Select Committee on Appropriations S’HAMBA SONKE (Provincial Road Maintenance Grant ) 7 September 2011

Select Committee on Appropriations

S’HAMBA SONKE(Provincial Road Maintenance

Grant)

7 September 2011

Business Plan

The S’hamba Sonke Business Plan was submitted to DOT on 26 April 2011 with an updated Plan on 26 July 2011 covering-

•More info on condition of Bridges•Comment on the Finalisation of re-Classification Process•U-AMP Information•Status on Emerging Contractors

Expenditure Trends2006-2011/12

2006/07 2007/08 2008/09 2009/10 2010/11 2011/12R'000 R'000 R'000 R'000 R'000 R'000

ALLOCATION 234 286 296 630 299 002 364 644 405 603 411 141 ACTUAL EXPENDITURE 189 446 294 830 299 002 364 644 405 603 139 122 TRANSFERS FROM NAT 234 286 296 630 299 002 364 644 405 603 177 540 % SPENT 81% 99% 100% 100% 100% 34%% TRANSFERRED FROM NAT 100% 100% 100% 100% 100% 43%

INFRASTRUCTURE GRANT - PROV ROADS MAINTENANCE GRANT

CFO (Belinda):UNTILL 31 AUGUST 2011

No Over or Under- Expenditures since 2008/09

Budgetmillions

Expenditure(millions)

Work OpportunitiesTotal

FTE's***TotalWomen* Youth**

Planned 411.141 411.141 1946 448 545 846

Actual BAS spend/employment quarter 1 - 60.782 593 137 166 258

Actual BAS spend Jul’11 93.183

Estimated Actuals Jul’11 - 133.183 791 183 215 344

*All females regardless of age** Any person below 35 years of age regardless of gender*** FTE's is full time equivalents calculated as person days divided by 230Estimated Actuals on labour stats extrapolated linearly for July based on actuals for Jun4Actual expenditure for June and July based on BAS reports (this expenditure presently excludes the budget allocation of R160.041 mil to the regional offices which can be estimated at R40mil from April’11 to July’11 to take the estimated spend, inclusive of the regional portion to R133.183 and hence marginally underspent on a notional basis (4/12ths of R411.141) of R3.864mil)

Expenditure 2011/12

Challenges

• Challenges meeting the five pillars

– Definition of access to schools ,clinics needs to be resolved in that the Western Cape interpret access as “mobility” i.e. a more holistic meaning and not only the direct access road

– Interpretation of safety needs to be more uniform i.e. hot spots vs. condition of road vs. driver behavior

– Asset Management System funding needs to be considered

– Project Management funding and data collection is costly

– Definition/Interpretation of rehabilitation projects as Maintenance or Construction expenditure needs to be resolved. Western Cape interprets rehabilitation as Capital construction expenditure

– FTE and Job Creation Targets as well as EPWP up scaling requirements needs to be clarified

Challenges

– Balancing of network approach to budget and project selection/ prioritization versus employment creation to be resolved. EPWP targets for maintenance grant and equitable share funding appear to be unobtainable without compromising on network condition and maintenance backlogs

– R160.041mil of the R411.141mil grant is to fund a portion of the regional office spend, thus leaving only R251.100mil to address the pillars of the maintenance grant and employment creation. The regional offices employ 900 permanent workers which does not contribute to the EPWP target for the Roads Branch

– Monthly/ Quarterly Reporting – KRAs

KRAs Quarter 1Summary of Key Deliverables for the

Road Maintenance Grant

2011/12

Planned (or present totals)

Q 1 Q2 Q3 Q4 Total

Unit Qty Planned Actual Planned Actual Planned Actual Planned Actual Planned Actual

PART 1 - FINANCIAL RELATED DATA R1000

Road Maintenance Grant Allocations R 411141 50000 60772 145728 109976 94655 411 141

EPWP Allocations (Incentives) R 12587 3000 3681 7808 1098

12 587

Equitable Share Allocations R 1436906 208269 340682 438042 449913 1436906

Other Funds / Allocation R Na

PART 4 - MAINTENANCE & UPGRADING RELATED DATA

Percentage of surfaced network in very good condition: (VCI)

