APRIL 2012–MARCH 2013 OUR CITY Edited by Samantha Fick/Bushbaby Editorial Services

ANNUAL REPORT APRIL 2012–MARCH 2013 OUR CITY Edited by Samantha Fick/Bushbaby Editorial Services

Design by Design for development, www.d4d.co.za

Cover Picture by DAG Archive

Inside Cover: Khayelitsha Map, TAC Archive

Khayelitsha train station Picture by Paul Grendon Picture by Josette Cole CONTENTS

DAG’s vision, mission and strategic goal ...... 1

The DAG team ...... 2

Chairperson’s report ...... 3

Board of directors ...... 4–5

Executive director’s report ...... 6–7

Dag programmes ...... 9

Community-driven housing ...... 11–15

Democratic urban governance ...... 17–19

Partnerships ...... 25–26

Financial report 2013 ...... 27–29

Vision 2020...... 20–23

i BESG Built Environment Support Group KHP Khayelitsha Housing Project

CBO Community-based Organisation LED Local Economic Development ABBREVIATIONS CLO Community Liaison Officer LRC Legal Resources Centre CLP Community Leadership Programme NDHS National Department of Human Settlements CoCT City of Cape Town (Metropolitan) AND ACRONYMS NGO Non-governmental Organisation CORC Community Organisation Resource Centre NHSF National Human (Urban) Settlements Forum CPUT Cape Peninsula University of Technology NMBM Nelson Mandela Bay Municipality (Port Elizabeth) CSO Civil Society Organisation NDP National Development Plan CTP Cape Town Partnership NUSP National Informal Settlement DAG Development Action Group Upgrade Support Programme

DF Development Facilitator PAP Participatory Action Planning

DPU Development Planning Unit PHP People’s Housing Process

DUG Democratic Urban Governance PPT Project Preparation Trust

EED Evangelischer Entwicklungsdienst e.V. PUF Participatory Urban Forum

EPHP Enhanced People’s Housing Process PUG Participatory Urban Governance

GGLN Good Governance Learning Network SANCO South African National Civic Organisation HSC Housing Support Centre SDI Shack/Slum Dwellers International IHS Institute for Housing and Urban Development Studies (The Netherlands) UCT University of Cape Town

ISN Informal Settlement Network USN Urban Sector Network

ISU Informal Settlement Upgrade WCDHS Western Cape Department of Human Settlements KDF Khayelitsha Development Forum WUF World Urban Forum KDT Khayelitsha Development Trust

ii DAG’S VISION, MISSION AND STRATEGIC GOAL

Vision

The creation of sustainable human settlements through development processes which enable human rights, dignity and equity.

Mission

To create, implement and support opportunities for community-centred settlement development and to advocate for and foster a pro-poor policy environment which addresses economic, social and spatial imbalances.

Strategic Goal

To demonstrate how working in partnership with citizens and other groups who share a pro-poor agenda can lead to creative and sustainable solutions that redress social, economic and spatial inequalities.

To build the foundation for the re-imagining of human settlements by Vision working with a range of strategic partners on processes and innovative demonstration projects that make a contribution to neighbourhood, 2020 settlement, precinct and city-wide transformation.

1 TheD Team

DAG Archive

From Left to Right (Back Row): Ardiel Soeker, Pepe Hendricks, Akhona Siswana, Christian Kirkham (Intern), Ingrid Jacobsen (EED Secondment); (Middle Row): Helen Macgregor, Kathy Aranes, Zama Mgwatyu, Xolisani Galada, Sagwata Manyike, Helena Hendricks, Frank Cumming (Consultant); (Front Row): Thobeka Ntongana-Maliza, Josette Cole, Ntombizakhe Reshane, Nokukhanya Mchunu, Zinzi Gatyeni, and Brenda Skei-Qobongo

The DAG team of staff is made up of diverse, well-qualified and experienced individuals, volunteers and interns who are committed to making a difference in the lives of the urban poor. DAG currently has 17 permanent staff members (53% female and 47% male). The team is led by our Executive Director, Josette Cole, a veteran urban activist, writer, strategist and development practitioner.

2 on additional and pressing significance. Ac- Financially, DAG continues to show re- tive citizenry demands that we be bold, silience despite the challenging funding assertive and constructive in our call for pos- environment facing non-governmental or- CHAIRPERSON’S itive change. It requires a genuine mobilisa- ganisations (NGOs). We are grateful for the tion of communities so that their voices can continued support of our donors, who have be heard and their aspirations acted upon. shared our vision and enabled us to achieve Those in authority can no longer afford to so much. The organisation concluded the REPORT plan for, but rather with the marginalised. financial year with a healthy surplus, and is looking stable going forward. DAG’s finan- In March 2013, DAG adopted Vision 2020: cial management and controls have ensured a strategic framework based on a partner- This past year has been about consolidation ship-model of strategic engagement with that we have achieved an unqualified audit and setting the foundations for a more am- civil society groups and the public sector to for the year. bitious programme for the Development actively ‘re-imagine’ and transform human It is with a great deal of sadness that we Action Group (DAG). settlements and the urban context in South have had to accept the resignation of Nigel African cities. Vision 2020 builds on the con- DAG’s vision is to create sustainable human Tapela due to ill health. Nigel’s sharp mind cept of Democratic Urban Forums – which settlements through development process- and strategic thinking will be missed. On emerged from our highly successful National es, which promote human rights, dignity behalf of the Board and staff of the organi- Conference in 2010 – and identifies tang- and equity. Underpinning this is the impor- ible, high impact projects and programmes sation, we express our deepest gratitude to tance of inclusiveness in the planning and through which to drive the urban transfor- Nigel and extend our thoughts and prayers delivery of basic services and the re-shap- mation process. ‘Re-imagine Cape Town’ is for a speedy and full recovery to health. ing of our settlements, which continue the flagship project and is reported on in DAG is entering a new phase, which de- to reflect our apartheid past. While the more detail later in the annual report. Constitution of our country calls for partici- mands bold and imaginative interventions. patory development planning in all spheres The highlight of DAG’s Community-driven The management team and staff who, at of government, the reality is that the Housing Programme continues to be the Un- times, are stretched to the limit, have risen poorest and most vulnerable citizens feel blocking of the Khayelitsha PHP project in to this challenge without fail. Their passion, excluded and alienated. Levels of frustra- partnership with the Western Cape Depart- dedication and commitment have ensured tion are heightened by the ever-increasing ment of Human Settlements (WCDHS). The the success of our programmes to date. I wealth gap between the connected rich project is a multi-year contract to complete wish to thank the team and my fellow Board and the disconnected poor. This frustra- the construction of 2 173 houses, which were members for the ongoing support and hard left incomplete by former contractors. As of tion continues to manifest itself in service work that goes into this organisation. July 2013 more than 800 houses have been delivery protests, of which the frequency, completed and handed over to beneficiaries. geographical spread and militancy are Significant components of the work include unprecedented in democratic South Africa. Thabo Mashologu local economic development and capacity (DAG Chairperson) Against this backdrop, the work of DAG building activities, which are yielding posi- and other civil society groupings must take tive benefits for the community.

