Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1698927954072.pdf (South Africa)
Thursday, 21 September 2023] No 124—2023] FIFTH SESSION, SIXTH PARLIAMENT PARLIAMENT OF THE REPUBLIC OF SOUTH AFRICA _____________________ ANNOUNCEMENTS, TABLINGS AND COMMITTEE REPORTS _____________________ THURSDAY, 21 SEPTEMBER 2023 _____________________ TABLE OF CONTENTS ANNOUNCEMENTS National Assembly 1.

Referral to Committees of papers tabled .......................................................................... 2 TABLINGS National Assembly and National Council of Provinces 1.
Minister of Higher Education, Science and Innovation ................................................... 2 2.

Minister of Police ............................................................................................................. 3 National Assembly 1.

Speaker ............................................................................................................................. 3 National Council of Provinces 1 1.
Chairperson ...................................................................................................................... 5 COMMITTEE REPORTS National Assembly 1.

Human Settlements .......................................................................................................... 7 2.

Human Settlements ........................................................................................................ 14 3.
Social Development ....................................................................................................... 29 ANNOUNCEMENTS National Assembly The Speaker 1.

Referral to Committees of papers tabled (1) The following papers are referred to the Portfolio Committee on Police for consideration and report.
Report of the Auditor-General on the Financial Statements and Performance Information is referred to the Standing Committee on Public Accounts for consideration: (a) Report and Financial Statements of Vote 21 – Department of Civilian Secretariat for Police Service for 2022-23, including the Report of the Auditor-General on the Financial Statements and Performance Information of Vote 21 for 2022-23.
(2) The following paper is referred to the Joint Standing Committee on Financial Management of Parliament for consideration: (a) Monthly Financial Statements of Parliament – August 2023, tabled in terms of section 54(1) of the Financial Management of Parliament and Provincial Legislatures Act, 2009 (Act No 10 of 2009).

TABLINGS National Assembly and National Council of Provinces 1.
The Minister of Higher Education, Science and Innovation (a) Report and Financial Statements of the Department of Science and Innovation for 2022-23, including the Report of the Auditor-General on the Financial Statements and Performance Information for 2022-23.

2 (b) Report and Financial Statements of the Academy of Science of South Africa (ASSAF) for 2022-23, including the Report of the Independent Auditors on the Financial Statements and Performance Information for 2022-23.
(c) Report and Financial Statements of the Council for Scientific and Industrial Research (CSIR) for 2022-23, including the Report of the Auditor-General on the Financial Statements and Performance Information for 2022-23.

(d) Integrated Report and Financial Statements of the Human Sciences Research Council (HSRC) for 2022-23, including the Report of the Auditor-General on the Financial Statements and Performance Information for 2022-23.
(e) Report and Financial Statements of the National Research Foundation (NRF) for 2022-23, including the Report of the Auditor-General on the Financial Statements and Performance Information for 2022-23.

(f) Report and Financial Statements of the National Advisory Council on Innovation for 2022-23.
(g) Report and Financial Statements of the South African Council for Natural Scientific Professions (SACNASP) for 2022-23, including the Report of the Independent Auditors on the Financial Statements and Performance Information for 2022-23.

(h) Report and Financial Statements of the South African National Space Agency (SANSA) for 2022-23, including the Report of the Independent Auditors on the Financial Statements and Performance Information for 2022-23.
(i) Report and Financial Statements of the Technology Innovation Agency (TIA) for 2022-23, including the Report of the Independent Auditors on the Financial Statements and Performance Information for 2022-23.

2.

The Minister of Police (a) Report and Financial Statements of Vote 24 – Independent Police Investigative Directorate for 2022-23, including the Report of the Auditor-General on the Financial Statements and Performance Information of Vote 24 for 2022-23.
(b) Report and Financial Statements of the Private Security Industry Regulatory Authority (PSIRA) for 2022-23, including the Report of the Auditor-General on the Financial Statements and Performance Information for 2022-23.

National Assembly 1.

The Speaker (a) Letter dated 19 September 2023, from the Minister of Home Affairs to the Speaker of the National Assembly, explaining the reasons for the delay in the submission of the Annual Report of Government Printing Works for 2022-23.
3 REQUEST FOR AN EXTENSION ON THE TABLING OF THE ANNUAL REPORT OF THE GOVERNMENT PRINTING WORKS (GPW) FOR THE 2022/23 FINANCIAL YEAR IN THE NATIONAL ASSEMBLY Government Printing Works (GPW) is a National Government Component reporting to me, following Proclamation in the Government Gazette No 322566 on 09 October 2009, and as referred to in Section 7 (2) and 7 (5) read with Schedule 3 Part A of the Public Service Act, Act no 103 of 1994 (as amended) that operates within the Public Service established by section 197 (1) of the Constitution of the Republic of South Africa.
GPW’s service in printing spans over 130 years, and its mandate is to provide printing services to organs of state in South Africa.

It is a self-funded entity as it has not been receiving an allocation/funding from the National Treasury.

The Portfolio Committee on Home Affairs provides oversight of GPW's affairs.
In terms of Section 40 (d) of the Public Management Finance Act of 1991 as amended, the Accounting Officer for a department, trading entity or constitution must submit within five months of the end of the financial year to the relevant treasury and in the case of a department or trading entity, also to the executive authority responsible for that department or trading entity, (i).
annual report on the activities of that department, trading entity or constitution during that financial year, (ii) the financial statement for that financial year after those statements have been audited and (iii) the Auditor General's report on those statements.
Section 40 (5) states, "If an Accounting Officer is unable to comply with any of the responsibilities determined for Accounting Officers of this Part, the Accounting Officer must promptly report the inability, together with reasons, to the relevant executive authority and treasury”.

The GPW submitted its Annual Financial Statements (AFS) for 2022/23 to the AGSA by 31 May 2023, a statutory date stipulated in the PFMA.
Due to the challenges experienced by GPW on 04 February 2021, the Annual Financial Statements could be submitted to the AGSA in December 2022 due to the unavailability of critical data and supporting schedules for auditing purposes.

The audit for the 2021/22 financial year by the AGSA took seven (7) months to conclude, and the Management Report was submitted to the CEO and management of GPW on 28 July 2023.
These timeframes have impacted the timeous commencement of the audit for the 2022/23 financial year.

The Audit Strategy and Engagement Letter for the financial year 2022/23 audit was tabled by the AGSA at the GPW's Audit Committee meeting, which took place on 04 September 2023, thereby confirming that the audit has commenced.

The AGSA has committed to finalising the 2022/23 financial year audit within the stipulated period of two (2) months.
Finalisation of this audit within this time frame would assist GPW management in developing Annual Financial Statements for the 2023/24 financial year and submit them to AGSA by 31 May 2024, in terms of Section 40 (d) of the Public Management Finance Act of 1991 as amended.

The GPW’s Annual Report for the 2022/23 financial year will only be drafted once the audit is finalised and the management report is presented to GPW management.
4 Given the above, I request that GPW be granted an extension on the submission of the 2022/23 Annual Financial Statements and the tabling of the Annual Report, which are due to be tabled by 30 September 2023 to Parliament.

The Annual Report will be tabled as soon as the audit by the AGSA is concluded.
Yours sincerely, signed DR P.A MOTSOALEDI, MP MINISTER OF HOME AFFAIRS (b) Reply by the Minister of Defence and Military Veterans to Report of Portfolio Committee on Defence and Military Veterans on Budget Vote 23: Department of Defence, as adopted by the House on 30 May 2023.

Referred to the Portfolio Committee on Defence and Military Veterans.
(c) Reply by the Minister of Defence and Military Veterans to Report of Portfolio Committee on Defence and Military Veterans on Budget Vote 26: Department of Military Veterans, as adopted by the House on 30 May 2023.

Referred to the Portfolio Committee on Defence and Military Veterans.

National Council of Provinces 1.


The Chairperson (a) Letter dated 19 September 2023, from the Minister of Home Affairs to the Chairperson of the National Council of Provinces, explaining the reasons for the delay in the submission of the Annual Report of Government Printing Works for 2022-23.
REQUEST FOR AN EXTENSION ON THE TABLING OF THE ANNUAL REPORT OF THE GOVERNMENT PRINTING WORKS (GPW) FOR THE 2022/23 FINANCIAL YEAR IN THE NATIONAL ASSEMBLY Government Printing Works (GPW) is a National Government Component reporting to me, following Proclamation in the Government Gazette No 322566 on 09 October 2009, and as referred to in Section 7 (2) and 7 (5) read with Schedule 3 Part A of the Public Service Act, Act no 103 of 1994 (as amended) that operates within the Public Service established by section 197 (1) of the Constitution of the Republic of South Africa.
GPW’s service in printing spans over 130 years, and its mandate is to provide printing services to organs of state in South Africa.

It is a self-funded entity as it has not been receiving an allocation/funding from the National Treasury.

The Portfolio Committee on Home Affairs provides oversight of GPW's affairs.
In terms of Section 40 (d) of the Public Management Finance Act of 1991 as amended, the Accounting Officer for a department, trading entity or constitution must submit within five months of the end of the financial year to the relevant 5 treasury and in the case of a department or trading entity, also to the executive authority responsible for that department or trading entity, (i).
annual report on the activities of that department, trading entity or constitution during that financial year, (ii) the financial statement for that financial year after those statements have been audited and (iii) the Auditor General's report on those statements.
Section 40 (5) states, "If an Accounting Officer is unable to comply with any of the responsibilities determined for Accounting Officers of this Part, the Accounting Officer must promptly report the inability, together with reasons, to the relevant executive authority and treasury”.

The GPW submitted its Annual Financial Statements (AFS) for 2022/23 to the AGSA by 31 May 2023, a statutory date stipulated in the PFMA.
Due to the challenges experienced by GPW on 04 February 2021, the Annual Financial Statements could be submitted to the AGSA in December 2022 due to the unavailability of critical data and supporting schedules for auditing purposes.

The audit for the 2021/22 financial year by the AGSA took seven (7) months to conclude, and the Management Report was submitted to the CEO and management of GPW on 28 July 2023.
These timeframes have impacted the timeous commencement of the audit for the 2022/23 financial year.

The Audit Strategy and Engagement Letter for the financial year 2022/23 audit was tabled by the AGSA at the GPW's Audit Committee meeting, which took place on 04 September 2023, thereby confirming that the audit has commenced.

