1 / 4

Enhancing Financial Management for Rural Development

This presentation reviews Department of Water Affairs and Forestry's financial management, steps taken for improvement, and plans for better compliance with fiscal policies towards rural development. Includes audits, restructuring, capacity building, and policy adherence.

witcher
Download Presentation

Enhancing Financial Management for Rural Development

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Presentation to the Portfolio Committee Public Hearings Annual Report Department of Water Affairs and Forestry 16 October 2006

  2. THEME Socio-economic growth and service delivery towards rural development

  3. Overview by the Director-General • Auditor General ’s report on 2004/05 and 2005/06 Financial Statements • concern w.r.t. financial management and general finance capacity of DWAF • Steps taken to place Financial Management of DWAF on firmer footing include: • Restructuring of Finance in national and regional offices and recruitment of Senior Management Staff • Appointment of Professional Services Providers to supplement DWAF capacity • Implementation of SAP as the preferred ERP system • Extensive capacity building and training programmes • Implementation of asset management strategy • Engagement with and support from Office of Accountant General • Engagement with and support from Office of Auditor-General • Actions were initiated in latter half of 2005/6 • did not have significant impact 2005/06 audit • expecting significant change during 2006/07 financial year

  4. Overview by the Director-General • Audit highlighted “irregular” and “unauthorized” expenditure • items were disclosed by DWAF in terms of disclosure notes (Notes 10 and 27) • Preliminary investigations indicate • no “fruitless and wasteful expenditure” • no contravention of tender procedures • no necessity to recover funds • Carrying out further investigations • will take appropriate action in terms of Section 51 of PFMA • Policy Framework in place but needs to be refined • non adherence to policy framework due to: • unclear business structures (being dealt with through restructuring), • lack of capacity (staff working on both Main and Trading Accounts, functions have been segregated), • lack of financial management skills (being addressed bringing in temporary skills and focussed training programmes) • Programme of action has been developed and will be implemented to ensure that Municipalities comply with reporting requirements of Division of Revenue Act (DoRA)

More Related