PADM 2A2 Public Financial & Resource Management PDF

PUBLIC FINANCIAL & RESOURCE MANAGEMENT PADM2A2 Dr. Rasodi K Manyaka Lecturer of Public Administration School of Development Studies University of Mpumalanga Email: [email protected] Cell: 063 711 1173 T...

PUBLIC FINANCIAL & RESOURCE MANAGEMENT PADM2A2 Dr. Rasodi K Manyaka Lecturer of Public Administration School of Development Studies University of Mpumalanga Email: [email protected] Cell: 063 711 1173 Tel: 013 002 0361  Learning outcomes – To articulate the legislative and policy framework for managing public finances – To explain the responsibilities of accounting officers in public service institutions  Regulatory Framework The Constitution of the Republic of South Africa, The following sections are important: 1996 Constitution as the supreme law (mandate) – S. 213 = National Revenue Fund – Interdepartmental relations – S. 214 = Equitable shares and allocations Management principles in the Constitution (section of revenue 195) – S. 215 = Budgets for all spheres of Constitutional aspects governing Financial government Management (Chapter 13) – S. 216 =Treasury control Section 216 of the Constitution envisages uniform treasury norms and standards for all spheres of – S. 217 = Procurement government. – S. 220 =Financial and Fiscal Commission – Promotes the objective of good financial management in order to maximize delivery – S.223-224 = Central Bank through the efficient and effective use of limited – S.226 =Provincial Revenue Funds resources. – PFMA for national and provincial and all Public – S.229 =Municipal fiscal powers and Entities. functions – MFMA provides uniform treasury norms and standards for the local sphere of government  Public Finance Management Act, 1 of 1999 Purpose Chapter 5 of thee PFMA – Modernize the system of financial – S. 38 = General responsibilities of management the Accounting officer – Enable public sector management to manage and to be more accountable – S. 39 =Responsibilities relating to – Ensure the timely provision of quality Budgetary control information – Eliminates waste and corruption in the use – S. 40 = Reporting responsibilities of public assets – Regulate financial management. – Ensure that all revenue, expenditure, assets and liabilities are managed efficiently and effectively. – Stipulate the responsibilities of persons entrusted with financial management. – Provide for other matters relating to N.B. Public Finance Management Act Should be read together with Treasury Regulations issued in terms of this Act.  Local Government Finance Management Act, 56 of 2003 Objective is to secure sound and sustainable management of the fiscal and financial affairs of Important issues: municipalities and their entities by establishing – Supervision over local government norms and standards for: financial management – Ensuring transparency, accountability and appropriate lines of responsibility in financial – Municipal revenue affairs of municipalities – Municipal Budgets – The management of revenue, expenditure, assets and liabilities and handling of financial – Co-operative Government dealings – Debt Management – Budgetary and financial planning processes and co-ordination of those processes of organs – Responsibilities of Mayors of State – Responsibilities of municipal – Borrowing officials – Handling of financial problems in municipalities – Supply chain management and other financial – Financial Misconduct matters NB. The MFMA should be read together with regulations issued in terms of this act! END.