ATC200608: Report of the Select Committee on Education and Technology, Sports, Arts and Culture on Budget Vote 16: Basic Education, dated 03 June 2020.

NCOP Education and Technology, Sports, Arts and Culture

Report of the Select Committee on Education and Technology, Sports, Arts and Culture on Budget Vote 16: Basic Education, dated 03 June 2020.

The Select Committee on Education and Technology, Sports, Arts and Culture, having considered Budget Vote 16: Basic Education, together with the Basic Education 2020/21 – 2024/25 Strategic Plan and 2020/21 Annual Performance Plans of the Department of Basic Education and its Statutory Bodies, reports as follows:

1. Introduction

The Select Committee on Education and Technology, Sports, Arts and Culture, considered the 2020/21 Annual Performance Plan (APP) and 20/21 – 2024/25 Strategic Plan of the Department of Basic Education on Tuesday, 5 May 2020 as well as the review of its two statutory bodies i.e. the South African Council for Educators (SACE) and the Council for Quality Assurance in General and Further Education and Training (Umalusi) on 12 May 2020 and 19 May 2020 respectively. Due to the current COVID-19 Lockdown, all meetings were held virtually via Microsoft TEAMS jointly with the Portfolio Committee.

The budget review briefings served to acquaint the 6th Parliament Committees with the mandates, programmes and priorities of the Department. Those that appeared before the Joint Committees during the Budget Review sessions included the following:

Department of Basic Education (DBE): Hon A Motshekga: Minister of Basic Education, Hon M R Mhaule: Deputy Minister of Basic Education, Mr H M Mweli: Director-General, Mr P R M Khunou: Chief Finance Officer, Dr M Maboya: Deputy Director-General, Mr S G Padayachee: Deputy Director-General, Ms S Naiken: Deputy Director-General, Dr G Whittle: Deputy Director-General, Dr J Joshua: Deputy Director-General, Ms S Ramohapi, Ms S Geyer: Director, Ms N L Mbonambi: Director, Mr E Mhlanga: Chief Director, Mr D Van Der Westhuijzen: Director, Ms C Nuga-Deliwe: Chief Director, Adv. S D Misser: Chief Director, Ms E Mmola: Director, Ms L Matshaba, Ms N Molai: Director, Ms T Mohlala: Parliamentary Liaison Officer, Mr L Mahada: Director , Ms L Carolissen: Liaison Officer,.

South African Council for Educators: Ms E Mokgalane: Chief Executive Officer, Mr M Mapindani: Chief Finance Officer, Ms T Sophethe: Manager, Mr N Ntantala and Mr M Cele.

The Council for Quality Assurance in General and Further Education and Training (Umalusi): Dr M Rakometsi: Chief Executive Officer, Prof J Volmink: Chairperson, Mr E Sibanda: Member of Council, Ms Z Modimakwane: Member of Council, Mr B Keets: Member of Council, Mr D Maluleke: Acting Chief Finance Officer, Mr L Ditaunyane: Member of Council and Ms S Mosimege: Senior Manager.

This report gives a brief summary of the presentation made by the Department of Basic Education (DBE) to the Committees, focusing mainly on the Department’s 2020/21 Annual Performance Plan, the 2020-24 Medium Term Expenditure Framework (MTEF) allocations, and the overview of allocations per programme. The report also provides the Committee’s key deliberations and recommendations relating to the Vote.

Copies of all presentations on the Budget Review of the Department of Basic Education (DBE), SACE and Umalusi were available from the office of the Committee Secretary.

2. Overview of 2020 Division of Revenue Bill (DoRB)

Slow and declining economic growth, declining tax revenues and increasing debt costs over the past few years have strained the country’s public finances. The Government’s past efforts to place the fiscus on a more sustainable path have been focused on cutting expenditure and raising tax revenue, however; these interventions couldn`t stabilised the debt. The Government’s fiscal consolidation efforts over the 2020 Medium Term Expenditure Framework (MTEF), continues to target expenditure with the aim of reducing expenditure as a share of the Gross Domestic Product (GDP), as well as improving the composition of expenditure (i.e. reduce non-interest spending).

The 2020 Budget, therefore, proposes a net non-interest expenditure reduction of R156.1 billion over the medium term, which is largely to be derived from the proposed cut of R160.2 billion on compensation spending over the same period. Other measures include baseline reductions of R66 billion in 2020/21, R88.1 billion in 2021/22 and R106.8 billion in 2022/23, which will be effected to Government programmes across all three spheres.

The Budget amounts to R1.77 trillion in 2020, which is an increase of R82.6 billion or 4.9 per cent from the adjusted allocation of R1.68 trillion in 2019. The R1.77 trillion budget for 2020/21 is allocated as follows: National Government receives R1.2 trillion, Provinces receive R538.5 billion and the Local Government receives R74.7 billion. The National Government allocation of R1.2 trillion constitutes the bulk of nationally raised revenue, at 65.3 per cent in 2020/21. When the Contingency Reserve, Debt Service Costs and the Provincial and Local Government Conditional Transfers are excluded, the national equitable share amounts to 49.2 per cent. Out of that, Provinces receive 42.2 per cent and the Local Government receives 8.6 per cent in 2020/21 financial year.

2.1. Provincial Transfers

Provincial transfers (i.e. both the equitable share and conditional grants) have been cut in line with the Government’s fiscal consolidation efforts. Provinces had to identify a number of cost-saving measures without compromising services and these include:

Maintaining compensation limits;
Reduced costs by merging provincial public entities so as to improve integrated planning to avoid the duplication of services and enhanced contract management to ensure the correct pricing of projects; and
Identified savings of 5 to 7 per cent in their Budget for each year over the medium term.

There are, however, limitations in the ability of Provinces to effect cost reductions, savings and reprioritisation. Given that 80 per cent of the provincial transfers are allocated through the equitable share, more needs to be done to identify new revenue sources, or alternatively assessing the effectiveness of current revenue sources for optimal revenue generation. In 2020/21, total transfers to Provinces amount to R649.3 billion which includes the equitable share of R538.5 billion and conditional grants of R110.8 billion. Included in the total conditional grant allocation of R106.7 billion is an unallocated amount of R433 million, which is the funding that is set aside for Provincial Disaster Relief (i.e. R138.5 million for 2020/21) and Emergency Housing (i.e. R294.9 million). These funds are only released once a disaster has been declared. Despite the cuts, the Provincial Equitable Share (PES) grows on average by 6.3 per cent, which is above the projected average inflation rate of 4.5 per cent over the 2020 MTEF period.

The Table 1 below shows the estimated budget allocations for all nine provinces over the 2020 MTEF.

Table 1: Budget allocations over 2020 MTEF

*Province R`million*	*Equitable* *Share*	*Conditional* *Grants*	*Total Transfers 2020/21*	*Equitable Share 2021/22 est.*	*Equitable Share 2022//23 est.*
Eastern Cape	71 415	12 488	83 903	75 306	78 841
Free State	30 017	8 239	38 256	31 897	33 657
Gauteng	112 118	23 935	136 053	121 121	129 908
KwaZulu-Natal	111 442	22 011	133 453	117 755	123 544
Limpopo	62 239	9 890	72 219	66 256	69 935
Mpumalanga	44 105	8 312	52 417	46 996	49 724
Northern Cape	14 290	4 542	18 832	15 207	16 068
North West	37 548	7 743	45 291	40 174	42 682
Western Cape	55 208	13 191	68 399	59 276	63 194

2.1.1. Conditional Grant Transfers to the Provinces

Conditional grants are used in most decentralized systems of government to enable specified national objectives. This implies that there is a trade-off between increasing conditional grants to provinces and municipalities and the total amount available for equitable sharing between the three spheres of government.

The extent to which conditional grants are used and their design depend very much on the constitutional, institutional and fiscal circumstances of the country. In the most general sense, the purpose of conditional grants is to influence the fiscal decisions of the provincial government, presumably with the express intent of achieving some objective of national government.

2.1.1.1. Conditional Grant Transfers to the Eastern Cape

(a). Reprioritisation of grant funding:

None for Basic Education sector.

(b). Reductions to baselines:

The Education Infrastructure Grant’s baseline has been reduced by 4 per cent, 5 per cent and 5.9 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R1.9 billion over the medium term.
The National School Nutrition Programme Grant’s baseline has been reduced by 0.4 per cent, 0.5 per cent and 0.6 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R123 million over the medium term.
The baseline of the Maths, Science and Technology Grant has been reduced by 3 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R39 million over the medium term.

2.1.1.2 Conditional Grant Transfers to the Free State

(a). Reprioritisation of grant funding:

None for Basic Education sector.

(b). Reductions to baselines:

The Education Infrastructure Grant’s baseline has been reduced by 4 per cent, 5 per cent and 5.9 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R1.9 billion over the medium term.
The National School Nutrition Programme Grant’s baseline has been reduced by 0.4 per cent, 0.5 per cent and 0.6 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R123 million over the medium term.
The baseline of the Maths, Science and Technology Grant has been reduced by 3 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R39 million over the medium term.

2.1.1.3. Conditional Grant Transfers to the Gauteng

(a). Reprioritisation of grant funding:

None for Basic Education sector.

(b). Reductions to baselines:

The Education Infrastructure Grant’s baseline has been reduced by 4 per cent, 5 per cent and 5.9 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R1.9 billion over the medium term.
The National School Nutrition Programme Grant’s baseline has been reduced by 0.4 per cent, 0.5 per cent and 0.6 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R123 million over the medium term.
The baseline of the Maths, Science and Technology Grant has been reduced by 3 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R39 million over the medium term.

2.1.1.4. Conditional Grant Transfers to the KwaZulu-Natal

(a). Reprioritisation of grant funding:

None for Basic Education sector.

(b). Reductions to baselines:

The Education Infrastructure Grant’s baseline has been reduced by 4 per cent, 5 per cent and 5.9 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R1.9 billion over the medium term.
The National School Nutrition Programme Grant’s baseline has been reduced by 0.4 per cent, 0.5 per cent and 0.6 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R123 million over the medium term.
The baseline of the Maths, Science and Technology Grant has been reduced by 3 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R39 million over the medium term.

2.1.1.5. Conditional Grant Transfers to the Limpopo

(a). Reprioritisation of grant funding:

None for Basic Education sector.

(b). Reductions to baselines:

The Education Infrastructure Grant’s baseline has been reduced by 4 per cent, 5 per cent and 5.9 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R1.9 billion over the medium term.
The National School Nutrition Programme Grant’s baseline has been reduced by 0.4 per cent, 0.5 per cent and 0.6 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R123 million over the medium term.
The baseline of the Maths, Science and Technology Grant has been reduced by 3 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R39 million over the medium term.

2.1.1.6. Conditional Grant Transfers to the Mpumalanga

(a). Reprioritisation of grant funding:

None for Basic Education sector.

(b). Reductions to baselines:

The Education Infrastructure Grant’s baseline has been reduced by 4 per cent, 5 per cent and 5.9 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R1.9 billion over the medium term.
The National School Nutrition Programme Grant’s baseline has been reduced by 0.4 per cent, 0.5 per cent and 0.6 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R123 million over the medium term.
The baseline of the Maths, Science and Technology Grant has been reduced by 3 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R39 million over the medium term.

2.1.1.7. Conditional Grant Transfers to the Northern Cape

(a). Reprioritisation of grant funding:

None for Basic Education sector.

(b). Reductions to baselines:

The Education Infrastructure Grant’s baseline has been reduced by 4 per cent, 5 per cent and 5.9 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R1.9 billion over the medium term.
The National School Nutrition Programme Grant’s baseline has been reduced by 0.4 per cent, 0.5 per cent and 0.6 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R123 million over the medium term.
The baseline of the Maths, Science and Technology Grant has been reduced by 3 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R39 million over the medium term.

2.1.1.8. Conditional Grant Transfers to the North West

(a). Reprioritisation of grant funding:

None for Basic Education sector.

(b). Reductions to baselines:

The Education Infrastructure Grant’s baseline has been reduced by 4 per cent, 5 per cent and 5.9 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R1.9 billion over the medium term.
The National School Nutrition Programme Grant’s baseline has been reduced by 0.4 per cent, 0.5 per cent and 0.6 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R123 million over the medium term.
The baseline of the Maths, Science and Technology Grant has been reduced by 3 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R39 million over the medium term.

