Bulldozed BRRR process could write Treasury a blank cheque 

Today marks the first day of the Budget Review and Recommendation Report (BRRR) process in various Parliament portfolio committees, and the DA objects to how these reports are being rammed through their relevant committees.

The BRRR process is a crucial component of our nation’s fiscal framework – which in turn provides the foundation for detailed state budget and service delivery target decision-making – and should be done in as considered and consultative process as possible.

Portfolio committees are – among others – expected to examine their department’s medium term estimates of expenditure, strategic priorities and measurable objectives as well as various financial reports before compiling and tabling a BRRR based on their assessment in the National Assembly (NA).

Traditionally this process takes place after the adoption of the Appropriation Bill and prior to the adoption of the reports on the Medium Term Budget Policy Statement (MTBPS) to allow the Minister of Finance time to revise the fiscal framework for the present financial year and the proposed fiscal framework for the next three years.

However, this year, it would appear that Parliament is embarking on a hurried and staged process that is unlikely to have any substantial impact on the MTBPS. The Minister of Finance is expected to deliver the MTBPS, in the NA next week however there are still committee BRRR deliberations and considerations scheduled the very morning of Minister Nene’s MTBPS.

This rushed timeline not only diminishes Parliament’s budgetary oversight role, but puts immense pressure on the institution and gives the Minister of Finance and Treasury leeway to unilaterally finalise the fiscal framework and MTBPS.

The DA will once again raise this matter in Parliament’s various programming forums, in an effort to help mitigate this potential disaster.

BRRRs help shape the financial, social and economic landscape of South Africa, ensuring that valuable resources are allocated to departments and services reach those in need.

Parliament owes it to those it is mandated to serve that this process is done in a transparent and timeous manner. 

Issued by John Steenhuisen, DA Chief Whip, 13 October 2015