FINAL - tzdpg.or.tzANNUAL PROGRESS REPORT FOR FY 2012/13 FINAL CONTACT: Permanent Secretary Ministry...

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THE UNITED REPUBLIC OF TANZANIA

MINISTRY OF FINANCE

PUBLIC FINANCIAL MANAGEMENT REFORM PROGRAMME

(PFMRP PHASE IV)

ANNUAL PROGRESS REPORT FOR FY 2012/13

FINAL

CONTACT:

Permanent Secretary

Ministry of Finance

P.O. Box 9111

Dar es Salaam

September, 2013

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TABLE OF CONTENTS

LIST OF ABBREVIATIONS ................................................................................................................................. 3

Executive Summary ................................................................................................................................................ 5

Chapter 1.0 BACKGROUND AND INTRODUCTION ........................................................................................ 7

Chapter 2.0 PROGRESS ON IMPLEMENTATION OF PLANNED ACTIVITIES IN FY 2012/13 ................. 11

Chapter 3.0 BUDGET EXECUTION ................................................................................................................... 25

Chapter 4.0 CHALLENGES AND RECOMMENDATIONS FOR NEXT PERIOD .......................................... 32

Annexes:

- Annex 1: Detailed assessment of milestone status as at Dec 2012 based on M&E Framework

for 2012 – 2017 ............................................................................................... 33

- Annex 2: Fund use by milestone for the year 2012/2013 ........................................ 64

- Annex 3: Procurement progress report for the year 2012/2013 .......................... 86

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LIST OF ABBREVIATION

AG Attorney General

CAG Controller and Auditor General

ICT Information & Communication Technology

IPSAs International Public Sector Accounting Standards

LAAC Local Authority Accounts Committee

LGAs Local Government Authorities

JSC Joint Steering Committee

KRA Key Result Area

MCA – T Millennium Challenge Account - Tanzania

MCC Millennium Challenge Cooperation

MDAs Ministries, Departments and Agencies

M&E Monitoring and Evaluation

MIS Management Information System

MKUKUTA Mkakati wa Kukuza Uchumi na Kupunguza Umaskini Tanzania

MoF Ministry of Finance

MTEF Medium Term Expenditure Framework

PAC Public Accounts Committee

PEFA Public Expenditure Framework for Assessment

PFMRP Public Financial Management Reform Program

PMU Procurement Management Unit

PO-PC President’s Office – Planning Commission

PO- PSM President’s Office – Public Service Management

RSs Regional Secretariat’s

SMTB Secretary for Ministerial Tender Board

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TRA Tanzania Revenue Authority

TRMIS Treasury Registrar Management Information System

TWG Technical Working Group

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EXECUTIVE SUMMARY

PFMRP Phase IV was officially launched in June, 2012 and its implementation started on 1st

July, 2012. The Programme is designed to consolidate and build on achievements of the previous

phases in line with National policy objectives stated in the Tanzania Development Vision 2025,

the Five Year Development Plan (FYDP) 2011/12 - 2015/16 and the MKUKUTA/MKUZA II

aimed at fostering economic growth and the reduction of poverty in the country. PFMRP IV aims

at strengthening and improving public financial management in a more coordinated manner in

order to meet the current fiscal policy challenges.

PFMRP Phase IV implementation is organized in five Key Result Areas (KRAs) of the PFM

system; namely 1) Revenue management, 2) Budget and Planning, 3) Budget execution,

Transparency and Accountability, 4) Budget Control and Oversight, 5) Change management,

Program Monitoring and Communication. The KRAs are structured to ensure that all the

different aspects and dependencies of a sound PFM are managed during the program

implementation. The strategic actions are facilitated through the results-based management,

program based budgets, accountability and performance audits, transparency and

communication.

The approved budget for FY 2012/13 is Tshs 33,597,704,853 of which Tshs 3,996,904,853 are

Project funds1, Tshs. 16,250,000,000 Government funds and Tshs. 13,350,800,000 Basket

Funds2. During the year 2012/13 a total of Tshs. 24,129,665,331 was released of which Tshs.

8,478,922,060 from GoT; Tshs. 2,911,442,271 from Project fund and Tshs. 12,739,295,000 from

Basket Fund. Actual expenditure and commitment as at 30th

June, 2013 amounted to Tshs.

19,456,556,160 being 81% of the fund released. Expenditure by source was GoT Tshs.

7,755,244,698 being 91% of the released funds; Project Tshs. 2,300,718,540 being 79% of the

released funds and Basket Fund Tshs. 9,400,592,922 being 74% of the released funds.

