KNYSNA MUNICIPALITY: SUSTAINABLE HUMAN SETTLEMENT STRATEGY (2008-2013) SERVICE PROVIDER: Khulisani Development Management cc. With inputs from: Marike Vreken Town Planners Tuiniqua Consulting Engineers 8th February 2008 [FINAL DRAFT] 1 CONTENTS EXECUTIVE SUMMARY…………………………………………………………..5 1. Background and Structure of Report Introduction Study area Structure of draft strategy Defining the target market ……………………………………..17 2. Legislative and Policy Frameworks…………………………………………..22 2.1 Constitution of the Republic of South Africa 2.2 The Housing Act (No107 of 1997) 2.3 Municipal Systems Act (No. 32 of 2000) 2.4 Breaking New Ground (BNG) 2.5 Knysna Municipality Policy Framework 3. Planning Considerations……………………………………………………….31 3.1 Knysna 2020 vision 3.2 Knysna Integrated Development Plan (2007-2011) 3.3 Draft Knysna Spatial Development Framework (KSDF) 4. Demographic and Socio-Economic Considerations.,,,,,,,,,………………34 4.1 Size and growth of the municipal population 4.2 Growth in housing demand 5. Land, Spatial Planning and Infrastructure Services………………….…..37 5.1 Land assessment 5.1.1 Land requirements 5.1.2 Areas of land identified for low income and affordable housing development 5.2 Engineering Services 6. Settlement and Housing Challenges: A Problem Statement………..…..44 . 7. Principles, Vision, Goals and Objective………………………….…….…...51 7.1 Principles 7.2 Vision 7.3 Goals 7.4 Objectives 7.4.1 Goal No 1 7.4.2 Goal No 2 7.4.3 Goal No 3 7.4.5 Goal No 4 7.4.6 Goal No 5 8. Sustainable Settlement Strategy……………………………………………56 8.1 Act now but think ahead 8.2 Increase housing delivery rates and get ahead of the demand curve 8.3 Effective functioning of the housing market 2 8.4 Municipal wide housing interventions 8.5 Bold initiatives for the future 8.6 Enhancing municipal capacity to act 8.7 Obtain accreditation for the municipality 8.8 Strengthening service orientation 8.9 Improve communication with communities 8.10 Inclusionary housing 8.11 Feed the development pipeline 8.12 Quality management 8.13 Emerging contractor development 8.14 Management arrangements 8.15 Area focused interventions 9. Settlement Development Programme and Budget………………………65 9.1 Overall considerations 9.2 Area focused interventions 10. Performance Management, Monitoring & Evaluation………………..…74 11. Planning, Innovation & New Approaches…..…………………………….74 3 APPENDIX A: Terms of Reference and Strategy Formulation Methodology APPENDIX B: Defining the Target Market APPENDIX C: Public Participation Inputs APPENDIX D: Potential Land Development Options APPENDIX E: Settlement and Housing Development Principles 4 ACKNOWLEDGEMENTS The preparation of this Integrated Human Settlement Strategy for the Knysna Municipality would not have been possible without the continuous support of Lauren Waring (Director: Community Services), Stephen Langlands and their colleagues from the municipality. Particular thanks are also due to the Executive Mayor, Councillor Finn (Head: Housing Portfolio) and to all the Councillors who participated so actively in the various public meetings to consult with the communities of the municipality. A debt of gratitude is due to Marike Vreken (Marike Vreken Town Planners) and Richard Coke (Tuiniqua Consulting Engineers), my professional colleagues in the preparation of this strategy. Mike Morkel Khulisani Development Management cc. UNIONDALE 5 EXECUTIVE SUMMARY 1. Introduction All municipalities in South Africa are required, in terms of the Municipal Systems Act (2000), to undertake the preparation of an Integrated Development Plan (IDP), including a housing sector plan. This sustainable human settlement strategy represents the five-year housing sector plan of the Knysna Municipality prepared for the period 2008-2014. This strategy was guided by a Terms of Reference, it was undertaken in terms of an agreed methodology and its outputs were managed by the Director: Community Services of the municipality. Refer to Appendix A for details in this regard. Phase 1 of the preparation of the strategy involved a detailed situational analysis to assess the relevant physical, demographic, social, housing, planning and policy issues within and impacting upon the municipality. A second phase involved extensive community interactions to tap into the key housing issues and challenges as seen by elected representatives, officials and communities comprising the municipality. Together, these two preliminary phases enabled the formulation of a draft strategy to be elaborated and enhanced after further interactions with the community, it’s representatives and municipal officials. After formal Council adoption the housing sector plan will represent the stated policy and implementation plan of the Knysna Municipality. 2. Housing Sector Plan (a) Context From a legislative and a policy perspective, the context for the plan is determined by key framing considerations which include most centrally: the Constitution of the Republic of South Africa, the Housing Act, the Municipal Systems Act and the Comprehensive Plan for the Development of Sustainable Human Settlements. Each of these was reviewed and the key implications were extracted to guide the strategy formulation process. From the point of view of the municipality itself, the policy and planning frameworks are set by the Knysna 2020 Vision, the IDP itself, the Draft Spatial Development Framework, the Knysna Municipality: Interim Housing Chapter (2006-2011) and its associated definitions of affordable housing and a draft policy framework on inclusionary housing. The plan prepared is in support of, and further elaborates on, the policy and planning positions of the municipality as expressed in the above documentation. 6 From a demographic perspective the proposed strategy will need to address the following key challenges: A population which is growing annually as a result of natural growth tendencies and continuing in-migration; The growth in population is occurring predominantly amongst poorer communities, with approximately 80% of households having incomes of less than R3 500 and 20% with incomes less than R10 000 per month; With a current housing backlog of an estimated 6000 units, and adjusting this by a projected 4% or 6% increase in population over the five-year period of the plan and the extent of current housing supply, yields figures of between 5200 and 7200 new homes which will need to be provided over the next five years to fully house the communities of the municipality Assuming more realistically, as is proposed, only 50% of the housing backlog can be housed in the five year term of the plan, this yields a need for an additional 2200-4200 homes. At the lower rate of growth of 4% per annum this will require the municipality to achieve a rate of annual housing supply of some 500 units, additional to current projects which are underway. To begin to respond to these housing challenges, the strategy identifies specific parcels of land that have already or could be considered feasible for future development. Within the Knysna basin itself land is identified at Heidevallei, within the Hornlee area and further north at Kruisfontein and Windheuwel. Development possibilities are, in turn, also assessed in the Keurhoek/Reenendal, Karatara and Ruigtevlei areas before examining the more limited land available in the Sedgefield, Sizamele and Smutsville communities. Appendix D of the report contains mapping and assessment information on each of these land portions. Bearing in mind the importance of infrastructure services provision, this aspect has also been considered. The overriding conclusion is that current capacities are posing a limiting factor across the settlements of the municipality to the further expansion of housing and, consequently, as regards water supply, sewerage and electrical capacity, in particular, a multi-year strategic investment programme of infrastructure upgrading will be essential. The importance and urgency of sufficient investment in such infrastructure services cannot be stressed too highly. An extensive process of community consultations provided essential insights into the problems, concerns and aspirations of ratepayers. A total of eight interactions were held, which were attended by over 500 residents. A wide cross-section of issues were raised, documented and these are contained in Annexure C. The sector plan has been guided by these inputs and a number of the plan’s proposals derive directly from them. 7 (b) Settlement and Housing Challenges Before elaborating the sustainable settlement strategy, the specific challenges that need to be addressed are elaborated. These are summarised as follows: Need for housing: A clear need for housing has been identified amongst low- income households and those able to afford entry level bondable housing products. A housing backlog of approximately 6000 homes is indicated increasing by some 20 additional families on the official housing register every month. The overwhelming perception amongst communities is that the municipality has the primary responsibility for helping lower income families to improve their housing circumstances. Extent of housing delivery requirement: Taking account of the current estimated housing backlog, adjusting this upwards by the projected rates of per annum growth over the five year period of the plan, yields an additional housing requirement of between 9 500-11 500 new homes to be provided between 2008 and 2014. Adjusting this total figure downwards by 4400 for the new homes being delivered in the Vision 2020 and in the Flenters/Robololo/Concordia projects (and on the assumption that the municipality can realistically only tackle 50% of its backlog over the 5 year period of this plan), yields an additional housing delivery requirement of between 2 200 and 4 200 units. Annually this computes into an additional delivery of between approximately 450-850 units, depending upon the rates of actual growth experienced (ie. a 4% or a 6% per annum growth). Affordability levels: Available statistics indicate that some 80% of the anticipated need will be concentrated in the R0-R3 500 monthly income level and thus qualify for a fully subsidised starter housing unit. A further 20% of the estimated need have incomes up to R10 000 per month and, as such, represent those looking for housing in the gap and affordable market segments. Informal Settlements: With some 4 500 informally constructed dwellings situated in the municipality the need to provide services, housing and tenure rights is emphasised. Geographical concentration of lower income communities: This reality, borne of historical circumstances largely, creates particular challenges for promoting spatial integration and the stated policy of Council to promote greater mixing of income groups in residential communities. Land requirement to satisfy housing need: The assessment of suitable land for new settlement development underlines the fact that identifying and then sourcing this land and bringing it, in a timely manner, into the development cycle constitutes a key concern of the municipality. Clearly, the Knysna basin itself and Sedgefield both 8 experience particularly acute challenges in this regard. determinations of additional housing needed suggest approximately 200-280ha of suitable land are required. The that Engineering services: The challenges of upgrading services in existing residential areas, overcoming the need for bucket toilets, increasing bulk service capacities generally, coordinating planned capacity enhancements to facilitate new settlement expansion and the application of the augmentation fee policy are all highlighted in this connection. Expectations and Perceptions: The expectation that the municipality can and is able to solve communities housing needs is widespread. Additionally, it is clear that some communities feel marginalized, that others perceive preferential treatment of African communities, that there are misunderstandings concerning the allocation of housing according to their status on the housing waiting list, and a range of other concerns too. The importance of communication channels and processes is underlined to address many of these issues. Backyard rental: Adopting appropriate policy responses which favour in-site progressive developmental approaches are suggested to address this widespread phenomenon, the extent of which is requires further assessment. Building cost, capacity and quality aspects: Recent and continuing serviced land and building cost escalations, the constrained capacity of the contracting sector and concerns regarding the adequate quality management of subsidy housing construction are highlighted. Municipal and development process concerns: In this regard, challenges of under capacitated technical departments within the municipality and the need to strengthen the housing function in particular are noted. The potential offered to the municipality to obtain accreditation from the provincial housing department is raised but with the strong proviso that the necessary capacity must be addressed if this is to be achieved. The opportunities of strengthening the development of partnerships with the private sector and the home loan finance institutions is noted. Lastly, the need to develop further an implementation framework for the application of the intended inclusionary housing policy is stressed. Communication and building trust: The need for more effective and regular communication on housing related issues, facilitating the effectiveness of Ward Committees and ensuring that resident’s housing and services related problems are dealt with, in a timely manner, are noted in this regard. 9 (c) Vision, Goals and Objectives After outlining the principles underlining the strategy a housing vision is noted. This derives from the Knysna 2020 Vision, namely, Knysna: a town that works for all. The goals of the strategy are: GOAL NO. 1 The Knysna Municipality will take active steps to respond to current and projected future housing needs by formulating and regularly updating a multiyear strategic plan, and by strengthening its capacity to implement the plan. GOAL NO. 2 Quality considerations will be emphasised in the sustainable settlement plan through the upgrading of informal settlements, the provision of agreed minimum levels of infrastructure services, the consistent application of municipal bye-laws relating to planning and building plan approvals and by focusing attention on the quality of homes built with the use of public resources. GOAL NO. 3 Ensuring the improved overall performance of the Knysna Municipality is to be given a high priority. Forward and integrated planning, the provision of enhanced infrastructure capacities, the identification of land parcels suited to new settlement development and the provision of improved facilities in lower income communities will all be emphasised in the achievement of this goal. GOAL NO. 4 The participation of the municipality’s communities, their elected representatives and officials will underpin the formulation of the multi-year settlement plan and its progressive implementation. GOAL NO. 5 The Knysna Municipality will strive, at all times, to maximise the developmental impacts of the sustainable settlement plan. Particular attention will be given to empowerment, employment creation and asset building in the implementation of the plan. Each of the above goals are subsequently given greater focus by the elaboration of goal specific objectives around which the content of the actual strategy and project specific interventions are built. (d) Sustainable Settlement Strategy The strategy outlined consists of overall policy related considerations and specific area focused project related interventions. Overall Policy Considerations 10 Act now but think ahead: While it is critical to expand the rate of housing supply for core beneficiary groups over the period of the 5 year plan, the municipality is encouraged to lay the groundwork now for sustained housing delivery in the future. This will involve formulating appropriate policies, undertaking forward planning, early land identification and the initiation of the required township establishment activities, capital budget commitments for bulk infrastructure and, generally, a much more programmatic approach to settlement development. Increase housing delivery rates and get ahead of the demand curve: In general terms, the municipality will need to ensure the deliver of between 450-850 additional houses per annum, over and above the some 4400 units currently under development. In order for the municipality to achieve an expansion of delivery it is proposed that a deliberate decision is required to favour “width not depth” in its allocation of public resources. It is recommended that the current top-up funding policy of the municipality be re-assessed as it is counter-productive to the expansion of housing delivery. Effective functioning of the housing market: Not only is it necessary to enhance overall annual housing delivery rates, but also gap and affordable housing delivery must be expanded to respond to those with incomes up to R10 000 per month. The strong interest of the financial sector in supporting and even driving these projects must be capitalised upon. Municipal wide housing interventions: To address housing needs across the municipality, and to counter the widely held view of residents that Knysna is favoured when it comes to housing delivery, it is proposed that a more balanced approach to housing delivery be adopted to ensure that there is a wider geographical spread of housing of project activities across the municipality. Bold initiatives for the future: Already it is arguable that the main areas of settlement, namely Knysna and Sedgefield, are approaching their maximum development extent within the context of their defined urban edges. Consequently, the municipality is encouraged to investigate, seriously, the concept of a new nodal development in the Rheenendal area. At the moment this area is but a residential adjunct to Knysna. With proper planning, including the significant expansion of bulk services capacity in the area, the expansion of the industrial and commercial economic base and the expansion of a wide range of housing opportunities in the area, Rheenendal, with its centrally located position in the municipality, offers an ideal position at which concentrated nodal development can be encouraged. 11 In the Sedgefield area the acute shortage of additional land for development also requires, it is suggested, that the Ruigtevlei development, which has been previously mooted, should be aggressively pursued. The development of this area also offers a very real opportunity to undertake a properly integrated development, well supported by the banking sector, to expand affordable housing delivery in the municipality. The municipality cannot afford to become trapped in a tunnel vision view of the future; it will need to think of how it will accommodate its urban populations when incremental additions to existing urban spaces are no longer feasible. Enhancing municipal capacity to act: The ability of the municipality to fulfil its developmental mandate must be strengthened by concerted efforts to fill vacant technical posts. Town planning, engineering and housing departments are all critically short of suitable personnel. The necessary budgets will need to be allocated to achieve this. Capacity enhancement in the technical disciplines of the municipality is also an essential if municipal accreditation, as is advocated below, is to be attained over the period of the five year plan. Obtain accreditation for the municipality: Taking greater control over the planning for and administration of its sustainable settlement strategy is a central theme of this housing sector plan. Consistent with this approach, and the intentions of the province to accredit suitable municipalities, it is argued that Knysna should seek to achieve full level three accreditation within a five year period. The progressive delegation of functions towards eventual assignment will require an on-going process of capacity building internally, both in terms of human resources and skills, as well as in terms of computer hardware and software. Strengthening service orientation: The municipality needs to enhance its general service orientation to residents. This will involve establishing target response times to attend to complaints and service related issues and then the continuous monitoring of the follow up to address the matters requiring attention. This orientation will validate the importance given to public consultation processes and help to strengthen levels of confidence in the functioning of Ward Committees. Service contracts of key officials should also incorporate reference to agreed response targets and their progressive attainment. Improve communication with communities: Actions are necessary to strengthen the functioning of Ward Committee structures. These committees will need to convene regularly, be well administered with appropriate support from officials and, most importantly, they must 12 reinforce the commitment to an improved service ethos in the municipality. Greater attention is needed to ensure that communication channels are clear and widely known. Elected officials will need to recommit themselves to regular and sustained constituency work as well, backed up with logistical and administrative support from relevant officials. Bridge building efforts are considered important in specific instances where there are clear political tensions in communities. Inclusionary housing: The draft Inclusionary Housing Policy of the municipality requires, for its more effective implementation, that an implementation framework be developed. Such a framework should contain much more specific detail as to how the municipality is to implement its policy intentions. After the necessary attention is given to the formulation of such a framework a planned communication strategy is desirable to improve levels of understanding of the policy and its proposed implementation amongst the development community generally. Feed the development pipeline: Achieving consistent settlement development will, as noted earlier, require a more programmatic approach to be adopted within the municipality to ensure that the housing delivery pipeline is appropriately fed with projects that, after the completion of all the necessary preparatory steps, can yield the intended rate of housing supply. By placing increased emphasis on this aspect the municipality will be able to avoid a stop/start delivery approach and have a better chance of enhancing its overall delivery performance. Quality management: Achieving agreed levels of quality is widely recognised to be a function of prioritising quality as a key housing goal, having the necessary personnel and systems to ensure quality delivery and then effectively managing to achieve the quality intention. Emerging contractor development: Actions to enhance the overall capacity of this sector should be initiated by the municipality. Management arrangements: The effective implementation of the sustainable human settlement strategy requires that suitable management structures exist and that they operate to their full potential. A management coordinating mechanism that brings together the key technical departments, community services, finance and the Municipal Manager are a key ingredient to implement the strategy successfully. Such a body should meet regularly and report progress monthly to the relevant portfolio committee. This committee should be chaired and 13 driven by the most appropriate and capable official available in order to build the capacity and confidence of the administration. Area Focused Interventions (a) SIZAMELE/SMUTSVILLE/SEDGEFIELD Expedite the planned 45 unit infill project. Relocate the Boonste Gaaitjie and Onderste Gaaitjie communities (approx 250 households) and rehouse them in a dense development on erf 2637, currently used as a sports field. Redevelop the sports field on the Onderste Gaaitjie land. Investigate and finalise further infill possibilities in the Sizamele/Smutsville area. Upgrade local area roads and storm water arrangements in Sizamele/Smutsville. Complete any outstanding transfers of municipal owned houses. Initiate fund mobilisation from Neighbourhood Development Partnership Programme to support LED interventions. Finalise intentions with respect to the Station Infill Project as current uncertainty concerning this project is undesirable. Proposal: The location is suited to affordable gap housing delivery in the