Owing to the fact that Department has completed its selection and the evaluation of received proposals for funding for the new funding cycle for 2008 - 2010, (for which final approval is awaited), the department will in the near future, place an expression of interest advertisement to invite all interested parties to submit an application to be appointed as a Project Implementer (Service Provider / agency implementing projects funded through the DEAT Social Responsibility Programme on behalf of the department) for a project. All those projects selected for funding will be included in the advertisement and interested parties will be requested to submit applications per specific project.
After the evaluation and selection process of Implementers per projects is complete, the department will then enter into Memorandum of Agreement with those parties whom have been successful in the selection process. At this point the
department will also inform the proponents of projects which Implementer has been selected for their project / s.
The Memorandum of Agreement which is entered into is broken down into two phases. These two phases are outlined as follows:
5.1. Phase One – Detailed Planning
After the Implementer has complied with all of the departmental requirements and a valid agreement is in place, the initial
payment for Phase One is processed. The initial payment for Phase One is essentially half of the planning fees which is
capped at a maximum of 8% of the total project budget. Phase One as per the agreement entails that the Implementer has four months in which to complete the execution of the detailed planning for that particular project.
In essence, detailed planning should reflect the assumptions and calculations on which the information which is inserted into
the business plan is based. This would include such information as the number of visitors per annum for different seasons on which the number of campsites is based in the case of a camp and also include the detailed costing and design of the camp. It would furthermore include information on the method of providing water and services to the camp as well as access. Furthermore the operating cost of the camp, the date on which it will be profitable and how the operating cost until the
profitability stage is reached will be funded.
After the department has accepted the execution of the detailed planning, the final payment for Phase One is processed. The department and the Implementer then sign a business plan which becomes an annexure to the Memorandum of Agreement.
Once the business plan has been duly signed and all other contractual compliance matters have been complied with, the initial payment is processed. The initial payment for Phase Two is essentially made up of the cash flow as projected in terms of the business plan less the amount already advanced for Phase One. After the initial payment for Phase Two has been processed, Phase Two – Implementation commences.
5.2. Phase Two - Implementation
Essentially,Phase Two is the actually delivery of the envisaged outputs of the project. The implementer is required to submit monthly reports on the Project Management System against agreed upon deliverables as per the business plan.
Any payments
subsequent to the initial payment, are made on the basis of progress achieved and reported as well as a site inspection conducted by a departmental official verifying physical performance on site as well as a sample analysis of the record keeping of the project.
On an annual basis, the implementer has to submit a performance and a regularity audit report and the terms of reference for this is provided to ensure that the report addresses all the deliverables as per the business plan as well as
general governance issues.
On completion of the project, the implementer has to submit a performance and a regularity audit completion audit report and the terms of reference for this is provided to ensure that the report addresses all the deliverables as per the business plan as well as general governance issues.
