COUNTY HOUSING CORPORATION SUMMARY REPORT.

Introduction

 In the year 2017, the Government of Kenya identified four main pillars of development namely: Food security, Affordable housing, manufacturing and universal healthcare coverage commonly known as the Big 4 agenda derived from the Kenya vision 2030. Under the 2010 Kenya Constitution, housing is a human right under article 43 while the Agenda 2030 of the United Nations on sustainable development goals (SDGs) also provides for under SDG11 sustainable cities and communities. There have been consistent efforts to improve housing delivery and revenue collection by the County Government of Uasin Gishu. This will be achieved, in part, through the following schemes: Tenant Purchase, outright sale, commissions based agency, rural and peri-urban housing loans and rental housing. The mandate of the department as per the Constitution of Kenya, County Government Act and CIDP 2018-2022 is to among others provide affordable and adequate housing. 

However, the County has also encountered a number of challenges key among them being low expansion, litigations that have hindered rent review and collection as well as inadequate funds to revamp the estates in order to better utilize the available space.

The County Government through the Housing policy and the Uasin Gishu Housing Corporation Bill seeks to establish the Uasin Gishu County Housing Corporation (CHC) as part of ways to revitalize the housing sector in order to guarantee the right to housing by the residents. This is in line with the National Government structure that established the National Housing Corporation (NHC) through the Housing Act Cap.117. The Housing Act is currently being amended through The Housing Amendment Bill, 2021 to align the housing to the constitution of Kenya. Once established the Corporation will be a body corporate with its mandate as provided in the Uasin Gishu Housing Corporation Act.

Situation Analysis

Currently the function is undertaken by the Department of Lands & Housing which, through the section of housing, manages 21 estates categorized into single, one and three bedroomed units. The department collects house rent as a revenue stream for the County. The revenues from the County housing are lower than its potentials. 

Some of the achievements of the department include: renovation of County houses, fencing of county estates and redevelopment of county estates. This has led to improvement of the condition of the houses and increased security. The department has prepared a master plan that will accommodate 380 units of one bedroom and two bedroom houses that will be constructed at an estimated  cost of Ksh.600 Million.  During the financial year 2021/2022, the County Government has allocated Ksh.42 Million for phase one of the project.

Strategic Analysis

The Uasin Gishu Housing Corporation (CHC) will focus on delivery of the housing mandate efficiently and effectively. Thus, the Uasin Gishu Housing Corporation Bill, 2021 has been forwarded to the County Assembly and the Policy has been adopted by the County Executive Committee. The Bill sets out the functions of the CHC as follows:

To provide affordable and quality housing to the residents of Uasin Gishu.

To preserve affordable rents.

To identify adequate sites which will be made available to facilitate and encourage the development of a variety of types of housing for all income levels.

To address and, where appropriate and legally possible, remove government constraints to the maintenance, improvement, construction, and development of housing.

To conserve and improve the condition of the existing affordable housing stock

To promote housing opportunities for all persons in Uasin Gishu County

SWOT analysis offers an explanation to the strengths and weaknesses of the CHC plus giving an in-depth look at the treats that face the whole project and the corporation while in turn looking at the present and future opportunities that can come from the endeavor.

The objective of the county housing corporation are:

To set up and operate effective and efficient housing management system.

To increase housing supply.

To increase access to housing through outright purchase, tenancy purchase, affordable housing scheme, site and service schemes and rental schemes.

The Uasin Gishu Housing Corporation will focus on delivery of the housing mandate efficiently and effectively. This, it will achieve by: providing affordable and quality housing to the residents of Uasin Gishu, review monthly rent to  compare well with market rates and collaborate with development partners and other financiers to source funds for re-development of the estates.

CHC will borrow largely from NHC with is the corporation that has been undertaking the housing function at the national Government level since 1953.The best practices that have enabled NHC succeed in its mandate include good management structure, investment in quality management system and strong compliance enforcement mechanisms that ensure that rent and loans are paid in time. CHC will also borrow the different housing schemes which include outright purchase, tenancy purchase, mortgage and rental.

Operalizational Strategy

Human Resource

CHC will conduct financial, risk, social, economic, political and technological analysis before embarking on its operations CHC will develop a human resource structure as per the provisions of the Law. Management of the Corporation will be undertaken by the Board of Directors and the management team. Branding and marketing will play a key role in the publicity of products and services of CHC.

Resource Requirements

Currently the available land is 50HA within the Central business district the taskforce recommends full utilization of the land but further acquire in the township as a capital and finances that will go into construction and re-development of the estates.

Sustainability

The success of the projects is dependent upon set sustainability strategies, based on the corporation mandates and resources available. It will be important for CHC to work in close consultation with all stakeholders of the housing sector. This will facilitate smooth roll out and implementation of projects as well as increased revenue collection.

Monitoring and evaluation

CHC will be tasked to ensure sustainability of the corporation by ensuring prudent utilization of the funds of the corporation as well as timely completion of projects. This it will do by establishing a result-based M&E unit.

Transition

The following transition schedule will be critical in facilitating the setting up and taking off of the corporation. The County Government should fast track enactment of CHC Act and appointment of the Board of Directors. The Department of Lands & Housing should work closely with CHC during the transition period to ensure seamless transfer of management and ownership of County houses to the Corporation. The CHC is expected to be operational once the County Housing Corporation bill 2021 is enacted. The creation of the corporation will contribute to the development of the County housing sector thus enabling job and wealth creation in Uasin Gishu County. Further it will ensure mainstreaming of the sector with a view to guarantee access to affordable housing by the residents of Uasin Gishu County. The Corporation will contribute to the County objectives under the CIDP 2018-2022 to be an attractive and prosperous County in Kenya and beyond. In so doing, the County will also contribute to the Country objectives in the Vision 2030 of access to affordable housing by all, the Africa Union agenda 2063 to guarantee affordable housing to all Africans in the envisioned Africa We Want and the United Nations 2030 Commitment contained in the Sustainable Development Goals (SDG) 11 of sustainable cities and communities.