1 Bilateral project fund include AfDB and World Bank

2 DFID, CIDA, Denmark, Ireland and KFW have signed a Memorandum of Understanding with the GoT establishing a pooled

funding mechanism.

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In procurement, activities which had been completed or in contracting stage by 30th

June, 2013

amounted to Tshs. 12,230,903,613 which represented 62.2% of the total planned procurements.

This amount includes costs of Tshs. 749,220,000 activities which the method of procurement

was changed by doing internally instead of initially planned option of engaging consultants. Two

works project implemented by NAO and ACGEN amounted to Tshs. 7,698,204,848 representing

39.1 % of the total planned procurement cost (72.6% of planned works cost). A total amount of

Tshs. 377,000,000 representing 2% of the estimated total procurements was at various

procurement stages. Detailed procurement progress report is displayed under Annex 3.

The programme recorded fairly satisfactory progress whereby 25 milestones were achieved and

82 milestones were on track. Notable achievements are: chart of accounts have been modified

to accommodate program based budgeting; EPICOR system was upgraded from version 7.3.5 to

9.05; Approved National Budget and Citizens Budget were published on MoF website; and Joint

Supervision Mission was conducted and report approved. However, the low absorption of funds

during the period under review was due to late release of funds.

During the period under review, component managers were committed to fast track the

implementation of activities and utilized the TWGs to discuss and resolve emerging issues. It

was envisaged that through enhanced information sharing there was smooth coordination to

achieve milestone targets. The PEFA Central exercise for central government was conducted,

while for Local government will be conducted in the Financial Year, 2013/2014.

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CHAPTER ONE

BACKGROUND AND INTRODUCTION

1.0 Background

The Government of Tanzania has been implementing Public Financial Management Reform

Programme (PFMRP) for the past two decades in different phases aiming at improving Public

financial management systems across all levels. Phase I was implemented from 1998-2004 with

an objective of controlling expenditure, introducing aggregate fiscal discipline and contributing

to stable macro-economic growth. Phase II was implemented from 2004 to 2008 with an

objective of progressively modernizing the processes, procedures and systems involved in PFM

through the implementation and use of ‘best practice’ tools, techniques and methodologies to

improve revenue forecasting and resource allocation for strategic priorities. Phase III was

implemented from 2008 to 2011 with the objective of ensuring greater predictability and

availability of medium term resources to executing agencies.

1.1 Introduction

PFMRP IV was launched in June 2012 and its implementation started on 1st July 2012. PFMRP

Phase IV is designed and implemented to complement efforts to achieve national policy

objectives stated in Tanzania Development Vision 2025, Five Year Development Plan (FYDP)

2011/12-2015/16 and MKUKUTA/MKUZA II so as to achieve economic growth. The

overarching goal of attaining sound financial management and discipline in public service

delivery for sustainable development will be achieved through implementation of PFMRP IV

five Key Results Areas which are: Revenue management; Budget and Planning; Budget

execution, Transparency and Accountability; Budget Control and Oversight; and Change

management, Program Monitoring and Communication. Table 1.1 gives a summary of KRA

overview.

The Public Financial Management Reform Program is implemented in line with the on-going

reforms in the Public Sector which aim at improved performance, efficiency and effectiveness in

service delivery for sustainable economic growth. In doing so, PFMRP IV will address

interventions which will be:

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i. Comprehensive to include the various key reform activities in the PFM systems as well as

the cross-cutting issues related to capacity building, improving infrastructure for service

delivery, and reviewing the institutional policy and regulatory frameworks;

ii. Captured in a well defined Monitoring and Evaluation framework, sequenced to manage

priorities and ensure a more accurate cash forecasting and achievement of results;

iii. Linked and inter-dependent with clear demarcation of responsibilities and accountability;

iv. Better standardized and automated systems to ensure attainment of desired results in

financial recording and reporting;

v. Well managed, with effective institutional arrangement to support implementation of the

programme;

vi. Focused, aiming at supporting agencies and initiatives which are likely to have a great

cross cutting impact on the PFM system.

Table 1.1 KRA and components overview

Key Result Area (KRA) Major Component,

Department and KRA-

TWG

KRA 1: Revenue Management

Leader: CPAD

Focus: improving revenue forecasting and resources mobilization and

reviewing & streamlining existing revenue policies, laws and regulations.

The intervention aims at developing appropriate model for revenue

forecasting to improve cash flow forecasting to spending units. Also the

KRA will continue to improve external resource management, review

retention schemes and enhance capacity for managing public investments.

