1. 1 SELECT COMMMITEE ON SOCIAL SERVICES 07 TH MAY 2013 BUDGET VOTE & ANNUAL PERFORMANCE PLAN 2013– 2014

2. 2 PRESENTATION STRUCTURE Part A  Introduction  Strategic Overview  Annual Performance Plan 2013/14  Performance and Expenditure trends Part B  Budget overview and allocation

3. 3 INTRODUCTION To present to the Select Committee the Department’s overview that encompass the vision, mission, mandate and strategic priorities. Strategic goals, objectives, high level outputs, performance indicators and annual targets. Provide detailed budget to support the implementation thereof. There presentation proceeds from the context drawn last week in terms of where we come from, the current mandates and the future outlook.

4. 4 Vision: A caring and integrated system of social development services that facilitates human development and improves the quality of life.

5. 5 STRATEGIC THRUST Mission To ensure the provision of comprehensive, integrated, sustainable and quality social development services and create an enabling environment for sustainable development in partnership with all those committed to building a caring society.

6. Situation Analysis – Diagnostic overview SA Population SA has a population of 51.7 million, of these 26.5 million are female and 25.1 million are male. Children 4,7% of children were double orphans, 11,1% paternal orphans, 3,3% maternal orphans and only one-third (32,6%) of children lived with both parents. A further 24,4% lived with neither their parents, 3,7% lived with their fathers, and 39,3% lived with only their mothers. About 8,1% of children lived in skip-generation households with their grandparents. 2/10/20166

7. Situation Analysis – Diagnostic overview Female headed households Females headed 37,5% of all households, the percentage seemed to increase with age, peaking at 54,7% for women in the age group 70 years and older. Approximately 7% of female-headed households were skip- generation households compared to 6% of male-headed households. The percentage of skip-generation households was even larger among older persons (15,8%). More than half (53,9%) of female-headed households were poor compared to 31,7 of male-headed households. 2/10/20167

8. Situation Analysis – Diagnostic overview Unemployment Unemployment rate at 29.8%. Women disproportionately affected by unemployment at 34.6% compared to their male counterparts at 25.6%. Many young people continue to be at risk of becoming unemployable and falling into chronic systemic poverty. Child poverty 65.1% of children live in households that fall into the bottom two income quintiles and that have a per capita income of less than R650 a month. 71,1% of black children lived in- low income households, compared to only 4,2% of white children. Approximately 35% of children lived in households without any employed members. 2/10/20168

9. Situation Analysis – Diagnostic overview Youth poverty 60,2% of youth in the age group 15–24 years lived in low- income households, 45,8% of older youth (aged 25–34 years) lived in low-income households. Similarly, 47,2% of households headed by youth aged 15–24 years experienced low incomes compared to 32,6% of households headed by older youth. More than one-half (55,5%) of households headed by younger youth did not contain any employed members compared to 19,5% of households headed by older youth. Older persons poverty A larger percentage of elderly-headed households reported hunger than households headed by individuals aged 18–59 years (12,9% compared to 11,1%). 2/10/20169

10. 10 NDP Macro Analysis

11. NDP proposals for DSD The NDP states that income through employment and social security is critical for improving living standards. This can be achieved through the determination of a minimum social floor below which no household should live. Calls for the creation of an inclusive social protection system & entrenchment of a social security system that protects working people (social insurance) and social assistance for the poor and other vulnerable groups such as children, the aged and people with disabilities. Calls for universal access for at least 2 years of Early Childhood Development. Nutrition intervention for pregnant women and young children. 2/10/201611

12. NDP proposals for DSD The strengthening of youth service programmes and the introduction of programmes that facilitate access to life-skills, training and entrepreneurship. The expansion of learnerships and the provision of training vouchers directly to job-seekers. 2/10/201612

13. DSD MEDIUM TERM STRATEGIC GOALS Reduce income poverty by providing social assistance to eligible individuals. Increase household food and nutrition security. Improve service delivery by standardising social welfare services [quality]. Prevent new HIV infections, address the structural and social drivers of HIV and tuberculosis, and mitigate the impact of those diseases. Create an enabling and conducive environment within which NPOs can operate. Improve the quality of and access to ECD services. Strengthen child protection services through the implementation of child care and protection measures. Reduce the demand for illegal and addictive substances within communities. Facilitate social change and sustainable development, targeting youths and adults in their communities. Create an enabling environment for the protection and promotion of older persons’ rights and people with disabilities. Strengthen families by providing comprehensive social services. 2/10/201613

14. DSD Strategic Priorities & Outcomes Improve the provision of Early Childhood Development Combat Substance Abuse Promote and protect older persons and people with disabilities Food and Nutrition Security Strengthen the Child Care & Protection as well as Youth Dev DSD Sector Priorities Alignment with Government Outcomes [1][2] [4] [1] [2][3] [2][1] [2][3] [1] [2][4] [7] Apex Priorities Education Fighting Crime and Corruption Jobs, Decent Work & Sustainable Livelihoods Health Rural Development Social Security including job creation remain a key catalyst to DSD priorities NPO support, Infrastructure Development, Customer care & Appropriate Service Delivery Model [Key Service Enablers]

15. PROGRAMME PERFORMANCE 15

16. PROGRAMME 1: ADMINISTRATION 16

17. Strategic, Risk and Business Processes 2/10/201617

18. Strategic, Risk and Business Processes 2/10/201618

19. Communication 2/10/201619

20. Entity Oversight 2/10/201620

21. Monitoring and Evaluation 2/10/201621

22. PROGRAMME 2: SOCIAL ASSISTANCE 22

23. 23 STRATEGIC OBJECTIVES Strategic ObjectivesHigh Level OutputsPerformance indicator Baseline 2013/14 Reduce poverty by providing income support to eligible individuals Social grants for eligible individuals Number of social grant beneficiaries Old age grant2 852 7472 930 177 War Veterans596477 CSG11 452 15211 698 536 Disability grant1 178 6641 179 852 Care dependency129 762135 347 Foster Care Grant601 074569 314 Grant-in-Aid68 01071 879

