Eastern Cape and ECD Eastern Cape and ECD FundingFunding

PRESENTATION TO SELECT COMMITTEE ON FINANCEPRESENTATION TO SELECT COMMITTEE ON FINANCEParliament, Cape TownParliament, Cape Town

29 August 200829 August 2008By By

Denver A. WebbDenver A. WebbHOD, Department of Social DevelopmentHOD, Department of Social Development

Province of the Eastern CapeProvince of the Eastern Cape

““None of the great social problems we have to solve None of the great social problems we have to solve is capable of resolution outside the context of the is capable of resolution outside the context of the creation of jobs and the alleviation and eradication creation of jobs and the alleviation and eradication of poverty. This relates to everything, from the of poverty. This relates to everything, from the improvement of the health of our people, to improvement of the health of our people, to reducing the levels of crime, raising the levels of reducing the levels of crime, raising the levels of literacy and numeracy, and opening the doors of literacy and numeracy, and opening the doors of learning and culture to all…”learning and culture to all…”

-Pres. Thabo Mbeki, SONA, 9 February 2007-Pres. Thabo Mbeki, SONA, 9 February 2007

Introduction

VisionTo create a better life for all in the Eastern Cape by

providing care, protection and development for the poor and the vulnerable.

MissionTo improve the quality of life and social well-being

of people of the Eastern Cape through integrated and developmental social services in partnership with relevant stakeholders, utilizing

appropriate and available resources.

Introduction

ECD seen as very important intervention to reduce child poverty.Also important intervention to break cycle of inter-generational poverty.ECD interventions not an end in themselves, but integral part of the Eastern Cape poverty Eradication modelAlso contribution to EPWP

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Mitigating Vulnerability

Social grantsECDFree schoolingSchool Nutrition SchemeFree basic servicesFree Health CareHousingSocial Relief of DistressAccess to landTransport (bicycles, subsidized public transport)HCBCs

Promoting Sustainable Livelihoods

Youth Development ProjectsWomen’s cooperativesSiyazondlaSustainable Livelihoods projectsLearnerships and InternshipsCDWsEPWPMicro-EnterprisesCultural industriesEducationHealthcareJIPSAASGISA

Ensuring Full Participation in

Economic ActivitySMMEsCo-operativesSmall-scale farmingAccess to formal EmploymentIndustrialisation•Agrarian developmentGrowth of EC economyJIPSAASGISA

TRACK FAMILIES/HOUSEHOLDS OVER THREE YEARS

Social Security Database

?

House holds Below

R800 p.m. MLL?

Poverty line of

R430 per caoita with upper and

lower thresholds

?

R591, R800 or 1500 p.m income?Educat. std?Access to land?

Criteria for graduating?Skills?Education?

Eastern Cape Poverty Reduction Model

2001 Census Children 0 – 4 years Alfred Nzo 47 304

Amathole 147 120

Cacadu 33 171

Chris Hani 81 280

O R Tambo 215 827

Ukhahlamba 35 352

NM Metro 77 230

Provincial Total 637 284

StatsSA midyear estimates 2008Total Population in the Eastern Cape 6 579 300

Children 0 – 4 691 300

Context: Eastern Cape Demography Informing ECD

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Registered and Accredited ECD Sites in Eastern Cape

2007/08 2008/09District Registered Subsidised Newly

RegisteredSubsidised

Alfred Nzo 75 75 10 80

Amathole 446 416 134 437

Cacadu 77 77 2 79

Chris Hani 219 212 16 228

O R Tambo 224 224 14 231

Ukhahlamba 65 65 10 75

NM Metro 72 72 0 72

Totals 1178 1141 158 1202

Budget Allocation for ECD 2007/08 and 2008/09

Total budget allocation (R millions)

2007/08 2008/09

Department of Social Development (Vote 4)

