Report of the Portfolio Committee on Public Service and Administration on Budget Vote 9 (Public Service and Administration) for 2009/10, as adopted on 11 February 2009

The Portfolio Committee on Public Service and Administration received a briefing by the Department of Public Service and Administration (DPSA) on Budget Vote 9 for 2009/10, on the 27^th January 2009.

The DPSA was allocated a total budget of R355 801 000 for 2009/10. This budget is divided as follows amongst its programmes:

1. Administration: R108 793 000

2. Human Resource Management Development: R68 746 000

3. Management of Compensation: R51 230 000

4. Information and Technology Management : R41 531 000

5. Service Delivery Improvement: R32 725 000

6. Governance: R41 023 000

7. Centre for Public Service Innovation: R11 753 000

The Department has launched a new programme for 2009/10, namely the Centre for Public Service Innovation (CPSI), which previously fell under the Service Delivery Improvement programme. The Portfolio Committee was satisfied with the briefing it received on Budget Vote 9.

Public Entities reporting to the Department of Public Service and Administration: State Information Technology Agency (SITA)

The Committee also received a briefing for the State Information technology Agency on its annual report for 2008/09, its strategic plan and budget vote report for 2009/10, on the 28^th January 2009.

The Committee expressed concern on the average number of debtor days that SITA reported in its financial statements. As SITA provided services to Government Departments, the Committee was concerned that the departments concerned were not paying their debts to SITA timeously.

In terms of Section 38 (f) of the Public Finance Management Act (No. 1 of 1999), the accounting officers “must settle all contractual obligations and pay all money owing, including intergovernmental claims, within the prescribed period. The Accounting officer should also, in terms of Section 38(h)(ii) “take effective and appropriate disciplinary steps against any official in the service of the Department, trading entity or constitutional institution who –

Commits an act which undermines the financial management and internal control system of the department, trading entity or constitutional institution;”

Section 51 (b)(i) outlines SITA’s accounting officer’s responsibility to “take effective and appropriate steps to collect all revenue due to the public entity concerned.’

The Committee believes that the high number of Debtor days will affect SITA’s ability to provide services as outlined in the objective of the State Information Technology Agency Act (No. 88 of 1998).

Recommendation:

1) The Portfolio Committee recommends that the National Assembly adopts Vote 9 for 2009/10.

2) The Minister of Public Service and Administration should report to Parliament, what steps are being taken to collect outstanding fees owed to SITA from other Government Departments, by August 2009.