Briefing to the Portfolio Committee on Home Affairs 19 February 2008

1. Briefing to the Portfolio Committee on Home Affairs19 February 2008

2. Contents • Annual Report 2006 / 2007 • Financial Management • Preparations for the 2009 Elections

3. Annual Report 2006 / 07:Strategic Objectives • Entrenching the Commission as a focal point for the delivery of free and fair elections in the most efficient and cost-effective manner • Maintaining an optimal network of voting districts and voting stations for the by-elections to ensure reasonable access by voters and to maintain an accurate and up-to-date national common voters’ roll • Informing voters on electoral processes with a view to ensuring maximum participation (turnout) and the lowest possible number of spoilt ballot papers • Ensuring the effective participation of political parties and independent ward candidates in electoral processes

4. Strategic Objectives (cont.) • Maintaining and consolidating organisational systems and infrastructure in respect of voting facilities and agencies for by-elections • Ensuring that the necessary resources (financial and human resources, information technology, corporate services, legal support, security, and internal and external communication) are maintained in order to ensure the effective functioning of the Commission • Offering the highest possible standard of training to officials to facilitate a fluent and effective voting process and the accurate recording of the results of elections

5. Strategic Objective 1: Entrenching the Commission as a focal point for the delivery of free and fair elections in the most efficient and cost-effective manner

6. Strategic Objective 1: • Review of the organisation commenced and proposals for a new organisational structure were considered • International Conference on Sustaining Africa’s Democratic Momentum hosted with the AU and International IDEA in March 2007 • Assistance given with elections to various institutions, including 27 000 schools for the election of parent component of SGBs • Technical assistance provided with elections in the DRC and the Comoros • Discussions commenced with DFA to draft an MOU to support international work

7. Strategic Objective 2: Maintaining an optimal network of voting districts and voting stations for the by-elections to ensure reasonable access by voters and to maintain an accurate and up-to-date national common voters’ roll

8. Strategic Objective 2 • Voters’ roll decreased by 419 913 during the period under review due to deaths, etc. • Continuous registration led to 19 199 new registrations • More structured relationships established with municipal development planning units to manage national network of voting stations better • More than 2.5 million addresses were captured in the year under review

9. Strategic Objective 3: Informing voters on electoral processes with a view to ensuring maximum participation (turnout) and the lowest possible number of spoilt ballot papers

10. Strategic Objective 3: • 61 by-elections were held to fill vacancies on municipal councils • 210 candidates participated in by-elections • Voter turn-out for by-elections averaged 31.06% • Spoilt ballot papers for the by-elections were 1.55% • National EDDE workshop held • Collaboration with Chapter 9 and other institutions with work on the youth and women sectors • 550 schools involved in Schools Project

11. Strategic Objective 4: Ensuring the effective participation of political parties and independent ward candidates in electoral processes

12. Strategic Objective 4: • 168 parties were registered by the end of the last financial year (93 at national and 75 at local level) – 9 more than in previous year • PLC meetings were held at local level in preparation for by-elections • R79 million was allocated to represented political parties

13. Strategic Objective 5: Maintaining and consolidating organisational systems and infrastructure in respect of voting facilities and agencies for by-elections

14. Strategic Objective 5: • Surveys conducted to improve the quality of the voting stations database • Standardised lease agreements were entered into with all landlords to secure the ongoing use of voting stations • Electoral materials stock was replenished on time and within budget • Logistics information system was used to plan the procurement of electoral materials for by-elections • Models for the local delivery structure of the Commission were discussed

15. Strategic Objective 6: Ensuring that the necessary resources (financial and human resources, information technology, corporate services, legal support, security, and internal and external communication) are maintained in order to ensure the effective functioning of the Commission

16. Strategic Objective 6: • Statutory monthly reports were submitted to the National Treasury on the 15th of each month • Recommendations by internal and external auditors were implemented • Unqualified audit report received from the Auditor-General • Financial control systems functioned effectively • Staff turnover remained minimal • Vacancies in the process of being filled on completion of Organisation Review process • Staff wellness programme received further attention • Stable and consistent IT infrastructure maintained at national office, nine provincial offices and more than 300 municipal offices

17. Strategic Objective 7: Offering the highest possible standard of training to officials to facilitate a fluent and effective voting process and the accurate recording of the results of elections

18. Strategic Objective 7: • Work continued to develop the Centre for Elections Learning and on the success of the training model adopted for the 2006 municipal elections • Performance driven training via the Centre for Elections Learning • Technology used for mass learning (e-learning)

19. ELECTORAL COMMISSION Overview of Financial Management 2006/2007

20. Finance • Continue to ensure that the financial management system promote the objectives of the PFMA and Treasury Regulations • Continue to improve financial management systems to ensure that they are integrated, fast and user friendly. • Strive to obtain an unqualified report from the Auditor General.

