National Lotteries Board

1
National Lotteries Board

• Presentation to Portfolio Committee on Arts
  Culture

2
Presentation Outline

• Regulatory Framework
• Governance Structure
• Functions of the Board
• Functions of the Distributing Agencies
• Strategic Objectives of the NLB
• Strategic Objectives of ACENH Funding
• Beneficiary Categories
• Strategic Focus
• Interventions Equitable Distribution
• Impact of Funding
• Allocations per Province Sector
• Questions/Discussions

3
Regulatory Framework

• The National Lotteries Act establishes the
  National Lotteries Board
• Sets up the process for awarding the licence
• Establishes the National Lottery Distribution
  Trust Fund (NLDTF)
• Sets up the process of Distribution
• Sets up process for Monitoring Regulating
• Private Society Lotteries
• Promotional Competitions

4
Governance..Structure
NGOs CBOs

Applications
REGULATOR Monitors activities through Licence
NLB
Central Applications Office
Gidani
NLDTF
Weekly transfer
Operates the National Lottery
5
28
0
45
22
DA Charities
DA Art Culture
DA Sport
DA RDP
DA Misc
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Functions of the Board

• Advise the Minister
• on the issuing of Licence/s
• on the percentages allocated to good causes
• on the efficacy of Legislation related to
  Lotteries
• Protection of Players
• Maximize proceeds to good causes
• Administer NLDTF
• Monitor Regulate Other Lotteries
• Manage the Central Applications Office

6
Functions of Distributing Agencies

• Appointed by the Minister of Trade Industry for
  a period of 5 yrs
• Develop criteria and guidelines for allocation of
  funding as directed by the Minister
• Adjudicate applications for funding
• Review project progress-and site visit reports

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Strategic Objectives of the NLB

• Improve effectiveness of funding from the NLDTF
• Strengthen Compliance and Regulation
• Explore Alternative Revenue Streams for NLDTF
• Improve the Image and Publicity of the Board and
  NLDTF
• Improve Governance

8
Strategic Objectives of ACENHDA

• support for initiatives designed to protect and
  promote traditional knowledge and cultural
  expressions
• promotional work of arts and craft , literature,
  theatre, music , dance and festivals.
• development and preservation of cultural heritage
  and environment.

9
Beneficiary Categories

• NGOs
• Section 21 Companies
• Non-Profit Trusts
• PBOs / CBOs
• Universities
• Parastatals
• Municipalities
• Schools

10
Strategic Focus

• Disabled people and women the sector has
  identified this as a major area that needs
  funding, given inter alia the fact that women and
  the disabled have contributed in the sector
  equally as their counterparts over the past few
  years
• Equitable distribution Attempts to ensure 50/50
  rural/urban split have been intensified-hampered
  by large number of non-compliant applications in
  rural areas

11
Interventions to foster equitable distribution

• National Road shows capacity building workshops
• Regional Offices roll-out
• Partnerships
• New Regulations published in July 2010 which
  prescribes minimum allocation of 50 to
  identified priority areas with big emphasis on
  rural areas

12
Impact of Funding

• Total allocation to date for 2010/2011
  R766,941,172.94
• Disbursed to date (2010-2011) R875,330,444.79
• Most of the funding still goes to what was
  previously known as the hubs of Arts and Culture
  as Gauteng, Western Cape and KZN.
• With the latest NLDTF regulations of 20 July
  2010 the DA is putting more effort to fund
  provinces with less allocations
• Legacy project for 2010 FIFA World Cup have been
  funded up to R166,960,959.77 for projects within
  the Sector

13
Allocations 1Apr 10- 3 Feb 11
Province Provincial Spread () Provincial Spread (R)
     
Eastern Cape 7 R51,644,912.89
Free State 1 R 8,037,469.28
Gauteng 34 R259,445,159.92
KZN Natal 11 R 86,800,830.79
Limpopo 2 R 15,628,181.00
Mpumalanga 3 R 26,808,666.40
Northern Cape 0.5 R 4,483,128.11
North West 0.4 R 2,778,679.70
Western Cape 20 R 60,346,459.00
Other calls 22 166,960,959.77
     
 Total 100 R 766,941,172.94
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Challenges..distribution of funds

• Equitable distribution
• First come, First served adjudication
• High decline rate
• Lack of/Inadequate impact measurement
• Operational model
• Turnaround times

15
QUESTIONS/DISCUSSION