Presentation tothe Portfolio Committee on Sport and

Recreation 18 February 2014

Chairperson :NLB

Prof. Alfred Nevhutanda

Presentation Outline•Introduction •Strategic Plan•Summary on Sports Funding•Allocations per Sector•Infrastructure Spend•Highlights (Report on current Funding Programs)•Challenges •Concluding Remarks•Discussion

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NLB Structure

Operates the National Lottery and National Sports Poolsunder Licence

NLB

NLDTF

DACharities

DAArt & Culture

DASport

DARDP

DAMisc

28%

45%

22%

5%0%

Weekly transfer

CentralApplications

Office

NGOsCBOs

Applications

Payments

GIDANI

REGULATION DISTRIBUTION

OTHER LOTTERIES

Grant Funding: Sports DA• Consists of independent members appointed by the Minister of

Trade & Industry in consultation with the Minister of Sport

• The role of the DA as per the Act is to adjudicate on all the applications received

• No allocations are made without an application as per legislation

• The role of the Grant Funding Division of the NLB is to provide administrative support

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Strategic Plan• Promote social cohesion and nation building through sport

• Promote healthy lifestyle

• Provide a platform for the historically disadvantaged communities to achieve their sporting potential through:

Gender integration

Funding of vulnerable groups

Partnership with stakeholder, clubs, schools, NGO’s, Municipalities and Organized structures

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Strategic Plan• Transformation & Development Programmes

Talent identification

Basic facilities

Sport equipment

Local leagues

Provincial-and national competitions

Capacity building

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Strategic Plan• Infrastructure

• Capacity Building

Includes courses for clubs, regional, provincial and national facilitators, technical officials, administration and coaches

Life skills

Generic training courses

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Strategic Plan…Capacity building International accreditation of coaches

International accreditation of technical officials

Facilitation and coordination all technical courses to be SAQA accredited

Translation of course training manuals/materials

Production/development of training material for respective courses

Reasonable accommodation for people with disabilities

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Strategic Plan• High Performance

Sport-specific research equipment

Medical

Nutrition

International participation

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Summary of Sports and Recreation Distribution Agency Funding

Total allocated 463 016 000

Total Grants aw arded to date 319 129 731

Withdraw als 18 397 016

Balance remaining as at 31/12/2013 162 283 285

Summary of Sports and Recreation Distribution Agency Funding

Month/QtrAllocated - cumulative Allocated per month

Jun - Q1 12 522 758 12 522 758 Jul 60 438 439 47 915 681 Aug 114 102 954 53 664 515 Sep - Q2 160 678 831 46 575 878 Oct 190 233 583 29 554 751 Nov 253 554 693 63 321 110 Dec- Q3 319 129 731 65 575 039 JanFebMar - Q4

FINANCE -Final

SRDA Allocation per Sector

Province Total % National Municipality Schools Tertiary

Institutions National

Federations

Provincial Academies for

sport Clubs Macro Bodies

Eastern Cape 25 709 324 8.06 - 2 000 000 13 075 550 - - 3 759 141 6 874 633 - Free State 17 871 808 5.60 - 1 000 000 13 061 680 2 000 000 1 489 411 - 320 717 - Gauteng 73 193 912 22.94 - - 8 157 164 1 000 000 37 755 390 2 772 022 5 809 336 17 700 000 KZN Natal 22 698 498 7.11 - - 8 492 403 - 1 652 263 9 238 048 3 315 784 - Limpopo 24 200 911 7.58 - - 18 293 305 3 530 300 - 1 320 000 1 057 306 - Mpumalanga 14 487 391 4.54 - 1 009 960 8 485 067 - 2 000 000 2 485 191 507 173 - Northern Cape 5 370 159 1.68 - - 4 721 069 - 51 020 - 598 070 - North West 11 722 003 3.67 - 1 000 000 9 742 909 591 793 - - 387 300 - Western Cape 61 185 727 19.17 - 5 114 223 7 020 696 580 000 32 444 393 7 756 186 8 270 229 - National 62 690 000 19.64 - - - 62 690 000 - - -

319 129 731 100 - 10 124 183 91 049 843 70 392 093 75 392 477 27 330 588 27 140 548 17 700 000

