As part of our commitment to rehabilitation of offenders, the ...

SCOPA, fifth report
of 2008.
90 DCS Annual Report 2007/08
Public-Private partnerships
(PPP).
17. Prior modifications to audit reports
•
•
•
•
Enhance better compliance to statutory requirements linked to
the core services of the department, e.g. Correctional Services
Act, Act 111 of 1998;
Give effect to other statutory requirements such as PFMA,
PPPFA, Occupational Health and Safety Act, etc.;
Cost and benefits for the department;
Enhance effectiveness, efficiency and economical in the use of
departmental resources.
(c) One of the interventions in relation to the reduction of utilization of
consultants that the Department is considering is to review its sourcing
model and strategy.
Recommendations:
(a) that the department supply it with a cost benefit analysis in terms of
value for money to the tax payer on the envisaged PPP within 60 days
of the adoption of this resolution by the National Assembly.
(b) SCOPA further recommends that this matter be referred to the Portfolio
Committee on Correctional Services for monitoring.
Status:
The Department does not have a cost benefit analysis predating the building
of the two PPP Facilities referred to in terms of the concerns raised
by SCOPA. However on the 8 November 2002, a Task Team composed
of DCS, National Treasury and DPW concluded a Review of the PPP that
demonstrated:
•
•
•
•
•
•
Competitive construction costs;
Construction completion on time and within the allocated budget;
Fast track delivery (less than two years from contract signature to full
operating capacity);
Operating costs that are comparable with overcrowded public prisons,
but with higher levels of service and better quality facilities;
Significant black equity and sub-contracting;
Appropriate transfer of the risk to the private partner.
In 2005/06, the Department developed an action plan that lists all items raised by the Auditor-General. The Department
also established a Task Team that will lead the process of dealing with these matters.
18. Exemptions received from the national treasury (finance)
None
19. Other (finance)
None
20. Approval
The Annual Financial Statements set out on pages 95 to 147 have been approved by the Accounting Officer.
Commissioner: Correctional Services
V P Petersen
30 May 2008