Finance DEPARTMENT: FINANCE MPUMALANGA PROVINCIAL GOVERNMENT Presentation to Select Committee on Finance on Budget and Expenditure Outcomes for the period.

FinanceDEPARTMENT: FINANCEMPUMALANGA PROVINCIAL GOVERNMENT

Presentation to Select Committee on Finance on

Budget and Expenditure Outcomes

for the period ended

31 March 2012 as well as 1st Quarter ended

30 June 2012 for Mpumalanga Province

14 August 2012

FinanceDEPARTMENT: FINANCEMPUMALANGA PROVINCIAL GOVERNMENT 2

The Honourable Premier, Mr David Mabuza, in his State of the Province Address advised that:

“Long-term sustainability depends also on shifting the composition of government spending from consumption to investment. The aim is to strengthen infrastructure investment and maintenance, because this is a key contribution to the underlying growth potential of the economy. This means that there must be a moderation in the growth of the wage bill and spending on goods and services over the

MTEF period ahead”.

The Executive Council has directed that all organizational structures of Mpumalanga departments should contribute towards service delivery and not a bloated wage bill. To achieve human resources efficiencies, government is working with the Department of Public Service and Administration (DPSA) to ensure effective implementation of this policy position. We are also exploring a systemic tool that will assist departments to determine the numbers of personnel and provide accurate estimates for personnel budgets.


Gordhan criticises provinces’ spending Finance Minister Pravin Gordhan says provincial governments are ‘damaging the fiscal framework’ by continuing to overspend on personnel and under spend on capital investment. Provincial governments are "damaging the fiscal framework" by continuing to overspend on personnel and under spend on capital investment, says Finance Minister Pravin Gordhan. (B/Day Carol Paton, 19/06 online)


PERFORMANCE AT 31 MARCH 2012


MPUMALANGA PROVINCIAL EXPENDITURE AS AT 31 MARCH 2012 - PRE-AUDITED

R Thousands

Main Budget 2011/12

Total Adjustments

Adjusted Budget

Actual to the end of Mar 2012

Outome as % Budget

Projections to end of Mar 2012

(Over) / under-

spending

% (Over) / under-

spending

Main Budget 2010/11

Total Adjustments

Adjusted Budget


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Social Services 21 272 945 436 885 21 709 830 21 206 730 97.7% - 503 100 2.3% 18 832 414 602 130 19 434 544 18 974 525 97.6% - 460 019 2.4%

EDUCATION 12 951 753 249 077 13 200 830 13 024 202 98.7% - 176 628 1.3% 11 530 252 431 620 11 961 872 11 598 146 97.0% - 363 726 3.0%

HEALTH 7 365 135 182 774 7 547 909 7 224 940 95.7% - 322 969 4.3% 6 420 715 170 510 6 591 225 6 528 422 99.0% - 62 803 1.0%

SOCIAL DEVELOPMENT 956 057 5 034 961 091 957 588 99.6% - 3 503 0.4% 881 447 - 881 447 847 957 96.2% - 33 490 3.8%

Non-Social Services 7 925 010 332 362 8 257 372 8 185 828 99.1% - 71 544 0.9% 7 268 171 80 889 7 349 060 7 237 255 98.5% - 111 805 1.5%

OFFICE OF THE PREMIER 141 464 7 239 148 703 144 554 97.2% - 4 149 2.8% 158 728 7 684 166 412 158 885 95.5% - 7 527 4.5%MPUMALANGA PROVINCIAL LEGISLATURE 193 974 13 469 207 443 190 697 91.9% - 16 746 8.1% 169 655 53 099 222 754 222 763 100.0% - ( 9) 0.0%

FINANCE 216 573 12 003 228 576 223 270 97.7% - 5 306 2.3% 232 773 (1 959) 230 814 218 827 94.8% - 11 987 5.2% COOPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS 325 643 148 001 473 644 460 960 97.3% - 12 684 2.7% 404 093 - 404 093 380 143 94.1% - 23 950 5.9%

AGRICULTURE, RURAL DEVELOPMENT AND LAND ADMINISTRATION 969 111 2 919 972 030 968 320 99.6% - 3 710 0.4% 737 936 36 600 774 536 759 462 98.1% - 15 074 1.9% ECONOMIC DEVELOPMENT, ENVIRONMENT AND TOURISM 647 741 62 721 710 462 701 917 98.8% - 8 545 1.2% 643 000 68 713 711 713 716 546 100.7% - ( 4 833) -0.7% PUBLIC WORKS ROADS AND TRANSPORT 3 776 025 (182 816) 3 593 209 3 587 947 99.9% - 5 262 0.1% 3 330 801 (169 478) 3 161 323 3 147 184 99.6% - 14 139 0.4%

SAFETY, SECURITY AND LIAISON 122 553 331 176 453 729 443 214 97.7% - 10 515 2.3% 111 438 - 111 438 105 342 94.5% - 6 096 5.5%

CULTURE,SPORT AND RECREATION 337 102 36 000 373 102 369 127 98.9% - 3 975 1.1% 282 253 14 770 297 023 297 837 100.3% - ( 814) -0.3%

HUMAN SETTLEMENTS 1 194 824 (98 350) 1 096 474 1 095 822 99.9% - 652 0.1% 1 197 494 71 460 1 268 954 1 230 266 97.0% - 38 688 3.0%TOTAL 29 197 955 769 247 29 967 202 29 392 558 98.1% - 574 644 1.9% 26 100 585 683 019 26 783 604 26 211 780 97.9% - 571 824 2.1%


UNSPENT VOTED FUNDS, ACCRUALS , BANK BALANCES

Vote Name OF DepartmentUnspent voted funds at 31 March 2012

Pay Master General Account Bank balances at 31 March 2012

Accruals at 31 March 2012

R'000 R'000 R'000vote 1 Offi ce of Premier 4 149 9 803 746

vote 2 Provincial Legislature 16 746 16 965 5 711

vote 3 Department of Finance 5 306 8 061 1 902

Vote 4 Department of Co-operative Governance and Traditional Affairs 12 684 12 767 6 063

Vote 5 Departmen of Agriculture,Rural Development and Land Administration 3 710 (7 338) 51 247

Vote 6 Department of Economic Development, Envionment and Tourism 8 545 8 687 3 056