3 BOARD OF DIRECTORS 1 2 3 4

The Board of Directors, which provides consultant whilst running his own family strategic governance to DAG, consists of business, Zedcore CC. He lectures in Con- Steve Kahanovitz highly skilled professionals from a range of struction Management, Project Manage- (Executive Board Member) backgrounds and experiences. ment and Strategic Management at several 5 tertiary institutions in South Africa. Steve works in the Cape Town office of Thabo Mashologu South Africa’s public interest law group, Peter Smith the Legal Resources Centre (LRC), where he (DAG Chairperson) 1 spent many years representing clients facing (DAG Treasurer) Thabo is the founder and Managing Direc- 3 an oppressive apartheid state before serving tor of Msingi Projects and has more than Better known as Pete. He is a chartered ac- as Legal and, later, National Director of the 15 years industry experience. He holds a countant with decades of experience work- LRC. Since the adoption of the Bill of Rights Bachelor of Science Honours in Quantity ing in both the NGO and private sectors. He in 1996, he has been litigating in cases Surveying and a Bachelor of Commerce founded SystemSmiths, a provider of man- regarding socio-economic rights, particularly Honours in Financial Analysis and Portfolio agement software and systems solutions, the right of access to housing on behalf of Management, both from the University of has various business interests and serves on the LRC’s clients. He recently returned to the Cape Town. He is also registered as a con- several NGO boards. LRC, after spending one year as an acting struction project manager with the South judge of the Land Claims Court of South African Council for Project and Construction Wilhelmina Trout Africa. He is a graduate of the University of Management Professions (SACPCMP). Cape Town (Bachelor of Arts), the University (Executive Board Member) 4 of the Witwatersrand (Bachelor of Law), and the London School of Economics (Masters Robert (Bob) Hindle Wilhemina is an international gender ac- of Law). (DAG Vice-Chairperson) tivist and trade unionist. She has a resilient 2 education background, especially with com- Bob is a registered project manager but munity adult education and currently works currently works as an academic and business as an independent consultant to the labour movement.

4 5 6 7 8 9 10

Querisha Nagdee Tasleema Mohamed Josette Cole (Executive Board Member) 6 (Executive Board Member) 8 (Ex–officio Board Member) 10 Querisha is the local consultant for the Tasleema is an expert in architectural Josette is DAG’s Executive Director. She Dreikonigsaktion, an Austrian donor organ- education and the built environment with has a long track record in human rights, isation. She is responsible for South Africa a special interest in earth architecture. She land, housing and gender activism, and is and joint partnerships in Africa. She also is currently lecturing at the Cape Peninsula a recognised development strategist, social works as an independent facilitator and University of Technology. historian, author and commentator on past consultant. She has a background and ex- and present urban development dynamics. pertise in social development, organisational Batembu Lugulwana development and the NGO sector. During her career she co-founded numerous (Executive Board Member) 9 organisations, including: The Ecumenical Action Movement (TEAM), the Surplus Nigel Tapela Batembu is a freelance consultant with a People Project (SPP), Western Cape, and the (Executive Board Member) 7 range of expertise that includes local gov- MANDLOVU Development Institute. She is ernment, economic development and youth also the author of Crossroads: The Politics of Nigel has over 20 years of experience in development. He has been actively involved Reform and Repression (1987) and Behind the urban development sector. He has in various public participation processes and and Beyond the Eiselen Line (2012). She is worked with universities as well as with the training of ward committees and gov- currently an Honorary Research Associate at local, provincial and national departments ernment officials. the Archive and Public Culture Research Ini- of planning in South Africa, Zimbabwe and tiative (at the University of Cape Town) and Botswana. He is currently lecturing at the a Doctoral Candidate in Historical Studies Cape Peninsula University of Technology. (also at the University of Cape Town).