price range R250 000-R600 000. Either call for development proposals, investigate the possibilities of a land swap for other land more suited to the development of subsidy funded housing (which is the primary requirement in the area) or consider a land sale. Give the required attention to enhancing water and sewerage services capacity in the town as a whole. The potential of utilising Erf 3813, situated at the northern entrance of Smutsville (north of Melkhout Street) for a medium/high density development should be investigated. The area is 1ha in extent. For the medium term (ie 5-10 years) renewed attention is proposed to be given to the finalisation of negotiations to source land in the Ruigtevlei area. This is an ideal locality for an integrated residential development containing a mix of housing types for a cross-section of income levels, similar in concept to the Heidevallei project. Prepare a register of all specific issues raised at the public participation meeting and follow up accordingly on a one-on-one basis. (b) KARATARA Having achieved the transfer of the Welsyndorp land to the municipality, expedite the planning process to replan the area to optimise the identification and sub-division of new erven (ie. infill sites) Commence to prepare an application to source subsidies in terms of the Enhanced Extended Discount Benefit Scheme to be able to 14 upgrade and transfer the Welsyndorp properties as soon as this can be achieved. Engage with residents of the area to keep them informed about the transfer process, steps being taken to expedite the process, obstacles being faced and time scales involved. Also it is suggested that the municipality confirm, in writing, their intention to repair and transfer the affected Welsyndorp houses to qualifying families. Resurrect the previous housing scheme of approximately 270 units in Bosdorp. Revisit the previous planning and finalise as necessary. Commence with an appropriately scaled project after confirming housing need in the Welsyndorp and Bosdorp communities. Apply for subsidy funding for the envisaged subsidy units. Prioritise the relocation and re-housing of households from the Bergvallei community as houses become available in Welsyndorp. Fast track the upgrading of services capacity in the area. The upgrading of water supply capacity needs to be given priority. Provide support to the Ward Committee structures and it is proposed that quarterly meetings be held with a Karatara Housing Committee( to be formed) to rebuild levels of trust and to ensure that the local community is empowered by their continuing involvement in their development. Local area economic stimulation is particularly critical. In this regard suggest a municipal facilitated process to explore for possible options. Engaging with the Neighbourhood Partnership Development Programme is also proposed. Prepare a register of all issues raised during the public participation process and then follow up on a one-on-one basis as appropriate. (c) RHEENENDAL Retain the zoned industrial area for the area. It is proposed that the municipality develop an industrial incentive package and then market it aggressively to attract new industries into the area. Identify additional land in the area and commence the packaging of a new integrated project offering both subsidy and gap housing. Undertake an assessment of demand for housing in the area and then scale the project accordingly. Prepare the necessary application for provincial subsidies as necessary. Finalise the transfer of residential properties to qualifying residents. Prepare an application for funding from the province for the Lapland community of approximately 50 households. Give attention to fast tracking the upgrading of services capacity for the area, particularly water supply and sewage treatment. This will also be important to be able to attract new industries to the town. Respond to reasonable residents concerns regarding the upgrading of paving, the construction of speed humps, the filling of potholes, the removal of dead animals, the provision of improved play areas and attention to pedestrian ways. 15 (d) Give support to the local Ward Committee and, after the establishment of a locally appointed Development Committee for the area, engage on a regular basis. Aspects that should receive early attention include the establishment of youth programmes, the construction of ablution facilities in the “Old Area”, ablution facilities at the clinic, the repair of houses and the verification of waiting lists. Prepare a register of all issues raised during the public participation process and the follow up on a one-on-one basis as appropriate. KNYSNA NORTHERN AREAS Proceed as planned with the implementation of the Vision 2002 and the Flenters/Robololo/Concordia projects. Initiate a study to assess portions of land highlighted in the public participation process to determine their suitability for higher density housing options. Finalise negotiations to source the Kruisfontein land and then commence with detailed planning, the lodging of a township application and make application for housing subsidies. Also package projects attractive for the delivery of gap and affordable housing. Pay close attention to the quality of new housing erected in the affected communities by inspecting house construction on a more regular basis. Continue with existing services upgrade projects in the area and complete efforts to do away with the so- called bucket toilet system in the 07/08 financial period. Continue with efforts to upgrade and enhance the overall public environment including budgeting for and the construction of the identified non-residential facilities. Undertake detailed planning for the development of specified nodes in the area and then invest in the public environment on a progressive basis. Undertake extensive tree planting in the area to lessen the exposure to prevailing winds and to soften the visual impact of new housing areas. The formation of a partnership with Food and Trees for Africa could prove beneficial in this regard. Consideration of land for urban agriculture and the grazing of animals merits consideration and should be accommodated if possible. The mobilisation of funding from the Neighbourhood Development Partnership Programme should receive attention to stimulate LED initiatives in the community (ie. Masifunde node). The need for special needs housing interventions in the community should be assessed, especially as regards the aged, orphans and those with disabilities. Depending on the needs identified, the possibility of initiating one or more special needs housing interventions might be considered. It is suggested that it is in relation to such a project that the municipality could strengthen its 16 (e) (f) relationships with existing NGO’s or with charitable organisations operating within the municipality. Prepare a register of all the specific issues raised during the public participation process and then follow up on a one-on-one basis, as appropriate. HORNLEE Proceed, as planned, to call for the submission of development proposals on identified portions of land in the community. Adjudicate proposals submitted and then proceed to implementation as quickly as possible. Expedite the transfer of residential properties to qualifying households. Proceed with the intended Own Haven development for the development of 112 housing opportunities. Care should, it is argued, be taken to favour the majority of the development for ownership housing given the ongoing maintenance requirements of rental housing. Expedite this project to stimulate affordable housing supply in the community. Request that the KCF chose a delegation of say four persons to commence a constructive engagement with the municipality to explore their ideas and proposals. Concerted efforts are suggested as being necessary to address the difficult relationship between this grouping and those currently representing the community in Council. The perpetuation of the status quo is not in the long-term interests of the municipality and the Hornlee community. Chronicle all the specific issues raised during the public participation process and then follow up on a one-on-one basis as appropriate. OTHER PROJECTS Heidevallei: In this regard it is suggested that urgent efforts must be made to expedite the progress of this project. Environmental and township applications need to be driven through the approval processes with all the haste possible. The possibility of this project needs to be brought into the development cycle as soon as feasible to expand a wider range of housing supply in the municipality. Rheenendal Nodal Development: It has been proposed that the significant development of this node will be necessary in the medium term to channel the continuing growth pressures which will continue to be experienced in the Knysna basin in particular. Moreover, if planned on an integrated basis around a developing industrial and commercial base, this centrally located settlement has an excellent potential to offer a range of subsidy, gap, affordable and other more middle income homes in a most attractive physical setting. 17 Kruisfontein North: Portion of the Farm No 523, consisting of 104ha is well suited to the development of subsidy, gap housing and associated facilities and amenities. It offers the potential for an organic extension of the Damsebos community and, as such, offers a more favourable alternative than the expansion of settlement in the Windheuwel area, situated to the north of the proposed routing of the N2 bypass. Also the development of the Kruisfontein North area is supportive of the intention to relocate the T59/1 road to Uniondale, as proposed in the Draft SDF. Forestry Villages: In this regard it is inappropriate for the municipality to intervene significantly in that these dispersed villages providing housing, on un-proclaimed land, which is directly related to the needs of employers. The municipalities role, it is argued, should be limited to an oversight one to monitor, by keeping open channels of communication with forestry companies, that acceptable levels of services and housing are made available to employees. Moral suasion would be the most suitable mechanism to achieve this if pressure needs to be applied. The role of the municipality, it is argued, should be on expanding housing opportunities generally, thus being able to offer those wishing to vacate company provided housing a reasonable alternative in a functional housing market. Implementation Programme and Budget The strategy concludes with an implementation programme which takes each of the specific deliverables noted above, indicating the period over which it is proposed to implement the intervention, the performance measure(s) identified, the responsible delivery agent(s) and provides a budget estimate. 18 1. BACKGROUND AND STRUCTURE OF REPORT Introduction The Knysna Municipality has identified the need to formulate an integrated human settlement strategy (IHSS) to guide its approach to the development of holistic environments to cater for the existing and future needs of the municipality’s diverse populations. To provide impetus with the research and formulation of this strategy a team of professional firms, led by Khulisani Development Management cc and including Marike Vreken (Town Planner) and Tuiniqua Consulting Engineers was appointed. This report constitutes the third output of the process of preparing an integrated sustainable human settlement strategy for the municipality. This document builds on the situational analysis completed previously, and various consultations with the communities comprising the municipality. Its purpose is to propose how the housing challenges of lower income communities can be addressed over the five-year period of 2008 – 2013. Appendix A sets out the Terms of Reference and Methodology in the preparation of the sustainable human settlement strategy. Study Area The Knysna Municipality, situated in the Southern Cape region, “is made up of socially and racially diverse communities and a rapidly growing poor population.” As the draft IDP (2006-2011) goes on to note, “It is an area blessed with extraordinary environmental resources comprising majestic mountains, vleis, estuaries, indigenous forests, rocky coastlines and beaches. These special environmental attributes form the basis of tourism that contributes significantly to the local economy. Knysna town and Sedgefield are the two primary urban settlements where retail and commercial activity are concentrated. On the plateau above the town lie the significant population nodes of Karatara and Rheenendal.” (p22) Overleaf Table No. 1 indicates the composition of the various wards; Map No 1 shows the main areas of settlements within the context of the ward structure of the municipality. This is significant as, largely owing to historical patterns of settlement, the overwhelming challenges of residential quality, access to services, housing backlogs and challenges etc. are concentrated geographically in defined localities. 19 20 Ward Ward 1 Ward 2 Ward 3 Ward 4 Ward 5 Ward 6 Ward 7 Ward 8 Settlements Sedgefield (including Smutsville and Sizamele) Barrington Bibby’s Hoek Buffalo Bay Fairview Rural settlement Karatara Kraaibosch Rheenendal Ruigtevlei Brackenhill Diepwalle Gouna Khayalethu Kruisrivier Kruisvallei Portion of Knysna upper central Springveld Upper Old Place Qolweni White Location Knysna Eastford Knysna Welbedacht Knysna western central Brenton on Lake Brenton on Sea The Heads Hunters Home Fisher Haven Paradise Knysna Rexford Sparrebosch Leisure Isle Belvidere Hornlee East Dam se Bos Nekkies Bongani Fraaigesig Knysna Industrial Area Lower Old Place Rykmanshoogte Table 1: Settlement composition of wards 21 1.3 Structure of Draft Strategy The proposed draft sustainable human settlement strategy contains ten sections. The first five of these extract, in summarised form, relevant considerations and guiding aspects researched in the situational analysis phase of the project. Section six contains the issues, concerns and suggestions gathered during the public participation phase. Sections seven through ten contain the proposed draft strategy, the identification of project interventions and implementation considerations. (a) Section One A review of relevant national, provincial and municipal legislative and settlement/housing policy frameworks. (b) Section Two This highlights key planning and development considerations within the municipality in order to situate the draft strategy within the appropriate spatial context. (c) Section Three An assessment of demographic and socio-economic factors which inform the strategy. (d) Section Four An assessment of land and engineering services aspects. (e) Section Five The identification of key settlement/housing related issues and challenges and including the extent of housing backlogs, additional housing needs over the period of the multi-year plan and capacity, organisational and implementation considerations from the point of view of the municipality. (f) Section Six The issues, concerns and proposals gathered during the public participation phase of the project will be examined in this section of the report. These will necessarily be summarised under a series of headings to what were a broad range of matters raised. (g) Section Seven This contains an exposition of the draft strategy describing its key elements and the inter-relationships between these elements. (h) Section Eight Proposes goals and objectives for the strategy. 22 (i) Section Nine Proposes the human settlement development programme and including land, services, project, time period and the financial input. (j) Section Ten This focuses on implementation considerations including organisational aspects, other capacity enhancement measures, private sector mobilisation and, monitoring/review concerns. 1.4 The Target Market Broadly, the focus of this sustainable settlement strategy is on addressing the needs of those targeted by the application of state support housing programmes and interventions. That is, to those with households with household incomes not exceeding R7000 per month. In reality though, the upper income cut off level is considerably more blurred and therefore this strategy will have implications for those with incomes up to approximately R10 000 per month able to afford a home of approximately R300 000. Appendix B provides further clarification about this matter. 23 2. LEGISLATIVE AND POLICY FRAMEWORKS The sustainable human settlement plan for the Knysna Municipality is influenced and given direction by specific legislative and policy frameworks that exist at national, provincial and at the municipal level. This section of the report highlights the most critical of these in order to ensure appropriate consideration of and alignment with these frameworks as they impinge on the development of sustainable human settlements. 2.1 Constitution of the Republic of South Africa Section 26 of the Constitution has particular relevance to housing provision; viz: 2.2 “Everyone has the right to have access to adequate housing; The State must take reasonable legislative and other measures, within its available resources, to achieve the progressive realisation of this right.” The Housing Act (No. 107 of 1997) Two aspects in particular of the Housing Act are considered of particular merit to highlight, being the national vision with respect to housing and the nine key principles applicable to housing development. Firstly, the vision of “housing development” is noted as follows: 1(vi) “… the establishment and maintenance of habitable, stable and sustainable public and private residential developments to ensure viable households and communities, in areas allowing convenient access to economic opportunities and to health, educational and social amenities, in which all citizens and permanent residents of the Republic will, on a progressive basis, have access to: a) permanent residential structures with secure tenure, ensuring internal and external privacy and providing adequate protection against the elements; and b) potable water, adequate sanitary facilities and domestic energy supply.” The Act also sets down the following principles applicable to housing development. - prioritisation of the needs of the poor and marginalized; sustainability; integration; consultation; good governance; empowerment; 24 2.3 equity; optional use of resources; and compliance with sound land development principles. Municipal Systems Act (No. 32 of 2000) This Act is critical within the municipal context as it lays down the core principles, mechanisms and processes that are necessary to enable municipalities to move progressively towards the social and economic upliftment of local communities, and ensure universal access to essential services that are affordable to all. Specifically, this Act requires all municipalities in South Africa to undertake forward planning, the most powerful instrument of which is the Integrated Development Plan (IDP), a process through which a municipality should establish a development plan for the short, medium and longer terms. By adopting such an approach a municipality is enabled to appraise the current situation on the municipal area, assess community needs, establishing public participation in development, determining needs and priorities and set goals to meet these needs, implement programmes to achieve objectives and set measures in place to assess delivery performance. It is out of the requirements of the IDP that the need to formulate a multi-year settlement/housing plan by the municipality is derived specifically. 2.4 Breaking New Ground (BNG) This policy position of government, approved by Cabinet in 2004, and more properly known as the, “Comprehensive Plan for the Development of Sustainable Human Settlements,” represents a watershed from a settlement/housing development perspective. The contents of BNG need to be taken careful account of in the formulation of the draft strategy on integrated human settlements for the municipality. The seven objectives and nine programmatic interventions of BNG are of particular note. (a) Objectives Accelerate the delivery of housing as a key strategy for poverty alleviation; Utilise the provision of housing as a major job creation strategy; Ensure that property can be accessed by all as an asset for wealth creation and empowerment; Leverage growth in the economy; Combat crime, promote social cohesion and improve the quality of life of the poor; Support the functioning of the entire single residential property market to reduce duality within the sector, by breaking the barriers between 25 (b) the first economy residential property boom and the second economy slump; and Utilise housing as an instrument for the development of sustainable human settlement, in support of spatial restructuring. Interventions Support the entire residential property market; Move from housing provision to sustainable human settlement development; Use existing and new housing instruments; Adjust institutional arrangements within government; Build institutions and capacity; Define financial arrangements; Create jobs and housing; Build information, communication and awareness; and Establish systems. Analysing BNG one can distil ends, means and instruments as follows: (a) Ends The primary ends identified are: The need to develop sustainable human settlements; The achievement of greater integration in both spatial terms and in terms of institutional coordination and alignment; The creation of housing assets to stimulate wealth creation and community empowerment; and The upgrading of informal settlements. Secondary ends identified include: (b) Accelerated housing delivery as a poverty alleviation strategy; Crime reduction, enhanced social cohesion and quality of life improvements; Achieving a more non-racial society; Leveraging economic growth; Stimulating job creation through housing development; and Reducing duality in the function of property markets. Means The four essential means identified to achieve the ends or objectives of BNG are: More effective inter-governmental relations in which coordination and alignment is considered essential to ensure that resources flow effectively and efficiently; 26 (c) To enhance more effective housing delivery, the process of municipal accreditation is viewed as a powerful instrument to reduce the transaction costs and to limit the unnecessary housing administration by channelling housing delivery from national government to accredited municipalities; Much greater emphasis on delivery defined by demand and moving away from a supply driven approach; and lastly, Supporting more effective functioning housing markets through strategic interventions supportive of the entire residential market, moving away from product uniformity and increased state assistance (supported by private sector home loan finance provision) for these earning in the category R 3 500 – R 7 000/month. Instruments In order for ends and means to be achieved BNG emphasises the use of specific instruments of a planning, housing, financial and capacity enhancement nature. These include, for example: Enhanced and more effective IDP’s by giving greater emphasis to the preparation of properly researched and considered Housing Chapters (i.e. this multi-year plan) Reinforcing and enhancing the capacity of the municipality in planning for, as well as implementing, its settlement development/housing delivery interventions; Mobilising financial resources to a much greater extent from both the public, private and housing sectors; and Utilising the full range of government supported subsidy instruments to support the full range of housing needs and choices (eg. incremental, social, rural, credit linked, project linked etc. subsidy mechanisms). The schematic presentation developed by Professor D. Smit for the City of Johannesburg Housing Strategy, pulls together the above three concepts of ends, means and instruments, a distinction which will also be made in the proposed strategy for the Knysna Municipality. Figure 2 Means Municipal capacity building Ends Municipal Accreditation Sustainable human settlements Integration Incremental housing Social housing Rural housing Delivery defined by demand Upgraded informal settlements Through mechanisms / instrument Effective intergovernmental relations Integrated Development Planning Housing assets Effectively functioning housing markets Financial Services 27 2.5 Knysna Municipality Policy Framework At the municipal level, there are considered to be three critical policies to be taken account of. These are: Knysna Municipality: Interim Housing Chapter 2006 – 2011 drafted early in 2007 for inclusion at the time as the municipal housing sector plan, until the finalisation and approval of this current strategy planning process. Inclusionary Housing Policy: this is a draft policy framework that has not yet been approved by Council but, nonetheless, will be important in shaping future targeted residential development in the context of the municipality. Defining Affordable Housing within the Greater Knysna Municipal Area (refer to Appendix B for a summary of this policy position); Knysna Municipality: Interim Housing Chapter (2006 – 2011) This document currently comprises the interim municipal housing sector plan. As such it offers useful guidance with respect to how the municipality views its housing challenge, the manner in which it defines its integrated human settlement strategy objectives and in defining specific areas of policy intervention requiring attention. Housing Challenge: “Firstly, an approximate 6132 families live without adequate services and shelter. Secondly, informal settlements, as well as the new affordable and subsidy based housing developments are still generally located on the periphery and far from work, amenities and facilities. Third, there are a number of existing and new developments that are characterised as uni-functional with inadequate integration with other land uses. The final challenge is the need for affordable bonded housing for those not meeting the housing subsidy criteria.” Objectives of Integrated Human Settlement Strategy are noted as follows: Addressing the need for adequate shelter and services by reducing the number of people living in informal settlements within the next 15 years; Providing improved and better living environments in new and existing settlements; and Locating new settlements for poorer communities closer to opportunities and facilities. Priority interventions: These are outlined as follows: (i) Institutional Framework 28 (ii) (iii) (iv) Significant engagement and capacity building of officials and other stakeholders; Achieving integrated development requires high levels of collaboration between municipal departments and directorates and other spheres of government; To accomplish the required inter-departmental and inter-governmental cooperation appropriate coordinating mechanisms will be needed. Provision of Safe, Affordable and Decent Housing Informal Settlements: The upgrade and relocation of informal settlements (approx. 