MDDA

1
MDDA

• Annual Report
• Presentation to Parliament
• 04 November 2005

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• Everyone has the right to freedom of expression,
  which includes
• Freedom of the press and other media
• Freedom to receive or impart information or
  ideas
• South African Bill of Rights

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The MDDA shouldCreate an enabling environment
for media development and diversityRedress
exclusion and marginalisation of disadvantaged
communities.from access to the mediaPromote
media development and diversity by providing
support primarily to community and small
commercial mediaPreamble MDDA Act
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Vision

• Each and Every South African citizen should have
  access to a choice of a diverse range of media

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Mission

• The MDDA is a development agency that aims to
  assist in building an environment where a
  diverse, vibrant and creative media flourishes
  and reflects the needs of all South Africans

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How

• Grant support to non profit and small commercial
  media projects
• Conducting and funding research
• Facilitating capacity building in the sector

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Background

• MDDA was established through legislation in 2002
• The Board was appointed in January 2003
• The MDDA is a public private partnership between
  the South African government and major media
  entities in South Africa
• Staff were appointed from September 2003
• First approvals of grant applications were made
  in January 2004

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Annual Report

• The annual report covers the period 1 April 2004
  31 March 2005

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Highlights of latest annual report

• MDDA received an unqualified financial report
  from the Auditor General
• MDDA signed funding agreements with all private
  partners
• MDDA supported up to 66 different projects

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MDDA support guidelines

• Regulations set out criteria for support
• MDDA provides
• mentoring support. We have established a database
  of mentors with a range of skills
• support for once off projects (e.g. equipment, 6
  months start up costs)
• Ongoing support for up to three years for non
  profit organisations

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Supporting media 2004/2005

• Approved support for 51 different media projects
  around South Africa during financial year
• Funds were earmarked for a further 15 community
  radio initiatives.
• MDDA managed disbursement of funds to a further 8
  projects provided grants in previous financial
  year
• Total from 1 April 2004 31 March 2005
• 66 projects supported
• Total funds approved R8.7m

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Support breakdown
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Capacity Building 2004/2005

• 160 different community and small commercial
  media organisations attended three workshops on
  marketing and advertising co-hosted by the MDDA
  with AMASA and AMF
• MDDA gave bursaries to 21 projects to attend
  media management courses

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Money Matters
MDDA funders

• Government
• Caxton CTP Ltd
• Electronic Media Network Ltd (M-Net)
• Independent Newspapers
• Johncom

• Kagiso Broadcasting
• Media 24 Ltd
• Midi TV (etv)
• Primedia Broadcasting
• SABC

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Money matters cont

• Actual income received R14.2m (incl interest)
• Income (including debtors raised) R17.8m
• Funding agreements state print and broadcast
  partners could disburse 1st years income in two
  tranches
• 50 up front
• A further 50 after 9 months

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Funds expended

• At end of financial year MDDA had R14.7m
  remaining in bank made up of
• R8.2m grants accrued to be disbursed in tranches
  over up to three years
• R5.6m surplus made up of funds remaining from
  broadcast and print partners to be expended by
  August 2005

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Regulatory compliance

• Regulations cap administration at 25 of total
  budget
• MDDA spent 23 (excl debtors raised) or 18 (incl
  debtors raised) on administration including
  capital expenditure
• Met all regulatory requirements on division of
  grant funds

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Governance

• MDDA Board has met quarterly
• Exco established and has met regularly
• Audit Committee in place
• Internal Auditors appointed (Sizwe Ntsaluba (plc)
• All policies in place
• Board and staff codes of conduct in place

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Operations

• MDDA has developed a grant making
• cycle to ensure risk management and ongoing
  support of projects

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Organogram

• 5 project staff and 4 administration staff

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April 2005 onwards

• A total of R8.4m has been allocated in support
  during this financial year
• 20 new projects have been awarded support
• Earmarked funds to assist up to 10 newly licensed
  community radio stations to get on air
• Conducted road shows in all nodal points together
  with ICASA to ensure awareness of licensing and
  MDDA processes

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April 2005 onwards

• Total number of projects supported since January
  2003 72
• Support earmarked for a further 25 projects
  (newly licensed community radio stations)

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April 2005 onwards

• MDDA has supported/initiated following projects
• Resource mobilisation workshops
• Advertising roundtable to develop strategies to
  gain access to more advertising
• Research and roundtable into strategies to
  resolve challenges in distribution and printing
• Working with MAPPP Seta to explore development of
  management course for small media projects

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Other projects this financial year

• Research with SABC, Sentech and the Department of
  Communications into communities in South Africa
  who do not receive a public radio station
• Developing marketing and advertising tool kits

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Other projects this financial year

• Conducting feasibility study into low interest
  loans
• Appointment of new Board members from January
  2006

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Conclusion

• Thank you