The AGSA has committed to finalising the 2022/23 financial year audit within the stipulated period of two (2) months.
Finalisation of this audit within this time frame would assist GPW management in developing Annual Financial Statements for the 2023/24 financial year and submit them to AGSA by 31 May 2024, in terms of Section 40 (d) of the Public Management Finance Act of 1991 as amended.

The GPW’s Annual Report for the 2022/23 financial year will only be drafted once the audit is finalised and the management report is presented to GPW management.
Given the above, I request that GPW be granted an extension on the submission of the 2022/23 Annual Financial Statements and the tabling of the Annual Report, which are due to be tabled by 30 September 2023 to Parliament.

The Annual Report will be tabled as soon as the audit by the AGSA is concluded.

Yours sincerely, signed DR P.A MOTSOALEDI, MP MINISTER OF HOME AFFAIRS COMMITTEE REPORTS National Assembly 6 1.
Report of the Portfolio Committee on Human Settlements on the 2022/23 Fourth Quarter Financial and Non-Financial Performance of the Department of Human Settlements, 21 September 2023.

The Portfolio Committee on Human Settlements (the Committee), having considered the 2022/23 fourth quarter report on the expenditure and performance of the Department of Human Settlements (the Department), reports as follows: 1.
Introduction The Committee considered the 2022/23 fourth quarter report of the Department on 31 May 2023.

This report provides a reflection on the expenditure and non-financial performance of the Department by the end of the fourth quarter of the 2022/23 financial year.

It also provides the Committee’s observations and recommendations.
Those are based on the documents presented to the Committee by the Department, the Adjusted Estimates of National Expenditure (AENE) and section 32 report published by National Treasury.

2.

An overview of the overall expenditure: Fourth Quarter The main appropriation of the Department for 2022/23 amounted to R33 024.7 billion, which was adjusted slightly upwards to R33 478.5 billion through the adjusted appropriation.
By the end of the fourth quarter, the Department spent R32.9 billion or 98.1% of the available budget.

There was an underspending of R621.1 million or 1.9%, mainly due to the partial transfer of the Provincial Emergency Housing Grant (PEHG) and lower than anticipated spending on goods and services.

3.

Performance per expenditure 3.1 Programme 1 (Administration) expenditure This Programme spent R482.5 million against the available budget of R513.9 million.
The preliminary underspending of R31.3 million or 6.1% was mainly due to lower than anticipated expenditure on compensation of employees and capital assets.

There were delays in filling vacancies, procuring computers, and replacing ICT network equipment.

3.2 Programme 1 performance The following was programme performance: 1 7 • 100% compliance with statutory prescripts - 80% compliance with statutory prescripts.
Some of the furnished Draft Replies had to be returned for amendments, including incomplete information provided by municipalities and provinces.

• 100% implementation of the approved internal audit plan - 100% implementation of the approved internal audit plan.

• 100% implementation of the approved Risk Management Implementation Plan - 100% implementation of the approved Risk Management Implementation Plan.
• 100% execution of the approved anti-fraud and corruption implementation plan - 100% execution of the approved anti-fraud and corruption implementation plan.

• 100% implementation of the Human Resource Implementation Plan - 100% implementation of the Human Resource Implementation Plan.

• 100% implementation of the approved annual ICT plan - 100% implementation of the approved annual ICT plan.
• 100% implementation of the approved communication plan - 100% implementation of the approved communication plan.

• 2023/24 Human Settlements Grants Framework Approved - Approved 2023/24 Human Settlements Grants Framework.

• 1 quarterly assessment conducted on Human Settlements Grant (HSDG) - 1 quarterly assessment conducted on Human Settlements Grant.

• 1 quarterly assessment conducted on Human Settlements Grant (USDG) – 1 quarterly assessment conducted on Human Settlements Grant.
• 1 quarterly financial performance analysis conducted on ISUPG for Provinces - 1 quarterly financial performance analysis conducted on ISUPG for Provinces.

• 1 quarterly financial performance analysis conducted on ISUPG for Metros - 1 quarterly financial performance analysis conducted on ISUPG for Metros.

3.3 Programme 2 (Integrated Human Settlements Planning Development) expenditure This Programme spent R22 billion against the available budget of R22.1 billion.
This programme recorded an under-expenditure of R79.7 million or 0.4%, which was mainly due to lower than anticipated expenditure on goods and services such as consultants and computer services.

The under-expenditure was also attributed to delays in the recruitment process for the appointment of professional services and delays in procuring of computer equipment for staff within the programme.
3.4 Programme 2 performance The following was programme performance: 2 8 • 1 report on the total human settlement’s allocation in PDAs - 1 analysis report on the total Human Settlements allocation in PDAs was completed, however sector investments could not be verified.

The sector investment data could not be verified against a credible source.
• 1 report on integrated implementation programmes for priority development areas completed per year - 1 report on integrated implementation programmes for priority development areas completed per year.

• 1 analysis report completed on land acquired during 2014-2019 within PDA’s rezoned - 1 analysis report completed on land acquired during 2014-2019 within PDA’s rezoned however, the rezoning was not achieved.
• 3 research reports completed - 2 research reports completed, report on exploration of indigenous knowledge systems and alternative technology in the provision of Enhanced Peoples Housing Process in the rural South Africa and the research report on the extent of housing support provided to beneficiaries of 1996.

• Policy Foundation for Housing and Human Settlements developed - Policy Foundation for Housing and Human Settlements developed.
• Procurement Policy for housing and Human Settlements developed - Procurement Policy for housing and Human Settlements developed.

• 1 Policy Programme on Upgrading of Informal Settlements developed - 1 Policy Programme on Upgrading of Informal Settlements developed.

• Rent to Buy Policy Programme developed - Rent to Buy Policy Programme developed.

• Small Scale Rental Policy Programme developed - Small Scale Rental Policy Programme developed.
• Reformed Social Housing Policy Programme developed - Reformed Social Housing Policy Programme developed.

• Consumer and Borrower Education Policy Programme developed - Consumer and Borrower Education Policy Programme developed.

• 1 Report on projects monitored as per approved business plans - 1 Report on projects monitored as per approved business plans.

• 1 Report on blocked projects monitored - 1 Report on blocked projects monitored.
• 1 Report on the monitoring of MTSF Sector Indicators - 1 Report on the monitoring of MTSF Sector Indicators.

• Evaluation studies completed: Implementation evaluation of the Operational Capital Programme (OPSCAP) - Draft report on Evaluation study completed: Implementation evaluation of the Operational Capital Programme (OPSCAP).

3 9 • 1 Design and implementation for ISUPG evaluation study completed - 1 Design and implementation for ISUPG evaluation study not completed.
The draft Inception report was done.

Late appointment of the service provider.

• 1 report on intergovernmental relations programmes implemented - 1 report on intergovernmental relations programmes implemented.

3.5 Programme 3 (Informal Settlements) expenditure This Programme spent R8.9 billion against the allocated budget of R9.4 billion.
The under-expenditure of R441 million or 4.7% was mainly due to the partial transfer of the PEHG, which was only disbursed when there were qualifying and approved applications.

From the available budget of R795.8 million, only R426.2 million or 53.6% was transferred.
3.6 Programme 3 performance The following was programme performance: • Support provided to 9 Provinces and 8 Metros for planning in the upgrading of informal settlements – 9 Provinces and 8 Metros were supported for planning in the upgrading of informal settlements through the assessment of the draft Provincial business plans and giving feedback to provinces, however all provincial business plans were not approved by the National Department.
Monitor and report progress of informal settlements upgrading projects in 9 Provinces and 8 Metros.

• Monitor and report progress of informal settlements upgrading projects in 9 Provinces and 8 Metros - Informal settlements upgrading projects in 9 Provinces and 8 Metros were monitored.

Report on progress of informal settlements upgrading projects prepared.

3.7 Programme 4 (Rental and Social Housing) Expenditure This Programme spent R906.9 million against the appropriated budget of R962.8 million.
The under- expenditure of R55.9 million or 5.8% was attributed to lower than anticipated expenditure on goods and services emanating from delays in appointing professional services to augment skills and capacity within the programme.

3.8 Programme 4 Performance The following was programme performance: • National Rental Housing Plan developed - National Rental Housing Plan developed.
4 10 3.9 Programme 5 (Affordable Housing Programme) Expenditure This Programme spent R581.9 million against the approved allocation of R595.1 million.

An under- expenditure of R13.2 million or 2.2% was mainly due to lower-than-expected spending on the Department’s scholarship program and various goods and services items such as consultants, travel, and subsistence.
3.10 Programme 5 performance The following was programme performance: • 6 affordable housing programme agreements for mining communities developed – 2 affordable housing programme agreements for mining communities developed.

The Department did not have the additional capacity to achieve the target.

• 1 Quarterly Report on title deeds registered - 1 Quarterly Report on title deeds registered not completed.

• National Unblocking Programme (NUP) developed - National Unblocking Programme (NUP) developed.
• 1 Quarterly Report on the number of job opportunities created - 1 Quarterly Report on the number of job opportunities created but not completed.

No standardized format to collect data for jobs created.

4.
4.

Committee observations and recommendations The Committee raised the following with the Department in respect of the fourth quarterly report for 2022/23: 4.1 Observation: Welcomed improvements by the Department in filling vacancies of all Head of Departments (HOD) positions, involving women contractors in human settlements construction, reducing the title deeds backlog, and the achievement of 51% to 71% performance.
Recommendation: Maintain good performance in all areas of human settlement’s development.

Strive to achieve 100% performance in the future.

Award individuals to who positively contribute to the image of the Department.

4.2 Observation: Noted the appointment of the Policy and Legislative Review Team (POLERT) and its work in reviewing human settlements programmes such as township establishments, rental policy, alternative building technology, Agri-builders, etc.
The Committee expressed a need for the Department to present to the Committee the achievements of POLERT to evaluate its usefulness.

Recommendation: Provide the Committee with a report on the work done by POLERT in the review of human settlements programmes.

Furthermore, more information about the policy must be shared with the 5 11 Committee on land acquisition, title deed process and mining towns.

This report must be submitted to the Committee within a month after the adoption of this report.
4.3 Observation: Expressed concern about unfinished and unoccupied houses in provinces and municipalities.

This resulted in these houses being vandalised and stealing of building materials.

An example of 11 000 unfinished houses in Free State was put forward.

However, the Committee acknowledges the commitment by the Department to deal with unfinished houses.

Recommendation: Develop strategies and measures to understand the magnitude of the problems.
Develop on-site safety plans to curb theft of building materials.