4500 households) is considered a priority. Further, Council will maintain a zero tolerance approach to land invasions; Incremental Housing Delivery: Providing incremental access to land, services and housing is recognised a realistic delivery option given the scale of housing need, limited services capacity and limited public finances. Backyard Rental: The widespread existence of backyard rental is noted as a reality but one which requires increased council regulation, control and management Greenfields Development: The potential of this form of housing delivery driven by the availability of state housing subsidies is noted. Gap Housing: The expansion of supply of gap housing is viewed as one of the greatest challenges facing the municipality, Employer Assisted Housing: The potential role of employers is noted, especially as regards the provision of gap housing. Asset Creation: The Council policy of transferring 1674 to qualifying beneficiaries is reaffirmed. Social Housing: The potential to supply this form of housing is noted, in addition to the possibilities of encouraging public private partnerships. Land Acquisition and Development Opportunities The challenge of identifying and acquiring suitable land for future residential development to address an estimated backlog of some 6000 homes is emphasised. The potential of areas such as Heidevallei, Hornlee, Kruisfontein, Eastford and densification/infill projects to provide housing to some 5500 households is recorded. Design and Planning of Settlements Infill and Densification: A gross dwelling density of 25du/ha is identified as a target in this regard. Municipal Wide Planning: The proposed strategy should be integrated and municipal wide. It should form part of a broader district wide plan. Higher Density Housing Typologies: The need for such typologies to support activity routes and nodal developments is emphasised. 29 (v) (vi) Infrastructure: The critical need to expand infrastructure capacities to enable the upgrading of existing services and to facilitate the development of new areas is recognised. Funding The use of available state subsidies, sourcing additional state funding, developing partnerships with financial institutions to fund lower income housing developments and exploring other ways of attracting private sector investment are all noted. Public Participation Such participation and consultation is deemed important to promote a broader acceptance of the integrated human settlement strategy, and for communities to develop a better understanding of the constraints (ie. land, infrastructure, finance, capacity etc) within which policy decisions must be made and implemented by Council. Inclusionary Housing Draft Policy (awaiting Council approval) This can be defined as a programme that fosters mixed income housing through the use of a variety of incentives, inclusionary zoning ordinances, and other land use regulations that encourage developers to reserve a portion of the total amount of the developable area of new housing for low and moderate income households. Council has identified an urgent need for affordable, well located and integrated human settlements. Affordable housing is defined as that affordable to a household with a gross monthly income of between R 3 200 and R 10 000. Proposed guidelines for the implementation of this new policy include: The programme should be applied voluntarily at present and developers should be encouraged to participate; The policy will be guided by certain firm guidelines; others will be left flexible to be negotiated with developers; The policy will be aimed at developments greater than 20 units in size and financed, for ownership purposes, by conventional mortgage finance; Housing schemes falling within the ambit of the policy will have a product price greater than R 400 000 and be affordable to households of R 12 000 plus per month; Of the units to be developed 20% of those in a project are intended for sale to the so-called “gap-market”; and In the developments concerned housing affordable to those with joint household incomes of between R 3 507 and R 7 000 will need to be provided. This shall constitute 60% of the units provided. Beneficiaries of these houses shall be drawn form the Knysna Municipality housing register. 30 3. PLANNING CONSIDERATIONS During the first phase of the strategy formulation exercise the Situational Analysis highlighted relevant considerations from the: Knysna 2020 Vision Knysna Integrated Development Plan (2007 – 2011) Draft Knysna Spatial Development Framework Each of these documents contains useful policy statements that are noted below as they constitute informants of the integrated human settlement strategy. However only in instances where a particular policy statement has not been referred to previously is it noted in the review below. 3.1 Knysna 2020 Vision The Knysna 2020 Vision statements provide clarity as regards the type of town Knysna intends to become and how it wishes to project itself to residents and visitors alike. These vision statements will need to be taken into account when formulating the vision, goals and objectives of the integrated human settlement strategy. One of the implications of the 2020 vision, not noted previously, is the challenges of dealing with the HIV/AIDS pandemic. From a shelter and settlement development perspective, South Africa is, however, only beginning to grapple with the implications of this reality. Knysna Integrated Development Plan (2007 – 2011) 3.2 Regarding the IDP the following comments and observations are offered: The formulation of an integrated human settlement strategy is supportive of the five focus areas noted in the IDP; From a service perspective the commitment of the municipality to eliminate the bucket system as a matter of urgency is noted; In reviewing the strategic objectives and cluster strategies the following additional (new) considerations are emphasised: The development and maintenance of a Housing Demand Management System. The potentially powerful impact that the Neighbourhood Revitalisation Programme can play in the social and economic development of deprived areas; critical considerations if development initiatives are to become more sustainable. Regarding the IDP one of the key deliverables is recorded as the design and implementation of an effective performance management system. Bearing in mind that this draft strategy is but one element if the IDP, it will be important to take account of the performance management system developed for the IDP as a 31 3.3 whole when offering proposals as to the monitoring mechanisms for the sustainable human settlement strategy. Regarding income aspects the stated deliverables of the design and implementation of a creative Municipal Infrastructure Investment Plan and the design and implementation of a policy on alternative sources of finance are noteworthy. Current thinking and progress with respect to the above will need to be taken account of in the formulation of the draft strategy developed. The IDP Budget 2007/08 – 2009/10: This is of value in highlighting projects for which budgets have been approved for; also the budget contains information about the perceived priorities of Council. The situational analysis reviewed the relevant five-year IDP projects directly relevant to the sustainable human settlement strategy. The fact that some of these projects have no funding identified for their implementation, nor has work started on their implementation is suggestive of where intervention will be necessary. Draft Knysna Spatial Development Framework (KSDF) At the municipal level the Draft SDF identifies the three key challenges as being: (a) From a demographic perspective, addressing the demands of a growing population; from a socio-economic perspective addressing the stark disparities in wealth distribution and the high incidence of poverty. In this latter regard it is recorded that, some 46% of households living in the municipal area are affected by poverty and that, “Housing shortages, low levels of education and income, and high HIV/AIDS and tuberculosis rates characterise poverty in these areas”. (p4) (b) Addressing the needs of growing communities within the context of a natural environment regarded as, “the greatest strength” of the municipality. As the SDF notes, “The value of the natural environment and the current pattern of development have implications for the way in which the municipality should guide growth trends in the future if its most valuable assets are to be retained.” (p5) (c) Finally, while it is recognised that the municipality contains a well functioning hierarchy of settlements, there are, however, certain settlements that individually function poorly (eg. Rheenendal and Karatara) and that “it is necessary to seek means through which these settlements could function more sustainably. Moreover, the SDF goes on to observe that while efforts must be made to enhance accessibility, “between poorer parts of urban areas and economic centres”, economically the region is faced by “a lack of diversity of economic drivers.” This latter reality has meant that, “key growth sectors have been unable to maintain current growth rates and address poverty and unemployment.” (p6) 32 In addressing these challenges the KSDF conceptualises four primary structural elements around which future development in the municipality should be ordered. These elements are: The open space system; Major town and town centres; Activity streets and nodes; Urban edges. The specific development proposals contained in the SDF are reviewed and integrated into this strategy in Section 5 of the document that addresses land, planning and infrastructure services aspects. 33 4. DEMOGRAPHIC AND SOCIO-ECONOMIC CONSIDERATIONS Examining demographic and socio-economic considerations the most important aspects are considered to be: The size and the absolute growth of the population for the municipality as a whole; The anticipated growth in the number of households over the period of the plan (2007 – 2012) per ward; and The pattern of income distribution as a gauge of affordability levels of households. Size and Growth of the Municipal Population Available statistics indicate the following as regards the growth of the municipal population. YEAR 1996 2001 2006 2006 POPULATION 43 195 51 469 61 639 75 600 SOURCE Census S.A Census S.A Eden Growth & Development Strategy Draft Knysna SDF (2007) The large variance between the two sets of figures for 2006 is problematic for without certainty about the municipality’s current population, one will obtain widely varying figures projecting growth forward. For the sake of this strategy, however, an estimated figure of 70 000 will be used as a baseline. Below, this figure is projected forward over the period of the five-year plan by a low, medium and higher rate of projected annual growth. YEAR 2006 2007 2008 2009 2010 2011 2012 4% p.a. 70 000 72 800 75 712 78 740 81 889 85 164 88 570 6% p.a. 70 000 74 200 78 652 83 371 88 373 93 675 99 295 8% p.a. 70 000 75 600 81 648 88 179 95 233 102 851 111 079 The incremental growth in the total population for the municipality over the period 2007 – 2012 is thus: At 4% p.a. growth: 15 770 or 3942 households (approx.) At 6% p.a. growth: 25 095 or 6273 households (approx.) At 8% p.a. growth: 35 475 or 8869 households (approx.) 34 [Note: Assuming a conservative average of 4 persons per household] Even at the 4% p.a. rate of growth these are sobering figures indicating, clearly, the pressures being placed on fragile environmental systems, available land stocks, available infrastructure, financial resources and construction capacity over the 2007-2012 period. Furthermore, it is critical to avoid being trapped in a time bubble and to think of settlement and housing needs beyond 2012 as well. Growth in Housing Demand Focusing in on the anticipated growth of households, assuming say a 4% growth rate per annum, falling below a monthly household income level of R 10 000 yields the following picture: Income Levels p.a. R/month % of No. of H’holds H’holds (4% p.a.) R0 – R38 400 R0 – R3 200 67.7% 2668 R38 401 – R120 R3 200 – R10 19.6% 772 000 000 TOTAL 87.3% 3440 No. of H’holds (6% p.a.) 4246 1229 5475 [Note: Income figures obtained from Knysna Municipality IDP] In short, assuming a baseline population of 70 000 in 2006, a 4% p.a. rate of growth until 2012 and the above pattern of household income distribution, indicates that there is likely to be nearly an additional 3500 households in need of housing. If one adds this to the current assumed housing backlog of 6000 units, this integrated human settlement strategy will need to address itself to the provision of some 9500 new homes by 2012, assuming that one was to overcome this backlog in full by this time. Alternatively, at a 6% p.a. rate of household growth the comparative figure would be approximately 11 500 new housing units required up to 2012. Another clear reality, if one takes the current patterns of income as an indication of proportional distribution in future, is that some two thirds of new households will be in the R0 – R3500 per month range, qualifying for full housing subsidy products. Also gap market housing products (between approximately R3200 and R10 000) are indicated for some 20% of additional market demand on the basis of similar assumptions. 4.3 Demographic Implications Concluding this review of demographic and socio-economic realities the following points are made: (a) Current demographic totals and known rates of per annum population growth do not allow one to determine, with a high degree of exactitude, the extent of new housing demand. 35 (b) (c) However, utilising reasonable estimates (in many cases conservative) and allowing for reasonable assumptions, the municipality will need to consider alternatives for a growth of between approximately 5200(at 4% p.a. rate of growth) and 7200 new homes (at 6% p.a.rate of growth up to the year 2012.This estimate subtracts current housing delivery in the Vision 2002 and the Flenters/Robololo/Concordia projects. Depending upon what proportion of the backlog can also realistically be addressed over this period (say, 50% conservatively and 100% ideally), then the need for new housing will range between 2200 and 5200 (at 4% p.a. rate of growth) and 4200 and 7200 new units (at 6% p.a. rate of growth). The human strategy proposals presented in the following sections of this report take this analysis forward and sketch a range of possible scenarios. In short, the strategy will suggest that the municipality is most unlikely to be able to address the full extent of its housing need over a period of five years, and that it would be preferable for it to embark on a more realistic and sustainable housing plan stretching beyond the five year confines of this plan. This view is also conditioned by a recognition of the financial pressures which would be exerted on the municipality were it to seek to address all its housing requirements over the shorter five-year period. 36 5. LAND, SPATIAL PLANNING AND INFRASTRUCTURE SERVICES It is widely acknowledged that the intention of the municipality to implement a sustainable human settlement strategy will place considerable additional pressures on the stock of land suited (both intrinsically and locationally) to residential development. Equally, the additional demand placed on an already stretched engineering services network will pose serious challenges for politicians and officials alike. This section of the report highlights the parcels of land identified as being suitable for consideration for future residential development, the relevant planning proposals pertaining to the land in question and aspects pertaining to infrastructure services. 5.1 Land Requirements Assuming a present housing backlog of 6000 units and a new housing demand up to 2012 of between 9500 to 11500 units (depending upon the demographic assumptions used), there is a theoretical demand for and additional 380 – 460ha of land for residential development1. Fortunately, this requirement can be reduced proportionately by the two housing projects 2, yielding approximately 4400 units, which are currently under construction. Taking into account these current developments, the additional new land requirement can be conservatively estimated at between 204 – 284ha, assuming that a density of 25du/ha can be achieved. In actual fact however the demand for new land for residential development is likely to vary between approximately 280 – 390ha on a more achievable density scenario of 18du/ha, given the nature of topographical constraints encountered within the municipality. 5.2 Potential Land Development Listed below are areas identified for possible additional housing development. Appendix C provides maps and additional relevant information on these land portions. (a) Heidevallei This land is located north of the N2 between Upper Old Place and Nekkies, comprising erf 7492 and portions of 243 and 255. The site is owned by the municipality who have resolved, subject to the necessary resolution of land claims affecting the site, to develop this strategic land portion for predominantly housing purposes, but including also some mixed use development, as illustrated in the table on the following page. 1 2 At an assumed density of 25 du/ha Vision 2020 (approx 3500 units) and Flenters, Robololo and Concordia (911 units) 37 Precinct 1 Size precinct 14 ha Precinct 2 18,5 ha Precinct 3 8 ha Precinct 4 4 ha Precincts of Type of housing Market Based High Value Housing (low density ±10u/ha) High density medium income housing (± 30u/ha) Subsidised housing (60 units / ha) Social housing (40 units / ha) Estimated of units 140 units number 555 units 480 units 160 units The Draft SDF notes the following regarding Heidevallei: “Heidevallei and the surrounding undeveloped area are key to integrate parts of the town, developing an appropriate mix of housing types and land use and protecting the indigenous forest that exists in close proximity.” Further it observes that, “Affordable housing should be a significant component of this site”. (b) Northern Areas (Flenters, Robololo, and Concordia) Currently the development of approximately 4400 new homes is proceeding in these areas. Additional development opportunities, as identified through the public participation process, merit consideration in future. The Draft SDF contains three proposals of note with respect to these areas, namely: the need for “further upgrading of formal and informal settlements”. “Promoting the development of Concordia Road as an activity street, with significant focus on specific points and nodes”. promoting, “mixed use development along a linear public transport route.”(p64) (c) Kruisfontein Some 100ha of this plantation is potentially developable to address housing needs in the Knysna Northern Areas. Unfortunately the current use of this site for forestry purposes makes it unlikely that this land can be used for housing purposes in the short/medium term. Potentially this site could yield between 600 – 3000 units depending upon the densities achieved. Negotiations are currently proceeding with the owners of this land to secure its use for sudsidised and affordable housing opportunities. In addition schooling, light industrial and retail opportunities are envisaged for this development. 38 (d) Windheuwel Although again being used for forestry purposes at present some 42ha of this site is potentially developable. The 2004 local framework plan for this area identified this site as suited to housing and commercial. Services capacity impacts on the ability to develop this area at present. The table below indicates the possible yield of this area, depending upon the form of housing development undertaken. Precincts Subsidised housing Social Housing Middle Income housing Size precinct 13 ha of 40 units / ha Estimated of units 520 units 4,38 ha 30 units / ha 131 units 8,15 ha 20 units / ha 163 units Density number The Draft SDF notes as regards future development in this area as follows, “ No urban development (and low cost housing in particular) should be permitted in this area until such time that the land within the urban areas of the Knysna Basin has been optimally used.” (e) Hornlee Area Own Haven: Hornlee, Erven 3002, 3326 and 3327. These erven comprise 1.9ha and allow for the development of 112 apartment units (59du/ha). This development proposal entails a mixture of rental and ownership units and it is the intention that the development of this project will proceed in 2008. Erf 3339 Erf 3339 has been identified as a possible development possibility, of which 6ha is regarded as developable. Depending on the applicable densities this site could enable the development of between 50 – 300 new homes. Erf 3627 Approximately 1ha of this site is potentially developable, yielding between 10 – 60 units. Erf 1393 A total of 28ha of this land portion are potentially developable. This site is considered particularly well suited to gap market housing and could yield between 280 – 700 units a low (10 du/ha) and medium (25 du/ha). 39 Erf 3336 Stroebel Street* This is a steeply sloping site, comprising 7847m2 and currently zoned as public open space. Erf 331 Fountain Street* A site of 9934m2 also zoned as public open space offering subdivision potential. Erf 3333 (Swimming Pool site)* This site consists of some 3ha, inclusive of erf 7603, which has development possibilities. Other erven with development possibilities include: Erven 4824,4625, 4693 and 7482 (bordering onto Bluebell Street)* Erven 4712, 4713-4723 (11 in total)* Erven 4774-4776 and 4778-4798 (23 in total)* Erven 3669, 3670, 3642 and 4822* Erven 4827-4846 (25 in total)* The Draft SDF contains the following guidance, ”The Hornlee node requires consolidation of existing facilities and a higher density residential development”. It also goes on to note that, ”Applications that would result in higher income housing in the area should be encouraged in order to change the low income nature of this largely dormitory suburb.”