2.1.1.9. Conditional Grant Transfers to the Western Cape

(a). Reprioritisation of grant funding:

None for Basic Education sector.

(b). Reductions to baselines:

The Education Infrastructure Grant’s baseline has been reduced by 4 per cent, 5 per cent and 5.9 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R1.9 billion over the medium term.
The National School Nutrition Programme Grant’s baseline has been reduced by 0.4 per cent, 0.5 per cent and 0.6 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R123 million over the medium term.
The baseline of the Maths, Science and Technology Grant has been reduced by 3 per cent, respectively for each year of the 2020 MTEF. The reductions in total amount to R39 million over the medium term.

3. Strategic overview by the Department

The Minister of Basic Education, Hon A Motshekga, Deputy Minister Hon M R Mahaule and the Director-General, Mr. H Mweli led a delegation from the DBE to present on the 2020/21 Annual Performance Plan and the Budget of the Department of Basic Education. The context of the presentation is reported the following sub-headings.

3.1. Overview of the Annual Performance Plan (APP) for 2019/20

The Joint Committees received a presentation on the background and context of the 2020/21 APP. Legally, the Department has only been able to only present on what was tabled to Parliament in March 2020 (pre-COVID-19) and the report would have to be adjusted to make provision for the impact of the COVID-19 Lockdown on the Budget of the Department. The revised Budget will be presented to the Committees once adjustments have been approved and implemented.

The Annual Performance Plan (APP) what the Department doing in the and during the (MTEF) period to implement its Strategic Plan. In fulfilling its legal obligation, the Department must an APP annually to Parliament. The Strategic Plan should cover a period of at least and can be amended during the five-year period it covers. The 2020/21 APP represents the first year of activities towards achieving the objectives contained in the DBE Strategic Plan 2020/21-2024/25. The DBE’s Strategic Plan is anchored on the Government’s long-term plan; the National Development Plan 2030: Our future – make it work, the MTSF 20192024 and the draft Action Plan to 2024.

The Department gave a detailed overview by outlining the shape and the size of the basic education sector giving a comprehensive breakdown of the number of learners, educators and schools in the ordinary school sector by province for 2019. In respect of education statistics, the Department further outlined the size of the schooling system with figures for the number of learners, educators, schools and languages.

The Department further listed the progress on selected key deliverables as follows:

Performance of the Class of 2019 NSC;
NSC performance from 2013 – 2019;
Bachelor passes per province in 2019;
Children 0 – 4 years-old attending Early Childhood Development (ECD) facilities (2009 – 2018);
Percentage of learners in Grade 1 who attended Grade R (2009 – 2018);
Equity;
Percentage of primary school and secondary school combined with a teacher who received specialised training in Learners with Special Educational Needs (LSEN) by province (2017);
Filling of teacher posts;
Funza Lushaka placements 2019;
National School Nutrition Programme (NSNP) Quarter 1 – Quarter 3 of 2019-20
Volume 1 Grade 1 to Grade 9 and Grade R (2017); and
Volume 2 Grade 1 to Grade 9 (2020).

3.1.2. Key Government Priorities

The MTSF 2019–2024 translates the ruling party’s electoral mandate into government’s priorities over a five-year period. Basic Education is critical in priority 2, 3, and 6:

Priority 1: A capable, ethical and developmental state.
Priority 2: Economic transformation and job creation.
Priority 3: Education, skills and health.
Priority 4: Consolidating the social wage through reliable and quality basic services.
Priority 5: Spatial integration, human settlements and local government.
Priority 6: Social cohesion and safe communities.
Priority 7: A better Africa and world.

3.1.3. Alignment of the 2019 – 2024 MTSF Outcomes to the Education Sector

The Department also detailed the following Education Outcomes for the 2019 – 2024 MTSF:

Outcome 1: Improved school-readiness of children.
Outcome 2: 10-year-old learners enrolled in publicly funded schools read for meaning.
Outcome 3: Youths better prepared for further studies and the world of work beyond grade 9.
Outcome 4: Youths leaving the schooling system more prepared to contribute towards a prosperous and equitable South Africa.
Outcome 5: School physical infrastructure and environment that inspires learners to learn and teachers to teach.

3.1.4. The State-of-the-Nation Addresses (SONAs)

3.1.4.1. The State-of-the-Nation Address June 2019

The Department considered the announcements made by the President in the previous SONA. On 20 June 2019, the President announced the implementation of the Early Grade Reading Programme, which consisted of an integrated package of lesson plans, additional reading materials and professional support to Foundation Phase teachers. This formed part of the broader efforts to strengthen the basic education system by empowering school leadership teams, improving the capabilities of teachers and ensuring a more consistent measurement of progress for grades three, six and nine. There was a need to prepare young people for the jobs of the future.

3.1.4.2. The State-of-the-Nation-Address (SONAs) February 2020

In the February 2020 address, the Honorable President Ramaphosa highlighted the following, amongst others:

The investments made in Early Childhood Development and early grade learning would yield great economic benefits in the next two decades and beyond;
There was progress with the introduction of the three-stream curriculum model, heralding a fundamental shift in focus towards more vocational and technical education;
Various technical vocational specialisations have already been introduced in 550 schools and 67 schools were now piloting the occupational stream;
There were plans to issue tablet computers to school students and the distribution process was underway;
Every 10 year-old needed to be able to read with meaning and early reading programmes were gathering momentum;
The Department would be introducing Coding and Robotics in Grades R to 3 in 200 schools, with a plan to implement fully by 2022; and
Following recognition by the Department of Basic Education in 2018 of South African Sign Language (SASL) as a home language and the recommendation by the Parliamentary Constitutional Review Committee that it be the 12th official language, government was poised to finalise the matter.

3.2. Strategic Objectives, Indicators and Targets in the 2019/20 APP

3.2.1. The Action Plan to 2024

The Action Plan to 2024: Towards the Realisation of Schooling 2030 was the sector plan for basic education. The Action Plan is grounded on 27 national goals that are intended to improve basic education across all levels. Thirteen (13) of these goals, were output goals, dealing with better school results and better enrolment of learners in schools. The remaining 14 goals dealt with things that had to happen for the output goals to be realised.

3.2.2. Council of Education Ministers (CEM) Priorities for the 6th Administration

These priorities were approved by the Council of Education Ministers to lay a solid foundation for quality education, in support of improved reading and learning outcomes:

Improving foundational skills of Numeracy and Literacy, especially reading as underpinned by the Reading Revolution;
Immediate implementation of a curriculum with skills and competencies for a changing world in all public schools (Three Stream Model, Fourth Industrial Revolution, Entrepreneurship, Focus Schools, etc.);
Deal decisively with quality and efficiency through the implementation of standardised assessments to reduce failure, repetition, and dropout rates and introduce multiple qualifications such as General Education Certificate before the Grade 12 exit qualification;
Urgent implementation of two years of ECD before Grade 1, and the migration of the 0 - 4 year olds from Social Development to Basic Education;
Complete an integrated Infrastructure Development Plan informed by infrastructure delivery and regular maintenance which is resourced; and
Work with Sport and Recreation, Arts and Culture, Health, and South African Police Services to teach and promote Social Cohesion, Health and School Safety.

3.2.3. Performance Measurement

3.2.3.1. Strategic Plan 2020/21 – 2024/25

The Department gave a detailed overview of the impact statement, outcomes and indicators (including baseline and five-year target) for the following:

Outcome:1: Maintain and develop the system of policies, including the curriculum and assessment, governing the basic education sector to advance a quality and inclusive, safe and healthy basic education system;
Outcome 2: Maintain and develop information and other systems which enable transformation and an efficient and accountable sector;
Outcome 3: Maintain and develop knowledge, monitoring and research functions to advance more evidence-driven planning, instruction and delivery;
Outcome 4: Advance the development of innovative and high-quality educational materials; and
Outcome 5: Conduct strategic interventions to assist and develop provincial education systems.

3.2.3.2. Department of Performance Monitoring and Evaluation (DPME) Analysis of the APP 2020/21

The DPME provided feedback on the Strategic Plan and APP on 31 January 2020 respectively. Subsequently, the Auditor General South Africa (AGSA) also provided feedback on the Strategic Plan and APP on 17 March 2020 after tabling which took place on 11 March 2020. The inputs by both DPME and AGSA have been processed and shared with relevant Managers within Branches. An addendum has been prepared to address AGSA findings with Audit implications. The Minister will submit the addendum to Parliament with relevant pages after approval.

4. DBE programmes and performance targets

The Annual Performance Plan (APP) summarised the priorities of the Department as aligned to the delivery agreement of Outcome 1: Improving the quality of Basic Education and the Action Plan to 2019: Towards the Realisation of Schooling 2030. The activities of the Department are structured into five programmes as elaborated in the Annual Performance Plan:

Programme 1: Administration;
Programme 2: Curriculum Policy, Support and Monitoring;
Programme 3: Teachers, Education Human Resources and Institutional Development;
Programme 4: Planning, Information and Assessment; and
Programme 5: Educational Enrichment Services.

For the 2020/21 Annual Performance Plan there is a combined total number of 70 performance indicators across all five programmes of the Department and could be broken down into 56 (80 percent) annual targets, 11 (16 percent) quarterly targets, two (3 percent) bi-annual targets and 1 (1 percent) bi-ennial target.

4.1. Programme 1: Administration

Outcome 2: Maintain and develop information and other systems which enable transformation and an efficient and accountable sector.

4.1.1The Annual Outcome Indicators are as follows:

Annual Performance Plan approved by 31 March each financial year – The Department’s target is to have the 2020/21 APP approved by March 2020 which they achieved; and.
Number of capacity building programmes offered to the DBE officials – The target set by the Department stood at 10 capacity building programmes for 2020/21.

Quarterly Outcome Indicators:

Percentage of valid invoices paid within 30 days upon receipt by the Department – The target set by the Department stood at 100 percent;
Number of reports on misconduct cases resolved within 90 days – The quarterly target set by the Department stood at four (4) reports; and
Quarterly Reports submitted to National Treasury (NT) and the DPME 30 days after the end of each quarter – The Department’s target is to submit four (4) quarterly reports to National Treasury and the Department of Performance Monitoring and Evaluation (DPME) 30 days after the end of each quarter.

4.2. Programme 2: Curriculum Policy, Support and Monitoring

Outcome 1: Maintain and develop the system of policies, including the curriculum and assessment, governing the basic education sector to advance a quality and inclusive, safe and healthy basic education system. For this programme, the Department have 29 annual targets, 1 quarterly target and 1 bi-annual target as follows:

Annual Outcome Indicators:

Number of Children/ Learners with Profound Intellectual Disability (C/LPID) using the Learning Programme for C/LPID using the Learning Programme for C/LPID – The Department’s target is set at 3 527 children/learners;
A National Report produced on monitoring of the implementation of the Policy on Screening, Identification, Assessment and Support (SIAS) as a mechanism for early identification and intervention – The target is for an approved National Report on monitoring of the implementation of the SIAS as a mechanism for early identification and intervention;
Amend legislation to regulate the new ECD landscape – The Department’s target is an amendment of the National Education Policy Act (NEPA), SASA and Children’s Act completed within 9 months of Cabinet proclamation on change;
Develop new funding models for ECD delivery – The target is a report on investigation into ECD funding models;
Develop and operationalise an ECD Education Management Information System (EMIS) – The Department’s target is an approved report on the national audit conducted on Early Childhood Development (ECD) centres;
Develop and operationalise an Early Childhood Development (ECD) Human Resource Development (HRD) Plan – The target is a report on ECD service delivery model and its workforce implications;
Number of districts monitored on implementation of the National Curriculum Statement (NCS) for Grades 10 -12 – The Department’s target is set at eight (8) districts monitored;
Number of provinces monitored on extra-support classes to increase the number of learners achieving Bachelor level passes - The Departments target is set at nine (9) provinces monitored;
Number of schools monitored for implementing compulsory entrepreneurship education - The Departments target is set at 90 schools, 10 schools per province;
An Annual Sector Report produced on the implementation of the General Education Certificate (GEC) – The target is an approved Annual Sector Report on the implementation of the General Education Certificate (GEC);
Produce an Annual Sector Report on schools prepared to respectively implement and pilot the Technical Occupational Stream in 2021/22 – The target is an approved Annual Sector Report on schools that are prepared to respectively implement and pilot the Technical Occupational Stream in 2021/22; and
Number of schools monitored for piloting the coding and robotics curriculum – The target is set at 10 schools i.e. two schools per piloting province.

