National Assembly
Report of the Ad Hoc Committee on Public Works on Vote 6 of the 2004/5 Budget dated 2 June 2004:
1. INTRODUCTION
The Committee having considered the budget of the Department of Public Works (Vote6) for 2004/5 financial year and the forward estimates for 2005/6 and 2006/7 included in the Estimates of the National Expenditure 2004, as well as the Department's Medium Term Strategic Plan 200/5-200/7, reports as follows:
The Chairperson welcomed the Department officials and members of the Committee as well as the interested members of the public to the meeting. The Committee expressed its appreciation to the participants and contributions. The Director-General (Mr. J Maseko) of the Department of Public Works proceeded to brief the Committee on the Budget Vote 6 for 2004/5 and forwarded estimates for 2005/6 and 2006/7. A report would be submitted to Minister and the Department about the recommendations that the Committee would outline.
The following were in attendance: Chairperson, Mr. F Bhengu; Mr. TG Anthony, Mr. LD Maduma, Mr. NE Magubane, Mr. HP Maluleka, Mr. K Moonsamy, Mr. RZ Nogumla, Mrs. TLP Nwamitwa-Shilubana, Mr. JP Phungula, Ms CPM Ramotsarnai, Ms PS Sekgobela, Mr. J Gogotya, Mr. S Siboza (All ANC); Mr. JPI Blanche, Mr. S Opperman (all DA) and Ms NM Mdaka (UDM). The officials from the Department were led by the Director-General, Mr. J Maseko, Dr S Philips; COO, Mr. Z Ntsaluba; CFO, Mr. T Camane; DDG Regions, Ms M Fatyela-Lindie, Manager Strategic Unit and Mr. A Meyering, Director Property Owner activities.
The Department's budget for 2004/5 is divided into four programmes with their measurable objectives and their main features are:
Programme I Administration:
This programme conducts the overall management of the department and provides support services. It determines working methods, functions, exercises control through head and regional offices.
The allocation for this programme is R240M.
This is the amount that the Department requested from the National Revenue.
Programme 2 Provisioning of Land and Accommodation
The programme conducts
The programme provides for acquisition of land and maintenance of accommodation and ensures that the national departments and institutions have a built environment that meets their requirements.
Allocation for this programme is R4.493m and the amount that was requested from the National Revenue was R5. 217m, there is shortfall ofR723m (see page 3 presentation on budget preview).
Programme 3 National Public Works Programme
This programme encompasses the following:
This deals with promotion of sustainable growth of construction and property industry whilst fast-tracking their transformation and development. It serves as a key function of national state property portfolio under NDPW and seeks to alleviate unemployment.
The NPWP of which the Extended Public Works Programme fall under has been allocated R69m whilst the department has requested R74m and the shortfall is R5m (see page 3 presentation on budget preview).
Programme 4 Auxiliary and Associated Services
This programme includes provision of various services namely; It is used to compensate for losses incurred in state housing guarantee scheme of public servants who fail to meet their obligations, Maintenance of war graves and national memorials Arrangements for public functions Acquisitions of vehicles for departmental use Skills Development Act Levies Financial assistance to Parliamentary Villages Management Board. The programme has been allocated R17m as requested by the department.
Implications for the underfunding
The Department will unavoidably be forced to overspend since the major programme had shortfalls.
The shortfall would further exacerbate the maintenance backlog of state properties that are in a state of disrepair.
The Committee commends the department for its achievements have been over the ten- year period of our democracy but a lot needs to be done to meet the obligations as defined in the strategic plan. The Committee would like to cite few of these achievement! as follows:
1. In 1994 the Community Based Public Works Programme was a mile- stone in improving the lives of our people particularly the poorest of the poor
2. The launching of a Strategic Empowerment programme for women in 2001.
3. The continuation of building of infrastructure that enables government departments to carry out their functions optimally.
4. The introduction of the EPWP on February 2003 and the launching of the Extended Public Works Programme on May 2004 in Limpopo.
Recommendations
The Committee recommends that:
Maintenance of the state properties leaves a lot to be desired, it imperative that built environment that national department and institutions occupy meet the required standard for service delivery.
The role of coordination and user friendly guidelines of EPWP must be clearly defined by the department.
The cluster departments that are implementing the EPWP should meet twice a year to evaluate their progress in terms of meeting government objectives and report twice to the Committee progress made.
The Department needs to finalise the asset register and to continually update it. Report to be considered.