ANNUAL REPORT 2012/13 AND BUDGET RECOMMENDATIONS Portfolio Committee on Justice and Constitutional Development 9 – 10 October 2013

ANNUAL REPORT 2012/13 AND BUDGET RECOMMENDATIONS

Portfolio Committee on Justice and Constitutional Development

9 – 10 October 2013

Budget and expenditure outcomes

2012/13 2011/12 2010/11 2009/10 2008/09

Final Budget 10 181 592 8 960 034 8 278 111 7 528 269 6 403 716

Less

Expenditure 10 180 586 8 958 959 8 189 658 7 514 440 6 302 176

Balance 1 006 1 075 88 453 13 829 101 540

Percentage Expenditure 99.99% 99.99% 98.9% 99.8% 98.4%

2

Expenditure per programme

3

Revenue collection

4

3. BUDGET OUTCOMESProgramme 1

5

Budget R'000

Expenditure R'000

Percentage Actual Spend

Available Funds R'000

BUDGET Ministry 32 171 32 171 100.0% 0Management 52 504 52 504 100.0% 0Corporate services 619 873 619 807 100.0% 66Office Accommodation 771 118 771 118 100.0% 0of Which

Municipal rates and taxes 292 822 292 822 100.0% 0Accommodation Charges (Gov) 296 343 296 343 100.0% 0Leases of Office Accommodation 181 953 181 953 100.0% 0

1 475 666 1 475 600 100.0% 66

Expenditure per subprogrammeProgramme 1

6

Budget R'000

Expenditure R'000



BUDGET Current payments Compensation of employees 366 736 366 670 100.0% 66 Goods and services 1 086 024 1 086 024 100.0% – Interest and rent on land 2 2 100.0% – Total current payments 1 452 762 1 452 696 100.0% 66 Transfers and subsidies to:Provincial and Local Governments 28 28 100.0% – Depart. Agencies & accounts 4 841 4 841 100.0% – Foreign Gov and International Organisations 1 260 1 260 100.0% – Households 1 885 1 885 100.0% – Total Transfers and Subsidies 8 014 8 014 100.0% – Payments for capital assets Buildings and other fixed structures - - 0.0% – Machinery, Equipment and Motor Vehicles 13 331 13 331 100.0% – Software and other intangible assets 80 80 100.0% – Total payments for capital assets 13 411 13 411 100.0% – Payments for financial assets 1 479 1 479 100.0%

1 475 666 1 475 600 100.00% 66

Expenditure per Economic ClassificationProgramme 1

7

Major Cost Drivers Programme 1

CommunicationR 22 492

2%

Audit FeesR 38 547

4%

Agency and support / outsourced servicesR 8 938

1% Consultants and professional services: Business and advisory

servicesR 23 360

2%

Inventory: Stationery and printingR 7 787

1%

Lease paymentsR 479 019

49%

Travel and subsistenceR 111 725

11%

Property PaymentsR 293 734

30%

8


9

Budget R'000

Expenditure R'000



BUDGET

Constitutional Court 95 720 95 720 100.0% 0

Supreme Court of Appeal 26 381 26 381 100.0% 0

High Court 409 874 409 874 100.0% 0

Specialised Court 55 884 55 884 100.0% 0

Lower Court 3 395 280 3 394 341 100.0% 939

Family Advocate 125 769 125 769 100.0% 0

Magistrates Commission 11 866 11 866 100.0% 0

Government Motor Transport 37 015 37 015 100.0% 0

Facilities Management 813 610 813 610 100.0% 0Administration of Courts 422 259 422 259 100.0% 0

5 393 658 5 392 719 100.0% 939


10

Budget R'000

Expenditure R'000



BUDGET Current payments Compensation of employees 2 859 599 2 858 660 100.0% 939Goods and services 1 794 733 1 794 733 100.0% 0Interest and rent on land (1) (1) 100.0% 0Total current payments 4 654 331 4 653 392 100.0% 939Transfers and subsidies to:Provincial and Local Governments 437 437 100.0% 0Depart. Agencies & accounts 28 28 0.0% 0Foreign Gov and International Organisations - 0.0% 0Households 20 355 20 355 100.0% 0Gifts and donations 2 2 100.0% 0Total Transfers and Subsidies 20 822 20 822 100.0% 0Payments for capital assets Buildings and other fixed structures 621 206 621 206 100.0% 0 Machinery, Equipment and Motor Vehicles 94 511 94 511 100.0% 0Software and other intangible assets 45 45 0.0% 0Total payments for capital assets 715 762 715 762 100.0% 0Payments for financial assets 2 743 2 743 100.0%