The Department must fast-track the development of the indicated plans and strategies.

4.4 Observation: Concerned about corrupt practice where municipal officials were alleged to be bribed by prospective beneficiaries to move up on the beneficiary list.

This was a problem in Fleuhof and Dube.

Recommendation: Provide evidence on the corruption allegations.

Refer this matter to a department that has a mandate to deal with corruption.
Fast-track the upgrading and the digitalization of the beneficiary list to deal with corruption.

Ensure that municipal beneficiary lists are tabled as Council resolution to prevent manipulation.

4.5 Observation: noted the allegations of corruption of NHBRC inspectors in approving poorly constructed houses to solicit bribes.

Recommendation: Investigate these allegations and provide a report to the Committee once the investigation has been completed.
In addition, lifestyle audits should be conducted on housing inspectors.

4.6 Observation: Noted the slow pace in the Department’s responses to Members questions.

This affected Members work in their constituencies.

Recommendation: Ensure that Members’ questions are responded to on time to assist them with their constituency work.

4.7 Observation: Concerned about poor performance in the Free State Provincial Department of Human Settlements.
Recommendation: The Minister should visit the Provincial Department to develop capacity and skills to assist the province.

Additionally, Minister is encouraged to assist with providing technical skills to assist the provinces.

4.8 Observation: Concerned about poor expenditures on goods and services and the payment of capital.

6 12 Recommendation: Develop a clear plan to intervene to fully utilise allocated funds.
4.9 Observation: Concerned that there were still projects that were not integrated to economic activities.

Recommendation: Use the District Development Model (DDM) to ensure integrated planning.

4.10 Observation: Noted improvements by the Department in awarding contracts to women contractors.

However, the Committee felt that more can be done to involve women contractors.

That in some cases women contractors were often given sub-contractor work.
Recommendation: Provide a breakdown of contracts awarded to women, youth, and persons with disabilities.

These contracts should have a notable economic value for women.

Report to be considered.

7 13 2.

Report of the Portfolio Committee on Human Settlements on the City of Tshwane oversight, 21 September 2023.

The Portfolio Committee on Human Settlements (the Committee) embarked on a two-day oversight visit to the City of Tshwane (the City) from 6 to 7 July 2023.

The Committee reports is as follows: 1.


Purpose of the Oversight Visit The Committee has a duty to exercise oversight over the executive organ of state which falls under its portfolio.

This is to ensure that that the executive fulfils its mandate and is always held accountable.

To protect the environment and ensure the development of sustainable human settlements.
Oversight visits enables the Committee to be better positioned to understand proposed programmes, projects, achieved targets, and challenges that hinder service delivery.
The objective of this visit was to hold a briefing session with the municipality, provincial and national departments as well as other stakeholders in relation to the utilisation of the Urban Settlements Development Grant (USDG), upgrading of Informal Settlements Partnership Grant (UISP), provision of serviced sites, and the plans to curb land invasions.

2.
Multi-Party Delegation The following are the Multi-Party Delegates that were part of the oversight: • Ms. R. M Semenya, (ANC) (Chairperson of the Committee – leader of the delegation) • Ms N Sihlwayi, (ANC) • Mr C Malematja, (ANC) • Mr M P A Tseki, (ANC) • Dr N V Khumalo, (DA) • Mr L Mphithi, (DA) and • Ms M Makesini, (EEF) 2.1 Support Staff The following are Support Stuff that were part of the oversight: 1 14 • Ms K Pasiya-Mndende, (Committee Secretary) • Mr S Mnguni, (Content Advisor) • Mr T. Makhanye, (Committee Researcher) and • Ms N. Nevese, (Committee Assistant) 2.2 Departments The following are Departments that were part of the oversight visit: • The Gauteng Department of Human Settlements (the Provincial Department).
• The National Department of Human Settlements (the National Department).

3.

Briefing by the City The Chairperson of the Committee introduced the Delegation and Support Staff.

She then sought to know the reasons for the failure of the City to honour the invitation to appear in Parliament.

She also invited the Executive Mayor, Councilor Brink, to welcome the Delegation.

In his opening remarks, the Executive Mayor offered his apology for the failure to honour the Committee’s invitation.
This was due to financial constraints which were compounded by the fact it receives the smallest share of tax.

Occupation of private and public land was a persisting problem.

Furthermore, people in need occupy land in hazardous places such as floodplains and wetlands, leading to difficult socioeconomic conditions.

Despite political instability, the Municipal Council was able meet to adopt and pass its budget.

The City acknowledged that Hammanskraal cholera outbreak was unfortunate.
The City maintained that there was no scientific causal links that had been established with the state of the Rooiwal Treatment Plant and the outbreak.

An amount of R450 million was allocated for upgrading of the Plant.

The City adopted a holistic approach that entails a high-level partnership with the National Department.
The City indicated that a significant capital outlay was required for the infrastructure, but the foremost priority was the financial recovery to improve its credit rating for borrowing.

Following the interaction with the Auditor–General of South Africa (AGSA), the City had to address the 2021 audit findings that, among others, included the breakdown of internal control systems.

The City seized with Section 56 recruitment of top management as all the senior posts were vacant.
At the time of the oversight visit, all vacant posts had been advertised.

The City was committed to working with other spheres of government and ensuring the adoption of best practices.

A funding plan was in place to prevent fiscal dumping.

The City was also constantly monitoring projects milestones to ensure accountability.
The City presented the following: strategic overview; USDG and ISUP performance; capital expenditure performance of 31 May 2023; USDG and ISUPG financial performance; 2022/23 service delivery 2 15 performance; transversal causes of poor spending of ISUPG and USDG and mitigation measures; USDG and ISUPG projects performance update; plans to address Rooiwaal wastewater treatment plant; water quality challenges in Hammanskraal; and plans to curb land invasions.
For the Provincial Department, the City’s under-performance on the Human Settlements Development Grant (HSDG) was attributed to three factors: • Contractors and Professional Resource Teams (PRTs) withdrawing from site because of insufficient subsidy quantum.

• Poor performances of contractors which led to termination of contracts and scope reduction.

• Disruption of projects by both communities and construction mafia.
3.1 Performance In relation to the MTSF targets, the City reported the following performance: 3.1.1 HSDG The Provincial Department reported to be implementing 14 HSDG projects in Tshwane during the 2023/24 Financial Year which included the following: • 576 planned housing units.

• 274 planned internal services (with respect to water and sewer).

• The HSDG Annual Budget was R113 747 790, 00.

3.1.2 ISUPG The ISUPG budget for the 2023/24 Financial Year was only approved on 29 June 2023.
The Provincial Department was in the process of transferring R83 million from the ISUPG to the City for the Pienaarspoort relocations project once the funding agreement was concluded.

Relocations to Pienaarspoort (Extension 15 and 16) was a Greenfields site for various informal settlements within the municipal area including Mamelodi flood victims, K54, and K69 Road Reserve informal settlements.
The scope of the project for the 2023/24 Financial Year entailed site clearance, relocation of households, and the provision of rudimentary services.

The ISUPG project budget was R83 million which was to be transferred by the Provincial Department to the City.

3.1.3 Blocked Projects During the 2022/23 Financial Year, a total of 357 houses in Hammanskraal West Ext 1 (Phase 1 and 2), and Soshanguve (IA and NN) were completed and allocated to beneficiaries.
Project profiles and progress of the 3 16 projects were presented together with other projects earmarked for construction during that Financial Year.

The Provincial Department indicated that the reasons for projects being blocked were due to contractors abandoning projects, outstanding title deeds, and outstanding township establishment.

On procurement policy, the City’s contention was that the new preferential procurement regulations may improve the supply chain management situation.
For the 2023/24 Financial Year, the City together with the Provincial Department were continuing with the unblocking of houses in the above-mentioned projects together with the assessment of five additional projects.

It was also stated that the outcome of the assessment would inform budget requirements for the adjustment period and the number of houses to be completed.
On the issue of interruption of projects by the business fora or construction mafia, the City contended that it was fair to negotiate with communities however, the problem was that construction companies were being forced to negotiate at gunpoint with various interest groups who interpret the 30% set aside to serve thier own interests.

The Winterveld Urban Renewal Programme was a rehabilitation or conversion of identified illegal dump sites on illegal dump sites.
With regards to progress to date, it was indicated that a PRT was appointed in June 2023, and the City was in the process of finalising the requisite initiation report following site visits.

3.1.4 Plans to curb Land Invasions The City presented a detailed report on land invasions and plans to curb the phenomenon.
It was reported that land invasions were a result of in-migration and porous borders; urbanisation, huge rural hinterland; and inherited apartheid spatial planning which resulted in many people residing far from economic nodes.

All the above were contributing to the growing demand for low-income housing, but housing delivery was not meeting the demand.

The large area of the City contributed to the increasing vulnerability of the vacant land being prone to invasions.
Of further concern was the lawlessness which undermined land development objectives and key investments.

In terms of Opportunities and Mitigation Measures, the following was highlighted: • The need to adopt growth management strategies.

• Prioritisation of infrastructure investment in desired areas.

• Combination of in-situ upgrading to address existing backlogs and higher density housing development to accommodate a large percentage of new growth.
• The Need for a comprehensive strategy for upgrading informal settlements.

• The City welcomed the provision of serviced stands as it embodies the element of ownership and agency.

• Land banking – land feasibility assessment conducted on land parcels acquired from other spheres or entities of government, namely Department of Public Works, Transnet, etc.
4 17 • In accordance with the National Upgrading Support Programme (NUSP), a detailed assessment of existing informal settlements had been undertaken and completed.

• A dedicated Land Invasion Unit was established within the Tshwane Metro Police Department (TMPD), whose members were reported to be trained in crowd control.

In addition, there were service providers that monitor all the hotspots within the Municipal area to identify and demolish all illegal structures in all seven regions of the City.
• The Invasion Unit was reported to be assisted by all seven TMPD Regional Policing Units to combat land invasion.

The City indicated that it was resorting to legal recourse through application to court for blanket court orders to prevent unlawful occupation.

The City also presented a detailed Action Plan that seeked to curb land invasion (see Oversight Presentation on Utilisation of the USDG and IUSPG, Provision of Serviced Sites and Plans to Curb Land Invasion).
The City further indicated that a large geographical area made it difficult, if not impossible, to respond within 48 hours (in accordance with the Prevention of Illegal Eviction from And Unlawful Occupation of Land Act, the PIE Act).

