1. REPORTING, MONITORING AND PERFORMANCE EVALUATION PROVISIONS ON NON-FINANCIALS – 2013/14 1 MIG Quarterly Workshop 3 – 4 September 2013

2. BACKGROUND Section 10 (5) of the Division of Revenue Act, (Act No. 2 of 2013) indicates clearly that the National Transferring Officer is responsible for monitoring expenditure and non-financial information on programmes funded by an allocation. The question could then be asked what non-financial reporting and monitoring requirements should be in place within a financial year Monthly and quarterly non-financial reporting; Appraisal meetings that include all relevant stakeholders; Monthly meetings at a provincial level between stakeholders; National quarterly review meetings between stakeholders; Regular site visits by municipalities and stakeholders; and Meetings with municipalities on the outcomes of reporting and monitoring activities collectively or individually.

3. REPORTING Monthly, quarterly and annual reporting : –Legislative requirement –Tracks and conveys messages of performance across the three spheres –Establishes levels of accountability As agreed with National Treasury, the quarterly report is the same as the monthly report submitted at the end of that quarter. Signed monthly report from the municipality is acceptable and submission thereof would be regarded is in compliance to the Act for quarterly reporting The monthly/quarterly template has been revised and will be forwarded and is available on the website Annual report has no template, but needs to be looked at for 2013/14 3

4. PROJECT REGISTRATION Creating the baseline for reporting and monitoring All relevant role-players (district role-players) must be able to convene in one meeting in order to evaluate and appraise MIG projects in accordance with the MIG policy framework The establishment of district fora to facilitate project appraisals are however recommended Roles and responsibilities clear for –National –Province –Provincial / Regional sector dept –Municipalities 4

5. PROJECT REGISTRATION 5

6. IMPLEMENTATION PLANS The National Transferring Officer of the MIG should be informed of any changes with respect to the implementation of MIG projects. –As at 30 June 2013 – The extent of municipal planning and budget process including the three year capital plan to be implemented at the 1st of July on the roll-out of the MIG programme; –As at 31 October 2013 - How far municipalities are with regard to introducing new projects over their current three years and the impact thereof on the roll-out of the MIG programme. –As at 31 January 2014 - the extent of the municipal budget adjustments process on the roll-out of the MIG programme; –As at 31 March 2014 – the status and cash flow of proposed MIG projects for the next financial year. 6

7. PROVINCIAL COORDINATED SITE VISITS The purpose of site visits is to ensure that the funds are being spent for the intended purposes stated Provinces are: – required to monitor project implementation in collaboration with sector departments and submit site visit reports to DCoG. – organising site visit engagements and coordinate the attendance of the various stakeholders. (provide schedules of site visits) Above does not substitute scheduled site visits and site supervision to be undertaken by municipalities themselves from time to time as part of their contract management responsibilities. Findings of the site visits must be communicated and discussed with municipalities after which the reports (with remedial actions) are submitted to DCoG 10 working days after the site visit. 7

8. Questions 8