Issued by: Department of Finance
18 November 1999
Gauteng is today breaking new ground. Following on the example set by the Minister of Finance, Gauteng is the first province to table its adjustment budget in November, breaking with tradition of scheduling the adjustment budget in February each year. This enhances transparency, accountability and provides greater certainty on financial matters. For once, surprises are not sprung on departments in the last two months of the financial year.
As we prepare for the ushering in of a new millennium, another landmark has been reached in Gauteng. We are projecting that there will be a surplus of almost R280 million. Over the last few years, we have systematically resolved overspending in the departments of Education and Welfare. We are in the enviable situation of announcing that this year, the department of Health is not projected to overspend. No department is projected to overspend this year. Truly a landmark year.
The adjustment budget appropriates a further R614 million. The major portion of this, R358 million is for salary increases implemented for the civil service. There has been R85 million of additional conditional grants made available to Gauteng mainly for hospital rehabilitation and financial management in Education.
Internally, there have been additional allocations to the departments of Welfare and Health. In the case of Welfare, the allocation is to widen the net in respect of the child support grant. Gauteng had reached the ceiling in processing applications but rather than stop, we have continued, hence the need to allocate a further R90 million to the programmme. The Commission on Hospitals in Gauteng raised important issues. R50 million has been set aside in the adjustment budget to allow for the filling of critical posts at hospitals as recommended by the Commission. R13 million has been given to run projects identified by the Executive in preparation for the next financial year and R2 million allocated as Gauteng's contribution to the millennium celebrations scheduled for the Union Buildings on 31 December 1999.
There have been shifts of funds from departments to the department of Transport and Public Works for project implementation and the purchase of vehicles on behalf of those departments. These total R298 million. The net effect of these shifts does not increase the total expenditure levels.
The hard work over the last few years has paid off. Gauteng is poised to leap into the new millennium ready to take on new challenges that will begin to reshape our economy over the medium to long term. We are also poised to become the reference site of government best practice on support services.
We have been a leading light in our infant democracy and we aim to continue to set the benchmarks, not only at home, but also in the world.