(p67) (f) Sedgefield Sizamele/ Smutsville Erf 3813 of 1ha in extent has been identified as suitable for higher density development at approximately 60du/ha. Further a careful assessment of the existing community areas indicates that, with careful planning and demarcation, a further (undetermined at this stage) number of erven can be identified. A total of 45 sites to be developed in-situ have also been identified and these are to to receive priority development attention in the 2008/2009 period. The Draft SDF encourages, “Developing the vacant land parcels for infill housing”. 40 Station infill housing precinct The Draft SDF recommends that a portion of land on this site should be used for an infill housing project. This proposal needs to be taken to the next level and either, for an appropriate framework plan to be developed or, the land be swapped or sold if it is not considered suitable for the development of affordable housing products. The Draft SDF suggest that consideration be given to, “Utilising the limited land available for urban infill development (adjacent to the station in particular) by pursuing mixed use housing precincts that include a range of housing types.” The possibility of utilising a portion of the currently aligned N2 through Sedgefield for affordable housing development remains a very uncertain possibility that, therefore, excludes it from consideration in this five-year plan. (g) Ruigtevlei The potential of this area to offer new housing opportunities in the Sedgefield area is currently being investigated. The site currently under consideration comprises some 40.5ha of which could yield between 400 (10 du/ha) and 1000 units (25 du/ha). Currently MTO forestry has indicated their intention to continue to utilise this site for the next 15 years. Unless an alternative can be negotiated it is, therefore, unlikely that this site can be brought into the development cycle in the short term. From a planning perspective the Draft SDF notes as follows, “The possibility of establishing a suitable mixed income, mixed use village at Ruigtevlei …is not excluded”. (h) Keurhoek/Rheenendal In 2003 a housing project comprising seven different precincts and capable of providing housing for between 965 and 1615 new homes, (depending upon the density of development) was initiated by the municipality. The table below indicates the potential of this development. Precinct 1 Precinct 2 Precinct 3 Precinct 4 Size of precinct 1,2 ha 1,5 ha 0,8 ha 5,7 ha Precinct 5 Precinct 6 Precinct 7 3,5 ha 7 ha 12,6 ha Precincts Ownership Knysna Municipality Van Rheenen Knysna Municipality Pansy Shell Investments Knysna Municipality Van Rheenen Van Rheenen Units at medium density (30 u / ha) 36 units 45 units 20 units 171 units Units at high density (50 u / ha) 60 units 75 units 40 units 285 units 105 units 210 units 378 units 175 units 350 units 630 units 41 Insufficient services capacity has constrained this project to date. The Draft SDF offers the following guidance regarding additional development in this area, ”There is a need to create infill between these two nodes in order to integrate the town”. It also notes that the, “Upgrading of bulk infrastructure in the settlement will be necessary in order to permit development within this corridor.”(p42) Further it is observed that, “This area is well suited for additional (limited) higher income residential development. Such development should, however, be integrated as part of the town and not separate gated communities outside Rheenendal”. (i) Karatara Two possibilities exist in this vicinity. These are the potential to undertake higher density “infill” housing within the existing Welsynsdorp. At the dwelling density of 25 du/ha this infill housing could yield some additional 90 units. A second alternative in this area is for the development of lower income housing between the settlement of Welsynsdorp and Bosdorp. Again assuming a density of 25 du/ha, a further potentially 1275 units could be accommodated on the land identified. It does need to be noted that the real potential to create a sustainable new residential development in this area is limited by servicing capacity and the lack of economic opportunities in this locality. The Draft SDF offers the following perspectives on the further development of this area. “Karatara presents many opportunities for infill and appropriate densification, but services capacity is a constraint.”(p43) (j) Springveld A site of 13.9 ha has been identified in this locality. The Springveld Framework Plan has identified the possibility of developing some 82 erven in this development. 5.3 Engineering Services The Draft Spatial Development Framework makes the observation that, “existing services are at or near capacity in most areas of the municipality.” Consequently to address this reality the SDF notes that, “there is a need for a multi-year strategic investment programme of infrastructure upgrading and an accompanying need to optimise the use of existing infrastructure. The implication of this reality is clearly spelt out being the necessity to, “prioritise areas for development and … the identification of areas where development should be avoided until services can be made available.” (p19) 42 In the assessment of available water, sewerage and electricity capacities it was indicated by representatives of the Knysna Engineering Department that additional capacities will have to be brought on stream in order to be able to initiate further significant residential housing development in Knysna. The challenges facing the municipality are reflected in the Infrastructure Cluster Objectives contained in the Knysna IDP (2007 – 2011) noted below. (a) Water and Sanitation (b) Ensure that capacity issues regarding the implementation of the WSA assessment are addressed; Develop and review the Water Service Development Plan in line with the IDP; Ensure that adequate bulk infrastructure is provided to keep up with the rapid growth of Knysna; Provide adequate reticulation infrastructure in line with acceptable service levels; Eradication of the bucket system in affected areas in line with the President’s targets; Ensure that adequate bulk infrastructure for sewerage is provided to the communities of Knysna; Ensure that adequate sewerage reticulation infrastructure is provided for the communities of Knysna. Electricity Design and implementation of the electricity master plan; Identification and implementation of electricity bulk supply projects in new and existing settlements; Identification and implementation of electricity reticulation projects in new and existing settlements; Rehabilitation and sustaining the ageing infrastructure before it has deteriorated beyond recovery. The IDP notes that a total of 84% (R44,3M) of the municipal budget in 07/08 allocated to the Infrastructure Cluster Projects. Similar percentages are also committed in 08/09 and 09/10; further underlining the observation that the municipality recognises its obligation, and is taking active steps to address its various challenges. 43 6. SETTLEMENT STATEMENT AND HOUSING CHALLENGES: A PROBLEM The purpose of this section of the report is to crystallise the major settlement and housing related issues and challenges facing the municipality prior to, in the following sections of the document, proposing a realistic strategy to address the challenges identified. Issues and challenges have been identified from a review of available documentation, from interviews and discussions with officials at the municipality, from discussions with developers and residents of the municipality and, most importantly, from the series of public meetings held with those who attended the various ward meetings. The issues and concerns are not discussed in any particular priority ranking. Also it must be noted that different communities and interest groups perceive housing issues and challenges quite differently at times. Perceptions vary as one would expect and, indeed, what may be considered a burning concern to some is a non-issue to others. 6.1 Need for Housing The need for housing within the lower income sections of the community is a clear reality. Moreover, the municipality is viewed as having the major responsibility for its provision, either directly by initiating new housing projects or by enabling projects to happen by engaging with builders, developers and financial institutions from the community or from the private sector. Quantifying the need for housing the municipality confirms a waiting list of some 6000 households and that the official register is increasing by approximately 20 households per month. The need for housing within the core beneficiary grouping is generally recognised to be deriving from the inmigration of households to the municipality, primarily of households from areas in the Eastern Cape Province seeking improved economic opportunities, and from the naturally occurring rate of growth in the municipality’s population. 6.2 Extent of Housing Delivery Requirement Inclusive of the current estimated housing backlog, and allowing for the growth in the municipality’s population over the period of the five year period of the human settlement strategy (ie. 2007-2012), provision will need to be made for between approximately 9 500 and 11 500 new housing units. This variable figure has been determined using a 4% p.a. rate of household growth on the one hand and a higher figure of 6%. If one reduces this figure by the approximately 4400 houses being constructed in existing projects (ie. Flenters/Robololo/Concordia and Vision 2002), the adjusted need figure will range between 5 200 and 7 200 new homes required by 2012. Clearly, this assumes that the full housing backlog is addressed during this period, an assumption that may be unrealistic. If one were to adopt a more conservative approach and only seek to address 50% of 44 the backlog over the five- year period of this strategy, then the new housing delivery requirement would vary between 2 200 and 4 200 units. This equates on an annual basis to an additional delivery of between 450-850 units. 6.3 Affordability of those in Need of Housing While no analysis has been done of those on the housing waiting list to assess income levels, a review of available income data (Census 2001) escalated to 2007 values, indicates that some 80% of housing need is concentrated at the household income range of R 0-R 3 500; the remaining 20% having incomes up to R 10 000 per month. These figures underline the importance of sourcing housing subsidies to drive the provision of homes for the lower band of housing need. Also, it is clear that there are those able to afford better quality housing for which home loan finance will be a prerequisite. Facilitating the delivery of a range of realistic and affordable housing solutions is thus a key challenge for the municipality. It is also clear that while many of the public inputs spoke of the desperate shortage of entry level bondable housing products, there were also fears expressed that accessing home loan finance was not easy and that “bonds” were expensive. Indeed, some residents were critical of the municipalities intentions to initiate “gap” housing projects. The responses on this issue also underline the importance of encouraging home loan institutions to get out into the community to actively break down prejudices and mis-perceptions about home loans. 6.4 Informal Settlements Current estimates suggest that there are some 4 500 informally constructed dwellings situated in the municipality. The extent of such settlements provides a clear indication that the municipality has been unable to make provision for the necessary land, services and housing to be set aside, at the scale required, over the last decade or so to obviate the development of such areas in Knysna and Sedgefield, in particular. The areas of informal settlement have, fortunately, mostly acceptable levels of service with water and water-borne sanitation having been extended to these areas. Solid waste removal is sometimes problematic in certain less accessible localities. Also road access, although sometimes on gravel surfaces, is generally satisfactory and being upgraded with black top surfaces on a planned basis over time. Regarding informal housing areas in general, aspects of concern include their unplanned nature, the fact that they typically accrete on land not ideally suited to residential development and which are often difficult to provide with services on a cost effective basis. Further, the quality of construction, although in some instances quite satisfactory, is mostly very poor. Water ingress, damp conditions under foot, leaking roofs and generally cramped living spaces are all too common. 45 From the point of view of the municipality, there is no plan approval process in operation and being able to exercise sufficient control over unauthorised incremental extensions is difficult. This is so notwithstanding the stated policy of council that a zero tolerance approach is taken to the development of unauthorised structures. Also emergency services personnel and vehicles often encounter difficulties with accessibility in instances where fire control or ambulance services are needed. 6.5 Geographical Concentration of Lower Income Communities Lower income communities and thus the pools of current housing need are confined to a limited number of defined geographical areas. This is to be expected given the pattern of racially separate communities, which is the historical legacy of South Africa. The stated objectives of restructuring urban spaces so that they become more racially diverse, in which a greater mixing of income groups takes place, will thus be difficult to achieve without directed intervention taking place. The functioning of the urban land market has also exacerbated this pattern of separation between income groups, as invariably land prices adjoining established middle-income areas typically out price what moderate income households can readily afford. 6.6 Land Requirement to Satisfy Need An earlier assessment of land needed to be identified for expanding residential development up to 2012 suggested that an area between 229ha and 309ha would be required (depending on the lower or higher range rate of household growth realised), if the target density of 25du/ha were to be achieved. It was also suggested that, given topographical constraints in many instances, it might be more prudent to work to a more achievable density of 18du/ha, in which case there could be a land requirement of between 320420ha to satisfy the full housing need (including the current backlog in housing) up to 2012. The challenges from the point of view of the municipality will be in identifying sufficient land, suited for residential development and which is in accordance with the intent of the draft Knysna Spatial Development Framework, which reinforces the integration objectives of the municipality and improves general urban performance. Specific challenges from a land perspective include, resolving land claims in respect of certain land portions in the Heidevallei area; ensuring that the land to be brought into the development cycle is affordable given its intended target market; that there is sufficient bulk and connector services available to make the development of a particular area of land feasible; that the requisite environmental authorisations can be obtained in an acceptable time period; and, that negotiations can be successfully concluded to source identified land from forestry and other competing interests. 46 6.7 Engineering Services Key concerns in this regard include the upgrading of services in existing residential areas, particularly in informal settlements, and doing away with the so-called bucket system in a limited number of instances; increasing bulk services capacities generally as regards water supply, sewerage treatment and electricity provision; ensuring that the planned capacity enhancements functionally enable new areas identified for settlement expansion to occur; and, that the augmentation fee policy can be applied on a more flexible basis to limit its negative impact on land/services cost push considerations. 6.8 Expectations and Perceptions Within communities experiencing the greatest housing need, it is apparent that managing expectations and dealing with frustrated elements will continue to be an on-going challenge for the municipality. It many instances, it is also the view that with better communication of municipal intentions and of the progress being made to bring projects to fruition, certain of the frustrations could be managed more effectively. The expectation that the municipality can and is able to solve communities housing needs is widespread. The fact that, in reality, the municipality has its hands tied by so many others and that it is but one player of many in the housing delivery equation is poorly grasped. Subsidy approvals, transfer of land in Karatara and obtaining EIA approvals are but three examples of this. Managing expectations, it is suggested, is usually done best with regular and consistent communication processes. From the point of view of perceptions a number can be identified which are of concern. Firstly, there are certain communities who feel left out and marginalized, as if their vote for their representatives will not translate into improved living conditions. Many Smutsville and Karatara residents would fall into this category. Secondly, there are those communities who perceive that that they are not receiving the “development goodies” they deserve because, for whatever reason, others are being favoured. Hornlee, Rheenendal and, to a lesser extent, elements within Karatara fall into this category. Thirdly, and if the extent of participation by upper income white residents of the municipality is a fair measure, then one must note that there are significant elements within the community who perceive that their contributions are not part of the resolution of the settlement challenges of Knysna. Lastly, there are the perceptions of many that the municipality has unlimited resources and that historical backlogs can be addressed in unrealistic time periods. The expectations apparent in the historically Coloured communities deserve special mention. Prior to 1994 such communities were favoured, at the expense of African communities in terms of housing provision. Since 1994 public authorities have, because of historical circumstances, generally given greater emphasis to the development of African communities to readdress previous imbalances. This fact is perceived by many, in generally Coloured 47 communities, as being unfair. In large measure, it also helps to explain the aggressive and antagonistic attitudes of certain sections of these communities to the on going development initiatives of the municipality focusing on African communities. As in other communities, the mechanism of access to source housing is the municipal housing register, or the waiting list. Many individuals expressed reservations about the management of this register. Attention, it is suggested, should be given to this aspect particularly to check and verify the details of the register, to keep it periodically updated and to keep its contents accessible to public scrutiny. The non-applicability of housing waiting list protocols in in-situ upgrading projects is widely misunderstood. Also because such projects are being implemented in areas perceived to be African, such allocations of housing benefits further fuel the perceptions amongst certain predominantly Coloured communities that their status on a housing waiting list is being disregarded. Again a factor that contributes to build antagonistic attitudes to the housing initiatives of the municipality. Realities, which are apparent in lower income communities, include a raft of socio-economic challenges. These relate directly to higher levels of unemployment than in the population as a whole; poverty and the perpetual cycle of this in certain households (although the availability of social grants has assisted significantly in this regard); substance abuse, overcrowding, HIV/AIDS and gangsterism. However, set against the feelings of resignation and hopelessness palpable in some, is the drive, enthusiasm and positive energy of many others. Capitalising on this constitutes an important challenge to the municipality in its efforts to develop sustainable communities. 6.9 Backyard Rental Although no studies are available to quantify the extent of this, it is quite apparent that it is wide spread. This fact gives credence to the seriousness of housing need on the one hand; equally, it is apparent that this phenomenon plays an important role in addressing the housing needs of those at various stages in the life-cycle and in the economic survival strategies of others. From the point of view of the municipality two perspectives are apparent concerning backyard rental upgrading. On the one hand, there are those who argue that because backyard rental is so pervasive, and, indeed, because it contributes positively towards addressing prevailing social and economic realities, it requires a positive in-situ development policy response. On the other hand, others argue that such an approach would strain infrastructure services capacities beyond their design specifications. In the recommendations of this strategy, it is proposed that an accommodative in-situ upgrading response represents the most workable and realistic response. Such an approach also reinforces the policy intentions of the municipality to achieve higher residential densities, to optimise the use of 48 scarce land resources, to minimise social disruption in its redevelopment activities and to concentrate purchasing power thresholds in support of achieving more viable public transportation systems and economic development potentials. 6.10 Outlying Settlements A particular feature of the settlement pattern of the municipality is the existence of a number of isolated settlements or worker villages, in which forestry and Parks Board employees are provided with housing near their places of employment. Generally, the quality of housing and services provision in such areas is fair. Problems of accessibility to facilities and amenities, isolation from shopping areas and general transport difficulties are apparent. Also from the perspective of employees, because housing provision is tied to employment, longer- term housing security is an issue in instances of the loss of employment, retrenchment or retirement. Approximately 250 households in the municipality reside in such settlements. 6.11 Building Cost, Capacity and Quality Aspects The property boom in middle and upper income markets generally, and the expansion of housing starts in these sectors of the market in the Southern Cape region, in particular, during the past number of years, is a feature of note. These facts have contributed directly to driving up the cost of land, serviced sites, building materials prices and the cost of construction. Also construction capacity has been stressed. Cost push factors will thus invariably impinge on the provision of more moderately priced housing, most particularly in the entry level bondable housing market, where new home owners will have to modify their expectations as to the size of house and level of finish which they will be able to afford. From a quality perspective, concerns were raised about the workmanship of local builders and contractors in relation to the construction of subsidy housing. The need to enhance the training of local builders, improved supervision and contract management and increasing the capacity of the municipal building inspectorate have all been identified as ways of improving the quality of construction. 6.12 Municipal and Development Process Concerns Challenges experienced by the municipality include the perceived need to restructure key departments and then enhance coordination between them, to better deliver on the requirements of sustainable settlement delivery. Other matters requiring attention include the need to fill key technical posts in the planning and engineering directorates. Equally, the appointment of a suitable Housing Manager is long overdue. It is also important that the responsible officials are given clear mandates to act and are given the necessary political support when tough decisions must be taken and implemented. 