24. Performance and expenditure trends Child support and older person’s grant make up the bulk of expenditure on this programme, and reflect the government’s commitment to support the most vulnerable members of our society, namely children, the elderly and the disabled. The number of social grant beneficiaries increased from 15,2 million in March to more than 15,9 million at 31 December 2012, and are projected to increase to about 17,2 million by the end of March 2016. Spending increased significantly from 2009/10 to 2012/13, mainly due to the extension of the age limit for the child support grant to 18 years, and the equalisation of access to the older person’s grant at 60 years. In 2011/12, the asset and income threshold for the older person’s grant was increased as part of a broader social security reform process. Greater awareness is being generated on the grant-in-aid and care dependency grant, and expenditure is therefore projected to increase over the current MTEF period. 24

25. PROGRAMME 3: SOCIAL SECURITY POLICY AND ADMINISTRATION 25

26. 26 STRATEGIC OBJECTIVES Social Security Policy Development Strategic ObjectivesHigh Level Outputs Performance indicator Baseline 2013/14 To create an effective and efficient social security system Adherence to norms and standards for the social assistance programme Level of adherence to norms and standards for the social assistance programme One oversight report Produce 4 oversight reports on adherence to norms and standards for social assistance programme Improved administration of and access to social grants Discussion paper on the removal of social grant means test Research on the impact of social grants Annual survey report on social assistance services Provide uniform and coherent information on social expenditure Annual survey report on social assistance No baseline Publish and launch the Social Budget Bulletin Information on social expenditure and revenue Publication of Social Budget Bulletin No baseline Publish and launch the Social Security Review Social Security ReviewPublication of Social Security Review No baselinePublish and launch Social Security Review

27. Appeals Adjudication Inspectorate for Social Security 27 Strategic ObjectiveHigh Level OutputsPerformance Indicator Baseline 2013/14 Provide all applicants for and beneficiaries of social assistance with access to internal remedies Timely adjudication of social assistance appeals Percentage of appeals adjudicated within 90 days of receipt 45% of appeals (766 of 1672) adjudicated within 90 days of receipt Adjudicate 50% of appeals within 90 days of receipt Integrated Appeals Business Information System Appeals Business Information System Implement the Integrated Appeals Business Information System Strategic ObjectiveHigh Level OutputsPerformance Indicator Baseline2013/14 Establish an Inspectorate for Social Security to ensure the integrity of the social assistance framework and systems by March 2016 A functional Inspectorate Policy framework for social inspection No inspectorate for social security inspection Approve policy framework for social security inspection

28. Performance and expenditure trends Expenditure on appeals adjudication will also increase as we speed up the number of appeals adjudicated within 90 days to 65 per cent in 2015/16. The projected growth in expenditure on this programme over the MTEF period provides for the development of an integrated appeals business information system. 28

29. 29 PROGRAMME 4: WELFARE SERVICES POLICY DEVELOPMENT AND IMPLEMENTATION SUPPORT Service Standards Strategic Objectives High Level Outputs Performance indicator Baseline 2013/14 Improve the delivery of social welfare services Review of the implementation of the White Paper for Social Welfare Review report on the implementation of the White paper for Social Welfare White paper on social welfare services Social Welfare Services Framework Conduct the initial review of the welfare services in 2 provinces [KZN & EC] by 2013/14 Implementation of generic intervention processes in the Social Development Sector Number of provinces implementing generic intervention processes Generic intervention processes implemented in five provinces Monitor implementation of generic intervention processes all provinces Scholarship programme Number of scholarships awarded to social work students 4750 scholarships awarded Award 800 scholarships to social work students (raising total to 5 550) Assessment of the scholarships programme Assessment report on the scholarship programme No baselineDraft assessment report for the scholarship programme

30. Social Service Provider Management and Support 30 Strategic ObjectivesHigh Level Outputs Performance indicator Baseline 2013/14 Develop a regulatory framework for social service practitioners by March 2016 Professionalized and regulated social service practitioners Draft bill on Social Service practitioners Approved Policy on Social Service Practitioners Draft Bill for Social Service Practitioners Introduce an effective regulatory system for funded NPOs Implementation of the National Policy on Financial Awards to Service Providers (PFA) Monitoring reports from provinces Implementation Plan for the PFA Monitor the implementation of the PFA

31. 31 Older Persons People with Disabilities Strategic ObjectivesHigh Level Outputs Performance Indicator Baseline 2013/14 Create an enabling environment for the protection and promotion of rights of older persons Compliance of registered community based care services with norms and standards Number of CBC services assessed for compliance with norms and standards 14 Community Based Care Services 90 Community Based Care (10 per province) services assessed for compliance in terms of the norms and standards Compliance of registered residential care facilities with prescribed norms and standards Number of residential care facilities assessed for with prescribed norms and standards 412 residential facilities registered and 13 assessed for compliance with the norms and standards 108 (12 per province) residential care facilities assessed for compliance in terms of norms and standards Amendments to the Older Persons Act, 2006 Older persons Amendment Bill Older Persons Act Draft Older Persons Amendment Bill. [Clarify roles & responsibilities] Promote and protect the rights of people with disabilities Legislation on social development services to people with disabilities Draft Bill on social development services to people with disabilities Policy for providing social development services to people with disabilities Draft Bill on social development services to people with disabilities Norms and standards for residential facilities implemented Develop norms and standards for residential facilities Policy guidelines on residential facilities Norms and standards for residential facilities

32. Children 32 Strategic ObjectiveHigh Level Outputs Performance Indicator Baseline 2013/14 Improve the quality of Early Childhood Development (ECD) services by 2015 ECD policy developed and implemented ECD policy No baselinePolicy for ECD Implementation of Phase 1 of National Integrated Plan for ECD Phase 1 of national Integrated Plan for ECD No baseline Draft National ECD Integrated Plan (Phase 1)  Comprehensive package of ECD services  Human resource capacity for the ECD sector Departments  Capacity building on the National Education Learning Development standards( NELDS)and national curriculum for 0-4 years Comprehensive audit of ECD centres in all provinces Number of ECD centres audited 5487 ECD centres audited Conduct a comprehensive audit of 7513 ECD in all provinces