Vote 7 Department of Education 176 628 38 000 334 491

Vote 8 Department of Public Works,Roads and Transport 5 262 12 335 223 250

Vote 9 Department of Community Safety Security and Liaison 10 515 44 149 5 929

Vote 10 Department of Health 322 969 277 728 40 966

Vote 11 Department of Culture Sport and Recreation 3 975 6 987 27 685

Vote 12 Department of Social Development 3 503 66 8 470

Vote 13 Department of Human Settlements 652 5 171 43 561 574 644 433 381 753 077

Accruals - Source : 2011/12 Pre- Audited Annual Financial StatementsUnspent voted funds - Source In Year Monitoring reportsBank balances - Bank Statements


R Thousands

Main Budget 2011/12

Total Adjustments

Adjusted Budget


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Main Budget 2010/11

Total Adjustments

Adjusted Budget


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Social Services 14 332 145 587 459 14 919 604 14 679 523 98.4% - 240 081 1.6% 13 022 825 132 922 13 155 747 13 189 969 100.3% - ( 34 222) -0.3%

EDUCATION 10 022 528 281 000 10 303 528 10 235 116 99.3% - 68 412 0.7% 9 217 097 29 382 9 246 479 9 251 783 100.1% - ( 5 304) -0.1%

HEALTH 3 950 125 299 417 4 249 542 4 083 293 96.1% - 166 249 3.9% 3 476 417 103 540 3 579 957 3 614 346 101.0% - ( 34 389) -1.0%

SOCIAL DEVELOPMENT 359 492 7 042 366 534 361 114 98.5% - 5 420 1.5% 329 311 - 329 311 323 840 98.3% - 5 471 1.7%

Non-Social Services 2 389 511 (31 869) 2 357 642 2 324 715 98.6% - 32 927 1.4% 2 296 875 (110 972) 2 185 903 2 167 612 99.2% - 18 291 0.8%

OFFICE OF THE PREMIER 114 428 (15 464) 98 964 97 948 99.0% - 1 016 1.0% 122 699 (20 021) 102 678 99 403 96.8% - 3 275 3.2%MPUMALANGA PROVINCIAL LEGISLATURE 95 022 (13 502) 81 520 76 315 93.6% - 5 205 6.4% 90 660 (20 835) 69 825 69 825 100.0% - - 0.0%

FINANCE 118 741 (150) 118 591 118 499 99.9% - 92 0.1% 132 290 (20 661) 111 629 107 773 96.5% - 3 856 3.5% COOPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS 224 375 2 327 226 702 216 995 95.7% - 9 707 4.3% 216 717 (8 940) 207 777 213 904 102.9% - ( 6 127) -2.9%

AGRICULTURE, RURAL DEVELOPMENT AND LAND ADMINISTRATION 381 578 4 000 385 578 379 420 98.4% - 6 158 1.6% 352 606 (7 226) 345 380 336 283 97.4% - 9 097 2.6% ECONOMIC DEVELOPMENT, ENVIRONMENT AND TOURISM 157 345 149 157 494 149 790 95.1% - 7 704 4.9% 135 838 6 920 142 758 144 672 101.3% - ( 1 914) -1.3% PUBLIC WORKS ROADS AND TRANSPORT 1 000 532 (247 599) 752 933 751 720 99.8% - 1 213 0.2% 958 928 (25 218) 933 710 933 283 100.0% - 427 0.0%

SAFETY, SECURITY AND LIAISON 69 420 242 854 312 274 311 784 99.8% - 490 0.2% 54 990 7 588 62 578 60 895 97.3% - 1 683 2.7%

CULTURE,SPORT AND RECREATION 106 280 (3 197) 103 083 102 386 99.3% - 697 0.7% 102 913 (9 247) 93 666 96 859 103.4% - ( 3 193) -3.4%

HUMAN SETTLEMENTS 121 790 (1 287) 120 503 119 858 99.5% - 645 0.5% 129 234 (13 332) 115 902 104 715 90.3% - 11 187 9.7%TOTAL 16 721 656 555 590 17 277 246 17 004 238 98.4% - 273 008 1.6% 15 319 700 21 950 15 341 650 15 357 581 100.1% - ( 15 931) -0.1%

COMPENSATION OF EMPLOYEES


R Thousands

Main Budget 2011/12

Total Adjustments

Adjusted Budget


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Main Budget 2010/11

Total Adjustments

Adjusted Budget


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Social Services 4 008 714 (248 433) 3 760 281 3 678 677 97.8% - 81 604 2.2% 3 320 219 300 795 3 621 014 3 472 111 95.9% - 148 903 4.1%

EDUCATION 1 416 801 (117 109) 1 299 692 1 278 142 98.3% - 21 550 1.7% 1 171 211 174 176 1 345 387 1 166 088 86.7% - 179 299 13.3%

HEALTH 2 427 936 (136 368) 2 291 568 2 229 115 97.3% - 62 453 2.7% 2 010 359 114 481 2 124 840 2 152 726 101.3% - ( 27 886) -1.3%

SOCIAL DEVELOPMENT 163 977 5 044 169 021 171 420 101.4% - ( 2 399) -1.4% 138 649 12 138 150 787 153 297 101.7% - ( 2 510) -1.7%

Non-Social Services 1 973 862 294 546 2 268 408 2 251 328 99.2% - 17 080 0.8% 2 144 006 9 182 2 153 188 2 115 871 98.3% - 37 317 1.7%

OFFICE OF THE PREMIER 26 636 13 679 40 315 37 661 93.4% - 2 654 6.6% 35 439 23 010 58 449 55 623 95.2% - 2 826 4.8%MPUMALANGA PROVINCIAL LEGISLATURE 60 237 45 397 105 634 94 228 89.2% - 11 406 10.8% 57 718 46 982 104 700 104 709 100.0% - ( 9) 0.0%

FINANCE 91 012 11 875 102 887 99 467 96.7% - 3 420 3.3% 93 464 8 933 102 397 94 963 92.7% - 7 434 7.3% COOPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS 83 668 28 263 111 931 107 669 96.2% - 4 262 3.8% 129 094 (21 912) 107 182 93 920 87.6% - 13 262 12.4%

AGRICULTURE, RURAL DEVELOPMENT AND LAND ADMINISTRATION 205 455 21 527 226 982 228 237 100.6% - ( 1 255) -0.6% 258 987 37 183 296 170 290 958 98.2% - 5 212 1.8% ECONOMIC DEVELOPMENT, ENVIRONMENT AND TOURISM 65 373 15 271 80 644 81 255 100.8% - ( 611) -0.8% 100 596 12 363 112 959 117 784 104.3% - ( 4 825) -4.3% PUBLIC WORKS ROADS AND TRANSPORT 1 252 085 62 664 1 314 749 1 314 181 100.0% - 568 0.0% 1 259 335 (103 567) 1 155 768 1 147 047 99.2% - 8 721 0.8%

