00 17
Title Deeds Restoration Grant
R ,00
R ,71
35% 18
Military Veterans 19
EPWP
R ,00 20
Sub-total
R ,00 R
7 450
7 311
55%

22. 2018/19 Programme Challenges and Mitigations.
Item
ACTIVITIES PER PROGRAMME
Amended Allocation '000
CHALLENGES & MITIGATIONS 1
Accredited Municipalities
R ,00
There were delays in getting reports from the municipalities however this has been addressed and the HDA has claimed budget allocation and is to be paid by end of October 2018 2
Housing Chapters of IDP R 3
Land Parcel Procurement
R ,00
Delays in inputs from external stakeholders, a meeting with the Valuer General scheduled for the 17th of October 2018, expenditure anticipated in January 2018. 4
Priority Projects 5
OPSCAP
R ,00
Whilst expenditure was slow due to HDA underperformance, the HDA has submitted claims amounting to R21.2m for the MTOP, moreover CoGHSTA has appointed the PMU has since started claiming on the programme, the allocated budget to be exhausted in the fourth quarter. 6
Rectification RDP Stock
The current contractors implementing this programme are being paid through the Rural Housing programme. There is no planned units for the current financial year however the programme is being implemented. 7
Housing Finance Linked
R ,00
Availability of FLISP qualifying stock as well as approvals by bank on the programme. Engagement are underway in Mogalakwena and with mining houses to obtain stock as well as qualifying beneficiaries. 8
NHBRC Enrolment
R ,00 9
People Housing Process
R ,00
The implementation of EPHP is not being done this current financial year, the funds planned are transferred to the Rural Housing Programme and the two contractors appointed are being paid through the rural housing programme. 10
Emergency Housing Assistance 11
Informal Settlement Upgrading
R ,00
Late appointments of service providers as a result of challenges with SCM resulted in underperformance in the FY. The department has since appointed a contractor for 2000 sites and extended scope for 595 sites. It is also in the process of appointing for 2000 sites with the use of the Northern Cape Province Database 12
Intergrated Res Develop Programme
R ,00 13
CRU
R ,00 14
Rural Housing
R ,00
Although some of the contractors on site are showing remarkable improvement on their projects, there are still majority that have still not converted units and managed to delivery the required allocations. Contracts Review has been done on the contractors and measures are to be taken. 16
EEEDBS
R ,00 17
Title Deeds Restoration Grant
R ,00 18
Military Veterans
This programme is being implemented by the HDA as the agent. There has been appointments of contractors that has been done and are yet to take on site. No funds have been allocated as the contractors will be paid by/from the HAD account. 19
EPWP
R ,00 20
Sub-total
R ,00

23. Way Forward
The following measures have been put in place and are implemented:
CoGHSTA has since appointed 12 contractors to deliver 2700 units
The contractors are appointed to construct units in terms of the new design and quantum
In order to accelerate delivery, the 2700 units are allocated in clustered areas/green fields preferably the recently serviced for easy implementation i.e. Polokwane x78, and Modimolle and Bela-bela Ext.9.
It is expected that this will improve expenditure for the current financial year.
Scaling down and termination of 12 underperforming contractors has since been concluded.
These units will be reallocated to performing contractors on the current database.
On land purchase, a meeting has been arranged with the Valuer general to review the compiled report, expenditure is expected in January 2019.

24. Way Forward Appointment for 2 595 sites has since been concluded.
Another appointment for additional 2000 sites is currently underway through the utilization of the Northern Cape Database due to non responsive bid which has since been re-advertised.
Appointment of the implementing agent and contractors for the Tshikota CRU project is underway.
NHBRC enrolment for the 2700 units is underway.
Appointment of service providers to conduct geotechnical studies in identified developmental areas has been concluded
HDA has finalized appointment of professional teams for the mining towns projects and ensure that designs are finalized for appointment and implementation in the current financial year.
On the title deeds, evaluation and categorization of projects is underway.

25. The following should be noted:
Conclusion
The following should be noted:
2017/18 Performance FY
Quarterly Performance for 2018/19 FY
Current progress as at October 2018 and mitigations

26. THANK YOU