2022 Division of Revenue Bill: Finalisation & Committee Report

Meeting report

The Chairperson welcomed Members to the virtual meeting. He asked the Committee Secretary to note the apologies, and also project the motion of desirability so that Members could engage.

Motion of desirability: Division of Revenue Bill [B6 – 2022]
The motion was adopted and the Bill was deemed desirable.

Report of the Standing Committee on Appropriations on the Division of Revenue Bill [B6–2022] (National Assembly – Section 76)
The Committee Secretary presented the draft report to the Committee.

Members went through the report page-by-page.

Mr A Shaik Emam (NFP) thought it important that National Treasury put measures in place to spread the work amongst service providers as it seemed only a handful of people are preferred, especially in local and provincial government. This resulted in unequal distribution of wealth.  Perhaps the provincial and local authorities should provide a report to National Treasury to assess this spread of procurement and work from the state.

The Chairperson repeated that a sentence should be included that the Minister of Finance ensure National Treasury come up with a mechanism to ensure the work contracted by government is equitably spread amongst service providers, especially in provincial and local government.

Mr Shaik Eman was satisfied with the suggested wording

He added that a point should be included that National Treasury ensure the processes of procurement are credible and transparent and ensure value for money. He explained it was important that one knew who was being procured from and that there was value for money. He felt that a few were benefiting from procurement, prices were escalated and middlemen were created. Government should not overpay for goods and services.

He also added that National Treasury should provide a report to the Committee on repeat offenders in violation of the PFMA and MMFA, wasteful expenditure and gross failure to comply and implement projects and programmes. Such comprehensive report on repeat offenders was needed to that the Committee could perhaps see how to deal with them.  It was concerning that such things were requested before by the Committee and it was not forthcoming.

The Chairperson agreed that follow up was needed – it was as if the departments never read these reports. This could form part of quarterly reporting.

Mr Z Mlenzana (ANC) agreed that it should be part of in-year monitoring.

Mr X Qayiso (ANC) suggested another inclusion in the Report that the Ministry of Basic Education provide the Committee with a programme on removal of pit latrines in schools.

The Chairperson agreed.

The Committee Report on the Bill was adopted, with the objection of the DA.

The Chairperson thanked Members for their work on the Bill and the public that made submissions. He also thanked the Committee support staff.

Committee minutes
The minutes of 15 March 2021 were adopted.

In Committee matters, the Committee Secretary informed Members that the set oversight visit would no longer take place as a result of the change in Parliament’s rpogramme next week. A new date would be communicated.

The debate on the Division of Revenue Bill would take place on Thursday, 24 March.

The Committee would reconvene next term.

The meeting was adjourned.