North West Social Development
TABLE OF CONTENTS
The North West Social Development serves a mostly rural province. The province is characterized by higher unemployment levels in the Western parts (Kgalagadi and Bophirima areas) and declining employment levels in the once vibrant Southern parts(Klerksdorp, Stilfontein, Orkney, Potchefstroom) as a result of closure of mines, and retrenchments. There is also a higher prevalence of HIV and Aids in these Southern areas. Child-headed and granny-headed households are on the increase in the province. The lack of infrastructure impacts negatively on our services. Established partners ie NGO's are found mainly in the Southern District, this calling for the intervention of the department to address these skewed services.
In the past years, the Social Development aspect was part of the larger department of Social Services, Arts, Culture and Sports. This arrangement resulted in the Social Development issues proportionate allocation of resources in terms of staff, especially in management and administration. It was only in 2002 that most of these positions were filled and hence more focus can now be placed primarily on Social Development issues.
The Department has a new responsive structure, which was approved in June 2005.
Negotiations are being held with Provincial Treasury to fill critical posts from this approved structure.
The Department is responsible for the following programmes:
The population unit is currently located at the Premier's office. The Department is gearing itself towards the implementation of SASSA in the province. We are preparing our Strategic Plans and Budget Inputs on the basis of new policy developments such as Children's Bill, Child Justice Bill and Older Persons. The Service Delivery Model and Financial Policy Awards also impact on our Strategic Plan.
2. Key Developments
The Department has a new approved structure that we believe will be responsive to the challenges posed by the Bills briefly touched above. The split of Social Development from Sports, Arts and Culture gave our understaffed Department, the opportunity to analyse and focus on the challenges facing our sector in the Province.
Our much needed services have been found to be thinly spread and in the majority of areas are non-existent due to lack of staff and other resources. The problem is compounded by the lack of established NGO's (only Southern District has a fairly large number of NGO's) who could play a complementary role in extending services to the communities. There has not been any increase in subsidies to NGO's nor has there been any increase in the number of funded NGO's over the past years. As result of these, the Service Delivery Model and Financial Policy award would require massive financial injection.
The Social Assistance grant is now part of the conditional grant as preparations (ring fencing of assets & staff, contractual obligations, recruitment of staff) are underway to establish SASSA in the province in line with National directives.
3. Departmental expenditure trends and key achievements
3.1 Overall expenditure trends
The Department experienced phenomenal growth in the past three years of 28.67% as depicted in table 1. This compares favourably with National at 28.8%. The growth stabilizes between 12%-13% from 2005/06 to 2007/08. Growth is mainly attributed to Social Assistance grants. The Social Assistance grant is the largest expenditure component of the department at above 90% as seen in table 2. It actually grows from 92% to 93% from past financial years through the new MTEF Cycle while other programmes (except Development and Support) decline over the same period.
3.2 Expenditure by programme, key achievements and challenges
Table 2 shows actual and budgeted expenditure per programme.
Programme 1: Management and Administration
Key personnel in the programme were recruited in late 2001/02 and early 2002/03.
Expenditure in the programme contributes under 2% of total departmental expenditure from 2001/02 - 2007/08. The programme is responsible for payments of rental of buildings and capital expenditure. Included in the 2005/06 - 2007/08 is capital expenditure of R30m, R25m, R15m respectively, for the construction of Secure Care centers and Places of Safety.
Without the construction of buildings, the programme in the 2005/06-2007/08 MTEF Cycle the prgromme declines from 1.2% to 0.9% respectively. These will most certainly compromise governance, strategic leadership and monitoring and evaluation on other key deliverables.
The programme has over the years charged its responsibilities with promotion of corporate image of the Department, assisting service delivery programmes, promote awareness of their services to communities, media relations, legal services to department, compliance of policies, Human Resource, Financial administration and implementation of Supply Chain Management and Support services. 98% of its budget has been spent. Training and development of overall staff remains a priority of administration.
The challenge faced by the programme relates to the declining budget over the period as a
proportion to total departmental budget as well as year on year allocation. As the service
delivery programmes increase their mandates it becomes essential that our support and
monitoring system are also enhanced to ensure full compliance.
Programme 2 : Social Assistance Grants
The programme is charged with administration and disbursement of grants to beneficiaries.
92% of total expenditure of this programme is on grants. Expenditure is estimated to reach R5,6 billion by 2007/08 financial year. For the current financial year (2005/06) the funds are administered as a conditional grant with the view to eventually hand over to SASSA. A tender for ring fencing has been advertised. Growth in beneficiaries has risen from 304 075 (April 2001) to 780 188 (June 2005).
The grant has phenomenal growth in the following areas:
Disability Grant from 46 844 to 98 184
Child support grant from 97 916 to 467 558
Forster care grant from 3 217 to 18 159
The older persons has stabilized and reached 183 000 by June 2005. The Disability has received much attention and the fast tracking of the definition of disability will assist. The province has gone on tender for medical doctors to assist during the assmments of applications.
The programme monitors the service level agreement entered into with the agencies; SA Post Office, CPS and Mr Tent( the latter providing shelter at pay-points) to ensure services are rendered with dignity and care. The Department has gone on tender for pay-point renovations as well as advertised for SASSA offices.
We currently participated in the Anti-fraud campaign and over between 8000 and 9000 members of communities have applied for indemnity. The public servants cases are also heard.
The department also issued 80 000 life certificates and is processing those that were returned.
There is a media campaign currently running on the issue.
Programme 3 : Social Welfare Services
The programme constituted 6% of total expenditure and this declines in proportion to total expenditure to 3% over the 2005/06-2007/08 period. The programme is under-going changes in its service delivery structure as a result of Service Delivery Model and the Bills discussed above.
The Department has over the years rendered services to the aged, children in need of care, Substance abuse and crime prevention and victim empowerment.
There is only one Treatment and Substance Abuse center run by government and NGO in the province. 7 local drug action committees and 12 support groups have been established. In the first quarter of 2005/06 over 250 clients received counseling. The province has I home for the aged and other 26 homes for the aged run by NGO's sector with 21 service clubs capacitated on home based care. Over the period (2003/04 and 2004/05) an average of 4 000 and 2 000 clients were counseled by Government and NGO's respectively. An abuse protocol register has been developed.
The department has rendered probation services to 364 children who were diverted from the criminal justice system in 2002/03. The probation services has increased to 3 876 by 2004/05.
In 2004/05 developmental diversion programmes were rendered to 2 323 children. The programme has 99% of its budget over the past two financial years (2003/04 & 2004/05). The challenges faced relate to lack of social workers, budgetary constraints, and lack of well-established NGO sector in the rural parts of the province and infrastructure development.
Programme 4 : Development and Support
The programme has grown from expenditure of Rimillion to R56 million (2001/02 -2004/05) in three years. It currently stands at 96 million for 2005/06. Conditional grants of R51 million make 85% of budget.
The targeted 72 000 households were all reached for 2003/04. The late award of the tender in 2004/05 delayed the distribution of the food parcels to the identified beneficiaries. 99.9% of HIV/Aids conditional grant was spent on infected and affected clients. 22 HIV/Aids home based care programmes have been funded, programmes have been linked to 4 ARV sites and an average of 2 000 received counseling and services over the past three years (2002/03 -2004/5). 2 147 orphaned children were identified in the Rapid Appraisal and placed in forster care.
Since the inception of youth programme in 2003/04, 13 youth programmes have been funded (7 and 6 respectively in 2003/04 & 2004/05). 20 (5 and 15 for 2003/04 & 2004/05 respectively) poverty alleviation projects have been funded over the past two years.
The programme is faced with the challenge of having properly registered NGO's and sound business plans and financial management. As part of the programme NPO development is crucial for the success of projects.
3.3 Expenditure by economic classification
Table 3 shows expenditure by economic classification.
Employee costs (Table 3 and 4)
From the table it can be seen that employee expenditure constitute under 5% over the entire 2001/02 - 2007/08 period. However the implementation of the Bills and Service Delivery Model will have effect on the cost component of economic classification. The rising personnel costs related to upgrade & retention of social workers and norms and standards will be the influential factors.
Other current payments
Included in other payments are rental of buildings, admin. Expenses, payments to contractors fees (CPS, S A Post Office, etc) which constitute the bulk of other current payments.
Transfer payments and subsidies
These constitute an average of 90% of total expenditure against in National norm of 90%. The bulk of the transfer are Social Assistant grants. 99% of transfer budget has been spent over the period.
Payments for Capital Expenditure
This is higher than the National Norm. The acquisition of furniture and equipment and construction of Secure Care Centres as well as Places of Safety influence the expenditure.
Acquisition in this category is relatively expensive in the province and already the department will incur over-expenditure of R7 million on Secure care centers that are being constructed. This is a category in which expenditure has been consistently lower than the budget at an average of 63%. Consistent delays in delivery has contributed to the problem and the matter was taken with Provincial Public works and service providers.
4. Conditional grants funding
Table 5 indicates expenditure of the various grants over the period.
Financial Management and Social Security
The department provide training although expenditure incurred was less than the budget allocation. The department did not apply for a roll-over for 2004/05 as a result of non-expenditure in 2003/04.
HIV and Aids
Except for the first financial year (2001/02) the programme has spend between 90-98% of the budget.
Expenditure was primarily on community based care funding, training of care-givers and awareness campaigns.
100% Funding was transferred for the poultry project.
Social Assistance Grant
The grant was gazetted only in March 2002. The department went on massive campaigns to pay 136 437 beneficiaries on the February 2003 revised estimates. By October 2003, 121 512 were paid.
Child Support Grant Extension
The programme was affected by lack of awareness in communities, lack of proper documentation and the re-application which was not automatic.
The department has reached 184 730 by September 2005 .The department has intensified campaigns to reach the stipulated target
For the 2004/05 Financial year the Department spent 50% of the grant as result of tender being awarded in February 2005 from National Department of Social Development. The R21 312 000 that was spent was the result of prior year last trench in terms of the Business plan. The department applied and was granted a roll-over by Provincial Treasury and is on schedule to spend the R21 355 000 by year end.
The programme has started slowly for the current financial year 2005/06 as a result of profiling of targeted poverty stricken areas and relevant sustainable projects
On the current reports and business plans we firmly belief that 85-90% of the budget will be spent
The department has made budget submission to Provincial Treasury that will in the long run address the dynamic environment of Social Development. The Service Deliver Model is a key tool that will improve service delivery in the Province if resources are availed. The focus will be on welfare and developmental services with the Departure of Social Assistance to SASSA.
[PMG note: Graph (table, map, appendix) not included for the following headings. Email [email protected] for this]