% 26

26

27

Percentage of surfaced network in good condition: (VCI)

% 38

38

40

Percentage of surfaced network in fair condition: (VCI)

% 24

24

25

Percentage of surfaced network in poor condition: (VCI)

% 9

9

5

Percentage of surfaced network in very poor condition: (VCI)

% 3

3

3

Percentage of gravel network in very good condition

% 1

1

5

Percentage of gravel network in good condition

% 11

11

15

Percentage of gravel network in fair condition % 36

36

33

Percentage of gravel network in poor condition % 43

43

40

Percentage of gravel network in poor condition % 7

7

7

Number of schools where access roads were upgraded / improved / provided

no 106

10

Number of hospitals where access roads were upgraded / improved / provided

no 11

2

Number of clinics where access roads were upgraded / improved / provided

no 35

4

PART 5 - JOB CREATION & TRAINING DATA

Number of work opportunities created No 1221

1000

Number of person days created No 82 000

81000

Number of FTE's No 533

402

Number of youths (16 - 35) employed No

Number of women employed No

PART 6 - PROCUREMENT RELATED DATA

Contracts awarded to Co-operatives no

Value of Contracts awarded to Co-operatives R

Contracts awarded to CIDB level 1 Contractors

no

Value of Contracts awarded to CIDB level 1 Contractors

R


no


R


no


R


no


R


no


R


no 1 1 1

The Regional Projects amount to R 79,3 Million of the Grant ito Normal Maintenance, Routine Maintenance and Re-gravelling projects. Most of this work includes the involvement of Level 1-5

Contractors. The appointment of such contractors will be in conjunction with EPWP and the Vukuphile Learnership Programme- details to follow

KRAs Quarter 1


R 5000

4750


no 3 3 3


R 73000 40000 42367


no


R


no


R

KRAs Quarter 1

The Branch uses various Road Information Systems to measure Performance -

•The network condition performance measures are used to monitor the performance of the Plan. The key performance indicators are:

i. The paved road network conditionii. The condition of the reseal on paved roads iii. The gravel road network condition, andiv. The thickness of gravel on the gravel road network

The trend in these indicators over time will indicate the success or failure of the Plan in respect of Road Infrastructure

Monitoring and Improvement

• Road Pavement and Gravel-road condition information is updated continually in such a manner that sufficient new information is at hand to redo the DTIMS optimisation analyses every two years.

• The data in the Road Network Information System is available on the internet at: http://rnis.wcape.gov.za/rnis/rnis_web_reports.main. It is believed that this access to the data by the public would assist in the identifying of any discrepancies.

• RPM Office involvement – The Plan Cash flow and project-information is captured on the Branch Rational Portfolio System (RPM)

Monitoring

Improvement

• Geographical Information System - to provide the Branch with a tool for creating maps from queries of all Roads Infrastructure Databases.

• Pavement Quality Management System - The purpose of the envisaged PQMS Database and front end will be to provide “as-built” data on roads and concrete structures managed by the Chief Directorate.

Improved management information systems will enable the Chief Directorate to optimise maintenance and rehabilitation strategies, and to optimise the identification of projects. New systems being acquired and/ or developed are the following:

• Integrated Maintenance Management System (IMMS) - will provide a central database of the information contained in the Maintenance Management Systems (MMS) to determine unit costs of various maintenance and construction activities, so as to improve the estimates of the costs of road maintenance projects.

• The Business plan will be updated every year to reflect changes in budget allocations and strategic interventions by DOT

• Monitoring and Evaluation support- to ensure projects are monitored according to the Plan (Branch : Strategic Planning, Integration and Co-ordination)

Improvement

Reporting

The Branch has submitted monthly reports to the CFO who in turn forwards this to DOT and to Treasury as follows-

•30 April 2011•31 May 2011•29 June 2011•31 July 2011 (Quarter 1)•Next due: 30 Sept 2011 (Given the DOT injunction to report on a Quarterly Basis)

• Thank You and May the Lord Jesus use us to Bless our Nation

Documents

Select Committee on Appropriations S’HAMBA SONKE (Provincial Road Maintenance Grant ) 7 September 2011