NATIONAL PORTFOLIO COMMITTEE OVERSIGHT VISIT PROGRESS REPORTKZN Human Settlements

08 AUGUST 2012

The National Human Settlements Portfolio Committee visited KwaZulu Natal Province and undertook field visits to various human settlements projects from 27 February 2011 to 04 March 2011.

The following district municipalities including the metro and local municipalities were visited by the Portfolio Committee: Ethekwini Metro : Cato Crest Project,

Transitional Camp with mobile ablution facilities, Howel Heights, Kenedy Road Informal Settlements, KwaMashu Hostel Upgrading Project, Emtshebheni Project, Namibia Stop 8 PHP Project. Meeting with leaders of Abahlali.

BACKGROUND

Sisonke District Municipality: Riverside Project, Clysdale Project (PHP).

Umgungundlovu District Municipality: Imbali 1 – Ward 19, Imbali Unit 13 – Phase 4, Meeting with Registrar of Deeds, Tamboville North East Sector, Impumelelo, France-Ward 13, Oribi.

Uthukela District Municipality: St Chads Project, Section E Slum Clearance, Thembalihle Disaster Project.

Amajuba District Municipality: Strijbank blocked project, KwaMathukuza Project.

BACKGROUND (Cont.)

Cato Crest Project: Construction of houses is underway. 620 units has already been built. Additional funding for double storey units is sourced from USDG. Department has started roll out of FLISP programme for GAP market and 5 % of the project is set aside for GAP market.

Transit Camp: The municipality has installed windows and cleared long grass in the area. Demarcated areas within the transit camp to be used as dumping points have been identified and 5 dumping points are made of blocks. Beneficiaries are now depositing refuse on designated spots and Durban Solid Waste collects refuse on a weekly basis.

Kennedy Road Informal Settlements: The upgrading of this informal settlement is linked to Cornubia development. Quite often the area is affected by fire disasters and the province together with Ethekwini municipality provides emergency assistance.

PROGRESS ON ETHEKWINI ISSUES

PROGRESS ON ETHEKWINI ISSUES Kwa Mashu Hostel Upgrade: Ethekwini is

managing the maintenance of the hostel. The Department provided funding for maintenance in all hostels including Kwa Mashu and maintenance is being undertaken.

Emtshebheni Project (Inanda): The actual name of this project is Amatikwe and is adjacent to Emtshebheni Project. Preliminary assessment has been done and in process of submitting formal assessment to NHBRC for rectification.

PROGRESS ON ETHEKWINI ISSUES Namibia Stop 8 PHP Project: Project

almost complete. Project won the Govan Mbeki award for PHP project. Model is to be replicated in other projects.

Cornubia: Phase 1A under construction. Internal services are 30% complete. 60 units completed. 135 units are at roof level. Occupation is targeted for January 2013. DOT is part of the project together with other service Departments.

SISONKE DISTRICT MUNICIPALITY ISSUESRiverside Project : Riverside Phase 1, construction of the 470 units is complete. Riverside Phase 2, Approval for the installation of bulks has been obtained from DWA. Sisonke District Municipality is currently finalising the designs and have started procurement processes. Clysdale Project (PHP): the installation of bulks is underway and is expected to be commissioned in October 2012, the funding for the rectification of the units would be provided for on completion of the Bulks by the Sisonke District.

SISONKE DISTRICT MUNICIPALITY ISSUES Ibisi Project: the installation of bulks is underway and is expected to be commissioned in October 2012, the funding for the rectification of the units would be provided for on completion of the Bulks by the Sisonke District

UMGUNGUNDLOVU DISTRICT MUNICIPALITY ISSUES Imbali 1 Ward 19: The issue regarding the

old lady living in the old office space with 9 children, the house was built in Edendale T2 Section and they are living there now.

Imbali Unit 13 Phase 4: The report regarding the payment issue to the contractor was compiled and submitted. However, the department have appointed the professional team to undertake detailed investigations to the project and a draft report has been compiled.

UMGUNGUNDLOVU DISTRICT MUNICIPALITY ISSUES Tamboville North East Sector: the

preliminary studies have been completed. Detailed planning to commence in October 2012. The layout will reserve the sites for social amenities such as schools and crèches. The uMsunduzi Municipality is currently providing temporary toilets and is cleaning them twice a week. The Municipality has also indicated that there are access roads to the informal settlement.