The City cited the unlawful occupation of Oliventshout which was a privately owned land, and stated that the occupation was an organised land invasion.

This had implication for the City as it was making it impossible to adequately plan and provide services.
The City presented another case of a privately owned farm area in Ward 105 Bronkhorstspruit that was invaded by a group of unlawful occupiers consisting of 55 households whose registration had since been done consisting of 96 persons.

It was reported that among these there were 18 elderly pensioners and individual living with a disability.

Of these, only 6 households consisting of 9 persons were reported to be registered on the National Housing Needs Register (NHNR) including one of the pensioners.
Municipal security services and South African Police Services (SAPS) were stretched as they were also responsible for other functions, hence the call for the possible review of the PIE Act.

In addition, the Constitutional Jurisprudence in respect of the provisions of the Constitution Court decision in the Grootboom case supports the case for the review.

The City also presented its’ approach in addressing the housing needs of occupiers.
For instance, the City’s Social Development Department, in collaboration with the Province’s Social Development Department, approached the pensioners with a view to having them placed in Retirement Centres in the area.

However, they declined the offer, instead they requested to be provided with serviced sites or accommodated in an existing township.
The City could not accede to the request as it was not possible to assist with serviced stands or houses due to its existing backlog; indicating that it was still dealing with applicants that had registered way back from 1996 to 1999.

All projects within the City had already approved beneficiaries.

5 18 There was a need for other government departments to assist these households.
For instance, the Social Development Department provided food parcels to the area for the households and was in the process of discussing the issue of schooling as well as support for women with young children.

In addition, the Department of Education was assisting with the provision of school transport.
The Provincial Department was assessing whether it would be possible to accommodate three of the prioritised beneficiaries in projects that were still under construction, and that the rest of those who were not registered on the NHNR were encouraged to register.
3.1.5 Upgrades of the Rooiwaal Wastewater Treatment Plant (Phase 1 – 3): (Various Project Phases would run parallel between 2023/24 Financial Year and 2025/26 Financial Year): Number 1 2 3 Description of Activity Phase 1: Acceleration of the completion of current project at Rooiwal Wastewater Treatment Plant currently at 68%.

Phase 2: Upgrading of Rooiwal Wastewater Treatment Plant to a further additional 80ML/day to accommodate more i9nfluent as well as desilting and de-sludging of the Leeukraal Dam.
Phase 3: Upgrading of Rooiwal Wastewater Treatment Plant by an additional capacity of 50ML/day & Upgrading & Refurbishment of Temba Water Treatment Works.

Output Start Date End date To improve effluent quality discharge into the Apies River.

1 September 2023 31 November 2024 July 2024 June 2026 October 2024 December 2024.

To improve water quality that is pumped into Temba Water Treatment Works that supplies areas of Hammanskraal.
To improve capacity of the Rooiwal Wastewater Water Treatment Works to meet current and future demands as well as improve effluent quality.

3.1.6 Immediate Interventions for the Water Supply 6 19 The following table present immediate interventions for water supply (Various phases were to run parallel Output To continue with current the alternative provision of clean water to residents.

Improved effluent quality with the current discharge quality the baseline.
as Start Date Ongoing End Date Still to be determined.

Ongoing Still to be determined.

To improve water provision through a piped system to all residents.

July 2023 March 2024. for 8 months): Number 1 2 3 at of Description Activity City of Tshwane to with continue mobile water tanking services for communities around Hammanskraal, designated from water filling point including testing.
Explore the use of alternative to technologies improve treatment efficiencies of unit the processes Rooiwal Wastewater Treatment Plant and effluent discharges into the Apies River.

of Provision alternative water sources by Magalies Water Board of Hammanskraal through emergency construction of a 30- 40 ML/day Package Plant at Klipdrift Water Treatment Works.
The Package Plant to be is in a implemented phased approach on units of 10ML/day at a time starting from October 2023 the Klipdrift at Water Treatment Works.
the The Delegation was informed of the intervention partnership meeting between the Minister of Water and Sanitation, Mr S Mchunu, and the Executive Mayor on 26 May 2023 followed by a media briefing on 1 June 2023 during which directives were issued to the Director-General (Department of Water and Sanitation) and City Manager: The City of Tshwane that the following be established: • A Technical Steering Committee (TSC) to oversee the implementation of the Hammanskraal Intervention Support Project.
• A Sub-Finance Committee to model the project funding for various phases of the intervention support.

7 20 The two sub-committees had since been jointly integrated to form a Joint Steering Committee (JSC), which consisted of the Department of Water and Sanitation, the City, Magalies Water Board, Development Bank of Southern Africa (DBSA), and Rand Water Board, chaired by the Deputy Director-General: WSSM (Department of Water and Sanitation).
At the time of the oversight visit, the JSC had held three meetings (on 2, 7 and 27 June 2023), the Terms of Reference (TOR) were developed, and circulated for approval by the JSC.

The JSC had invited the Danish Bank to be part of the following meeting in mid-July 2023.

The City also reported that required maintenance of water infrastructure needed to be conducted consistently to prevent decay, subsequently leading to cost escalation.
It further reiterated that the scientific tests conducted could not indicate that the recent cholera outbreak was due to the local water sources, and that part of the tests were conducted on water provided by water tanks.

The City contended that looking at the geography of the Hammanskraal affected area, there was a presence of pit latrines within an area that is considered traditional (rural).
The solution to some of the challenges could be township establishment and hence the City was in the process of engaging the local Chief Kekana to acquire land for the required township establishment.

Tt was also imperative to tighten contractual agreements with the 55 water tankers supplying Hammanskraal.
The delegation was also informed of the Institutional Agreements to be concluded with various parties including a Memorandum of Understanding, and a Service Level Agreement was to be finalised between the City and the DBSA.

In its concluding remarks on plans to address Rooiwaal Wastewater Treatment Plant including water quality challenges in Hammanskraal, the City and the DBSA were in the process of finalising an MoU to formally appoint an Implementing Agent by 15 July 2023.
Furthermore, the finalisation of a funding model between the DBSA and Magalies Water on the Package Plant was underway and it was envisaged that would be finalised by 30 July 2023.

Discussion between the City and Rand Water on future scope was to be addressed by the JSC, however clarity on the role of Rand Water on projects was to be established.

Furthermore, the Danish Bank had shown willingness to support the project technically and financially on Phases 1 and 2 through a concession.
The City was to share other plans to fix the entire water and sanitation infrastructure, including water expansion projects within the City.

The JSC had started discussing the whole catchment approach intervention for the City, as well as models through which integrated funding could be sought on an ongoing basis beyond Phases 2 and 3.
3.2 Remarks by the National Department The Chief Financial Officer (CFO) stated that she was aware of the issues raised by the Executive Mayor, particularly the underspending of the grant during the financial year under review (2023/24) on the issue of the provision of serviced sites, and the formalisation of informal settlements.

An appeal was made for the 8 21 City to prioritise the provision of basic services to prevent returning funds to the National Treasury.
The CFO also indicated the Department’s support for the City’s Recovery Plan.

She further stressed the need for the City to focus on the provision of serviced sites, formalisation of informal settlements, MTSF targets while ensuring value for money.
3.3 Deliberations The Delegation deliberated on the following: • Irrespective of the absence of a scientific link between the cholera outbreak and the wastewater treatment plant, it was imperative to continue to provide the Hammanskraal Community with clean water as per the commitment made by the City during a previous visit by the Committee.
The Delegation also stressed the importance of addressing the issue of wastewater treatment plants throughout the country and expressed deep concern about wastewater treatment plants that also contaminate clean water sources and supply.

There was need to do away with water tanks once the issue of wastewater treatment plants had been adequately addressed.

• The Delegation expressed appreciation for the measures undertaken to curb land invasions.
However, it called for better coordination with other spheres of the government and stakeholders.

It also called for the need to regulate private sector land management.

It suggested that the notion of obtaining blanket interdicts against unlawful land occupiers or land invaders to be shared with other metropolitan municipalities.

It also advised that the City to ensure constant monitoring and managing of its land to prevent unlawful land occupation.
• On the possible review of the PIE Act, the Delegation argued that the 48-hour timeframe was a requirement for immediate action against unlawful land occupiers.

Private land or property owners were duty-bound to act promptly.

• On blocked projects, the Delegation expressed the view that there was no clarity as to where the City was.
• On expenditure, the Delegation argued that allocated funds should be spent on projects and services instead of having the funds returned to the National Treasury due to the failure to spend.

For the Delegation, the guiding principles on allocation should entail cooperation, collaboration, partnerships, and take on board best-practice.
• On the issue of disruption of projects by construction mafias, the Delegation contended for the need to explore ways of adhering to the 30% set aside for local contractors as well as ways to engage communities.

It also called for clear criteria for selecting contractors, considering the track record of contractors as well as the need to tighten the procurement process.

For the Delegation, the issue of consequence management against contractors who abandon projects needed to be implemented.

9 22 4.
9 22 4.

Projects Visited The following sites were visited: 4.1 Booysens Ext 4 project (Pretoria West) The project is located on Portions 45, 83, 87, R/88, 89, R/90, 98, R/99, R/101, 102, 164 and 165 of the farm Zandfontein 317-JR and Erf 287, Claremont.

It was initially planned as a mixed development project comprising of 1 700 units with different tenure options such as fully subsidised, Finance Linked Individual Subsidy Programme (FLISP), bonded houses, and affordable rental units.
It was later revised to 1185 units comprising of 481 serviced stands and 704 affordable rental units.

At the time of the oversight visit, 481 households had been relocated to their stands.

Affordable rental units would also be developed in future.

The beneficiaries of this project were from Gomora and Malusi informal settlements.

This was one of the projects targeted for the Letsema Programme.
The project was critical to the City and its objective was to address water capacity constraints in the Kirkney and Andeon areas.

During the walkabouts the Delegation was informed that Booysens Ext 37 started in 2018 and there were 4 000 informal Settlements.

The Committee wanted to know the role of the community in the project.

It was concerned about slow progress.

Clarity was sought on whether there was any expropriation with or without and whether was there refusal in getting the land.
How many young people, women, and people living with disabilities benefited in this project.

Was the budget going to be adequate to complete the project.

Further clarity was sought on whether the budget utilised was the one initially transferred.

The Delegation was informed that young people involved were at 90% of local labour, 10% was for technical skills like welding.

