Public Hearing on Conditional Grants and Capital Expenduture 2005/06 Free State Department of Agriculture Presented by Mr. MC Mokitlane

Relevant Conditional Grants Comprehensive Agricultural Support Programme (CASP) Comprehensive Agricultural Support Programme (CASP) Land Care Programme (LC) Land Care Programme (LC) Agricultural Disaster Management (ADM) Agricultural Disaster Management (ADM) Provincial Infrastructure Grant (PIG) Provincial Infrastructure Grant (PIG)

2005/06 Allocated Budget and Roll-Over Funds Grant Allocated Budget (R’000) 2004/05 Roll-Over (R’000) Total Available Budget (R’000) CASP Land Care Disaster Management (Adj.) PIG TOTAL

2005/06 Transfers (From National) GrantAMJJASONDJFM CASP __ __ __4218__ LC __700__700__400__ ADM ________16000__ PIG ________-__ TOTAL __ __ __20618__ Total

2005/06 Budget and Expenditure up to March’06 GrantBudget(R’000) Expenditure (R’000) Deviation (%) (under–expenditure) CASP36,46336,4630 Land Care 3,5143,505(0.02) Disaster Manageme nt 33,00026,328(20.2) PIG24,30824,305(0.02) TOTAL97,28590,601(6.9)Deviation“R”0 0,000 6, ,684

2005/06 Quarterly Grant Expenditure up to March’06 (R’000) Grant2005/06Q12005/06 Q2 Q22005/06 Q3 Q32005/06 Q4 Q4TOTAL CASP Land Care Disaster Management PIG TOTAL

2005/06 Monthly Grant Expenditure up to March’06 (R’000) GrantAMJJASONDJFMTotal CASP LC ADM(28) PIG (118) TOTA L

2005/06 Quarterly Capital Expenditure up to March’06 (R’000) Capital Assets 2005/06Q12005/06 Q2 Q22005/06 Q3 Q32005/06 Q4 Q4 Assets TOTAL

2005/06 Monthly Capital Expenditure up to March’06 (R’000) Capit al AMJJASONDJFM Assets TOTAL

Monitoring Capacity Assessment of monitoring capacity: Assessment of monitoring capacity: –At farm level progress on projects are monitored by extension staff; –At Departmental level projects are monitored by the M&E Unit; –Financial progress is monitored at Departmental level by Financial Management and the M&E Unit. –Manual processes have been utilised to date –A web based computer system is being developed and will be launched in March 2006 and effectively utilised in the 2006/07 financial year. This will provide instant access to information relating to any approved infrastructure projects. –Main constraints in terms of monitoring is the understaffing of the M&E Unit, as well as the level of authority and mandate thereof.

Monitoring Capacity (Cont.) Constraints identified: Constraints identified: –Financial procedures and delegations –Procurement and tender procedures –Seasonal limitations –Internal staff capacity –Departmental operating capital budget –Financial management and recordkeeping at farm and regional level –Regional responsibilities and delegations –Group dynamics

Monitoring Capacity (Cont.) Corrective actions: Corrective actions: –New financial delegations to SCM and Regions implemented since 12 October 2005 –SCM staff capacity improvements –Reprioritization of operating capital budget

Reporting Trends The Department submits the following prescribed reports to NDA, Provincial Treasury and the Provincial DPW: The Department submits the following prescribed reports to NDA, Provincial Treasury and the Provincial DPW: –EPWP Reports –DORA Reports –Treasury Infrastructure Reports –Treasury Quarterly Non-Financial Reports –CASP Quarterly Non-Financial Progress Report All reports are submitted on or before the 15 th day of each month, except in the case of quarterly reports. All reports are submitted on or before the 15 th day of each month, except in the case of quarterly reports.

Service Level Agreements During the 2005/06 financial year the Department entered into four service agreements: During the 2005/06 financial year the Department entered into four service agreements: –Business Intelleq CC: 01/10/2005 –CSIR: 08/08/2005 –NWGA: 05/08/2004 (Ongoing: ) –Central Business Consultants CC: 21/10/2005

I Thank You!