5 face, many South Africans and civil society new phase of project design and implemen- organisations (CSOs) continue to rise above tation. Framed by a ‘re-imagined human the inherited moment and take the best settlements’ theme, Vision 2020 challenges EXECUTIVE from their collective pasts to move towards DAG to become an active ‘urban change a different future by imagining, designing agent’ that uses its intellectual capital, track and implementing projects and interven- record and strategic partnerships (public DIRECTOR’S REPORT tions that talk to higher level aspirations and private) to build a solid foundation for enshrined in the South African Constitution. leveraging access to land and affordable housing for the re-imagining of neighbour- This report covers DAG’s work for the year hoods, settlements and apartheid cities and ending March 2013 and captures what I refer towns in South Africa. In April 2014, South Africa will celebrate its to as ‘the positive within the negative’. It twentieth anniversary of democratic transi- highlights three ‘positive’ DAG interventions While undeniably ambitious and bold, our tion. As we reach this important milestone that lie at the centre of our year’s work: our reading of the status quo dictates that we in our country’s history, we face the sober- innovative Khayelitsha ‘Unblocking’ Housing should be more ambitious as South Africans ing fact that we inhabit a country that is not Project (KHP) construction model, a partner- and as civil society institutions if we want to yet able to adequately address systemic chal- ship between DAG and the WCDHS; outcomes rise above and beyond where we are now. lenges, such as governance, the provision and lessons arising from our action-learning The time has come for CSOs and citizens to of affordable housing at scale, high levels Community Leadership Programme (CLP), demonstrate the kind of imaginative visions, of poverty, job creation or the social and undertaken in partnership with communi- leadership and alternative development spatial transformation of inherited apart- ty-based organisation (CBO) leaders from solutions needed in the future. heid cities and towns. These fault-lines have more than 25 informal settlements across At an institutional level DAG is consistently resulted in growing inequality, corruption Cape Town; and DAG’s adoption in March challenged to adapt its systems and prac- at all levels of government, escalating crime, 2013 of a seven-year strategic framework tice to respond to changing and dynamic high levels of political intolerance, daily aimed at guiding our programmatic inter- local, national and global contexts while acts of domestic violence and child abuse, ventions – Vision 2020. remaining relevant to its guiding principles, escalating labour unrest and a rising level of Vision 2020 is a forward-looking agenda values and internal constitutional mandate. citizen frustration manifested in a spate of and platform that builds on strategic shifts During the year under review, in the midst ‘service delivery’ protests across the country. that began in 2009 for DAG; lessons and of an ongoing national and global fund- But this is not the complete picture. Against outcomes derived from organisational prac- ing meltdown, DAG was able to retain its the backdrop of protests, growing inequal- tice; and a diverse range of strategic part- traditional funding base and to attract new ity and the systemic challenges that we nerships that positions DAG to move into a funding sources. In addition, achieving an

6 unqualified financial audit for the year is a The DAG team found itself pushed to the reflection of strong financial systems and limit during the year, which created a need monitoring, as well as exceptional fiscal to recruit additional staff. This resulted in a oversight from our Board of Directors. flow of young graduate interns and volunteers who worked alongside our staff on DAG’s vision to be a more sustainable dedicated project teams, gaining invaluable organisation through consultancies and in- hands-on experience in an NGO environ- come-generating activities remains on track, ment. We envisage growing this role of with more than 50% of funding coming mentoring in the years ahead, especially in from research, housing projects and facili- light of the vast number of young graduates tation services. The awarding of a contract who need to enter the formal job market. to DAG in March 2013 by the Department My first year as Executive Director of the of Human Settlements (DoHS) – to provide DAG team was both challenging and participatory planning and facilitation exciting. It has forced me to dig deep into services to the City of Cape Town’s (CoCT) residual knowledge and skills gained from Informal Settlement Upgrade (ISU) Unit for more than three decades of working in this 25 informal settlements across the city – is complex urban and wider development a strong indicator of growing government environment. I look forward to the chal- confidence in DAG’s track record in housing lenges that lie ahead as a I play my part in delivery and institutional strength. leading DAG and the team to new heights as we journey together into the unchartered While the ability to generate a healthy per- waters of Vision 2020. My grateful thanks centage of our own income provides DAG to the DAG Board of Directors for their with unique opportunities, it comes with a unwavering dedication and support and, new challenge: striking a balance between last but not least, thank you to our funders – our role as an NGO and as a service provider. without you much of what we innovate and We continue to debate and explore options do as CSOs would not be possible. for ring-fencing some of DAG’s income-generating services and turning them into discrete social enterprises. Our envisaged

‘social enterprise lab’ offers us new opportu- Josette Cole; Photo by Paul Grendon nities to explore this exciting field.

7 8 DAG Archive DAG PROGRAMMES

In the year under review, DAG consolidated the many building blocks it had put in place since 2011 to support its strategic shift away from a former project-led approach towards a more city-wide agenda and to focus on municipal-wide or comprehensive urban planning. In alignment with this, DAG incrementally focused its Democratic Urban Governance (DUG) Programme on the deepening of two inter-linked concepts: ‘Re- imagining the City’ and moving towards a ‘New Urban Order’, translating them into a clearer urban governance programme of action. On the housing delivery side, through its Community-driven Housing Programme in Khayelitsha, DAG continued to demonstrate how it is possible to use government housing subsidies to provide innovative interventions that add both social value and local economic benefits to households and the wider community. Alongside and linked to these core programme areas, DAG has consistently built the capacity of local leaders, citizens, housing beneficiaries and emerging contractors to actively engage with and take ownership of opportunities on offer. Sharing lessons and insights through organisational and horizontal learning events continues to underpin DAG’s programme work and organisational practice.