The beneficiaries were relocated according to the plan and people were residing already.
The contractor was working well with the community, there was 6km pipeline, reservoir, and access road to the reservoir.

The project was 87% complete in pipeline.

The project had almost 24 months to get approval of expropriation.

The land order went to court and the work had to stall.

That also delayed the reservoir and pipeline construction.

The high-water table also stalled the work as trenches dung were often full of water.
Community arrests also impacted the work and the mayor had to come and stabilise the situation.

Budget was enough to complete the project.

The Delegation drove through the Gomora informal settlements where it was shown the electrified informal structures.

According to the layout plan some houses were encroaching on an open space, despite the deblocking.
4.2 Soshanguve 10 23 The City appointed Silver Horns Consulting to takeover professional services relating to the construction of new water and sewer infrastructure in Soshanguve MM.

The appointment was for the following work stages: • Stage 1 – Inception (Sewer reticulation only).

• Stage 2 – Concept and viability (Sewer reticulation only).

• Stage 3 – Design development (Both Water and Sewer reticulation).

• Stage 4 – Documentation and Procurement.


• Stage 5 – Contract Administration and Inspection i.e.

Construction Monitoring (Both Water and Sewer reticulation).

• Stage 6 – Close Out (Both Water and Sewer reticulation).

4.3 Soshanguve MM water and sewer reticulation There were 23 labourers on site, more contractors would be employed for top structure.

The contractor was appointed on 29 May 2023.

Stands were rezone from school site, 25% for school.
The Delegation commended the City for safeguarding the funds by not paying upfront.

However, it was worried about the detour in the project.

The Delegation was concerned about the issuance of tittle deed and sought clarity on how beneficiary management was handled.

Clarity was sought on whether the City was undertaking authentications before giving the stand to beneficiaries and auditing if they were South African Citizens.

What was the City doing for no-qualifiers.


The City informed the Delegation that 70% of the beneficiaries were women and the project was in-situ upgrading.

It allocated stand to South African Citizens only.

The City was collaborating with the Department of Home Affairs with regards to screening of beneficiaries.

There were 20 stands on top of pipeline that require to be relocated.

4.4 Rama City electricity reticulation The project was a greenfield mega project which started in June 2022.
The budget and expenditure were R57 245 816.

The bulk sewer links were to be completed by the City.

The initial size of the project was 18 170 with 1426 houses, 1215 Breaking New Ground (BNG) houses, 10 PWD, 200 Military Veterans.

House constructions were on-hold pending finalisation of land ownership dispute and bulk sewer link installation.

Allocation of houses was at 90% completion and the City was installing electricity.

The project was at 65% completion.


There were some challenges in this project such as the following: • Lack of cohesion challenges resolved between the Military Veterans and the community.

• Invaded Military Veterans houses by Military Veterans – 40 houses and 22 were evicted by the developer.

11 24 • Sewer connections were pending, portable toilets still in use.

• House construction of phase 1 completed but the project was on hold.
During the walkabout, the Delegation was informed that the project was a result of a land restitution claim wonned by the community.

There would be approximately 17 000 housing opportunities including 1 426 houses and 196 houses for Military Veterans.

The Electricity Department was busy with internal reticulation in 2500 houses.

There was no substation and electricity were sourced somewhere on the feederliner.

The Electricity Department was waiting for cables and would be able to complete the work.
The Delegation was concerned about the land claim or land restitution that was utilised by the City to build houses, wanting to know if the city bought the land from the owners or what was the agreement.

It was curious to know how a CPA was changed to Mega project.

The Delegation wanted to know if there were any documents signed between the landowners, were those documents already available.

What benefit was for the owners of the land, whether they were compensated for the land.
The Delegation requested the profile of the workforce.

Clarity was also sought on why there was no sewer reticulation.

The City informed the Delegation that there was no link yet for sewer line.

There were portable toilets that were service two times a week.

The project had 160 Miliary Veteran houses build.

People benefited in terms of jobs and of getting houses.

Landowners were also benefitting in a crusher plant that was part of the land as they had shares on it.
Landowners also benefited as the City was installing bulk sewer for them.

A detailed report on the job creation was requested from the City and this should be forwarded to the Committee within 21 days.

In addition, the Committee requested report on the agreement between the province, the City, and the Rama City landowners.
The Delegation visited the following houses: • House for people living with disabilities – this house had no electricity, running water and toilet was not flushing due to water challenges.

• Military Veteran - two bedroomed house, open dining room, and kitchen as well as car port.

The owner was pleased to be benefited.

• Power Station – the contractor was on sight busy with connections.

The Delegation wanted to know how the City was going to prevent vandalism and cable theft in the project.
The City stated that in some areas there were covering the power box station with concrete wall that cover the power box.

The challenge was that it requires crane to put and to take out in times of faults.

Some power 12 25 boxes were the ones that requires electronic padlock, but the challenge was its inaccessible during load shedding.
4.5 Klipgat Wastewater Treatment Plant The Employer’s objective was to recommission Modules 3 and 4 to enable the works to operate at sufficient capacity to handle the current wastewater flow into the works and to replace the stolen items to improve the quality of the effluent discharged into the environment.

The project started on 16 January 2019 with designs, 25 January 2021 with construction works.
Project deliverables were as follows: • Construction of a new Clearview and electrified security fence line, including CCTV cameras and security system around the works to ensure adequate security for the operation of the plant.

• Clean and refurbish the existing anaerobic, aerobic digesters, settling tanks, inlet works and biological reactor of modules 3 and 4.

• Cleaning flushing and repairing of the various existing interconnecting pipelines of the works to be re- commissioned.
• Re-building of the guardhouse, the office, and ablution facility.

Module 4 MCC building, Module 3 and 4 pump station buildings and the inlet works screen shelter.

Re-building of Module 3 biofilter splitter box, and various chambers.

• Construct a new 2,500 m3 concrete unheated anaerobic digester, to be connected to the existing primary sludge handling and treatment system.

• Construction of a new chloring dosing building, Module 3 recirculation pump station and service water pump station and system.
• Refurbishment of existing and new mechanical/electrical equipment and civil structures.

• Re-building of sludge drying beds.

• Re-instating the ESKOM connection and construction of a new Ring main unit with 5 minisubs including distribution to all buildings and mechanical equipment.

The total budget approved for the project was R235 904 million and the overall construction was at 89%.

The original completion date was 15 November 2022 but was later revised to 15 November 2023.
The Group Head for Water and Sanitation Department, Mr D Gubuza, briefed the Delegation.

He informed the Delegation that the City had 15 wastewater treatment plant, four of them were the critical ones.

The one in Klipgat was going to provide 40mg litres per day and had three treatments trays.

The construction was at 90% completion, electricity was vandalised and had to build a new digester, rebuild sludge drying beds.
The project started in 2020/21 Financial Year and was aimed to be complete on 15 November 2023.

The budget for the project was R200 million, 90% of the labour force was from the community.

The project started with 13 26 90 people working and scaled down to 43, there were 14 sub-contractors and they sourced labour locally.

The City had to upgrade the fencing for security purposes with electric fence and cameras.

The Delegation wanted to know if any skills were transferred to the local people.
How much would be ploughed back to the community.

Clarity was sought on whether the cost for damages was calculated and what were the plans in place to curb future vandalism.

The reasons for the project to delay.

What practical steps were taken besides fencing, and whether the SAPS was involved.

How they were dealing with construction mafias who sometimes pretended to be community.

The City informed the Delegation that it was utilising local labour.
The Department of Water and Sanitation met with the National Department to assist with funding, and the capital funding was sourced from National Department.

4.6 Soshanguve South Ext 6 and 7 (Thorntree Views) Roads and Stormwater project.

The project was a flagship programme which started in 2020, in partnership with the private owner.

The project was going to yield approximately 11 000 mix tenure agreement.
The consultant for the project was Lilly Bara About 5 800 people benefited and title deeds were handed over.

Bulk infrastructure such as storm water pipes was installed, and some machineries were sourced from the community.

The budget utilisation was 62% of the allocated funds and it was at 69% to completion.

There were about 77 work opportunities created, and 25% was spent on the local Small, Medium and Micro Enterprises (SMMEs).
The Delegation wanted to know if 60% of the spending was realistic, and how the selection was regulated, and the fairness and clarity on whether equal opportunities were given to the community.

The Delegation was informed that there were challenges due to rainfall which affected project completion timeframe.

The contractor was supposed to be done that year however, time would be extended at no additional cost.
The community and the Councillor working together better managed the project and there were no community dynamics.

The contractor stated that roads would be done in 2023/24 Financial Year if there was no rainfall.

The stormwater and road works (which was at 20km and 10km) were completed.

The contractor reported that it had started with still works.
The project had two Community Liaison Officers (CLO) who were appointed and were tasked to assist in sourcing people for work-related issues in conjunction with the contractor.

Clay conditions were a challenge, after rain it was requiring that the contractor must wait for 15 days before working again.

The City did monitor the implementation and source the sub-contractors.
14 27 5 Recommendations The Delegation provided the following recommendations to the City: • Conduct audits before giving the stand to beneficiaries to ascertain that they are South African Citizens.

• Relocate the old man who was blocking the project pipeline in Soshanguve MM project.

• Ensure that there is a legal development agreement between the City, the Province, and Rama City landowners.

Furthermore, ensure that landowners benefit from the Rama City project.
• Provide the Committee with a detailed report on the breakdown of job created in all projects visited within 21 days.

• Ensure that houses provided to people living with disabilities accommodate their disability.

• Put in place plans to curb future vandalism and home invasions.

• Adequately deal with issues causing fiscal dumping by the City.

• Prevent underspending in all human settlements’ grants.

• Ensure consequence management for poorly performing contractors.
• Put in place plans to deal with construction mafias.

National Department should work with all spheres of government to deal with the issue.

• Provide a strategic presentation to National Treasury about the nature of in-migration to the City, and how it contributes to the hight demand for housing and other services.

This would assist the City to get financial support.

• Share the blanket interdict approach with other Metros to assist them prevent land invasions.
• Audit multi-year projects to establish value for money.

• Ensure that the USDG and ISUPG are used as supplementary grant to capital budget provided the City.

Report to be considered.

15 28 3.

