DEPARTMENT OF HEALTH AND SOCIAL SERVICES: PUBLIC HEARING ON CONDITIONAL GRANTS AND CAPITAL EXPENDITURE

13 OCTOBER 2005


OVERVIEW BUDGET AND EXPENDITURE OUTCOMES

FIRST QUARTER: 1 APRIL 2005 TO 30 JUNE 2005

PART A: SOCIAL SERVICES

1. SOCIAL SERVICES CONDITIONAL GRANTS

1.1 SUMMARY OF ACTUAL EXPENDITURE ON CONDITIONAL GRANTS

Table 1: Summary per conditional grant (current year appropriated funds)

Programme

Budget

Planned for the first quarter R'000

Expenditure

 

R'000

Varience

 

R'000

%Spent on total budget

%Spent on planned budget R'000

1. HIV and AIDS (Community Based Care)

20,619

8.913

574

20,045

3%

6%

2. Integrated Social Development Service Grant

27,651

1,366

2

26,503

0%

0%

Total

48,270

10,279

576

46,548

1%

6%

1.2 REASONS FOR UNDER SPENDING AND CORRECTIVE MEASURES ON CURRENT YEAR APPROPRIATED FUNDS


The expenditure on these grants has been slow in the first quarter. Weekly monitoring sessions have improved the expenditure up to 54% on the HIV and AIDS (Community Based Care) Grant and 40% on the Integrated Social Development Service Grant.


Table 2: Summary per conditional grant (preliminary approved roll over funds)

Programme

Budget

 

R’000

Planned for the first quarter R'000

Expenditure

 

R'000

Varience

 

R'000

%Spent on total budget

%

%Spent on planned budget

%

1. HIV and AIDS (Community Based Care)

793

793

793

0

100%

100%

2. Integrated Social Development Service Grant

11,303

11,303

6,345

4,785

56%

56%

Total

12,096

12,096

7,138

4,785

59%

59%

1.3 REASONS FOR UNDER SPENDING AND CORRECTIVE MEASURES ON ROLL OVER

The under spending of R4,785,000 is mainly as a result of outstanding deliveries for food supplements from Nestle. The service provider has not been able to meet the demands on food supplements. Weekly expenditure monitoring sessions are conducted to ensure that services are delivered as planned to avoid under expenditure on these grants.

Table 3: Summary per conditional grant

Programme

Current year Budget

R’000

Preliminary roll over

R'000

Total Budget

R'000

Planned for the first quarter

R'000

Funds received

R’000

Total Spent

R’000

Varience

 

R’000

%Spent

 

%

%Spent 2004/2005

%

%Spent on planned budget

%

1. HIV and AIDS (Community Based Care)

20,619

793

21,412

9,706

0

1,357

20,055

6%

93%

85%

2. Integrated Social Development Service Grant

11,303

38,954

12,669

0

6,347

32,607

16%

65%

84%

Total

12,096

60,366

22,375

0

7,704

52,662

13%

73%

84%

The low expenditure on the conditional grants has subsequent to the end of the last quarter shown improvement, preliminary expenditure at the end of the second quarter is at 55% on the HIV and AIDS (Community Based Care) and 45% on the Integrated Social Development Grant.


PART B: SOUTH AFRICAN SOCIAL SECURITY AGENCY
1. SOCIAL SECURITY CONDITIONAL GRANT


1.1 SUMMARY OF ACTUAL EXPENDITURE ON SOCIAL SECURITY CONDITIONAL GRANTS


Table 4: Summary per conditional grant (current year appropriated funds)

Programme

Budget

 

 

R'000

Expenditure

 

 

R'000

Planned for the first quarter

R'000

Varience

% Spent on total budget

%

%Spent on planned budget

%

1.Administration

246,139

19,334

170,838

151,504

8%

11%

2. Social Assistance Grants

3,531,761

797,993

858.633

60, 640

23%

93%

Total

3,777,900

817,327

1,029,471

212,144

22%

79%

1.2 REASONS FOR UNDER/OVER SPENDING AND CORRECTIVE MEASURES ON CURRENT YEAR APPROPRIATED FUNDS

Operational costs under Administration remain unspent because of delays in the appointment of staff. During the first quarter, 54 contract positions were filled and 120 permanent positions are expected to be filled in the third quarter. The growth of beneficiaries was less than anticipated at the first quarter.

Table 5: Social Assistance Grants

Grant Type

Budget

 

 

 

R’000

Expenditure

 

 

 

R’000

Planned for the first quarter

R’000

Varience for the first quarter

R’000

%Varience first quarter

 

%

%Spent 2004/2005

 

 

%

%Spent 2003/2004

 

 

%

Old Age

1,442,982

347,352

356,649

9,297

97%

90%

99%

War Veterans

1,054

255

274

19

93%

96%

94%

Disability

794,495

160,890

186,040

25,150

86%

113%

106%

Grants in Aid

0

312

0

(312)

(100%)

(100%)

0%

Foster Care

105,470

20,655

22,327

1,672

93%

139%

116%

Care Dependency

46,846

9,993

10,343

350

97%

122%

98%

Child Support

676,395

158,122

169,099

10,977

94%

102%

110%

Relief of Distress

6,724

16

1,681

1,665

1%

0%

0%

Extension of Child Support

457,795

100,398

112,220

11,822

89%

102%

106%

Total

3,531,761

797,993

858,633

60,640

93%

99.9%

103%

 

PART C ADDITIONAL INFORMATION

1. All business plans have been certified and submitted to the National Treasury for the current financial 2005/06 as indicated by the Division of Revenue Act.