33. 33 Strategic ObjectiveHigh Level Outputs Performance Indicators Baseline 2013/14 Strengthen child protection services through the implementation of child care and protection measures by 2015 Improved access to child care and protection through adoption services Number of adoptions registered 2625 adoption cases registered Increase the number of children adopted by 10% Implementation of foster care project plan Reports on the implementation of the Foster Care Project Plan Foster care project plan Monitor the implementation of foster care project plan in 9 provinces Transformation plan for Child and Youth Care Centres (CYCCs) implemented Reports on the implementation of transformation plan for CYCCs Transformation Plan for CYCCs Monitor the implementation of the transformation plan of CYCC in 9 provinces Guidelines for the registration of Drop in Centres in terms of the Children’s Act Approved guidelines for the registration of Drop- in Centres in terms of the Children Act Draft Guidelines for the registration of Drop in Centres in terms of the Children’s Act Approval of the Guidelines for the registration of Drop-in centres in terms of the Children’s Act Employees working with children screened against the Child Protection Register (CPR) B Number of employees working with children screened against the CPR part B 10,000 employees screened Screen 30,000 employees working with children against CPR: Part B Amended Children’s ActChildren Act reviewedChildren’s Act Draft Bill on amendments to the Children’s Act ( Phase 1) Protect and improve the quality of life of orphaned and other vulnerable children through the Isibindi Model Implementation of the Isibindi Model monitored in provinces Monitoring reports on the implementation of the Isibindi Model Implementation Plan for the Isibindi Model Monitor the implementation of the Isibindi Model in provinces

34. Families 34 Strategic Objective High Level Outputs Performance indicators Baseline 2013/14 Strengthen families by providing comprehensive social service Implementation of the White Paper on Families Number of stakeholder capacitated on the White paper on families White Paper on Families implemented in all provinces Capacity building of stakeholders on the White Paper on families Increased capacity for implementing family development programmes Number of provincial stakeholders capacitated on family development programmes Approved Integrated Parenting Framework Capacity building on Fatherhood and Active Parenting programme for teenagers

35. Substance abuse 35 Strategic ObjectivesHigh Level Outputs Performance indicator Baseline 2013/14 Reduce the demand for substances in communities by providing prevention and treatment services Implementation of National Anti-Substance Abuse programme of action(POA) Implementation of the national Anti-Substance Abuse POA POA implemented by national departments Monitor implementation progress of the National Anti-Substance Abuse Programme of Action by 9 national departments Implementation of Prevention and Treatment of Substance Abuse Act No. 70 of 2008 and Regulations Number of stakeholders implementing the Act and Regulations Prevention and Treatment of Substance Abuse Act No. 70 of 2008 and Regulations not yet proclaimed and promulgated Capacity building of 120 stakeholders on the Prevention and Treatment for Substance Abuse Act No. 70 of 2008 and Regulations Implementation of the Comprehensive Social Mobilisation Strategy Number of Stakeholders Implementing the Social Mobilisation Strategy Approved National Drug Master Plan (NDMP) Approved Social Mobilisation Strategy Facilitate implementation of the social mobilisation strategy by capacitating 90 service providers NDMP, 2006-2011Review and monitor implementation of the NDMP

36. Social Crime Prevention and Victim Empowerment 36 Strategic ObjectivesHigh Level OutputsPerformance IndicatorBaseline 2013/14 Reduce the incidence of social crime through programmes, policies and legislation by March 2016 Implementation of Policy Framework on Accreditation of Diversion Services Quality Assurance panel members capacitated 63 Quality Assurance panel members identified under Regulation 32 of the Child Justice Act Capacity building of 63 Quality Assurance Panel members on the Policy Framework on Accreditation of Diversion Services Policy Framework implemented in the provinces for the Accreditation of Diversion Services Facilitate the implementation of the Policy Framework on Accreditation of Diversion Services Stakeholders capacitated on social crime prevention programmes Number of service providers implementing the Policy Framework for the Accreditation of Diversion Services 5 Therapeutic programmes developed 120 stakeholders capacitated on social crime Implementation of Integrated Social Crime Prevention Strategy Action Plan Number of stakeholders capacitated on social crime prevention programmes Integrated Social Crime Prevention Strategy Monitoring the implementation of Integrated Social Crime Prevention Strategy Action Plan

37. Improve victim empowerment services through programmes, policies and legislation by March 2016 Draft Bill on victim empowerment support services Number of service providers implementing the Social Crime prevention Strategy Action Plan All provinces and six national departments consulted Draft Bill on Victim Support Services Implementation of gender- based violence (GBV) prevention programs Number of stakeholders implementing the GBV prevention programme GBV Training Manual Monitor the implementation of gender- based violence prevention programs Implementation of Policy Framework for the accreditation of services and programmes for victims of human trafficking Policy framework for the accreditation of services and programmes for victims of human trafficking Draft Policy Framework for the accreditation of services and programmes for organisations rendering services to victims of human trafficking Policy Framework for Accreditation of services and Programmes for victims of Human Trafficking Improve interdepartmental coordination within the Victim Empowerment Programme sector Development of inter- sectoral strategy for VEP programme Intersectoral strategy of VEP National Policy Guideline for VEP Develop Inter-sectoral Strategy for VEP programme Development of VEP monitoring system VEP monitoring systemVEP baseline study and generic indicator set Develop the draft VEP M&E system 37

38. Youth HIV and AIDS 38 Strategic ObjectivesHigh Level OutputsPerformance Indicator Baseline 2013/14 Empower youths for sustainable development and social change More young people participating in youth development programmes Number of youth participating in dialogues 2747 youth participated in dialogues 3000 participating in dialogues Number of youth participating in mobilisation programmes 2000 youth participated in mobilization programmes 2500 participating in the youth mobilisation programme Youth skills development and employability Number of youth participating in skills development programmes 125 youth participating in skills development programme 450 youth participating in skills development programme Number of youths attending leadership camps 650 youth participated in youth leadership camps 1200 youths participate in leadership camps Youth forumsNumber of provisional youth forums established 3 provincial youth forums established Establish 3 provincial youth forums [FS,KZN &MP]

