Urban Renewal In Cape Town: The Way Forward Shahid Solomon Program Developer August 2002...

Urban Renewal In Cape Town: The Way ForwardUrban Renewal In Cape Town: The Way Forward

Shahid SolomonProgram Developer

August 2002

Shahid SolomonProgram Developer

August 2002

Presentation to the Executive Committee.Presentation to the Executive Committee.

A National Government Programme

A National Government Programme

The focus is on the specific national government urban renewal programme for Khayelitsha and Mitchell’s Plain.Other urban renewal initiatives are important but not part of the national programme eg. Cape Renewal Strategy, Wesbank, Kew Town.

The focus is on the specific national government urban renewal programme for Khayelitsha and Mitchell’s Plain.Other urban renewal initiatives are important but not part of the national programme eg. Cape Renewal Strategy, Wesbank, Kew Town.

Objectives Of The Urban Renewal Programme

Objectives Of The Urban Renewal Programme

To mobilise people so that they can become active participants in upliftment.To co-ordinate and focus the three spheres of government.To secure private sector co-operation and participation.To reprioritise and re-align the budgets and expenditures of the three spheres of government.To pilot approaches to ensure cluster and inter-cluster as well as cross-sphere approaches to planning, budgeting and implementation.

To mobilise people so that they can become active participants in upliftment.To co-ordinate and focus the three spheres of government.To secure private sector co-operation and participation.To reprioritise and re-align the budgets and expenditures of the three spheres of government.To pilot approaches to ensure cluster and inter-cluster as well as cross-sphere approaches to planning, budgeting and implementation.

What Is Urban Renewal?What Is Urban Renewal?

A 5 to 10 year process.Of developing inter-governmental, business, community and donor partnerships.In order for…

The City to better meet community needs through:

Infrastructure upgrading.Improved service delivery.

Simultaneously with:Communities being better empowered to access city opportunities through development programmes.

A 5 to 10 year process.Of developing inter-governmental, business, community and donor partnerships.In order for…

The City to better meet community needs through:

Infrastructure upgrading.Improved service delivery.

Simultaneously with:Communities being better empowered to access city opportunities through development programmes.


City that bettermeets

communityneeds

Communities better

equiped to access

city opportunities

UrbanRenewal Process

Infrastructure

upgrading and

improved service delivery

Development

partnerships

Development

programmes


(A) Infrastructure upgrading.Urban integration:

Corridor development (Wetton-Landsdowne and North/South corridors).Major nodal development (KBD, MPCBD).Local nodes/dignified places.

Public transport facilities:

(A) Infrastructure upgrading.Urban integration:

Corridor development (Wetton-Landsdowne and North/South corridors).Major nodal development (KBD, MPCBD).Local nodes/dignified places.

Public transport facilities:

Examples: City that better meets community needs:Examples: City that better meets community needs:


Economic infrastructure:Tourism routes/facilities.Urban farms and produce markets.Telecentres and business support centres.Trading markets.

Crime prevention:Street lighting.Police stations.Safe houses.

Economic infrastructure:Tourism routes/facilities.Urban farms and produce markets.Telecentres and business support centres.Trading markets.

Crime prevention:Street lighting.Police stations.Safe houses.

Examples: Infrastructure UpgradingExamples: Infrastructure Upgrading


Settlement upgrading:Conventional housing.Informal settlement upgrade/relocation.Managed land settlement.Higher density/social housing.Social facilities (orphanages, clinics, libraries).

Settlement upgrading:Conventional housing.Informal settlement upgrade/relocation.Managed land settlement.Higher density/social housing.Social facilities (orphanages, clinics, libraries).



Environmental upgrading:Recreation nodes and facilities.Coastal/wetland management.Dump sites.

Environmental upgrading:Recreation nodes and facilities.Coastal/wetland management.Dump sites.



(B) Improved service delivery.Waste management.Postal services.Social and welfare services.Health services.Safety, security and emergency services.

(B) Improved service delivery.Waste management.Postal services.Social and welfare services.Health services.Safety, security and emergency services.

Examples: City that better meets community needs.Examples: City that better meets community needs.


Development programmes:Skills development and literacy.People’s housing processes.Business development.Community-based service delivery.Digital divide: ICT skills development.Youth/women empowerment.Community safety and violence prevention.Civil society capacity building.

