National Lotteries Board defends conference funding

The allocation was in accordance with principles that apply as to how the funds from this category are allocated and disbursed.

Nevhutanda says that a comprehensive list of all NLDTF grants, made until 31 March 2011, was shared during the national stakeholder indaba, hosted by the NLB in June 2011. The question thus arose from information that was presented by the NLB and the NLB responded to the question through the minister of trade and industry, Dr Rob Davies.

The Lotteries Act No 57 of 1997, which makes provisions for four separately operated sectors eligible for funding, governs allocations from the NLDTF. These sectors are charities (45%), arts, culture and national heritage (28%), sport and recreation (22%) and miscellaneous purposes (5%).

Requirements for funding

The requirements for funding from the NLDTF is that applicant organisations are registered as non-profit organisations, have annual financial statements, founding documents and a project budget and implementation plan.

Each of the sectors is further governed by a set of its own requirements, which rules out the possibility of organisations and projects that belong in one sector, accessing funding from one of the other three sectors. Miscellaneous purpose grants are made for projects that fall outside the charities, sport and arts and culture focus areas.

COSATU's request for NLDTF funding was for a conference, which included the organisation's 25th anniversary commemorations in December 2010. The grant was not for day-to-day operations but specifically for artists, stage and sound, venue and local groups. The union applied for R6 million but was only allocated R1 million.

The auditor-general acts as the NLB auditor. The grant made to COSATU falls into the financial year, which the auditor-general is currently auditing.

Other conference funding

Nevhutanda explained that other conferences have been funded over recent years through the miscellaneous purposes sector and identified in the relevant NLB Annual Reports. These include:

• Congress of the Federation of Unions of South Africa (FEDUSA): R611 000
• Biannual National Assembly of the Disabled People of South Africa: R4 million
• South African Social Work Education Institute: R950 000

• Human Rights and Democracy Awards project of the Commission for Gender Equality: R1 million.