39. HIV and AIDS 39 Strategic ObjectivesHigh Level Outputs Performance IndicatorsBaseline 2013/14 Develop and facilitate implementation of social and behaviour change programmes Social and behaviour change programmes developed and implemented Number of youth reached through social and behaviour change programmes 500 000 youths reached Reach 500 000 youth Number of youth trained as groundBreakers (gBs) on social change and behaviour change programmes 532 ground breakers trained Train 540 ground breakers Number of youth trained as imPintshis to implement social and behaviour change programmes 2700 mPintshis trained Train 2700 mPintshis Number of organisation trained to implement social and behaviour change No baseline Train 450 organisations on social and behaviour change programmes Number of community conversations on HIV and AIDS facilitated 60 community conversations facilitated 64 community conversations facilitated Mitigate the psychosocial impact of HIV and AIDS and TB on targeted key populations Psychosocial Support Services (PSS) rendered to target groups PSS guidelines, curriculum and learner material No baseline Develop PSS guidelines, curriculum and learner materials Number of Training Service provides (TSP) trained in PSS No baseline Train 30 TSP Number of organisations trained in PSS No baseline Train 100 organisations on PSS Norms and standards for HCBS programme No baseline Develop service norms and standards and monitoring tool

40. HIV and AIDS continues 40 Strategic ObjectivesHigh Level OutputsPerformance Indicators Baseline 2013/14 Strengthen community- based systems Strengthened community based reporting Number of CBOs reporting in accordance with the community-bases M&E system Reports from 431 CBOs 1200 CBOs reporting CBO management capacity building programme implemented Number of CBOs trained on management capacity building programme 48 CBOS trained Train 120 CBOs Officials trained to manage the HIV and AIDS programme Number of officials trained on HIV and AIDS management programme Approved curriculum on HIV and AIDS management programme Train 90 officials on HIV and AIDS management programme Operational research reports on HIV and AIDS programmes Number of reasearch reports on HIV and AIDS programmes No baselineSituation Analysis report of HIV prevention programmes A report on the strategic review of the National Action Plan for children and other vulnerable children affected by HIV and AIDS Evaluation reports on HIV and AIDS programmes Impact evaluation report on the loveLife programme No baseline Draft evaluation report (LoveLife) Evaluation report on the HCBC programme No baselineFinal evaluation report (HCBC programme )

41. Performance and expenditure trends Most funds will continue to be disbursed to loveLIfe, enabling it to increase and extend its HIV/ AIDS awareness programmes, and on scholarship for social work students. By 2015/16, the number of students benefiting from these scholarship is expected to reach 6550. From 2009/10 to 2012/13, expenditure on social crime prevention and victim empowerment increased significantly in order to provide for the implementation of the Child Justice Act (2009). Similarly, expenditure on the Substance abuse sub programme increased in 2011/12 and 2012/13 in order to provide for the development of regulation under the Prevention and Treatment of Substance abuse Act (2008). Expenditure on goods and services increased substantially in 2011/12 and 2012/13, mainly due to additional allocations for an ECD audit and the establishment of system to facilitate the rollout of the Isibindi Model. 41

42. PROGRAMME 5: SOCIAL POLICY AND INTEGRATED SERVICE DELIVERY 42

43. STRATEGIC OBJECTIVES Special Projects and Innovation 43 Strategic ObjectivesHigh Level Outputs Performance Indicator Baseline 2013/14 Increase job opportunities, skills and income levels in the Social Development Sector Coordinated implementation of the Social Cluster Public Employment Programmes Number of jobs opportunities created through social development programmes 26462 job opportunities 33307 work opportunities [ECD & HCBC] across provinces Number of full-time Equivalents (FTEs) created through the Incentive grant 2908 Full Time Equivalents [ 1:230 days] 3199 FTEs Number of non-EPWP jobs created 26206 non-EPWPs jobs 27814 non-EPWPs [SASSA & NDA] Promote community driven development Integrated social services provided to communities Number of community works programmes (CWP) sites providing integrated DSD services No baseline Facilitate the provision of integrated DSD services to 9 CWP sites Number of Kwanda sites established 5 Kwanda sites [KZN] – Mthwalume [EC] Perfferville [LP] Lephalale [FS] Kwakwatsi [MP] Tjakastad 9 new Kwanda sites Provide social protection to military veterans Social protection provided to military veterans Number of DSD services provided to military veterans 3 services (Psycho social counselling, SRD and jobs) 5 DSD services

44. Registration and Monitoring of Non-Profit Organisations 44 Strategic ObjectivesHigh Level OutputsPerformance indicators Baseline 2013/14 Create an enabling environment for Non- profit Organisations Efficient registration system and regulatory framework for NPOs Percentage of NPO registration applications processed within two months of receipt 18448 applications received and 17573 of these processed within two months Process 90% of applications within two months receipt Percentage of NPO appeals adjudicated within three months 50% of appeals adjudicated within 3 months. Adjudicate 80% of NPO appeals within three months Policy framework on amending the NPO Act Approved policy framework for amending the NPO Act Draft Policy Discussion document Approved Policy for amending the NPO Act Improved NPO governance and compliance with the NPO Act Number of NPOs trained 1500 NPOs trained on governance and compliance with the NPO Act Train 2500 NPOs on governance and compliance with NPO Act Number of provincial officials trained 200 provincial officials trained on NPO governance and NPO Act Train 300 provincial officials

45. Community Development 45 Strategic ObjectivesHigh level output Performance Indicator Baseline 2013/14 Support and monitor the implementation of community development services and programmes Community Development services and programmes implemented Number of Community Development practitioners (CDPs) trained 1303 Community Development Practitioners (CDPs) trained Train 600 CDPs Number of CBOs trained on community development practise 886 Community Based Organisations trained on community development practice Train 400 CBOs on community development practice Community development qualifications implemented Number of institutions offering community development qualifications at NQF levels 5 and 8 NQF Level 4, 5, 8 Community Development National Qualifications Support institutions of higher learning to align their curriculum with Community Development national qualifications NQF Level 5 and 8 Household profiling reports Number of households profiled 200 000 households profiled Profile 300 000 Households Community mobilisation programmes facilitated Number of wards reached through mobilisation programmes 100 Wards reached Reach 200 Wards through mobilisation programmes Number of change agents in wards supported 1000 change agents in targeted wards Socio-economic support to 450 change agents in targeted wards

