NATIONAL COUNCIL OF PROVINCES
QUESTION 296 12 August 2011
296. Mr Z Mlenzana (COPE-EC) to ask the Minister of Public Works:
Whether her department has taken any measures to ensure that no
expenditure has been incurred without (a) proper authorisation, (b)
required tax clearance certificates, (c) full supporting documents and
(d) proper procurement processes as stipulated in the Public Finance
Management Act, Act 1 of 1999, in the 2010-11 financial year; if not,
why not; if so, what has been the outcome? CW359E
REPLY
a) The Department has put strict measures in place to ensure that no
expenditure is incurred without proper authorization; there are
approved delegations in place that clearly distinguish Officials in
terms of thresholds.
b) The Department ensures that Original Tax Clearance Certificates
becomes a requirement on all Procurements exceeding R30000.00 as
stipulated in the Legislative framework.
c) The Department ensures that in all cases payments are made with
proper supporting documents.
d) The Department has had instances where expenditure was incurred
without proper procurement processes as stipulated in the PFMA in
the 2010/11. These cases are reported monthly either as irregular
expenditure or non-compliance. Supporting motivation, approved by
the delegated authority, is attached to each payment where proper
procurement process was not followed. The Department has an
approved Supply Chain Management policy that is aligned to PFMA,
Treasury Regulations and all Officials are being trained to ensure
that all procurement processes are in terms of the Prescripts.