Quarterly Outcome Indicators:

Number of Technical schools monitored for implementation of Curriculum and Assessment Policy Statements (CAPS) – The target set by the Department is 18 schools monitored.

Bi-annual Outcome Indicators:

Number of learners obtaining subject passes towards a National Senior Certificate (NSC) or extended Senior Certificate, including upgraded NSC per year - The target set by the Department is 60 000 learners.

Outcome 3: Maintain and develop knowledge, monitoring and research functions to advance more evidence-driven planning, instruction and delivery.

Annual Outcome Indicators:

Number of schools monitored on the implementation of the reading norms – The target is set at 30 schools monitored;
Number of schools monitored on the implementation of the Incremental Introduction to African Languages (IIAL) - The target is set at 30 schools monitored;
Number of underperforming schools monitored on the implementation of the Early Grade Reading Assessment (EGRA) - The target is set at 125 schools monitored;
Number of schools with Multi-grade classes monitored for implementing the Multi-grade toolkit - The target is set at 81 schools monitored;
An Annual Sector Report produced on the implementation of the National Reading Plan – The Department has set a target of an approved Annual Sector Report on implementation of the National Reading Plan; and
An Annual Sector Report produced on the number of public schools monitored on the availability of readers – The target is an approved Annual Sector Report on the number of public schools monitored on the availability of readers

Outcome 4: Advance the development of innovative and high quality educational materials.

Annual Outcome Indicators:

Number of schools per province monitored for utilisation of Information, Communication and Technology (ICT) resources – The target is set at 27 schools (three per province);
Percentage of public schools with Home Language workbooks for learners in Grades 1 to 6 per year after having placed an order – The Department’s target is set at 100 percent;
Percentage of public schools with Mathematics workbooks for learners in Grades 1 to 9 per year, after having placed an order - The Department’s target is set at 100 percent;
Percentage of public schools with workbooks for learners in Grades R per year, after having placed an order - The Department’s target is set at 100 percent;
An Annual Sector Report that is produced on the learners provided with Mathematics English First Additional Language (EFAL) and textbooks in Grades 3, 6, 9 and 12 – The Department’s target was an approved Annual Sector Report;
The number of schools monitored for home languages in which Literacy Grades 1-3 Lesson Plans have been developed for terms 1 to 4 – The target is set at 10 schools monitored; and
Number of special schools with access to electronic devices - The Department’s target is set at 140 special schools.

Outcome 5: Conduct strategic interventions to assist and develop provincial education systems.

Annual Outcome Indicators:

An Annual Sector Report produced on the number of teachers trained on inclusion – The Department’s target is an approved Annual Sector Report on the number of teachers trained on inclusion;
An Annual Sector Report produced on the number of learners in public special schools – The Department’s target is an approved Annual Sector Report on the number of learners in public special schools;
An Annual Sector Report produced on the percentage of public special schools serving as resource centres – The Department’s target is an approved Annual Sector Report on the percentage of public special schools serving as resource centres; and
An Annual Sector Report produced on the establishment of focus Schools per Provincial Education Department – The Department’s target is an approved Annual Sector Report on the establishment of Focus Schools per Provincial Education Department.

4.3. Programme 3: Teachers, Education Human Resources and Institutional Development

Outcome 2: Maintain and develop information and other systems which enable transformation and an efficient and accountable sector. For this programme, the Department had 8 annual targets, 4 quarterly target and 1 bi-annual target as follows:

Annual Outcome Indicators:

Percentage of School Governing Body (SGBs) that meets the minimum criteria in terms of effectiveness – The target for the Department is 90 percent of 2000 sampled schools;
Percentage of schools producing the minimum set of management documents at a required standard – The Department’s target is 100 percent of 2000 sampled schools;
Number of Funza Lushaka bursaries awarded to students enrolled for initial Teacher Education – The target is set at 12 500 bursaries awarded; and
An Annual Sector Report that is produced on the number of qualified teachers aged 30 and below entering the public service as teachers – The Department’s target is an approved Annual Sector Report on the number of qualified teachers aged 30 and below entering the public service as teachers.

Quarterly Outcome Indicators:

Number of quarterly monitoring reports tracking the percentage of Funza Lushaka graduates placed within six (6) months upon confirmation that the bursar has completed studies – The Department has a target of 4 reports; and
Number of quarterly monitoring reports indicating the number and percentage of schools where allocated teaching posts are all filled - The Department has a target of 4 reports.

Outcome 3: Maintain and develop knowledge, monitoring and research functions to advance more evidence-driven planning, instruction and delivery.

Annual Outcome Indicators:

A National Report produced on monitoring the functionality of Provincial Teachers Development Institutes and District Teacher Development Centres – The Department has a target of an approved National Report on monitoring the functionality of Provincial Teacher Development Institutes and District Teacher Development Centres;
A National Report produced on monitoring the implementation of Teacher Development Programmes by PEDs with special focus on EFAL, Mathematics, Physical Sciences and Accounting – The Department’s target is an approved National Report on monitoring the implementation of Teacher Development Programmes by PEDs with special focus on EFAL, Mathematics, Physical Science and Accounting;
Number of PEDs that had their post provisioning processes assessed for compliance with the post- provisioning norms and standards – The target is set at 9 PEDs; and
An Annual Sector Report produced on the number of Grade R practitioners with at least NQF level 6 and above qualification – The Department’s target is an approved Annual Sector Report on the number of Grade R practitioners with at least an NQF level 6 and above qualification.

Bi-annual Outcome Indicators:

Number of subjects where teacher Development Programmes have been conducted at district level and reported by provinces in the National Strategy on Learner Attainment (NSLA) – The Department has a target of 4 subjects.

Outcome 5: Conduct strategic interventions to assist and develop provincial education systems.

Quarterly Outcome Indicators:

Number of PEDs monitored on the Quality Management System (QMS) – The Department’s target is set at 9 PEDs; and
Number of PEDs monitored on the implementation of Education Management System: Performance Management and Development System (EMS PMDS) - The Department’s target is set at 9 PEDs.

4.4. Programme 4: Planning, Information and Assessment

Outcome 1: Maintain and develop the system of policies, including the curriculum and assessment, governing the basic education sector to advance a quality and inclusive, safe and healthy basic education system. For this programme, the Department had 15 annual targets and 1 Bi-Ennial target.as follows

Annual Outcome Indicators:

Number of new schools built and completed through Accelerated Schools Infrastructure Delivery Initiative (ASIDI) – The Department’s target is set at 31 new schools;
Number of schools provided with sanitation facilities through ASIDI – The Department’s target is set at 798 schools; and
Number of schools provided with water through ASIDI – The Department’s target is set at 125 schools.

Outcome 2: Maintain and develop information and other systems which enable transformation and an efficient and accountable sector.

Annual Outcome Indicators:

Number of General Education and Training (GET) Test items developed in Language and Mathematics for Grades 3, 6 and 9 – The Department has a target of 500 test items developed;
Number of NSC reports produced – The target for the Department is 4 NSC reports;
Number of question papers set for June and November examinations – The Department’s target is 292 question papers;
Percentage of public schools using the standardised School Administration System (SA-SAM) – The target is set at 98 percent of public schools;
A National Report produced on the number of provinces monitored for implementation of LURITS - The Department’s target is an approved National Report on the number of provinces monitored for implementation of LURITS;
A National Report produced on learner performance linked to National Assessment Framework – The Department’s target is an approved National Report on learner performance linked to the National Assessment Framework; and
A National Report produced on developing and operationalising a school readiness assessment system – The Department’s target is an approved National Report on developing and operationalising a school readiness assessment system

Outcome 5: Conduct strategic interventions to assist and develop provincial education systems.

Annual Outcome Indicators:

Number of officials from districts that achieved below the national benchmark in the NSC participating in a mentoring programme – The target for the Department is 60 officials.

Bi-ennial Outcome Indicators:

Percentage of school principals rating the support services of districts as being satisfactory – The target set by the Department is 75 percent of school’s principals.

4.5. Programme 5: Educational Enrichment Services

Outcome 1: Maintain and develop the system of policies, including the curriculum and assessment, governing the basic education sector to advance a quality and inclusive, safe and healthy basic education system. For this programme, the Department has 6 annual targets and 3 quarterly target and are as follows:

Annual Outcome Indicators:

Percentage of District Directors that have undergone competency assessment prior to their appointment – The Department’s target is set at 95 percent of District Directors;
Percentage of underperforming schools visited at least twice a year by district officials for monitoring and support purposes – The Department’s target is set at 75 percent of underperforming schools;
Number of District Director forums held – The target for the Department is 3 district director forums;
Number of districts in which teacher development have been conducted as per district improvement plan – The Department’s target is 55 districts;
Number of professionals trained in South African School Choral Eisteddfod (SASCE) programmes – The Department’s target is set at 900 professionals trained; and
Number of PEDs with approved annual business plans for the HIV/AIDS Life Skills Education Programme – The target set by the Department is 9 PEDs.

Quarterly Outcome Indicators:

Number of schools monitored for the provision of nutritious meals – The Department’s target is 115 schools;
Number of districts monitored and supported in the implementation of the National School Safety Framework (NSSF), social cohesion, sport and enrichment programmes – The Department’s target is 115 districts monitored; and
Number of stakeholder engagements held to promote the Constitution and its values using social cohesion, sports and enrichment programmes – The Department has a target of 4 stakeholder engagements.

5. Department of Performance Monitoring and Evaluation (DPME) Feedback on 2020/21 APP

The Department gave a detailed overview of the feedback received from the Department of Performance Monitoring and Evaluation which also included the management responses to comments in respect of the following:

The Department was advised to ensure alignment between the APP and MTSF;
The Department has also listed some weaknesses without indicating how these would be resolved. For example, for the issue of disadvantaging some learners through the usage of English as a language of teaching and learning, there was no clear plan besides mentioning that the schooling system needed to pay special attention to the promotion of all official languages;
The Department reflected an impact statement which is in line with their mandate and the MTSF. However, phrases such as “develop, maintain and support” made the impact statement read like an activity;
In programme 5, the Department was advised to include indicators that focussed on deworming of learners, health and wellness in schools; for example, health and wellness drive i.e. eye test, hearing aid, and BMI testing among others;
There need for the alignment of outputs and output indicators.

The Department have identified the key risks; however, the mitigating factors were not included;
The Department was advised to develop the key risks and mitigating factors for all the outcomes; and
Court Rulings to be included in plans: KwaZulu-Natal Court Judgement on Provisioning of South African Sign Language as language of instruction.

6. Auditor-General of South Africa (AGSA) Feedback on 2020/21 APP

The Department gave a detailed overview of the feedback received from the Office of the Auditor-General of South Africa (AGSA) which also included the management responses to comments in respect of the following:

Ensure that the indicator clearly indicates the nature of the input or output, the activities, the desired outcomes and impacts, and all relevant definitions and standards used in each field;
Include specific references to sampling guidelines in the short definition to give a general understanding of the indicator;
The purpose should adequately explain what the indicator is intended to show and reflect its importance;
Method of calculation should clearly and specifically state inputs; and
Data limitations as well as factors that may be beyond the entities’ control should be identified and documented.

7. The 2020/21 Annual Performance Plan Monitoring Activities Affected Due to COVID-19

The Department gave a detailed overview of the 2020/21 APP monitoring activities affected due to COVID-19 as well as the alternative monitoring plan of the Department. The affected activities are listed as follows:

A National Report produced on monitoring of the implementation of the Policy on Screening, Identification, Assessment and Support (SIAS) as a mechanism for early identification and intervention;
An Annual Sector Report produced for schools that are prepared to respectively implement and pilot the Technical Occupational Stream in 2021/22;
An Annual Sector Report produced on the number of teachers trained on inclusion;
Number of quarterly monitoring reports tracking the percentage of Funza Lushaka graduates placed within six (6) months upon confirmation that the bursar has completed studies;
Number of PEDs monitored on the Quality Management System (QMS);
Number of PEDs monitored on the implementation of Education Management System: Performance Management and Development System (EMS PMDS);
Number of schools monitored for the provision of nutritious meals;
Number of professionals trained in South African School Choral Eisteddfod (SASCE) programmes (To request for withdrawal of the indicator);
Number of districts monitored and supported in the implementation of the National School Safety Framework (NSSF), social cohesion, sport and enrichment programmes; and
Number of stakeholder engagements held to promote the Constitution and its values using social cohesion, sports and enrichment programmes

8. Overview of the MTEF 2020 Budget

The Department has been allocated R25.3 billion in 2020/21, R27.3 billion in 2021/22 and R28.6 billion in 2022/23. Included in these allocations is Compensation of Employees amounting to R584 million, R622 million and R649 million respectively over the Medium-Term Expenditure Framework (MTEF) years. The budget per programme is tabulated below.