1. CPAD – MoF

2. TR - MoF

3. PMO-RALG

4. External Finance -

MoF

5. MDAs

KRA 2:Planning and Budgeting

Leader: BC

Focus: improving macro-fiscal policy, planning, MTEF credibility,

enhancing budget classification by adopting GFS 2001 and CoFoG

standards, facilitate program based budgeting, broadening the scope of the

chart of accounts, enhancing monitoring, reporting and accountability and

review of the Medium Term Strategic Planning & Budgeting Manual

1. CB – MoF

2. CPAD – MoF

3. PMO-RALG

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(MTSPBM) to enable the national development planning and budgeting

system to articulate national policy priority targets with the desired

institutional results.

KRA 3: Budget Execution, Transparency and Accountability

Leader: ACCGEN

Focus: achieving greater predictability of resources to spending units;

strengthening capacity on procurement, cash and debt management; and

improving the scope and quality of financial recording and reporting

1. PPRA

2. PPPD

3. ACCGEN - MoF

4. CPAD - MoF

5. DGAM - MoF

KRA 4: Budget Control and Oversight

Leader: IAG

Focus: strengthening capacity on audit functions (internal and external) as

well as oversight function of the Parliament. The interventions involves

providing technical guidance and capacity building to MDAs and LGAs in

the areas of internal audit and to facilitate timely independent external

examination of financial and performance auditing and report to the public

1. IAG - MoF

2. NAO (and

Parliament PACs)

3. TR

KRA 5:Change Management Programme Monitoring and

Communication

Leader: DPD

Focus: cross cutting issues including capacity building on change

management, Monitoring and Evaluation, stakeholders’ communication,

coordination and leadership for efficient and effective programme

implementation.

1. DFMIS - MoF

2. GCU - MoF

3. DPD – MoF

4. PMO – RALG

5. ACGEN - MoF

6. DAHRM - MoF

7. Zanzibar

Layout of the report

This report comprises of four chapters: Chapter one provides background information and

introduction; Chapter two covers progress on implementation of the planned activities; Chapter

three reports the budget execution and Chapter four highlights on challenges and

recommendations for next period. Annexes 1 give detailed assessment of milestone status as at

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the end of June, 2013 based on M&E Framework for 2012 – 2017; and 2: Procurement Progress

report for the period ended June, 2013.

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CHAPTER TWO

PROGRESS ON IMPLEMENTATION OF PLANNED ACTIVITIES IN FY

2012/13

The Fiscal Year 2012/13 being the first year of PFMRP phase IV implementation focused on

activities that lay foundation for the attainment of milestones as outlined in the M&E Framework

as well as Performance Assessment Framework (PAF) 2012 key policy actions.

2.1 Highlights on Targets/Outputs and Implementation Status of Milestones as Per M&E

Result Framework

167 milestones are included in the work plan and budget for FY 2012/13. Out of 167 milestones,

achievement was realized in 25 (15%) milestones. Satisfactory progress was recorded on track in

82 (49%) milestones while Pending and Delayed milestones were 18 (11%) and 37(22)

respectively. Pending and delayed milestones involve activities that could not be initiated before

getting specific inputs from stakeholders. 5 (3%) milestones were at risk of implementation.

Milestones on track include those in areas of consultancy for various studies, works, training and

review of legal instruments. Status of milestones per KRA as at 31st June, 2013 is in table 2.1

while detailed information on each milestone is outlined in Annex 1. Progress toward achieving

the output under each KRA is presented in the next part.

Table 2.1: Cumulative Milestone Status for FY 2012/13

KRA Achieved On Track Pending Delayed At Risk Total

KRA 1 - 12 3 7 2 24

KRA 2 2 8 5 5 - 20

KRA 3 10 30 3 7 2 52

KRA 4 9 13 2 1 - 25

KRA 5 4 19 5 17 1 46

TOTAL 25 82 18 37 5 167

Percentage 15 49 11 22 3 100

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KRA 1 Revenue Management:

Objective: Strengthened systems, processes and procedures for improving the operational

capability of the revenue collection by June 2016.