46. Create an enabling environment for community development practice Community Development Occupational Framework implemented Community development Occupational Framework Draft Community Development Occupational Framework Approval of the Community Development Occupational Framework Norms and Standards for Community Development developed Norms and standards for community development Discussion document on Norms and Standards Facilitate the development of Norms and Standards for Community Development Community Development Policy Framework implemented Community Development Policy Framework Draft Community Development Policy Framework Approval by MinMEC Facilitate and monitor the implementation of food security programmes 900 000 households accessing DSD food security programmes by 2015 Number of households accessing food security programmes 200 000 households accessing nutritious food Promote equitable access to food by 300 000 households Development of food bank networks Number of people accessing food through food banks 327 358 people access food through food banks 700 000 people to access food through food banks 46

47. Performance and expenditure trends Most spending on this programme in the current MTEF period will comprise transfers to the NDA, which is meant to support civil society organisations. Spending on community development will also increase significantly due to an additional allocation of R120 million to FoodBank South Africa, aimed at strengthening the Food for All programme. The programme is targeted to cover 3 million people experiencing food insecurity by 2015/16. The NPO summit and dialogues held in 2012/13 resulted in increased expenditure on goods and services items such as catering, venues, and advertising, as well as increased spending on the registration and monitoring of NPOs in 2012/13. 47

48. 48 Part B Financial Outlook Over the MTEF Section 1: National Perspective Section 2: Provincial Perspective 10 February 2016Select Committee

49. 49 Section 1 : National DSD Perspective 10 February 2016Select Committee

50. CHANGES TO BASELINE 50 MTEF ALLOCATIONS: 2013/14 - 2015/16 2013/142014/152015/16 R' 000 2012 MTEF ALLOCATIONS 120,907,796 130,076,220 136,059,726 Departmental baseline 120,907,796 130,076,220 136,059,726 ADDITIONAL FUNDS ALLOCATED TO BASELINE 35,630 47,192 1,962,642 Improvement in conditions of service: Department 5,630 7,192 12,642 Social grants - - 1,900,000 FoodBank South Africa: Provision for food relief 30,000 40,000 50,000 ADJUSTMENTS TO BASELINE (SAVINGS) (451,826 ) (844,034 ) (412,268 ) Goods and services: Savings (9,872 ) (20,452 ) (31,970 ) Transfers and subsidies: (441,954 ) (823,582 ) (380,298 ) - Reduced allocation to NDA (1,814 ) (3,902 ) (6,241 ) - Reduced allocation to SASSA (115,324 ) (187,528 ) (235,782 ) - Reduced allocation to SASSA: Fraud Hotline function shift (4,816 ) (5,052 ) (5,284 ) - Reduced allocation to SASSA: Reprioritisation towards absorption of social work graduates (100,000 ) (104,900 ) (109,770 ) - Reduced allocation to Social Worker Scholarships: Reprioritisation towards absorption of social work graduates (20,000 ) (22,200 ) (23,221 ) - Reduced allocation to Social Assistance Grants (200,000 ) (500,000 ) 2013 MTEF ALLOCATIONS (Included in 2013 ENE) 1 120,491,600 129,279,378 137,610,100

51. EARMARKED ALLOCATIONS 51 2013/142014/152015/16 R' 000 Earmarked amounts South African Social Security Agency 6,311,048 6,577,589 6,840,486 - of which fraud investigations 70,581 75,416 78,885 Social Assistance Grants 113,006,841 121,482,101 129,493,278 ECD Audit 16,544 Social Work Scholarships 250,000 264,000 276,144 Establishment of Inspectorate 14,988 13,267 13,769 FoodBank South Africa: Provision for food relief 30,000 40,000 50,000 National Development Agency 171,713 178,337 184,381 LoveLife 48,100 50,986 53,331

52. 52 ALLOCATION PER PROGRAMME Programme 2012/132013/142014/152015/16 R'000 P1: Administration255,277264,003278,829293,281 P2: Social Assistance104,887,916113,206,841121,982,101129,493,278 P3: Social Security Policy and Administration6,308,7006,467,9206,732,5406,970,845 P4: Welfare Service Policy Development and Implementation Support513,824513,105525,749545,725 P5: Social Policy and Integrated Service Delivery251,044289,731310,159326,971 TOTAL112,216,761120,741,600129,829,378137,630,100

53. BUDGET ALLOCATIONS R’000 53 7.3%

54. ALLOCATION PER SUB PROGRAMME 54 P2: Social Assistance Subprogramme Adjusted appropriation Medium-term expenditure estimate R thousand2012/132013/142014/152015/16 Social Assistance (Transfers to Households) 104,887,916113,206,841121,982,101129,493,278 Total 104,887,916113,206,841121,982,101129,493,278

55. ALLOCATION PER SUB PROGRAMME 55 P3: Social Security Policy and Administration Subprogramme Adjusted appropriation Medium-term expenditure estimate R thousand2012/132013/142014/152015/16 Social Security Policy Development 49,740 56,112 51,226 53,707 Appeals Adjudication 38,179 45,621 48,322 51,062 Social Grants Administration 6,053,0266,290,4676,552,1736,781,601 Social Grant Fraud Investigations 66,744 70,581 75,416 78,885 Programme Management 8,971 5,139 5,403 5,590 Total 6,216,6606,467,9206,732,540 6,970,845

56. ALLOCATION PER SUB PROGRAMME 56 P4: Welfare Services Policy Development and Implementation Support Subprogramme Adjusted appropriation Medium-term expenditure estimate R thousand2012/13 2013/142014/152015/16 Service Standards 20,381 25,250 26,172 25,503 Substance Abuse 13,993 11,440 12,561 12,620 Older Persons 15,016 10,058 12,016 11,087 People with Disabilities 8,631 9,907 10,343 10,921 Children 76,452 65,511 51,825 52,808 Families 7,757 7,714 8,057 8,516 Social Crime Prevention and Victim Empowerment 38,459 39,541 42,011 44,213 Youth 9,314 6,657 6,968 7,369 HIV and AIDS 70,864 77,076 81,354 85,488 Social Workers Scholarships 256,000 250,000 264,000 276,144 Programme Management 8,181 9,951 10,442 11,056 Total 525,048 513,105 525,749 545,725