Development programmes:Skills development and literacy.People’s housing processes.Business development.Community-based service delivery.Digital divide: ICT skills development.Youth/women empowerment.Community safety and violence prevention.Civil society capacity building.

Examples: Communities better empowered to access Examples: Communities better empowered to access city opportunities.city opportunities.

Funding OpportunitiesOver The Next 5 YearsFunding OpportunitiesOver The Next 5 Years

Current Current CommitmentCommitment

PotentialPotential

National GovernmentNational Government R103m R103m R1000m – R2000mR1000m – R2000m

Provincial GovernmentProvincial Government ?? R500m – R1500mR500m – R1500m

City City ?? R1000m – R2000mR1000m – R2000m

DonorsDonors R75mR75m R200m – R1000m R200m – R1000m

TotalTotal R173m ?R173m ? R2700m – R6500mR2700m – R6500m

An Urgent Call To ActionAn Urgent Call To Action

National government has assigned top-echelon cabinet ministers and WCPG has assigned the Premier as political champions.If Cape Town does not move fast, our communities may miss the boat on major funding opportunities.

National government has assigned top-echelon cabinet ministers and WCPG has assigned the Premier as political champions.If Cape Town does not move fast, our communities may miss the boat on major funding opportunities.

Key Success Factors for an Urban Renewal Management FrameworkKey Success Factors for an Urban Renewal Management Framework

Effective Political Leadership:Bring political representatives from all three spheres of government together – to avoid red tape, delays and misalignment.

Inter-departmental buy-in:Active involvement and buy-in of relevant officials and line departments in the City, the Province and at national level.

Donor Support:Effectively lobby donors for grant finance, and form partnerships with NGOs

Effective Political Leadership:Bring political representatives from all three spheres of government together – to avoid red tape, delays and misalignment.

Inter-departmental buy-in:Active involvement and buy-in of relevant officials and line departments in the City, the Province and at national level.

Donor Support:Effectively lobby donors for grant finance, and form partnerships with NGOs

Continued…Continued…

Key Success Factors for an Urban Renewal Management FrameworkKey Success Factors for an Urban Renewal Management Framework

Business Involvement:Credibility with the business sector to attract significant private investment.

Community Empowerment:Empower and involve local communities and Sub-Councils in decision making.

Implementation Capacity:Capacity to effectively budget for and integrate and drive 200-500 projects and account for results and performance.

Alignment with City priorities and systems:Integration with IDP.

Business Involvement:Credibility with the business sector to attract significant private investment.

Community Empowerment:Empower and involve local communities and Sub-Councils in decision making.

Implementation Capacity:Capacity to effectively budget for and integrate and drive 200-500 projects and account for results and performance.

Alignment with City priorities and systems:Integration with IDP.

……ContinuedContinued

Risks To Be ManagedRisks To Be Managed

Perception of managers and district staff that urban renewal lies ‘outside’ their sphere of responsibilities with resultant low co-operation and/or duplication.Line departments shift budget and resource priorities to other areas.Tensions may develop between the urban renewal management framework and established political structures.Urban renewal framework may become an ‘end in itself’.

Perception of managers and district staff that urban renewal lies ‘outside’ their sphere of responsibilities with resultant low co-operation and/or duplication.Line departments shift budget and resource priorities to other areas.Tensions may develop between the urban renewal management framework and established political structures.Urban renewal framework may become an ‘end in itself’.

The Need for a Dedicated Support Framework

The Need for a Dedicated Support Framework

Urban Renewal of Khayelitsha and Mitchell’sPlain is a vast task.Transparent ringfencing of the financial contributions of Council, national and provincial government and donors.A ‘board’ of key political leaders in an efficient decision making structure.Can be established quickly to capture opportunities.Flexibility and responsiveness essential.

Urban Renewal of Khayelitsha and Mitchell’sPlain is a vast task.Transparent ringfencing of the financial contributions of Council, national and provincial government and donors.A ‘board’ of key political leaders in an efficient decision making structure.Can be established quickly to capture opportunities.Flexibility and responsiveness essential.

Functions Of Management Framework


Effectively deliver a 5-10 year urban renewal programme for Khayelitsha and Mitchell’s Plain.Manage inter-governmental co-ordination.Develop partnerships with donors and the business sector.Develop and manage a delivery programme andfinancial mechanisms.Effectively manage projects.