Table 2: Programmes Allocations over the 2020 MTEF



	519 401	551 635	574 549
Curriculum Policy, Support and Monitoring	2 025 646	2 123 708	2 182 068
Teachers, Education Human Resource and Institutional Development	1 437 738	1 516 940	1 589 270
Planning, Quality Assessment and Monitoring and Evaluation	13 355 974	14 674 452	15 380 972
Educational Enrichment Services	7 989 473	8 466 229	8 865 536
Total	25 328 232	27 332 964	28 592 395

Table 3: Economic Classifications Allocations for the 2020 MTEF



Compensation of Employees	584 252	622 166	649 219
Goods and Services	2 042 142	2 166 145	2 352 525
Interest and Rent on Land	42 418	41 148	42 673
Transfers and Subsidies	21 150 175	22 446 596	23 488 893
Payments for Capital Assets	1 509 245	2 056 909	2 059 085
Total	25 328 232	27 332 964	28 592 395

Table 4: Details of Earmarked Allocations (R’000) over the 2020 MTEF

*Earmarked Funds*
	1 191 884	1 248 712		1 273 617
Matric Second Chance Programme	60 805	60 997		61 370
Oversight-Maths, Science and Technology	6 538	6 898		7 153
Learners with Profound Intellectual Disabilities Conditional Grant	3 165	3 339		3 463
Examiners and Moderators	57 272	63 224		67 029
National School Nutrition Programme	21 236	22 404		23 233
TOTAL: EARMARKED FUNDS	1 340 900		1 405 574	1 435 865

Table 5: Details of Conditional Grants Allocations/Transfers (R’000) over the 2020 MTEF

*Conditional Grants*
Learners with Profound Intellectual Disabilities Grant	242 864	256 222	265 746
Math’s, Science and Technology Grant	400 862	422 909	438 488
Education Infrastructure Grant	11 007 967	11 710 298	12 255 026
HIV and AIDS (Life Skills) Grant	246 699	258 542	262 204
National School Nutrition Programme Grant	7 665 887	8 125 341	8 516 464
TOTAL CONDITIONALGRANTS	19 564 279	20 773 312	21 737 928

Table 6: Details of Transfers (R’000) over the 2020 MTEF

*Other Transfers*
UNESCO Membership Fees	17 091	18 031	18 702
	158	167	173
Guidance Counselling and Youth Development Centre: Malawi	196	207	215
Childine South Africa	73	78	82
National Education Collaboration Trust	115 738	122 104	126 644
Southern and Eastern Africa Consortium for Monitoring Educational Quality	3 671	3 873	4 016
NSFAS: Funza Lushaka Bursaries	1 291 606	1 362 644	1 426 791
Transfers to Public Entities
	139 172	146 826	154 158
ETDP SETA	453	478	497
South African Council for Educators	17 738	18 876	19 687
TOTAL TRANSFERS	1 585 896	1 673 284	1 750 965

Table 7: Detailed Breakdown of the Budget over the 2020 MTEF


Compensation of Employees	522 976	551 675	573 810
Goods and Services	147 319	155 625	170 319
School Infrastructure	1 736 413	2 295 101	2 424 189
Office Accommodation	220 177	233 757	242 761
Departmental Projects	210 272	244 636	256 558
Earmarked Funds (including CoE)	1 340 900	1 405 574	1 435 865
	1 585 896	1 673 284	1 750 965
Conditional Grants	19 564 279	20 773 312	21 737 928
	25 328 232	27 332 964	28 592 395

Table 8: General Budget Support

*General Budget Support*
Rural Education Assistance Project	29 164
Systemic Improvement of Language and Numeracy in Foundation Phase	16 528 853	16 200 927	-
Technology Grade 7-9	19 563 600	19 954 872	-

Table 9: 2020 MTEF Cabinet Baseline Reductions


2019 Indicative Allocation	25 987 648	28 189 376	29 643 169
Less: Conditional Grants	(525 021)	(696 407)	(875 801)
Maths, Science and Technology Grant	(12 397)	(13 079)	(13 708)
Education InfrastructureGrant	(458 665)	(616 331)	(775 099)
HIV and AIDS ( Life Skills)	(23 945)	(26 987)	(33 939)
National School Nutrition Programme Grant	(30 014)	(40 010)	(53 055)
Baseline reduction	(134 395)	(160 005)	(174 973)
Goods and services	(39 536)	(41 380)	(43 239)
Non-profit institution	(2 364)	(2 494)	(2 586)
School Infrastructure Backlog: Building and other Infrastructure	(32 623)	(43 836)	46 345)
Machinery and Equipment	(136)	(150)	(159)
Software and other intangible assets
South African Council for Educators	(3 362)	(3 385)	(3 402)
Umalusi Council for Quality Assurance in General and Further Education and Training	(2 840)	(2 996)	(1 234)
	(20 000)	(30 000)	(43 000)
Matric Second Chance Programme	(20 000)	(22 000)	(25 000)
National Assessment: Goods and Services	(10 000)	(10 000)	(10 000)
Compensation of Employees	(3 527)	(3 756)
Baseline Budget Review	25 328 232	27 332 964	28 592 395

Table 10: Departmental Budget Cuts on Goods and Service


Administration (Audit fees, Government Information and Technology Office (GITO) and Communication)	(6 536)	(6 800)	(7 600)
Curriculum, Policy Support and Monitoring (Various projects cuts on goods and services)	(2 000)	(1 880)	(2 239)
	(18 000)	(18 000)	(18 000)
Matric Second Chance	(7 000)	(7 500)	(7 800)
Planning, Information and Assessment (Various projects cuts on goods and services)	(6 000)	(7 200)	(7 600)
	(39 536)	(41 380)	39)

9. 2019/20 Audit Action Plan: Financial and Performance Information based on the 2018/19 AGSA Audit Report

The Department gave a detailed overview of the 2019/20 Audit Action Plan as follows:

Immovable tangible capital Assets (Overstatement of capital assets and capital expenditure as well as understatement of goods and services expenditure):

AG Recommendations: The AG recommended improving monitoring controls pertaining to obtaining invoices from the implementing agents as well as to update policies and procedures on immovable assets to address matters related to the value of in-use of assets. Further to this AG also recommended that the Department strengthen monthly controls over the preparation of the immovable asset register and review all assets capitalised in the assets register.
DBE Action: The Department’s action states that monthly reconciliations on expenditure were done and the values of completed projects were only based on actual payments processed through BAS with provision for both Accruals, Retention, PSP & Implementing Agents fees. The Department was also busy performing the split between operational and capital expenditure for the period since the inception of ASIDI in 2012. This should be completed on time for accurate disclosure in the 2019/20 Annual Financial Statements.

Commitments (Misstatement of commitments due to insufficient audit evidence provided):

AG Recommendations: Management had to take appropriate steps to understand and address the estimation uncertainty, and develop a point estimate that met the measurement objective and supported by sufficient appropriate evidence. Management had to ensure that auditors were furnished with sufficient information in order to re-perform work done by the management and to determine if management’s point estimate was reasonable.
DBE Acton: In previous Financial Years, projects formally allocated to IAs were classified as approved but not contracted, even if these were not yet awarded. All project values previously recorded as “Approved but Not Contracted” in the Commitment Register has been removed with effect from the 31 March 2019. The commitment values were strictly for projects with award tender values. All estimated disbursement values to the end of 31 March 2019 has been replaced with actual expenses reimbursed to the Implementing Agents.

Contingent Liabilities (Understatement of contingent Liabilities):

AG Recommendations: Management needed to ensure that the financial exposure disclosed in the financial statements was in line with the supporting evidence of the amount claimed by the plaintiffs. There was a need to re-perform recalculations of the interest amounts as per the summons received to ensure accurate disclosure of the financial exposure linked to the contingent liabilities. Adjust the notes to the financial statements and consider the impacts on the prior year disclosed figures. Provide the remaining outstanding supporting documentation as per the tables above. Implement the necessary controls to ensure that the amounts disclosed in the annual financial statements was accurate and complete.
DBE Acton: The Department had corrected the 2018/19 amounts for disclosure during the audit and the interest amounts were now included

Accruals and payables not recognised (Misstatement of accruals):

AG Recommendations: Introduce procedures and internal controls where the department officials made a record as to when the invoices were received from the implementing agents.
DBE Acton: Classification was determined by the date the invoice was received by the implementing agent.

Material Irregularity (Cost incurred for remedial construction for projects undertaken by Adopt-a-School):

AG Recommendations: Ensure that proper and due processes were followed concerning the appointment of service providers and implementing agents and to ensure that the providers met the necessary requirements in line with CIDB to perform construction work in the public sector. Ensure compliance with CIDB and NT procurement prescripts. Ensure compliance with the PFMA section 38 with regards to investigation into permitted irregular, fruitless, and wasteful expenditure.
DBE Acton: All related irregular expenditure be disclosed accordingly and cost incurred for remedial action be recovered from the IA.

Irregular, Fruitless and Wasteful Expenditure Investigation (Non-compliance with the PPPFA when awarding contracts):

AG Recommendations: Irregular, Fruitless and wasteful expenditure had to be investigated within three months.
DBE Acton: To investigate all confirmed irregular, fruitless and wasteful expenditure within the financial year. Source additional investigation capacity to finalize the possible irregular expenditure investigation

Programme 2 (Planned targets were not specific):

AG Recommendations: An indicator should have a specific target per term or per year. There should be a numerical number of Technical Mathematics lesson plans monitored per year. There should also be a numeric number of Technical Sciences lesson plans monitored per year.
DBE Acton: The Performance Indicators have been quantified for the 2019/2020 years and beyond.

Programme 3 (The reported achievement in the annual performance report did not agree to the supporting evidence provided):

AG Recommendations: Implement proper record keeping by ensuring that the actual performance reported was valid and accurate. Establish adequate process of verification of the source documentation on a quarterly basis and review source documentation to validate reported achievements
DBE Acton: The Department had communicated with relevant programme managers in Provinces to ensure that scripts were identifiable through a name or a code, and to ensure that they were dated. The Department was also encouraging more provinces to take the tests online on the Moodle Platform – this would improve validity and reliability. Going forward, the Department would only be required to provide a report on the assessments.

Programme 4 (The reported achievements in the annual performance report did not agree to the supporting evidence provided):

AG Recommendations: Implement proper record keeping by ensuring that the actual performance reported was valid, and accurate. Establish adequate process of verification of the source documentation on a quarterly basis and review source documentation to validate reported achievements.
DBE Acton: The Project Manager was working more closely with mentors to verify numbers and designation of officials that were targeted for the mentoring support and those who received support. Monthly reconciliation and verification of projects that achieved practical completion between Asset Management; Implementing Agents and the Infrastructure Unit to ensure accurate and common reporting on performance.