REPORT OF THE PORTFOLIO COMMITTEE ON SOCIAL DEVELOPMENT ON THE FOURTH QUARTER PERFORMANCE AND EXPENDITURE REPORT FOR 2022/23 OF THE DEPARTMENT OF SOCIAL DEVELOPMENT (DSD), DATED 20 SEPTEMBER 2023 1.
INTRODUCTION The Portfolio Committee on Social Development (hereinafter referred to as the Committee) having examined the Fourth Quarter Performance and Expenditure Report for 2022/23 of the Department of Social Development (hereinafter referred to as Department) on 31 May 2023, reports as follows: 2.
MANDATE OF THE COMMITTEE The Committee’s mandate as prescribed by the Constitution of South Africa and the Rules of Parliament is to build an oversight process that ensures a quality process of scrutinising and overseeing the department’s action.

It is to conduct oversight that is driven by the ideal of realising a better quality of life for all people of South Africa.
The Committee is also required to facilitate public participation, monitoring and oversight over the legislative processes relating to social development.

In doing this, it also confers with relevant governmental and civil society organs on social development matters.

The Committee also enhances and develops the capacity of its members to exercise effective oversight over the Executive Authority in social development.
It monitors whether the Department of Social Development fulfils its mandate according to priorities.

It also has a mandate to perform the following: • Considers legislation referred to it; • Conducts oversight of any organ (s) of the state and constitutional institution(s) falling within its portfolio; 1 29 • Facilitates appointment of candidates to entities; • Considers international agreements; and • Considers budget of department and entities falling within its portfolio.
For the current medium term (2019 – 2024), the Committee’s oversight focuses on the department and its entities performance with regard to the implementation of the priorities set in the National Development Plan and in the Medium Term Strategic Framework.

3.
3.

THE MANDATE OF THE DEPARTMENT The department derives its mandate from several pieces of legislation and policies, including the White Paper for Social Welfare (1997) and the Population Policy (1998), which sets out the principles, guidelines, policies and programmes for developmental social welfare in South Africa.

The White Paper for Social Welfare has provided the foundation for social welfare in the post-1994 era.
The Constitutional mandate of the department is to provide sector-wide national leadership in social development by developing and implementing programmes for the eradication of poverty and social protection and development amongst the poorest of the poor and most vulnerable and marginalized.
3.1 Policy priorities for the medium term • Priority 1: A Capable, Ethical and Developmental State • Priority 2: Economic Transformation and Job Creation • Priority 3: Education, skills and Health • Priority 4: Consolidating Integration, Human Settlement and Local Government • Priority 5: Spatial Integration, Human Settlement and Local Government • Priority 6: Social Cohesion and Safe Communities • Priority 7: A better Africa and World 2 30 3.2 National Development Plan (NDP) The abovementioned priorities are in line with the (NDP) vision 2030, which inter alia promotes social protection and is defined by: • Protective measures to save lives and reduce levels of deprivation; • Preventative measures which help people avoid falling deeper into poverty and reduce their vulnerability; • Promotive measures which enhance the capabilities of individual communities and institutions; • Transformative measures which tackle inequities through changes in policies, laws and budgets; and • Developmental and generative measures, which increase the poor’s consumption by promoting local economic development.
3.3 Key strategic themes emerged from the State of the Nation Address (SONA) 2022, which have a bearing on the Department: The following key strategic themes emerged from SONA 2022, which have a bearing on social services sector: • Ending gender-based violence (GBV): government is intensifying the fight against gender-based violence and femicide through implementation of the National Strategic Plan on gender-based violence and femicide (GBVF) and other measures to promote the empowerment of women.
For an example, February 2022, the President signed into law three new pieces of legislation, which strengthened the criminal justice system, promoting accountability across the state and supporting survivors.

The implementation of this legislation will go a long way to ensuring that cases are successfully prosecuted, that survivors are protected and that there are more effective deterrents in place.
The President noted that the fight against gender-based violence will never be won unless, the society mobilises all formations and all citizens behind a sustained programme of social action.

3 31 • Extension of the special covid-19 grant: since the onset of covid-19, the social relief of distress grant has provided support to more than 10 million unemployed people who were most vulnerable to the impact of the pandemic.
As much as it has had a substantial impact, government must recognise that the country faces extreme fiscal constraints.

A fiscal crisis would hurt the poor worst of all through the deterioration of the basic services on which they rely.

In this regard, the President announced that the period for special covid-19 grant would be extended for one further year, to the end of March 2023.

This was because of the proven benefits of the grant during the covid-19 health pandemic period.
• A need to improve payment systems and sustainability of R350 grant: the President assured the country that any future support must pass the test of affordability, and must not come at the expense of basic services or at the risk of unsustainable spending.

During this time, government will engage in broad consultations and detailed technical work to identify the best options to replace this grant.
• Job Creation - Expanding Public and Private Employment: it is the responsibility of the private sector to create jobs and government needs to provide a conducive environment for this to happen.

As government works to grow the economy and create jobs, SONA 2022 assured the nation that government would expand support to poor families to ensure that no person in this country has to endure the pain and indignity of hunger.
The President said that, the Social Employment Fund will create a further 50,000 work opportunities using the capability of organisations beyond government, in areas such as early childhood development, and tackling gender-based violence among others.

In addition to expanding public employment, government is providing support to young people to prepare them for work and link them to opportunities.
SONA 2022 made a comment that the social economy, including early childhood development, has significant potential not only to create jobs, but also to provide vital services that communities need.

4 32 4.
4 32 4.

OVERALL ASSESSMENT OF THE FINANCIAL PERFORMANCE 4.1 Overall budget allocation Figure 1: Adjusted budget appropriation for 2022/23 Overall allocation: R247.8 billion Programme 1: R513.7 million Programme 2: R239.1 billion Programme 3: R7.5 billion Programme 4: R313.5 million Programme 5: R362.3million The Department received an adjusted allocation of R247.9 billion for the 2022/23 financial year, of which R246.3 billion was appropriated for transfers and subsidies.
This was mainly in the form of social grants for households, i.e.

R239.1 billion.

In addition, R7.3 billion was earmarked for the South African Social Security Agency (SASSA) for administration of social grants, and R219.3 million to the National Development Agency (NDA).
4.2 Overall expenditure as at fourth quarter 5 33 Table 1: Budget and Expenditure Summary Programme Final Voted Apr – Jun 2022 July-Sept 2022 Oct-Dec 2022 R’000 R’000 R’000 540,485 239,132,592 121,217 52,317,517 142,378 58,400,242 147,302 62,210,854 P1 :Administration P2: Social assistance P3: Social Security Policy And Administration P4: Welfare Services Policy Development And Implementation Support P5: Social Policy And Integrated Service Delivery TOTAL Economic Classification Current Payments Compensation of Employees Goods and Services Transfers and Subsidies Departmental agencies and accounts Foreign governments and international organisations Non-profit institutions Households Payments of Capital Assets Payments of Financial Assets TOTAL Actual Jan - Mar 2023 Total Spending R’000 128,179 60,108,806 R’000 539,076 233,037,419 % Spent 99.74% 97.45% 99.78% Available R’ 6,340
13,181 546,170 0 52,319,678 7,124 6,340 58,400,607 165 4,804 62,211,288 10,648 30,513 59,781,047 - As at the end of the fourth quarter, the Department had spent R241.7 billion (97.5%) of its allocation.
The Department thus incurred an under-expenditure of R6 billion for the 2022/23 financial year.

The lower-than-expected expenditure was mainly due to the COVID-19 Social Relief of Distress (SRD) grant.

This was due to lower than anticipated uptake of the grant following implementation of stringent income verification measures intended at improving targeting the poorest.
A Second Adjustment Budget was tabled in March 2023 where an additional amount of R3.7 billion was declared a saving on the SRD R350 grant, which resulted to a total amount of R9.7 billion declared as saving on this grant for the 2022/23 financial year.

There was also an observed under expenditure of R1.5 billion in the Old Age Grant (OAG), and R647 million on the Child Support Grant (CSG) also due to lower than anticipated beneficiaries.
In terms of economic classification, R240.4 billion was spent on Transfers and Subsidies line item spent R240.4 billion, i.e., underspending of 2.4%.

Expenditure on Compensation of Employees (CoE) reached R512.9 million, resulting in 1.9% less 6 34 than what was allocated.

Spending on Goods and Services was R470.6 million, i.e.

5.7% lower than what was budgeted for.

The reasons for under-expenditure will be discussed under the each of the relevant programmes.
4.2.1 Programme expenditure as at fourth quarter Programme 1 exceeded its allocation with 4.9%, whereas programmes 2, 3, 4, and 5 all incurred under expenditure.

As was the case in the previous financial year (2021/22), Programme 4 is the lowest performing in terms of underspending.

There was a slight improvement in spending for Programme 5, from 6.5% in 2021/22, to 0.5% in 2022/23.
4.2.2 Programme 1: Administration Table 1: Programme 1 expenditure Programme 1: Administration 2022/23 2021/22 Total Projected Actual % Available % adjusted expenditure expenditure expenditure budget/ expenditure allocation underspending R513.7m R513.7m R539.1m 104.9 % R-25.4 million 113% This programme spent R539.1 million, exceeding its budget with 4.9%.

During the previous year (2021/22), spending exceeded by 13% of its allocation.
For 2022/23, the programme incurred over-expenditure to the value of R25.4 million mainly on communications.

This was due to: • Telecommunications for the Toll-free Hotline for grants and “compensation of employees (R13.4 million higher than available budget); and • Goods and Services (R8.0 million higher than available budget) driven by various goods and services items including property payments, contractors, 7 35 travel and subsistence and operating payments.
Spending on Payment for Capital Assets was also higher than the available budget.

4.2.3 Programme 2: Social Assistance Programme 2: Social Assistance 2022/23 2021/22 Total Projected Actual % Available % adjusted expenditure expenditure expenditure budget/ expenditure allocation underspending R239.1 bn R239.1 bn R232.1 bin 97.3% R6.4 bn 100.5% This programme was allocated R239.1 billion in 2022/23, compared to R221.7 billion the previous year.

Expenditure reached 97.3% (or R232.7) at the end of 2022/23.
In 2021/22, this programme exceeded its allocation with 5% (105% overall spending).

The contributing factors to under-expenditure in 2022/23 included: • COVID‐19 SRD grant which spent R4.8 billion less than budgeted due to lower than anticipated uptake of the grant following implementation of stringent income verification measures intended at improving targeting of the poorest.
• There was also underspending of R1.5 billion on the old age grant and R647 million on the child support grant due to lower than anticipated beneficiaries.
4.2.4 Programme 3: Social Security Policy and Administration Programme 3: Social Security Policy and Administration 2022/23 2021/22 8 36 Total Projected Actual % Available % adjusted expenditure expenditure expenditure budget/ expenditure allocation underspending R7.5 bn R7.5 bn R7.4 bn 99.4% R43.4 m 99.7% This programme spent R7.4 billion (or 99.4%) of its allocated budget.

