Independent Police Investigative Directorate (IPID)

1. Expenditure on Last Quarter of 2012/13 and First Quarter 2013/14 Independent Police Investigative Directorate (IPID) BRIEFING TO THE PORTFOLIO COMMITTEE ON POLICE 6 August 2013

2. INTRODUCTION AND OVERVIEW ACCOMODATION OF 2012 BUDGETARY REVIEW RECCOMENDATIONS BUDGET 2012/13 – As at end 4th Quarter 2012/13 Overall Departmental spending Budget & Expenditure per Programme Slide 2 Slide 3-4 Analysis of spending trends: 1st Quarter 13/14 Action taken/planned to avoid reoccurrence: 1st Quarter 13/14 Slide 8 Budget & Expenditure per Eco’ Classification Slide 11 BUDGET 2013/14 – As at end of 1st Quarter 2013/14 Budget & Expenditure per Eco’ Classification: 1st Quarter 13/14 Slide 6-7 Slide 5 Slide 13 Slide 15 Slide 9 Slide 18 Slide 19 Budget & Expenditure per Programme: 1st Quarter 13/14 Slide 16 CLOSURE Slide 20 Quarterly Spending Trends : Expenditure split per quarter Slide 17 Analysis of spending trends per programme: 2012/13 Slide 10 Quarterly Expenditure per Eco’ Classification Slide 12 Analysis of spending trends per Eco’ Classification: 2012/13 Slide 14 Quarterly Expenditure per Programme 2

3. BUDGET 2012/13 and 2013/14 - Final Allocation

4. BUDGET 2012/13 – Initial vs . Final Appropriation

5. BUDGET 2012/13 – Initial vs . Final Appropriation • Contributors to in-year adjustments: • In year adjustments from goods and services to compensation of employees (2012 in-year budget analysis • in order to fully implement organisational structure of 349 posts for 2012/13); • Additional allocation to accommodate higher personnel remuneration increases than the initial budget provided for. • Transfers: To fundunplanned payment of leave discounting and settlements (employees who resigned from the public service). • Machinery and Equipment: To fund anticipated commitments in machinery and equipment. • Payments in financial assets: To fund debt write offs .

6. BUDGET 2012/13 - Final Allocation

7. SPENDING TRENDS PER QUARTER : 2012/13 – Per Programme • Cumulative 7

8. SPENDING TRENDS PER QUARTER : 2012/13 – Per Economic Classification • Cumulative 8

9. SPENDING TRENDS PER QUARTER : 2012/13 – Per Programme • Non-cumulative • (25% expectation) 9

10. SPENDING TRENDS PER QUARTER : 2012/13 – Per Economic Classification • Non-cumulative • (25% expectation) 10

11. Spending Trends Per Quarter: 2012/13 • March Spike: • Compensation of employees: payout of performance bonuses (levels 1-12) • Goods and services: machinery & equipment less than R5000 • Machinery & equipment: late procurement and delivery • Abnormal spikes: • Transfers (Q3 & Q4):unforeseen leave discounting and settlements due to officials who left the public service 11

12. BUDGET 2012/13: Overall Expenditure per Programme 12

13. BUDGET 2012/13: Overall Expenditure per Economic Classification 13

14. Spending Trends: Per Programme : 2012/13 • Programme 1: Administration • The actual programme`s spending on the allocated budget of R86 526 000 was 81% or R70 258 000 in monetary value which resulted in under-spending by 19% or R16 268 000. • Quarterly expenditure not consistent, however 2nd and 3rd quarter expenditure was close to 25% target (1% short) • Programme 2: Investigation and Information Management • The actual spending on the allocated budget of R105 967 000 was 92% or R97 009 000 in monetary value with an under-spending of 8% or R8 958 000. • Quarterly expenditure reveals a gradual improvement over the four quarters. • Programme 3: Legal Services • The programme `s actual spending to the allocated budget of R5 405 000 was 77% which translates to R4 182 000 in monetary value and has reported an under-spending of 23% or R1 223 000. • Quarterly expenditure not consistent but improvement in last quarter 14

15. BUDGET 2012/13: Overall Departmental Spending 15

16. BUDGET 2012/13: Overall Departmental Spending • Spent on core activities. • Introduction of cost cutting measures to avoid spending on non-core activities • The budget`s allocation amongst others was prioritized to conduct public awareness on the directorate`s mandate and functions through: • community outreach events, media campaigns and the establishment of satellite offices to increase public accessibility, • however the establishment of earmarked satellite offices could not take place due to the delays in procurement process which was conducted in conjunction with the DPW. • Delays in filling senior management posts, including appointment of nine provincial heads resulted in under spending in compensation of employees. • Under spending on budgeted office furniture and IT equipment for the appointments which could not be made. 16

