buffalo city metropolitan municipality – urban settlement (usdg) performance report

BUFFALO CITY METROPOLITAN BUFFALO CITY METROPOLITAN MUNICIPALITY – URBAN SETTLEMENT MUNICIPALITY – URBAN SETTLEMENT

(USDG) PERFORMANCE REPORT(USDG) PERFORMANCE REPORT

19 SEPTEMBER 2012 - CAPE TOWN -

PRESENTATION OUTLINE PRESENTATION OUTLINE

Part 5 : Conclusions

STRATEGIC OVERVIEWSTRATEGIC OVERVIEWPART 1

3

STRATEGIC OVERVIEWSTRATEGIC OVERVIEW

4

STRATEGIC OVERVIEWSSTRATEGIC OVERVIEWS

5

BCMM Future Spatial Development BCMM Future Spatial Development

6

OVERVIEW OF THE HOUSING NEEDOVERVIEW OF THE HOUSING NEED

7

BACKLOGSBACKLOGS

SERVICEBACKLOG

(HOUSEHOLDS)BACKLOGS

(BULK)

DEFERRED MAINTENANCE

WATER 4000 @ 7000 = R28,000,000R1,3 billion over

20 yearsR447 million

SANITATION60 000 @ 11 000 = R66,000,000

R2,1 billion over 20 years

R550 million

ELECTRICITY

None (informal dwellers linked to housing delivery) estimated at R1 billion) ESKOM = 2500 hh

R450 million R690 million

ROADS AND STORMWATER

Rural internal streets to be defined by current study. Upgrades of gravel roads: R1,2 Billion

Provincial, National and District roads

R136 million(re-paved)R88 million (re-gravel)

HOUSING 121 000R2,6 billion over

20 yearsR 2,9 billion over

20 years

8

National Outcome 8 . . .National Outcome 8 . . .

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• Buffalo City 5 year Housing Delivery Plan will fit into the targets as identified by the PDoHS.

• The bulk of informal settlements in Buffalo City are identified in the Mdantsane area and in the central East London / Beacon Bay / Gonubie area

• The programmed development of infrastructure capacity and the roll-out of housing development in the DVRI priority areas (including Reeston), Mdantsane, and in the identified Restructuring Zones will enable BCMM to address the demand manifest in informal settlements.

• Providing a range of accommodation types in different localities that are all favourably located either in relation to areas of opportunity in Central East London or in relation to main public transportation routes in terms of the BRT system

• Support from National Upgrading Support Programme (NUSP) for informal settlement upgrading in BCMM with target of ± 20 settlements (i.e. ± 10 000 households) over 3 year period

OUTCOME 8: SLUM UPGRADINGOUTCOME 8: SLUM UPGRADINGUSDG Planned USDG Delivery

Sites Funds Allocated R SitesExpenditure

RExpenditure

%

2011/12 Serviced Sites = 218 P3 = R42,156,161 Serviced

Sites = 0P3 = R9,923,295

24%


Sites = P3 = R0 0%


Sites = P3 = R0

2014/15 Serviced Sites = 1500 P3 = R66 7,608 Serviced

Sites = P3 = R0

TOTAL Serviced sites = 5788

P3 = R168,822,352

Serviced sites =

P3 = R9,923,295

10

OUTCOME 8: BASIC SERVICES OUTCOME 8: BASIC SERVICES USDG Planned USDG Delivery

Sites Funds Allocated R SitesExpenditure

RExpenditure

%

2011/12 Serviced Sites = 218

P3 = R42,156,161 Serviced Sites = 0 P3 = R9,923,295 24%


Sites = P3 = R0 0%


Sites = P3 = R0

2014/15 Serviced Sites = 1500 P3 = R66 7,608 Serviced

Sites = P3 = R0

TOTAL Serviced sites = 5788 P3 = R168,822,352 Serviced

sites = P3 = R9,923,295

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OUTCOME 8: BASIC SERVICESOUTCOME 8: BASIC SERVICESSANITATIONSANITATION

USDG Planned USDG Delivery

Number of new sanitation service

points (toilets) installed for informal

settlements

Funds Allocated

R

Number of new sanitation service

points (toilets) installed for

informal settlements

ExpenditureR

Expenditure%

2011/12 5500 R36m 3722 R16,710,000m 46%

2012/13 1850 R37,5m -

2013/14 2300 R37,854m -

2014/15 2000 R27,854m -

TOTAL11650 R139,208m

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OUTCOME 8: BASIC SERVICESOUTCOME 8: BASIC SERVICESWATERWATER

USDG Planned USDG Delivery

Number of new households connected to basic water service

Funds Allocated

R

Number of new households

connected to basic water service

Expenditure

R

Expenditure

%

2011/12 1 174 R16million 1 628 R10,870,042 68%

2012/13 1 089 R18million -

2013/14 1 400 R21,276,293 -

2014/15 1 500 R18million -

TOTAL 5 163 R73,276,293

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(Cities Network, 2011)14

LAND OWNERSHIP IN BCMM

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Summary of Demographic InformationSummary of Demographic Information