Output 1.2: The Government improves efficiency in domestic revenue mobilization both at the

policy and the administration levels by updating legal instruments towards international best

practices:

i. Non-tax revenue study on Integration and harmonization of revenue collection is in

progress. A consultant is continuing with a study.

ii. A draft of Tax Administration Bill has been submitted to the cabinet for approval. It is

expected that Cabinet approval and Attorney General Verification will be done in time

for the draft Act to be submitted to parliament.

iii. The first draft of new TR Bill has been submitted to Cabinet Secretariat for an initial

review. The bill is expected to be sent to parliament by June, 2013

Implementation Status of Milestones as Per M&E Result Framework

The implementation status on the 24 milestones was fair satisfactory of which 12 (50%) were on

track, 3 (13%) pending, 7(29%) delayed and 2(8%) at risk. Figure 1 below depicts schematic

presentation of KRA 1 status as at June, 2013.

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A milestone at risk concerns the review of M & E systems for Parastatals which was proposed to

be changed.

Among of the delayed milestones include revision of the JAST (DCF) and AMP user guidelines.

Concerted efforts may change status on pending milestones once a way forward is agreed to

address factors that are hindering the implementation process. Summary of KRA 1 Financial

Performance is shown in the table 2.2 below.

Table 2.2: KRA1 Financial performance for the year 2012/13

S/

N COMPONENT

SOURCE

OF FUND

APPROVED

BUDGET FY

2012/13 RELEASE

EXPENDITURE

AND

COMMITMENT

% ON

RELEASE

TSHS TSHS TSHS

1

POLICY

ANALYSIS

GOT 500,000,000 252,000,000 204,614,260 81%

P 55,713,406 - -

BF 228,000,000 228,000,000 135,891,850 60%

SUB TOTAL 783,713,406 480,000,000 340,506,110 71%

2 MNRT BF 127,000,000 - - -

SUB TOTAL 127,000,000 - -

3

TREASURY

REGISTRAR

GOT 300,000,000 200,000,000 198,593,103 99%

P -

BF 372,800,000 372,800,000 320,345,000 86%

SUB TOTAL 672,800,000 572,800,000 518,938,103 91%

4 PMO-RALG

GOT 210,000,000 - -

P - - -

BF 340,300,000 317,800,000 317,800,000 100%

SUB TOTAL 550,300,000 317,800,000 317,800,000

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EXTERNAL

FINANCE

GOT 150,000,000 12,500,000 12,500,000 100%

P 95,530,473 95,530,473 95,530,473 100%

BF 115,000,000 115,000,000 - 0%

SUB TOTAL 360,530,473 223,030,473 108,030,473 48%

GOT 1,160,000,000 464,500,000 415,707,363 89%

P 151,243,879 95,530,473 95,530,473 100%

BF 1,183,100,000 1,033,600,000 774,036,850 75%

KRA 2 Budgeting and planning

Objective: Strengthened capacity of planning and budget management, including results and

program based budgeting, within MoF, MDAs and LGAs by June 2016.

Output 2.1: Strengthened capacity of MDAs, RSs and LGAs in implementing program based

budgeting by June 2016.

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i. Programs and sub-programs have been (tentatively) defined and objectives, outputs and

performance indicators were developed from MKUKUTA II and FYDP. Six ministries

were involved in training as a part of pilot phase in fiscal year 2012/13.; these ministries

are Community Gender and Children, Ministry of Finance, Ministry of Education and

Vocational Training, Ministry of Health and Social Welfare, Ministry of Agriculture,

Food Security and Cooperatives and Ministry of Water.

ii. The chart of account has been modified to accommodate Program Based Budgeting.

iii. Continued to implement Program Based Budgeting (PBB) action plan.

Output 2.2: Increased effective utilization of Planning and budgeting tools by 2016

i. PER meetings were conducted and PER Champion Group Team was established for

coordinating PER Agenda

ii. Training for MDAs on Prioritization and Planning and on the new budget cycle for their

comments and implementation were carried out.


During the period under review 2 milestones (10%) were achieved, 8 milestones (40%) were on

track, 5 milestones (25%) were pending and 5 milestones (25%) were delayed in this KRA.

Figure 2 below depicts the schematic presentation for KRA 2 status as at June, 2013.

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The milestones delayed include those relate to agreement on the improvement of LGAs

allocation formula.

Summary of KRA 2 Financial Performance is shown in the table 2.3 below.