Effectively deliver a 5-10 year urban renewal programme for Khayelitsha and Mitchell’s Plain.Manage inter-governmental co-ordination.Develop partnerships with donors and the business sector.Develop and manage a delivery programme andfinancial mechanisms.Effectively manage projects.

Continued…Continued…



Secure community involvement and ownership.Develop the capacity of community institutions in Khayelitsha and Mitchell’s Plain to be able to play an effective longer term role in development.Develop the medium term capacity of the municipal administration to achieve urban renewal throughout the city.Ad-hoc advice for other urban renewal areas.

Secure community involvement and ownership.Develop the capacity of community institutions in Khayelitsha and Mitchell’s Plain to be able to play an effective longer term role in development.Develop the medium term capacity of the municipal administration to achieve urban renewal throughout the city.Ad-hoc advice for other urban renewal areas.

……ContinuedContinued

Components Of Management Framework

Components Of Management Framework

Local Vision

Local Strategy

Local Partnerships

Overall Vision

Strategic Integration

Financial Support

Technical Support

Capacity Building

Local Vision

Local Strategy

Local Partnerships

Enabling Entity

KhayelitshaSteering

Committee

KhayelitshaProject

Management Team

Mitchell’s PlainSteering

Committee

Mitchell’s PlainProject

Management Team

Project ManagersContractorsService Providers

Project ManagersContractorsService Providers

Imlementation:200-500 Projects

Ad-hoc support to other Urban Renewal Projects

Sub-Council reps

Civil society

NGO’s

Local Business

Sub-Council reps

Civil society

NGO’s

Local Business

Components Of Enabling EntityComponents Of Enabling Entity

Executive Councillors

Board

Provincial MECs

National Ministers/DGs

Local Steering Commttee

Representation

Business Sector

Representation

MOU

ContractSupport

Core

Official secondees

Project Managers

National

Provincial

City

Donors

Inter-governmental Coordination

Forum

Service Level Agreements

Section 21 or Public Corporation

or in-house department

Province City

Proposed Components Of Business Plan

Proposed Components Of Business Plan

BUSINESS PLAN

Vision and Strategy

Programme Management

System

Project Agreements

Integration intoNational, Provincial,

City and Donorprogrammes,

budgets and IDP

5 yearMTIEF

Monitoring and

Evaluation

Packageof Plans

3 year Rolling Programme of Projects

Stratey/Policy from 3 spheres of government

Metropolitan SpatialDevelopment FrameworkPrinciples and Objectives

ContextualFramework

KhayelitshaDevelopmentFramework

Mitchell’s PlainDevelopmentFramework

DistrictPlans

DistrictPlans

ProjectPlans

PrecinctPlans

PrecinctPlans

ProjectPlans

Process PlanProcess PlanTrigger Report

City Task Team

Lead Projects2002/2003

Core PartnerNegotiations

ProcessAgreement

DraftBusiness Plan

Final ManagingEntity and Framework

Interim Board and Management

Framework

MOU

KFWFeasibility

Study

Stakeholder and public

input

2002/2003 IDP:Plan and process links

FinalBusiness Plan

2002/2003Programme/

Rollout

Review of BusinessPlan with 2004/

2005 IDP

Apr 2003

May 2003

July 2003

Mar/June 2004

Sep 2002

Feb 2003

Oct 2002

Sep 2002

Mar 2003

Staff ImplicationsStaff Implications

The City does not currently have the staff to drive or support the urban renewal programme. A Project Leader and contract based core staff component for the Enabling Entity will be needed.

The City does not currently have the staff to drive or support the urban renewal programme. A Project Leader and contract based core staff component for the Enabling Entity will be needed.

Financial ImplicationsFinancial Implications

Urban Renewal is core business and a constitutional obligation.Business Plan will quantify operating costs of management framework.Urban renewal to be linked to the City’s IDP, MTIEF and budget processes through the business plan to ensure financial sustainability.

Urban Renewal is core business and a constitutional obligation.Business Plan will quantify operating costs of management framework.Urban renewal to be linked to the City’s IDP, MTIEF and budget processes through the business plan to ensure financial sustainability.

Costs – Short TermCosts – Short Term

Business Plan to cost from R2,5 million to R3,0 million: urgent funding needed.Annual operating cost of the Management Framework and Enabling Entity may be in the range of R4 million to R6 million per annum.

