/ 20 February 2015

SCOPA: departments not compliant, not enforcing consequences

Rob Tooley
Rob Tooley

A consistent finding in Limpopo audits is a lack of internal controls. In addition, 96% of departments had findings on non-compliance with laws and regulations, a cause for serious concern said Rob Tooley, chairperson of the Limpopo Standing Committee on Public Accounts.

Reflecting on the PFMA 2013-14 outcomes, Tooley noted that 83% of departments had incurred irregular expenditure. The report stated: “During 2013-14, unauthorised as well as fruitless and wasteful expenditure decreased to only R231-million, due to the interventions implemented by the administration team. While this reduction is encouraging, the R1.6-billion increase in irregular expenditure in the year under review is concerning. Although five heads of department in the province were suspended due to maladministration, we are yet to see consequences for poor performance being enforced for officials across all levels. The province achieved a slight improvement in audit outcomes, but the regression in key controls, root causes and assurance providers shows that the audit outcomes could again regress. 

“The main drivers of improvements were very specific interventions, mainly by the section 100(1)(b) administration team. These interventions also had a positive impact on the level of assurance provided by internal audit units and audit committees. Unfortunately basic and key controls did not improve at departments.”

Tooley said: “Irregular expenditure is occurring with impunity, and no steps are being taken to implement consequences. There is a big hole in supply chain management too — do we know if we are getting value for our spend? We still have a challenge with assets. And the department of education is in chaos.”

He reminded delegates that 2016 would be an important year politically, and that a “big wake-up call” was needed to improve administration. “Accountability, transparency, clean government and integrity are crucial across all spheres of government,” he said.