2. Monthly performance reports are certified and sent to the Provincial Treasury and the transferring National Department

MPUMALANGA PROVINCE

DEPARTMENT OF HEALTH AND SOCIAL SERVICES PUBLIC HEARING ON CONDITIONAL GRANTS 13 OCTOBER 2005

SOCIAL SERVICES CONDITIONAL GRANTS

SUMMARY OF ACTUAL EXPENDITURE ON CONDITIONAL GRANTS

Summary per conditional grant (current year appropriated funds)

Programme

Budget

 

R’000

Planned for the first quarter R'000

Expenditure

 

R'000

Varience

 

R'000

%Spent on total budget

%

%Spent on planned budget

%

1. HIV and AIDS (Community Based Care)

20,619

8.913

574

20,045

3%

6%

2. Integrated Social Development Service Grant

27,651

1,366

2

26,503

0%

0%

Total

48,270

10,279

576

46,548

1%

6%

 

REASONS FOR UNDER SPENDING AND CORRECTIVE MEASURES ON CURRENT

YEAR APPROPRIATED FUNDS

The expenditure on these grants has been slow in the first quarter. Weekly monitoring sessions have improved the expenditure up to 54% on the HIV and AIDS (Community Based Care)


Grant and 40% on the integrated Development Service Grant.

Summary per conditional grant (preliminary approved roll over funds)

Programme

Budget

 

R’000

Planned for the first quarter R'000

Expenditure

 

R'000

Varience

 

R'000

%Spent on total budget

%

%Spent on planned budget

%

1. HIV and AIDS (Community Based Care)

793

793

793

0

100%

100%

2. Integrated Social Development Service Grant

11,303

11,303

6,345

4,785

56%

56%

Total

12,096

12,096

7,138

4,785

59%

59%

 

REASONS FOR UNDER SPENDING AND CORRECTIVE MEASURES ON ROLL OVER

The under spending of R4,785,000 is mainly a result of outstanding deliveries for food

As supplements from Nestle. The service provider has not been able to meet the demands on food supplements. Weekly expenditure monitoring sessions are conducted to ensure that services are delivered as planned to avoid under expenditure on these grants.


Summary per conditional grant

Programme

Current year Budget

R’000

Preliminary roll over

R'000

Total Budget

R'000

Planned for the first quarter

R'000

Funds received

R’000

Total Spent

R’000

Varience

 

R’000

%Spent

 

%

%Spent 2004/2005

%

%Spent on planned budget

%

1. HIV and AIDS (Community Based Care)

20,619

793

21,412

9,706

0

1,357

20,055

6%

93%

85%

2. Integrated Social Development Service Grant

11,303

38,954

12,669

0

6,347

32,607

16%

65%

84%

Total

12,096

60,366

22,375

0

7,704

52,662

13%

73%

84%

The low expenditure on the conditional grants has subsequent to the end of the

last quarter shown improvement, preliminary expenditure at the end of the second quarter is at

55% on the HIV and AIDS (Community Based Care) and 45% on the Integrated Social Development Grant

SOCIAL SECURITY CONDITIONAL GRANTS


SUMMARY OF ACTUAL

EXPENDITURE ON CONDITIONAL

GRANTS


Summary per conditional grant (actual expenditure)

Programme

Budget

 

 

R'000

Expenditure

 

 

R'000

Planned for the first quarter

R'000

Varience

% Spent on total budget

%

%Spent on planned budget

%

1.Administration

246,139

19,334

170,838

151,504

8%

11%

2. Social Assistance Grants

3,531,761

797,993

858.633

60, 640

23%

93%

Total

3,777,900

817,327

1,029,471

212,144

22%

79%

 


REASONS FOR UNDERI OVER SPENDING AND CORRECTIVE MEASURES ON CURRENT YEAR

APPROPRIATED FUNDS

Operational costs under Administration remain unspent because of delays in the appointment of staff. During the first quarter, 54 contract positions were filled and 120 permanent positions are expected to be filled in the third quarter. The growth of beneficiaries was less than anticipated at the first quarter.


Social Assistance Grant

Grant Type

Budget

 

 

 

R’000

Expenditure

 

 

 

R’000

Planned for the first quarter

R’000

Varience for the first quarter

R’000

%Varience first quarter

 

%

%Spent 2004/2005

 

 

%

%Spent 2003/2004

 

 

%

Old Age

1,442,982

347,352

356,649

9,297

97%

90%

99%

War Veterans

1,054

255

274

19

93%

96%

94%

Disability

794,495

160,890

186,040

25,150

86%

113%

106%

Grants in Aid

0

312

0

(312)

(100%)

(100%)

0%

Foster Care

105,470

20,655

22,327

1,672

93%

139%

116%

Care Dependency

46,846

9,993

10,343

350

97%

122%

98%

Child Support

676,395

158,122

169,099

10,977

94%

102%

110%

Relief of Distress

6,724

16

1,681

1,665

1%

0%

0%

Extension of Child Support

457,795

100,398

112,220

11,822

89%

102%

106%

Total

3,531,761

797,993

858,633

60,640

93%

99.9%

103%


ADDITIONAL INFORMATION


All business plans have been certified and submitted to the National Treasury for the current financial 2005/06 as indicated by the Division of Revenue Act.

Monthly performance reports are certified and to the Provincial Treasury and the transferring National Department