49 The potential offered by accreditation whereby municipalities can, over time, draw down greater responsibilities, supported financially by the province, to take greater control for driving their own housing delivery efforts offers real potential for the municipality. To capitalise on this opportunity will require strengthening of the municipality’s capacity to act. The development of improved partnerships with developers, the financial sector providing home loan finance and willing, as well, to drive new residential developments, employers and special interest groups are all considered important to achieve the agenda of sustainable settlement delivery. The ability of the municipality to engage in this regard will be important to assist in the generation of innovation and mutually beneficial schemes. As a whole, although the private sector is by its inherent nature self serving, it is a creative laboratory of ideas and can be very dynamic. Taping the energy of this interest group will be important, but it will require the municipality to provide suitable development parameters, to expedite development approvals and, generally, play a strong facilitative role. Ensuring that there is greater clarity with respect to the inclusionary policy of the municipality will be necessary. As regards the application of this policy there are clearly misgivings from middle income groups worried about a possible loss in property value and also from developers worried about the viability of their proposed projects. These appear, in part at least, to be concerns brought about by the need for greater information dissemination. Having a clear understanding of this policy will be of particular importance to foster the deal making approach inherent to the private sector. 6.13 Communication and Building Trust Repeated pleas were made during the public participation process for more effective and regular communication on housing related matters with the municipality. It is also apparent from the inputs received, that there needs to be wider dissemination of contact persons in the municipality to report problems to, to make application for services and to offer development suggestions. The effectiveness of Ward Committee communication with residents is also an aspect requiring attention. Equally, it is apparent that ensuring that problems reported are dealt with in a timely manner. This will involve agreeing target response times and then monitoring their achievement. The lack of housing delivery in certain communities over a period of time has resulted in strained relationships and a loss of confidence in the municipality. Attention will need to be given to rebuilding such relationships. This difficulty has clearly been exacerbated by the political instability the municipality has experienced in recent years. 50 7. PRINCIPLES, VISION, GOALS and OBJECTIVES This section of the report highlights the principles that, it is suggested, should guide the multi-year settlement strategy. A vision and a set of goals are then elaborated before a set of objectives, each related to the proposed goals, are proposed. Principles In the Constitution, The Housing Act, the Housing Code and Breaking New Ground certain principles are emphasised. The most significant of these to offer guidance to the sustainable settlement strategy of the municipality are noted below, with Appendix E containing a more detailed review of this aspect. Key principles include: Equitable access or equity Adequate housing Integrated and sustainable housing provision Targeted subsidy assistance Consultation Good governance Empowerment Partnerships Choice Quality Affordability Innovation Transparency and accountability Wealth creation Developmental impact Alignment of housing institutions Vision The Knysna 2020 Vision offers seven different statements with each vision statement emphasising a different facet of a preferred future. On the other hand, the IDP vision is a single all encompassing statement, proclaiming “Knysna: a town that works for all.” While none of the existing vision statements refer to the concept of sustainable human settlements per se, they each seek to contribute towards its attainment in some manner. For the purposes of this strategy, therefore, the IDP vision statement will be used with the understanding that, in more specific goal statements, there will be a significant orientation to the development of a sustainable settlement strategy which is more directly targeted at the core beneficiary groupings, defined earlier in the report. 51 Goals It is proposed that the goals directing the strategy should focus on the concepts of: Quantity or the extent of settlement/housing delivery in relation to the needs of communities; Quality dimensions picking up concerns of safety, public health considerations and the efficient use of available resources; Performance considerations in relation to the new settlements developed and the existing areas to be upgraded; also incorporating concepts of spatial integration, the effective and efficient use of infrastructure and other public amenities and contributing towards the overall performance of the municipality as a whole; Participation in the planning and policy formulation process, but also insofar as strategy implementation is concerned. This goal would relate to the communities comprising the municipality and also it’s politicians and officials. Developmental impacts of the strategy in terms, for example, of empowerment, wealth generation, organisational development, job creation, quality of life indicators etc. Having introduced the concepts underpinning the proposed five goals, these are elaborated below. GOAL NO. 1 The Knysna Municipality will take active steps to respond to current and projected future housing needs by formulating and regularly updating a multiyear strategic plan, and by strengthening its capacity to implement the plan. GOAL NO. 2 Quality considerations will be emphasised in the sustainable settlement plan through the upgrading of informal settlements, the provision of agreed minimum levels of infrastructure services, the consistent application of municipal bye-laws relating to planning and building plan approvals and by focusing attention on the quality of homes built with the use of public resources. GOAL NO. 3 Ensuring the improved overall performance of the Knysna Municipality is to be given a high priority. Forward and integrated planning, the provision of enhanced infrastructure capacities, the identification of land parcels suited to new settlement development and the provision of improved facilities in lower income communities will all be emphasised in the achievement of this goal. 52 GOAL NO. 4 The participation of the municipality’s communities, their elected representatives and officials will underpin the formulation of the multi-year settlement plan and its progressive implementation. GOAL NO. 5 The Knysna Municipality will strive, at all times, to maximise the developmental impacts of the sustainable settlement plan. Particular attention will be given to empowerment, employment creation and asset building in the implementation of the plan. For each of the five goals proposed a series of specific objectives are outlined below. Objectives 7.4.1 GOAL NO. I This goal identifies the importance of responding adequately to the quantity of existing and future housing needs within the context of the municipality. Specific objectives identified are: (a) The municipality shall prepare a multi-year sustainable settlement plan, which shall be revised and updated periodically. (b) The plan shall set realistic delivery targets based on an assessment of current housing needs and anticipated growth in the municipality’s population. (c) The plan will identify specific housing projects to be initiated, which respond adequately to the need to address the diversity of housing needs identified. (d) The municipality will initiate, coordinate, and expedite those actions required to source identified portions of land and to bring them into the development cycle in a timely manner. (e) The municipality will coordinate its sustainable settlement plan with its capital investment programme to ensure that the necessary bulk and connector services are available to undertake new residential developments. (f) To enhance its capacity to address the settlement needs of identified communities, the municipality will expedite the implementation of a proposed organisational restructuring and seek to fill identified posts in a realistic time frame. 53 7.4.2 GOAL NO. 2 This goal emphasises a greater emphasis on quality delivery and the cost effective use of public monies in the provision of housing to the poor. The following specific objectives are identified in this regard: (a) The municipality will progressively upgrade informal settlements (including the upgrading of services, houses and tenure rights) and ensure that annual housing targets incorporate this element. (b) All residential areas will be serviced to minimum levels of approved services. (c) The municipality will enforce a zero-tolerance policy with respect to the unauthorised erection of illegal structures. (d) All authorised structures constructed will require to have an approved building plan. (e) The municipality will undertake a feasibility assessment to determine the costs and benefits of accommodating the phenomenon of backyard rental. (f) Additional building inspectors will be employed by the municipality to better monitor the adherence to National Building Regulations. (g) The municipality will investigate the feasibility of introducing a star grading system to encourage an adherence to quality construction amongst builders and contractors active in the area. 7.4.3 GOAL NO. 3 This goal seeks to focus on promoting the improved performance of sustainable settlements and of the urban systems of the municipality as a whole. Specific objectives identified include the following: (a) Continuing efforts will be made by the municipality to achieve sustainable development both spatially and functionally within the municipality. (b) An approved policy on inclusionary housing will guide the future development of new residential areas. (c) Particular attention will be paid by the municipality to the provision of non-residential facilities and amenities in existing areas to be upgraded and in new areas of settlement. (d) The identification of additional areas of land for new settlement development will pay particular attention to enhancing the integration of the municipality. 7.4.4 GOAL NO. 4 This goal emphasises the importance of participation by communities, elected representatives, officials and other stakeholders in the formulation and implementation of the multi-year sustainable settlement plan and its periodic 54 revision to adjust to changing circumstances. Specific objectives proposed include the following: (a) The processes of formulating the sustainable settlement plan will ensure that appropriate attention is given to ensuring the participation of the municipality’s communities, its elected representatives and officials. (b) The municipality will communicate, formally, to its communities on at least one occasion per annum on the progress being made to implement the objectives and targets of this plan. (c) The municipality will establish an appropriate mechanism, involving all relevant departments and officials, to strengthen its collective approach to the implementation to the objectives of this plan. (d) Other stakeholders, including the financial sector, developers and other spheres of government will be actively engaged to contribute towards the attainment of the objectives of this plan. 7.4.5 GOAL NO. 5 The final goal proposed emphasises the importance of maximising the developmental impacts of the multi-year settlement plan and its implementation. Objectives framed in this regard include the following: (a) Preferential procurement methodologies will continue to be adopted to channel back public sector development related expenditure to targeted groups. (b) To strengthen the capacity and capability of local builders and contractors to become involved in civil and building activities in the municipality, continuing efforts will be made to address their aspects of competitive weakness. (c) The municipality will establish a new programme to actively engage with NGO’s and CBO’s, and other citizen groupings, with a view to developing collaborative projects of mutual interest and benefit. (d) Redoubled efforts will be made by the municipality to contribute towards the processes of asset creation in lower income communities through, for example, the upgrading of services and housing, the provision of facilities and amenities, specific urban design initiatives in the public environment, by its efforts to enhance the rate of housing supply to create greater mobility in the residential sector and by expediting the transfer of municipal housing stock to qualifying persons. 55 8. SUSTAINABLE SETTLEMENT STRATEGY This section of the document describes the strategy to be implemented by the municipality to achieve the goals and objectives outlined previously. The strategy contains overall policy related considerations and specific area focused project related interventions. 8.1 Act now but think ahead In the light of the pressing settlement challenges facing the municipality, it is critical to expand the rate of housing supply in the short to medium terms. However, it is also critical that the municipality avoid thinking only in terms of the five- year duration of this sector plan and, as such, that it commence to lay the groundwork now for sustained housing delivery in the future. This will involve formulating appropriate policies, undertaking forward planning, early land identification and the initiation of the required township establishment activities, capital budget commitments for bulk infrastructure and, generally, a much more programmatic approach to settlement development. 8.2 Increase housing delivery rates and get ahead of the demand curve The municipality will need to increase the rate of overall housing supply (over and above current housing delivery) by between 450-850 homes per annum if it is to keep up with the rate of annual housing demand and if it is to overcome 50% of the currently identified housing backlog by 2012. Increasing rates of delivery will involve sourcing the currently identified areas of land and concluding negotiations with the relevant parties. Also, it will be important to seek to increase the number of housing subsidies committed to the municipality by the province to drive delivery in this segment of the market. In order for the municipality to achieve an expansion of delivery it is proposed that a deliberate decision is required to favour “width not depth” in its allocation of public resources. It is recommended that the current top-up funding policy of the municipality be re-assessed as it is counterproductive to the expansion of housing delivery. This is so for a number of reasons. Firstly, the additional funds provided to improve the level of services and housing depletes municipal reserves available for the provision of bulk and connector services. Critical investment is needed in this regard to expand overall housing supply. Secondly, without the necessary top-up funds available, the municipality is constrained in the number of housing subsidies it can accept from the province. Thirdly, the current policy exacerbates levels of municipal indebtedness (which are at high levels), thereby constraining the ability of the municipality to source debt financing to respond to its development challenges. 56 Getting ahead of the demand curve will require, ideally, the municipality to acquire and service land ahead of the arrival of new migrants and to house the natural growth of the existing population. If this cannot be achieved the municipality will continue to face the on-going challenges of informal settlements and the need for in-situ upgrading projects. This is not ideal as it places huge pressures on those responsible for housing delivery in the municipality whilst also pushes up the cost of provision. 8.3 Effective functioning of the housing market Not only is it necessary to enhance overall annual housing delivery rates, but also affordable housing delivery must be expanded to respond to those with incomes up to R10 000 per month. Appropriate areas of land require identification, projects must be conceived and packaged and development proposals solicited. The strong interest of the financial sector in supporting and even driving these projects must be capitalised upon. Also the dynamism and the inventiveness of the private sector need to be harnessed. 8.4 Municipal wide housing interventions To address housing needs across the municipality, and to counter the commonly held view of residents that Knysna is favoured when it comes to housing delivery, it is proposed that a more balanced approach to housing delivery be adopted to ensure that there is a wider geographical spread of housing of project activities across the municipality. The scale and scope of these activities will obviously vary dependant upon the specificity of needs in a particular geographical locality. 8.5 Bold initiatives for the future Already it is arguable that the main areas of settlement, namely Knysna and Sedgefield , are approaching their maximum development extent within the context of their defined urban edges. Currently, it is proving increasingly challenging to identify additional suitable areas of land to accommodate the growth of new residential areas. Also, if one is mindful of the scale of the required further urban development over the next 10 to 20 years, it is argued that the municipality will need to peruse bold initiatives now to secure the longer term development requirements of the municipality. It is in this context that the municipality is encouraged to investigate, seriously, the concept of a new nodal development in the Rheenendal area. At the moment this area is but a residential adjunct to Knysna. With proper planning, including the significant expansion of bulk services capacity in the area, the expansion of the industrial and commercial economic base and the expansion of a wide range of housing opportunities in the area, Rheenendal, with its centrally located position in the municipality, offers an ideal position at which concentrated nodal development can be encouraged. Undertaking such a development also offers a real potential to increase the supply of affordable housing and “gap” housing products, soliciting the involvement of the home loan financing sector and the potential to undertake a properly integrative 57 settlement development targeted at a cross cultural and at a varied income range market. In the Sedgefield area the acute shortage of additional land for development also requires, it is suggested, that the Ruigtevlei development, which has been previously mooted, should be aggressively pursued. The development of this area also offers a very real opportunity to undertake a properly integrated development, well supported by the banking sector, to expand affordable housing delivery in the municipality. The development of both of the above areas, it is argued, needs to be actively investigated in the immediate term. If considered suited to the expansion of integrated settlement in the municipality, the necessary actions must be taken to bring such projects to fruition and a project champion identified. The municipality cannot afford to become trapped in a tunnel vision view of the future; it will need to think of how it will accommodate its urban populations when incremental additions to existing urban spaces are no longer possible. 8.6 Enhancing municipal capacity to act The ability of the municipality to fulfil its developmental mandate must be strengthened by concerted efforts to fill vacant technical posts. Town planning, engineering and housing departments are all critically short of personnel. The necessary budgets will need to be allocated to achieve this. Capacity enhancement in the technical disciplines of the municipality is also an essential if municipal accreditation, as is to be advocated below, is to be attained over the period of the five year plan. 8.7 Obtain accreditation for the municipality Taking greater control over the planning for and administration of its sustainable settlement strategy is a central theme of this housing sector plan. Consistent with this approach, and the intentions of the province to accredit suitable municipalities, it is argued that Knysna should seek to achieve full level three accreditation within a five year period. Level three accreditation includes subsidy payment disbursements and financial reporting and reconciliation, as well as the assignment of level one and level two functions (ie subsidy budget planning and allocation, programme management and administration). The progressive delegation of functions towards eventual assignment will require an on-going process of capacity building internally, both in terms of human resources and skills, as well as in terms of computer hardware and software. 58 8.8 Strengthening service orientation It is contended that the municipality needs to enhance its general service orientation to it’s residents. This will involve establishing target response times to attend to complaints and service related issues and then the continuous monitoring of the follow up to address the matters requiring attention. Matters raised during the public participation process require follow up. Attention to these issues will also validate the importance given to public consultation processes and help to strengthen levels of confidence in the wards of the municipality. Service contracts of key officials should also incorporate reference to agreed response targets and their progressive attainment. 8.9 Improve communication with communities It is apparent that actions are necessary to strengthen the functioning of Ward Committee structures. These committees serve as the interface between the municipality and ratepayers and thus they need to convene regularly, be well administered with appropriate support from officials and, most importantly, they must reinforce the commitment to an improved service ethos in the municipality. Greater attention is needed to ensure that communication channels are clear and widely known. Elected officials will need to recommit themselves to regular and sustained constituency work as well, backed up with logistical and administrative support from relevant officials. Bridge building efforts are considered important in specific instances where there are clear political tensions in communities. Creating suitable mechanisms need consideration to channel community concerns into mutually agreed upon plans that can then be implemented. 8.10 Inclusionary housing The draft Inclusionary Housing Policy of the municipality requires, for its more effective implementation, that an implementation framework be developed. Such a framework should contain much more specific detail as to how the municipality is to implement its policy intentions. For example, how in practice will the municipality implement its policy, what developer incentives will apply, what planning and design guidelines are to apply, what processes the municipality will utilise in its engagement to conclude inclusionary housing applications etc. After the necessary attention is given to the formulation of such a framework a planned communication strategy is desirable to improve levels of understanding of the policy and its proposed implementation amongst the development community generally. 59 8.11 Feed the development pipeline Sustainable settlement development will, as noted earlier, require a more programmatic approach to be adopted within the municipality to ensure that the housing delivery pipeline is appropriately fed with projects that, after the completion of all the necessary preparatory steps, can yield the intended rate of housing supply. By placing increased emphasis on this aspect the municipality will be able to avoid a stop/start delivery approach and have a better chance of enhancing its overall delivery performance. 8.12 Quality management Achieving agreed levels of quality is widely recognised to be a function of prioritising quality as a key housing goal, having the necessary personnel and systems to ensure quality delivery and then effectively managing to achieve the quality intention. While generally solid in this regard the municipality could enhance its capacity to discharge this function, especially amongst its developing communities. 