Delays by MEC Hlophe to process NPO funding applications will severely affect vulnerable Gauteng residents

Issued by Bronwynn Engelbrecht MPL – DA Gauteng Spokesperson for Social Development
11 Mar 2024 in Press Statements

Gauteng Non-Profit Organisations (NPOs), which provide much-needed services to the most vulnerable residents, have once again been let down by the Department of Social Development. The business plans submitted by NPOs have still not been approved by the department, and if they are not approved urgently, NPOs will not receive funding for the new financial year.

This funding is meant to provide food, shelter, and social services support to the most vulnerable residents of this province. This is a repeat of what happened last year when the department withheld funding for hundreds of NPOs. After intense negotiations initiated by welfare organisations and assisted by the Democratic Alliance (DA), much-needed finance was eventually provided.

In the past, the call for business plans by the department was done early in October, and the preliminary adjudication process will be concluded by the end of November. This financial year, the call for business plans only took place in November and immediately started creating uncertainty in the industry.

The MEC for Social Development, Mbali Hlophe announced that an independent panel of adjudicators would be appointed by 7 January 2024, that would adjudicate all submitted business plans. This process was meant to be completed by 28 February 2024. There has been no clarity on who has been appointed to sit on this adjudication panel, what criteria will be used to adjudicate an NPO applying for funding, or how a reduced funding model will be applied. This whole process is shrouded in mystery.

One NPO submitted seven business plans in line with the request for proposals at the Department of Social Development’s Provincial Head Office on 20 November 2023. To date this NPO has not had any correspondence from the department adding to their severe concern for the future of the 600 children that they care for as well as the 60 plus staff members.

NPOs play a crucial role in safeguarding the most vulnerable in our society who are affected by issues like substance abuse and gender-based violence (GBV).

Once again, this government has shown it has no compassion for the vulnerable, only empty promises. The DA will rescue the vulnerable by ensuring that the money from Treasury is provided to reputable NPOs, who are the custodians of our defenceless citizens. These NPOs need to be protected and given all the support they need to remain sustainable.

It is unacceptable that the MEC is intimidating NPOs by saying that they should stop levelling allegations against the department. These NPOs are now in limbo, as they do not know what the future holds for them.

The DA will continue to put pressure on MEC Hlophe to conclude the adjudication process of the business plans of the NPOs as a matter of urgency.

A DA government will ensure that the adjudication process of the business plans submitted by the NPOs is concluded well before the start of the new financial year. This will allow NPOs to be strategic in their planning process to be able to raise additional funds if needed to ensure the sustainability of their essential organisations.