SAFETY, SECURITY AND LIAISON 48 193 63 105 111 298 111 394 100.1% - ( 96) -0.1% 53 433 (8 036) 45 397 41 042 90.4% - 4 355 9.6%

CULTURE,SPORT AND RECREATION 120 775 12 822 133 597 136 865 102.4% - ( 3 268) -2.4% 109 143 7 059 116 202 121 532 104.6% - ( 5 330) -4.6%

HUMAN SETTLEMENTS 20 428 19 943 40 371 40 371 100.0% - - 0.0% 46 797 7 167 53 964 48 293 89.5% - 5 671 10.5%TOTAL 5 982 576 46 113 6 028 689 5 930 005 98.4% - 98 684 1.6% 5 464 225 309 977 5 774 202 5 587 982 96.8% - 186 220 3.2%

GOODS AND SERVICES


R Thousands

Main Budget 2011/12

Total Adjustments

Adjusted Budget


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Main Budget 2010/11

Total Adjustments

Adjusted Budget


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Social Services 1 527 159 67 806 1 594 965 1 407 070 88.2% - 187 895 11.8% 1 338 924 132 553 1 471 477 1 063 596 72.3% - 407 881 27.7%

EDUCATION 646 419 74 846 721 265 637 443 88.4% - 83 822 11.6% 457 725 201 647 659 372 422 165 64.0% - 237 207 36.0%

HEALTH 798 453 (4 516) 793 937 691 225 87.1% - 102 712 12.9% 791 158 (56 956) 734 202 594 082 80.9% - 140 120 19.1%

SOCIAL DEVELOPMENT 82 287 (2 524) 79 763 78 402 98.3% - 1 361 1.7% 90 041 (12 138) 77 903 47 349 60.8% - 30 554 39.2%

Non-Social Services 1 224 974 86 968 1 311 942 1 301 704 99.2% - 10 238 0.8% 844 651 10 859 855 510 833 085 97.4% - 22 425 2.6%

OFFICE OF THE PREMIER 400 5 017 5 417 5 104 94.2% - 313 5.8% 590 3 861 4 451 2 965 66.6% - 1 486 33.4%MPUMALANGA PROVINCIAL LEGISLATURE 21 075 (17 236) 3 839 3 704 96.5% - 135 3.5% 4 477 13 381 17 858 17 858 100.0% - - 0.0%

FINANCE 5 520 (272) 5 248 3 576 68.1% - 1 672 31.9% 5 819 4 614 10 433 9 906 94.9% - 527 5.1% COOPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS 8 000 22 723 30 723 39 721 129.3% - ( 8 998) -29.3% 50 702 5 852 56 554 49 095 86.8% - 7 459 13.2%

AGRICULTURE, RURAL DEVELOPMENT AND LAND ADMINISTRATION 79 309 21 147 100 456 102 163 101.7% - ( 1 707) -1.7% 23 465 259 23 724 23 196 97.8% - 528 2.2% ECONOMIC DEVELOPMENT, ENVIRONMENT AND TOURISM 10 738 - 10 738 9 011 83.9% - 1 727 16.1% 13 120 - 13 120 11 273 85.9% - 1 847 14.1% PUBLIC WORKS ROADS AND TRANSPORT 998 095 1 267 999 362 998 404 99.9% - 958 0.1% 639 455 (42 372) 597 083 595 726 99.8% - 1 357 0.2%

SAFETY, SECURITY AND LIAISON 4 840 23 593 28 433 18 596 65.4% - 9 837 34.6% 2 615 686 3 301 3 147 95.3% - 154 4.7%

CULTURE,SPORT AND RECREATION 96 997 27 063 124 060 117 759 94.9% - 6 301 5.1% 65 349 15 108 80 457 74 130 92.1% - 6 327 7.9%

HUMAN SETTLEMENTS - 3 666 3 666 3 666 100.0% - - 0.0% 39 059 9 470 48 529 45 789 94.4% - 2 740 5.6%TOTAL 2 752 133 154 774 2 906 907 2 708 774 93.2% - 198 133 6.8% 2 183 575 143 412 2 326 987 1 896 681 81.5% - 430 306 18.5%

PAYMENTS FOR CAPITAL ASSETS


2012/13 REPORT


Amount Unauthorised

Committee on Public Accounts Reference

Financial Year Vote Title

(R)Column 1 Column 2 Column 3 Column 4

465 000.00 41st report and par. 3.3 2006/07 Offi ce of the Premier

16 020 000.00 15th report and par. 3.1.1 2006/07 Co-operative Governance and Traditional Affairs

3 870 000.00 24th report and par. 3.2.2 2008/09 Co-operative Governance and Traditional Affairs

2 661 000.00 20th report and par. 3.1 2003/04 Public Works, Roads and Transport

588 000.00 3rd report and par. 3.4.1 2006/07 Culture, Sport and Recreation

1 732 000.00 3rd report and pa.r 3.3.1 (b) 2009/10 Culture, Sport and Recreation

131 936 000.00 13th report and par. 3.2.1.1 2009/10 Education

157 272 000.00

SCHEDULE 1: Unauthorised expenditure referred to in section 34(1)(a) of the Public Finance Management Act, 1999: An additional amount is appropriated as a direct charge against the Provincial Revenue Fund to cover the overspending of the vote appropriation as indicated below.

Extract from the Mpumalanga Finance Bill that will assist in clearing some of the accruals in the various votes


SCHEDULE 2: Unauthorised expenditure referred to in section 34(2) of the Public Finance Management Act, 1999: No additional amount is approved to cover the overspending of the votes indicated in column 4. The amount must be charged against the budget allocations of the Departments concerned, which payments must be effected prior to 1 April 2015.

