community
enterprise
India Housing: 2007
- 2008
Table of Contents
The Equip Foundation
rep community enterprise
Overview
The
rép
Community Enterprise's purpose is
to help the poor by providing housing and employment.
The enterprise is the business vehicle
through which rép can benefit people
by imparting practical and entrepreneurial skills and teaching them
values-based principles.
The aim of the enterprise is to create a series of self-supporting communities that will provide on-going employment for needy people. The community industries will generate income from manufacturing precast items (fencing posts, tanks), housing components (pillars, panels) and from other construction-related activities. Part of the income from each community will be used for funding new communities.
Our first objective is to establish a model community near Pudupatinam, 70 kilometers south of Chennai. The project will be completed by December 2008 and will be carried out in 2 phases:
Phase 1: Build 10 houses for widows and needy people in villages near Pudupattinam. The purpose of this phase is to identify potential community members, train workers, and develop an initial range of products. This phase of the project was started in July 2007 and will run through February 2008.
Phase 2: Establish the first rép economic community in a village near Pudupattinam. This will serve as a model for subsequent rép communities elsewhere in India. The community facility will contain a manufacturing plant, a community center, and 10 houses. The buildings in the facility will be used to demonstrate our methods of construction and illustrate the use of our products.
The community property will be owned by rép India. Houses on the property will be rented to members of the community for up to 5 years. Rental income will be used to help community members to purchase their own properties. Income from manufacturing and construction activities will be used to fund new communities.
New
Industries
Trained
workers from established communities will help to start
new communities in other parts of Tamil Nadu and
India. The rép community near Pudupattinam will
serve as a model for subsequent communities . In
addition to providing housing for widows and needy
people, the project will initiate new industries in which
businesses generate ongoing income for needy people.
Progress
The
first phase of the project was started in July 2007. We
have built molds and manufactured wall panels for the first
10 houses. We have also developed and tested three new
roofing systems. We plan to complete this phase of the
project by February 28th, 2008. (See Progress & Pictures .)
The Need
Many
people in the rural areas of India lack adequate shelter
and adequate sources of income. Widows are particularly
needy because they are often neglected by their
communities. Large numbers of people in villages live in
huts that are constructed using palm branches. The palm
branches have a useful life of about 3 years. Maintenance
is expensive as new palm branches need to be purchased
every 3 years. Typically, it can take a laborer up to six
months to earn enough money to purchase the materials for
a new roof. Poor people cannot afford more durable,
hygienic structures and their poverty is thus aggravated
by their constant need to repair/re-roof their palm-branch
huts.
. . 
The level of unemployment in the villages is very high. Many people in the villages are unskilled and need to rely on odd laboring jobs in nearby farms or towns for income.
Our community projects are able to provide both short-term and long-term relief for needy villagers by addressing their immediate needs for housing and income. The projects provide new opportunities for acquiring skills and new opportunities for setting up small businesses.
Budget
Preparation for Phase 2
during
January and February 2008 will cost $14,500. This
includes new molds, tools, product development and
engineering.
Phase 2 will cost $97,000. This will involve purchasing a 1-acre site ($40,000), developing the site ($8,000), building a manufacturing facility ($9,000), a community center ($7,000), 10 houses ($25,000) and developing Community business units ($8,000).
10-P Profile
Purpose
The
aim of the rep Community Enterprise is to meet
the basic needs of people by providing housing and
employment. The enterprise will benefit people by
imparting practical and entrepreneurial skills and
teaching them values-based principles.
rep will help to transform communities by establishing a series of village-based economic centers in various parts of Tamil Nadu and elsewhere in India.
Products
The rep Community Enterprise will create a series of new economic communities. Members of the communities will be involved in constructing houses and manufacturing: precast wall panels, roofing panels and a variety of construction-related components (pillars, beams, frames, water tanks, septic tanks, furnishings, etc.).
We will also develop a range of products based on magnesium oxychloride cement (Sorel cement). The components for this type of cement can be extracted from seawater and/or waste from local salt farms. By introducing Sorel cement products to the construction market, we aim to stimulate demand for the cement and ultimately set up our own plants to produce the raw materials. Community members will gain expertise in working with Sorel cement that can be passed on to subsequent communities.
rep Cottages are based on
pre-manufactured wall panels, pillars and roof panels.
Each cottage can be constructed in less than 1 week.
The cottages are:
- Strong, durable and quake-resistant
- Waterproof, damp-proof and hygienic
- Economical
- Quick to construct
- Cool in summer, cozy in winter
People
Brett Johnson, rep, Training business
leaders
Don Cook, rep , Engineering & Training
Margie Cook, rep , Community Development
Advisory Committee:
Chennai-based business
leaders.
Positioning
The rep Community Enterprise
will be the first to build low-cost houses using new
designs and methods of construction. We will also be the
first to manufacture a unique range of products based on
Sorel cement.
The rep Community Project will meet needs for housing, encourage needy people to create new businesses and provide employment opportunities for others.
Place The first phase of the
project involves building 10 houses in villages near
Pudupatinam: Vayalur, Anicutt, Mugayur, Kadalur, etc. The
villages are located between 70 km and 80 km South of
Chennai.
The second phase involves starting our first economic
community that will be located on a 1-acre property
&ndash tentatively in Nerkundrapattu, roughly 8 km
from Pudupatinam.
Our second and third projects will be located in other parts of Tamil Nadu.
Presence
Community leaders
in the Mahabalipuram / Pudupatinam region have expressed
appreciation for the work being done by rep. We have also
benefited significantly from work done by Acts of Mercy
and other non-government organizations (NGO's) in the
region. There is a high degree of local appreciation for
the sacrificial work done by many local NGO's after the
Tsunami of December 2004.
