Conditional Grants Presentation Northern Cape Province Select Committee on Finance – Tuesday 07th June 2005

Vision Health service excellence for all.

Mission Empowered by the Peoples‘ Contract, we are committed to provide quality health care services; we will promote a healthy society in which we care for one another and take responsibility for our health; our caring, multi-skilled professionals will integrate comprehensive services, using evidence-based care-strategies and partnerships to maximise efficiencies for the benefit of all.

Trends in Allocations

Trends in Allocations The conditional grants increase at a dramatic rate over the six year period indicated above. The first MTEF period (2002/03 – 2004/05) shows a overall increase of 67%. The main contributors to this increase are the Hospital Revitalisation and comprehensive HIV & AIDS grants. The decrease in Integrated Nutrition Programme is because of the Primary School Nutrition component being managed by the Department of Education from 2004/05.

Trends in Allocations The second MTEF period (2004/05 – 2007/08) shows an overall increase of 166%. The other grant that show a dramatic increase of 208% is the National Tertiary Services grant. The Integrated Nutrition Programme is phased out in 2006/07.

Conditional Grants Expenditure Performance

Conditional Grants Expenditure Performance

Conditional Grants Expenditure Performance The Department spent all its conditional grants in 2002/03 except the small under-expenditure of 1.8% on the Hospital Revitalisation.

Conditional Grants Expenditure Performance

Conditional Grants Expenditure Performance

Conditional Grants Expenditure Performance The under spending on capital is mainly because of the following: Delays by Public Works with the tendering process (eg advertisement, adjudication and awarding of contracts) Lack of appropriate skills and capacity in Public Works. The revision of the designs to include the requirements of the Health and Pharmaceutical Acts. Lack of business principles by contractors resulting in cash flow problems and delays in completion of contracts.

Conditional Grants Expenditure Performance No reference bench marks of design exist nationally on the Mental Health facility as no new facility has been built in more than the last two decades. The availability of material in the rural areas poses a challenge for the timely completion of projects.

Conditional Grants Expenditure Performance Remedial Measures Formal establishment of the Departmental project office to maintain pressure on implementation process rendered by the Department of Public Works. Appoint appropriate technical assistance to render advise for the management of cash flow, the resources and time management. Delegation of the tender processes to the Departments as part of their Supply Chain Management. Capacity of contractors to be categorised into their appropriate levels of capacity.

Conditional Grants Expenditure Performance

Conditional Grants Expenditure Performance

Monthly Reports The Northern Cape Department of Health is the receiving Department and does not transfer grants to other departments or institutions.

Hospital Revitalisation Number of hospitals completed on the programme - 2 Each completed hospital should have achieved modernized infrastructure, up to date equipment, improved management systems and quality assurance systems.

Economic spin offs Unemployment in the Northern Cape is high. Revitalisation projects assists in improving the economic climate Multi – procurement policy Capacity building

Submission of Business Cases – 2005/06 Business Cases have been submitted

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