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USDG 2011 / 2012 USDG 2011 / 2012 FINANCIAL PERFORMANCE FINANCIAL PERFORMANCE

PART 3

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OVERALL FINANCIAL PERFORMANCE OVERALL FINANCIAL PERFORMANCE

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2011 / 2012 FINANCIAL PERFORMANCE2011 / 2012 FINANCIAL PERFORMANCE

• BCMM has spent 36.9% of the total 2011/12 USDG allocation of R423 million.

• The budget was adjusted downwards by R48.5 million due to projected under spending

The internal review done, attributed the poor expenditure performance to the following factors:

• Poor Planning as informal settlement upgrade projects were budgeted for prior approval of Environmental Impact Assessment (EIA),

• Multi-year projects that were budgeted for in one financial year.

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• Legal challenges around some of the major projects.

• Disjointed USDG project coordination.

• Ineffective project planning (late design work, long procurement process etc.)

• Inadequate project monitoring.

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ALLOCATED ALLOCATED FUNDINGFUNDING

REVISED REVISED BUDGETBUDGET

ACTUAL ACTUAL EXPEND-ITUREEXPEND-ITURE

COMMIT-COMMIT-MENTSMENTS

FUNDING TO BE FUNDING TO BE REDIRECTED REDIRECTED FOR LAND FOR LAND

ACQUISITIONACQUISITIONInformal Settlements Upgrade 82 026 641 52 205 317 14 502 589 18 413 798 49 110 255

Bulk Infrastructure and Internal Services 292 375 700 280 882 489 122 055 813 148 027 276 22 292 612

Transport Facilities Upgrading 15 000 000 13 200 000 4 750 970 8 431 567 1 817 463

Economic Infrastructure 8 000 000 9 000 000 6 664 033 0 1 335 967

Health and Public Safety 9 227 453 8 327 453 3 018 106 3 209 347 3 000 000

Public Amenities 16 816 303 11 316 303 5 140 141 3 584 142 8 092 020

TOTAL USDG 423 446 097 374 931 562 156 131 652 181 666 129 85 648 317


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USDG 2011 / 2012 USDG 2011 / 2012 NON- FINANCIAL PERFORMANCE NON- FINANCIAL PERFORMANCE

PART 4

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• 2,400 rural toilets provided • 25 km of roads surfaced and 15km in progress at end of financial year • 50 km of roads re-gravelled and 20 km in progress at end of financial year• Bulk water and sanitation infrastructure projects committed, awards made in

May/June 2012 • Rural households in Ncera provided with new and upgraded infrastructure to

ensure sustainable water supply • Upgrade of Mzonyana Bulk Water Treatment Works • Upgraded Bulk Sewer capacity for informal settlements in progress (Bufferstrip

Corridor)• BCMM achieved 4 Blue Drop Awards for its plants• Awards have been made for all infrastructure projects except for Reeston Bulk

Sewer Project of R23 million which is being re-advertised.

BULKBULK INFRASTRUCTUREINFRASTRUCTURE

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INFORMAL SETTLEMENT UPGRADEINFORMAL SETTLEMENT UPGRADE

• 833 Housing units constructed in the following areas: Potsdam Unit

P, Dimbaza Phase 2, Ilitha South Phase 1, Tyutyu Phase 1, Mekeni Rd

(DVRI Pilot Project)

• Professional Teams have been appointed for designs on the

following 18 projects in April 2012:

Cluster 1 = Chris Hani phase 2, Ilinge, Winnie Mandela, Francis Mei,

Mahlangu Village, Deluxollo Village, Sisulu Village

Cluster 2 = Masibumbane, Masibulele, Velwano, Gwentshe Village,

Mathemba Vuso24

INFORMAL SETTLEMENT UPGRADEINFORMAL SETTLEMENT UPGRADE

• Cluster 3 = Fynbos 1 – 2, Ndancama, Sunny South, Reeston 3 Stage 3,

Ilitha Wooden Houses,

• Contractors on site for the following 7 projects: Reeston 3 Stage 2,

Manyano and Thembelihle, Second Creek (Legal Dispute), DVRI Block

Yard (Legal Dispute), DVRI Haven Hills, Potsdam Unit P (Non

performance of main contractor), Ilitha South phase 1.