8.13 Emerging contractor development Actions to enhance the overall capacity of this sector should be supported by the municipality. Suggested interventions include sourcing training possibilities, facilitating assess to sources of working capital and providing greater construction supervision, mentoring and support. 8.14 Management arrangements The effective implementation of the sustainable human settlement strategy will require that suitable management structures exist and operate to their full potential within the municipality. A management coordinating mechanism that brings together the key technical departments, community services, finance and the Municipal Manager are be a key ingredient to implement the strategy on a sustained basis. Such a body should meet regularly and report progress monthly to the relevant portfolio committee. This committee should be chaired and driven by the most appropriate and capable person in order to build the capacity and confidence of the administration. 8.15 Area Focused Interventions (a) SIZAMELE/SMUTSVILLE/SEDGEFIELD Expedite the planned 45 unit infill project. Relocate the Boonste Gaaitjie and Onderste Gaaitjie communities (approx 250 households) and rehouse them in a dense development on erf 2637, currently used as a sports field. Redevelop the sports field on the Onderste Gaaitjie land. 60 (b) Investigate and finalise further infill possibilities in the Sizamele/Smutsville area. Upgrade local area roads and storm water arrangements in Sizamele/Smutsville. Complete any outstanding transfers of municipal owned houses. Initiate fund mobilisation from Neighbourhood Development Partnership Programme to support LED interventions. Finalise intentions with respect to the Station Infill Project as current uncertainty concerning this project is undesirable. Proposal: The location is suited to affordable gap housing delivery in the price range R250 000-R600 000. Either call for development proposals, investigate the possibilities of a land swap for other land more suited to the development of subsidy funded housing (which is the primary requirement in the area) or consider a land sale. Give the required attention to enhancing water and sewerage services capacity in the town as a whole. The potential of utilising Erf 3813, situated at the northern entrance of Smutsville (north of Melkhout Street) for a medium/high density development should be investigated. The area is 1ha in extent. Prepare a register of all specific issues raised at the public participation meeting and follow up accordingly on a one-on-one basis. KARATARA Having achieved the transfer of the Welsyndorp land to the municipality, expedite the planning process to replan the area to optimise the identification and sub-division of new erven (ie. infill sites) Commence to prepare an application to source subsidies in terms of the Enhanced Extended Discount Benefit Scheme to be able to upgrade and transfer the Welsyndorp properties as soon as this can be achieved. Engage with residents of the area to keep them informed about the transfer process, steps being taken to expedite the process, obstacles being faced and time scales involved. Also it is suggested that the municipality confirm, in writing, their intention to repair and transfer the affected Welsyndorp houses to qualifying families. Resurrect the previous housing scheme of approximately 270 units in Bosdorp. Revisit the previous planning and finalise as necessary. Commence with an appropriately scaled project after confirming housing need in the Welsyndorp and Bosdorp communities. Apply for subsidy funding for the envisaged subsidy units. Prioritise the relocation and re-housing of households from the Bergvallei community as houses become available in Welsyndorp. Fast track the upgrading of services capacity in the area. The upgrading of water supply capacity needs to be given priority. Provide support to the Ward Committee structures to rebuild levels of trust and to ensure that the local community is empowered by their continuing involvement in their development. 61 (c) Local area economic stimulation is particularly critical. In this regard suggest a municipal facilitated process to explore for possible options. Engaging with the Neighbourhood Development Partnership Programme (NDPP) is also proposed. Prepare a register of all issues raised during the public participation process and then follow up on a one-on-one basis as appropriate. RHEENENDAL (d) Retain the zoned industrial area for the area. It is proposed that the municipality develop an industrial incentive package and then market it aggressively to attract new industries into the area. Identify additional land in the area and commence the packaging of a new integrated project offering both subsidy and gap housing. Undertake an assessment of demand for housing in the area and then scale the project accordingly. Prepare the necessary application for provincial subsidies as necessary. Prepare an application for funding from the province for the Lapland community of approximately 50 households. Finalise the transfer of residential properties to qualifying residents. Give attention to fast tracking the upgrading of services capacity for the area, particularly water supply and sewage treatment. This will also be important to be able to attract new industries to the town. Respond to reasonable residents concerns regarding the upgrading of paving, the construction of speed humps, the filling of potholes, the removal of dead animals, the provision of improved play areas and attention to pedestrian ways. Give support to the local Ward Committee and, after the establishment of a locally appointed Development Committee for the area, engage on a regular basis. Aspects that should receive early attention include the establishment of youth programmes, the construction of ablution facilities in the “Old Area”, ablution facilities at the clinic, the repair of houses and the verification of waiting lists. Prepare a register of all issues raised during the public participation process and the follow up on a one-on-one basis as appropriate. KNYSNA NORTHERN AREAS Proceed as planned with the implementation of the Vision 2002 and the Flenters/Robololo/Concordia projects. Initiate a study to assess portions of land highlighted in the public participation process to determine their suitability for higher density housing options. Finalise negotiations to source the Kruisfontein land and then commence with detailed planning, the lodging of a township application and then, depending upon progress made, the preparation of an application for housing subsidies. Pay close attention to the quality of new housing erected in the affected communities by inspecting house construction on a more regular basis. 62 (e) Continue with existing services upgrade projects in the area and complete efforts to do away with the so- called bucket toilet system in the 07/08 financial period. Continue with efforts to upgrade and enhance the overall public environment including budgeting for and the construction of the identified non-residential facilities. Undertake detailed planning for the development of specified nodes in the area and then invest in the public environment on a progressive basis. Undertake extensive tree planting in the area to lessen the exposure to prevailing winds and to soften the visual impact of new housing areas. The formation of a partnership with Food and Trees for Africa could prove beneficial in this regard. Consideration of land for urban agriculture and the grazing of animals merits consideration and should be accommodated if possible. The mobilisation of funding from the Neighbourhood Development Partnership Programme should receive attention to stimulate LED initiatives in the community (ie. Masifunde node). The need for special needs housing interventions in the community should be assessed, especially as regards the aged, orphans and those with disabilities. Depending on the needs identified, the possibility of initiating one or more special needs housing interventions might be considered. It is suggested that it is in relation to such a project that the municipality could strengthen its relationships with existing NGO’s or with charitable organisations operating within the municipality. Prepare a register of all the specific issues raised during the public participation process and then follow up on a one-on-one basis, as appropriate. HORNLEE Proceed, as planned, to call for the submission of development proposals on identified portions of land in the community. Adjudicate proposals submitted and then proceed to implementation as quickly as possible. Expedite the transfer of residential properties to qualifying households. Proceed with the intended Own Haven development for the development of 112 housing opportunities. Care should, it is argued, be taken to favour the majority of the development for ownership housing given the ongoing maintenance requirements of rental housing. Expedite this project to stimulate affordable housing supply in the community. Chronicle all the specific issues raised during the public participation process and then follow up on a one-on-one basis as appropriate. 63 (f) OTHER PROJECTS Heidevallei: In this regard it is suggested that urgent efforts must be made to expedite the progress of this project. Environmental and township applications need to be driven through the approval processes with all the haste possible. The possibility of this project needs to be brought into the development cycle as soon as feasible to expand a wider range of housing supply in the municipality. Rheenendal Nodal Development: It has been proposed that the significant development of this node will be necessary in the medium term to channel the continuing growth pressures which will continue to be experienced in the Knysna basin in particular. Moreover, if planned on an integrated basis around a developing industrial and commercial base, this centrally located settlement has an excellent potential to offer a range of subsidy, gap, affordable and other more middle income homes in a most attractive physical setting. Kruisfontein North: Portion of the Farm No 523, consisting of 104ha is well suited to the development of subsidy, gap housing and associated facilities and amenities. It offers the potential for an organic extension of the Damsebos community and, as such, offers a more favourable alternative than the expansion of settlement in the Windheuwel area, situated to the north of the proposed routing of the N2 bypass. Also the development of the Kruisfontein North area is supportive of the intention to relocate the T59/1 road to Uniondale, as proposed in the Draft SDF. Ruigtevlei: For the medium term (ie 5-10 years) renewed attention is proposed to be given to the finalisation of negotiations to source land in the Ruigtevlei area. This is an ideal locality for an integrated residential development containing a mix of housing types targeted at a cross section of income levels, similar in concept to the Heidevallei project. Forestry Villages: In this regard it is inappropriate for the municipality to intervene significantly in that these dispersed villages providing housing, on un-proclaimed land, which is directly related to the needs of employers. The municipalities role, it is argued, should be limited to an oversight one to monitor, by keeping open channels of communication with forestry companies, that acceptable levels of services and housing are made available to employees. Moral suasion would be the most suitable mechanism to achieve this if pressure needs to be applied. The role of the municipality, it is argued, should be on expanding housing opportunities generally, thus being able to offer those wishing to vacate company provided housing a reasonable alternative in a functional housing market. (g) SOCIAL HOUSING Social or institutional housing refers to good quality medium to higher density housing stock, managed by independent housing institutions, which housing is typically available for rental. Such housing has also, very often, been identified in the South African context as being ideally suited to urban restructuring and regeneration. 64 No social housing interventions are proposed in the case of Knysna for the foreseeable future. The key reasons for this are as follows: The municipality is currently in the process of transferring ownership of previously held properties to their rightful occupants. This is primarily due to the inability of the municipality to service and manage the stock adequately, to poor payment levels and the desire to promote tenure reform. At the individual level the overwhelming desire is to acquire home-ownership. This tendency has strong historical roots. The attaining of ownership to housing is viewed as an important mechanism of asset creation and wealth accumulation; a key objective of government’s Breaking New Ground policy. Those wishing to rent accommodation can do so in a private capacity. From this perspective, the municipality considers it of greater importance to clarify its policy position vis-à-vis the back yard rental phenomena. Finally, there is no social rental housing institution in existence in the municipal area and the municipality does not regard itself as effective at developing or managing rental housing stock. 65 9. SETTLEMENT DEVELOPMENT PROGRAMME AND BUDGET 9.1 OVERALL CONSIDERATIONS No. ITEM 1 Finalise and approve Housing Sector Plan Reassess current topup funding policy and adjust policy as appropriate 2 3 Revise and adjust housing Sector Plan on an annual basis 4 Investigate the feasibility of introducing a star grading system for contractor. Implement as appropriate. 07/08 08/09 09/10 10/11 11/12 12/13 R100 000 R100 000 R200 000 R100 000 R200 000 PERFORMANCE RESPONSIBILITY MEASURE Approved Housing Dir. Community Services Sector Plan Reviewed policy position Dir. Community Services Review and adjustment Dir. Community Services of Housing Sector Plan Review feasibility Building Inspectorate R85 000 Establish system grading Implement system 66 9.1 OVERALL CONSIDERATIONS/ Continued ……. No . 5 6 7 ITEM Define feasibility and estimate costs and benefits of accommodating backyard rentals Enhance general technical capacity of Municipality to implement sustainable settlement plan (including Engineering Town Planning, Housing, Building Control and Building Inspectorate). Develop Inclusionary Housing implementation framework 7.1 Engage with development Community/residents to communicate policy and then implement 8 Communication with communities re-settlement Development Programme and its implementation 07/0 8 08/0 9 09/1 0 10/1 1 11/1 2 12/13 R200 000 R1,0m R2.0m R3.0m R3.0m R3.0m R350 000 R50 000 R50 000 R30 000 R30 000 R50 000 R50 000 R50 000 PERFORMANCE MEASURE Amended and approved Bye-law Capacitated Technical Directorates staffed according to organisational plan RESPONSIBILITY Approved implementation framework Undertake first successful inclusionary housing initiative Undertake communication Effort at least once per year Dir: Community Services Planning Individual Technical Directorates Dir: Community Services Dir: Community Services 67 9.1 OVERALL CONSIDERATIONS / Continued ….. No. ITEM 9 9.1 10 Devise a plan to support emerging contractor development Implement emerging Contractor development plan Achieve accreditation at Level 1,2 and 3 07/08 08/09 09/10 10/11 11/12 12/13 R80 000 R60 000 R60 000 Level 1 Level 2 R60 000 R75 000 Level 3 PERFORMANCE MEASURE Approved plan Achievement milestones of plan RESPONSIBILITY Building Inspectorate of Building Inspectorate Achieve Level 3 Dir: Community Accreditation after Services 5 years 68 9.2 AREA FOCUSED INTERVENTIONS (a) SIZAMELE/SMUTSVILLE/SEDGEFIELD No. ITEM 1 45 unit infill project 2 Investigate and finalise other infill possibilities 3 Upgrade local area Roads and Stormwater 4 Complete transfer of Municipal stock Mobilise NDPP Funding, plan and implement Project Interventions Station infill project 5 6 7 8 Upgrade bulk services capacity in Sedgefield Investigate, plan and implement Erf 3813 project 07/08 08/09 R1.0m 09/10 10/11 11/12 R1.0m R200 000 insert insert insert insert R250 000 R100 000 insert R150 000 insert PERFORMANCE MEASURE RESPONSIBILITY Complete 45 units Dir: Community Services Finalise Investigation Town Planning Identify required work Town Engineer Upgrade services R100 000 R100 000 R50 000 insert 12/13 insert insert Transfer all outstanding stock Funding applications plan And implement Dir: Community Services Confirm project or sell/swap land Provide capacity to planned levels Shelve or undertake project Dir: Community Services Dir: Services Strategic Town Engineer Dir: Community Services 69 9.2 AREA FOCUSED INTERVENTIONS /Continued ….. (b) KARATARA No. ITEM 1 2 3 4 Prepare application for Extended Enhanced Discount Benefit Scheme Finalise transfer of Welsyndorp land to Municipality/households Meetings with residents/housing Committee Review previous 270 unit scheme in light of town planning aspects 5 Finalise infill study scheme and source funding as required 6 Services upgrading in area (Especially – Water and Sewer) NDPP Fund mobilisation and project implementation 7 07/08 08/09 09/10 10/11 11/12 12/13 insert insert R200 000 R300 000 PERFORMANCE MEASURE Submit application Source funds RESPONSIBILITY Conclude transfers Municipal Manager Meetings arranged held Dir: Community Services as Dir: Community Services R100 000 Re-plan project Implement project Town Planning Dir: Community Services R100 000 Finalise plan Source funding Town Planning Dir: Community Services Provide capacity to planned levels Town Engineer Mobilise funding and Implement project(s) Dir: Services insert R200 000 R150 000 R150 000 Strategic 70 9.2 AREA FOCUSED INTERVENTIONS /Continued …… (c) RHEENENDAL No. ITEM 1 Develop Industrial incentive package and market area 2 Identify land and package new integrated housing project 3 Source Lapland subsidies and implement project Finalise all outstanding residential transfers 4 5 6 7 Bulk services capacity upgrade in area Local area services upgrades (pot-holes, speed-bumps, pedestrian wayside etc.) Support to Ward Committee 07/08 08/09 R100 000 09/10 10/11 11/12 12/13 R100 000 R150 000 R150 000 R150 000 PERFORMANCE MEASURES Successful establishment of targeted industries Package implement project RESPONSIBILITY Dir: Strategic Services and Dir: Services Community insert insert Source subsidies Complete project Dir: Services Community insert insert Conclude all remaining transfers Dir: Services Community Upgrade services to planned levels Upgrade services as required Town Engineer Implement identified community Dir: Services insert insert insert insert Town Engineer Corporate 71 8 and engage re: various community development projects Investigate potential for plan and preparatory work undertaken for Rheenendal nodal development development projects Finalise investigation and conclude all preparatory planning R350 000 Town Planning Town Engineer Dir: Community Services 9.2 AREA FOCUSED INTERVENTIONS /Continued …… (d) NORTHERN AREAS (KNYSNA) No. ITEM 1 2 3 Implement Vision 2002 and Flenters/Robololo of Concordia Projects Assess identified land parcels for high density development package and implement projects if feasible Enhanced monitoring of construction quality 4 Local area services provision and upgrades 5 Upgrading of public environ- 07/08 08/09 09/10 10/11 11/12 12/13 insert insert insert insert insert insert R150 000 insert insert insert insert insert insert insert insert PERFORMANCE MEASURE Achieve quality delivery at planned levels Successful implementation of feasible projects RESPONSIBILITY Noticeable improvement in construction quality Municipal services to specified standards Facilities Building Inspectorate Dir: Community Services Dir: Community Services Town Engineer Dir: Community 72 ment and facilities provision 6 Initiate NDPP LED projects 7 Identify need for, plan and implement special needs housing projects R200 000 R200 000 identification and Services provision Successful new LED Dir: Strategic projects launched Services R200 000 R200 000 R100 000 Establishment of sustainable project if need confirmed Dir: Community Services (e) HORNLEE No. ITEM 1 2 07/08 08/09 Implement identified projects on land parcels identified if feasible Conclude outstanding residential transfers 3 Own Development Haven 4 Engagement with KCF representatives and identification of a way forward 09/10 10/11 R200 000 R300 000 insert insert R500 000 R500 000 R100 000 insert 11/12 12/13 PERFORMANCE MEASURE Delivery of planned new houses RESPONSIBILITY Dir: Services Community Transfer of all outstanding houses Full occupation/sale of all new units developed Resolution of issues of concern Dir: Services Community Dir: Services Community Manco [with external conflict management specialist] 73 9.2 AREA FOCUSED INTERVENTION /Continued ….. (f) OTHER PROJECTS [not covered previously] No. ITEM 1 Expedite Heidevallei project, secure all approvals, proceed with township establishment and commence with services and hence construction activities 07/08 08/09 09/10 10/1 1 11/12 R250 000 R150 000 R150 000 R150 000 12/13 PERFORMANCE RESPONSIBILITY MEASURE Successful delivery Dir: Community of project as Services planned within agreed time frame 74 2 Forestry villages [Oversight function only] Dir: Community Services 3 Conclude Kruisfontein planning, conclude land negotiations and implement new project Delivery of a new integrated residential area, including other uses, as per approved plan and development programme Dir: Community Services 4 Ruigtevallei Project: Undertake feasibility assess- ment and develop a framework plan and an implementation timetable. R300 000 R300 000 R300 000 R200 000 R150 000 R100 000 Undertake required Dir: Town Planning planning activities and feasibility assessment 75 10. PERFORMANCE MANAGEMENT, MONITORING and EVALUATION In the settlement development programme performance measures are identified for each of the actions identified. This is to enable performance management, monitoring and the evaluation of the achievement of sustainable settlement objectives. In terms of current organisational restructuring proposals the responsible official for the achievement of the sustainable settlement strategy is the Director: Community Services. As such, the performance requirements of this five- year plan should be incorporated into this official’s contract of employment and then reviewed on an annual basis. The housing sector plan will need to be revisited and adjusted on an annual basis to maintain the five- year focus and to ensure the necessary attention is given to the incorporation of the outer planning year in the five-year cycle. 11. PLANNING, INNOVATION and NEW APPROACHES The Terms of Reference note that attention needs to be given to the above concerns. The following comments and observations are offered in this regard. The incorporation of new ideas, innovation in planning, design and the use of technology is optimally explored at the project level when specific issues or challenges have to be dealt with. At all times, those charged with implementation responsibilities for components of the sustainable settlement strategy must ensure that service providers are challenged to think creatively and to plan, design and specify innovatively. As such, this will need to be written into the briefs of service providers. Land scarcity, cost and topographical considerations reinforce the desirability of the exploration of higher density housing solutions in general. Attached, multi-level and other more complex dwelling forms will thus require exploration. Suitable tenure arrangements to provide for ownership will also need attention in instances where the conventional single house on a plot solution is not to be followed. At all times it is suggested that a four- point test be applied when considering the appropriateness of innovative approaches. That is; - is the solution appropriate to the context to which it is to be applied? - is the performance of the new approach, technology etc. superior to the continued use of existing technologies? - is the use of the innovation or novel approach broadly acceptable to those for whom it is intended? - does the new idea or technique offer a value for money solution to a particular problem or challenge and make prudent use of any public resources applied? If the answer is positive to all of the above then it is likely, but not assured, that the application of an innovative solution might be in the best interests of the client being served. 76 In conclusion, it is suggested that such an enquiring approach be applied to this question at all times. 