ATC150303:Second report of the Committee on Public Accounts on the unauthorised expenditure of the Department of Social Development, dated 03 February 2015

Public Accounts (SCOPA)

Second report of the Committee on Public Accounts on the unauthorised expenditure of the Department of Social Development, dated 03 February 2015.

The Committee on Public Accounts (the Committee) considered and heard evidence on the unauthorised expenditure of the Department of Social Development (the Department) in relation to 2007/2008 financial year and reports as follows:

1. Background

The Department of Social Development over-spent their social assistance budget by R26 million in 2007/08. The Department had requested a roll over of R99.770 million from the 2006/07 financial year to provide for the payment of an invoice for outstanding social assistance in respect of the Eastern Cape. The roll-over request was not approved because of a projected saving at that stage. The invoices were therefore paid out of the 2007/08 financial year’s budget allocation, resulting in an overspending of R26 million.

2. Recommendation

In line with the provisions of Section 34(1) of the PFMA, the Committee recommends that the amount of R26 million be approved as a direct charge against the National Revenue Fund.

Report to be considered.