Amount Unauthorised

Committee on Public Accounts Reference

Financial Year Vote an Vote Title

(R)Column 1 Column 2 Column 3 Column 4

41 000.00 4th report and par. 4.1

2007/08 for 2003/04 Community Safety, Security and Liaison

1 200 000.00 3rd report par 3.3.1 2009/10 Culture, Sport and Recreation

206 000.00 3rd report par 3.3.1 2009/10 Culture, Sport and Recreation

10 393 000.00 7th report and par. 3.1.1 2009/10

Economic Development, Environment and Tourism

5 660 000.00 9th report and par. 2.1.1 2009/10

Agriculture, Rural Development and Land Administration

17 500 000.00


MPUMALANGA PROVINCIAL EXPENDITURE AS AT 30 JUNE 2012

R Thousands

Main Budget 2012/13

Actual to the end of Jun 2012

Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Main Budget 2011/12


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Social Services 22 448 350 5 183 572 23 1% 17 264 723 55 0 0% 21 272 945 5 035 604 23 7% 16 640 779 ( 403 438) -1 9%

EDUCATION 13 983 862 3 518 554 25 2% 10 465 308 - 0 0% 12 951 753 3 270 853 25 3% 10 077 426 ( 396 526) -3 1%

HEALTH 7 544 189 1 509 211 20 0% 6 034 978 - 0 0% 7 365 135 1 552 816 21 1% 5 818 663 ( 6 344) -0 1%

SOCIAL DEVELOPMENT 920 299 155 807 16 9% 764 437 55 0 0% 956 057 211 935 22 2% 744 690 ( 568) -0 1%

Non-Social Services 8 519 581 1 912 221 22 4% 6 663 108 ( 55 748) -0 7% 7 925 010 1 661 491 21 0% 6 448 652 ( 185 133) -2 3%

OFFICE OF THE PREMIER 158 103 31 073 19 7% 127 030 - 0 0% 141 464 31 384 22 2% 110 080 - 0 0% MPUMALANGA PROVINCIAL LEGISLATURE 213 600 48 620 22 8% 163 783 1 197 0 6% 193 974 34 493 17 8% 228 310 ( 68 829) -35 5%

FINANCE 255 340 46 966 18 4% 207 313 1 061 0 4% 216 573 43 061 19 9% 177 321 ( 3 809) -1 8% CO-OPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS 337 424 71 272 21 1% 270 419 ( 4 267) -1 3% 325 643 79 694 24 5% 270 238 ( 24 289) -7 5%

AGRICULTURE, RURAL DEVELOPMENT AND LAND ADMINISTRATION 980 476 218 143 22 2% 796 711 ( 34 378) -3 5% 969 111 172 738 17 8% 836 861 ( 40 488) -4 2% ECONOMIC DEVELOPMENT, ENVIRONMENT AND TOURISM 770 191 228 711 29 7% 561 272 ( 19 792) -2 6% 647 741 186 953 28 9% 464 661 ( 3 873) -0 6% PUBLIC WORKS, ROADS AND TRANSPORT 3 510 977 802 011 22 8% 2 708 259 707 0 0% 3 776 025 834 314 22 1% 2 937 918 3 793 0 1%COMMUNITY SAFETY,SECURITY AND LIASION 803 704 186 939 23 3% 616 765 - 0 0% 122 553 24 301 19 8% 95 529 2 723 2 2%

CULTURE SPORT AND RECREATION 324 817 51 448 15 8% 273 432 ( 63) 0 0% 337 102 53 550 15 9% 283 552 - 0 0%

HUMAN SETTLEMENT 1 164 949 227 038 19 5% 938 124 ( 213) 0 0% 1 194 824 201 003 16 8% 1 044 182 ( 50 361) -4 2%TOTAL 30 967 931 7 095 793 22 9% 23 927 831 ( 55 693) -0 2% 29 197 955 6 697 095 22 9% 23 089 431 ( 588 571) -2 0%


April May June July August September October November December January February March

Original Projections 2370,865 2591,749 2484,776 2386,803 2419,695 2935,052 2659,872 2460,010 3237,758 2323,631 2407,788 2689,932

Variable Projections 2370,865 3291,051 3185,580 3202,956 2469,914 2691,175 2614,386 2509,567 2917,729 2383,906 2480,195 2658,003

Actual Expenditure 1829,520 2733,705 2532,565

Cash Transferred 1994,573 2702,166 2365,221

-

500,000

1000,000

1500,000

2000,000

2500,000

3000,000

3500,000

Amou

nts i

n R

Thou

sand

sMPUMALANGA


R Thousands

Main Budget 2012/13


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Main Budget 2011/12


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Social Services 16 046 190 3 717 666 23 2% 12 327 739 785 0 0% 14 332 145 3 492 953 24 4% 11 044 784 ( 205 592) -1 4%

EDUCATION 10 980 130 2 606 074 23 7% 8 374 056 - 0 0% 10 022 528 2 422 582 24 2% 7 804 992 ( 205 046) -2 0%

HEALTH 4 665 857 1 021 163 21 9% 3 643 912 782 0 0% 3 950 125 986 687 25 0% 2 963 984 ( 546) 0 0%

SOCIAL DEVELOPMENT 400 203 90 429 22 6% 309 771 3 0 0% 359 492 83 684 23 3% 275 808 - 0 0%

Non-Social Services 2 585 957 576 947 22 3% 2 010 765 ( 1 755) -0 1% 2 389 511 542 946 22 7% 1 864 444 ( 17 879) -0 7%

OFFICE OF THE PREMIER 114 364 24 270 21 2% 89 954 140 0 1% 114 428 24 466 21 4% 88 999 963 0 8% MPUMALANGA PROVINCIAL LEGISLATURE 109 358 19 765 18 1% 83 375 6 218 5 7% 95 022 17 562 18 5% 84 307 ( 6 847) -7 2%

FINANCE 131 808 29 511 22 4% 101 880 417 0 3% 118 741 28 253 23 8% 90 278 210 0 2% CO-OPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS 250 874 54 545 21 7% 198 752 ( 2 423) -1 0% 224 375 51 867 23 1% 173 647 ( 1 139) -0 5%

AGRICULTURE, RURAL DEVELOPMENT AND LAND ADMINISTRATION 417 911 96 742 23 1% 325 550 ( 4 381) -1 0% 381 578 89 645 23 5% 303 231 ( 11 298) -3 0% ECONOMIC DEVELOPMENT, ENVIRONMENT AND TOURISM 161 926 36 229 22 4% 130 225 ( 4 528) -2 8% 157 345 36 355 23 1% 119 655 1 335 0 8% PUBLIC WORKS, ROADS AND TRANSPORT 816 137 187 430 23 0% 625 901 2 806 0 3% 1 000 532 228 885 22 9% 771 647 - 0 0%COMMUNITY SAFETY,SECURITY AND LIASION 333 003 74 796 22 5% 258 207 - 0 0% 69 420 14 876 21 4% 51 968 2 576 3 7%