57. ALLOCATION PER SUB PROGRAMME 57 P5: Social Policy and Integrated Service Delivery Subprogramme Adjusted appropriation Medium-term expenditure estimate R thousand2012/13 2013/142014/152015/16 Social Policy Research and Development 5,866 6,468 6,686 7,043 Special Projects and Innovation 6,965 7,762 8,375 8,523 Population Policy Promotion 22,422 24,494 26,298 25,435 Registration and Monitoring of NPOs 22,992 19,308 20,204 20,379 Substance Abuse Advisory Services and Oversight 4,859 6,343 6,369 6,550 Community Development 28,930 50,630 60,856 71,479 National Development Agency 166,263 171,713 178,337 184,381 Programme Management 1,956 3,013 3,034 3,181 Total 260,253 289,731 310,159 326,971

58. 58 ALLOCATION PER ECONOMIC CLASSIFICATION Economic Classification 2012/132013/142014/152015/16 R'000 Compensation of Employees307,718340,672358,829383,730 Goods and Services319,090297,736290,190289,704 Transfer and Subsidies111,583,230120,096,780129,173,661136,949,660 Payment for Capital Assets6,7236,4126,6987,006 TOTAL112,216,761120,741,600129,829,378137,630,100

59. 59 DETAILS OF TRANSFERS AND SUBSIDIES Transfers and Subsidies 2012/132013/142014/152015/16 R'000 Social Assistance Transfers 104,887,916 113,006,841 121,482,101 129,493,278 South African Social Security Agency 6,200,270 6,311,048 6,577,589 6,840,486 Social Workers Bursaries 256,000 250,000 264,000 276,144 Lovelife 45,600 48,100 50,986 53,331 National Development Agency 166,263 171,713 178,337 184,381 Food Bank 31,000 41,000 51,046 National Councils 20,457 21,487 22,778 23,826 TOTAL 111,576,506 119,840,189 128,616,791 136,922,492

60. 60 Section 2 : Provincial DSD Perspective 10 February 2016Select Committee

61. DETAIL PER PROVINCE 10 February 201661Select Committee PROVINCES 2009/10 2010/11 2011/122012/13 2013/14 2014/15 2015/16 R 000'sAudited Adjusted appropriation Medium-term estimates EASTERN CAPE 1,434,148 1,563,854 1,691,851 1,778,308 2,015,205 2,135,923 2,248,398 FREE STATE 665,732 712,546 803,679 871,122 951,229 985,160 1,032,204 GAUTENG 1,896,518 1,933,115 2,351,013 2,543,918 2,896,320 3,493,069 3,947,558 KWAZULU NATAL 1,361,280 1,451,284 1,827,498 2,062,167 2,325,185 2,446,515 2,606,245 LIMPOPO 773,272 1,003,859 1,162,397 1,193,183 1,377,843 1,477,114 1,578,361 MPUMALANGA 721,452 820,429 927,196 924,261 1,154,294 1,224,170 1,331,237 NORHTERN CAPE 420,016 478,233 522,687 531,995 603,823 633,888 672,631 NORTH WEST 607,622 747,501 883,010 963,326 1,082,129 1,187,153 1,268,259 WESTERN CAPE 1,165,389 1,222,183 1,317,003 1,409,712 1,577,602 1,703,928 1,819,415 TOTAL 9,045,429 9,933,004 11,486,334 12,277,992 13,983,629 15,286,920 16,504,308

62. ALLOCATION PER PROGRAMME 10 February 201662Select Committee PROGRAMMES 2009/10 2010/11 2011/122012/13 2013/14 2014/15 2015/16 R 000'sAudited Adjusted appropriation Medium-term estimates ADMINISTRATION 1,929,261 2,117,619 2,183,255 2,237,842 2,375,052 2,519,778 2,632,096 SOCIAL WELFARE SERVICES 6,177,425 6,836,775 8,106,896 8,818,883 10,144,153 11,179,098 12,172,240 DEVELOPMENT AND RESEARCH 938,501 969,875 1,188,767 1,211,351 1,454,038 1,577,284 1,689,156 SPECIAL PROGRAMMES - 7,398 5,826 8,263 8,643 8,940 8,977 Direct charges 242 1,336 1,589 1,653 1,743 1,820 1,839 Total 9,045,429 9,933,004 11,486,334 12,277,992 13,983,629 15,286,920 16,504,308

63. SPLIT PER ECONOMIC CLASSIFICATION 10 February 201663Select Committee

64. ALLOCATION PER ECONOMIC CLASSIFICATION 10 February 201664Select Committee ECONOMIC CLASSIFICATION 2009/10 2010/11 2011/122012/13 2013/14 2014/15 2015/16 R 000's AuditedAdjusted appropriation Medium-term estimates Current payments 4,961,974 5,458,533 6,393,569 7,108,109 7,827,898 8,595,013 9,316,881 Compensation of employees 3,233,261 3,866,558 4,557,207 5,198,767 5,865,289 6,457,510 7,055,675 Goods and services 1,727,517 1,589,244 1,835,321 1,909,158 1,962,609 2,137,503 2,261,206 Interest and rent on land 1,196 2,731 1,041 184 - - - Transfers and subsidies 3,543,498 3,955,975 4,577,978 4,461,224 5,458,972 5,940,183 6,431,546 Provinces and municipalities 20,625 35,850 681 4,375 1,663 1,750 1,831 Departmental agencies and accounts 632 637 8,946 1,660 1,763 1,832 1,918 Universities and technikons 1,835 2,242 1,326 2,635 2,917 3,064 3,203 Public corporations and private enterprises - 9,619 8,560 - - - - Non-profit institutions 3,376,713 3,744,653 4,400,161 4,376,844 5,365,884 5,839,763 6,337,841 Households 143,693 162,974 158,304 75,710 86,745 93,773 86,753 Payments for capital assets 504,165 503,100 512,216 708,601 694,904 751,724 755,882 Buildings and other fixed structures 407,593 382,129 378,627 564,883 486,899 599,520 599,786 Machinery and equipment 94,146 117,381 129,356 134,682 200,588 146,327 149,950 Land and sub-soil assets - 38 - - - - - Software and other intangible assets 2,426 3,552 4,233 9,036 7,417 5,877 6,146 Payments for financial assets 35,792 15,397 2,571 58 1,855 - - Total economic classification 9,045,429 9,933,004 11,486,334 12,277,992 13,983,629 15,286,920 16,504,308