9 10 Photo by Paul Grendon People’s Housing Process) on the pre-con- and completed houses requiring ‘snagging’. struction phase, highlights what it takes (The genesis of the KHP is covered extensive- to establish the foundation for successful ly in our Annual Report 2011/12). COMMUNITY-DRIVEN low-income housing delivery at a grassroots level. As a testimony to its success to date, DAG’s Approach to Unblocking DAG was contracted by the WCDHS at the Blocked PHP Projects in end of 2012 to undertake a ground audit HOUSING Khayelitsha for an additional blocked PHP project in Philippi (Masimanyane) and has since been DAG offers a unique mode of delivery, approached by the Eastern Cape DoHS to which is labour-intensive and socially As a beneficiary of the Khayelitsha PHP consider tendering for blocked PHP and sustainable. Some unique features unblocking I am proud to have worked other greenfield projects in the Eastern Cape of the DAG process include lengthy with DAG in the completion of my house Province. Opportunities for DAG to expand consultation with beneficiaries, using …When DAG got involved in the project this area of its work are clearly visible and staff development facilitation skills. back in 2007, I never trusted them, are currently being discussed by staff and Good communication and stakeholder however, their constant engagements the Board. management is key to better project and communication strategies gave me management by DAG. – External hope and DAG managed to assist with Assessment, May 2013 constructing the floor to my double The Khayelitsha PHP storey house. I encourage other project DAG set itself a quantitative goal for 2012/13 beneficiaries to participate in the ‘Unblocking’ Project (KHP) of completing 660 of a total 2 173 houses engagement platforms being organised This project, a strategic partnership be- ‘through high-quality, competent pro- by DAG. tween DAG and the WCDHS, with additional ject management of the KHP’. In line with – Mr. Geffin Gcinile Mahlombe, KHP funding from international donors for Local DAG’s commitment to ensure longer-term Housing Beneficiary Economic Development (LED), remained the sustainability and to demonstrate the value cornerstone of DAG’s low-income housing of integrating social investment into any In the year under review, DAG continued to interventions during the year. The overall built environment project, DAG also set consolidate its national and provincial repu- project covers 10 PHP housing projects, itself qualitative goals: integrating local tation as a key player in the delivery of the consisting of 2 173 houses at various stages economic development, job creation linked Enhanced People’s Housing Process (e-PHP) of completion, located across a number of to construction, home-owner education through its KHP housing, which is financed settlements in Khayelitsha. The goal is to for housing beneficiaries and a well-func- by the WCDHS. complete a total of 2 173 houses by 2015 tioning Housing Support Centre to provide A case study produced by DAG towards the that are classified into three categories: institutional support to the overall project. end of 2012 (Unblocking the Khayelitsha shacks and empty sites, incomplete houses, The higher level objective is to ‘demonstrate

11 the value and importance of PHP through to monitor progress and to raise individual delivering a high-quality, community-driven queries on the overall project. housing project with a clear social agenda and social benefits’. Job Creation and Local Enterprise Development While the quantitative target was not fully met – 595 or 90.3% of the total target of A key feature of DAG’s approach is the use 660 – due to delays in the government of low-tech labour-intensive methods on payment system (since rectified) – DAG met building sites. For example, cement is mixed all of its other targets, completing 100% of by hand with shovels instead of using auto- its beneficiary agreements and 112% of the mated cement mixers, which would require required construction agreements with local a generator, fuel or electricity to run. The construction contractors. On the qualitative labour-intensity gives rise to greater job side, described below, DAG overachieved. creation and lower capital inputs. DAG also invests in individuals and small local operators DAG Archive Stakeholder Management to build capacity, with close monitoring and quality control, effectively incubating small Since the inception of the KHP, DAG has construction businesses with significant consistently invested time and effort in success to date. As more work is allocated building and maintaining good relations to those who deliver, the small businesses with all project stakeholders, especially grow, some with the potential to graduate the housing beneficiaries. Managing ‘the into larger built environment markets. politics’ of this community-based project remains a critical aspect. In addition to on- Capacity Building going meetings and briefings on the project DAG also works to lessen the skewed with key Khayelitsha stakeholders, such as gender imbalance in the construction the Khayelitsha Development Forum sector by working to build the capacity of (KDF), South African National Civic Organ- women in the building sector. This aligns isation (SANCO) and local Ward councillors, well with the values of the organisation DAG also holds quarterly meetings with its and offers development opportunities housing beneficiaries and invites Khayelitsha aligned to government policy. – External DAG Archive stakeholders, who use the regular platform Assessment, 2013

12 During the period under review, DAG Institutional Support refined its capacity building support to both emerging local contractors and interns DAG’s Housing Support Centre (HSC) in who enrolled in DAG’s Quality Control (QC) Makhaza continues to offer ongoing sup- Internship for a six-month period, mentored port to the KHP, with back-up from DAG by a retired engineer, where they learn staff, based at its main office in Observa- how the construction sector works and are tory. During the period under review, KHP taught basic skills that help to set up a small staff recorded an average of 100 visitors to construction business. The 10-module course the HSC per month. Visitors included direct covers: legal and tax requirements, commu- beneficiaries of the KHP, members of other nication, contract documentation, meetings ‘blocked’ PHP housing projects in Khayelit- and record-keeping, HR functions, financial sha, and local residents with general hous- management, marketing and advertising, ing queries. The HSC, which profiles DAG’s and how to draft a business plan. By the end active presence in Khayelitsha, operates as of March 2013, DAG had trained 20 learners, a central hub for training events, meetings some of whom were contracted by DAG to and visitors to the project. DAG Archive work on a ground audit for the Masimanya- ne Housing Project in Philippi. Graduates Learning from Practice – DAG receive certificates, which will help secure Case Study on the KHP Pre- future work opportunities. The 2012 Grad- construction Phase uation Ceremony, attended by the Deputy Minister of Human Settlements and MEC for The case study highlights the value and the WCDHS, was the highlight of the year. importance of social investment to ensure that any low-income housing construction Another key aspect of DAG’s capacity undertaken with government subsidies building interventions includes monthly addresses the needs of both housing Home-owner Education for housing beneficiaries and a wider commitment beneficiaries, where each new home-owner to redress the housing backlog inherited is introduced to the rights and responsibili- from the apartheid legacy. – Josette Cole, ties that go with being a new home-owner. DAG CEO DAG views home-owner education as a critical component of any low-income housing programme. DAG Archive

13 DAG’s higher level objective is to promote to be formally applied elsewhere. As with all the value of the PHP and to promote an ap- models of approach, certain elements need proach that demonstrates how to maximise to be aligned with the specific local context and add social value to government housing within which it is being utilised. Nonethe- subsidies. As part of their commitment to less, the emerging model is a pioneering being a learning organisation, DAG has one that demonstrates the added value that documented two aspects of the KHP – CSOs, such as DAG, can offer to government pre-construction and construction phases. housing programmes. The first case study was publicly launched as part of the October 2012 Graduation Cere- mony in Khayelitisha.