CULTURE SPORT AND RECREATION 111 690 24 397 21 8% 87 297 ( 4) 0 0% 106 280 24 000 22 6% 82 280 - 0 0%

HUMAN SETTLEMENT 138 886 29 262 21 1% 109 624 - 0 0% 121 790 27 037 22 2% 98 432 ( 3 679) -3 0%TOTAL 18 632 147 4 294 613 23 0% 14 338 504 ( 970) 0 0% 16 721 656 4 035 899 24 1% 12 909 228 ( 223 471) -1 3%

COMPENSATION OF EMPLOYEES


Summary of provincial payments and estimates by economic classification

OutcomeMain

appropriation

Adjusted

appropriationRevised estimate Medium-term estimates

R thousand 2008/09 2009/10 2010/11 2012/13 2013/14 2014/15

Current payments 15 908 528 18 633 395 20 636 070 22 446 402 23 063 408 23 034 189 24 687 215 26 466 725 27 991 970

Compensation of employ ees 11 757 596 13 663 757 15 354 129 16 716 393 17 350 640 17 328 361 18 632 147 19 871 420 21 083 377

Goods and serv ices 4 149 718 4 968 456 5 279 731 5 727 984 5 711 939 5 705 663 6 055 068 6 593 389 6 906 581

Interest and rent on land 1 214 1 182 2 210 2 025 829 165 - 1 916 2 012

Transfers and subsidies to: 2 085 697 2 674 030 3 334 550 3 705 643 3 736 696 3 730 604 3 759 131 4 005 353 4 257 038

Prov inces and municipalities 100 918 81 349 59 534 86 964 173 183 162 814 90 917 97 750 103 311

Departmental agencies and accounts 238 509 325 093 446 429 421 178 468 899 468 899 538 662 435 687 444 549

Univ ersities and technikons - - 704 1 600 1 170 518 - - -

Foreign gov ernments and international organisations 1 000 - - - - - - - -

Public corporations and priv ate enterprises 151 385 389 402 422 643 440 699 452 087 451 925 466 703 466 738 486 340

Non-profit institutions 665 393 957 255 1 204 123 1 343 935 1 342 639 1 342 734 1 356 282 1 532 759 1 668 153

Households 928 492 920 931 1 201 117 1 411 267 1 298 718 1 303 714 1 306 567 1 472 419 1 554 685

Payments of capital assets 1 857 638 2 007 296 1 895 089 2 750 238 2 869 329 2 849 127 2 521 585 2 680 608 2 791 790

Buildings and other fix ed structures 1 480 234 1 756 814 1 594 185 2 361 166 2 457 690 2 446 243 2 287 465 2 444 834 2 551 458

Machinery and equipment 371 829 240 148 287 478 369 614 405 037 401 488 191 511 221 951 224 382

Heritage assets - - 52 20 20 20 - - -

Specialised military assets - - - - - - - - -

Biological assets - 58 - - 2 632 - - - -

Land and sub-soil assets - 8 755 - - - - 30 000 - -

Softw are and other intangible assets 5 575 1 521 13 374 19 438 3 950 1 376 12 609 13 823 15 950

Payments for financial assets 418 9 238 1 446 - - 5 - - -

Total economic classification 19 852 281 23 323 959 25 867 155 28 902 283 29 669 433 29 613 925 30 967 931 33 152 686 35 040 798

2011/12


Summary of personnel numbers and costs by Vote1

Personnel numbersAs at

31 March 2009

As at

31 March 2010

As at

31 March 2011

As at

31 March 2012

As at

31 March 2013

As at

31 March 2014

As at

31 March 2015

Vote 01: Office of the Premier 308 299 292 283 298 298 298

Vote 02: Prov incial Legislature 156 157 153 157 235 235 235

Vote 03: Finance 321 336 333 351 371 371 371

Vote 04: Co-operativ e Gov ernance and Traditional Affairs 636 653 1 040 1 124 1 184 1 189 1 190

Vote 05: Agriculture, Rural Dev elopment and Land Administration 1 719 1 702 1 614 1 550 1 817 1 864 1 885

Vote 06: Economic Dev elopment, Env ironment and Tourism 497 516 491 498 514 516 519

Vote 07: Education 44 006 43 138 44 446 45 495 46 317 46 680 46 918

Vote 08: Public Works, Roads and Transport 4 122 4 440 4 921 4 670 4 696 4 701 4 703

Vote 09: Safety , Security and Liaison 1 414 1 434 1 636 1 660 1 795 1 795 1 795

Vote 10: Health 16 005 17 323 17 921 18 026 18 666 18 758 18 783

Vote 11: Culture, Sport and Recreation 305 771 741 747 597 597 597

Vote 12: Social Dev elopment 1 518 1 825 1 862 1 922 2 003 2 003 2 003

Vote 13: Human Settlement 278 345 354 369 406 439 459

Total provincial personnel numbers 71 285 72 939 75 804 76 852 78 899 79 446 79 756

Total prov incial personnel cost (R thousand) 11 757 596 13 663 757 15 354 129 17 328 361 18 632 147 19 871 420 21 083 377

Extract from Estimates of Provincial Revenue and Expenditure (EPRE)

Moderation of the wage bill: The compensation of employees cost and head counts are still growing despite SOPA calling for moderation of wage bill. Budget and Finance Committee of 19 June 2012 directed that this area of spending should receive special attention in each vote.

There is a special project that is currently taking place that is aimed at assessing the compensation of employees budget vs actual, issues of organisational structures jointly between the Provincial Treasury, Office of the Premier, DPSA and the rest of the provincial departments.

