DID ANNUAL REPORT 2022 23

Annual Report 2022-2023

Resolution No. Subject Details Response by the department Resolved (Yes/No) 7 Expenditure Management That the Department must Yes

Yes

ACTIVITIES TO COMPLY WITH THE REGULATIONS PLAN TO IMPROVE COMPLIANCE The Department will leverage on the work of probity auditors to All projects above R2 million are subjected to probity auditors process for compliance and quality check. A probity report is issued to be tabled at BAC

Period 30 Days-Compliance % 15 Days-Compliance % Apr-21 53% 27% May-21 63% 39% Jun-21 71% 40% Jul-21 76% 42% Aug-21 83% 51% Sep-21 70% 36% Oct-21 83% 46% Nov-21 87% 65%

Improvement of review mechanism before award. All findings raised by probity auditors are resolved before projects are tabled before the BAC. Ensure that all emergency procurements are submitted to BAC before submission to the Accounting Officer for approval. All emergency procurement projects are tabled at BAC for Accounting Officers approval. The process started on 30 September 2021 with the following projects: Charlotte Maxeke propping project; and Charlotte Maxeke remedial work for fire.

Development of Emergency Procurement Policy Emergency policy is submitted to the policy unit for review and submission to the HOD for approval. Waiting for approval of the emergency policy by the Accounting Officer. Client Departments are invited for all projects above R2 million.

Analysis of payment of suppliers within 30 days over the past nine (9) months, shows that the Department continues to make progress in pursuit of paying service providers within 30 days. Below is a trend analysis of payment of suppliers over 15 days and 30 days period. improve compliance with prescripts. The probity auditors sit in both the Specifications and Bid Evaluation Committees to check compliance and issue report to BAC with a recommendation.

In addition, the Department is working closely with Department of Health regarding timeous transfer of funds. The two Departments have developed a Standard Operating Procedure outlining the activities and timing of the payment process. Furthermore, MEC is writing a letter to the MEC for Department of Health to intervene to ensure the transfer of funds to DID timeously. Bilateral engagements were held by DID with other Client Departments in November and December 2021, particularly to emphases the payment of suppliers within 30 days and possibly within 15 days as per the Provincial Government target. Ensure that there is a standing invitation for Client Departments to participate in the bidding process of Client Departments’ projects.

by 31 January 2021 provide its analysis/plan to ensure that it complies with the legislative requirements to pay service providers

within 30 days and possibly with 15 days as per the provincial government target.

That the Department

provides the Committee

with a plan put in place to

provide adequate oversight over compliance with

SCM laws and regulations by 31 January 2022 and,

thereafter, its effectiveness every quarter continuing up until the end of June 2022.

8 Procurement

and Contract

Management

84

DEPARTMENT OF INFRASTRUCTURE DEVELOPMENT