DAG’s Emerging Unblocking PHP Model

DAG Archive The 16-step process has been proven to deliver results in DAG work to date. The picture opposite illustrates the process graphically and shows the kind of community consultation that takes place on a regular basis. – External Assessment, May 2013

All the elements of the KHP described above have been captured by staff working on the project in a construction model that the team uses to guide project implementation and management. The emerging model captures the interplay between physical construction and social investment. It is viewed as a dynamic and iterative one that is adapted as lessons arise from practice. DAG Cover of Case Study; Dag Archive is mindful that the model is not a blueprint

14 DAG’s Approach to Unblocking the Khayelitsha PHP Projects

3. Scope of work 5. BOQ’s 4. Contractors prepare House 1. Prepare & 2. Allocate batches and colour coded scrutinised based and submit BOQs based Audits approve batches. to contractors based maps handed over on budget and on performance. on house audit. to contractors. house size.

BOQ’s sent back to contractors to effect changes

9. Total cost of 10. Construction batch finalised 8. BOQs finalised 7. Signing of 6. Discussions & agreements 11. Construction and submitted to based on budget beneficiary changes (if any) on finalised and BOQs based on a 36m2 Management Team agreements. starts. approved. allocation. mandate. for approval.

Snag list sent to contractors

15. Invoice 12. Ongoing 14. House 13. Construction preparation once 16. Payment to monitoring of inspections and Manager houses are passed contractor within the construction collections of inspections. and submit for process. happy letters. a 14 day period. payment.

15 16 Photo by Josette Cole actively explored the establishment of urban with relevant public and private sector forums in South Africa with a diverse range stakeholders, action-research, lobbying, and of stakeholders, including the National ongoing documentation of process, practice DEMOCRATIC URBAN Department of Human Settlements (NDHS), and lessons learnt. Transforming a concept who commissioned DAG to write a Concept such as ‘Re-imagining the City’ into tangible Paper for its establishment in late 2011. The outcomes rises and falls on the strength of GOVERNANCE concept was adopted by the NDHS in 2012 creating and sustaining partnerships in the and is currently being used to guide the urban sector and public sector, backed by department’s strategy to launch a National political will. Human (Urban) Settlements Forum (NHSF) In 2012, DAG started a process of estab- The attainment of democratic governance in 2013 in partnership with other govern- lishing a participatory urban forum for lies at the heart of South Africa’s transition ment departments. While it will take a lot Re-imagining the City: a process aimed at to democracy. In the period under review, of hard work to translate the concept into a bringing all citizens together in a platform in the midst of escalating service delivery progressive element of a ‘New Urban Order’, for sustainable urban development, which protests, DAG consolidated work that was DAG views the future establishment of the debates and negotiates the city’s priorities. initiated in 2011 to build the capacity of a NHSF as a key milestone and an outcome In addition to providing an inclusive plat- number of community-based leaders from deriving from the Re-imagining Cape Town form aimed at bridging the divide between across Cape Town to actively engage with Conference (2010). affluence and poverty, the primary objective government and to promote the concept of of the forum was to lead a city-wide vision- participatory urban forums. This was imple- Towards Re-imagining the City ing process and to develop action plans that mented through DAG’s Participatory Urban The community leaders who jointly are implemented jointly by all stakeholders. Forum Project (PUF) under the banner of participated in the CLP successfully ‘Re-imagining the City’. PUF: ‘Re-imagining the City’ was seen as a created a network of leaders dedicated partnership between DAG and CBOs from not only to re-imagining their respective different parts of the city. The purpose of Participatory Urban Forum communities, but also to working towards a re-imagined Cape Town. – the partnership was to motivate for new (PUF) Project Helen Macgregor, DUG Coordinator and innovative forms of urban land governance, through a participatory Towards a National Human A number of critical elements underpin action-planning process defined by the Settlements (Urban) Forum DAG’s democratic urban governance agenda development of a city-wide portfolio of and vision of re-imagined cities: building pro-poor development proposals on stra- In the aftermath of a successful Re-imag- the capacity of local citizens and citizen tegic and well-located public-owned land ining the City Conference in 2010, DAG groups to engage on more equitable terms parcels across the city. The land parcels were