10. Committee Observations and Deliberations

Members raised the following with the Department of Basic Education in respect of Budget Vote 16: Basic Education:

Generally, much of the engagements centered around whether/or not the Committees only noted the Budget of the Department as presented and/or whether the Committee should adopt the Budget (as tabled in March 2020), mindful that there would be an adjustment to the Budget at a later stage;
Members also raised concerns over the performance of the various Provincial Education Departments (PEDs) with limited budget, especially in respect of the cut in the infrastructure allocations to provinces;
Members were concerned with the budget allocations to schools for the implementation of safety and security measures. Members queried whether the Department would consider an increased budget to assist schools in this regard;
Members raised concerns with unplaced educators in the system, especially the Funza Lushaka graduates and queried how these graduates would be assisted to find placement in the system. It was further mentioned that there was a need to ensure all qualified educators in the system (not only Funza Lushaka graduates) were adequately placed;
A further concern for Members was the number of schools that had been vandalised in the recent past. Members sought an update on how the Department was assisting those schools with refurbishments;
Members queried the plans in place to ensure that all schools have adequate access to functional connectivity, especially rural schools. There was a need to prioritise ICT for schools;
Members further requested that the Department should ensure the schools are adequately funded to guarantee proper scholar transport, water and sanitation;
Members requested the Department to focus on the following crucial areas:
- Financial support to schools (e.g. SGB appointed educators);
- An adjusted budget for Robotics and Coding; and
- Assistance for Grade 12 learners with applications for placement at tertiary institutions.
Members queried the timeframes for the tabling of the Departments adjusted Strategic Plan and Annual Performance Plan;
There was a need to strengthen departmental policy and monitoring of Implementing Agents and scholar transport policy, especially in respect of COVID-19 compliance;
Members noted that all schools needed to be COVID-19 compliant and queried whether the Department has adequate budget for this exercise. Further to this, Members queried whether the Department budgeted for ensuring that all schools have the necessary safety and security measures in place;
Members urged the Department to ensure that there is uniformity across all school Programme (NSNP) – in collaboration with the Department of Social Development;
Members cautioned that the Department focused on ensuring social distancing of learners at schools as a priority; and
Members indicated that the Minister, in her past presentation, gave timelines for reopening of schools. Members queried whether these dates had been Gazetted though there are uncertainties and the Minister needs to give more clarity. Members also remained concerned with the measures in place to ensure that schools are COVID-19 compliant.

10.1. Responses from the Department of Basic Education

Minister Motshekga thanked Members for the valued input and proposals on the Budget of the Department. She mentioned that when invited to present, she was clear that the plans were compiled pre-COVID-19 and would have to be adjusted.
Although she had raised the matter in Cabinet, the Department has been allowed to continue presenting the Budget as formally tabled in Parliament in March 2020. The budget will be adjusted but the Department is unable to give specifics or concrete details in this regard.
The Minister suggested that the oversight and monitoring role of Parliament should be more focussed and relevant going forward.
Regarding unplaced educators, Minister Motshekga indicated that educators are employed based on their skills and the needs of a particular school.
The Department could not commit to placing all unplaced educators in the system. She hastened to say that the Department, going forward, would require a larger cohort of educators to be placed.
The Minister expressed the urgency and importance of opening up the education sector as soon as possible, to avoid further destruction/vandalism of school property.
Although there is a need to ensure adequate resourcing of schools, the Department could only cut their jacket according to their cloth. The Department could not commit to ensuring all learners would receive laptops.
It is important that parents, during this COVID-19 period, take responsibility for the safety of their children and make sure that transport used is compliant.
The Minister indicated that the budget will be adjusted and the Department will engage National Treasury in terms of the new plans and priorities of the Department (e.g. spacing, sanitation, safety).
Regarding NSNP uniformity in provinces, the Minister indicated that she continue engaging with MECs in provinces in respect of many aspects including NSNP.
The Director-General also reiterated that the Department could not report on what is not tabled. The presentation is a report on the Departments March 2020 tabling. He further mentioned that the Basic Education sector projected a loss over the MTEF.
The Department is utilising the Education Infrastructure Grant (EIG) to procure COVID-19 essentials with a further utilisation of ASIDI to ensure water and sanitation for schools.
In respect of timeframes and dates, for the reopening of schools, the Minister made mention that the framework has been submitted to the National Command Centre (NCC) who, in turn, requested that the Department further rework the framework for specific dates. The Department will only have certainty of dates for reopening of schools after the approval of the NCC of the new framework. The Minister mentioned that 1 June 2020 is the new tentative date but this could not be guaranteed.

11. Overview of Strategic Imperatives and Budget Allocations of the DBE`s Statutory Bodies

11.1. The South African Council for Educators (SACE)

SACE presented the Council’s approved 2020/2025 Strategic Plan, 2020/2021 Annual Performance Plan (APP) and the Budget which was tabled to Parliament. While the documents are presented as tabled to Parliament, inevitable small deviations were made to indicate challenges and risks that are or might affect effective implementation due to COVID-19 and national lockdown.

The Committees received a broad overview of the background, policy and legislative mandates of SACE which also included the legislative, policy environment, and regulatory framework in which SACE operated.

11.1.1. Strategic Plan 2020 – 2025

SACE presented its Programme Budget Structure with the following Programmes (with sub-programmes):

Programme 1: Administration;
Programme 2: Professional Registration;
Programme 3: Ethical Standards;
Programme 4: Professional Development; and
Programme 5: Professional-Teaching Standards.

SACE also highlighted some of the key strategic issues informing the SACE agenda for the next five years which are as follows:

Teacher professionalisation across the teacher education and development continuum – maintenance of the professional and ethical standards;
Promotion of the reading and learning teaching profession:
- SACE-established internal resource centre for employees and Council members
- Virtual library for registered educators
- SACE Constituencies and Stakeholders - ‘Read to Teach and Serve’
Teacher wellbeing, rights, responsibilities and safety;
Values and ethics in the teaching profession;
Strengthened and integrated Information and Communication Technology;
Heightened communication for educators, stakeholders and the public and
Data, Information and Knowledge Management – Lead the profession from an informed position and provide evidence-based advice to Council and the Minister.

11.2. Annual Performance Plan 2020/2021

11.2.1. Programme 1: Administration

The purpose of this programme is to implement and manage the policy directives and priorities of the Council to ensure the functional proficiency of SACE through appropriate support services. This Programme is pivotal in supporting the other four APP Programmes, especially in terms of the challenges and risks posed to SACE by the COVID-19 along with the alert levels 5 and 4 of the national lockdown.

Comprehensive and complimentary needs-driven Communication and ICT Strategies, Research agenda and activities, as well as collaborative institutional arrangements are strengthened to facilitate the blended “New Normal” in providing services to the educators nationwide, governing SACE and running its operations seamlessly in an environment that was COVID-19 compliant.

This programme is also critical for the safety, assurance, psychosocial well-being, internal communication, and ongoing development and support of employees, particularly during the COVID-19 pandemic period. Indisputably, the delivery of the SACE 2020/2025 strategic plan and 2020/2021 APP and Budget is dependent largely on the employees’ morale, psychological and emotional well-being, as well as, the newly implemented virtual, online and offline support systems provided given to the SACE governance structure.

Outcome – Efficient and effective governance

Number of Council and EXCO meetings convened – The SACE target is set at 10 meetings convened;
Number of quarterly performance reports submitted to DBE – The SACE target is set at four reports submitted;
Number of research reports produced – The target is set at three reports produced;
Number of research-based seminars/conferences conducted – The target is set at one seminar/conference;
Percentage of employees assessed through performance development system – The SACE target is set at 100 percent of employees assessed;
Communication strategy developed and approved – The SACE target is one strategy;
Percentage of invoices paid within 30 days – The target is set at 100 percent of invoices paid; and
ICT Strategy developed approved – The target is one ICT strategy developed and approved.

11.2.2. Programme 2: Professional Registration

The purpose of this programme is to ensure that the Council registers college lecturers and teachers who are fit to practise. Council must keep an up-to-date register of fit-to-practise educators and college lecturers.

In 2018/19, 29 765 out of 38 000 (78 percent) targeted educators were registered under new registration category. The 8 235 (22 percent) negative deviation as the result of:

Introduction of the Police Clearance Certificate from the 1st January 2019 and the slow turn-around time from the SAPS;
Collaboration with the Department of Home Affairs and SAQA in implementing stringent verification processes for foreign nationals (foreign qualifications, permit to teach in South Africa, requirements for legal entry into the country, and others) prior to their registration; and
Academically qualified but professionally unqualified provisionally registered applicants who continue to fail submitting the Post Graduate Certificate in Education (PGCE) as a professional teaching qualification.

11.2.2.1. Sub-Programme 2.1: Registration of Educators and Lecturers

The aim of this sub-programme is to ensure that all educators/lecturers who meet the registration standards are certified to practise. It provides for registration of student educators, qualified educators and lecturers, and create sub-registers for special categories to enhance the quality of the professional certification of teachers by introducing standards.

Outcome - Fit-to-practise-registered educators and lecturers

Number of educators registered – The SACE target is set at 25 000 educators registered; and
Percentage of educators applying through the online system for professional certification – The target is set at 50 percent of educators.

11.2.2.2. Sub-Programme 2.2 – Data Management

The aim of this sub-programme is to ensure that the periodical statistical status reports are published. The Council will keep both a manual and an online database providing access to up-to-date information on the registration status of current college lecturers and prospective teachers. This information will be used to produce periodic reports on the status of the teaching profession in terms of size and shape.

Outcome 1 - Fit-to-practise-registered educators and lecturers

Number of statistical reports produced on the status of the profession – The SACE target is set at two statistical reports.

SACE presented some of the highlights for Programme 2 in respect of the screening of educators prior to registration with regard to the following:

SAPS clearance certificates;
The Department of Justice and Constitutional Development;
The National Register for Sexual Offences; and
The National Child Protection Register.

11.2.3. Programme 3: Ethical Standards

The purpose of this programme is to promote and maintain ethical standards in the profession. SACE highlighted some of the challenges of carried over cases due to the internal capacity, and many other factors such as:

unavailability of witnesses;
parents not allowing their children to be witnessed;
postponement by accused’s lawyers;
cases referred to SACE during the last quarter of the year;
The number of cases to be received is unpredictable;
one complaint or file may have more than one incident or complaint in it; and
One educator may be accused of 2 or more kinds of breaches of the code of professional ethics (corporal punishment and sexual abuse).

Many investigations have been completed; however, finalisation of cases is hindered by the disciplinary hearings that are affected by the factors above. Thus, the division of Programme 3 into three sub-programmes and the use of the percentage indicators as a strategy for SACE to plan and account for what it can control, as reflected in the next three slides.

11.2.3.1. Sub-Programme 3.1: Investigations

The aim of this sub-programme is to provide for effective conduct investigations into allegations of misconduct.

Outcome – Maintained ethical standards

Percentage of investigations on new cases finalised – The SACE target is set at 80 percent of investigations.
Percentage of investigations on rollover cases finalised – The target is set at 90 percent of investigations.

11.2.3.2. Sub-Programme 3.2: Disciplinary Hearings

The aim of this sub-programme is to effectively and efficiently manage the resolution of misconduct cases.

Outcome – Maintained ethical standards

Percentage of disciplinary hearings on new cases finalised – The SACE target is set at 70 percent of disciplinary hearings; and
Percentage of disciplinary hearings on rollover cases finalised – The SACE target is set at 80 percent.

11.2.3.3. Sub-Programme 3.3: Sanctioning

The aim of this sub-programme is to improve ethical behaviour in the teaching profession.

Outcome – Maintained ethical standards

Number of analysis reports produced on sanctioned educators – The SACE target is set at two analysis reports.

Under COVID-19 and lockdown period, the Investigations and Disciplinary hearing indicators under sub-programme 3.1. and 3.2. will not be executed as planned due to inevitability of social contact, travelling by teachers and learners, as well accessibility of learners as witnesses during school closure. This may contribute to a very slow turnaround time resulting to rolling over of many cases to the next financial year and delaying justice on the part of the children.

An assessment of online sessions, such as video link and its admissibility has been explored. However, its disadvantages outweigh the advantages particularly the reliance of a regulatory enquiry approach which seeks to put the conduct of an educator who is accused of professional conduct to the test, and children are involved as witnesses. Additional benchmarking work is being done to draw possible lessons from other national professional councils, CCMA, ELRC and 9 PEDs, taking into account that contexts may differ in institutions where learners are not involved.

11.2.4. Programme 4: Professional Development

The purpose of the programme is to ensure that educators engage in life-long learning to improve their professional competence.

11.2.4.1. Sub-Programme 4.1: Continuing Professional Teacher Development (CPTD) Management System

The purpose of the sub-programme is to enable educators to sign up for, participate in and report on their professional activities.

Outcome – Improved teacher competence

Percentage of selected practising signed-up educators verified for the continuing professional development uptake – The SACE target is set at 40 percent; and
Percentage of signed-up final-year initial teacher education students – The SACE target is set at 65 percent.

11.2.4.2. Sub-Programme 4.2: Member Support

The purpose of the sub-programme is to assist members to ensure their participation in professional matters.