Table 2.3: KRA 2 financial performance for the year 2012/13

S/

N COMPONENT

SOURCE

OF FUND

APPROVED

BUDGET FY

2012/13 RELEASE

EXPENDITURE

AND

COMMITMENT

% ON

RELEASE

TSHS TSHS TSHS

1

GOT 1,500,000,000 98,800,000 62,870,000 64%

P

BF 470,000,000 470,000,000 34,540,000 7%

SUB TOTAL 1,970,000,000 568,800,000 97,410,000 17%

2 POLICY

ANALYSIS

GOT - - - -

P - - - -

BF 40,000,000 40,000,000 - 0%

SUB TOTAL 40,000,000 40,000,000

3 PMO-RALG

GOT 90,000,000 - - -

P - - - -

BF 67,000,000 90,419,000 90,419,000 100%

157,000,000 90,419,000 90,419,000 100%

GOT

1,590,000,000 98,800,000 62,870,000 64%

P

- - -

BF

577,000,000 600,419,000 124,959,000 21%

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KRA 3: Budget Execution, Accountability and Transparency

Objective: Improved utilization of public resources in a more effective, efficient and transparent

manner by June 2016

Output 3.1: Improved public procurement performance by PEs by 2015

i. Annual audit conducted and preliminary results indicated positive trend based on

compliance and Value for Money (VfM) audits in 30 PEs.

ii. PPA,2011 has been disseminated to 85 Board of Directors and 189 Accounting officers

of Public Entities

iii. 610 Users from 299 PEs are now registered and use PMIS

Output 3.2: Strengthened public sector procurement by June 2015

i. A draft of the public procurement regulations has been prepared and submitted to the

Attorney General’s office for verification. Following the minister’s finalization, the

regulation will be submitted to responsible parliamentary committee.

ii. Data base information for 1,022 Public Procurement and Supplies Staff have been

verified and updated.

iii. National procurement policy draft in place.

Output 3.3: Strengthened capacity of MDAs, RSs and LGAs in Cash management by 2015

Each LGA is now operating with six bank accounts

Output 3.5: Improved integrity and content of government financial statements and the

migration from IPSAS cash to IPSAS accrual accounting for all government accounts is

progressing in accordance with plans.

i. Action plan for migration towards IPSAS Accrual accounting has been prepared.

ii. Opening balances for the financial year 2012/2013 for all MDAs were established in order

to facilitate the implementation of IPAS Accrual;

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iii. A draft of revised PFA has been circulated to stakeholders’ for comments. This revised

PFA provides for migration to IPSAS accrual among others.

iv. 250 accountants from MDAs, Regions were trained on migration to IPSAS Accrual;

Output 3.6: Improved accountability in management of Government Assets for supporting

migration to IPSAS Accrual

i. Contract has been awarded and implementation is underway scheduled for completion by

February 2014.

ii. The contract for formulation of the asset policy management has been awarded.


Out of 52 milestones achievement was realized in 10 (19%) milestones, which include

Procurement Plans being a mandatory requirement for strategic and budget plans for MDAs,

LGAs and Parastatal Institutions as well as each LGA now operates only six bank accounts.

Satisfactory progress (on track) was recorded in 30 (58%) milestones. These are in areas related

to compliance to 2004 PPA; review of procurement regulations to achieve Value for Money in

public procurement; capacity building to PPRA; preparation for e-procurement; development of

National Public Procurement Policy; capacity building on Cash Management; updating IPSAS

guidelines from Cash to Accrual accounting; and improvement on accountability in Government

Asset Management.

About 3 (6%) milestones were pending and 7(13%) were delayed due to a number of factors

including the action plan for implementing the 2011 PPA, training strategy and plan for public

procurement cadre as well as approval of TORs for the uploading 16 MDAs in EPICOR.

Establishment of Debt Management Department was awaiting approval of PO -PSM. Only

2(4%) milestones were at risk. Figure 3 below depicts the schematic presentation for KRA 3

status as at June, 2013.