77 APPENDIX A TERMS OR REFERENCE and STRATEGY FORMULATION METHODOLOGY 1. Terms of Reference This draft strategy is guided by a terms of reference prepared earlier by the municipality. The key elements of these terms of reference are noted as follows: The strategy developed must: Develop an holistic approach to housing development, inclusive of the municipalities planned in-situ upgrading plans, the transfer of existing council rental stock, the provision of entry level bonded housing products, housing subsidy project linked homes and other forms of housing provision considered appropriate to addressing the housing needs of the communities living within the municipality; Craft a strategic and a more integrated approach to housing delivery which takes account of the Provincial Growth and Development Strategy (PGDS), the Provincial Spatial Development Framework (PSDF), the Draft Knysna Spatial Development Framework (KSDF), relevant housing legislation policy and the Breaking New Ground (BNG) strategy focussing on the importance of developing sustainable human settlements; Give specific recognition to BNG objectives including: - Accelerating housing delivery as a means of poverty alleviation; - Utilising housing provision as a means of job creation; - Ensuring the property can be accessed by all and that it can be utilised as an asset for wealth creation and empowerment; - Leveraging growth in the economy; - Addressing crime, promoting social cohesion and improving the quality of life of the poor; - Support the effective functioning of the entire residential market; - Utilising housing development as a means to achieve sustainable human settlements and to support spatial restructuring; Must recognise and incorporate public participation including public sector departments and officials, organised interest group representatives, ward committees and other community groupings; Take into account the physical, demographic, social and economic realities of the Knysna municipal context to ensure that the strategy developed is feasible, enjoys broad public acceptance and contributes to the development of social capital; The strategy development will need to explore innovative planning, design and construction technologies; 78 2. Which stimulates the mobilisation of private sector funding to compliment that made available from the public sector; Recognise the importance of appropriate public sector capacity at the local level to implement the human settlement strategy developed; and lastly Propose monitoring mechanisms to enable the evaluation of the strategy proposed. Methodology In order to respond to the terms of reference in the most effective manner, the required sustainable human settlement strategy was prepared in a series of phases. These phases and a summary of their content are described below. (a) Phase One: Situational Analysis The purpose of this analysis is to review relevant national, provincial and local legislative, policy and planning frameworks to ensure that the draft sustainable human settlement strategy is properly informed and aligned with national and provincial legislative and policy requirements and is, also, sympathetic to and takes account of local area concerns, issues and policy positions. This report contained nine sections comprising: Section 1: Background and Structure of Report Section 2: Legislative Overview This overview examined the constitutional and statutory foundations upon which settlement and housing related considerations need to be framed, within the context of a post -1994 democratic dispensation. Section 3: Policy Overview This section narrows the focus of concern to examine the Breaking New Ground (BNG) policy position of national government. Other key aspects examined are the Knysna Municipality: Interim Housing Chapter (Jan 2007) and the municipal policy on inclusionary housing approved by Council in mid 2007. Section 4: Planning Overview The development of the ISHSS takes place within a defined spatial context containing a variety of issues and challenges. Consequently this section of the report assess the contents of the Knysna Draft IDP (2006-2011) and the Knysna Spatial Development Framework. Relevant considerations are extracted from these documents, especially in so far as they provide useful direction to the challenges identified and their planning implications. 79 Section 5: Demographic and Socio-Economic Perspectives This section of the report examined, in greater detail, the demographic and socio-economic characteristics of the municipality that need to be taken specific account of in framing the multiyear sustainable settlement plan. This analysis makes it clear that poverty, unemployment and developmental backlogs are a stark reality. Section 6: Land Considerations To compliment the human/community element focused on previously, this section examined the “physical stage” upon which development challenges will find spatial expression. It examined broadly land development availability options as well as assessing the suitability of these options to accommodate new areas of settlement. Section 7: Infrastructure and Engineering Services The ability of the municipality to address future development needs is strongly influenced by the availability of such infrastructure and services. Consequently, this section of the report highlighted some of the key constraints and considerations requiring attention. Section 8: Housing Aspects Housing provision, within the context of a largely poor and expanding population, is undoubtedly at the very heart of the ISHSS. This section of the report therefore focuses on various housing issues and challenges identified in documentation and in discussions with municipal officials, representatives of the banking sector and others. Section 9: Conclusions The last phase of this report synthesised some of the key threads and considerations which will need to be upper most to guide the strategy formulation process. (b) Phase Two: Participation Phase The need for extensive participation is emphasised in the terms of reference. Consequently, two rounds of public consultations have been provided for in the formulation of the sustainable human settlement strategy. The first round of this process involved: A briefing of Ward Councillors and senior officials from the municipality; The holding of a series of public meetings with Ward Committees and the general public; Meeting with selected senior level officials. The purpose of the consultation exercise is two-fold. As regards meetings with Councillors and officials, the objective was to share the terms of reference and the process to be followed to draft a sustainable human settlement strategy. As regards public meetings, participants were requested to identify issues and concerns uppermost in their communities. Also local area sensitivities were explored for, as well as possible development solutions and housing preferences. 80 (c) Phase Three: Formulation of a Draft Sustainable Human Settlement Utilising the information and insights obtained from the first two phases described above, phase three proposes a way forward to address the needs, priorities and challenges facing the municipality. The output of this phase is the preparation of a Draft Sustainable Human Settlement Strategy. (d) Phase Four: Strategy Elaboration and Fine Tuning This phase involved the presentation of the draft strategy to departments and officials within the provincial and local government context. The purpose of this was to enable a solid understanding of the proposed strategy to be built, and to enable buy-in to be strengthened amongst public sector officials. Also comments, criticisms and other inputs were gathered during this phase of the process to enrich and improve the strategy proposed. (e) Phase Five: Public Participation (2nd Round) This second public participation phase was to enable the proposed strategy to be presented to community and other interest groups to obtain additional comments, ideas and proposals. These presentations will enable the content of the draft strategy to be tested and to develop a greater level of knowledge about, and consensus concerning the proposed multi-year housing plan. (f) Phase Six: Preparation of Final Strategy Proposals After the completion of the previous two processes the strategy is to be finalised for submission to the municipality for its final comments and revisions. Once these have been attended to the municipality will then be in a position to approve and implement the strategy proposals. 81 APPENDIX B DEFINING THE TARGET MARKET It is considered important to define the primary target market, or the core beneficiaries, of this strategy. In this regard reference is made to the approved council policy, “Defining Affordable Housing within the Greater Knysna Municipal Area”, approved in July of 2007. This document notes that the housing market in South Africa can be divided into a number of groupings based on income and affordability and on tenure options, as illustrated below. Housing Sub-markets (Figure I) OWNERSHIP HOUSING CONVENTIONAL MORTGAGE HOUSING (joint income of more than R9000/ R10 000 pm; affordability levels of more than R230 000R250 000) GAP HOUSING/ AFFORDABLE HOUSING/ LOWINCOME HOUSING (joint income of between R3500 and R9000/R10 000 pm; maximum affordability level of about R230 000 - R250 000) SUBSIDY HOUSING/ LOW-COST HOUSING (joint income of less than R3500 pm; maximum affordability level of about R50 000) RENTAL HOUSING PRIVATE RENTAL HOUSING (joint income of more than R7 000/ 8000 pm; affordability levels of more than R1800 R2000 pm) SOCIAL HOUSING (joint income of between about R2500 pm and R7000 pm; affordability levels of between about R500 and R1800 pm) INFORMAL RENTAL/ SUBLETTING (joint income of less than R2500 pm; maximum affordability level of about R600 pm) The focus of this strategy is on the lower four categories of housing need or affordability, or these described below the dotted line above. That is, on addressing the housing needs of 82 those with a maximum monthly income of R10 000, or those able to afford a home with a maximum price of approximately R300 000. These criteria will need to be annually reviewed. 83 APPENDIX C PUBLIC PARTICIPATION INPUTS During the period 8th to 30th October 2007 a total of eight public meetings were held in the various wards of the municipality. Meetings were generally very well attended with approximately 500 persons in all making their contribution to raise issues and concerns of importance in their communities. Also meetings were instructive in that a variety of useful suggestions were made which will be taken into consideration in the formulation of the settlement plan. The overview presented below will not detailed specific questions and points raised by the many participants at the public meetings. Rather, commonly occurring themes general concerns are highlighted. 1. Meeting No 1: Karatara [8.10.07] Requests to expedite the transfer of properties in Karatara to their occupants; Frustrations at attending meetings and then not witnessing any concrete delivery; A widely expressed concern that the uncertainty of obtaining ownership meant that the maintenance of houses was not taking place, thereby diminishing the asset value of resident’s properties; Concern that the earlier scheme for the development of approximately 250 houses had not proceeded, and that this project should form the basis of further housing development to be undertaken in the area; A series of residents raised concerns that with no serviced sites or housing supply having taken place within the community, young persons were unable to acquire their own homes [and were thus doubling up with their families], that there was no housing available for persons currently tied to company housing and wishing to retire, for those able to afford “gap” housing and those wishing to move from a rental situation into their own homes; Accessing services, especially water and electricity, was raised by a number of residents; Observations about meeting: There is clearly a high degree of frustration from those who consider that they are not benefiting from the housing initiatives of the municipality; The view was commonly expressed that the municipality was not listening or responding to the needs of the community. Levels of trust appear to be at a low point; High levels of financial distress were apparent in the contributions of various speakers, especially in relation to the cost of rentals and service charges. 84 2. Meeting No 2: Khayalethu Community Hall [9.10.07] Concerns raised focused very much on individually experienced housing problems including cracking in the older project houses, on-site drainage, houses poorly positioned on sites making extensions difficult, plumbing problems, small sites, accessing services and housing applications. Observations about meeting: The meeting was held in an orderly and a positive spirit and while residents raised specific concerns, there was a general appreciation for the work of the municipality in improving services and living conditions in their area; Mechanisms need to be strengthened to improve understanding within the community about who to report specific problems to. Also, adequate monitoring mechanisms need to be in place to ensure that problems raised are responded to in a timely manner. 3. Meeting No 3: Chris Nissen Primary School [11.10.07] Again, a clutch of specific problems were recorded including; cracking in some houses, leaking and drainage problems, quality of construction aspects, retaining wall issues, waiting list queries and illegal electrical connections; A series of suggestions were also offered and these included: the need to plan for additional church sites, sports fields and urban agricultural needs; the potential to consider certain identified land portions for further housing development; the need for more regular building inspections to monitor the quality of houses during their construction; areas of land potentially suited to higher density development and proposals to deliver serviced sites first and houses later as a means of speeding up delivery. 4. Meeting No 4: Rheenendal [15.10.07] A key issue emerging was a general lack of housing opportunities in the area and the fact that there had been no additional housing provision in the area for some years. This is applicable to both subsidy housing, more middle income housing and rental possibilities; The length of time applicants had had their names on waiting lists was mentioned with considerable frustration; Persons living in the Lapland area queried why they have been given access to serviced plots but have not had access to subsidies for top structures; The needs of those living in backyards was raised on a number of occasions and, specifically, their request to have access to improved services; Queries related to the waiting list were common and including those questioning the status of these lists, others who, reportedly, had been allocated more than one house, those on a previous lists but not on the current one etc.; Issues related to better communication with the municipality about matters relating to the transfer of properties, services issues and maintenance were also an aspect of concern; There is considerable sensitivity about those persons who are perceived to have sourced housing in Rheenendal without following the specified procedures. 85 Lastly, issues relating to the poor construction of houses was raised on a number of occasions. 5. Meeting No 5: Chris Hani Community Hall [16.10.07] The concern was repeatedly raised that the municipality must be firm about relocating households from their existing shacks to their new sites to avoid delaying the implementation of in-situ upgrading projects, thus impacting negatively on the living conditions of the community as a whole; Requests were voiced that the municipality will need to acquire additional land to enable the re-housing of all current shack dwellers; Difficulties in accessing water and particularly electricity were not on a number of occasions. Also dissatisfaction with the use of the bucket system was expressed; Matters relating to improved communication with the municipality were raised on a number of occasions. Observations about meeting: Given the higher densities to be found in the Dam se Bos and Nekkies areas there will be a need to relocate a higher proportion of households than in other areas. Communication efforts with the community will thus need to be strengthened to ensure that households are fully informed about relocations, the timing of these and a range of other concerns. It is apparent that there are community fears about where households will be relocated to and what will happen if people do not qualify for subsidies. It is recommended that participative planning techniques be strengthened when interacting with the area’s residents; Care needs to be taken to ensure that houses are completed and services are functional when families are moved into their new homes; A more effective system needs to be implemented to deal with the myriad of small concerns and queries which arise in all communities in transitional circumstances. 6. Meeting No 6: Masifunde Library Hall [17.10.07] A concern raised repeatedly was the length of time that it took to have a housing subsidy approved and thus to be able to obtain improved housing; A ward based housing waiting list was suggested; The need by the municipality to ensure the planning for and development of a fuller range of non-residential amenities was raised. These include play areas for children, more public open spaces, halls, crèches and clinics; The management of animals is a particularly sensitive issue in the area; Housing construction quality issues were raised frequently; Concerns about the need to strengthen communication with the municipality; General concerns about the public environment frequently relating to drainage and storm water were noted; The provision of improved housing to the Jood se Kamp residents is clearly an aspect of concern to residents; Greater attention to communication between residents generally and the municipality will need attention. 86 7. Meeting No 7: Hornlee Civic Centre [22.10.07] Considerable frustration was expressed about the length of time the community have had to wait for housing in their area; There is also a real concern that new housing delivery will not be affordable by many in need; Accessing housing finance is considered difficult and costly to afford; The provision of additional housing within Hornlee itself is given a high priority; The levels of hostility between elements within Hornlee and their representatives in Council is resulting is a breakdown of a cooperative governance relationship with the community. Levels of trust are at a low ebb. It is clear that the Hornlee community feel marginalized by the perception that “African” communities in Knysna are receiving preferential treatment in the provision of housing; The impassioned manner in which various community representatives demanded additional land for housing was noted; Requests for the consideration of land currently used for public purposes (ie sports fields) for the development of housing underscores the severity of the land issue. Observations about meeting: There is an acute need to address the variety of shelter related issues raised during the public participation process in Hornlee; Continuous efforts to build a more positive relationship within this community must receive attention in the future. 8. Meeting No 8: Smutsville Community Hall [30.10.07] There is a strong feeling amongst Smutsville residents that they have been marginalized and receive very little attention from the municipality; A desperate need for additional suitable land on which to build additional subsidy housing is evident; Concerns about certain residents having more than one house were noted; Frustrations about the length of time spent on the municipal waiting list were expressed; Quality of construction was raised as a concern; Queries regarding the upgrading of backyard structures. 87 APPENDIX D POTENTIAL LAND DEVELOPMENT OPTIONS 1. Heidevallei The Heidevallei land is located north of the N2 National Road between Upper Old Place and Nekkies, comprising of Erf 7492 and portions of 243 and 255. The Heidevallei site is owned by Knysna Municipality and subject to land claims. Knysna Municipality has resolved to develop this strategic land portion for predominantly housing purposes but also some mixed use purposes. (a) Size The Heidevallei site is approximately 99 ha in extent with approximately 50 hectares suitable for urban development. (b) Carrying capacity at various density scenarios (low, medium and high) The different housing precincts that were identified for the Heidevallei site include: Precinct 1 Size precinct 14 ha Precinct 2 18,5 ha Precinct 3 8 ha Precinct 4 4 ha Precincts of Type of housing Market Based High Value Housing (low density ±10u/ha) High density medium income housing (± 30u/ha) Subsidised housing (60 units / ha) Social housing (40 units / ha) Estimated of units 140 units number 555 units 480 units 160 units 88 (c) Map showing land parcel (d) Analysis of land portions Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints (e) Comments Locality between existing urban areas (Nekkies, Upper Old Place and Knysna Industrial area). North of N2 National Road Very accessible, located on N2 National Road. Development may require traffic signals (traffic lights) on the N2. Undulation topography. Some areas steeper than 1:4. These areas have already been excluded from the proposed housing precincts High visual impact. Architecture needs to be carefully addressed. Various environmental constraints. Steep slopes, flood plains, indigenous forest, etc. These constraints have been taken into consideration when the precinct plan was developed. Planning/township establishment status of land portions An application for guide plan amendment has been submitted to the local authority for consideration. This guide plan amendment application must still be approved by the local authority and then environmental authorisation will be required and a rezoning and subdivision. It could take approximately 24 months to obtain the necessary development rights for the land portion. 2. Northern areas (Flenters, Robololo & Concordia) 89 These represent existing approved housing projects with virtually no expansion potential. 3. Kruisfontein (a) Size The Kruisfontein plantation (Farm 523) is approximately 114 ha in extent. This land portion is owned by MTO Forestry. The utilisation of this land portion for housing purposes is feasible and should receive serious consideration. In order to create a viable settlement, consideration should be given to develop mixed uses and even some light industry. (b) Map showing land parcel (b) Carrying capacity at various density scenarios (low, medium and high) Density Estimated number 90 Low Density (10 units / ha) Medium Density (25 units / ha) High Density (50 units / ha) of units on 60ha 600 units 1500 units 3000 units (d) Analysis of land portions Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints Comments The site is located directly east of Khayaletu and north of the N2 National Road. The site is an ideal opportunity for housing suited to a range of different income levels. Access via Sonqayi Street in Khayaletu as well as other streets in Khayaletu. The site contains various slopes that are steeper than 1:4. Ridgeline is visually prominent and sensitive as well as directly visible from the N2 National Road. Development should not be located on the ridgeline The majority of this site is covered by plantation. Various slopes are steeper than 1:4 and considered too steep for development. (e) Planning/township establishment status of land portions This portion is zoned as an agricultural zone. In order to obtain development rights on this portion, an application for guide plan amendment has to be lodged to the Provincial Government and environmental authorisation in terms of the National Environmental Management Act, 1998 (Act 107 of 1998) will be required. After environmental authorisation has been obtained from the Provincial Department of Environmental Affairs and Development Planning, an application for rezoning and subdivision has to be submitted to the local authority. Such an application could take approximately 18 -24 months. Of concern is the fact that this land portion is still owned by MTO Forestry and thus negotiations would need to be concluded as soon as possible if this land is to brought into the development cycle. 