Outcome – Improved teacher competence

Number of educators supported on professional matters – The SACE target is set at 50 000 educators.

11.2.4.3. Sub-Programme 4.3: Quality Management

The purpose of the sub-programme is to ensure that all professional development programmes offered to educators are fit for purpose.

Outcome – Improved teacher competence

Percentage of professional development providers approved – The SACE target is set at 70 percent;
Percentage of professional development activities endorsed- The SACE target is set at 80 percent; and
Percentage of endorsed activities monitored- The SACE target is set at 60 percent.

The planned contact sessions for supporting teachers’ participation in the CPTD system and how to develop the Professional Development Portfolios will not take place due to social distancing and travel restrictions under COVID 19. This Programme will work collaboratively with Communication and ICT in developing virtual, online and digitised systems and PD material to assist teachers in Developing Professional Development Portfolios, and participate in the CPTD system. The CPTD Information System functionality will be enhanced to ensure maximum participation.

11.2.5. Programme 5: Professional-Teaching Standards

The purpose of the programme is to improve and maintain the status and image of the teaching profession, and ensure the quality of initial teacher education and ongoing professional development through quality assurance mechanisms and standards.

Council has approved the Professional Teaching Standards along with the Teacher Professionalisation path. Therefore, this programme will ensure that the implementation of the path is informed by the professional standards. Most of the indicators for Programme 5 require conceptual work and ongoing consultation with stakeholders. Therefore, the implementation of the Programme is likely to go without many challenges, except where teacher-based consultation is required.

11.2.5.1. Sub-Programme 5.1: Initial Teacher Education

The purpose of the sub-programme is to ensure initial teacher education programmes adhere to professional teaching standards.

Outcome – Improved teacher professionalism

Development of teacher professionalisation policy – The target was to ensure a draft policy is produced; and
Policy framework registering student educators from year one – The SACE target is for the development of and consultation on a policy framework.

11.2.5.2. Sub-Programme 5.2: Newly Qualified Educators

The purpose of the sub-programme is to ensure that newly qualified educators comply with professional standards.

Outcome – Improved teacher professionalism

Development of a professional certification framework and policy for educators registering with Council – The target is an approved research report on professional certification; and
Development of a teacher designation – The target is an approved teacher designation.

11.2.5.3. Sub-Programme 5.3: Practicing Educators

The purpose of the sub-programme is to ensure that practising educators adhere to professional standards.

Outcome – Improved teacher professionalism

Development of re-certification framework - The target is for a draft framework to be developed.

Table 11: Medium Term Expenditure Framework (MTEF) Projections

Financial performance in R,000	2016/17 Audited	2017/18 Audited	2018/19 Audited	2019/20 Budget		2020/21	2021/22		2022/23
Revenue	70,774	81,981	106,060	113,170		107,338	138,576		141,487
Registration fees	8,398	8,010	6,663		5,000	4,200		4,000		4,100
Subscription fees	50,357	60,455	76,671		79,200	80,100		110,400		112,400
Reprints of certificates	2,075	2,138	2,090		2,000	1,500		1,500		1,500
Interest receivable	2,280	2,800	3,923		4,000	3,500		3,500		3,500
CPTD Subsidy	7,239	8,303	16,000		22,670	17,738		18,876		19,687
Sundry income	425	275	713		300	300		300		300

Expenditure	60,043	63,042	79,836		113,170	107,338		138,576		141,487
Administration & Other Related Costs	36,042	38,594	45,222		63,575	65,034		88,305		88,331
Research	903	1,302	454		2,954	2,744		3,901		4,131
Professional Development	13,162	12,999	19,005		30,339	23,356		25,535		26,956
Registration	5,259	4,951	6,108		6,849	6,445		7,934		8,468
Code of Ethics	4,677	5,196	9,047		9,453	7,621		9,672		10,273
Teacher Professionalization	0	0	0		0	2,138		3,229		3,328
Surplus/Deficit	10,731	18,939	26,224		0	0		0		0

Table 12: Detailed Operational Budget 2020/21

FINANCIAL PERFORMANCE DATA
INCOME	107,338,000
Registration fees	4,200,000
Subscription fees	80,100,000
Reprints of certificates	1,500,000
Interest receivable	3,500,000
CPTD Subsidy	17,738,000
Sundry income	300,000

OPERATIONAL EXPENDITURE	107,338,000
Advertising	300,000
Audit fees	600,000
Bank charges	500,000
Compensation commissioner	300,000
Cleaning of buildings	300,000
Consultation fees	500,000
Depreciation	3,800,000
Insurance	650,000
Leasehold Improvements	500,000
Legal cost	1,000,000
Office rental	1,200,000
Postage	40,000
Printing and Stationery	850,000
Repairs &maintenance	700,000
M/vehicle running cost	60,000
Salaries	62,704,000
Security services	726,000
Staff development	300,000
Sundry expenses	90,000
Telephone	800,000
Travel and Accommodation	2,230,000
Rates, Water and Electricity	3,450,000
Database Dev/Maintenance	2,000,000
Code of Conduct	1,500,000
Registration of Educators	1,000,000
Professional Development (CPTD)	17 738 000
Teacher Professionalisation	1,000,000
Research	1,000,000
Publicity and Communication	1,500,000
Budget surplus/ Deficit	0

11.3. SACE Notes:

Registration fees remain at R400 for Foreigners, R200 for South Africans and R50 for renewals and updates.
The main funding for council operation is annual membership fees which is at R180 per educator effective from 0 November 2017.
The current determined annual membership fee is projected to be increased to R240 per member as of April 2023.
Approval has been obtained from National Treasury to subsidise the implementation for the CPTD Management System for the year 2020/21 amounting to R 18 mil.
Research operation budget is classified under Administration Programme for the support and advisory role.
Teacher Professionalization budget was historically included under the Professional Development Programme.
The operational budget of the five provincial offices, including the Eastern Cape and Western Cape, are included in the operating budget.
Selection process for personnel has been done in March 2020 for the office to start operating effective from May 2020.
The Eastern Cape Province will be opened as soon as the level 4 lockdown is uplifted.
The processes to purchase SACE’s own offices in all these five provinces is in progress.

11.4. Operational Risk and Mitigations:

SACE noted the following in respect of operational risk and mitigations:

Risk: Delay in opening the two planned provincial offices in the Eastern Cape and Western Cape.

Mitigation: Do viable preparatory work until movement is viable

Risk: IT infrastructure not adequate to aid the full mandatory functions.

Mitigation: Increase the capacity of the infrastructure and outsourcing of some services when necessary.

Risk: Delay in adjudication of bids.

Mitigation: Obtaining approval of extension of current contracts where necessary as well as postponement of conclusion date of the bids through the same advertisement channel of the bids.

Risk: Increased consultation services owing to COVID-19.

Mitigation: Budget to be adjusted accordingly (virement) and no material effect on the total revenue of council.

Risk: Unplanned surplus on some line items.

Mitigation: Council to consider budget adjustment to balance the effect of change of business operation during May sessions and possible contribution to COVID-19 Solidarity Fund will also be part of budget adjustment.

12. Committee Observations and Deliberations

Members queried whether SACE anticipates any budget cuts and whether is prepared for the adjustments. Further to this, Members queried the move by SACE to launch provincial offices with the looming budget cuts – as these offices might not have a full staff compliment due to budget cuts.
It has been noted that SACE was looking to contribute to the Solidarity Fund and Members queried whether this contribution would be from their member’s contribution or whether government funding would be utilised. Members further queried the amount that will be contributed.
Members queried how accessible SACE was in the country and whether there were SACE offices in all nine provinces. Further to this, Members queried the ease with which educators were able to make applications and submit certificates to SACE.
In respect of SACE research, Members queried how accessible such research was for the public – and the underlying factors from research in respect of ethics and standards.
Members also queried how educators, found guilty of an offence and sanctioned are monitored. Members noted that such educators found ways of exiting the system but returning as they move between provinces. Members were also of the view that there should be better collaboration between SACE, DBE and the ELRC to address this. Educators seemed to ignore any sanction and there seem to be a legislative loophole in the system living learners vulnerable. Members queried whether such legislative loopholes, if identified, should be closed through the Children’s Act.
Members queried the impact of COVID-19 on the work of SACE, particularly in respect of disciplinary hearings.
Members noted that there is a move to On-Line learning and queried the readiness of SACE to ensure that educators do occupy such space. Members queried whether SACE had done any research into the ICT needs of educators during the COVID-19 Lockdown.
Members also sought clarity on the reasons for members contravening the ethical standards and how SACE is addressing such.
Members also sought clarity on the reasons for cases not being finalised and closed and how SACE is addressing case backlogs.
Members queried the minimum qualification to register with SACE.
Members queried how SACE is using their data on registered educators in the system to gauge supply and demand in the system.
In respect of ECD practitioners, Members queried how these practitioners that are/will be migrating from Social Development are integrated and registered with SACE. In what way does SACE assist those practitioners who does not meet the minimum requirements for registration.
Members further queried whether registration with SACE was permanent or was lost when educators left the system.
Members noted that certain sections of the Child Protection Register were not accessible and Members queried what steps are taken by SACE to gain such access. Further, Members sought clarity on provisions for therapist and psychologists also undergoing similar vetting against the Child Protection Register.
Members noted that the Education Labour Relations Council (ELRC) offered a 1-stop-shop system in respect of dealing with disciplinary matters and Members queried whether SACE is considering a similar approach or possible collaboration with ELRC in this regard.
Members queried whether SACE, as an entity of the Department, could legally purchase its own property.
In respect of the Operational Budget, Members raised concern with the huge amounts for some of the line items for operational expenditures and sought clarity on the following:
- Leasehold improvements – an amount of R 500 000.00 has been budgeted for this but was this not the responsibility of the building owners;
- An explanation on the amount of R3 800 000.00 set aside for Depreciation;
- Travel and Accommodation at R2 230 000.00 a detailed explanation and breakdown of this expense;
- Rates, Water and Electricity at R 3 450 000.00 a detailed breakdown of this amount with an indication of which building/s this was for;
- Salaries amount of R 62 704 000.00 projected the bulk of the budget was for salaries. The Committees need a full organogram of SACE with the salary structure and breakdown;
- Telephone budget of R 800 000.00, the amount was exceedingly high. SACE was advised to give a detailed breakdown for this cost item;
- Distribution, Publicity and Communication amount at R 1 500 000.00.

Members asked at what content informed the publicity and who were the identified stakeholders who received distribution of publicity and communication. SACE needed to provide samples of the distribution strategy;
Members also queried the type of support and empowerment from SACE for educators during the lockdown period.