Sub-Programme 2.6: Child Care & Protection

R162 316 000 R227 783 000

Sub-Sub-Programme: Early Childhood Development

R78 330 000 R87 700 529

ECD % increase 12%

Policy Speech CommitmentIn his 2008/09 Policy Speech, the MEC placed special emphasis on:

Massification of Early Childhood Development (ECD) to reach poor communities in every corner of the Province and to address child poverty.“Early Childhood Development is one of the Apex and sectoral priorities that is seen as a major intervention to deal with child poverty. Not only does it provide poor children with daily sustenance, but it also provides them with a head start when they enter the mainstream of education. The Department will this year fund an additional 100 ECD centres with special focus in the 11 identified poorest municipalities. This intervention will be done in collaboration with other social needs cluster Departments and local municipalities. We will also accelerate the ECD registration campaign which started last year. An amount of R23, 6 million has been allocated for this increase. As part of this broader transformation programme to deal with child poverty, Madam Speaker, we are happy to announce that tariffs will increase from R9 to R12 per child per day in subsidised Early Childhood Development Centres (ECDs). This increase is meant to improve nutrition, recreation and administration of Early Childhood Development Centres to prepare them mentally and physically for assimilation of education at grade 1 level.”

Tariff Structure for Subsidised ECDs 2007/08 and 2008/09

2007/08 2008/09

Administration R3.00 R4.00

Recreation R2.00 R3.00

Nutrition R4.00 R5.00

Total per child per day of attendance

R9.00 R12.00

Assessment of Funding and Performance

Had a registration campaign launch in October 2007. In 2007/08 set a target of registering 225 new ECD sites, which was not met. Only 17 new sites were funded for 2007/08. Signed SLA to formalise partnership with Department of Education in October 2007, to clearly establish roles and responsibilities.In EC, ECDs are subsidised on basis of signed 3 year SLA, annual allocation letter and submission of monthly claims of actual attendance.72 800 children benefited from the ECD during 2007/08.3 369 Work Opportunities were created in ECD through EPWP during 2007/08Now special focus placed on the 11 poorest or least developed Local Municipalities.

Rural Beneficiaries

1141 ECD sites were funded, 72 800 children were subsidised and 2 282 caregivers benefited in 2007/08785 sites are outside the NMM and Buffalo City, 49 728 children are subsidised, 1 570 caregivers benefited.356 sites are in the NMM and Buffalo City, 23 072 children are subsidised, 712 caregivers benefited.

ECDs and EPWPECD (along with HCBCs) seen as major contribution by social sector to EPWP. In terms of recent National report, Eastern Cape social sector EPWP target was 26 268 Work Opportunities by end 2008/09.Audited report of Work Opportunities created from April 2004 to 31 March 2008 shows EC created 25 348 WOs. Have the 2008/09 year to achieve the balance to meet target 100%.In actual numbers this constitutes the largest number of all Provinces.

ChallengesReliable baseline information for evidence-based decision-makingPoor and inadequate infrastructure from which ECD services are run.Lack of clear policy on issue of provision of infrastructure.Inadequate monitoring of ECD services due to capacity constraints at local service office level.Delays in provision of training to ECD practitioners in EPWP.Quality of what takes place within ECDs as an educational foundation.Lack of general awareness on registration by public.

ConclusionIn EC, we have seen a major improvement in funding norms, ensuring we no longer lag behind other Provinces in the subsidy. Striking a balance between improving funding levels and increasing number of ECDs that receive subsidies.Social development sector will strive for the R12 per child in 2009/10, so ECD in EC will not increase funding levels next year, but will increase coverage.Increased number of social work professionals (236 Social Workers, 42 Chief Social Workers, 21 Senior Social Workers, 300 Social Auxiliary Workers, 24 Contract Social Auxiliary Workers for the Child Protection Register) employed in the Department in 2007/08 has improved capacity for monitoring of ECDs.Also will be placing more emphasis on quality of what takes place within ECD.