Partnering
The rep Community Project has
received substantial logistical assistance and
encouragement from Acts of Mercy, a local non-government
organization. We have also received invaluable
encouragement and assistance from Pastor E. Jayaseelan
who heads four congregations in the Pudupatinam region.
Our relationships with local organizations are strictly informal. All of the funds and assets associated with the rep Community Project are administered by rep International and The Equip Foundation.
Process
The rep Community Enterprise
will create new community-based business units. The
business units will generate income from construction-related
activities and from manufacturing products using Sorel
cement.
rep will train workers and encourage entrepreneurs. During 2009, two new communities based on the Nerkundrapattu Model will be established in other parts of Tamil Nadu. Each new community will then help to start two additional communities within 18 to 24 months.
Planning
The
activities and expenses in the second phase of the
project are listed in the attached plan
(see Exhibit 1).
rep will establish the first community near Pudupatinam during 2008.
Our longer-term plan is to duplicate our economic communities in other parts of Tamil Nadu and India. This will involve training workers and business leaders, purchasing additional properties (owned by rep India), building industry centers, establishing communities and providing temporary housing for community members.
Profits (Funding)
The First
Phase
of the project is nearing completion. Preparation for
Phase 2 during January and February 2008 will cost $14,500.
This includes new molds, tools, product development and
engineering.
Phase 2 will cost $97,000. This will involve purchasing a 1-acre site ($40,000), developing the site ($8,000), building a manufacturing facility ($9,000), a community center ($7,000), 10 houses ($25,000) and developing Community business units ($8,000).
A 1-acre site in Nerkundrapattu is expected to cost $40,000. However, property values in the region are rising rapidly and we may need to purchase a smaller site or look at properties further from Chennai. An additional $8,000 will be required for site preparation, fencing, water supply, septic tanks and paving.
The community property will be owned by rep India Houses on the property will be rented to members of the community for up to 5 years. Rental income will be used to help community members to purchase their own properties. Income from manufacturing and construction activities will be used to fund new communities. Trained workers from established communities will help to start up new communities.
The buildings on the community property will illustrate the use and value of our products. They will serve as models for marketing our products. We expect to start selling houses, panels and pillars to individuals and organizations in July 2008.
Exhibit 1: Plan & Budget
| rép COMMUNITY ENTERPRISE | Exhibit 1 | ||||||||||
| PROJECT PLAN | |||||||||||
| Phase 2 : January to December 2008 | BUDGET | ||||||||||
| Establish First Center , Build 10 houses, Industry Center & Community Center at Nerkundrapattu | |||||||||||
| Task | Start Date | Duration | Labor | Materials | Equipment | Other | Total Cost | ||||
| PREPARATION | 8 weeks | ||||||||||
| January 1 to February 28, 2008 | |||||||||||
| Replace molds & construct molds for new panels | Jan 07 | 5 weeks | 2,500 | 2,500 | |||||||
| Purchase equipment: Generator, tools | Jan 07 | 1 weeks | 3,500 | 3,500 | |||||||
| Purchase vehicle | Jan 01 | 3 weeks | 5,000 | 5,000 | |||||||
| Travel | Jan 19 | 3 weeks | 3,500 | 3,500 | |||||||
| Subtotal: Preparation | 11,000 | 3,500 | 14,500 | ||||||||
| PHASE 2 | |||||||||||
| March 1 to December 31, 2008 | |||||||||||
| Purchase site near Pudupattinam | Feb 15 | 2 weeks | 40,000 | 40,000 | |||||||
| Clear land | Mar 01 | 1 week | 500 | 500 | |||||||
| Dig wells & install pumps | 1-Mar | 2 weeks | 200 | 1,000 | 1,200 | ||||||
| Build fences | Mar 01 | 4 weeks | 500 | 1,000 | 1,500 | ||||||
| Install septic tanks | Mar 01 | 4 weeks | 400 | 1,500 | 1,900 | ||||||
| Create access ways/roads on property | Mar 07 | 4 weeks | 500 | 1,500 | 2,000 | ||||||
| Install electrical supply | Mar 14 | 2 weeks | 100 | 600 | 700 | ||||||
| Set out foundations for houses, Industry center and Community center | Mar 21 | 2 weeks | 200 | 200 | |||||||
| SUBTOTAL: Land & Site Prep | 2,400 | 5,600 | 40,000 | 48,000 | |||||||
| Order steel for Industry Center roof | 1-Feb | 1 week | 1,500 | 1,500 | |||||||
| Purchase materials for Industry center | 1-Feb | 1 week | 2,500 | 2,500 | |||||||
| Cast wall panels & roof panels for Industry Center | 14-Feb | 4 weeks | 500 | 1,500 | 1,000 | 3,000 | |||||
| Order steel for roofs of First 5 houses | 21-Mar | 1 week | 2,500 | 2,500 | |||||||
| Order sand, crushed stone & rebar for First 5 houses | 21-Mar | 1 week | 2,500 | 2,500 | |||||||
| Set out & dig foundations for Industry Center | 25-Mar | 1 week | 200 | 1,000 | 1,200 | ||||||
| Cast foundations for Industry Center | 1-Apr | 1 week | 200 | 200 | |||||||
| Construct Industry Center | 15-Apr | 4 weeks | 300 | 300 | 600 | ||||||
| Subtotal - Industry Center | 1,200 | 5,800 | 2,000 | 9,000 | |||||||