progressive transfers and expenditure 01 apr 07 to 30 sep 07
DESCRIPTION
Presentation to the Portfolio Committee for Housing Provincial Expenditure Report as at 30 SEPTEMBER 2007. Progressive transfers and expenditure 01 Apr 07 to 30 Sep 07. Analysis of expenditure for the period ending 30 September 2007. 9,000,000. Transferred. Spent as % of. Unspent as. - PowerPoint PPT PresentationTRANSCRIPT
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Presentation to thePortfolio Committee for Housing
Provincial Expenditure Reportas at
30 SEPTEMBER 2007
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Progressive transfers and expenditure 01 Apr 07 to 30 Sep 07
R'000 R'000 R'000 R'000 R'000
Eastern Cape 1,052,554 386,135 100,700 285,435 951,854 37% 10% 26% 74%Free State 653,293 312,000 185,353 126,647 467,940 48% 28% 59% 41%Gauteng 2,197,223 963,767 842,603 121,164 1,354,620 44% 38% 87% 13%KwaZulu-Natal 1,310,555 635,365 556,991 78,374 753,564 48% 43% 88% 12%Limpopo 651,705 260,592 142,842 117,750 508,863 40% 22% 55% 45%Mpumalanga 526,286 214,440 228,741 -14,301 297,545 41% 43% 107% -7%Northern Cape 130,976 104,031 76,387 27,644 54,589 79% 58% 73% 27%North West 766,806 395,325 336,344 58,981 430,462 52% 44% 85% 15%Western Cape 948,548 400,000 435,484 -35,484 513,064 42% 46% 109% -9%Total 8,237,946 3,671,655 2,905,445 766,210 5,332,501 45% 35% 79% 21%
Unspent as % of
Transfer-red Funds
Spent as % of
Transfer-red Funds
2007/08Year to date (1 April 2007 - 30 September 2007)
Spent by Provinces
Transferred Funds
Variance Spent vs Total
Available
ProvincesVariance Spent vs
Transferred
Transfer-red as % of voted funds
Spent as % of Total Available
Total Available
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Expenditure as at 30 Sep 2007
Analysis of expenditure for the period ending 30 September 2007
-
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
9,000,000
R`0
00
Total Available Transferred Funds Spent by provinces Variance Spent vs Total Available
45%
65%
79%
Spent as % of transferred Funds
Transferred as % of total available
Unspent as % of total available
100%
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Expenditure trends
Expenditure vs Allocation per month from April to September 2007
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
Apr May Jun Jul Aug Sept
R'0
00
Payment Schedule Expenditure
6
Exp trends over 3 fin years
Expenditure trends over three years
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
Ap
r
May
Jun
Jul
Au
g
Sep
t
Oct
No
v
Dec
Jan
Feb
Mar
2006/2007 2005/2006 2004/2005
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Projected expenditure
Exp to 30 Sept 2007 and projected exp to 31 Mar 2007 based on previous financial years exp trends.
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
AprM
ay Jun Ju
lAug Sep
tO
ctNov Dec Ja
nFeb M
ar
Payment Schedule Expenditure Current Projection Oct 06 to Mar 07 based on estimate current f inancial year
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Number of Housing units Completed and in Process of Completion (Q1 & Q2 2007/08)
ProvinceQuarter
1Quarter
2Total Delivery 2007/08 up
to 30 Sep 2007
Eastern Cape 3,048 1,849 4,897
Free State 2,107 1,874 3,981
Gauteng 1,695 8,026 9,721
KwaZulu Natal 11,078 8,358 19,436
Limpopo 956 3,221 4,177
Mpumalanga 2,738 2,826 5,564
Northern Cape 834 868 1,702
North West 8,122 1,895 10,017
Western Cape 8,743 18,424 27,167
TOTAL 39,321 47,341 86,662
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Number of Housing units Completed and in
Process of Completion (2006/07 vs 2007/08)
Reporting Period Quarter 1 Quarter 2
Province 2006/07 2007/08 2006/07 2007/08
Eastern Cape 4,141 3,048 5,999 1,849
Free State 1,513 2,107 21,293 1,874
Gauteng 12,992 1,695 20,470 8,026
KwaZulu Natal 6,122 11,078 18,871 8,358
Limpopo 12,402 956 386 3,221
Mpumalanga 2,677 2,738 2,188 2,826
Northern Cape 964 834 865 868
North West 11,617 8,122 16,210 1,895
Western Cape 11,536 8,743 8,672 18,424
TOTAL 63,964 39,321 94,954 47,341
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Province September 2006/07 September 2007/08
Eastern Cape 10,140 4,897
Free State 22,806 3,981
Gauteng 33,462 9,721
KwaZulu-Natal 24,993 19,436
Limpopo 12,788 4,177
Mpumalanga 4,865 5,564
Northern Cape 1,829 1,702
North West 27,827 10,017
Western Cape 20,208 27,167
Total 158,918 86,662
Number of Housing units Completed and in
Process of Completion (2006/07 vs 2007/08)
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0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
Expenditure per MilestoneSeptember 2007 / 08
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Expenditure against transferred Eastern Cape
• Allocation available R1,052 billion, transferred R386,1 million since 01 April 2007.