91 4. Windheuwel (a) Size The Windheuwel plantation (Erven 1550 – 1554) is approximately 114 ha in extent, of which approximately 48,2ha is regarded as being developable (ie. slopes, vegetation and drainage). This land portion is owned by MTO Forestry who have given an indication to Knysna Municipality that this land could be made available. The old Eastford Welbedacht Draft Structure Plan has earmarked this area for light industrial purposes, but during 200 a local framework plan for this area was prepared. This plan recommended the provision of a range of housing opportunities, as well as commercial activities. Given the limited services infrastructure in this area, the implementation of these recommendations has not proceeded further. (b) Carrying capacity at various density scenarios (low, medium and high) Precincts Subsidised housing Social Housing Middle Income housing Size precinct 13 ha of 40 units / ha Estimated number of units 520 units 4,38 ha 30 units / ha 131 units 8,15 ha 20 units / ha 163 units Density (c) Analysis The compilation of the framework plan has taken certain aspects environmental informants and access into consideration. such Should the municipality be able to provide services in this area, recommendations of the Windheuwel framework plan could be implemented. as the 92 (d) Map showing land parcel (e) Planning/township establishment status of land portions This portion is zoned for agricultural purposes. In order to obtain development rights on this portion, an application for guide plan amendment has to be lodged to the Provincial Government and environmental authorisation in terms of the National Environmental Management Act, 1998 (Act 107 of 1998) will have to be obtained. After environmental authorisation has been obtained from the Provincial Department of Environmental Affairs and Development Planning, an application for rezoning and subdivision has to be submitted to the local authority. Such an application could take approximately 18 24 months. 93 It should also be noted that this land portion is still owned by MTO Forestry. This land will have to be transferred to Knysna Municipality in order to implement the recommendations of the Windheuwel local framework plan. a. Hornlee Erven 3002 & 3326 & 3327 (Own Haven) (a) Size The extent of this project is approximately 1,9 ha and allows for approximately 112 apartment units (gross density of 59 units per ha). (b) Development proposal The development proposal entails a mix of rental and ownership accommodation. The diagram below illustrates the development proposal. (c) Analysis of land portions The intended development area is very accessible in terms of public transport as Vigilance Drive is the main bus route between George Rex Drive and Hornlee. (d) Planning/township establishment status of land portions This project entails the consolidation of three municipal owned properties of which one property is zoned Public Open Space. Phases 1 & 2 have been approved and the developer could access the site and commence with construction. Phase 3 (12 units) is subject to environmental authorisation by the Department of Environmental Affairs and Development Planning. b. Hornlee Erf 3339 94 (a) Size Erf 3339 is approximately 10,5 ha in extent of which approximately 6ha is regarded as being developable areas (slopes and vegetation). (b) Carrying capacity at various density scenarios (low, medium and high) Density Low Density (10 units / ha) Medium Density (25 units / ha) High Density (60 units / ha) (c) Estimated number of units on 5,1ha 51 units 127 units 306 units Map showing land parcels (d) Analysis of land portion Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints Comments The site is located between Hornlee and the Fisherhaven neighbourhoods. The site presents an ideal opportunity for infill housing between lower and higher income groups. Access via Hornlee (Casino & Parade Street) and Fisherhaven (Springer Street cul de sac) The site contains various slopes that are steeper than 1:4. Approximately 6 ha of this site is regarded as being developable. The southern boundary of the site is located on a ridgeline with a crest of approximately 120m above sea level. Development along the southern boundary could have a negative visual impact and should be dealt with caution. The majority of this site is disturbed with minimal sensitive environmental informants. 95 (e) Planning/township establishment status of land portions This portion is zoned as a public open space. In order to obtain development rights on this portion, the public space has to be formally closed and such an application will require environmental authorisation in terms of the National Environmental Management Act, 1998 (Act 107 of 1998). After environmental authorisation has been obtained from the Provincial Department of Environmental Affairs and Development Planning, an application for rezoning and subdivision has to be submitted to the local authority. Such an application could take approximately 18 -24 months. c. (a) Hornlee Erf 3627 Size Erf 3339 is approximately 3,2 ha in extent of which approximately 1ha is regarded as being developable areas (slopes and vegetation). (b) Carrying capacity at various density scenarios (low, medium and Density Low Density (10 units / ha) Medium Density (25 units / ha) High Density (60 units / ha) high) Estimated number of units on 1ha 10 units 25 units 60 units 96 (c) Map showing land parcel (d) Analysis of land portions Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints Comments The site is located between Hornlee and the Fisherhaven neighbourhoods. The site offers an ideal opportunity for infill housing between lower and higher income groups. Access via Hornlee (Casino & Parade Street) and Fisherhaven (Springer Street cul de sac) The site contains various slopes that are steeper than 1:4. Approximately 6 ha of this site is regarded as being developable. The southern boundary of the site is located on a ridgeline with a crest of approximately 120m above sea level. Development along the southern boundary could have a negative visual impact and should be dealt with caution. The majority of this site is disturbed with minimal sensitive environmental informants. (e) Planning/township establishment status of land portions This portion is zoned as a public open space. In order to obtain development rights on this portion, the public space has to be formally closed and such an application will require environmental authorisation in terms of the National Environmental Management Act, 1998 (Act 107 of 1998). After environmental authorisation has been obtained from the Provincial Department of Environmental Affairs and Development Planning, an application for rezoning and subdivision has to be submitted to the local authority. Such an application could take approximately 18 24 months. 97 d. Hornlee Erf 1393 (a) Size Erf 1393 is approximately 116 ha in extent of which approximately only 28,1ha is regarded as being developable areas (slopes and vegetation and drainage). The northern facing slope (facing Hornlee) of this property is extremely steep and considered too steep for development. The developable nodes of this site are located on the southern facing slope with access from the Rexford and Hunter’s Home neighbourhoods. It is therefore recommended that development on this site focuses on mainly middle density, middle income housing. (a) Carrying capacity at various density scenarios (low, medium and high) Density Low Density (10 units / ha) Medium Density (25 units / ha) Estimated number units on 1ha 281 units 702 units of (c) Map showing land parcel (d) Analysis of Land Portions Analysis Criteria Locality Accessibility Topography Visual Impact Comments The site is located directly east of Hunter’s Home between Hornlee and Hunter’s Home. The site forms an ideal opportunity for infill housing between middle and higher income groups. Access via Hunter’s Home The site contains various slopes that are steeper than 1:4. Prominent watershed between Hunter’s Home and Hornlee. Ridgeline is visually prominent and sensitive. 98 Environmental Constraints Development should not be located on the ridgeline The majority of this site is disturbed with minimal sensitive environmental informants. Various slopes are steeper than 1:4 and considered too steep for development. (e) Planning/township establishment status of land portions This portion is zoned undetermined. In order to obtain development rights on this portion, an application for environmental authorisation in terms of the National Environmental Management Act, 1998 (Act 107 of 1998) will be required. After environmental authorisation has been obtained from the Provincial Department of Environmental Affairs and Development Planning, an application for rezoning and subdivision has to be submitted to the local authority. Such an application could take approximately 18 -24 months. e. Other Hornlee Erven In early 2007 NMA undertook research into further land parcels in expediency these sites are listed below. 17. Hornlee. For Erven, 4824, 4825, 4693, 7482 bordering onto Bluebell Street. Erven 4712, 4713 to 4723 Erf 4774 – 4776, 4778 to 4798 Erven 3669, 3670, 3642, 4822 Erven 4827 to 4846 Sedgefield – Sizamele Smutsville Given the topography and physical characteristics of Sedgefield (slopes, geomorphology, hydrology), Sedgefield has limited space for expansion. Except for a portion of Erf 3813, the Smutsville Sizamele area has no space for expansion. The northern portion of this site is already occupied by informal housing. (a) Size The developable portion of Erf 3813 is approximately 1 ha in extent. (b) Carrying capacity Density Low Density (10 units / ha) Medium Density (25 units / ha) High Density (60 units / ha) Estimated number units on 1ha 10 units 25 units 60 units of Given the limited land available for housing purposes in Smutsville / Sizamele, it is recommended that any housing in this area should be high density housing. 99 (b) Analysis of land Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints (c) Comments Located at the northern entrance of Smutsville north of Melkhout Street. The site is very accessible – bordered by two streets The site is flat and contains no ridge lines or valleys. Limited visual impact. Limited environmental impacts Planning/township establishment This property is currently zoned for educational purposes. Should it be decided that a housing project be established on a portion of this property, the property will have to be zoned for general residential purposes. 18. Sedgefield Station Infill housing precinct The Draft Knysna SDF of July 2006 has recommended that a portion of land surrounding the Sedgefield station could be utilised for an infill housing project. This land portion is a portion of the expropriated N2 National bypass road. More recent planning initiatives have recommended the possibility of re-aligning the existing N2 National Road to the expropriated area, and to de-proclaim the existing N2 National road through Sedgefield. A portion of the de-proclaimed National Road could then be used for a mixed use business and housing 100 development.The map below shows an extract from the Draft Knysna SDF applicable to the Sedgefield area. 19. Ruigtevlei (Portion of Portion 129 of the Farm Ruygte Valley No 205) Given the fact that Sedgefield has basically no housing extension opportunities, the provision of alternative areas for housing purposes have to be investigated. Knysna Municipality has previously appointed consultants to investigate the development potential of areas in the Ruigtevlei area for housing purposes. Should a new area be established in the Ruigte Valley area, consideration should be given to establish a sustainable and viable settlement (e.g. range of housing opportunities and economic opportunities). A potential area has been identified in an area where a place of worship and school already exists. This area is located south of the Ruigte Valley Road and north of the expropriated bypass. This area is still owned by Kota Sawmills and Knysna will have to enter into a land availability agreement in order to access this land portion. (a) Size The area under consideration is approximately 40,5 ha in extent. 101 (b) Carrying capacity at various density scenarios (low, medium and high) Density Low Density (10 units / ha) Medium Density (25 units / ha) Estimated number of units on 40,5ha 400 units 1010 units (c) Map showing land parcel (d) Analysis of land portions Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints Comments The site is wedged between the expropriated bypass and the Ruigte Valley Road, surrounding an existing school and place of worship. Accessible from Ruigte Valley Road, limited accessibility from Sedgefield. Limited accessibility isolates area from Sedgefield town. The site contains various slopes that are steeper than 1:4. Visible from Ruigte Valley road, an acknowledged tourist road. Any development should be carefully treated to mitigate any visual impact. The majority of this site is disturbed with exotic pine plantations. Various slopes are steeper than 1:4 and considered too steep for development. 102 (e) Planning/township establishment status of land portions This portion is zoned for agriculture. In order to obtain development rights on this portion, an application for guide plan amendment has to be lodged to the Provincial Government and environmental authorisation in terms of the National Environmental Management Act, 1998 (Act 107 of 1998) will be required. After environmental authorisation has been obtained from the Provincial Department of Environmental Affairs and Development Planning, an application for rezoning and subdivision has to be submitted to the local authority. Such an application could take approximately 18 -24 months. Of concern is the fact that this land portion is still owned by MTO Forestry and consequently would have to be secured in order for it to be developed. 20. Keurhoek / Rheenendal A housing project for Keurhoek was initiated by Knysna Municipality during 2003. This initiative was halted as a result of insufficient services capacity. There are however various portions of land that are regarded as being suitable for housing purposes. (a) Size Precincts Size of precinct Ownership Units at medium density (30 u / ha) Precinct 1 Precinct 2 Precinct 3 Precinct 4 Precinct 5 Precinct 6 Precinct 7 1,2 ha 1,5 ha 0,8 ha 5,7 ha 3,5 ha 7 ha 12,6 ha Knysna Municipality Van Rheenen Knysna Municipality Pansy Shell Investments Knysna Municipality Van Rheenen Van Rheenen 36 units 45 units 20 units 171 units 105 units 210 units 378 units Units at high density (50 u / ha) 60 units 75 units 40 units 285 units 175 units 350 units 630 units (b) Map showing land parcels 103 (c) Analysis of Land Precinct 1 Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints Comments West of existing Rheenendal settlement between settlement and treatment works. Very accessible. Normal extension of Lentegeur Street. Moderate northern slope Limited Visual Impact Possible indigenous forests along northern boundary. 104 Precinct 2 Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints Precinct 3 Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints Precinct 4 Analysis Criteria Locality Comments Southwest of existing Rheenendal settlement Relative good accessibility via Lentegeur Street over municipal land Moderately southeastern sloping topography Limited visual impact Possible indigenous forests along eastern and southern boundary. Comments South of Lentegeur Street and west of Accessible via Lentegeur Street or xxx Street Moderately southern sloping Limited visual impact Possible drainage course, Environmental Constraints Comments Directly west of existing Rheenendal neighbourhood Direct access via Murray Street Very flat Potential visual impact as site is abutted by the Rheenendal Road, an identified scenic road. Housing development will require special focus on aesthetical appearance No environmental constraints Precinct 5 Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints Comments West of existing Rheenendal Area Direct access via Pine Street Moderately southern slopes Limited visual impact Steeper slopes to the southern portion of the site Accessibility Topography Visual Impact Precinct 6 Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints Precinct 7 Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints Comments South west of existing Rheenendal neighbourhood Direct accessibility from Rheenendal Main Road Moderately western sloping Limited visual impact Bordered by indigenous vegetation. Bordered by steep slopes Comments Directly east of existing Rheenendal neighbourhood Direct access from existing neighbourhood Moderately south easterly sloping Limited visual impact Water course on north eastern part of precinct. Bordered by indigenous forest. 105 (d) Planning/township establishment status of land portions All of the above precincts have no township development status. Any development will require applications for environmental authorisation, guide plan amendment and township development. 21. Karatara (a) Size The draft Karatara Precinct Development Plan identified a new area for lower density housing to the east of the “Welsynsdorp” between the this settlement and “Bosdorp”. This area should also accommodate the new Eden University and is approximately 51,1 ha in extent. It is however recommended that a limited number of housing be provided in the Karatara area. Housing should only be provided if sufficient economic activities exist in the area to provide employment opportunities for local residents. This plan also identified an area for higher density, “infill” housing within the existing “Welsynsdorp” of approximately 3,6 ha in extent. (b) Carrying capacity at various density scenarios (low, medium and high) Area (ha) Density 51 ha 3,6 ha 10u / ha 30u / ha Estimated of units 510 units 336 units number 106 (c) Map showing land parcels (d) Analysis of Land Low Density development area Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints Comments Between Karatara “Welsynsdorp” and “Bosdorp” Accessible from main access road into Karatara. Moderately undulating Limited visual impact Pine Plantation. Limited Environmental Impact. High Density development area Analysis Criteria Locality Accessibility Comments Located within Karatara “Welsynsdorp” Very accessible within existing road networks 107 High Density development area Analysis Criteria Topography Visual Impact Environmental Constraints Comments Flat Limited Visual Impact No environmental impact Table 23: Karatara, Analysis (e) Planning/township establishment status of land portions High Density Area No Environmental Impact Assessment required Rezoning Low Density Area Environmental Impact Assessment Required Rezoning and subdivision Guide Plan Amendment required Table 24: Karatara, Establishment status of Land portions 22. Springveld (a) Size Approximately 13,9 ha in extent. (b) Carrying capacity at various density scenarios (low, medium and high) According to the Springvale Framework Plan, the community at Springveld would prefer a low density development with a rural ambiance. Approximately 82 erven with an average size of ± 878m² could be provided on this site. MTO envisages relocating other forestry settlements to Springfontein. (c) Map showing land parcel (d) Analysis of land 108 Analysis Criteria Locality Accessibility Topography Visual Impact Environmental Constraints Comments Directly South of the N2 National Road, approximately 3,5 km east of the Uniondale Road intersection with the N2. The site is very accessible – Located on the N2 National Road The site is flat and contains no ridge lines or valleys. The site is not located on a ridgeline but abuts the N2 National Road, a scenic drive, hence, potential visual impact. The natural systems on the site are completely disturbed, with no indication of the presence of any vegetation or any other feature worth conserving. (e) Planning/township establishment status of land portions No formal township establishment processes have commenced on this land portion. It could take two years or more to obtain the necessary township establishment approvals. 109 (f) Planning/township establishment status of land portions This portion is zoned for agricultural purposes. In order to obtain development rights on this portion, an application for guide plan amendment has to be lodged to the Provincial Government and environmental authorisation in terms of the National Environmental Management Act, 1998 (Act 107 of 1998) will have to be obtained. After environmental authorisation has been obtained from the Provincial Department of Environmental Affairs and Development Planning, an application for rezoning and subdivision has to be submitted to the local authority. Such an application could take approximately 18 -24 months. It should also be noted that this land portion is still owned by MTO Forestry. 110 APPENDIX E SETTLEMENT AND HOUSING DEVELOPMENT PRINCIPLES Principle Definition Source/s Equitable access or equity Access to a housing benefit without discrimination (subject to meeting qualifying criteria) Housing Act Housing Code Knysna Municipal policy Adequate housing Refers to the concept of adequate housing as per Section 26 of the Constitution of the Republic of South Africa Constitution Knysna Municipal policy Provision of housing which is “integrated” Spatially, economically and socially integrated to enable communities to develop to their maximum potential Housing Act Terms of Reference “Sustainable” housing provision Housing which is Housing Act provided in the context of Housing Code integrated settlements Terms of Reference which are environmentally, physically, economically, financially and socially sustainable 111 Subsidy assistance directed at targeted groups Limited public sector Housing Act housing financial Knysna Municipal policy resources directed at those considered to have the greatest need for such assistance Consultation Those affected by the Housing Act application of policy must Municipal Systems Act be consulted prior to the implementation of policy Good Governance Proper use and Housing Act application of public Housing Code resources and monies as required by PMFA, MMFA etc. by elected representatives and appointed officials. Refers also to the concept of accountability Empowerment Scarce public and (including skills transfer) private resources (including land, finance, delivery capacity etc.) should be used to maximum effectiveness to achieve social delivery objectives Housing Act DFA Municipal Systems Act NEMA Knysna Municipal policy 112 Partnerships Recognising the role Housing Code played by many actors BNG involved in the delivery Terms of Reference of housing and the obligation of Government to build productive delivery partnerships with the community and private sectors, NGO’s, specialist housing delivery entities etc. Choice Individuals should have a choice of housing types and tenure arrangements to satisfy their need Housing Code Quality Housing must be built to acceptable levels of quality Housing Code Affordability The housing alternatives provided to address people’s needs must be affordable to them Housing Code Knysna Municipal policy Innovation Housing policy should be implemented with innovation, creativity and diversity in terms of the housing products provided and the living environments created Housing Code Terms of Reference 113 Transparency, Accountability and Monitoring Housing policy should be implemented in transparent manner. Also suitable monitoring mechanisms are essential to ensure the housing providers and the responsible authorities are held accountable for their performance against standards and targets Housing Code Terms of Reference Wealth Creation Enabling the recipients of state housing benefits to utilise those benefits to maximise wealth generating possibilities by the use of the asset in a flexible manner Departmental Strategic Priorities BNG Developmental impact of To maximise the social housing delivery (ie job and economic impacts creation) of housing construction activities to address poverty and unemployment considerations Departmental Strategic Priorities BNG Alignment of Housing Institutions Departmental Strategic Priorities To attempt to maximise the effectiveness and efficiency of housing delivery efforts by aligning and synchronising the policies, plans and budgets of housing delivery institutions Approved in terms of resolution: MC6.II.14/05/08 114
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