5 393 658 5 392 719 99.98% 939


11



7%

Cons ultants and professional

s e rvices: Bus iness and

a dvisory s ervicesR 36 408

2% Cons ultants : Le gal Costs

R 21 142 1%

Age ncy a nd s upport /

outs ourced s e rvicesR 315 181

19%

Inve ntory: Sta tionery and

pri ntingR 159 950

9%

Computer Se rvi cesR 12 954

1%

Tra ve l and s ubsistence

R 409 371 24%

Prope rty pa yments incl Se curity Guard

Se rvi cesR 521 680

31%

Ope rating e xpe nditure

R 96 671 6%

12


13

Budget R'000

Expenditure R'000



BUDGET

State Law Advisors 53 020 53 020 100.0% 0Litigation and Legal Services 315 049 315 049 100.0% 0Legislative Development and Law Reform 41 702 41 702 100.0% 0Master of the High Court 353 437 353 437 100.0% 0Constitutional Development 31 293 31 293 100.0% 0

794 501 794 501 100.0% -


14

Budget R'000

Expenditure R'000



BUDGET Current payments Compensation of employees 651 229 651 229 100.0% 0Goods and services 130 724 130 724 100.0% 0Interest and rent on land - - #DIV/0! 0Total current payments 781 953 781 953 100.0% 0Transfers and subsidies to:Provincial and Local Governments 23 23 100.0% 0Depart. Agencies & accounts 2 2 0.0% 0Foreign Gov and International Organisations - - 0.0% 0Households 3 695 3 695 100.0% 0Total Transfers and Subsidies 3 720 3 720 100.0% 0Payments for capital assets Buildings and other fixed structures - - 0.0% 0 Machinery, Equipment and Motor Vehicles 8 774 8 774 100.0% 0Software and other intangible assets 16 16 0.0% 0Total payments for capital assets 8 790 8 790 100.0% 0Payments for financial assets 38 38 0.0%

794 501 794 501 100.00% 0


15



14%Computer Services

R 801 1%

ContractorsR 1 548

1%

Consultants and Prof Serv: Legal Costs

R 53 883 47%

Inventory: Stationery and

printingR 9 967

9%

Lease paymentsR 728 1%

Travel and subsistence

R 23 809 21%

Operating expenditure

R 7 538 6%

16

Budget R'000

Expenditure R'000



BUDGET

South African Human Rights Commission 101 530 101 530 100.0% 0Special Investigation Unit 340 713 340 713 100.0% 0Legal Aid South Africa 1 255 145 1 255 145 100.0% 0Public Protector of South Africa 183 147 183 147 100.0% 0Justice Modernisation 528 051 528 051 100.0% 0

of which 0Intergrated Justice System 147 000 147 000 100.0% 0

President's Fund 1 - 0.0% 1Represented Political Parties' Fund 109 180 109 180 100.0%

2 517 767 2 517 766 100.0% -


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4. BRRR Review and priorities requiring

funding assistance

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Projects Over the MTEF Related to NDP,MTSF etc.

• During the 2013/14 financial year, the department will focus its planning efforts on aligning it strategy with the National Development Plan (NDP) 2030, and putting plans in place to implement initiatives mentioned in the State of Nation Address (SONA).

• MTSF PRIORITIES PRIORITY 1: Good governance and clean administration, resulting in a ‘No

Audit Qualification’ in 2012/13 PRIORITY 2: Service turnaround in Maintenance Services PRIORITY 3: Service turnaround in the Master’s Branch

• Transformation of the State Legal Services.

• Realignment of magisterial district with municipal district.

• Review of the civil justice system.

19

Critical JCPS Cluster/Criminal Justice Revamp Projects

• Unique Person Identifier for the Criminal Justice System (CJS);

• Case Management Integrations;

• 28 Key Performance Indicator (KPI) Performance Dashboard for the

Criminal Justice System;

• Development and rollout of Person Identification and Verification

Application (PIVA); and

• Establishment of a single Data Store for the Criminal Justice System for

statistical purposes.