Perecentage awarded per Sub -sector - 3.17 28.53 22.06 23.62 8.56 8.50 5.55

No. of applications 1 171 4 11 912 9 21 34 178 2No. of applications % 100.00 0.34 0.94 77.88 0.77 1.79 2.90 15.20 0.17

SRDA Allocation per Sector

Provincial Investment

Infrastructure Spend

Province Allocation to date Infrastructure spend based on Applicant requests

% infrastructure spend per province

Eastern Cape 25 709 323.74 5 835 149 11.74 Free State 17 871 807.52 10 951 666 22.03 Gauteng 73 193 911.94 4 494 489 9.04 KZN Natal 22 698 497.86 3 975 783 8.00 Limpopo 24 200 910.55 9 760 053 19.63 Mpumalanga 14 487 390.81 3 789 817 7.62 Northern Cape 5 370 159.36 1 405 794 2.83 North West 11 722 002.62 3 555 300 7.15 Western Cape 61 185 726.68 5 953 754 11.97 National 62 690 000.00

319 129 731 49 721 805 100

Infrastructure Investment component

Eastern Cape Free State Gauteng KZN Natal Limpopo MpumalangaNorthern

CapeNorth West

WesternCape

% infrastructure spend per province 11.74 22.03 9.04 8.00 19.63 7.62 2.83 7.15 11.97

-

5

10

15

20

25

Perc

enta

ge

% Infrastructure Spend per Province

Highlights - Schools• During the year under review 912 schools have been funded to

date(31/12/2014) , amounting to approximately R91 mil.• In addition R17m was allocated towards national championships

Top 3 infrastructure related investments nationally (approximate)– 195 Multi-courts have been constructed/maintained- R19.7 mil– 58 Netball courts constructed/maintained – R5.9m– 41 Soccer fields prepared/constructed – 4.1 mil

Sport equipmentThe NLB has noted that a significant portion of the R91 mil , included

funding requests for sport equipment.

Highlights – Tertiary Institutions• This sector saw massive investment totalling R70 mil.

• The most significant investment was channelled towards FET colleges under the umbrella of the South African College Principals Organisation(SACPO)-R62 mil.

• SACPO represents 50 FET colleges nationally

• Will act as custodian for sport relating to the FET colleges as well as to the surrounding communities

Highlights – National Federations

The NLB’s focus within this sector includes:•High performance training•Capacity building and training camps•International participation and hosting of International events •Equipment for high performance activities

Top 10 Beneficiaries

South African Institute For Drug-Free Sport 18 800 000.00 Sascoc (CHAN) 17 700 000.00 The Sports Trust (Sports Awards) 6 000 000.00 Chess South Africa 3 998 100.00 South African Sports Aerobics & Fitness Federation 3 852 893.00 Squash South Africa 3 753 840.00 S.A Deaf Sports Federation 3 642 050.00 WP Tug-Of-War Association 2 092 417.67 South African Rugby Union 2 000 300.00

Challenges • Demand exceeds available resources

• Applications based funding model

• Lack of impact measurement

• Expectation of recurrent and ‘permanent’ funding potentially crowding out new entrants

• High rate of declines (due to non-compliance)

• Fraudulent applications / fund use

• Provincial allocation / spread inequities

• Turnaround times

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Concluding Remarks• Appreciate the opportunity to account and engage with the

Committee as the elected representatives of the communities we are appointed to serve

• The implementation of amendments to the Lotteries Act will address most of the fundamental structural impediments for the more effective & efficient distribution of funds from the NLDTF

• In the meantime the NLB and Distributing Agencies continuously endeavor to improve the operational efficiencies related to the NLDTF activities.

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Delegation• Prof. Alfred Nevhutanda (NLB Chairperson)

Tel: 012-4321322Cell: 072 623 9809email: profnevhu@nlb.org.za

• Mrs Thabang Mampane (CEO)Tel: 012-4321322Cell: 082 415 5435email: thabang@nlb.org.za

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Delegation• Mr. Jeffrey du Preez (Senior Executive: Grant Funding)

Tel: 012-4321376Cell: 082 903 2694email: jeffrey@nlb.org.za

• Mr. Mveleli Ncula (Distributing Agency – Chairperson)Tel: 021-685 5930Cell: 082 990 0016email: mvelelincula1947@gmail.com

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Thank You

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