Budgets and structures

1
Budgets and structures

• RPF meeting
• 7 May 2002
• Magaliespark

2
Content

• Background
• 2001/02 progress against budget
• 2002/03 budgets (overall)
• Where does the money come from?
• Outputs
• Organisational structures
• Summary

3
Background

• Resolution at RPF May 2001
• Data on budgets be adopted as basis and be
  expanded for future reports
• Funded by Sabita, CCI CSIR
• Focus on provincial budgets and SANRAL
• Local government in process of getting
  information sorted out

4
2001/02 Progress against budget
5
2002/03 Departmental budgets
6
2002/03 Roads budgets
7
2002/03 Department as of Province
8
2002/03 Roads as of Department
9
2002/03 Roads as of Province
10
Where does the money come from?

• SA fiscal system based on revenue sharing model
• Provinces depend mainly on transfers from
  national government
• Division of revenue
• National 40,6
• Provincial 55,8
• Local 3,6

11
Where does the money come from? (cont)

• Provincial government responsible for
  implementation
• Transfers unconditional equitable share
  conditional grants (96)
• Own revenue license fees / casinos etc (4)

12
Transfers - equitable share

• 90 of transfer
• Bulk of public services
• Divided using provincial equitable share formula
• Components
• Education, health, social welfare, basic
  (population), economic activity, institutional,
  backlog (not roads)
• Phase-in until 2003/04

13
Transfers conditional grants

• 10 of transfer
• Support national priorities (social services)
• Allocations
• agriculture, health, education, housing, welfare,
  infrastructure, provincial and local government,
  national treasury
• National treasury flood reconstruction of R 400
  million (2002/03)

14
Key outputs, indicators and targets - SANRAL

• Function Road infrastructure and road transport
  regulation
• Output Facilitate the construction and
  maintenance of the primary network of national
  roads
• Indicator Kilometers of new roads constructed,
  kilometers of existing roads adequately
  maintained and rehabilitated
• Target Ensure 80 compliance by the road
  building agencies with the annual business plan

15
Organisational structures

• Changes in some provinces
• Indication of roads-responsible departments

16
Provincial departments

• EC - Roads and Public Works
• FS - Public Works, Roads and Transport
• GT - Public Transport, Roads and Works
• KZN - Transport
• Limp - Public Works - NPRA
• Mpm - Public Works, Roads and Transport
• NC - Transport, Roads and Public Works
• NW - Transport, Roads and Public Works
• WC - Transport and Public Works

17
Summary

• PFMA effect on availability of budget and
  progress information
• Better understanding of flow of funds
• November 2002
• details of budgets
• Local government budgets