21. Operating and maintaining sound financial management systems, including internal controls • Financial control systems functioned effectively • Commission has a Finance Committee in place which performs an oversight role • Recommendations by internal and external audits were implemented • Statutory monthly reports were submitted to National Treasury on or before the 15th of each month

22. Operating and maintaining sound financial management systems, including internal controls • Effective implementation and management of electronic procurement system • Stringent audits of companies considered for contracts • Implementation of National Treasury reporting requirements • Implementation of contract management system • Implementation of asset management system • Skills development for supply chain management functions

23. To operate and maintain sound financial management systems, including internal controls • Contributions to Black Economic Empowerment and Small Business • 197 contracts awarded of which 138 (+/- R9,095 million) went to BEE companies • 95% of bids awarded via eProcurement auctions went to BEE companies • 3,05% of contracts were awarded to non-SMMEs

24. Audit Report • The Electoral Commission has been getting unqualified audit reports since its inception. • The Electoral Commission also received an unqualified audit report for the 2007 financial year.

25. Operating and maintaining sound financial management systems, including internal controls • Internal Audit • Review statutory reports to National Treasury • Review and report on control and authorisation processes for procurement • Conduct audits in selected MEO offices and all provincial offices • Review HR records • Monitor asset verification

26. Accounting Policy • The Annual financial statements have been prepared in accordance with Statements of Generally Accepted Accounting Practice (GAAP) with the prescribed Standards of GRAP which replace the equivalent Standards of GAAP. • Recognition and measurement principles in GAAP and GRAP do not result in material differences, it is only the terminology that changed. • Financial statements have been prepared on the historical cost basis.

27. Funds received and spent • The Commission received R350 million from The Department of Home Affairs; • The Commission received an amount of R138,103 million from The Department of Foreign Affairs for the DRC project, from which we spent R127,432 million, which is included in our income and the remaining R10,671 million is disclosed as a liability. • Sundry income of R18,141 million, consisting largely of interest earned was generated bringing the total income to R495,573 million; • All the funds had been accounted for and disclosed in the financial statements; • The Commission received an unqualified audit report from the Auditor General for the last financial year.

28. Actual Expenditure vs Budget Summary : Economic Classification Report for the year ended 31 March 2007

29. Detailed Income and Expenditure Statement for the year ended 31 March 2007

30. Detailed Income and Expenditure Statement for the year ended 31 March 2007

33. Preparations for 2009 Elections

34. Institutional preparations • Review and re-organization of Electoral Commission now complete • 90% of vacancies at national & provincial levels to be filled by end-April 2008. Balance to be filled by end-June 2008 • Local delivery agents at municipal level finalised • Consultations with SALGA complete • Consultations underway with municipal councils on appointment of MEOs. Appointments of MEO scheduled for completion at the end of April 2008

35. Operational preparations • Replacement of technology (PBSUs) used to register voters; currently adjudicating of the tender responses – to be completed by end-March 2008 • Information technology upgrades aimed at improving IT support: • Migration from Visual Basic to dot.NET by end September 2008 • Implementation of SAP by 1 April 2008 • Review and update of voting district boundaries and voting station network vis-à-vis changes in population settlement patterns; to be completed by end-May 2008 • Target of 22 million registered voters for 2009 Elections. There are 20,3 million registered voters on the voters’ roll currently • Voter registration gap mainly among the youth (18–35 years) – schools & tertiary education institutions to be targeted

36. Operational preparations…cont • Continuous voter registration at local offices of Commission until the certification of the voters’ roll • Special targeted registration initiatives • Two voter registration weekends planned – all 20,000 voting stations opened: • 8 & 9 November 2008 • 7 & 8 February 2009 • 60,000 registration officials to be recruited per registration weekend • PLCs to be consulted on choice of registration officials by end-Sept 2008, before concluding contracts with registration staff • Training of officials to start in early October 2008

37. Operational preparations…cont • Training of Party Agents, Registration and Voting Officials, Security Personnel and MEO staff has been prioritised and scheduled for completion by early November 2008 • Enhanced transparency of voting and results process through: • scanning of results slips • improve political party access to results information for analysis • Improve efficiency and transparency of resolution of election complaints

38. Operational preparations…cont • Outreach programmes to commence in earnest, in April 2008 • Voter education and communication campaigns for registration to be intensified from September 2008 • Official launch of 2009 Elections in September 2008 • Communication campaigns to be supported by: • public contact centre toll-free telephone number • Web site • Mobile telephone text (SMS) facility • Bank ATMs

39. Thank you