BRIEFING TO PORTFOLIO COMMITTEE BY THE DEPARTMENT OF SOCIAL DEVELOPMENT ON THE SOCIAL RELIEF FUND BILL: 4 JUNE 2003

The Department of Social Development envisages to introduce the following laws to Parliament during 2003 for finalisation by the end of 2003.

Social Relief Fund Bill

It is envisaged that the Bill will be submitted to the Minister for submission to Cabinet during June 2003. The Bill will then be forwarded to the State Law Advisors and certification after which the Bill will be tabled in Parliament.

WHY SOCIAL RELIEF FUND BILL?

The Board of the various relief funds has decided to formulate a new Bill called: The Social Relief Fund Bill rather than amending the Fund Raising Act, Act No. 107 of 1978.

The reason for the name change and new Bill was predominantly:

the need to consolidate all the relief funds into one fund;
the fact that the entire Fundraising Act 1978, is no longer applicable due to various amendments and deletions to the Act resulting in only one chapter remaining;
the core business of the board which is social relief hence the new name and new act;
to facilitate the development of a comprehensive Social Relief Fund law relevant to current challenges.

Many of the same members of the previous boards were re-appointed to all the boards in June 2002 in order to finalise the amendments of the Fundraising Act and to finalise various initiatives amongst others:

policy and procedure manual for the Social Relief Fund;
policy and procedure manual for Refugee Relief Fund;
engage stakeholders involved in refugee relief;
to initiate the process to evolve the board into a public entity;
the annual report.

All these initiatives need to be finalised before the end of term of office of the board in 2004.

PURPOSE OF THE NEW BILL

To consolidate all the relief funds into one fund and the management thereof as mentioned above;
To streamline all the administrative and secretariat services for the boards;
To provide for a national public entity independent from the Department of Social Development.

PROPOSED NEW BILL

The proposed new Bill is to focus on:
rendering relief and assistance to persons and organisations;
providing for the objects, duties and composition of the Board of the Fund;
regulating the control of the collection of contributions from the public;
providing for the declaration of certain occurrences as disasters;
regulating the Fund’s financial affairs and staff matters.

POLICY SHIFTS IN NEW BILL

The definition of "asylum seeker" rather than "refugee" is inserted because the Board identified that the key role that they should play is normally at an initial stage when asylum seekers enter the country. This role was strongly recommended at a recent consultative workshop. The services are envisaged to be provided through organizations which provide services to asylum seekers;

The five current Funds would now be consolidated into one Fund and funds would be placed in one account. This would also assist in streamlining the administrative and the secretarial services to the Board. The Board would be able to utilise funds which would normally remain dormant for where there are greater needs, e.g. disasters;

The composition of the board changes. This will result in a broad range of knowledge and skills within the Board;

An Executive Committee would be established in order to facilitate decision making outside the Board;

The appointment of a Chief Executive Officer to manage the affairs of the Fund;

The Bill attempts to institutionalise the whole concept of the Board being a public entity and provides for the supporting structure to support its activities. There is a critical need for the Board to be transformed into a fully-fledged national public entity in an effort to improve service delivery to the people it is serving. This will enable the Board to be fully accountable for the financial management of the Fund.