President Ramaphosa Signs Public Audit Amendment Act

The Presidency

The Public Audit Amendment Act has been assented to by president Ramaphosa.

Parliament passed the bill and sent it to the president in June 2018.

The bill was tabled in parliament in May 2018.

The committee bill was drawn up by the standing committee on the auditor-general.

The act aims to amend the Public Audit Act, 2004, so as to:

•    delete certain definitions and to insert new definitions;
•    provide for certainty regarding the discretion of the Auditor-General with regard to certain audits;
•    authorise the Auditor-General to undertake performance audits and to provide audit or audit related services to an international association, body, institution or organisation;
•    provide for the Auditor-General to refer suspected material irregularities arising from an audit performed under this Act, to a relevant public body for investigation;
•    empower the Auditor-General to take appropriate remedial action;
•    provide for the Auditor-General to issue a certificate of debt where an accounting officer or accounting authority failed to recover losses from a responsible person and to instruct the relevant executive authority to collect the debt;
•    provide for the establishment, powers and functions of a remuneration committee;
•    provide for consultation between the Independent Commission for the Remuneration of Public Office-bearers and the remuneration committee;
•    provide for additional reporting requirements;
•    provide for the defraying of certain excess audit fees as a direct charge against the National Revenue Fund;
•    revise the provisions relating to the appointment of an audit committee for the Auditor-General;
•    provide that the Auditor-General makes regulations on specific issues;
•    substitute certain expressions; and
•    provide for matters connected therewith.

The act comes into effect on a date still to be determined by the president.

Section 5 of the act will come into effect on the date when the Determination of Remuneration of Office-Bearers of Independent Constitutional Institutions Laws Amendment Act of 2014, comes into operation or on the date contemplated in subsection (1), whichever date is the later.

Section 10 of the act will come into effect when the act envisaged in section 23(6) of the principal act (as to be amended by this act) takes effect.

Meanwhile, the Adjustments Appropriation Bill has been referred to the standing committee on appropriations.

Sabinet Cape Town Office

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