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S/N COMPONENT SOURCE

OF FUND

APPROVED

BUDGET FY

2012/13 RELEASE

EXPENDITURE

AND

COMMITMENT

COMMITED

FUNDS

TOTAL

EXPENDITURE

AND

COMMITMENT

% ON

RELEASE

TSHS TSHS TSHS TSHS TSHS

1

PUBLIC

PROCUREMENT

REGULATORY

AUTHORITY

GOT 100,000,000 50,000,000 50,000,000 - 50,000,000 100%

P 2,032,520,000 2,319,673,975 1,708,944,244 - 1,708,944,244 74%

BF 1,317,188,000 1,317,188,000 1,317,188,000 - 1,317,188,000 100%

SUB TOTAL 3,449,708,000 3,686,861,975 3,076,132,244 - 3,076,132,244 83%

2

ACCOUNTANT

GENERAL

GOT 3,500,000,000 1,375,000,000 1,023,116,808 - 1,023,116,808 74%

P - - -

BF 1,084,320,000 1,050,138,800 699,515,153 - 699,515,153 67%

SUB TOTAL 4,584,320,000 2,425,138,800 1,722,631,961 - 1,722,631,961 71%

3

POLICY

ANALYSIS

GOT - - - - -

P 1,316,897,151 - - - -

BF - - - - -

SUB TOTAL 1,316,897,151 - - - -

4

PUBLIC

PROCUREMENT

POLICY

GOT 62,500,000 62,500,000 27,785,430 - 27,785,430 44%

P - -

BF 482,000,000 482,000,000 170,101,550 166,734,000 336,835,550 70%

SUB TOTAL 544,500,000 544,500,000 197,886,980 166,734,000 364,620,980 67%

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GOVERNMENT

ASSET

MANAGEMENT

GOT 200,000,000 50,000,000 44,296,796 - 44,296,796 89%

P - -

BF 1,378,572,000 1,378,572,000 204,836,950 591,102,665 795,939,615 58%

SUB TOTAL 1,578,572,000 1,428,572,000 249,133,746 591,102,665 840,236,411 59%

GOT 3,862,500,000 1,537,500,000 1,145,199,034 - 1,145,199,034 74%

P 3,349,417,151 2,319,673,975 1,708,944,244 - 1,708,944,244 74%

BF 4,262,080,000 4,227,898,800 2,391,641,653 757,836,665 3,149,478,318 74%

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Objective: Improved adherence and enforcing of MDAs and LGAs to financial internal controls,

rules, laws, regulations and audit recommendations by June 2016

Output 4.1: Increased coverage and quality of the internal audit functions by 2016

i. Operation Plan for 5 year (2013 – 2017) approved and disseminated.

ii. Survey to identify weaknesses of MDAs audit committees was conducted.

iii. Training on roles of internal auditors for 226 stakeholders (Mayors, Council Chairpersons

and Internal Audit) was conducted.

iv. Training on roles of internal auditors to 114 audit committees’ chairpersons was

conducted.

Output 4.2: Strengthened External audit functions by 2016

i. Report on Laws and Policies was submitted to the Attorney General’s Office for action,

however with the ongoing Constitutional review, the amendment of various laws will

follow after the new Constitution. NAOT submitted to the Constitutional Review

committee NAOT views on Articles related to NAOT meanwhile addressing

Independence of the CAG. An AFROSAI-E team undertook an assessment of NAO`s

performance in September 2012, focusing on institutional assessment, performance audits

and regularity audit. The result was positive as NAOT has been elevated to level 3 of

AFROSAI-E capability model.

ii. 200 auditors have been trained on Risk Based Audit and 100 auditors have been trained

on IT audit. The Risk Based audit approach will be applied during the coming audit

(October 2013), at the same time the office has created a group of IT auditors who

eventually will form IT audit unit.

iii. Construction of Dodoma and Rukwa offices are on-going, Dodoma (80%), Rukwa

(50%). Procurement process for a Consultant to supervise construction of office buildings

in Iringa and Mara regions is in final stage.

iv. 200 auditors have been trained on International Standards of auditing and 100 senior

officers have been trained on quality assurance. The NAOT Regularity Audit Manual has

been up dated to comply with International Standards.

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v. The Citizen Audit report for 5 General Audit Reports in Kiswahili language has been

prepared internally and printed

Output 4.5: Strengthened Capacity of oversight functions of Parliamentary Accounts

Committees by 2016

Training to members of Parliamentary Accounts Committees (PAC and LAAC) on

interrogation skills, understanding of CAG reports and elementary understanding of financial

statements was conducted. Tracking of implementation of projects was facilitated and MPs

visited a good number of projects.

Implementation Status of Milestones as per M&E Result Framework

During the period, 9 milestones (36%) were achieved, 13 milestones (52%) were on track, 2

(8%) were pending and 1 milestone was delayed. Milestones achievement was recorded in area

of production of Value for Money audit reports annually. Milestones on track status included

areas of internal audit functions, development of Internal Audit Manual, capacity building in

computerized auditing, enhancing accountability on parastatals performance and production of

citizen audit reports. Figure 4 below depict milestone status for KRA 4 by June, 2013.