• Spent R100,7 million. Transferred 37% of total amount available. Spent 10% of total available and 26% of transferred amount.
Analysis of expenditure for the period ending 30 September 2007
1,052,554
386,135
100,700
951,854
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
Eastern Cape
R`0
00
Total Available
Transferred Funds
Spent by Province
Unspent Funds
13
Eastern Cape cont.
Eastern Cape transferred funds vs expenditure by month up to 30 September 2007
-
10,00020,000
30,00040,000
50,000
60,00070,000
80,00090,000
100,000
April May June July August September
R`0
00
Projection/Prov Transferred Expenditure
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Expenditure against transferredFree State
• Allocation available R653,3 million, transferred R312 million since 01 April 2007.
• Spent R185,4 million. Transferred 48% of total amount available. Spent 28% of total available and 59% of transferred amount.
Analysis of expenditure for the period ending 30 September 2007
653,293
312,000
185,353
467,940
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
Free State
R`0
00
Total Available
Transferred Funds
Spent by Province
Unspent Funds
15
Free State cont.
Free State transferred funds vs expenditure by month up to 30 September 2007
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
April May June July August September
R`0
00
Projection/Prov Transferred Expenditure
16
Expenditure against transferredGauteng
• Allocation available R2,2 billion, transferred R963,7 million since 01 April 2007.
• Spent R842,6 million. Transferred 44% of total amount available. Spent 38% of total available and 87% of transferred amount.
Analysis of expenditure for the period ending 30 September 2007
2,197,223
963,767842,603
1,354,620
-
500,000
1,000,000
1,500,000
2,000,000
2,500,000
Gauteng
R`0
00
Total Available
Transferred Funds
Spent by Province
Unspent Funds
17
Gauteng cont.
Gauteng transferred funds vs expenditure by month up to 30 September 2007
0
50,000
100,000
150,000
200,000
250,000
300,000
April May June July August September
R`0
00
Projection/Prov Transferred Expenditure
18
Expenditure against transferredKwaZulu-Natal
• Allocation available R1,3 billion, transferred R635,4 million since 01 April 2007.
• Spent R556,9 million. Transferred 48% of total amount available. Spent 43% of total available and 88% of transferred amount.
Analysis of expenditure for the period ending 30 September 2007
1,310,555
635,365556,991
753,564
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
KwaZulu-Natal
R`0
00
Total Available
Transferred Funds
Spent by Province
Unspent Funds
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KwaZulu-Natal cont.
KwaZulu-Natal transferred funds vs expenditure by month up to 30 September 2007
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
180,000
April May June July August September
R`0
00
Projection/Prov Transferred Expenditure
20
Expenditure against transferredLimpopo
• Allocation available R651,7 million, Transferred R260,6 million since 01 April 2007.
• Spent R142,8 million. Transferred 40% of total amount available. Spent 22% of total available andnt 55% of transferred amount.
Analysis of expenditure for the period ending 30 September 2007
651,705
260,592
142,842
508,863
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
Limpopo
R`0
00
Total Available
Transferred Funds
Spent by Province
Unspent Funds
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Limpopo cont.
Limpopo transferred funds vs expenditure by month up to 30 September 2007
0
10,000
20,000
30,000
40,000
50,000
60,000
April May June July August September
R`0
00
Projection/Prov Transferred Expenditure
22
Expenditure against transferredMpumalanga
• Allocation available R526,3 million, transferred R214,4 million since 01 April 2007.
