127363 Gauteng Sports 2020.indb

GAUTENG DEPARTMENT OF SPORT, ARTS, CULTUREAND RECREATION: VOTE 12

o Reasons for budget variations o Reasons for major year-on-year À uctuations. o Calculation and levels of general and speci ¿ c provisions. • Reviewed the Audit Report of the AGSA;

• Reviewed the AGSA’s Management Report and Management’s response thereto; • Reviewed the Department’s compliance with legal and regulatory provisions; and • Reviewed signi ¿ cant adjustments resulting from the audit.

The Audit Committee concurs with and accepts the AGSA’s conclusions on the Annual Financial Statements and is of the opinion that the audited Annual Financial Statements be accepted and read together with the report of the AGSA. Evaluation of Annual Report The Audit Committee undertook the following activities related to annual report: Audit Committee evaluated ¿ nal draft Annual Report (including performance report) the audit committee meeting held on 15 October 2020 and noted the achievement for the year under review. Audit Improvement Plan for 2018/19 The Audit Committee reviewed and monitored the implementation of prior year audit ¿ ndings on quarterly basis. It is the view of the Audit Committee that there is a room for improvement in this regard in so far as timeous implementation and resolving ¿ ndings by the external auditors as well as addressing the root-causes relating to the weakness identi ¿ ed by the external auditors. One-on-One Meeting with the Accounting Of ¿ cer The Audit Committee has met with the Accounting Of ¿ cer for the Department to address unresolved issues. One-on-One Meetings with the Executive Authority The Audit Committee did not meet with the Executive Authority for the Department to appraise the MEC on the performance of the Department, however sent reports to the MEC on the issues and challenges facing the Department. Conclusion The Audit Committee strongly recommends that the department should prioritise root-cause identi ¿ cation and analysis, implementation of consequence management, and regular monitoring of the audit action plans for both internal and external audit in order to achieve the required effectiveness in governance, accountability and clean administration. Furthermore, The Audit Committee is encouraged and appreciates the improvement in the communication between the Accounting Of ¿ cer, Senior Management, the AGSA and the Internal Audit which if continued can strengthen the Corporate Governance initiatives within the Department.

Mr Vishnu Naicker Chairperson of the Audit Committee Johannesburg 16 October 2020

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ANNUAL REPORT 2019/20