17 considered strategic due to their locational The CLP is composed of seven modules, four advantage, size, job creation opportunities of which were facilitated by DAG in 2012. and, more importantly, opportunities to use The modules are integrated into an ongoing these sites to spatially integrate the city and action-learning programme: to break down old apartheid spatial forms. The Project had a number of key strategic • Value-driven approaches: affording elements, including the CLP, which involved participants an opportunity to reflect training aimed at enhancing the leadership on the core values that guide thinking, skills of community leaders across the Cape planning and doing. Metropolitan area to empower them to take • Action reflection: training participants a lead on city-wide and local-level in the all-important practice of as- pro-poor development proposals. sessing individual, organisational and DAG’s Community Leadership group performance against set goals. Programme (CLP) • Mobilisation: dealing with the ability to create or host platforms, spaces and DAG’s CLP is an essential and important events where organisations are able component of our Re-imagined City to showcase their ideas, proposals and agenda. The CLP is designed to enhance solutions. the capacity of civic leaders working at local level in pursuit of change for • Lobbying and partnership: allowing or- the benefit of their communities. The ganisations an opportunity to measure programme reinforces the efforts progress against the number of people of those already engaged in life- supporting their goals. changing community development initiatives. It focuses on strengthening An independent assessment of the CLP, leadership, finding innovative solutions conducted in March 2013, concluded that to contemporary human settlement participants generally expressed satisfaction challenges, promoting active citizenry with most aspects of the leadership course, and demonstrating the importance of with all reflecting on ways in which they had working in partnership to strengthen grown as individuals and leaders through South Africa’s democracy. – DAG CLP Case the whole process. There was a consensus Study, 2013 amongst participants around the value Photo by Paul Grendon

18 they placed on new skills acquired, which 2010 Re-imagining the City Conference, the included: research skills and the ability to future launch of the NHSF and the develop- gather and analyse relevant information, ment of an embryonic CBO leader network, communication skills, and how to engage are viewed as key DAG milestones for 2012. with officials. Another strong theme and significant outcome – whether intended Prioritising the Pro-poor or not – was the value of networking and Proposals building connections across communities. These networks clearly enable CLP partici- The final CLP learning event of the year fo- pants to access important decision makers cused on identifying key parcels of land for and resources to advance local development. further development as pro-poor proposals in 2013. After a lengthy process of debate ‘Lets Re-imagine the City and discussion, four sites were earmarked Together’ – the Good Hope for further development: the Century City Station, Mowbray Golf Course, Kapteinsklip Centre Public Event (June 2012) Station (Mitchell’s Plain), Du Noon and the DAG Archive On 9 June 2012, DAG co-hosted a public Stock Road Station (Philippi). All the sites have event at the Good Hope Centre around the subsequently been integrated into DAG’s theme ‘Re-imagining the City’, which was future programme work under Vision 2020, attended by more than 1 000 delegates along with other strategically located public mobilised by DAG and its CBO network. The land and buildings in both the south east co-organisation of the event provided par- quadrant of Cape Town and the inner city. ticipants from the CLP with an opportunity to apply their community mobilisation and organisational skills while, at the same time, publicly showcasing and promoting the concept of citizen-driven pro-poor settlement proposals. A highlight of the event was the launch of a Citizens Charter, which commits its signatories (900 signed at the event) to a vision of a more equitable and inclusive Cape Town. This event, along with the CLP graduates receving their certificates, March 2013; DAG Archive

19 In March 2013, DAG adopted Vision 2020, a strategic framework to guide its organisational programmes and interventions. Vision 2020 is completely in alignment with DAG’s vision, mission and strategic goal. Framed by principles and rights enshrined in Vision the South African Constitution, Vision 2020 is based on a stark reading of our context which tells us that inequality, division and exclusion continue despite 2020 the progressive-sounding statements of institutions and, despite the many frameworks that speak of compact cities, social cohesion, equity and the reversal of apartheid’s spatial and social divisions. The reality is that there DAG ENDORSES isn’t a strong enough push against the status quo, backed by concepts, strategies and organised civic formation that will enable us to engage on ideas and plans for A PARTNERSHIP urban areas. In this situation, powerful vested interests force many institutions and practitioners to settle for small changes and reforms that are not deep or extensive MODEL enough and that, in the end, do little to shift the status quo.

Vision 2020 re-positions DAG to adopt a partnership model of strategic engagement with citizens, citizen groups and the public sector to actively ‘re-imagine’ and Who are transform human settlements and the urban context in South African cities. The seven-year horizon locates DAG’s emerging programme and projects, along with our partners? those of our strategic partners, as key building blocks to engage with and to demonstrate how existing government policies and frameworks, such as the National Development Plan (NDP) or CoCT’s Densification Policy, can be translated into Social networks NGOs tangible interventions that benefit South African citizens, especially the poor and most vulnerable, and begin to transform apartheid cities. CBOs Citizens Why is DAG Vision 2020 works at two levels: doing this? (a) Systemic: engaging with and pushing the boundaries with respect to political processes and city-level institutions, through advocacy and lobbying, with a PARTNERS clear agenda that lobbies for a much more rapid, city-wide change in favour of Citizen groups Public sector the poor and their inclusion. This will require strategic partnerships, becoming active change agents and creating political momentum for a completely different use of space, land, facilities, institutional arrangements and infrastructure projects.

(b) Human settlements: assisting delivery within specific settlements, Academics Private sector neighbourhoods and precincts through a citizen-driven agency that results in innovative projects that are interconnected in two ways – through a common agenda around catalytic community-based projects that become more integrated and inclusive, and through connecting local leaders, CBOs, NGOs and other stakeholders from across the city to begin acting as a collective, with a shared consciousness and city-wide transformation agenda.