12.1. Responses from SACE

Ms Mokgalane provided the following responses:

SACE had done the necessary risk analysis of the 2020/21 Annual Performance Plan and there would be areas of adjustment within the framework of the current budget.
Educators are all registered with SACE and may be marked as inactive if not currently in the teaching profession. SACE had the necessary systems in place to assist educators who wished to return to the system by way of the necessary screening and admission requirements.
SACE is working in collaboration with the Department to ensure access to information in certain sections of the Child Protection Register and streamline their processes with protocols.
SACE acknowledged the work done by the ELRC and is engaging the ELRC and the Department in respect of the 1-stop-shop system approach. However, SACE operated under its own regulations and mandatory obligations. SACE is not privy to the finalised model utilised by the ELRC.
The SACE Act dealt primarily with Grade R – Grade 12 educators and this included ECD practitioners in the system. SACE established a special task team to handle matter pertaining to ECD practitioners’ migration and articulation processes. Collaboration between SACE, DBE and SAQA is important in this regard.
SACE is unable to control some of the factors leading to cases not being completed on time. Parents were found to be receiving favours/money/benefits from would-be perpetrators of offences against learners - and encouraging its continuation. SACE is of the view that such parents be reported to the authorities.
In respect of disciplinary hearings, SACE had to suspend these due to COVID-19 lockdown restrictions. Further to this, parents have been refusing their learners participation as witnesses in such hearings during the lockdown period.
SACE has put in place the necessary mechanisms in place to ensure accessibility to the SACE systems for submitting documents or applications.
Regarding Independent Schools, it is Umalusi who accredit these schools within the system. SACE has an MOU with Umalusi to monitor educators and educator accreditation.
With the monitoring of sanctions, SACE submitted a detailed list of all educators struck off the system. DBE, in turn, checked these against their PERSAL to ensure that they are no longer active in the system. Where the implementation of sanctions are ignored there need to be a review and investigation.
SACE requested that Independent Schools first checked with SACE before employing educators. It is knowledgable that where SACE could not enforce sanctions, it is a wasteful exercise and a waste of resources.
The minimum qualification for registration is a Matric plus 4-year tertiary, however the CEO also alluded to cases where there are matured educators above (40-50 years) who did not have Matric plus 4 when they entered the system.
SACE ensured that data-management is utilised effectively to inform the system as a whole
Presently the Eastern Cape SACE Office is ready for occupation and could have been launched if was not for the COVID- 19 lockdown regulations. Staff will be appointed to the office as soon as it is opened.
SACE is not involved in providing actual training and development of educators but identified where there is a need for empowerment through diagnostic reports and evaluation. Training and development is the responsibility of the Department.
The CFO mentioned that the budget for travelling covers all flights and ground travel for Council and Exco meetings. There will be budget cuts and adjustments to certain line items e.g. Salaries, Travel and Office Operations. Funds for possible donations will be sourced from membership contributions and no government funds will be utilised for this purpose.
The Council will discuss and assess measures used to conduct the business of SACE going forward. The Council will also review and reconsider the viability of provincial offices. In respect of certain line items, the CFO indicated the following:

Communication Budget – SACE used a centralised budget for communication throughout the entire country.
Salaries – The figure covered the national office as well as five provincial offices. This is one of the line items that will be adjusted. SACE will furnish the Committees with the current organogram.
Building Improvement – SACE needs to have offices cleaned and refurbished once they occupied a certain building and building are not always conducive.
Electricity, Water and Rates – The funds are allocated for the SACE building being rented in Centurion.
Depreciation – The amount seems high but did not actually affect the budget of SACE directly as many remained as assets on the books of SACE.
Telephone – SACE has one switchboard for all communication and the switchboard manages the call centre. The telephone budget also includes data usage and cellphones connectivity.

12.1.1. Committee Resolution

The Committees resolved that SACE should submit the following to the Secretariat:

A detailed report on the Operational Budget (per line item)
SACE Organogram
A sample of the SACE distribution strategy
Operational plan for the new SACE building
SACE Research information

13. The Council for Quality Assurance in General and Further Education and Training (Umalusi)

Dr Rakometsi, in his opening remarks alluded to the background, legislative mandate and role of Umalusi. The mandate of Umalusi could be summarised as follows:

Develop and manage a sub-framework of qualifications in collaboration with SAQA and the other two Quality Councils (QCs) supported by the necessary quality assurance policies and processes;
Develop and implement the necessary quality assurance policies in respect of quality assurance of provision;
Maintain a database of learner achievements and related matters; and submit such data in a format determined in consultation with the SAQA for recording on the national learners’ records database;
Commission and publish research related to the development and implementation of the sub-framework of qualifications; and
Formalisation of relationships which include:
- advice to the relevant Minister on matters relating to the GFET sub-framework of qualifications;
- collaboration with the SAQA and other QCs in terms of the NQF; and
- Advocacy of the sub-framework and its qualifications.

13.1. Strategic Plan

In respect of the situational analysis, Dr Rakometsi gave a broad overview of the Council’s strengths, weaknesses, opportunities and threats. The Committee also received a detailed list of the stakeholders with whom Umalusi dealt with. Umalusi Strategic Priorities covered the following:

Reviewing the quality assurance of assessment approach so as to accommodate new qualifications;
Evaluating and appraising new qualifications – e.g. GEC;
Amending the founding Acts to accommodate new qualifications and desired extensions in the mandate of quality assurance;
Intensifying research on educational developments to innovate and advise the Ministers of Education;
Intensifying advocacy on qualifications within the sub-framework; and
Seeking for an alternative funding model to increase revenue.

In respect of the Umalusi outcome targets and risks, the Committee were presented with the following:

Outcome:

Efficient and effective administrative systems (Improved audit outcomes)

The 5-year target was for an unqualified audit opinion with no material findings.

Risk:

Unreliable MIS Data;
High Staff turnover rate; and
Lack of alternate funding model

Outcome: Enhanced educational standards (Percentage compliance to prescribed requirements to deliver and assess qualification on the GFETQSF)

The 5-year target was set at 95 percent.

Risk:- Limited budget to carry our adhoc activities;
- Reliance on independent contractors for execution and reporting on processes may compromise the confidentiality of organisational information;
- Non-availability of independent contractors to perform the duties when needed;
- Institutions offering qualifications without being accredited; and
- Examination irregularities.

13.2. Annual Performance Plan

13.2.1. Programme 1: Administration

The purpose of the programme is to provide strategic leadership, management and administrative services to the organisation. Sub-programmes include:

Strategy and Governance (S&G);
Public Relations and Communications (PR&COMS);
Information and Communication Technology (ICT);
Human Capital Management (HCM); and
Finance and Supply Chain Management (F&SCM).

For this financial year, Programme 1 has the following targets:

Number of advocacy exhibitions conducted – The target is set at 12 advocacy exhibitions;
ICT Network health score maintained at ≥95 percent - The annual target is at ≥95 percent;
Vacancy rate maintained at ≤ percent - The annual target is set at ≤10 percent; and
Percentage of valid invoices of creditors and suppliers paid within 30 days – The target is set at 100 percent of valid invoices paid.

13.2.2. Programme 2: Qualifications and Research

The purpose of the programme is to develop and manage an efficient and effective GFETQSF within the NQF and to undertake strategic research in support of that goal. Sub-Programmes included the following:

Qualifications, Curriculum and Certification (QCC); and
Statistical Information and Research (SIR).

For 2020/21, programme 2 has the following 2 targets:

Number of reports produced on the management of qualifications in the sub-framework – The target is set at one report produced;
Percentage of error-free learner records for which a certificate is printed – The target is set at 100 percent error-free records;
Percentage of verification requests received and completed in terms of the service level agreement: two working days – The target is set at 96 percent of verification requests; and
Number of research reports completed in various formats – The target is set at five research reports.

13.2.3. Programme 3: Quality Assurance and Monitoring

The purpose of the programme is to ensure that the providers of education and training have the capacity to deliver and assess qualifications registered on the GFETQSF and are doing so to the expected standards and quality. Sub-Programmes include the following:

Quality Assurance of Assessment: School Qualifications;
Quality Assurance of Assessment: Post-School Qualifications; and
Evaluation and Accreditation.

Programme 3 has the following targets:

Number of quality assurance of assessment reports published for qualifications registered on the GFETQSF – The annual target is set at 10 assessment reports;
Percentage of question papers approved per qualification – The target is set at 100 percent of question papers approved;
Number of assessment bodies audited for their state of readiness to conduct examinations – The annual target is set at 13 assessment bodies audited;
Number of subjects for which verification of marking is conducted- The target is set at 84 subjects;
Number of subjects for which moderation of internal assessment is conducted – The annual target is set at 125 subjects;
Percentage of accreditation outcomes for private education institutions finalised within 12 months of the site visit – The target is set at 82 percent of accreditation outcomes; and
Percentage of identified private education institutions monitored after being granted accreditation – The target is set at 92 percent of identified institutions.

13.3. The Impact of COVID-19 on the 2020/21 Annual Performance Plan

An analysis of the approved APP has been done in relation to the COVID-19 restrictions and out of 15 indicators; eight indicators have been affected (53 percent). Management has revised the affected indicators and targets for the year. Quarter 1 and Quarter 2 targets will be the most affected as the implementation-taking place before the revision of the APP. The Council is awaiting the DPME guidelines on the review of the APP and it is re-tabling.

13.4. Budget Presentation (2020/21 – 2022/23)

As per government regulations, the Council has budget cuts as part of the general savings process of the Budget. Over MTEF, budget cut of 2.0 percent has been implemented in December 2019 with R7,07 million as the baseline allocation less from the Department. The Council`s budget allocation increased by 3.3 percent in 2020/21. With an increase in the number of question papers, new qualifications and curricula, the Umalusi budget is under great pressure.

The revenue of Umalusi is tabulated below and shows an increase by 2.83 per cent in 2020/21. 4.88 per cent in 2021/22 and 4.54 per cent in 2022/23 financial years. More so, Table 13 also shows that the government allocation to Umalusi has increased by 3.3 per cent in 2020/21 and is expected to increase by 5.5 per cent and 4.54 per cent in 2021/22 respectively.

Table 13: Revenue:

R’000	2019/20	2020/21	2021/22	2022/23
Government funds – DBE	R134 634	R139 172	R146 826	R154 158
Accreditation fees	R11 375	R6 945	R7 321	R7 715
Certification fees	R5 926	R5 383	R5 706	R6 049
Verification services	R10 661	R11 192	R11 472	R11 759
Other Income	R8 185	R12 928	R12 874	R12 881
Total Revenue	R170 782	R175 620	R184 199	R192 562
Percentage Increase Total Revenue Percentage		2,83%	4,88%	4,54%
Increase Government Allocation		3,37%	5,50%	4,99%

Table 14: Operational expenditure:

OPERATIONAL & CAPITAL EXPENDITURE	2019/20	2020/21	2021/22	2022/23
Compensation of employees	R81 438	R84 985	R89 234	R93 696
Goods and services	R105 035	R104 350	R106 312	R110 929
Capital expenditure:	R3 500	R1 000	R1 500	R1 327
Total Expenditure	R189 973	R190 335	R197 046	R205 952
Compensation to Employees Increase		4,355%	5,000%	5,000%
Total Expenditure Percentage Increase		0,19%	3,53%	4,52%

Umalusi has Surplus Funds, already approved by the National Treasury and the Department for the Council to retain surpluses for the following projects:

Renovations of purchased building;
Contingency expenditure;
Enterprise Content Management system; and
The balance of the surplus funds is utilised to balance the budget shortfall.

The Councils operational budget and the revenue is expected to change due to unprecedented impact as the result of COVID-19. The changes are tabulated in the following tables below.

Table 15: Estimated Changes: COVID-19

Revenue R000	2020/21 Approved Budget	Estimated Savings (changes)		Restated Budget Estimate
Entity revenue	51 163	(6 732)		44 431
Sale of goods and services	23 520	(6 048)		17 472
Certification	5 383	(2153)		3 230
Verification of certificates	11 192	(3 895)		7 297
Accreditation of Providers	6 945			6 945
Entity revenue other than sales	27 643	(684)		26 959
Interest	4 000			4 000
Unsecured funding- Reserve funds	14 715					14 715
Other income: Rental and Sundry Income	8 928		(684)		8 244
Transfers received: Basic Education Grant	139 172				139 172
Total revenue	190 335		(6 732)		183 603

Table 16: Estimated Expenditure Summary

EXPENDITURE Summary	2020/21 Approved	Expenditure Summary	2020/21 Restated
R000	Budget	Estimated (savings)/changes	Budget Estimate
Compensation of employees	84 985		84 985
Goods and services	104 350	(8 233)	96 117
Administration Expenses	13 199		13 199
Board costs	323	(54)	269
Catering: internal activities	272	(136)	136
Communication	4 554	1 139	5 693
Computer services	10 030	(1 000)	9 030
Consultants	7 406		7 406
Travel and subsistence	24 030	(3 605)	20 426
Venues and facilities	4 565	(913)	3 652
Honorarium:	39 971	(5 996)	33 975
Personal Protection Equipment		2 332	2 332
Capital Expenditure: Non fixed assets	1 000	1 500	2 500
Total Expenditure	190 335	(6 733)	183 602
Net Budget (shortfall surplus)	-	0	0

13.5. Litigations

Umalusi has the following legal cases that has not yet been resolved:

Umalusi vs Kabini Joint Venture (JV) – the case related to the renovations of the new building in 2018/19. Umalusi issued summons against the JV for repayment of funds, as the JV was illegal (R10m). All parties agreed to refer the case to Arbitration and the Arbitration agreement has been signed with an appointed Arbitrator.
Umalusi vs Independent Examinations Board (IEB) - Umalusi issued summons against IEB for non-payment of assessment fees (R 2.9 m). The IEB issued action to review charging of these fees and amounts. Parties agreed to combine cases with one judge and the case are set to be heard in July 2020.