Business Plan to cost from R2,5 million to R3,0 million: urgent funding needed.Annual operating cost of the Management Framework and Enabling Entity may be in the range of R4 million to R6 million per annum.

Costs – Medium/Long TermCosts – Medium/Long Term

The future operating costs of new facilities and infrastructure to be funded by Council must be factored in.Pressure will be put on Council to match government and donor capital contributions with its own capital.

The future operating costs of new facilities and infrastructure to be funded by Council must be factored in.Pressure will be put on Council to match government and donor capital contributions with its own capital.

Benefits – Short TermBenefits – Short Term

At least R77 million of capital grant funding is available from government for 2002/2003 and 2003/2004, together with at least R25 million of donor finance.Utilisation of local labour and skills training schemes linked to capital projects will help relieve unemployment and all of the downstream costs this imposes on Council.Major credibility boost for IDP if short term results can be delivered.

At least R77 million of capital grant funding is available from government for 2002/2003 and 2003/2004, together with at least R25 million of donor finance.Utilisation of local labour and skills training schemes linked to capital projects will help relieve unemployment and all of the downstream costs this imposes on Council.Major credibility boost for IDP if short term results can be delivered.

Benefits – Medium/Long TermBenefits – Medium/Long Term

Could attract unprecedented levels of national government and donor funding over 5-7 years.Climate conducive to private sector investment, to strengthen the City’s tax base and avoid further degeneration.Culture of payment for services.Immense costs of poverty (social impacts of crime, policing measures and under utilisation of economic skills base) reduced.Infrastructure is optimally matched to needs and community takes care of new facilities.Learning experiences for renewing other parts of the City.Improve the image of the City and its attractiveness to tourists and investors.

Could attract unprecedented levels of national government and donor funding over 5-7 years.Climate conducive to private sector investment, to strengthen the City’s tax base and avoid further degeneration.Culture of payment for services.Immense costs of poverty (social impacts of crime, policing measures and under utilisation of economic skills base) reduced.Infrastructure is optimally matched to needs and community takes care of new facilities.Learning experiences for renewing other parts of the City.Improve the image of the City and its attractiveness to tourists and investors.

RecommendationsRecommendations

Exco to appoint an Urban Renewal Sub-Committee supported by EMB Task Group (Development, Finance, Community Services, Strategy)Urban Renewal Sub-Committee to be mandated to finalise:

Negotiation of a final Process Plan with core government partners (national and provincial).The design, development and funding of a Business Plan.The nature and form of an enabling entity and framework (with any interim arrangements).A Memorandum of Understanding with core partners and key stakeholders.Integration of the Urban Renewal Programme in the City’s IDP.

Exco to appoint an Urban Renewal Sub-Committee supported by EMB Task Group (Development, Finance, Community Services, Strategy)Urban Renewal Sub-Committee to be mandated to finalise:

Negotiation of a final Process Plan with core government partners (national and provincial).The design, development and funding of a Business Plan.The nature and form of an enabling entity and framework (with any interim arrangements).A Memorandum of Understanding with core partners and key stakeholders.Integration of the Urban Renewal Programme in the City’s IDP.

RecommendationsRecommendations

Dedicated internal Urban Renewal Project Leader and Technical Support Team to be appointed.Advertisement and selection process for consultants to develop Business Plan to be initiated immediately.Temporary operating budget of R200 000 and consultants fees budget of R400 000 to be identified immediately, further requirements for the balance of 2002/2003 to be accurately quantified, and funds allocated thereto.Funding (R2.26 million) from national and provincial government and donors to complete the Business Plan to be sought, but in any case to be identified and reserved as a contingency fund in the 2002/2003 operating budget.

Dedicated internal Urban Renewal Project Leader and Technical Support Team to be appointed.Advertisement and selection process for consultants to develop Business Plan to be initiated immediately.Temporary operating budget of R200 000 and consultants fees budget of R400 000 to be identified immediately, further requirements for the balance of 2002/2003 to be accurately quantified, and funds allocated thereto.Funding (R2.26 million) from national and provincial government and donors to complete the Business Plan to be sought, but in any case to be identified and reserved as a contingency fund in the 2002/2003 operating budget.

Thank YouThank You

Urban Renewal In Cape Town: The Way Forward Shahid Solomon Program Developer August 2002...

Documents

Transcript of Urban Renewal In Cape Town: The Way Forward Shahid Solomon Program Developer August 2002...