20 TO SHOW THAT POLICIES AND FRAMEWORKS LIKE NDP AND CDP CAN BE IMPLEMENTED

City What could What are Densification NDP be the results? our goals? Policy

Human Settlements Lobbying Public Institutions Pushing for different use of Connecting local leaders, spaces, land, buildings and citizens, NGOs and other infrastructure stakeholders Participatory governance and innovative urban design leads to inclusive and OUR CITY vibrant cities with tangible benefits for all citizens, especially those TO RE-IMAGINE living in marginalised THE CITY human settlements

How? 3 inter-linked programmes

21 1. PARTICIPATORY URBAN 2. CAPACITY BUILDING PROGRAMME GOVERNANCE

To build capacity in To practice the urban sector Entry Point Re-imagine Cape Town participatory action planning World Design Capital Home Owner Leadership and Education Citizenship Re-imagine Re-imagine Other Khayelitsha Nyanga-Philippi Areas

Livelihoods/ Different use of land Land Value LED Capture

Century Mowbray Mitchell’s Woodstock/ City Plain Salt River Participatory Action Planning (PAP)

Buildings To build participatory urban “forums”

3 7 1. 2. 3. 1. 2. PILLARS STEPS 3. 4. USING WELL LOCATED ACTIVE RE-IMAGINING OF PARTNERSHIPS CITIZEN CAPACITY RESEARCH PUBLIC LAND AND CITIZENS AND TARGETED HUMAN MOBILISATION BUILDING (ACTION AND BUILDINGS TO DESIGN A POLICY) COALITIONS SETTLEMENTS MORE INCLUSIVE CITY

22 3. HOUSING AND HUMAN

SETTLEMENTS Vision 2020 sharpens DAG’s focus and builds the foundation for a more transformative To have demonstration urban agenda through three inter-linked programmatic areas: Participatory Urban PHP Unblocking projects 16 steps Governance (PUG); Housing and Human Settlements; and, Capacity Building. These core programmes are implemented through DAG’s integrated seven-step methodology: partnerships; citizen mobilisation; capacity Khayelitsha Nyanga-Philippi building; action-research; demonstration projects; and, learning from practice platforms.

Re-imagined Re-imagined human informal settlements settlement upgrade DAG’s Re-imagining Cape Town Project is a Vision 2020 flagship project that engages the new vision at both systemic and human settlement levels across the city. The project is built around three pillars or activity areas: the mobilisation of a city-wide coalition for a Cape Town Legacy Project that talks to the dismantling and re-design of the apartheid city; the re-imagining of targeted human settlements; neighbourhoods and precincts; with a specific focus on the Metro South-east in the city; and leveraging and utilising well–located public (and private) 5. 6. 7. land and buildings across the city for the building of a more inclusive city. DAG plans ADVOCACY AND DEMONSTRATION LEARNING to promote and highlight Vision 2020 and LOBBYING PROJECTS FROM the Re-imagining Cape Town Project in a PRACTICE new ‘DAG Café/Meeting Space’ at its offices in Observatory.

23 24 Photo by Paul Grendon Afesis-Corplan, Built Environment Sup- Government port Group (BESG), PPT and Planact. As a member of the Good Governance Learning At a national level, DAG continues to con- Network (GGLN), headed by the ISAND- solidate its working relationship with the LA Institute, DAG regularly interacts with NDHS. This has revolved around the depart- PARTNERSHIPS members of this dynamic network. We also ment’s housing programmes and policies established active working relationships and furthering the establishment of the with the Community Organisation Resource NHSF. The Deputy Minister of the NDHS, Zoe Centre/Informal Settlement Network (CORC/ Kota-Fredericks , the Director of the e-PHP ISN), Shack Dwellers International (SDI) and (national), Tumi Mabalane and the MEC for VPUU around planned wider ‘re-imagining’ The success of DAG’s work is linked to its the WCDHS, Bonginkosi Madikizela, actively of human settlements work in Khayelitsha ability to sustain and build a range of stra- participate in DAG platforms. At the City and Nyanga-Philippi. As we move towards tegic partnerships. During the year under level, the DUG Programme staff hold regular Vision 2020, with renewed energy around review, DAG formed many new partner- consultations with politicians and officials the National Informal Settlement Upgrade ships and continued to strengthen strategic from a range of departments and, at a local Support Programme (NUSP), DAG envisages partnerships built over the years with CBOs, level, our housing staff interact with Ward strengthening its existing NGO partnerships NGOs, social movements, academic institu- and Provisional Ward Councillors on a daily and exploring opportunities to develop new tions, urban development practitioners and basis. In a highly politically contested prov- partnerships relevant to our work. various government departments. ince such as the Western Cape, characterised by a mix of ANC and DA constituencies, DAG has been able to foster partnerships across Academic and International Community-based Groups complex political spectrum. Institutions and Networks During the year under review, DAG strengthened its partnership with the 25 DAG continued to consolidate its rela- CBOs involved in the CLP and continued to Non-governmental tionships with international development actively engage with CBOs, social networks Organisations (NGOs) agencies and academic institutions in South and development forums through the KHP. Africa and globally. This includes partner- Bringing together CBO networks is viewed In the course of our day-to-day work DAG ships with experts in the urban sector from as a critical component for any future urban interacts with a range of NGOs. During the Development Planning Unit (DPU) at transformation agenda in building a strong the year under review, DAG continued to the University College in London, the IHS in social foundation to underpin an envisaged foster good working relationships with the Netherlands, African Centre for Cities at ‘New Urban Order’ in Cape Town. sister organisations in the urban sector: the University of Cape Town (UCT), various

25 departments at the universities of Pretoria Mchunu, was the 6th World Urban Forum The second event, attended by Xolisani and Stellenbosch, and the Cape Peninsula (WUF), which took place in Naples, Italy, Galada and Josette Cole, was the Social University of Technology (CPUT). in September 2012. The WUF was attend- Enterprise World Forum which took place in ed by more than 8 000 delegates, with Rio de Janeiro, Brazil, in October 2012. In Two DAG staff members, Helen Macgregor DAG forming part of the South African addition to attending this unique and inspir- and Zama Mgwatyu, attended the delegation, which included NGOs (ISAND- ing event focusing on global best practice in post-graduate Course offered by the IHS LA Institute), social networks (SDI), local the growing field of social enterprise, DAG from June–July 2012 on land management and government (CoCT), the Deputy Minister staff re-connected with two urban Brazil- informal settlement regularisation. They also and officials of the DoHS, and the MEC for ian partners in Rio and São Paulo and were had an opportunity to network with a range the WCDHS. DAG participated in one of the taken on a tour of the local Rio favela (or of global peers in the urban sector. training events, organised by Architects Sans informal settlement), Rocinha. Frontiers, entitled Participatory Design for Other DAG staff members had opportu- Slum Upgrading and Inclusive City Building, nities to participate in two international where we presented work being done in the networking events. The first event, attended CLP through our action-learning programme by Moegsien Hendricks and Nokukhanya for a re-imagined city.