Staff verification process is currently taking place in the whole administration. The Provincial Treasury is conducting the verification in all votes with the exception of Education, Health and Public Works Roads and Transport


R Thousands

Main Budget 2012/13


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Main Budget 2011/12


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Social Services 3 629 239 809 797 22 3% 2 819 308 134 0 0% 4 008 714 695 295 17 3% 3 318 361 ( 4 942) -0 1%

EDUCATION 1 376 033 410 348 29 8% 965 685 - 0 0% 1 416 801 244 828 17 3% 1 171 973 - 0 0%

HEALTH 2 110 106 366 817 17 4% 1 743 155 134 0 0% 2 427 936 418 033 17 2% 2 014 845 ( 4 942) -0 2%

SOCIAL DEVELOPMENT 143 100 32 632 22 8% 110 468 - 0 0% 163 977 32 434 19 8% 131 543 - 0 0%


OFFICE OF THE PREMIER 42 889 5 820 13 6% 37 037 32 0 1% 26 636 5 839 21 9% 20 981 ( 184) -0 7% MPUMALANGA PROVINCIAL LEGISLATURE 82 929 18 234 22 0% 64 616 79 0 1% 60 237 12 673 21 0% 110 844 ( 63 280) -105 1%

FINANCE 116 122 16 938 14 6% 98 551 633 0 5% 91 012 14 578 16 0% 80 458 ( 4 024) -4 4% CO-OPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS 61 423 7 626 12 4% 54 089 ( 292) -0 5% 83 668 20 853 24 9% 69 469 ( 6 654) -8 0%

AGRICULTURE, RURAL DEVELOPMENT AND LAND ADMINISTRATION 213 699 42 703 20 0% 170 055 941 0 4% 205 455 46 107 22 4% 168 682 ( 9 334) -4 5% ECONOMIC DEVELOPMENT, ENVIRONMENT AND TOURISM 73 153 19 340 26 4% 68 988 ( 15 175) -20 7% 65 373 20 031 30 6% 50 550 ( 5 208) -8 0% PUBLIC WORKS, ROADS AND TRANSPORT 1 245 621 294 023 23 6% 953 541 ( 1 943) -0 2% 1 252 085 431 727 34 5% 856 029 ( 35 671) -2 8%COMMUNITY SAFETY,SECURITY AND LIASION 430 450 110 614 25 7% 319 836 - 0 0% 48 193 8 809 18 3% 40 374 ( 990) -2 1%

CULTURE SPORT AND RECREATION 114 543 10 647 9 3% 103 955 ( 59) -0 1% 120 775 24 751 20 5% 96 024 - 0 0%

HUMAN SETTLEMENT 45 000 7 836 17 4% 37 164 - 0 0% 20 428 9 694 47 5% 37 102 ( 26 368) -129 1%TOTAL 6 055 068 1 343 578 22 2% 4 727 140 ( 15 650) -0 3% 5 982 576 1 290 357 21 6% 4 848 874 ( 156 655) -2 6%

GOODS AND SERVICES

Departments have been requested to submit procurement plans in order to encourage a much more structured method of spending, as well as improved monitoring. Where procurement plans were not finalised on time, spending has been slow in some of the votes


R Thousands

Main Budget 2012/13


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Main Budget 2011/12


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Social Services 1 393 086 459 866 33 0% 933 354 ( 134) 0 0% 1 404 927 464 126 33 0% 942 111 ( 1 310) -0 1%

EDUCATION 926 006 396 428 42 8% 529 578 - 0 0% 866 005 321 385 37 1% 544 620 - 0 0%

HEALTH 177 316 43 215 24 4% 134 235 ( 134) -0 1% 188 621 52 148 27 6% 137 211 ( 738) -0 4%

SOCIAL DEVELOPMENT 289 764 20 223 7 0% 269 541 - 0 0% 350 301 90 593 25 9% 260 280 ( 572) -0 2%


OFFICE OF THE PREMIER 150 111 74 0% 39 - 0 0% - 188 - ( 188) MPUMALANGA PROVINCIAL LEGISLATURE 19 404 10 266 52 9% 14 238 ( 5 100) -26 3% 17 640 4 246 24 1% 13 394 - 0 0%

FINANCE 41 34 82 9% 7 - 0 0% 1 300 133 10 2% 1 167 - 0 0% CO-OPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS 20 018 7 473 37 3% 12 632 ( 87) -0 4% 9 600 1 072 11 2% 18 449 ( 9 921) -103 3%

AGRICULTURE, RURAL DEVELOPMENT AND LAND ADMINISTRATION 277 454 62 579 22 6% 239 046 ( 24 171) -8 7% 302 769 30 492 10 1% 287 418 ( 15 141) -5 0% ECONOMIC DEVELOPMENT, ENVIRONMENT AND TOURISM 523 723 170 599 32 6% 353 187 ( 63) 0 0% 414 285 129 333 31 2% 284 952 - 0 0% PUBLIC WORKS, ROADS AND TRANSPORT 544 990 118 676 21 8% 427 926 ( 1 612) -0 3% 525 313 108 721 20 7% 419 823 ( 3 231) -0 6%COMMUNITY SAFETY,SECURITY AND LIASION 1 150 362 31 5% 788 - 0 0% 100 154 154 0% - ( 54) -54 0%

CULTURE SPORT AND RECREATION 8 400 169 2 0% 8 231 - 0 0% 13 050 2 924 22 4% 10 110 16 0 1%

HUMAN SETTLEMENT 970 715 189 158 19 5% 781 770 ( 213) 0 0% 1 052 606 163 789 15 6% 888 819 ( 2) 0 0%TOTAL 3 759 131 1 019 293 27 1% 2 771 218 ( 31 380) -0 8% 3 741 590 905 178 24 2% 2 866 243 ( 29 831) -0 8%

TRANSFERS AND SUBSIDIES


R Thousands

Main Budget 2012/13


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Main Budget 2011/12


Outome as % Budget


(Over) / under-

spending

% (Over) / under-

spending

Social Services 1 379 835 195 461 14 2% 1 184 322 52 0 0% 1 527 159 383 195 25 1% 1 335 523 ( 191 559) -12 5%

EDUCATION 701 693 105 704 15 1% 595 989 - 0 0% 646 419 282 058 43 6% 555 841 ( 191 480) -29 6%

HEALTH 590 910 77 234 13 1% 513 676 - 0 0% 798 453 95 913 12 0% 702 623 ( 83) 0 0%

SOCIAL DEVELOPMENT 87 232 12 523 14 4% 74 657 52 0 1% 82 287 5 224 6 3% 77 059 4 0 0%

Non-Social Services 1 141 750 242 040 21 2% 906 647 ( 6 937) -0 6% 1 224 974 82 426 6 7% 1 129 563 12 985 1 1%

OFFICE OF THE PREMIER 700 872 124 6% - ( 172) -24 6% 400 891 222 8% 100 ( 591) -147 8% MPUMALANGA PROVINCIAL LEGISLATURE 1 909 355 18 6% 1 554 - 0 0% 21 075 12 0 1% 19 765 1 298 6 2%

FINANCE 7 369 483 6 6% 6 875 11 0 1% 5 520 97 1 8% 5 418 5 0 1% CO-OPERATIVE GOVERNANCE AND TRADITIONAL AFFAIRS 5 109 1 628 31 9% 4 946 ( 1 465) -28 7% 8 000 5 902 73 8% 8 673 ( 6 575) -82 2%