This showed an under expenditure of R43.4 million.


Under-expenditure was mainly under Compensation of Employees and Goods and Services, owing to the delay in establishing the Inspectorate for Social Assistance.
4.2.5 Programme 4: Welfare Services Policy Development and Implementation Support Programme 4: Welfare Services Policy Development and Implementation Support 2022/23 2021/22 Total Projected Actual % Available % adjusted expenditure expenditure expenditure budget/ expenditure allocation underspending 313.5 mil 313.5 mil 295.3 mil 94.2% 18.2 mil 97.2% This programme spent 94.2% of its allocation of R313.5 million.

It incurred under- expenditure of R18.2 million of its allocated budget for 2022/23.
Financial performance regressed from 97.2% spending the previous year.

Under-spending was due to: • Lower spending on Goods and Services (R9.6 million) which includes underspending on business consultants (R5.6 million lower) as well as travel and subsistence (R9.1 million lower).
• Lower spending was also recorded on transfers and subsidies to other transfer to non-profit institutions (R2.3 million lower than the available budget), advertising on campaigns related to gender-based violence (GBV); substance 9 37 abuse and on Payments for Capital Assets (R4 million lower than the available budget).
4.2.6 Programme 5: Social Policy and Integrated Service Delivery Programme 5: Social Policy and Integrated Service Delivery 2022/23 2021/22 Total Projected Actual % Available % adjusted expenditure expenditure expenditure budget/ expenditure allocation underspending R362.3 m R362.3 m R360.6 m 99.5% R1.7 m 93.5% This programme spent R360.6 million or 99.5%.

Spending, however, improved significantly from the previous financial year when it reached 93.5%.
The lower spending in 2022/23 was mainly under compensation of employees, which was partly offset by higher than projected spending on several other items in goods and services and consultants.

4.3 OVERVIEW OF NON- FINANCIAL PERFORMANCE TARGETS 4.3.1 Overall performance targets This section focuses on Department’s non-financial performance for the fourth quarter of 2022/23 financial year using the 2022/23 Annual Performance Plan (APP) as a benchmark.
In terms of non-financial performance, the Department had set itself a total of 65 targets across all five programmes in the 2022/23 financial year.

Programme 1: Administration 10 38 The purpose of this programme is to provide leadership, management and support services to the Department and the sector.

The Department under this programme had set to achieve 13 targets under this programme.
Set targets for 2022/23 Reasons for non-achievement Human Capital Management: Submit The Strategy was presented to the the Government Wide strategy on the Technical Working Group for Social employment of Social Service Protection.

The Strategy will only be Professionals to Cabinet by the end of submitted to Cabinet in the next the fourth quarter 2022/23 financial financial year 2023/24.

year.

Legal Service: Table NPO Amendment NPO Amendment Bill was not tabled in Bill to Cabinet.
Cabinet as planned by DSD.

The reasons Submit the Draft SASSA Amendment Bill to Cabinet for cited for that is that the NPO Amendment Bill was withdrawn due to promulgation of the General Laws Amendment Act, 2022 which rendered the NPO Bill obsolete.

SASSA Amendment Bill was not presented to Cabinet.

This is because the Bill is still being considered for a preliminary opinion by the Office of the Chief State Law Adviser.
There are external dependencies in that the Bill must first have a preliminary certification with legality and constitutionality before it can be approved by Cabinet.

11 39 Submit the Victim Support Services VSS Bill was not submitted to Cabinet.

(VSS) Bill to Cabinet The delay in concluding the National Economic Development and Labour Council (NEDLAC) consultation prevented the Bill from being submitted to Cabinet on time.
The Bill has been submitted to DSD on 11 May 2023 and the process to submit to Cabinet was underway.
The following were some of the targets achieved under this programme: Sub -programme: Entity Governance and Oversight Framework implemented • Quarterly implementation of the Entity and Oversight Framework (January- March 2023): engagements were held with the National Development Agency (NDA), the Central Drug Authority (CDA), the South African Social Security Agency (SASSA) and the South African Council for Social Service Professions (SACSSP/Council).
The Joint EXCO assisted in improving and resolving some of the challenges that were experienced by SASSA and South African Post Office (SAPO) in relation to paying of grants.

Sub- programme: Monitoring and Evaluation • Electronic Monitoring and Evaluation (M&E) System for the Social Development Sector implemented: DSD reviewed the M&E System piloted in KZN and Gauteng Provinces.
• Stakeholder and Donor Management Strategy Implemented: Report on the implementation of the stakeholder and donor management strategy was developed by the end of March 2023.

Sub-programme: Information Management Systems and Technology • National Information Social Protection Information System (NISPIS): The target of developing a report on system integrated toward the realization of 12 40 NISPIS was achieved.

This was done after consultation with participating departments.
It was then presented and approved at Health and Social Development Society (HSDS).

• The target of acquiring and registering the NISPIS Domain through SITA was achieved.

• A report on systems integrated toward the realisation of NISPIS was produced by the end of March 2023, as planned.

Sub programme: Legal Service • Regulations on the Children’s Amendment Bill published: Draft Regulations on Children’s Amendment Bill were submitted to the Minister for approval by end of March 2023.
• NDA Act reviewed: Draft Amendment NDA Bill developed as planned for the fourth quarter.

• Regulations for Older Persons Amendment Bill approved: Draft Regulations on Older Persons Amendment Bill developed by the end of fourth quarter 2022/23 financial year.

4.3.2 Programme 2: Social Assistance Social Assistance transfers provide for the payment of social assistance grants to beneficiaries who qualify for social assistance in terms of the Social Security Act, 2004 (Act 13 of 2004).
It provides only funding related to payments to social assistance grant beneficiaries by the South African Social Security Agency and does not include salaries to staff.

Only 1 (one) target was planned for this quarter for all grants.

Set targets for 2022/23 Reasons for non-achievement Social Assistance: Monthly payment of During the 2022 AENE process, an social grant beneficiaries as amount of R6 billion was declared a 13 41 administered and paid by SASSA on saving on the SRD R350 grant.
A 2nd behalf of DSD: planned target is to Adjustment Budget was tabled in March transfer R62.07 billion of funds to 2023 where an additional amount of SASSA monthly.

R3.7 billion was declared a saving on the SRD R350 grant, which resulted to a total amount of R9.7 billion declared as saving on the SRD R350 grant for the 2022/23 financial year.
4.3.3 Programme 3: Social Security Policy and Administration The purpose of this programme is to provide for social security policy development, administrative justice, administration of social grants and the reduction of incorrect benefits payments.
A total of 8 (eight) targets were planned to be achieved under this programme: Set targets for 2022/23 Reasons for non-achievement Comprehensive Social Security: The draft White Paper on Develop Draft White Paper on Comprehensive Social Security was not Comprehensive Social Security.

developed as it depends on the consideration of public comments on the refined Green Paper.
The call for public comments is pending as government departments, primarily the National Treasury and the Department of Employment and Labour need to provide comments and inputs before Cabinet is requested for approval to re-gazette the Green Paper for public comments.

DSD 14 42 commenced engagements with government stakeholders.

The White Paper will be developed after considering public comments on the Green Paper.

DSD is fast tracking the engagements with other government departments.
Adjudicate 70% of appeals within 90 during the 4th quarter of which 711 The Tribunal adjudicated 2 572 appeals days of receipt (27.64%) were appeals adjudicated within 90 days of receipt.
The following were some of the targets achieved under this programme: Sub-programme: Comprehensive Social Security • The Policy on Linking Children Grants Beneficiaries to Government Services was revised, and stakeholder consultations were conducted in all provinces with stakeholders including officials of the DSD and SASSA; social grant beneficiaries, civil society organizations, research institutions, COSATU, social protection related departments; Portfolio Committee on Social Development and forums such as the National Child Care and Protection Forum (NCCPF).
Consultation report on the draft policy was developed.

• Consultations with relevant stakeholders were done and report on draft Policy on Maternal support for vulnerable pregnant women and children was reviewed.

15 43 • Draft Policy for Income Support for 18 to 59 year olds was reviewed and consultation with important relevant stakeholders was done as planned by end of fourth quarter.

• An Audit report on Disability Grant Medical Review Processes was produced.
4.3.4 Programme 4: Welfare Services Policy Development and Implementation Support This programme creates an enabling environment for the delivery of equitable developmental welfare services through the formulation of policies, norms and standards, and best practices.
A total of 24 targets were set to be achieved under this programme: Set targets for 2022/23 Reasons for non-achievement HIV and AIDS: Capacitate 200 SSPs on 200 Social Service Professionals Social and Behaviour Change (SBC) capacitated on Social and Behaviour programmes.

Change (SBC) programmes.

A total of 143 SSPs were capacitated on Social and Behaviour Change (SBC) programmes.

The training scheduled for the 4th quarter took place in the previous quarters due to availability of the provinces.
Provinces will be requested to identify training needs in the 1st quarter of each year.

Children’s Services: Capacitate 90 The target was not achieved due to social workers on the Adoption Policy unavailability of provinces.

Framework and Strategy.

16 44 Social Crime Prevention and Anti- The target was not achieved.

This was Substance Abuse: Capacitate 2 because other provinces were Provinces to implement the National capacitated in the previous quarter due Drug Master Plan (NDMP) to availability.
Submit draft Prevention of and Policy was not submitted to Cabinet for Treatment for Substance Use Disorders approval to gazette for public comments Policy to Cabinet for approval to gazette as planned.

A Draft Policy was for public comments.

reconsulted to include a new policy provision on Alcohol Harm Reduction Fund.

The Draft Policy will be submitted to Cabinet for approval for gazetting for public comments in the 2023/24 financial year.
The following were some of the achieved targets under this programme: Sub-programme: Children’s Legislation and Families • DSD overachieved its target of 5% by capacitating 35.5% (525) of the child protection workforce on the Children’s Act of the child protection workforce.

• The annual monitoring report on the implementation of ISHP Plan to curb teenage pregnancy was consolidated.

• The target of consolidating the monitoring Report on the implementation of family preservation programmes was achieved.
Sub-programme: Professional Social Services and Older Persons • A Readiness Assessment Report on the Implementation of the White Paper for Social Development was developed as planned.