13.6. Conclusion

The Council`s Senior and Executive Managers have signed a pledge with the Chief Executive Officer (CEO) to obtain a clean audit. The achievement of APP targets is part of the SMS members’ Performance Agreements. Performance outputs are verified on a quarterly basis by an internal committee (PIVC) and monitored at quarterly review meetings, and reported to oversight structures (Audit and Risk Committee, Executive Committee of Council and Council). Executive Management will monitor the implementation of the APP and delivery of service and the utilization of the budget within the constraints of the COVID-19 pandemic and report to the Umalusi Council accordingly during the year.

13.7. Committee Observations and Deliberations

Members queried how Umalusi would cope with the extension of the current syllabus as well as the proper assessment and examinations during the COVID-19 period. Members queried how learners will be assessed. Members cautioned that the quality assessment of certificates should not be compromised in any way.
Members also queried how COVID-19 has affected the budget and work of the Council. Members noted the outcry from Umalusi for increased funding as the current budget was not sufficient. With a reduced budget, Members queried how this would affect the targets and indicators as per the APP – and how the budget would be reprioritised and adjustments made.
Members also noted the high staff turnover as well as the current position of an Acting CFO. Members queried why these vital posts where never permanently filled and when does Umalusi plans to have those posts filled. Umalusi has indicated that staff left for better opportunities and Members queried the steps taken by Umalusi to make their positions more attractive to staff and retain staff. Members queried whether Umalusi had done any research on reasons for staff leaving the organisation.
Members queried the amount of vacancies currently in the organisation and whether these vacancies will be filled as this may lead to further workload on existing staff.
Members also queried whether Umalusi was foreseeing even more staff losses due to possible budget cuts. In view of shortage of professional staff, Members also asked whether Umalusi has considered the possibility of recruiting unemployed educators.
In respect of remarking of scripts, Members noted that the turnaround time for remarking was too long and queried how Umalusi was looking to address this matter.
On certification, it has been noted that Umalusi had a drop in providing certification and queried how Umalusi would ensure that certification and verifications is sped up.
Regarding the General Education Certificate, Members queried whether Umalusi had done the necessary quality assurance of the Certificate and whether the Certificate had been registered. Members also queried whether consideration has thought of to ensure all learners receive a certificate, irrespective of the fact that they chose to exit the schooling system or not.
Members further queried Umalusi’s progress in respect of the quality assessment of the ECD programme migrating from Social Development to Basic Education.
It has been highlighted that the examinations might be shifted and combined. Members queried whether Umalusi had the necessary capacity and resources to manage such a larger examination.
Members noted the consideration of the NSC for Adults programme and queried the role played by Umalusi in adult education.
On the appointment of markers, Members queried Umalusi’s position on compulsory competency test for markers – and the practicability of such competency tests.
Members noted that there has been a loss of almost two months of schooling. However, it`s assumed that Umalusi had already set its question papers for examinations. Members queried the reconciliation of set question papers and current incomplete syllabus.
Members noted that in the past, there was a move to lessen the subject offerings but it has been notable that there are moves to add more subject offerings now. Members queried how Umalusi will be responding to this.
Regarding the legal dispute with the Joint Venture (JV), Members queried when the case would be concluded how much would have costed and whether Umalusi would be able to recoup monies from the JV.

13.7.1. Responses from Umalusi and DBE

13.7.1.1. Responses from Umalusi

In respect of the impact of budget cuts on the work of Umalusi, It has been indicated that Umalusi is awaiting the final determinations regarding the possible cuts. Umalusi has regular engagements with its Board to ensure that functions are not compromised in any way. There were areas where Umalusi had made savings but there were also areas where Umalusi had to spend money not budgeted for. Currently, there is no indication of what the amount would be for the budget cuts and Umalusi is looking to reprioritise its work in collaboration with National Treasury.
An explanation has been given for the loss of the permanent Chief Finance Officer due to Umalusi not being competitive in respect of remuneration packages. Umalusi is in the process of filling the vacant CFO position a matter of urgency. Umalusi is devising means to improve on its structures to ensure staff is retained in the organisation. Umalusi is losing staff to other Departments based on the caliber of personnel staff that is well-trained professionals and highly sort-after. Umalusi staff is attractive to other Departments due to the highly competitive remuneration packages they are offered and the reduced workload in these Departments. Umalusi staff workload is high with an underfunded budget to remunerate them. For Umalusi this is not sustainable and the Council is losing highly skilled staff and institutional memory. Vacancies at Umalusi remains a running target for instance currently there are six vacancies as reported. Even though Umalusi is experiencing financial constraints, and work is constrained by diminishing budget, the CEO emphasized that Quality Assurance cannot be compromised
Umalusi continued to monitor the COVID-19 situation and has contingency plans though the situation remains largely fluid at this stage. Umalusi continued to engage and consult the Department on COVID-19.
Umalusi resumed with the quality assurance and assessment with respect to new qualifications and the report will be submitted to the Council in respect of the registration of the new General Education Certificate qualification. Umalusi would consider the advice from Members on the issuing of such a certificate.
Regardless of the budget cuts, Umalusi will not compromise on the quality assurance. Umalusi has requested that they be allowed to re-open some functions moving forward. Umalusi did not agree that the NSC curriculum needed to be reduced as this would have the effect of stigmatisation of the current Grade 12 cohort. Umalusi believes that there are alternate mechanisms to ensure these learners could be assisted to ensure that quality assurance is not compromised. Further, Umalusi is of the view that question papers are already set, and would need not be reviewed.
With the possible merging of examinations, Umalusi would need to increase its capacity in respect of monitors and verifiers to ensure adequate quality assessment assurance.
Umalusi maintained that insufficient budget remains a challenge that need to be addressed else, they would not be sustainable going forward. Umalusi also pleaded with the Department to consider an increase in the Umalusi budget and is currently in consultation on improving its funding model. Umalusi will revise its APP and Strategic Plan targets and indicators after consultation with the Department and National Treasury.
On the appointment of markers, Umalusi indicated that markers are appointed strictly by way of the necessary policies.
Regarding the additional subjects, Umalusi is of the view that, the countries strategic direction, developmental opportunities and the economic climate requires new sets if skills and hence introduction of additional subjects for relevance.
Regarding the legal case with the Joint Venture (JV), Umalusi gave some background to the case and indicated that they are pursuing the arbitration route to resolve the matter speedily. Umalusi will continue to pursue the retrieval of public funds. Legal cases are very formal and there is no guarantee that monies could be recouped.
Umalusi agreed that some subjects needed to be prioritised but also cautioned that there be a balance with other subjects.

13.7.1.2. Responses from DBE

The Department has continuous engagements with Umalusi on the review of the Umalusi budget. National Treasury directed the Department in respect of their contribution to the frontline departments. It may therefore be difficult to allocate more money to Umalusi. The Department continued to assist and guide Umalusi with realignment and reprioritisation of their budget.
The Department is also looking at means to ensure that there is a reduced turnaround time for marking of scripts and marking outcomes. However, the Department agreed that there might have been some challenges with the remarking of selected subjects. The Department has already calculated the number of school days lost and is looking at mitigating these with reduced holidays and extended terms. The Department is also looking at clustering of certain topics in the Curriculum. Furthermore, the Department has engagements with the Department of Higher Education and Training on their academic year.
The Department agreed that the combined examination could be challenging but there is no alternative to this. The Department is currently working on a detailed plan for examinations in respect of writing space and learner accommodation.
The Department acknowledged the possible shortage of markers but indicated that this will be addressed by increasing the marking duration and not compromise the marking standards. The Department is of the view that, although there is a competency test for markers, in a certain province, this is not the only measure of quality assurance. There are other measures in place too.

14. Committee Recommendations:

The Select Committee on Education and Technology, Sports, Arts and Culture, having considered Budget

Vote 16: Basic Education, together with the Annual Performance Plan of the Department of Basic Education recommends that the Minister of Basic Education ensure the following:

14.1. Department of Basic Education (DBE)

The Department kept the Committee updated on the eminent budget adjustments, reprioritization and adjustment of targets and indicators. The Committee will allow the Department to present the adjusted budget once approved and tabled.
The Department ensure assistance and support to Provincial Education Departments (PEDs) struggling with limited budgets, especially in respect of infrastructure allocations. Further to this, the Department ensure that the budget allocations to schools is adequately addressed issues of COVID-19 compliance in all its facets.
The Department ensure that all qualified educators, including Funza Lushaka Graduates are assisted with placement.
The Department ensure that programmes and plans are in place to assist schools listed as vandalised with refurbishment and renovations.
The Department sought to prioritise ICT and connectivity to schools, especially rural schools. Further to this, the Department should ensure that schools have adequate and safe scholar transport as well as access to water and sanitation.
The Department is urged to focus on the following crucial areas of work:
- Financial support to schools (e.g. SGB appointed educators);
- An adjusted budget for Robotics and Coding; and
- Assistance for Grade 12 learners with applications for placement at tertiary institutions.
The Department of Basic Education, in collaboration with the Department of Social Development should ensure that there is uniformity across all schools in respect of the implementation and rollout of the National School Nutrition Programme (NSNP) in collaboration with the Department of Social Development.
The Department urgently Gazetted the timelines for the reopening of schools in the country to limit any uncertainties.

14.2. South African Council for Educators (SACE)

The Department must ensure that the budget cuts to SACE does not negatively affect the functions of the Council e.g. disciplinary hearings.
With the COVID-19 situation and budget cuts looming, the Department should review the opening of provincial offices in various provinces.
The Department in collaboration with SACE and ELRC must ensure that the sanctioned educators are monitored so that they do not find the ways back to the system. If there are loopholes in the legislation, that should be addressed adequately to safeguard learners.
SACE should ensure that there is proper research and assessment of the analysis of the ICT needs of educators during the COVID-19 lockdown period.
Members also sought clarity on the cases that are not finalised and closed, reasons for the cases not being finalised and how SACE is addressing case backlogs.
SACE must ensure that all qualifying educators and professionals are registered into the system and ECD practitioners are assisted with integration and registration as well.
The Department should ensure that SACE has access to certain sections of the Child Protection Register currently not accessible.
SACE should relook and review its operational budget for certain line items as follows:
- Lease Improvements;
- Depreciation;
- Travel and Accommodation;
- Rates, Water and Electricity;
- Salaries;
- Telephone; and
- Distribution, Publicity and Communication.

14.3. Council for Quality Assurance in General and Further Education and Training (Umalusi)

The Department should ensure that any budget cuts does not negatively affect the work of the Council and assist Umalusi with proper budget reprioritisation and adjustments.
The Department should ensure that Umalusi revise its APP and Strategic Plan targets and indicators in collaboration with National Treasury.
The Department should consider prioritising Umalusi for budget increase as well as ensuring that the Umalusi funding model is improved and restructured.

Umalusi should ensure that all vacant positions, especially that of the CFO as a matter of urgency and consider improving its structures to ensure staff retainment in the organisation as staff losses is unsustainable.
Umalusi must ensure that the improvement of the turnaround time for remarking of scripts.
The Department, in conjunction with Umalusi, must ensure that the new General Education Certificate is adequately quality assured and registered.
The Department and Umalusi should considerer giving these certificates to all learners, irrespective of the fact that they chose to exit the schooling system or not.
Umalusi should ensure that it has the necessary capacity and resources to manage the combined examinations as foreseen.
Umalusi should ensure that the legal case with the Joint Venture is finalised as a matter of urgency.

15. Conclusion

Having satisfied itself in its engagement with the Department of Basic Education and Statutory Bodies on their Annual Performance Plan and the Budget, and having noted following:

The Department and Statutory Bodies presented their Strategic Plan and Annual Performance Plan which would need to be reworked, as it was drawn up prior to the outbreak of the COVID-19 pandemic. Funds would now have to be redirected in order to ensure that schools were Covid-19 compliant.
The Strategic Plans, inclusive of the Annual Performance Plans, that were serving before the National Assembly in terms of the Money Bills Act and the PFMA pertain to the Appropriation Bill that was currently before the National Assembly and its committees.
Revised plans should be submitted with the adjustments budget that will be tabled sometime this year because of the Covid-19 pandemic.

The Select Committee on Education and Technology, Sports, Arts and Culture recommends that the House approve the Budget Vote 16: Basic Education.

Report to be considered.

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