17. BREAKDOWN OF UNDERSPENDING 17

18. BREAKDOWN OF UNDERSPENDING - Compensation of employees: R8,2m • R8, 2 million due to: • 1 x Executive Director for 7 months @ SR 15= R628 028 • 10 x Chief Director posts for 7 months @ SR 14 = R5 088 000 • 1 x Director ICT for 7 months @SR 13= R419 774 • 1x Director Investigations (Mpumalanga) for 6 months @SR13=R359 807 • Savings due to internal promotions: R 1 797 391 • Delays in filling some of the key funded posts including ED, provincial heads and PM: Investigations and Information Management has resulted in under-spending in compensation of employees 18

19. BREAKDOWN OF UNDERSPENDING - Goods and services: R15,4m • Leases (higher amounts budgeted for but expenditure much less) • City Forum – R1,107 million per month = R13,279 million per annum • Structura rate – R498k per month = R5,976 million per annum • Difference = R7,302 million per annum • Property invoices not billed, yet accrued for (June, Partial Mar) = R 1,9 million • June and under billing(Dec and Mar) • Satellite offices: R 3,802 million • KwaMhlanga (R2,055 million) ;and • George (R1,747 million) • OTHER MATTERS THAT WERE NOT FULLY IMPLEMENTED: R2.4 million • ID cards for investigators (R370 000) • FlowCentric payments (R409 504) • Office furniture (less than R5000) and Administrative costs in respect of vacant SMS posts (R1 620 496) 19

20. BREAKDOWN OF UNDERSPENDING - Machinery and equipment: R2,8 m • Delays in establishment of satellite offices R466 000 • Vacancies of Provincial Heads posts • Furniture R900 000 • IT Equipment R282 000 • Delays in procurement and in delivery R1 152 000 20

21. BUDGET 2013/14

22. BUDGET 2013/14: First Quarter Expenditure per Programme 22

23. BUDGET 2013/14: First Quarter Expenditure per Economic Classification 23

24. Spending Trends: 1st Quarter 2013/14 • Compensation of Employees: • Due to delays in the filling of various vacancies including: • Post of Executive Director vacant as from 01 September 2012, • Programme Manager 2 and 9 Provincial Heads (Chief Director levels) have not yet been filled (vacant as from 01 April 2012). • In terms of Goods & Services: • Leases: Structura vs. City Forum • Delays in finalisation of accommodation for satellite offices, • (Mpumalanga & Western Cape) • In terms of Machinery and Equipment: • Awaiting outcome of roll-over application 24

25. Spending Trends: 1st Quarter 2013/14 as compared to 1st Quarter 2012/13 25

26. Actions taken/planned to avoid re-occurrence: Spending Trends • Regular monitoring and update of action plan on the filling of vacancies • Regular engagement and follow up with the Department of Public Works. The Directorate has developed a satellite office strategy which will improve the manner in which IPID satellite offices are established, particularly in rural areas • The implementation of the proposed satellite office strategy will greatly contribute to the improvement in domestic travel cost pressures • Improvement of internal control systems for the monitoring of expenditure patterns • Continuous emphasis on cost effective measures to ensure that funds are spent on core activities of the Directorate • Implementation of updated financial delegations • Close monitoring of procurement plans 26

27. PROGRESS ON PRIORITIES • Implement ICT plan and governance framework • ICT governance committee established • ICT governance champion appointed • Vacancy rate • Reduced to 8.8 as at 31 July 2013 • 349 funded posts (318 filled) • Prioritised training of investigators to ensure quality of investigation • Recognition of Prior Learning: National Certificates – Resolving Crime (for Investigators without a qualification) • National Certificate: Resolving Crime • National Diploma: Policing • Investigation of Corruption • Investigation of Torture • Investigation of Sexual Offences • DNA Training • Training on IPID Manual • The training on the IPID Manual is of significance importance as it focuses on investigation of criminal offences as provided for in Section 28 of the IPID Act including systemic corruption. • The two groups of 40 Investigators each has completed the two weeks intensive training on the IPID Manual. The other two groups will attend training in September and October respectively. • In addition to the above, the IPID has engaged the SAPS to accommodate its Investigators in their 2014/15 training schedule, there is also an agreement to train limited number of the IPID Investigators on the Detective Commander Training for the current financial year. 27

28. Thank you 28