Moegsien Hendricks (DAG), Zchra Ebrahim (SHRA), Nokukhanya Mchunu (DAG) ; DAG Archive

26 FINANCIAL REPORT 2013

DAG concluded the year with a surplus of R1 385 410. This surplus relates directly to income received for undertaking the KHP, which continues until March 2015.

Income The income and expenditure report provides a detailed breakdown of funding sources and other income and expenditure by line item, including comparative figures for the year ending March 2013. Our total income for the year was R8 801 441, including an amount of R4 443 574 received for the KHP. Total income received is comprised of 36% grant funding and 64% from a combination of income sources: the KHP (51%), consultancy income (11%), rent received (1%), dividends and other income. Donor funding income for the year amounted to R3 141 329 of which 48% was contributed by Evangelischer Entwicklungsdienst e.V. (EED), 19% from the Ford Foundation, 10% from the FB Heron Foundation, 9% from Misereor, and 7% from Open Society-SA. The pie chart on income for the year (see page 28) demonstrates DAG’s gradual shift away from a reliance on grant funding (22.2% decrease) towards an increase in diverse sources of other income. This grew from 36.6% in 2012 to 64% of DAG’s total income for the year ending March 2013. To read The total income in relation to total expenditure for the year ending 31 March 2013 amounted to R 7 416 031, the majority of which are expenses related to the KHP.

27 Figures in Rand 2013 2012 Operating Expenses Administrative and management fees (4 295) – FINANCIAL STATEMENTS 2013 Advertising (23 328) (30 666) Auditors remuneration (50 000) (45 000) Bank charges (15 786) (19 013) Capital Expenditure: (35 286) (26 059) Figures in Rand 2013 2012 Computer Equipment Revenue Capital Expenditure: (14 995) (2 317) EED 1 514 474 1 491 996 Furniture & Equipment F.B. Heron Foundation 297 300 268 445 Computer expenses (57 283) (52 624) Misereor 291 658 294 783 Consultants fees (484 083) (533 304) Ford Foundation 600 180 492 750 Consumables (16 539) (12 235) Open Society Grant 207 333 155 167 Course venue & catering (70 859) (540) Anglo American Chairman’s Fund 100 000 – Employee costs (4 664 483) (3 744 310) Entertainment & gifts (21 209) (4 919) The Body Shop – 53 424 Equipment hire (55 779) (60 985) CIDA 130 384 496 036 Finance costs (5) (44) Consultancy Income 969 091 2 047 239 Insurance (28 525) (29 623) Khayelitsha Project Income 4 443 574 – Internet, website and email (27 602) (19 464) Cost recoveries – 9 Legal expenses (7 500) (12 250) Rental received 118 352 112 711 Material development and printing (135 048) (36 421) Sundry donations 26 792 31000 Meetings (42 120) (37 431)

Postage (368) (3 663) 8 699 138 5 443 560 Printing and Stationery (28 125) (23 362) Rates & Taxes (19 091) (14 205) Other Income Repairs and maintenance (98 738) (37 905) Dividends on investment 7 334 6 919 Resources (874 790) (305 007) Interest received 41 486 108 323 Seminars and venue (82 842) (141 355) Sundry income 53 483 32 457 Software expenses (8 922) (5 460) 102 303 147 699 Telecommunications (81 199) (64 805) Travel - Road (270 842) (60 884) Total Income 8 801 441 5 591 259 Travel Accommodation & Subsistence (74 651) (205 626) Total Expenses 7 416 031 5 582 585 Utilities (34 633) (27 196) Surplus for the year 1 385 410 8 674 Workshops (87 105) (25 912) Total Expenses (7 416 031) (5 582 585)

28 Total Expenditure 76% Balance Sheet As at 31 March 2013 DAG

Figures in Rand 2013 2012 Non-Current Assets 24% Khayelitsha Project Property, Plant & Equipment 3 500 000 3 500 000 Investment 20 000 20 000 3 520 000 3 520 000

Current Assets Accounts Receivable 2 039 287 1 995 684 Cash and cash equivalents 2 111 752 2 457 177 4 151 039 4 452 861

Total Assets 7 671 039 7 972 861 1% Dividends & Other Reserves and Liabilites Income

Equity Total Income Reserves 4 659 047 4 659 047 36% Grant Funding Accumulated surplus 2 457 200 1 071 790 7 116 247 5 730 837

Current Liabilities Trade and other payables 554 792 2 242 024 1% Rental Received Total Reserves and Liabilities 7 671 039 7 972 861 51% Khayelitsha Project 11% Consultancy Income

29 We are grateful to and wish to thank the following funding partners for their support during the 2012/13 financial year

DAG is a registered non-profit organisation with the Department of Social Development, registration no: 0069- 194 NPO and an association not for gain incorporated under Section 21, registration no: 1993/006859/08. DAG has Section 18 (A) status as a tax exempt public benefit organisation allowing for the tax deductibility of donations made by South African taxpayers.

The F. B. Heron Foundation 101 Lower Main Road, Observatory, 7925, South Africa E-mail: [email protected] Telephone: 021 448 7886 (international: + 27 21 448 7886) Fax: 021 447 1987 (international: + 27 21 447 1987) www.dag.org.za