Understanding and Using this Act > Normative Measures for Financial Management > Annexure A : User Manual for applying NMFM

Critical Performance Area

Basic Evaluation

Yes/No

Performance Indicator/Measure/ Requirement

Performance

Refer Annexure

Norm

Actual

1)	Revenue Management

1)	Does the AO regularly examine the operations of the department to identify new sources or potential sources of revenue?

Frequency

At least annually

C1.1

1)	Does the AO regularly review existing fees, charges, rates, tariffs or scales of fees or other charges relating to the revenue accruing to a revenue fund and the letting of state property? [TR 7.3, TR 10.2.4]

Frequency

Compliance

At least annually

Treasury approval for tariff structure

C1.2

1)	Is the collection of revenue monitored on a regular basis and reported to the executive authority? [sec 39 (2)(b) of the PFMA]

Frequency

Timeliness

Quality

Monthly

15 days after month end

All variances explained and followed up

C1.3

1)	Is cash received deposited on a regular basis, where possible? [TR 15.10]

Frequency

Daily

C1.4

2)	Expenditure Management

1)	What is the estimated/actual % of overspending?

Total expenditure X 100

Total voted amount 1

C2.1

1)	What is the estimated/actual % of underspending?

Total expenditure X 100 Total voted amount 1

C2.2

1)	Is over / underspending monitored on a regular basis and reported to the relevant executive authority? [sec 39 of the PFMA]

Frequency

Timeliness

Quality

Monthly

15 days after month end

All variances explained and followed up

C2.3

1)	Does the AO ensure that, before transferring funds to an entity, the requirements of sec 38(1)(j) of the PFMA are met?

Compliance

Availability of written assurance

C2.4

1)	Are the certified payroll reports returned to the CFO as required? [TR 8.3.5]

Timeliness

Within 10 days of payment date

C2.5

1)	Is the actual monthly expenditure per programme in accordance with the cash flow projection?

% of variance

C2.6

1)	Are all payments in access of R2 000 being effected electronically [TR.15.12.3]

Compliance

100%

C2.7

Understanding and Using this Act

Normative Measures For Financial Management

Annexure A : User Manual for applying NMFM

C. Revenue and expenditure management