Money Bills Amendment Procedure and Related Matters Amendment Bill: briefing

NCOP Finance

12 September 2018
Chairperson: Mr C De Beer (ANC, Northern Cape)
Share this page:

Meeting Summary

Money Bills Amendment Procedure and Related Matters Amendment Bill: Draft 2
ATC180607: Report of the Standing Committee on Finance on the Money Bills Amendment Procedure and Related Matters Amendment Act, Dated 7 June 2018

The Parliamentary Legal Advisor briefed the Committee on the Money Bills and Related Matters Amendment Bill.

The Bill was initiated by the Finance Standing Committee, classified as a section 75 Bill, and transmitted for concurrence to the NCOP.

The establishment of the Parliamentary Budget Office (PBO) in terms of section 15 of the Act has not been fully completed. Planning, budgeting, financial management and reporting proceeds through the administration of Parliament as the provisions of section 15 are not adequate to create an entity at arms-length from Parliament’s administration. The bill amended section 15 of the Act with the aim of ensuring compliance with the Act, creating an entity with its own accounting officer responsible for the use of funds received through a transfer from Parliament’s funds. The amendments ensure alignment with the provisions of the Financial Management of Parliament and Provincial Legislatures Act, 2009 (Act No. 10 of 2009).

In discussion, the Committee asked about public hearings, with specific reference to the provinces. The Chairperson spelled out the way forward, and stated the intention to invite Chairpersons of finance committees in all nine provincial legislatures to provide inputs, and to conduct public hearings.

 

Meeting report

Briefing by Parliamentary Legal Services on the Money Bills Amendment and Related Matters Amendment Bill [B 28 – 2018]
Adv Frank Jenkins, Senior Parliamentary Legal Adviser, presented. The Bill was initiated by the Finance Standing Committee, classified as a section 75 Bill, transmitted for concurrence to the NCOP, and referred to the Finance Select Committee.

The Committee was taken through timeframes pertaining to the Bill.
The establishment of the Parliamentary Budget Office (PBO) in terms of section 15 of the Act has not been fully completed. Planning, budgeting, financial management and reporting proceeds through the administration of Parliament as the provisions of section 15 are not adequate to create an entity at arms-length from Parliament’s administration. The bill amended section 15 of the Act with the aim of ensuring compliance with the Act, creating an entity with its own accounting officer responsible for the use of funds received through a transfer from Parliament’s funds. The amendments ensure alignment with the provisions of the Financial Management of Parliament and Provincial Legislatures Act, 2009 (Act No. 10 of 2009).
Section 16 of the Act, read with the Schedule to the Act, provides for norms and standards for provincial legislatures. Section 120(3) of the Constitution provides that provincial legislatures must pass provincial legislation to set out a procedure to amend provincial money Bills. Section 116(1) of the Constitution provides that a provincial legislature may control and determine its internal arrangements, proceedings and procedures. The bill amends section 16 of the Act to ensure consistency with the Constitution.
The Bill improves the language of the Act to be consistent with language used in parliamentary processes (e.g. definitions), to effect certain corrections (e.g. section 11(4)(c)) and to delete certain obsolete provisions (e.g. section 3).

Discussion
The Chairperson asked about public hearings, with specific reference to the provinces.

Adv Jenkins replied that there was an obligation on Parliament for public hearings to be conducted. There was widespread interest in the Division of Revenue Bill, and people wanted to give inputs. If there was interest, proper public hearings had to be conducted, so that the public could participate in the legislative process. Public hearings had to be accessible. If possible, hearings had to be conducted in a language that people of a specific region understood, and it had to be ascertained that those interested had the means to travel to the public hearings. It was not possible to make a rule that prevented participation. In a province like Gauteng, if there was proper public advertising, hearings could be concluded in a single day.

The Chairperson spelled out the way forward. A second meeting would be held, to which the Finance Portfolio Committees of all nine provincial legislatures would be invited, as the Division of Revenue Bill and the Division of Revenue Amendment Bill affected the provinces. Although the Bill presented on the day was a section 75 Bill, it also affected the provinces. The NCOP had to cover itself through inviting the Chairpersons of finance committees in the provincial legislatures to the Finance Select Committee, to make an input. At a third meeting, the Finance and Appropriations Committees (composed of the same Members) would meet in the morning to consider a report, and then there would be public hearings in the afternoon.

Consideration and adoption of Committee minutes
Minutes of 7, 14, and 21 August, and 4 September were considered and adopted without amendment.

The Chairperson adjourned the meeting.

 

Audio

No related

Present

  • We don't have attendance info for this committee meeting

Download as PDF

You can download this page as a PDF using your browser's print functionality. Click on the "Print" button below and select the "PDF" option under destinations/printers.

See detailed instructions for your browser here.

Share this page: