ATC240229: Ninth Report of the Standing Committee on Public Accounts on the unauthorised expenditure of the Department of Basic Education dated 28 February 2024
Public Accounts (SCOPA)
Ninth Report of the Standing Committee on Public Accounts on the unauthorised expenditure of the Department of Basic Education dated 28 February 2024
The Standing Committee on Public Accounts (the Committee) considered and heard evidence on the unauthorised expenditure incurred in 2014/15 by the Department of Basic Education and reports as follows:
- Background:
The Committee notes that unauthorised expenditure incurred of R6.488 million in 2014/15.
- On the national teacher awards ceremony where the Department annually celebrates and acknowledges public schools and teachers for their outstanding performance.
- The Department planned to spend more than what had been allocated for these awards and to off-set the overspending by shifting savings from other areas within the vote.
- The Department only realised after 31 March 2015 that they required National Treasury approval to shift funds from the areas where underspending had occurred National Treasury approval cannot be granted post-facto.
2. Mitigating actions and steps taken to prevent unauthorised expenditure.
The Department did not take disciplinary action against any official for the unauthorised expenditure as no official benefited unduly from the expenditure, and the funds were used for various goods and services related to the National Teacher Awards.
The resultant overspending on a main division is unauthorised expenditure, and it could have been avoided if the department had followed better financial management.
3. Recommendation
Having considered the above matter, the Committee recommends be financed as a reduction of the department’s future allocation in terms of section 34(1)(b) of the PFMA, 1999.
4 . Conclusion
The Committee further recommends that the Auditor-General should follow up on all matters raised above and report thereon in its audit outcome on unauthorised expenditure after the end of the 2023/24 financial year.
Report to be considered.