AGRICULTURE, RURAL DEVELOPMENT AND LAND ADMINISTRATION 71 412 16 119 22 6% 62 060 ( 6 767) -9 5% 79 309 6 489 8 2% 77 530 ( 4 710) -5 9% ECONOMIC DEVELOPMENT, ENVIRONMENT AND TOURISM 11 389 2 517 22 1% 8 872 - 0 0% 10 738 1 234 11 5% 9 504 - 0 0% PUBLIC WORKS, ROADS AND TRANSPORT 904 229 201 882 22 3% 700 891 1 456 0 2% 998 095 64 981 6 5% 890 419 42 695 4 3%COMMUNITY SAFETY,SECURITY AND LIASION 39 101 1 167 3 0% 37 934 - 0 0% 4 840 462 9 5% 3 187 1 191 24 6%

CULTURE SPORT AND RECREATION 90 184 16 235 18 0% 73 949 - 0 0% 96 997 1 875 1 9% 95 138 ( 16) 0 0%

HUMAN SETTLEMENT 10 348 782 7 6% 9 566 - 0 0% - 483 19 829 ( 20 312) TOTAL 2 521 585 437 501 17 4% 2 090 969 ( 6 885) -0 3% 2 752 133 465 621 16 9% 2 465 086 ( 178 574) -6 5%

PAYMENTS FOR CAPITAL ASSETS


MPUMALANGA CONDITIONAL GRANTS EXPENDITURE AS AT 30 JUNE 2012

Grant Name Total - National

Allocation Transfers from

National Received by Department

Spent by Department as at 30 Jun

2012

Projections to end of Mar

2013

(Over) / under-

spending

Cash available less Actual

spending G-F

Expenditure as %

Budget (G/D)

% Expenditure to Transfers

(G/F)A E F G H I J K L

R'000 R'000 R'000 R'000 R'000 R'000 R'000 % %Agriculture, Rural Development And Land Administration

Comprehensive Agricultural Support Programme Grant 114 829 22 966 22 966 13 899 95 283 5 647 9 067 12% 61%

Ilima/Letsema Projects Grant 42 000 8 400 8 400 1 344 39 227 1 429 7 056 3% 16%

Land Care Programme Grant: Poverty Relief and Infrastructure Development 10 958 - - 415 10 014 529 (415) 4%

Expanded Public Works Programme Integrated Grant for Provinces - Agriculture, Rural Development And Land Administration3 569 - - - - 3 569 - 0% Culture, Sport and Recreation

Community Library Services grant 68 822 9 000 9 000 11 260 57 562 - (2 260) 16% 125%

Mass Participation and Sport Development Grant 39 883 7 875 500 788 39 095 - (288) 2% 158%Expanded Public Works Programme Integrated Grant for Provinces - Culture Sport And Recreation 1 000 400 - - - 1 000 - 0% Social Sector Expanded Public Works Programme Incentive Grant for Provinces - Culture Sport And Recreation 524 131 - - - 524 - 0% Education

Dinaledi Schools Grant 9 172 2 752 2 752 726 8 446 - 2 026 8% 26%

Education Infrastructure Grant 530 711 132 677 132 677 64 209 466 502 - 68 468 12% 48%

HIV and Aids (Life Skills Education) Grant 17 416 1 742 1 742 4 500 12 916 - (2 758) 26% 258%

National School Nutrition Programme Grant 474 560 123 218 116 627 112 710 361 850 - 3 917 24% 97%

Technical Secondary Schools Recapitalisation Grant 25 678 3 852 3 852 2 681 22 997 - 1 171 10% 70%

Further Education and Training Colleges Grant 342 696 94 329 94 329 94 329 248 367 - - 28% 100%

Expanded Public Works Programme Integrated Grant for Provinces - Education 3 000 - - - - 3 000 - 0%

Social Sector Expanded Public Works Programme Incentive Grant for Provinces - Education 12 613 3 153 - 154 - 12 459 (154) 1% Health

Comprehensive HIV and Aids Grant 575 032 115 007 92 632 94 350 480 682 - (1 718) 16% 102%

Health Infrastructure Grant 108 971 27 243 15 561 15 484 93 487 - 77 14% 100%

Health Professions Training and Development Grant 85 208 19 000 11 305 17 741 67 467 - (6 436) 21% 157%

Hospital Revitalisation Grant 300 000 71 297 31 740 31 958 268 042 - (218) 11% 101%

National Health Insurance Grant 11 500 1 150 - 235 11 265 - (235) 2%

National Tertiary Services Grant 91 879 22 968 9 870 13 837 78 042 - (3 967) 15% 140%

Nursing Colleges and Schools Grant 9 740 2 000 - - 9 740 - - 0%

Expanded Public Works Programme Integrated Grant for Provinces - Health 1 069 - - - - 1 069 - 0% Human Settlements

Human Settlements Development Grant 965 127 188 045 188 045 187 554 777 573 - 491 19% 100%Public Works, Roads and Transport

Devolution of Property Rate Funds Grant 76 870 20 000 - - 76 870 - - 0%

Provincial Roads Maintenance Grant 1 240 694 310 173 310 174 172 619 1 066 302 1 773 137 555 14% 56%

Public Transport Operations Grant 439 003 114 140 39 510 111 548 327 455 - (72 038) 25% 282%

Expanded Public Works Programme Integrated Grant for Provinces 16 617 - - - - 16 617 - 0% Community Safety, Security and Liason

Expanded Public Works Programme Integrated Grant for Provinces - Safety,Security And Liasion 522 130 - - - 522 - 0% Economic Development, Environment and Tourism

Expanded Public Works Programme Integrated Grant for Provinces - Economic Development, Environment And Tourism1 000 - - - - 1 000 - 0%