65. COMPENSATION OF EMPLOYEES 10 February 201665 Annual Average increase of 13.95% Select Committee

66. COMPENSATION OF EMPLOYEES 10 February 201666Select Committee PROVINCES 2009/10 2010/11 2011/122012/13 2013/14 2014/15 2015/16 R 000'sAudited Adjusted appropriation Medium-term estimates EASTERN CAPE 581,187 695,269 842,319 964,154 1,058,754 1,169,253 1,282,265 FREE STATE 270,188 311,014 364,107 405,791 445,862 472,013 500,570 GAUTENG 585,916 639,942 743,797 797,960 930,904 1,107,801 1,284,721 KWAZULU NATAL 510,861 574,516 692,529 875,010 998,554 1,079,651 1,181,803 LIMPOPO 284,825 399,707 510,050 585,642 655,551 722,557 770,769 MPUMALANGA 276,842 323,848 361,114 398,203 457,563 472,492 512,970 NORHTERN CAPE 177,658 201,107 222,208 240,427 261,033 278,904 296,452 NORTH WEST 210,490 352,128 422,271 482,291 535,765 597,271 637,749 WESTERN CAPE 335,294 369,027 398,812 449,289 521,303 557,568 588,375 TOTAL 3,233,261 3,866,558 4,557,207 5,198,767 5,865,289 6,457,510 7,055,675

67. COMPENSATION OF EMPLOYEES The allocation for compensation of employees (CoE) increase from R3.233 million in the 2009/10 financial year to R7.056 million in the 2015/16 financial year. The annual average increase for compensation of employees is 13.95%. The main reasons for the increases are: -General salary improvements (carry-through cost of wage agreement). -Appointment of social work graduates and appointment community development practitioners. -Employment of social professionals in the field of social work, probation services, child and youth care workers, management and support staff. 10 February 201667Select Committee

68. GOODS AND SERVICES 10 February 201668 Annual Average increase of 4.8% Select Committee

69. GOODS AND SERVICES 10 February 201669Select Committee PROVINCES 2009/10 2010/11 2011/122012/13 2013/14 2014/15 2015/16 R 000'sAudited Adjusted appropriation Medium-term estimates EASTERN CAPE 287,981 285,009 267,951 285,159 263,553 342,892 346,245 FREE STATE 93,675 84,581 87,112 68,825 88,097 92,446 101,522 GAUTENG 296,788 222,226 324,168 334,673 327,245 388,221 429,455 KWAZULU NATAL 349,147 272,666 340,591 386,161 417,508 433,036 467,105 LIMPOPO 170,426 154,786 159,394 162,365 156,495 164,109 173,036 MPUMALANGA 127,415 130,339 147,731 154,500 190,099 172,919 178,890 NORHTERN CAPE 109,932 131,699 140,479 129,499 146,711 153,542 160,756 NORTH WEST 143,336 165,752 221,893 223,838 224,276 237,392 243,939 WESTERN CAPE 148,817 142,186 146,002 164,138 148,625 152,946 160,258 TOTAL 1,727,517 1,589,244 1,835,321 1,909,158 1,962,609 2,137,503 2,261,206

70. GOODS AND SERVICES The budget allocation for Goods and Services increase from R1.728 million in 2009/10 to R2.261 million in the 2015/16 financial year. The annual average increase in goods and services is 4.8%. The main reason for the slow grow is the decision by Cabinet to reduce baseline allocations (e.g. travel and accommodation, consultancies, hiring of venues, telephone costs, etc.) over the MTEF period. 10 February 201670Select Committee

71. TRANFERS AND SUBSIDIES 10 February 201671 Annual Average increase of 10.71% Select Committee

72. TRANSFERS AND SUBSIDIES 10 February 201672Select Committee PROVINCES 2009/10 2010/11 2011/122012/13 2013/14 2014/15 2015/16 R 000'sAudited Adjusted appropriation Medium-term estimates EASTERN CAPE 520,409 530,685 522,414 459,739 557,985 554,518 547,307 FREE STATE 272,160 311,092 336,353 361,315 381,627 385,813 395,450 GAUTENG 877,971 991,391 1,191,887 1,288,595 1,586,237 1,831,996 2,096,803 KWAZULU NATAL 403,967 510,986 701,774 550,412 680,148 701,950 714,739 LIMPOPO 238,165 305,028 402,995 370,240 464,177 484,147 518,437 MPUMALANGA 261,473 318,899 339,951 289,764 419,260 495,617 551,377 NORHTERN CAPE 108,258 123,464 151,186 156,093 192,269 197,480 211,286 NORTH WEST 194,276 198,307 197,128 213,950 289,661 318,189 350,584 WESTERN CAPE 666,819 666,123 734,290 771,116 887,608 970,472 1,045,563 TOTAL 3,543,498 3,955,975 4,577,978 4,461,224 5,458,972 5,940,183 6,431,546

73. TRANSFERS AND SUBSIDIES The total budget over the MTEF growth significantly from R3.543 billion in the 2009/10 financial year to R6.431 billion in the 2015/16 financial year. The annual average increase in transfers and subsidies is 10.71 %. The factors contributed to the growth include policy changes that have impact on the provisioning of Social Welfare Services and National Priorities. The increase in expenditure is attributed to the implementation of Social Welfare legislation such as children’s Act and older person’s Act. 10 February 201673Select Committee

74. PAYMENT OF CAPITAL ASSETS 10 February 201674 Annual Average increase of 7.79% Select Committee

75. PAYMENT OF CAPITAL ASSETS 10 February 201675Select Committee PROVINCES 2009/10 2010/11 2011/122012/13 2013/14 2014/15 2015/16 R 000'sAudited Adjusted appropriation Medium-term estimates EASTERN CAPE 44,433 52,891 59,167 69,256 134,913 69,259 72,581 FREE STATE 12,753 5,817 14,870 35,191 35,643 34,888 34,662 GAUTENG 135,501 77,519 90,969 122,690 51,934 165,051 136,579 KWAZULU NATAL 83,641 84,092 91,714 250,584 228,975 231,878 242,598 LIMPOPO 79,856 144,338 89,772 74,936 101,620 106,301 116,119 MPUMALANGA 55,722 47,343 78,400 81,794 85,517 83,142 88,000 NORHTERN CAPE 23,838 20,686 8,557 5,734 3,810 3,962 4,137 NORTH WEST 59,520 31,315 41,183 43,247 32,426 34,301 35,987 WESTERN CAPE 8,901 39,099 37,584 25,169 20,067 22,942 25,218 TOTAL 504,165 503,100 512,216 708,601 694,904 751,724 755,882