• Currently 1670 sites are at excavation level; 1377 at roof level and

1327 sites are practically completed but not handed over as yet. This

should be done in the 2012 / 2013 Financial Year.

• Committed funding of R18,7 million. 25

TRANSPORT PLANNING AND OPERATIONSTRANSPORT PLANNING AND OPERATIONS

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HUMAN SETTLEMENTSHUMAN SETTLEMENTS

27

TRANSPORT PLANNING AND OPERATIONSTRANSPORT PLANNING AND OPERATIONS

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UTILIZATION OF ROLL-OVER FUNDINGUTILIZATION OF ROLL-OVER FUNDING

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Due Diligence on Programme Due Diligence on Programme Planning for FuturePlanning for Future

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2011/2012 USDG CAPITAL EXPENDITURE PER

PROJECT :30 JUNE 2012

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PROJECT DESCRIPTION APPROVED BUDGETBUDGET

ADJUSTMENT YTD EXP

VARIANCE AGAINST

APPROVED BUDGET

Mdantsane Zone 18 CC Phase 2-P3 11 209 000 0 0 11 209 000

Manyano & Thembelihle Phase 2-P3 19 055 300 19 055 300 7 786 725 11 268 575

Second Creek (Turn Key)-P3 5 940 770 13 940 770 177 428 5 763 342

Masibambane-P3 1 748 604 250 000 24 561 1 724 043

Masibulele-P3 1 793 440 250 000 101 072 1 692 368

Velwano 2 241 800 450 000 24 561 2 217 239

Chris Hani Park Phase 3-P3 2 353 890 200 000 0 2 353 890

2011/2012 USDG CAPITAL EXPENDITURE: 30 JUNE 2012

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ADJUSTMENT YTD EXP

VARIANCE AGAINST

APPROVED BUDGET

Ilinge -P 3 2 241 800 600 000 240 000 2 001 800

Gwentshe Village- P3 560 450 50 000 24 561 535 889

Fynbos Informal 1-P3 2 398 726 500 000 77 000 2 321 726

Fynbos Informal 2-P3 2 241 800 500 000 0 2 241 800

Ndancama-P3 2 241 800 0 0 2 241 800

Mathemba Vuso-P3 1 681 350 300 000 24 561 1 656 789

Deluxolo Village-P3 1 972 784 200 000 0 1 972 784


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ADJUSTMENT YTD EXP

VARIANCE AGAINST

APPROVED BUDGET

Francis Mei-P3 762 212 100 091 0 762 212

Mahlangu Village-P3 2 040 038 200 000 0 2 040 038

Sisulu Village-P3 1 726 186 300 000 0 1 726 186

Winnie Mandela-P3 1 681 350 400 000 0 1 681 350

Dacawa-P3 1 681 350 400 000 0 1 681 350

Sunny South-P3 2 241 800 600 000 82 825 2 158 975

Block Yard 0 2500000 0 0

Potsdam Unit p : Stage 2 P3 0 1 360 000 1 360 000 -1 360 000


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ADJUSTMENT YTD EXP

VARIANCE AGAINST

APPROVED BUDGET

West Bank Restitution 15 000 000 15 000 000 10 147 036 4 852 964

Rural Roads Upgrade 5 000 000 5 000 000 1 849 678 3 150 322

Upgrading and Rehabilitation of BCMM Roads - Duncan Village 0 1 000 000 978 711 -978 711

Upgrading and Rehabilitation of BCMM Roads - Zwelitsha 0 1 250 000 1 285 526 -1 285 526Upgrading and Rehabilitation of BCMM Roads - Phakamisa 0 1250000 0 0

Upgrading and Rehabilitation of BCMM Roads - Dimbaza 0 1 000 000 579 363 -579 363


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ADJUSTMENT YTD EXP

VARIANCE AGAINST

APPROVED BUDGET

Upgrading and Rehabilitation of BCMM Roads - Scenery park / Reeston 0 1 000 000 117 733 -117 733

Upgrading and Rehabilitation of BCMM Roads - Nonkcampa 0 600 000 588 377 -588 377

Upgrading and Rehabilitation of BCMM Roads - Upper Mngqesha 0 600 000 279 167 -279 167

