Control by the State
All funds received by Sijonga-Phambili, whether from the State or private sources, such as fees and donations, are subject to the provisions of the Public Finance Management Act (PFMA). This act specifies policy and procedure for the drawing up of an Annual Budget, the receipting and recording of cash, the issuing of cheques, the payment of personnel and accounts, procurement policy, the maintenance of a Cash Book and the submission of Quarterly Financial Reports and Annual Financial Statements.
Further monitoring and control is implemented by the South African Revenue Services (SARS) by means of the Annual Income Tax Return, monthly EMP201 Returns for Employers (for PAYE and UIF), Bi-Annual and Annual EMP501 Returns as well as Employee IRP5 and IT3a tax certificates. Public Benefit Organisations are further restricted by SARS to the use of funding only for an approved Public Benefit Activity.
The Department of Social Development also lays down stringent requirements for Non-Profit Organisations who are required to submit a detailed Narrative Report outlining the organisation’s operations for the previous year together with Annual Financial Statements and an analysis of all income and expenditure.
Control by the Province
The Western Cape Education Department (WCED) monitors and controls the implementation of the PFMA at all educational institutions in the Province via personnel at each District Office. Sijonga-Phambili falls under the Metro Central District Office. All funding received from the WCED is dependent on the timeous submission of an Annual Budget, an Application for Financial Support, Quarterly Financial Reports, Annual Financial Statements and several other administrative documents relating to the management of the institution.
Control by the Institution
The Governing Body of Sijonga-Phambili assumes ultimate responsibility for complying with the requirements of the PFMA at the Centre. The Head of the Institution is directly responsible for daily Financial Management, including the preparation of all financial budgets, documents and reports, and for ensuring that the necessary procedures and requirements are adhered to by all members of staff. The Head of the Institution is also required to submit all financial records to the external accountants (Fowler Financial Services) for the preparation of the Annual Financial Statements.