UMGUNGUNDLOVU DISTRICT MUNICIPALITY ISSUES Mpumelelo Project: The Umsunduzi

Municipality has finalized the designs for the installation of water borne sanitation for the community. ROD is expected to be issued by end of August 2012. Installation of services is expected to commence in January 2013.

UMGUNGUNDLOVU DISTRICT MUNICIPALITY ISSUES France Ward 13: This is part of the

Wirewall project. The Department appointed the team of professionals to undertake the detailed assessment of financial and Technical requirements. Report is expected in October 2012. Construction is expected to resume in December 2012.

UMGUNGUNDLOVU DISTRICT MUNICIPALITY ISSUES Oribi: The department is working with

Umsunduzi Municipality to formalize the township so that transfers can be effected.

St Chads Project: The Centre is safe guarded by the Municipality to prevent vandalism. The application of electricity is on hold pending contractual issues being finalized for the whole programme.

Section E Slum Clearance: The construction of 642 units replacing mud houses is complete. The Municipality has provided the stand pipes whilst the uThukela District is augmenting the bulks water supply. All units are enrolled with the National Home builders Registration Councils (NHBRC). Regarding issue of aprons, the department is considering the policy to include the aprons as part of the specification.

Thembalihle Disaster Project: The Municipality has identified a different piece of land where the people would be relocated. The identified

UTHUKELA DISTRICT MUNICIPALITY ISSUES

AMAJUBA DISTRICT MUNICIPALITY ISSUES:

Strijbank Blocked Project: the land issue has been resolved and the ownership has been transferred to the Provincial Government. Access roads have been upgraded.

Kwa Mathukuza Project: 504 units have been completed. NHBRC is involved for quality control. In commemoration of Woman’s Month 56 units will built for vulnerable beneficiary women.

ZULULAND DISTRICT MUNICIPALITY ISSUES

Incotshane Housing Project: The municipality have appointed the service provider to work on this project.

Ncotshane Housing Project: Department has taken role of Developer in this project. MEC has approved funds to unblock the project. Construction of houses is anticipated to start by November 2012.

Gumbi Low – Income Project: Community consultation has been completed. The Traditional Leadership also supports the project. The Department together with the municipality is finalizing the process of appointing the Implementing Agent for this project.

LAND MOBILIZATION A number of projects stalled due to land claims and

land issues; The draft Memorandum Of Understanding between

HDA and the department has been drawn up and a final agreement will be signed by the end of August 2012;

The continued engagement with the rural Development on releasing state land is improving and the process of negotiating the purchase land from private land owners in Emnambithi for human settlements is underway;

The Department of Rural Development and Land Reform have signed a Development Rights Agreement with Edumbe Municipality for human settlements projects.

There are currently three potential projects in the pipeline for the next financial year

DISASTER MANAGEMENT The department has identified some disaster

backlogs from previous years; The process of reconciliation currently

underway in all districts to plan for the backlogs eradicated

KZN being the most disaster prone area, there is a need for a dedicated funding to clear the backlogs;

Competing demands on the budget leaves little funding to address the disasters;

Contractors to deal with disaster appointed for the next two years

IA PERFORMANCE The department is part of the contract management

pilot run by the provincial treasury to enhance capacity for managing IA performance;

There has been an increase number of breach and dismissal of Implementing Agents in the past year;

The number of arbitration and court cases also increased significant;

Newly employed quality Assurance Inspectors has intensified the demolishing and paid more emphasis to quality of houses delivered;

The department has worked hard on managing the project timelines such a planning (6 months) and project construction based on 40 units per month;

Projects implementation timeframes clearly spelt out in the contracts and all IA’s held accountable

HOSTELS As indicated during the oversight visit there has

been generally challenges in getting through the issue of hostels;

The CRU model has been identified as the most expensive non cost effective model for provision of low cost rental, this is reflected in the low recovery of rentals;

EThekwini with the largest number of hostels has now acknowledged the problem and a two day turnaround strategy workshop was held on the 4th and 5th of June 2012

The department is currently working with the Mtshezi

( Ikhwezi Hostel) and Mvoti ( Nhlalakahle Hostel)

MONITORING AND EVALUATION Department has established the Monitoring and

Evaluation unit that works very close with the national Monitoring and evaluation unit;

The monitoring process strengthened across the department for each district;

The reporting framework has been developed and all districts are reporting on an on-going basis;

Performance monitoring process enhanced internally and it assists in the identification of the challenges and weaknesses;

Reporting by municipalities still a problem but the establishment of district offices is aimed at providing capacity to municipalities.

Siyabonga