Total 5 620 663 1 301 648 1 091 682 952 341 4 619 184 49 138 139 341 17% 87%


RECOMMENDATIONS - TOWARDS SPENDING 100% BUDGET, AVOID MARCH SPIKE AND ACHIEVE VALUE FOR MONEY

Vote number Name of Department

Compensation of

employees Goods and serives Transfers and Subsidies

Equipment - procurement

plans

Buildings and fixed

structures -

procurement plans

Vote 1 Office of the Premier

Budget includes

earmarked funds

Compensation of

Employees - vacancy

calculator/ planning

matrix

Goods and serives -

procurement plans


plans not applicable

Vote 2 Provincial Legislature

Compensation of

Employees - vacancy


matrix

Goods and serives -

procurement plans cashflow transfer plan



Vote 3 Department of Finance

Budget includes

earmarked funds

Compensation of

Employees - vacancy


matrix

Goods and serives -

procurement plans



Vote 4

Department of Cooperative Governance

and Traditional Affairs

Budget includes

earmarked funds

Compensation of

Employees - vacancy


matrix

Goods and serives -




Vote 5

Department of Agriculture, Rural

Development and Land Administration

Budget includes

conditional grant

funding + earmarked

funds

Compensation of

Employees - vacancy


matrix

Goods and serives -



plans cashflow plan

Vote 6

Department of Economic Development,

Environment and Tourism

Budget includes

earmarked funds

Compensation of

Employees - vacancy


matrix

Goods and serives -



plans cashflow plan

Vote 7 Department of Education

Budget includes

conditional grant

funding + earmarked

funds

Compensation of

Employees - vacancy


matrix

Goods and serives -



plans cashflow plan

Expenditure for 2012/13

Payments for Capital Assets


RECOMMENDATIONS - TOWARDS SPENDING 100% BUDGET, AVOID MARCH SPIKE AND ACHIEVE VALUE FOR MONEY

Vote number Name of Department

Compensation of

employees Goods and serives Transfers and Subsidies


plans

Buildings and fixed

structures -

procurement plans

Vote 8

Department of Public Works, Roads and

Transport

Budget includes

conditional grant

funding + earmarked

funds

Compensation of

Employees - vacancy


matrix

Goods and serives -



plans cashflow plan

Vote 9

Department of Community Safety,

Security and Liaison

Budget includes

conditional grant

funding + earmarked

funds

Compensation of

Employees - vacancy


matrix

Goods and serives -



plans cashflow plan

Vote 10 Department of Health

Budget includes

conditional grant

funding + earmarked

funds

Compensation of

Employees - vacancy


matrix

Goods and serives -



plans cashflow plan

Vote 11

Department of Culture,Sport and

Recreation

Budget includes

conditional grant

funding + earmarked

funds

Compensation of

Employees - vacancy


matrix

Goods and serives -



plans cashflow plan

Vote 12 Department of Social Development

Budget includes

earmarked funds

Compensation of

Employees - vacancy


matrix

Goods and serives -



plans cashflow plan

Vote 13 Department of Human Settlements

Budget includes

conditional grant

funding + earmarked

funding

Compensation of

Employees - vacancy


matrix

Goods and serives -



plans cashflow plan

Expenditure for 2012/13

Payments for Capital Assets


0%

10%

20%

30%

40%

50%

4% 3%

24%

47%

0%

29% 27%

14% 13%9% 10%

25%

8%

Ad

min

% s

ha

re o

f to

tal

bu

dg

et

Departments

Admin as % of Total Budget

-100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000 900,000

1000,000

Am

ount

s in

R Th

ousa

nd

Departments

Administration Main Budget vs ExpenditureAdministration Budget Admin Expenditure as at 30 Jun 2012Department

Main BudgetAdministration

Budget

Admin as % of Total Budget

Admin Expenditure as at 30 Jun

2012

Education 13 983 862 565 012 4% 236 947

Health 7 544 189 200 217 3% 41 285

Social Development 920 299 218 942 24% 53 206

Office of the Premier 158 103 75 068 47% 15 012

Mpumalanga Provincial Legislature 213 600 0%

Finance 255 340 75 116 29% 16 590

Co-Operative Governance and Traditional Affairs 337 424 89 529 27% 16 562

Agriculture, Rural Development and Land Administration 980 476 140 479 14% 27 890

Ecomonic Development, Enviroment and Tourism 770 191 99 416 13% 25 860

Public Works Roads and Transport 3 510 977 321 695 9% 95 234

Community Safety, Security and Liaison 803 704 79 406 10% 18 287

Culture,Sport and Recreation 324 817 81 087 25% 14 690

Human Settlements 1 164 949 88 907 8% 19 207

Total 30 967 931 2 034 874 6 6% 580 770

MPUMALANGA SUMMARY OF ACTUAL BUDGET VS ADMINISTRATION BUDGET

2012/13

Target ratio to reduce Programme 1 to 6%


Recommendations that were adopted at the Executive Council Lekgotla on 25 July 2012

a) Compensation of Employees project: The special project on Compensation of Employees should continue and Provincial Treasury should ensure achievement of desired results. Departments will present reports on how they intend moderating the wage bill.

b) Submission of procurement plans: departments have embraced the introduction of procurement plans that will improve spending and determination of cashflow requirements

c) Approval has been granted by the Executive Council Lekgotla that procurement plans must be submitted with final budget documentation during January of each year (eg January 2013 for 2013/14 financial year). When Annual Performance plans are finalised and submitted procurement plans must also be submitted to the Provincial Treasury. When the provincial budgets are tabled in the Provincial Legislature , the Provincial Treasury must have concluded the analysis of these plans and the necessary sign off must be in place.

d) Cashflow issues – cash to be transferred to departments only upon presentation of disbursement reportse) Cost Curtailment – the province to continue to implement cost curtailment measures. Provincial Treasury

to continue to monitor and enforce cost curtailment measuresf) Workgroups that have been established with planners, conditional grant managers, must be enhanced in

order to improve spendingg) Accruals: Each department that has incurred accruals must present a plan on how the accruals will be

cleared as well as impact on the 2012/13 Annual Performance Plans. h) Low Spending: Executive Council Lekgotla has supported the recommendation made by Provincial

Treasury that all Members of Executive Council must intensify monitoring of spending of their votes and ensure corrective measures on all issues raised at the Executive Council Lekgotla

i) Mpumalanga Finance Bill must be finalised as it has gone through the applicable processes and is now ready for presentation before the Budget and Finance Committee and Executive Council and thereafter tabling at Mpumalanga Provincial Legislature

FinanceDEPARTMENT: FINANCEMPUMALANGA PROVINCIAL GOVERNMENT

THANK YOU

26

Finance DEPARTMENT: FINANCE MPUMALANGA PROVINCIAL GOVERNMENT Presentation to Select Committee on Finance on Budget and Expenditure Outcomes for the period.

Documents

finance department

mpumalanga finance bill

finance committee

provincial treasury

provincial departments

mpumalanga province

transport slide

report slide