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Umzumbe Housing Sector Plan Final Report

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Umzumbe Housing Sector Plan Final Report Umzumbe Municipality Housing Sector Plan 1.0 INTRODUCTION 1.1 BACKGROUND Planning for Housing Development has hitherto involved project identification and listing of projects in Municipal Integrated Development Plans and submission of project specific business plans to the Department of Housing (DOH). This approach to planning for housing development did not take into consideration a number of critical issues that have a direct bearing to housing implementation and the type of settlements that were being created. Amongst others, funding applications and subsequent approvals were made prior to the resolution of land/legal issues, indefinitely delaying projects. Second, the extent to which settlements had access to social services, that is, educational, health and police services amongst others was rarely considered. Third, the institutional capacity of municipalities to both plan and implement housing projects was not considered. Thus, the Housing Sector Plan is formulated to provide a comprehensive 5 year plan for housing development for the Umzumbe Municipality. This Housing Sector Plan is prepared according to guidelines provided by the Provincial Department of Housing. 1.2 LEGISLATIVE FRAMEWORK Section 26 (2) of the Constitution, Act 108 of 1996 confers the right to housing and prescribes that the state must take reasonable legislative and other measures within its available resources to achieve the progressive realization of this right. The Housing Act No. 107 of 1997 was enacted to provide a legislative framework to effect the right to housing. The primary aim of government housing development is to contribute towards the alleviation of asset poverty. In the New Human Settlement Plan government clearly articulates its intention to support the development of sustainable human settlements and the development of housing assets. Asset poverty is a result of inadequate access to assets by individuals, households and communities including inadequate shelter (which manifests in badly located low cost and overcrowded dwellings), the inadequate provision of appropriate infrastructure and the inadequate provision of basic services such as health, safety, emergency services and education facilities amongst others. Prepared by Footprints Development Professionals 1 Umzumbe Municipality Housing Sector Plan Each sphere of government is assigned roles and responsibilities with regard to the implementation of housing development. The powers and functions are set out in Schedule 4 of the Constitution of the Republic of South Africa, the Housing Act (Act 107 of 1997) and the Municipal Systems Act (Act 32 of 2000). Outlined below are the roles of the three spheres of government: National Government: is assigned with the responsibility of developing legislation, policies and procedures and systems to create an enabling environment for the development of housing. Furthermore, it allocates and monitors budgets and performance. Provincial Government: is assigned with the responsibility to implement or facilitate the implementation of housing development. Within the context of the Housing Act the core functions of the Provincial Departments is to provide low income housing opportunities to assist municipalities in housing development and further build their capacity. Local Government: Municipalities are tasked with the responsibility to identify land for development and housing beneficiaries. However, municipal activities are guided by the Integrated Development Plans that expect municipalities to take reasonable steps to ensure the provision of adequate housing on a progressive basis by setting out housing delivery goals, identify suitable land for housing development and apply for housing subsidies in their municipal jurisdiction. Thus the primary role of municipalities is to plan for housing development. Thus it is the primary task of local government to develop a housing sector plan that is intended to promote inter-governmental coordination and alignment and further promote integrated development and budget planning. Guided by the Intergovernmental Relations Act Municipalities have in other instance been assigned with the responsibility to implement housing development. Implementation Experience While housing implementation is the responsibility of provincial housing departments, municipalities have assumed the implementation role as developer. This has had varying levels of success. Municipalities that have been able to successfully implement housing projects are those that have financial and human resources capacity. Municipalities that do not allocate both financial and human resources to undertake the housing functions argue that housing development is not a municipal function. This has hampered the pace of housing development. Prepared by Footprints Development Professionals 2 Umzumbe Municipality Housing Sector Plan Through the Integrated Development Plans municipalities are mandated to participate in all development planning activities that take place within their jurisdiction and ensure that they are integrated. Second, the Intergovernmental Relations Act of 2004 and the Municipal Systems Act of 2000 specifies that municipal plans have to be aligned with and compliment the development plans and strategies of other spheres of government. Thus the Department of Housing introduced the Housing Sector Plans to provide a housing focus to Municipal IDPs. Municipalities have the powers to implement and administer matters such as housing and all others relating to implementation of development projects in their areas. To be able to logically execute housing delivery a municipality has to devise and co-ordinate a strategic Housing Sector Plan. Therefore the Housing Sector Plan is a critical tool that integrates housing development into municipal planning. 1.3 PURPOSE OF THE HOUSING SECTOR PLAN Against the backdrop of the legislative context for housing development this document outlines a Housing Sector Plan for Umzumbe Municipality that will set out a clear five year plan for housing development with tangible delivery goals. The main reasons for producing a Housing Sector Plan by the Municipality amongst others but not limited to the following: . To ensure effective allocation of limited resources particularly financial and human to competing potential development interventions. To provide a formal and practical method of prioritizing housing projects and obtaining political consensus for the sequencing of their implementation. To facilitate greater spatial linkages between the Spatial Development Framework and physical implementation of housing projects. To deliberately place the housing sector imperatives in the municipal IDP. To ensure effective subsidy budgeting and cash-flows both at Municipal and Provincial levels. One of the key and critical experiences of government is that citizens are more aware of their constitutional right to housing. This places pressure on the government and related institutions to deliver on their mandates including housing development. Prepared by Footprints Development Professionals 3 Umzumbe Municipality Housing Sector Plan The volatile demonstrations witnessed pertaining to perceived lack of service delivery has further exacerbated pressure on government not only to deliver services but to ensure that they are of an acceptable quality. This requires proper planning processes and adequate consultation on the type, nature and form of services undertaken. Noteworthy is that the development of a Housing Sector Plan is not about the production of a once off-end product but it involves an ongoing, participative process which is both proactive and reactive in an ever-changing environment. 1.4 METHODOLOGY Two main methodologies have been applied to develop this Housing Sector Plan. Desktop studies were undertaken to obtain baseline information and participatory methodologies that solicit the involvement and participation of stakeholders. A three staged methodology has been applied to develop this plan. PHASE 1: LOCAL PLANNING CONTEXT This phase examines the context for the development of the housing sector plan. Phase 1 considers five areas of examination, that is, . Municipal Spatial context, to determine the location of the municipality in relation to major economic activities. This indicates the extent to which the municipality has access to opportunities. Municipalities that are in close proximity to economic activities tend to have a higher demand for housing opportunities. Socio Economic Analysis, to determine the level of development in the municipality. This alludes to the extent to which municipal residents require government support for housing. Second, economic opportunities available to residents are examined against the backdrop of government’s policy to develop integrated human settlements. PHASE 2: HOUSING SITUATION The purpose of this is to gain an understanding of the state of housing development in Umzumbe. The following key areas of investigation are examined closely: Prepared by Footprints Development Professionals 4 Umzumbe Municipality Housing Sector Plan . Housing backlog/demand, to determine the number of households in the municipality that do not have adequate shelter. The housing demand is obtained from the municipal housing demand data base. In its absence the census data is used to estimate demand that will later be verified by the municipality before it proceeds to implement housing projects. Legal status of land, determines the ownership of land identified for housing development
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