3 rd Quarter expenditure budget implementation Standing Committee

3 rd Quarter expenditure & budget implementation: Standing Committee on Appropriations Departmental Spending as at 31 December 2010

Content • Performance as at 31 December 2010 • Voted Funds • Earmarked funds: Census 2011 • Under spending by Survey Operations • Overspending by Corporate Relations • Addressing poor performance

Performance as at 31 Dec 2010

Performance Programme as at 31 Dec 2010

Survey Operations: Reasons for underspending • Survey Operations is under-spending due to: Census 2011 • Unit costs have decreased materially as compared to the budgeted unit costs • Economies of scale contributed to the reduced spending • Large volumes/quantities required that the bid process be undertaken at a point that would not allow for deliveries to take place too early. Warranties and storage • Dependent on tender processes

Reasons for over-spending: Corporate Relations • Programme is overspending with 5% which amounts to R 16. 7 million. • Income and Expenditure Survey was cut by R 30 million overspending on Compensation of Employees of R 22. 02 million • Additional funding R 17. 333 million has been provided during the Adjustment Estimates to minimise overspending • The projected shortfall will be covered by virements to be applied before financial year end

Survey Operations: Reasons for under-spending • The total value of bids submitted to the bid office to date is R 236. 5 million of which R 134. 4 million has been awarded to date. • Acquisition of satellite district offices that are estimated at R 50 million per annum for the next 3 years • Media buying estimated at R 100 million • Car hire: bid process is still work in progress • 3000 training venues being sources • Stationery contract in progress • Listing books: work in progress • Self enumeration guide: work in progress

Plans on how to improve poor performance will be addressed Savings resulting from cost saving measures will be shifted to Programme 6 to accommodate the overspending at the provinces Spending for Census 2011 has increased to 29% as at 15 March 2011 with commitments to the value of R 170. 7 million already commitment for delivery in 2011/12. A request will be made to National Treasury to roll over funds for the earmarked Census 2011 funds

Census 2011 : You count!