DEPARTMENT OF CULTURE, SPORT AND RECREATION

MPUMALANGA PROVINCE

COMMUNITY LIBRARY CONDITIONAL GRANT

2009 / 2010 FINANCIAL YEAR

Community Library Grant Index

1. Library Update

2. Expenditure trend for the financial year 2007 / 2008.

3. Expenditure trend for the financial year 2008 / 2009.

4. Rational for under/over expenditure

5. Remedial Actions

6. Expenditure trend for the financial year 2009 / 2010.

7. Reasons for variance for the financial year 2009/2010.

8. Department’s monitoring capacity.

Community Library update The DCSR has been receiving grants from National Dept of

Arts and Culture fro the past three years namely 07/08Libraries constructed and established in the 3 regions: 3

new libraries, 6 buildings upgraded and as opened as new, 3 existing libraries upgraded, 1 mobile and 2 container libraries.

5 renovations have been undertaken in all regional libraries 2009/10 4 new library construction underway (including

Siyabuswa from2008/09, 4 library upgrading (including Wesselton from 2008/09), 1 mobile library to be acquired.

The department is currently using IDT as an implementing agent for all library infrastructure projects

A memorandum of understanding has been signed by DCSR and Independent Development Trust(IDT)

ECONOMIC CLASSIFICATION ORIGINAL BUDGET EXPENDITURE

COMPENSATION OF EMPLOYEES

2,467 351 2,553 863

GOODS AND SERVICES 8,612 323 9,797 454

TRANSFERS AND SUBSIDIES 2,680 326 2,845 321

PAYMENTS FOR CAPITAL ASSETS

9,100 000 7,377 314

GRAND TOTAL 22,860 000 22,573 951

ECONOMIC CLASSIFICATION

ORIGINAL BUDGET

EXPENDITURE VARIANCE

COMPENSATION OF EMPLOYEES

2,630 000 2,015 000 615 000

GOODS AND SERVICES

19,119 000 16,514 000 2,605 000

TRANSFERS AND SUBSIDIES

3,208 000 3,178 000 30 000

PAYMENTS FOR CAPITAL ASSETS

18,255 000 12,039 000 6,216 000

GRAND TOTAL 43,212 000 33,746 000 9,466 000

REASONS FOR UNDERSPENDING 2008 / 2009The department has requested a roll-over for an amount of

R9,466 million for the completion of Infrastructure projects in progress.

Siyabuswa and Wesselton Libraries at 80% completion.Compensation of employees-the province is experiencing

a lot of reignations which therefore results in vacant posts thus creating a savings in the compensation of employees.

Goods and services-international library books ordered take some time before delivery

Transfers and subsidies-1 municipality transfer not conductue to lack of proper business plan

Capital Assets-Infastructure projects completion date overidding to last quorter of the financial year.

Remedial actionsMunicipalities assisted in compiling the

business plans and monitoring capacity provided by the department through OST

Procument of service providers for supply of library books done in the previous year

Capital projects implementing agent engaged in fast-tracking the appointment of service providers and the implementation

Monitoring by OST strengthened- Monthly progress reports are requested

ECONOMIC CLASSIFICATION

ORIGINAL BUDGET

EXPENDITURE COMMITMNET VARIANCE

COMPENSATION OF EMPLOYEES

6,637 121 873 397 - 5,763 724

GOODS AND SERVICES

26,368 879 1,529 094 10,735 961 14,103 824

TRANSFERS AND SUBSIDIES

4,350 000 3,350 000 - 1,000 000

PAYMENTS FOR CAPITAL ASSETS

18,600 000 5,410 924 13,186 256 2,820

GRAND TOTAL 55,956 000 11,163 416 23,922 217 20,870 367

Reasons for Under ( Over) spending2009 / 2010 Financial Year

Compensation of Employees

The under spending in compensation is due to the mobility in the sector thus creating vacant posts continuosly

Current situation-we have posts vacant which have been advertised and to be filled by end October.

• Goods and Services

The current under spending in goods and services will be utilized during the year since some activities are taking place in the third and last quarter.

R 3,000 mill is for SITA Brocade system R 4,000 mill is committed already for marketing and promotion

of Libraries e.g. Fundza for fun R 0,600 mill is for Library information catalogues e.g.

Periodicals, Magazines etc. R 2,800 mill Allocated for Infrastructure projects that is 3

Libraries.(Tweefontein,Msogwaba and Silindile)

Reasons for Under (Over) spending2009 / 2010 Financial Year Continu….

Transfers and Subsidies

An amount of R 1,000 mill will be spent for the ICT projects during the 3rd quarter and 4th quarter in the municipalities. Municipalities still outstanding.

• Payments for Capital Assets

R 2 820 All the procurement for the current year projects completed

Summary of Spending PatternsYear Budget Actual % spending

2007/8 22,860 22,573 99%

2008/9 43,212 33,746 78%

2009/10 55,956 34,900 62%

Summary of Spending Patterns

Department of Culture ,Sport and RecreationMonitoring Capacity 2009 / 2010

Monitoring capacity is provided through the following resources:

Operational Support Team (OST) The Provincial Treasury has sourced the services of built environment

professionals (engineers etc.)to support Departments implementing Infrastructure projects at operational level to facilitate improved service delivery and departments without dedicated infastructure units

The above officials are seconded on a full time basis to the department.

This Intervention is specifically aimed at providing technical expertise with the end purpose to capacitate the Department in this respect.

At present one official from DCSR is being capacitated by the OST in programme management which includes monitoring, while still also providing additional monitoring capacity to the Department. 

In terms of the Departmental Implementation Plan and submitted Conditional Grant Business Plan, no capital expenditure was projected for the first quarter.

Thank you