• Spent R228,7 million. Transferred 41% of total amount available. Spent 43% of total available and 7% in excess of the amount transferred.
Analysis of expenditure for the period ending 30 September 2007
526,286
214,440 228,741
297,545
-
100,000
200,000
300,000
400,000
500,000
600,000
Mpumalanga
R`0
00
Total Available
Transferred Funds
Spent by Province
Unspent Funds
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Mpumalanga cont.
Mpumalanga transferred funds vs expenditure by month up to 30 September 2007
0
10,000
20,000
30,000
40,000
50,000
60,000
April May June July August September
R`0
00
Projection/Prov Transferred Expenditure
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Expenditure against transferredNorthern Cape
• Allocation available R130,9 million, Transferred R104 million since 01 April 2007.
• Spent R 76,4 million. Transferred 79% of total amount available. Spent 58% of total available and 73% of transferred amount.
Analysis of expenditure for the period ending 30 September 2007
130,976
104,031
76,387
54,589
-
20,000
40,000
60,000
80,000
100,000
120,000
140,000
Northern Cape
R`0
00
Total Available
Transferred Funds
Spent by Province
Unspent Funds
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Northern Cape cont.
Northern Cape transferred funds vs expenditure by month up to 30 September 2007
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
April May June July August September
R`0
00
Projection/Prov Transferred Expenditure
26
Expenditure against transferredNorth West
• Allocation available R766,8 million, Transferred R395,3 million since 01 April 2007.
• Spent R336,3 million. Transferred 52% of total amount available. Spent 44% of total available and 85% of transferred amount.
Analysis of expenditure for the period ending 30 September 2007
766,806
395,325336,344
430,462
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
North West
R`0
00
Total Available
Transferred Funds
Spent by Province
Unspent Funds
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North West cont.
North West transferred funds vs expenditure by month up to 30 September 2007
010,00020,00030,00040,00050,00060,00070,00080,00090,000
100,000
April May June July August September
R`0
00
Projection/Prov Transferred Expenditure
28
Expenditure against transferredWestern Cape
• Allocation available R948,5 million, Transferred R400 million since 01 April 2007.
• Spent R435,5 million. Transferred 42% of total amount available. Spent 46% of total available and 9% in excess of transferred amount.
Analysis of expenditure for the period ending 30 September 2007
948,548
400,000435,484
513,064
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
1,000,000
Western Cape
R`0
00
Total Available
Transferred Funds
Spent by Province
Unspent Funds
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Western Cape cont.
Western Cape transferred funds vs expenditure by month up to 30 September 2007
0
20,000
40,000
60,000
80,000
100,000
120,000
April May June July August September
R`0
00
Projection/Prov Transferred Expenditure
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Summary of reasons for under spending
• Emerging contractors are under performing;
• Municipal procurement delays;
• Delays in the approval process and/or the non-availability of beneficiaries;
• Local authorities did not service sites; and
• System related problems with process of payments.
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Steps to manage under-spending
• Minmec (30 Oct 2007) discussed performance of Provinces;
• Resolved to reallocate funds from under performing provinces to provinces able to use funds.
• Resolved to effect adjustment to reduce Eastern Cape allocation by R443m.
• Funds will be reallocated to:– Gauteng – R220m– Northern Cape – R123m– Western Cape – R100m– KwaZulu-Natal – R100m
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Steps to manage under-spending
Delivery Support Measures:• heightened projects delivery support to
enhance the performance of provinces against housing delivery goals:
– Dedicated Branch to provide/ facilitate delivery support– Deployment of Project management teams in
Provinces (as prioritized)– Quarterly provincial visits for monitoring purpose– Minimum optimal scale of projects: 500 units (viability)
• upscale the application of improved delivery processing best practice
• prevent future delivery under-performance
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ProvincesOriginal Allocation Adjustments
Adjusted Allocation
R'000 R'000 R'000
Eastern Cape 1,052,554 -443,000 609,554
Free State 653,293 - 653,293
Gauteng 2,197,223 220,000 2,417,223
KwaZulu-Natal 1,310,555 100,000 1,410,555
Limpopo 651,705 - 651,705
Mpumalanga 526,286 - 526,286
Northern Cape 130,976 123,000 253,976
North West 766,806 - 766,806
Western Cape 948,548 - 948,548
Total 8,237,946 - 8,237,946
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