Expenditure estimates

Expenditure estimates

Table 20.1: Sport and Recreation South Africa
Programme		Expenditure outcome					Medium-term expenditure estimate
		Audited	Audited	Preliminary	Adjusted	Revised
				outcome	appropriation	estimate
R thousand		1999/00	2000/01	2001/02	2002/03		2003/04	2004/05	2005/06
1 Administration		7 134	11 706	12 880	16 264	15 464	18 187	18 971	20 497
2 Funding, Policy and Liaison		111 109	58 768	49 145	69 308	69 308	78 075	87 921	93 067
3 Building for Sport and Recreation		9 900	–	39 068	90 330	82 530	129 500	–	–
Total		128 143	70 474	101 093	175 902	167 302	225 762	106 892	113 564
Change to 2002 Budget Estimate					15 575	6 975	20 587	24 614

Economic classification
Current		120 370	69 682	64 566	91 224	90 424	102 032	106 622	113 144
	Personnel	5 596	6 531	8 173	11 252	10 452	12 962	12 961	14 067
	Transfer payments	108 369	54 391	43 100	60 407	60 407	64 247	72 490	76 138
	Other current	6 405	8 760	13 293	19 565	19 565	24 823	21 171	22 939
Capital		7 773	792	36 527	84 678	76 878	123 730	270	420
	Transfer payments	6 713	–	36 104	84 117	76 317	123 095	–	–
	Acquisition of capital assets	1 060	792	423	561	561	635	270	420

Total		128 143	70 474	101 093	175 902	167 302	225 762	106 892	113 564

Standard items of expenditure
Personnel		5 596	6 531	8 173	11 252	10 452	12 962	12 961	14 067
Administrative		2 209	4 074	5 884	7 470	7 470	10 404	8 590	9 387
Inventories		263	465	576	944	944	1 311	1 399	1 492
Equipment		690	968	832	1 042	1 042	1 443	991	1 194
Land and buildings		–	–	–	–	–	–	–	–
Professional and special services		4 234	4 007	6 365	10 670	10 670	12 300	10 461	11 286
Transfer payments		115 082	54 391	79 204	144 524	136 724	187 342	72 490	76 138
Miscellaneous		69	38	59	–	–	–	–	–
Total		128 143	70 474	101 093	175 902	167 302	225 762	106 892	113 564

Expenditure trends

Expenditure in Sport and Recreation South Africa has fluctuated in recent years, primarily because of the variations in funding available for infrastructure projects and for supporting major international events (such as the All Africa Games in 1999/00). The budget available for the core activities of the Department has, however, grown steadily in recent years and continues to do so over the medium term.

Transfer payments (including capital transfers to local authorities for facilities) dominate the Vote, at a projected 83 per cent of the budget for 2003/04. Excluding funding of facilities, current transfers constitute the largest component of the Department’s budget (63 per cent in 2003/04). Over the medium term, current transfers (largely funding of the South African Sports Commission and other sports bodies) is expected to grow at an average annual 8,0 per cent compared to projected personnel expenditure growth of 7,7 per cent.

Aggregate expenditure growth of more than 37 per cent on the Administration and Funding, Policy and Liaison programmes in 2002/03 was partly due to a R12,5 million rollover from the Department of Trade and Industry to contribute to facility upgrading in poor communities in the run-up to the Cricket World Cup.

Excluding the special poverty relief allocation for upgrading facilities in the Building for Sport and Recreation programme, the growth over the medium term is an annual average of 9,9 per cent, with projected expenditure increasing from R86 million in 2002/03 to R114 million in 2005/06. The increase in departmental baseline allocation by R21 million for 2003/04 and R25 million for 2004/05 is allocated mainly to strengthen initiatives to boost participation and sports tourism. Special poverty relief allocations for 2004/05 have not been finalised, pending a review of programmes during the first half of 2003. This explains the decline in projected expenditure in 2004/05.