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S/

N

COMPONENT

SOURCE

OF FUND

APPROVED

BUDGET FY

2012/13 RELEASE

EXPENDITU

RE

COMMITE

D FUNDS

TOTAL

EXPENDITU

RE AND

COMMITME

NT

% ON

RELEAS

E


1

INTERNAL

AUDITOR

GENERAL

GOT 300,000,000 - -

P - - -

BF 1,323,050,000 1,323,050,000 373,957,935 881,300,000 1,255,257,935 95%

SUB TOTAL 1,623,050,000 1,323,050,000 373,957,935 881,300,000 1,255,257,935 95%

2

NATIONAL

AUDIT OFFICE

GOT 7,500,000,000 5,700,000,000 5,700,000,000 - 5,700,000,000 100%

P 469,097,486 469,097,486 469,097,486 - 469,097,486 100%

BF 1,654,850,000 1,654,800,000 1,654,800,000 - 1,654,800,000 100%

SUB TOTAL 9,623,947,486 7,823,897,486 7,823,897,486 - 7,823,897,486

100%

GOT 7,800,000,000 5,700,000,000 5,700,000,000 - 5,700,000,000 100%

P 469,097,486 469,097,486 469,097,486 - 469,097,486 100%

BF 2,977,900,000 2,977,850,000 2,028,757,935 881,300,000 2,910,057,935 98%

KRA 5 – Change Management, Programme Monitoring and Communication

Objective: Improved management practices with increased accountability and leadership to

better manage performance of PFMRP.

Output 5.1: Coordinate Integration, interfacing and rationalization of Government financial

systems.

ICT mapping study has started.

Output 5.2: Utilization of EPICOR modules increased from seven to ten

i. EPICOR system has been upgraded from version 7.3.5 to version 9.05 with 7 modules

installed of which 6 are activated

ii. Training to 40 ACCGEN staff and 381 end users was undertaken on the new version of

EPICOR.

Output 5.3: All software development and module upgrades are coordinated with the

overarching plans for ICT integration

7 staffs have been trained on Data Center Infrastructure Specialists, ICT Security, Database

Management and Data Center Operations Specialists

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Output 5.4: Improved communication and public access to key fiscal information to

stakeholders

i. The approved National Budget was published on Ministry of Finance website by

September 2012 and Citizens budget October, 2012

ii. The final draft of communication strategy has been submitted to the Ministry’s

Communication Committee for proof reading;

Output 5.5: Coordination and Standardization of PFM Training Achieved.

A PFM training mapping exercise was conducted. The final report will be ready in FY

2013/2014.

Output 5.6: PFMRP Component Managers are being guided by detailed multi-year

operating plans

A five year operating work plan has been developed and is intended to be updated when

preparing the next financial years plans.

Output 5.7: PFM activities are effectively planned and implemented

The Change Management Training was conducted at ESAMI HQ to 150 staff from

various MDAs. Meanwhile, 30 Top Management staff from various ministries were

trained on the same by ESAMI in Dodoma during Bunge Session in June, 2013.

Output 5.12: National systems and processes for intergovernmental transfers to LGAs

Streamlined and rationalized

Two mapping systems namely ICT systems and processes for intergovernmental transfers

exercise were at various stage of implementation. The final reports were expected during

the first quarter of FY 2013/2014.

