Division of Revenue Amendment Bill: final mandates; Committee Report on Division of Revenue Amendment Bill

NCOP Appropriations

21 November 2017
Chairperson: Mr C De Beer (ANC, Northern Cape)
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Meeting Summary

Committee Report on Division of Revenue Amendment Bill [available under Tabled Committee reports once published]

The Chairperson opened the meeting by asking the committee members and the delegates to introduce themselves.  Apologies from Ms T Motara (ANC, Gauteng), Ms B Mathevula (EFF, Limpopo) and Mr Steven Kenyon, National Treasury, whose flight had been changed by South African Airways (SAA) without informing him where communicated.

The Chairperson brought to the committee’s attention the adoption of final mandates on the division of revenue amendment bill.  While eight provinces voted in favour of adopting the Division of Revenue Amendment Bill [B24-2017], the Western Cape voted against the adoption.

Then the Committee deliberated the Report on the Division of Revenue Bill and this was adopted with the proposed amendments.  

Meeting report

The Chairperson opened the meeting by asking the committee members and the delegates to introduce themselves. The committee secretary then communicated apologies from Ms T Motara (ANC, Gauteng), Ms B Mathevula (EFF, Limpopo) and Mr Steven Kenyon, National Treasury, whose flight had been changed by South African Airways (SAA) without informing him and could not reschedule as he would have arrived very late. The chairperson communicated that Mr M Monakedi (ANC, Free State) was standing in as alternate for Ms B Mathevula (EFF, Limpopo). The Chairperson also welcomed Mr J Parkies (ANC, Free State).

Mr J Parkies (ANC, Free State) raised an issue on the minutes on the agenda  as they had indicated that he was absent for the previous meeting yet he had not been communicated officially that he was a member of the committee and his then attendance was to ensure a quorum was reached. The chairperson said it would be double checked.

Adoption of Final Mandates on Division of Revenue Amendment Bill (B24-2017)

Eastern Cape Legislature

Mr L Gaehler (UDM, Eastern Cape) voted in favor

Free State Legislature

Mr J Parkies (ANC, Free State) voted in favor

Gauteng Legislature

Mr T Motlashuping (ANC, North West) voted in favor

KwaZulu Natal Legislature

Mr L Nzimande (ANC, KwaZulu Natal) voted in favor

Limpopo Legislature

Mr M Monakedi (ANC, Free State) said they were still finalizing the mandate and hoped to get it by close of business but it should be productive.

Mpumalanga Legislature

Mr F Essack (DA, Mpumalanga) voted in favor

Northern Cape Legislature

Mr C De Beer (ANC, Northern Cape) voted in favor

North West Legislature

Mr T Motlashuping (ANC, North West) voted in favor

Western Cape Legislature

Mr O Terblanche (DA, Western Cape) voted against

Move for Adoption.

Mr T Motlashuping (ANC, North West) moved to adopt the final mandate, seconded by Mr L Nzimande (ANC, KwaZulu Natal).

The chairperson also communicated that the minutes for the previous meeting on Friday were also sent out to provinces and the input made by provinces on issues raised was well captured. He communicated that Plenary would convene the following day at 9AM and the report would also be tabled and provinces would be given the opportunity to make declarations where they would raise their concerns.

Consideration of draft Report on the above Bill

Mr L Nzimande (ANC, KwaZulu Natal) sought clarity on the phrasing of the report on an issue of the Rural Health Advocacy Project submission that said it was found to be more relevant to the proposed division of revenue in the 2018 medium term expenditure framework and said it would be included in the committee report on the proposed division of revenue and conditional grant allocation

The committee secretary said that the process required producing three reports; Division of Revenue Bill report, Adjustment Appropriations Bill report and the proposed. He said that the wording reference was with regard to the third report which was the proposed 2018 medium term expenditure framework. He added that it meant the bulk of the submission on the advocacy project was relevant to that report.

Mr T Motlashuping (ANC, North West) said that it was representative of what was presented and captured on that particular date hence they had to move on.

Mr M Monakedi (ANC, Free State) said that the report was not clear as to what commitment the committee was making going forward and that was what Mr L Nzimande (ANC, KZN) sought clarity on.

The Chairperson suggested that they reword the content of the paragraph.

Mr F Essack (DA, Mpumalanga) asked on the issue of a roll-over from the previous financial year explained by COPTA on page 7 if the committee condoned this on an ongoing basis, if it was the right thing to do and to what extent this could be condoned as they had to keep it mind

The Chairperson said that it was why the committee recommended that Intervention by treasury and COPTA should assist the municipalities in quality spending as the roll-over happened because the money was not spent. The Chairperson argued that the committees and legislators must do something.

Mr F Essack (DA, Mpumalanga) asked with regards to point 8.4 if the Eastern Cape had lost ground.

The Chairperson remarked that the committee picked up the report because it was crucial and that it was the sole of their responsibility. The chairperson noted that numbering errors had to be corrected on page 12.

Mr F Essack (DA, Mpumalanga) highlighted on an issue on point 8.16 on page 13 and agreed with the Chairperson on the need for aggressive oversight as the same issues were coming in year after year. He also asked what systems were in place the track the recommendations on point 9.2.

The Chairperson said that in terms of their report they would have to call the Department of Basic Education but could also have joint meeting with select committee on social services and education then call the Department to report.

Mr T Motlashuping (ANC, North West) Said that after the report is adopted it is then that it becomes a legal document that is binding then certain sections in parliament take the responsibility to ensure the recommendations are implemented.

Mr P Parkies (ANC, Free State) suggested that points 9.7 and 9.9 should have their sentences be reformulated.

Mr M Monakedi (ANC, Free State) said the report sough to reflect on the previous meetings discussions and conclusions so they needed to be care and keep in mind that all the issues in the report arose from the previous meeting.

Mr F Essack (DA, Mpumalanga) said that they should not remove anything but reformulate.

Mr O Terblanche (DA, Western Cape) recommended that the expression must be better formulated.

Mr L Nzimande (ANC, KwaZulu Natal) asked to what extent the committee had reflected on observation and replies by treasury. He stressed that they should put more focus to content in future.

Mr L Nzimande (ANC, KwaZulu Natal) moved for adoption of the report with the amendments.

Mr T Motlashuping (ANC, North West) seconded.

Consideration of draft Minutes of previous meeting.

Adoption of minutes

The Chairperson announced the minutes from the 17th of November 2017

Mr Motlashuping (ANC, North West) moved to adopt the minutes

Mr L Nzimande (ANC, KwaZulu Natal) seconded it.

The Chairperson sensitized the committee that the replies by the minister of finance on ECD centers and Mr Steven Kenyon of National Treasury were sent to them and it had to be incorporated in their reports in future.

The meeting was adjourned.ncil that is chaired by the presidentartment of economic development is also represented. th

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