1. mSCOA ICF – 22 June 2015 Opening remarks and setting the scene
Presented by National Treasury: Chief Directorate Local Government Budget Analysis: Carl Stroud |– 22 June 2015

2. Agenda (1) National Treasury 22 June 2015 Agenda Item Time Topic
Presenter
mSCOA FAQ Database – Tool
10:30 – 10:50
Functional improvements
NT mSCOA Project Team (Carl Stroud / André Bossert)
mSCOA and the AGSA
10:50 – 11:20
AGSA mSCOA Position
Auditor General
11:20 – 11:30
Discussion
Data Extraction
11:30 – 11:45
Data extraction methodology
NT mSCOA Project Team
(André Bossert)
11:45 – 12:00
Reporting
12:00 – 12:30
Alignment of the LG Accountability Cycle
NT mSCOA Project Team (Johanna Steyn / Carl Stroud)
12:30 – 12:45
12:45 to 13:30
Lunch
National Treasury

3. Agenda (2) National Treasury Training Strategy 13:30 – 13:50
Training strategy and way forward
NT mSCOA Project Team (Ajay Daya)
13:50 – 14:00
Discussion
Change Management Strategy
14:00 – 14:20
Provincial treasuries and support of non- piloting municipalities
NT mSCOA Project Team
(Silma Koekemoer)
Assessment of system functionality
14:20 – 14:50
NT position on system functionality in support of mSCOA classification framework and readiness for piloting
(André Bossert)
14:50 – 15:00
15:00 to 15:20
Tea Break
National Treasury

4. Agenda (3) National Treasury Migration to the mSCOA 15:20 – 15:40
Lessons learnt with the migration to the mSCOA classification framework
Nkangala District Municipality (Alice Stander – CFO)
Assets and the project segment
15:40 – 16:00
Project segment and importance of asset classification – Impact on classification and mSCOA
(Louis Boshoff – MD)
16:00 – 16:10
Discussion
LG Database
16:10 – 16:20
Current functionality of the LG Database and statistical reporting
NT mSCOA Project Team
(Elsabé Rossouw)
16:20 – 16:30
mSCOA Version 5.3
16:30 – 16:50
Changes to the mSCOA classification framework – Segments
NT mSCOA Project Team (Johanna Steyn / Carl Stroud)
16:50 – 17:00
mSCOA Project Phase 4
17:00 – 17:30
Critical path
NT mSCOA Project Team (Carl Stroud)
17:30 – 17:45
Closure
17:45 to 18:00
National Treasury

5. mSCOA Roadmap…The road already travelled and the way forward: Recap

6. mSCOA Project Phases: The journey to the checkered flag…
Kick off engagements with municipalities, vendors and other stakeholders
Regulation issued and commissioning of mSCOA Project Phase 4: Change management and piloting including identification of pilots
Piloting commencement with 9 pilot municipalities (local and districts) and 4 Metro’s (City of Cape Town, Ekuruleni, Mangaung and Buffalo City) – Phased over 2015/16 and 2016/17)
2010
2011
2014
Vendors were briefed as to development of mSCOA and initial evaluations of system functionality.
2015
Ensuring that piloting municipalities and system functionality is aligned to the compliance requirements of the Regulation will create an enabling environment for the roll out to non-piloting municipalities
Remaining metro’s to implement (pilot) mSCOA and project initiation for the non-piloting municipalities
2017
2016
278 municipalities fully mSCOA compliant

7. mSCOA Misconceptions

8. Common misconceptions…and miscommunication by stakeholders
GRAP versus mSCOA classification framework…mSCOA not GRAP compliant is a total misconception
Materiality and the fact that mSCOA is prescriptive in this regard…each municipality is responsible for the determination and application of their own accounting policies
Annual financial statements and the application of function versus nature…Function Segment covers disclosure of function and item covers disclosure of nature
mSCOA has been designed to the requirements of a specific stakeholder i.e. metropolitan municipalities…mSCOA has been designed for all municipalities and the grid structure across the Segments provides for this differentiation
The Project Segment is limited to Capital Projects…The Project Segment is the departure point for both operational and capital appropriations and directly informs the transactional environment
Not all stakeholders are part and parcel of this Regulation i.e. OAG, AGSA, ASB etc…All stakeholders and decision makers are on board
There is accredited training on mSCOA…there is no accredited training and no service provider has the right to provide such training
National Treasury