1 Presentation to Standing Committee on Appropriation: 21 October 2009

2 1. STATE OF EXPENDITURE AS AT 30 JUNE 2009

3 NATIONAL STATE OF EXPENDITURE AS AT 30 JUNE 2009

4 COMMENTS ON THE NATIONAL STATE OF EXPENDITURE FOR THE FIRST QUARTER PER PROGRAMME AS AT 30 JUNE 2009 The final overall expenditure of the Department as at 30 June 2009 was at 21.85% against the spending plan of 22.62% (under-spending). The actual spending of 23.17% against the spending plan of 24.31% (under-spending) under the Programme Administration is mainly due to the low spending of funds allocated for MISP projects (RDOMS and EDRMS). The actual spending of 23.83% against the spending plan of 22.94% (over-spending) under the Programme Security is mainly due to the payments of overtime made to the correctional officials in line with the continuous implementation of the PSCBC Resolution number 1 of The implementation of 7-Day Establishment with effect from 1 July 2009 will result in the reduction of the overtime expenditure which used to be paid in line with the 5-Day Work Week Establishment.

5 COMMENTS ON THE NATIONAL STATE OF EXPENDITURE FOR THE FIRST QUARTER PER PROGRAMME AS AT 30 JUNE 2009 The actual spending of 22.78% against the spending plan of 24.02% (under-spending) under the Programme Corrections is mainly due to the low spending of funds allocated for the purchases of Machinery and equipment due to ITC approval problems and the delay in the bidding process. The actual spending of 19.81% against the spending plan of 23.68% (under-spending) under the Programme Care is broadly due to the relevant outstanding internal charges transactions to be cleared to this Programme in line with the request for items and consumption thereof. The actual spending of 18.96% against the spending plan of 23.20% (under-spending) under the Programme Development is mainly due to the low spending of funds allocated for the purchases of Machinery and equipment due to ITC approval problems and the delay in the bidding process.

6 COMMENTS ON THE NATIONAL STATE OF EXPENDITURE FOR THE FIRST QUARTER PER PROGRAMME: 30 JUNE 2009 The actual spending of 23.70% against the spending plan of 21.79% (over-spending) under the Programme Social Reintegration is mainly due to the payments of overtime made to the correctional officials in line with the continuous implementation of the PSCBC Resolution number 1 of The implementation of 7-Day Establishment with effect from 1 July 2009 will result in the reduction of the overtime expenditure which used to be paid in line with the 5- Day Work Week Establishment. The actual spending of 15.77% against the spending plan of 16.65% (under-spending) under the Programme Facilities is mainly due to the low spending of funds allocated for capital works projects due to the low and late billing from the Department of Public Works for capital works projects completed.

7 COMMENTS ON THE NATIONAL STATE OF EXPENDITURE FOR THE FIRST QUARTER PER GFS CLASSIFICATION: 30 JUNE 2009 The actual spending of 23.58% against the spending plan of 23.54% (over-spending) on Compensation of Employees is mainly due to the payments of overtime made to the correctional officials in line with the continuous implementation of the PSCBC Resolution number 1 of The implementation of 7-Day Establishment with effect from 1 July 2009 will result in the reduction of the overtime expenditure which used to be paid in line with the 5- Day Work Week Establishment. The actual spending of 21.34% against the spending plan of 23.39% (under-spending) on Goods and Services is mainly due to the low spending of funds allocated for MISP projects. The actual spending of 22.89% against the spending plan of 22.13% (over-spending) on Transfers and Subsidies is mainly due to the payments made for the leave and inmates gratuities under the item households. The actual spending of 12.14% against the spending plan of 14.57% (under-spending) on Payments for Capital Assets is mainly due to the low spending of funds allocated for capital works projects due to the low billing from the Department of Public Works for capital works projects completed.

8 CHALLENGES ON THE BUDGET ALLOCATION FOR 2009/10 FINANCIAL YEAR The GPSSBC Resolution number 2 of 2009 was signed on the 24 June 2009 which makes provision for the implementation of OSD for correctional officials. Phase one of the OSD consists of the implementation of once off back payments to compensate officials for the delay on the OSD implementation effective from the 1 July 2008 to 30 June 2009 (12 months) and the introduction of salary increase adjustment for non-centre and centre based officials. Phase two of the OSD consists of the implementation of remuneration to be paid to the correctional officials based on the recognition of their experience with effect from the 01 April Having noted the OSD obligations against the insufficient budget allocation, the Department is nonetheless obliged to carry on with the implementation of the OSD in terms of the signed GPSSBC Resolution number 2 of 2009.

9 STATE OF EXPENDITURE PER PROGRAMME FOR THE FIRST QUARTER: 30 JUNE 2009

10 STATE OF EXPENDITURE PER PROGRAMME FOR THE FIRST QUARTER: 30 JUNE 2009

11 STATE OF EXPENDITURE PER GFS CLASSIFICATION FOR THE FIRST QUARTER: 30 JUNE 2009

12 STATE OF EXPENDITURE PER GFS CLASSIFICATION FOR THE FIRST QUARTER: 30 JUNE 2009

13 NATIONAL PROJECTED EXPENDITURE PER PROGRAMME FOR THE YEAR: 2009/10 FINANCIAL YEAR

14 NATIONAL PROJECTED EXPENDITURE PER GFS CLASSIFICATION FOR THE YEAR: 2009/10 FINANCIAL YEAR

15 Together doing more to break the cycle of crime