Sub-programme: Social Crime Prevention and Anti-Substance Abuse 17 45 • DSD Anti-Gang Strategy implemented: The Anti- Gang Strategy was implemented in three (3) high-risk districts (in Capricorn District in Polokwane, Vhembe District in Biba, Limpopo Province; Gert Sibande District in Secunda, Mpumalanga Province).
• Education and awareness campaigns were conducted through the provision of prevention and early to curb social ills among children and youth in eight (8) instead of five (5) planned campuses.

• Number of public treatment centres capacitated on the implementation of the UTC: three (3) instead of two (2) public treatment centres were capacitated on the implementation of the UTC in Madadeni and Khanyane Treatment Centres in KZN Province and Taung Treatment centre in North-West.
• The NSP on Gender Based Violence and Femicide Pillar 4 of Response, Care, Support and Healing implemented: capacity build was conducted in five (5) GBVF hotspot districts on the Psychosocial and Intersectoral Policy on Sheltering Services.

These are names of the districts, Tshwane, Ekurhuleni and Johannesburg districts in Gauteng Province, Nelson Mandela Bay and Amathole districts in the Eastern Cape Province.
Sub-programme: Services for people with disabilities: • Capacity building on the implementation of the Respite Care Guidelines were conducted as planned in Bethlehem, Free State Province and Blaawbosch Youth Centre, Amajuba, KZN Province.

4.3.5 Programme 5: Social Policy and Integrated Service Delivery This programme provides support to community development and promotes evidence- based policymaking in the Department and the social development sector.
A total of 21 targets were set to be achieved under this programme: 18 46 Set targets for 2022/23 Reasons for non-achievement Poverty Alleviation, Sustainable The Framework was not submitted to Livelihood and Food Security: submit Cabinet as planned.

The Framework was the reviewed Sustainable Livelihood successfully presented to the Technical Framework to Cabinet.

Working Group (TWG), and Social Protection, Community and Human Development (SPCHD) meetings.
The framework must still go through other process before Cabinet.

The submission of the reviewed Sustainable Livelihood Framework to Cabinet will be prioritised in the 2023/24 financial year.

Population and Development: This plan was not finalized.

This was Adolescent Sexual and Reproductive because the Sexual and Reproductive Health and Rights Programme Justice Conference was only conducted Improvement Plan finalised.

in March 2023.

This target was deferred to the 2023/24 financial year.
Train 23 municipalities on the The target was not achieved.

Only 21 integration of migration issues into the municipalities were trained.

Efforts IDPs was recorded under this were made to invite and sensitize more programme in the fourth quarter than 23 municipalities about the 2022/23 financial year.

opportunities of the training, However, due to unforeseen circumstances 2 municipalities were unable to attend.
The following were some of the targets achieved under this programme: Sub-programme: Social Policy • A report on the State of the People of South Africa was produced by the end of March 2023.

Sub-programme: Special Projects and Innovations 19 47 • A total of 193 049 instead of 176 474 Extended Public Works Programme (EPWP) work opportunities were created through the Social Sector EPWP by the end of the fourth quarter.
This target was overachieved because of the Incentive Grant the programme received from National Treasury.

Sub-programme: Youth Development: • A Monitoring and Evaluation report on the implementation of the DSD Youth development Policy was produced.

Sub-programme: Non-Profit Organisations (NPOs) • DSD Sector Funding Policy implemented: A consolidated report on capacity building was developed by the end of March 2023.
• NPO Sector payment system implemented: A target to train users in 3 provinces to implement system was recorded for the fourth quarter of 2022/23 financial year.

Sub-programme: Poverty Alleviation, Sustainable Livelihood and Food Security • An annual report on the implementation of the National Food and Nutrition Security Plan was developed as planned.

5.
5.

DELIBERATIONS • Finalisation of Bills: The Committee noted with concern that there has been no progress made in the finalisation of Bills that were to be finalised in the current medium-term period.

It wanted to know when will the Department finalise the Non- profit Organisation Bill and other Bills.

Will these Bills be finalised before the end of 6th administration?

The Department explained that the NPO Bill was not tabled in Cabinet.
It was withdrawn due to the promulgation of the General Laws Amendment Act, 2022 which rendered the NPO Bill obsolete.

The Act covers issues of money laundering which the NPO Bill had also covered.

• Entity Oversight Framework: The Committee also noted that the Department reported that it met its target of quarterly implementing its Entity Oversight 20 48 Framework with its entities.
It was however concerned that service delivery challenges, such as overcrowding at SASSA offices, lack of queue management, impact of loadshedding, challenges with South African Post Office and Postbank, continue to plague SASSA.

The Department reported that there is a technical committee that Ministers and officials of DSD and the Department of Communication and Digital Technologies sit on to address challenges of inefficiencies in the payment of social grants, particularly regarding Postbank and SAPO.
The technical committee proposed that there should be a specific clear plan of action developed by DSD and SASSA to address service delivery challenges affecting the efficient payment of social grants.

• Social ills: The Committee reiterated its concern over the high levels of substance abuse, gangsterism, teenage pregnancy.

The impact of these social ills is inter- related.


It then wanted to know if the Department conducted any impact analysis on the implementation of the Anti-Gangsterism Strategy in the high risk areas.

The Department reported that South Africa has a broad Anti-Gangsterism Strategy that is led by South African Police Service (SAPS).

Departments are then required to develop their own strategies aligning them to their respective mandates.

It is the mandate of SAPS to deal with broader anti-gangsterism.
Monitoring of the anti- gangsterism strategy in schools is done by the Department of Basic Education.

There are 13 state owned substance abuse treatment centres in all provinces and the Department has standardised treatment provided.

It also trained social workers to work with evidence-based programmes (UTC), which is in an internationally accredited programme.
• Food security and child malnutrition: The Committee wanted to know if the Department conducts assessments to identify areas with high child malnutrition levels.

What source document(s) is it using to identity these areas?

21 49 The Department acknowledged that child malnutrition rates are increasing in the country.

It works with the Department of Basic Education to measure the number of children who visit health care facilities (clinics) for malnutrition.
It has also reviewed its Community Nutrition Development Centres (CNDCs).

It is also part of the multi- departmental committees that provide services and interventions to the children, particularly in most affected districts.

These committees have some datasets they use to identify these children.

• Social Relief of Distress Grant (SRD): The Committee also wanted to know the reason behind the slow uptake of the SRD grant?
The R9.7 billion saved on this grant was worrisome because there were still very high level of appeals not finalised, and payments not made even though applications were approved.

Regarding the R9.7 billion saved on SRD grant, the Department explained that National Treasury allocated the budget based on the estimated numbers the Department had submitted.

The estimated numbers were based on the previous payment cycle, which was 11 million beneficiaries.
However, with the revised stringent Regulations that excluded a lot of applicants, only 7 million beneficiaries were paid.

With the September 2022 budget adjustments, the money was then taken over by National Treasury to fund other pressing priorities of the country.
The implementation of the SRD grant in 2020 was done in manner that was all inclusive but as the implementation of the grant was extended the Department had to tighten the criteria used as per the advice of National Treasury in consideration of the fiscal constraints of the country.

There were also instances that people were receiving the grant illegally.

There has also been about 10% of people who migrated out of the grant.
The Department had made a request to National Treasury to increase the grant value to be above the poverty line, but the request was rejected.

• NPO compliance: The Committee also wanted to know besides the training given to NPOs, does the Department have a programme that assists NPOs to comply with the NPO Act requirements?

What are the reasons that complying NPOs were not 22 50 funded?

The Committee also wanted to know how the grey listing of the country had a bearing on the work of the Department.
Regarding capacity building of the NPOs for compliance, the Department launched a Know Your Status campaign mainly in Western Cape, Gauteng and KwaZulu- Natal provinces.

The NPO Act requires the Department to conduct capacity building to the newly registered NPOs.

Department officials also conduct onsite assistance.

The National Development Agency (NDA) also provides capacity building to non-compliant NPOs.
The South African Institute for Business has also been working with the Department to assist NPOs.

The Department has also developed a model in which developed NPOs should also assist about 20 small NPOs.

• Alcohol Harm Reduction Fund: The Committee sought clarity on what the Alcohol Harm Reduction Fund is.

The Department explained that it had developed a Prevention of and Treatment for Substance Use Disorders Policy, but it had no mechanism for fundraising to fight substance abuse.
The policy was then amended to include a chapter on Alcohol Harm Reduction Fund for fundraising.

The policy has now been submitted to Cabinet.

• Social Welfare Index: The Committee also wanted to know when would the Social Welfare Index go live?

The Department explained that the commitment for 2022/2023 was to develop the index, which was going to be the first one in the country.
A concept document was concluded, and it provided a guidance on how these indexes are designed and which best practices can be implemented in South Africa.

The next stage would be to cost the agreed option or best practice.

The final report will be provided to the Committee.

23 51 • Policy Linking CSG beneficiaries to Government Services: The Committee also wanted to know when will this policy be finalised?
• Extended Public Works Programme (EPWP): The Committee also wanted to know where or how do people apply for the work opportunities through Extended Public Works Programme (EPWP)?

It raised a concern that jobs that created are not sustainable and people are only paid R1 500 even though minimum wage in the country is R3 500.

The Department explained that payment of EPWP workers it is regulated by the Department of Labour and Employment, which is R112 a day.
The Department of Public Works and Infrastructure is responsible for advertisement and recruitment, and it works closely with municipalities.

• Expenditure reports: The Committee also wanted to know the reason the expenditure reports of the Department are different to that of National Treasury documents?

The Department explained that the Section 32 reports of National Treasury do not include virements the Department makes between programmes.

These are submitted at a later stage to National Treasury.
• Inspectorate for Social Assistance: It also wanted to know what has caused delays in the establishment of the Inspectorate.

It has been seven (7) years now.

• Sustainable Livelihood Framework: It also wanted to know the reason the Framework was not submitted to Cabinet for approval.

This is concerning considering the rise in the cost of living.

The Department explained that the Framework is a tool that Community Development Practitioners (CDPs) use to empower communities.
It did not need to be submitted to 24 52 Cabinet but after it was revised the Department was requested to submit it to Cabinet.

It acknowledged that there were delays in finalising it and it apologised for that.

The resolutions that were made in the meeting are included in the Committee minutes.

Report to be noted.

25 53