Upgrading and Rehabilitation of BCMM Roads - Tsholomnqa 0 600 000 98 808 -98 808


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ADJUSTMENT YTD EXP

VARIANCE AGAINST

APPROVED BUDGET

Mdantsane Roads 42 375 700 42 375 700 19 780 117 22 595 583

Rehabilitation of Rural Roads Upgrade 5 000 000 5 000 000 2 212 215 2 787 785

Nord Avenue Pump station 8 000 000 4 000 000 630 288 7 369 712

Quinera Treatment Works 50 000 000 39 000 000 280 572 49 719 428

Waste Water Treatment Capacity (Zwelitsha) 15 000 000 15 000 000 12 405 399 2 594 601

Reeston Phase 3 Bulk Services Sewer 25 000 000 23 500 000 1 454 434 23 545 566

Bufferstrip Sanitation - Mdantsane 15 000 000 15 000 000 14 437 534 562 466


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PROJECT DESCRIPTION APPROVED

BUDGETBUDGET

ADJUSTMENT YTD EXP

VARIANCE AGAINST

APPROVED BUDGET

Mdantsane Sewers - Refurbishment 5 000 000 5 000 000 4 834 581 165 419

Diversion of Amalinda and Wilsonia effluent to Reeston 50 000 000 22 000 000 6 797 723 43 202 277

Augmentation of Water Treatment Capacity - Umzonyana/Raising Upper weir 5 000 000 5 000 000 4 984 423 15 577

Inland Rural Sanitation (Dimbaza Villages,Ngxwalane and Kwalini) 36 000 000 36 000 000 16 711 573 19 288 427

Eastern Beach Sewers 0 2 000 000 1 911 234 -1 911 234

Chemical toilets 0 2 000 000 2 000 000 -2 000 000

Sludge handling facility 0 2 800 000 1 107 165 -1 107 165


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BUDGETBUDGET

ADJUSTMENT YTD EXPVARIANCE AGAINST APPROVED BUDGET

Winterstrand Water Supply 0 2 000 000 1 884 695 -1 884 695Bulk Water Supply Newlands and other areas 1 000 000 1 000 000 805 262 194 738

Augmentation of Water Treatment Capacity - Umzonyana/Raising Upper weir 0 2 000 000 1 192 124 -1 192 124

Ward 33 Bulk Water Supply Scheme 7 000 000 7 000 000 2 289 047 4 710 953

Bulk Water Supply Coastal Areas 8 000 000 8 000 000 7 775 733 224 267

Amahleke 0 1 000 000 0 0

Relocation of Miblocks - Mdantsane 0 3 000 000 0 0


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BUDGETBUDGET

ADJUSTMENT YTD EXP

VARIANCE AGAINST

APPROVED BUDGET

Coastal & Midlands Infrastructure 0 1 500 000 408 734 -408 734

Rehabilitation of underground stormwater - Storm water Management System 0 1 100 000 729 474 -729 474

Rehabilitation of underground stormwater - Amalinda forest 0 1 000 000 318 749 -318 749

Rehabilitation of underground stormwater - Duncan village 0 1 000 000 243 808 -243 808

Rehabilitation of underground stormwater - West Bank 0 1 000 000 936 530 -936 530


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BUDGETBUDGET

ADJUSTMENT YTD EXPVARIANCE AGAINST APPROVED BUDGET

BCM Urban Agriculture Infrastructure Development 3 000 000 3 000 000 3 000 000 0

Taxi Ranks 5 000 000 3 200 000 843 750 4 156 250

Gonubie Main Road 10 000 000 10 000 000 3 907 220 6 092 780

Economic Infrastructure 5 000 000 6 000 000 3 664 033 1 335 967

Fire Station - KWT 6 227 453 6 227 453 3 018 106 3 209 347

Clinics 3 000 000 2 100 000 0 3 000 000

Development of Community Parks(Mdantsane, Potsdam, Reeston) 1 016 303 1 016 303 543 405 472 898


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ADJUSTMENT YTD EXP

VARIANCE AGAINST

APPROVED BUDGET

Development of 3 New Cemetries(Inland, Midland and Coastal) 3 000 000 3 000 000 557 180 2 442 820

Scenery Park Community Hall 2 000 000 2 000 000 1 934 503 65 497

Solid waste management 8 800 000 2 800 000 1 735 195 7 064 805

Planning of designs of Third Cell 0 500 000 88 335 -88 335

Sport Facilities 2 000 000 2 000 000 281 524 1 718 476

TOTAL 409 233 906 364 882 406 151 552 358 257 681 548


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ALIGNMENT WITH HSDG

•Alignment of 2012/13 to 2014/15 targets BNG Units is funded from HSDG (R126,5 million) and the internal services (R46,6 million)and other bulk infrastructure upgrade is funded from USDG (R164,6 million).