76. PAYMENT OF CAPITAL ASSETS The budget allocation for the payment of capital assets increase from R504 million in the 2009/10 financial year to R756 million in the 2015/16 financial year. The annual average increase for payments of capital assets is 7.79%. The decreases is mainly due to: - The completion of service center building and infrastructure projects; and - Delays in the delivery of other capital assets (e.g. pool vehicles) In some provinces capital budgets is reduced in line with project requirements. 10 February 201676Select Committee

77. SUMMARY – P 1 : ADMIN 10 February 201677 Annual Average increase of 5.34% Select Committee

78. 10 February 201678 SUMMARY – P 1 : ADMIN Select Committee SUB PROGRAMMES 2009/10 2010/11 2011/12 Adjusted appropriation 2013/14 2014/15 2015/16 R 000'sAuditedMedium-term estimates OFFICE OF THE MEC 181,754 272,830 237,705 235,645 248,885 266,654 279,942 CORPORATE MANAGEMENT SERVICES 1,138,075 1,201,603 1,236,827 1,218,547 1,270,179 1,342,190 1,415,257 DISTRICT MANAGEMENT 609,432 643,186 708,723 783,650 855,988 910,934 936,897 Total 1,929,261 2,117,619 2,183,255 2,237,842 2,375,052 2,519,778 2,632,096

79. BUDGET ANALYSIS P 1 Admin The budget allocation for Programme 1: Administration increases marginally from R1.929 billion in the 2009/10 financial year to R2.632 billion in the 2015/16 financial year. The annual average increase in the allocation for Programme 1 is 5.34 %. The main reason for the slow grow is the decreases in baseline allocations. 10 February 201679Select Committee

80. SUMMARY – P 2 : WELFARE SERVICES 10 February 201680 Annual Average increase of 12.02% Select Committee

81. SUMMARY – P 2 : WELFARE SERVICES 10 February 201681Select Committee SUB PROGRAMMES 2009/10 2010/11 2011/12 Adjusted appropriation 2013/14 2014/15 2015/16 R 000'sAuditedMedium-term estimates Professional and administrative support 1,459,190 1,684,601 2,072,059 2,306,992 2,055,963 2,150,626 2,314,974 Substance abuse, prevention and rehabilitation 180,851 233,053 253,633 292,517 353,273 368,600 408,167 Care and services to older persons 718,583 750,472 885,151 832,903 874,044 971,785 1,050,337 Crime prevention and support 486,387 526,865 575,962 714,366 821,912 903,230 958,184 Services to persons with disabilities 316,322 354,024 404,168 440,110 459,469 486,210 520,257 Child care and protection services 2,207,847 2,444,271 2,884,878 3,162,134 4,331,153 4,987,787 5,546,317 Victim empowerment 69,394 101,893 121,765 132,690 234,170 263,013 278,194 HIV/AIDS 529,073 564,236 677,709 687,368 734,626 746,116 775,954 Care and support services to families 37,553 44,045 51,006 54,729 58,838 60,884 63,241 Social relief 172,225 133,316 180,565 195,074 220,706 240,846 256,615 Total 6,177,425 6,836,775 8,106,896 8,818,883 10,144,153 11,179,098 12,172,240

82. BUDGET ANALYSIS P 2 Welfare Services The budget allocations for Programme 2: Social Welfare Services increases significantly from R6.177 billion in the 2009/10 financial year to R12.172 billion in the 2015/16 financial year. The allocations for Programme 2 represent an annual average increase of 12.02%. The high increase is mainly due to -Provisions for national priorities (e.g. OSD for social workers, ECD, HCBC and Children in Conflict with the Law, Absorption of Social Work Graduates, Youth Care and Victim Empowerment). -The most allocated budget is Child Care and Protection services. 10 February 201682Select Committee

83. SUMMARY – P 3 : DEVELOPMENT AND RESEARCH 10 February 201683 Annual Average increase of 10.57% Select Committee

84. SUMMARY – P 3 : DEVELOPMENT AND RESEARCH 10 February 201684Select Committee SUB PROGRAMMES 2009/10 2010/11 2011/12 Adjusted appropriation 2013/14 2014/15 2015/16 R 000'sAuditedMedium-term estimates Professional and administrative support 339,919 385,883 514,660 550,938 583,964 626,057 666,351 Youth development 121,748 118,817 163,572 172,667 219,956 233,308 240,212 Sustainable livelihood 289,569 274,903 297,566 279,084 352,203 376,591 392,391 Institutional capacity building and support 151,883 144,218 166,996 160,444 241,767 281,293 327,045 Research and demography 19,223 27,180 28,863 31,051 36,084 38,932 40,976 Population capacity development and advocacy 16,159 18,873 17,112 17,167 20,064 21,103 22,181 Total 938,501 969,875 1,188,767 1,211,351 1,454,038 1,577,284 1,689,156

85. BUDGET ANALYSIS P 3 Development and Research The budget for Programme 3: Development and Research increased from R938 million in the 2009/10 financial year to R1.689 billion in the 2015/16 financial year. The budget allocations for Programme 3 represent an annual average increase of 10.57 %. The increase is mainly due to increased operational expenditure related to the Masupatsela Youth Pioneer Programme and provision for the appointment of Assistant Community Development Practitioners and other key personnel to improve service delivery at local level. New allocations relate to NGO support over the MTEF. 10 February 201685Select Committee

86. OVERALL CHALLENGES General Decrease of MTEF baseline allocations. Insufficient funds to provide for the absorption of Social Work graduates (CoS and Mainly Operational) and filling of critical vacant posts of social services professionals at different levels. Insufficient funds for the rapid expansion of services (increases in number of beneficiaries, areas, etc). Delays with transfer of funds to organisations due to administrative and compliance requirements. 10 February 201686Select Committee

87. 87 THANK YOU