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Critical JCPS Cluster/Criminal Justice Revamp Projects

Department Scope Scope 2013/14 2014/15 2015/16

DOJCD IJS PMO Capacitation

IJS Programme Management office re-establishment and resourcing

R 5 000 R 6 000 R 6 500

DOJCD Infrastructure Projects & Business Applications

- Digital Court Recording System(DCRS) Renewal

- ICT Domain for Judiciary- Network Infrastructure Upgrade for DOJCD

Courts

R 183 435 R 181 535 R 228 176

Legal Aid SAAd Infinitum system redevelopment

Enhanced Case Management SolutionR 5 000 R 1 500

-

NPA NPA Infrastructure Projects

- NPA Application Development, Maintenance and Support Services

- Hardware Requirements and Licenses Software for ECMS rollout

R 18 950 R 28 950 R 12 945

DSD Network Modernisation

Network upgrade

- Network Audit, Strategy, Peering Point and APN Phase 2

- Network Infrastructure Assessment and Integration

R 15 000 R 35 000 0 R 30 000

DCS Electronic Monitoring & Visitation Systems

- EM Tagging Equipment- Hardware, Servers, Laptops and Monitoring

screensR 40 000 R 83 000 R 117 000

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Critical Modernisation Projects to be Implemented within MTEF

The Department recognizes that modernization, through the implementation of business solutions, requires a supporting, responsive and stable ICT infrastructure, hence greater focus has largely been placed on upgrading and renewing the Department’s ICT Infrastructure

•Desktop Renewal – Continuation of programme of replacing obsolete and out

of warranty desktops

•Switches Renewal - Datacenter core switches and 333 access(local sites)

•VPN (WAN) upgrade 120 sites upgraded

•WAN Compressors Renewal - 405 WAN Compressors

•Integrated Case Management System (ISM) Scanners Renewal

•Disaster Recovery Solution - Design for the improved solution completed.

•Digital Court Recording

22

2014 Medium Term Spending Pressures

• Security of infrastructure, operations and personnel - Shortage on Security Guard Services and security infrastructure investment of around R400,0 million per annum to cover the new courts and the current level of service.

• Average annual spent of R428 million against available budget of R300million

• Municipal charges - The slow growth of funds for lease of buildings and municipal accounts including charges for electricity, water sanitation and rates and taxes-these accounts escalate annually with between 8% and 6% on average while the baseline increase with between 4% and 6

• Newly commissioned and completed infrastructure projects - Start-up costs for the infrastructure that will be finished in the MTEF period the estimated amount required is R255 million. Concurrently capacity needs to be expanded in the NPA and Legal Aid SA

23

2014 Medium Term Spending Pressures

• Establishment of a new department ( OCJ) - an amount of R191.0 million over the MTEF period will be needed.

• Transformation of State Legal Services estimated amount required is R100 million.

• The cost of proclaimed Commissions of Enquiry – estimated to be around R152 million for the 2013/14 financial year

• Personnel cost - The higher than anticipated salary increase as well as the directives from the department of public and State Administration on the upgrading of clerical posts has had a detrimental effect on the Departmental compensation of employee budget and R150 million is required to cover the carry-through cost.

24

2014 Medium Term Spending Pressures: NPA

•National Prosecuting Authority require R1.1 billion over the MTEF period for increasing capacity of:

SOCA- Increase capacity within 56 addition sexual offences courts

NPA- Increase capacity within the courts

NPA- Increasing Capacity-Appointment of Aspirant Prosecutors

AFU- Increasing capacity

Increasing SCCU accessibility

OWP- Increase capacity and the effect thereof on Goods and Services

25

2014 Medium Term Spending Pressures: Legal Aid

• Office lease - Legal Aid SA is currently renting more than 100 offices across the country. The renewal of these office rental agreements strains our budget further in that landlords are willing to renew them at higher rates above the macro (6%).

• Other contractual obligations escalations also bring some challenges in that the macro increase is often less than the contractual escalations.

• Capital expenditure also brings challenges in that as the entity grows and so is the need to increases capital assets, however this is not the case due to budgetary constraints. Therefore to accommodate this, the useful life of some assets has been extended and replaced as and when funds become available.

• Cost of living increases above the inflation rates. This is a challenge as a bigger part of our budget (74%) is consumed by compensation of employees.

26

MTEF Funding Proposals: DOJ and NPA

'2014/15 2015/16 2016/17 Total

R'000 R'000 R'000 R'000

NPA 306 130 394 168 453 913 1 154 211

Capacitating OCJ 67 475 57 995 65 626 191 096

Lease of Building and Municipal Services

300 000 350 000 400 000 1 050 000

Security Guard Services 400 000 400 000 400 000 1 200 000

Transformation of SLS 25 000 35 000 40 000 100 000

Upgrading Clerks 3&4 to 5 294 000 310 000 326 000 930 000

Upgrading Clerks 5 to 6 & 7 109 000 114 000 120 000 343 000

Court Support Structure 75 000 80 000 100 000 255 000

1 576 605 1 741 163 1 905 539 5 223 307

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Documents

ANNUAL REPORT 2012/13 AND BUDGET RECOMMENDATIONS Portfolio Committee on Justice and Constitutional Development 9 – 10 October 2013