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2012 / 2013 USDG ALLOCATIONSERVICES 2012/2013 CAPITAL

BUDGET

Water Infrastructure 28 000 000

Waste Water Infrastructure 182 608 250

Roads and Storm water 123 000 000

Informal Settlement Upgrade (Internal Services) 46 561 572

Transport Planning & Operations 62 549 200

Waste Management 3 000 000

Public Amenities 20 000 000

Public Safety 9 500 000

Support Services 4 000 000

Economic Infrastructure 20 254 978

TOTAL 499 474 00044

OUTPUT IMMEDIATE RESULTS INDICATORS TARGET2012/13

TARGET2013/14

TARGET2014/15

1. Roads Upgraded

Kilometres of roads built/constructed (Surfaced /Gravel)

50 50 50

Kilometres of gravel roads tarred 20 20 25

Kilometres of roads resurfaced (maintained)

600 600 600

2. Housing programmes

Number of households upgraded (formalised) living in informal settlements with basic services such as water, sanitation

1,198 = Households

1,636 = Service sites (USDG)

214 = Service sites (HSDG)

1,783 = Households

1,910 = Service sites

(USDG)


1,771 = Households

1,200 = Service sites (USDG)


BCMM OUTPUTS 2012/2013 AND OUTER YEARS

45


TARGET2013/14

TARGET2014/15

2. Housing programmes

Number of stands serviced 1,636 (USDG) 214 = Service sites (HSDG)

1,910 (USDG)310 = Service sites (HSDG)

1,200 (USDG)300 = Service sites (HSDG)

Number of households allocated affordable social housing units

497

961

830


46



TARGET2013/14

TARGET2014/15

3. Basic services Water

Number of new households connected to basic water service

1089 1400 1500

Number of new water service points (taps) installed for informal settlement dwellers

1,198 1,783 1,771

Number of new households (RDP)provided with water connections

1483 1011 1900

4. Sewerage

Number of new sanitation service points (toilets) installed for informal settlement dwellers

405 555 705

Number of new households (RDP) provided with sewer connections

1483 1011 1900

5. Electricity

Number of high mast lights installed in informal settlements

0 10 10

Number of new households (RDP) provided with electricity connections

1483 1011 1900

47


TARGET2013/14

TARGET2014/15

6. Refuse removal

Number of new households with access to refuse removal.

1483 1011 1900

Number of informal settlement dwellings with access to refuse removal

1483 1011 1900

7. Land development programme: Land availability, purchasing, acquisition, planning, servicing &titling

No of hectares of land portions identified 30 0 0

Number of title deeds transferred to eligible households

1000 1500 2000


48


TARGET2013/14

TARGET2014/15

8. Job creation

Number of jobs created using Expanded Public Works guidelines

1524 1621 1700

9. Social Facilities

Number of community halls planned/ under construction/developed Collective total

20 19 20

Number of parks and gardens planned/ under construction/developed. Collective total

20 19 20

Number of sports fields and stadia planned/ under construction/developed. Collective total

20 19 20

Number of community swimming pools planned/ under construction/developed

2 0 0


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INDICATORS FOR THE PERFORMANCE MATRIX


TARGET2013/14

TARGET2014/15

9. Social Facilities Number of bus terminals or taxi ranks planned/ under construction/developed

3 9 9

Number of Fire safety and emergency facilities planned/ under construction/developed

1 1 1

Number of cemeteries planned/ under construction/developed

3 0 0

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CONCLUSIONIn addressing the challenges raised in this presentation, the city is undertaking to implement the following recovery actions to

improve its ability and capacity to spend the Grant funding:

•Focus on creating Integrated Sustainable Human Settlements which would include considerations as to how the metro can be made more compact; efficient and more equitable by becoming systems based institution. •In the execution of the BCMM’s capital investment programme in the next five years, focus will be placed on the maintenance, land acquisition, upgrade and improvement of the infrastructural network of the Metro.

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CONCLUSION . . .

• BCMM requires support from various key national and provincial departments to enable the successful development of sustainable human settlements for its future development trajectory.

• A multi year budgeting approach has been mainstreamed in our project planning for the current financial year.

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•As part of a turn around, the Metro has resolved to

establish Enterprise Project Management Office

(EPMO) to drive, unlock high impact projects,

coordinate, support, monitor, evaluate and report on

the Grant Funded Projects.

CONCLUSION . . .

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END

THANK YOU…

buffalo city metropolitan municipality – urban settlement (usdg) performance report

Documents

r0totalserviced sites

r0201415serviced sites

housing development

informal settlementsfunds

bulk of informal settlements

housing need

basic serviceswater

basic servicessanitation