23



S/N COMPONENT

SOURCE

OF

FUND

APPROVED

BUDGET FY

2012/13 RELEASE

EXPENDIT

URE

COMMITE

D FUNDS

TOTAL

EXPENDITU

RE AND

COMMITM

ENT

% ON

RELEASE


1

FINANCIAL INFORMATION

SYSTEM

MANAGEMENT

GOT 600,000,000 206,750,000 192,206,211 - 192,206,211 93%

P - -

BF 243,000,000 243,000,000 128,315,352 69,888,096 198,203,448 82%

SUB TOTAL 843,000,000 449,750,000 320,521,563 69,888,096 390,409,659

87%

2 PMO-RALG

GOT - - -

P - - -

BF 337,700,000 336,781,000 336,781,000 - 336,781,000 100%

SUB TOTAL 337,700,000 336,781,000 336,781,000 - 336,781,000 100%

3

ACCOUNTANT

GENERAL

GOT - - - - -

P - -

BF 1,538,520,000 1,088,246,200 797,963,274 - 797,963,274 73%

SUB TOTAL 1,538,520,000 1,088,246,200 797,963,274 - 797,963,274

73%

4

GOVERNEMNT

COMMUNICATION UNIT

GOT 200,000,000 88,500,000 88,403,440 - 88,403,440 100%

P - -

BF 276,000,000 276,000,000 100,231,430 - 100,231,430 36%

SUB TOTAL 476,000,000 364,500,000 188,634,870 - 188,634,870 52%

5

ADMINISTRATI

ON AND

GENERAL

GOT 173,500,000 3,500,000 - - 0%

P - - -

BF 107,000,000 107,000,000 72,100,000 - 72,100,000 67%

SUB TOTAL 280,500,000 110,500,000 72,100,000 - 72,100,000 65%

6

PLANNING

DIVISION

GOT 864,000,000 379,372,060 343,064,861 - 343,064,861 90%

P 27,146,337 27,146,337 27,146,337 - 27,146,337 100%

BF 1,348,500,000 1,348,500,000 841,831,942 86,623,800 928,455,742

69%

SUB TOTAL 2,239,646,337 1,755,018,397 1,212,043,140 86,623,800 1,298,666,940

74%

7 ZANZIBAR BF

500,000,000 500,000,000 8,325,925 - 8,325,925

2%

SUB TOTAL 500,000,000 500,000,000 8,325,925 - 8,325,925

2%

GOT

1,837,500,000 678,122,060 623,674,512 - 623,674,512

92%

P

27,146,337 27,146,337 27,146,337 - 27,146,337

100%

BF 4,350,720,000 3,899,527,200 2,285,548,923 156,511,896 2,442,060,819

63%


Achievement was recorded in 4 milestones (9%) covering areas of upgrading EPICOR software,

transparency in budget management through publication on MoF website (National budget,

citizen budget, end-year budget out-turn report); coordination of plans for ICT integration;

24

timely update of MoF website and consultative PFM Reform management process through

annual supervision mission.

Satisfactory progress on milestones represented as on track were 19 (41%). These cover the

areas of capacity building and linking MoF IFMIS to PMO-RALG IFMS for immediate

capturing of budget and exchequer transfer to RSs and LGAs respectively; development of

MoF Communication Strategy; development of a comprehensive training programme on change

management and result based management and; timeliness of PFMRP dialogue structure.

5 milestones (11%) were pending and while 17 (37%) milestones were delayed. These included:

ICT mapping exercise; MoF training mapping exercise; prolonged secretariat recruitment

exercise; Development of Action Plan on transition to accrual accounting by IAG and ACGEN

and mapping of system and process for intergovernmental transfer of funds. Only 1 milestone

was at risk status. Figure 5 below depicts the schematic presentation for KRA 5 status as at

June, 2013.

25

CHAPTER THREE

BUDGET EXECUTION

3.1 Funds Disbursement and Release

The approved budget for FY 2012/13 is Tshs. 33,597,704,853 of which Tshs. 3,996,904,853 is

Project fund, Tshs. 16,250,000,000 is Government fund and Tshs. 13,350,800,000 is Basket

Fund. Source of Basket Fund and the status on disbursement is shown in table 3.1 below.

Table 3.1: Basket Funds Disbursement by Development Partners for FY 2012/13

DPs Commitment Actual Disbursement

DP

DPs Local

Currency

(Million)

Amount

in (US

Million) Amount in Tshs Date

Amount

USD Amount in TZS

DFID 2.00GBP 3.20 4,960,000,000 29.11.2012

1,601,601 2,530,273,324

DFID 07.03.2013

1,500,001 2,364,387,645

KFW 0.69EUR 0.92 1,426,000,000 24.12.2012

1,059,467 1,673,057,313

Canada 1.00CAD 1.00 1,550,000,000 27.02.2013

974,374 1,538,777,640

DANIDA 13.01DKK 2.19 3,394,500,000 11.10.2012

1,992,197 3,140,160,677

Ireland 1.00EUR 1.34 2,077,000,000 05.10.2012

1,292,300 2,036,949,106

Sub

Total 8.65 13,407,500,000

8,419,940 13,283,605,705

Note: Foreign currency transactions have been translated at TZS 1,550 per US $ during the 2012/13 budget period, actual disbursements

have been translated using prevailing rate at the date of disbursement

3.2 Fund flows

The available Basket Fund in the holding account was Tshs. 14,364,243,894/= of which Tshs.

886,496,043 was opening balance, Tshs. 194,142,145/= was unspent balance returned by

components and Tshs. 13,283,605,705/= was disbursement by DPs. The amount released to

components was Tshs. 12,739,295,000/= as detailed in table 3.2 below.

26

Table 3.2: PFMRP Basket Fund Flows for FY 2012/13

Date Description

Amount in

USD Amount in Tshs.

01.07.2012 (a) Opening Balance

568,482

886,496,043

Add Inflows

Returned Unspent Balances

20.07.2012 Natural Resources 7,850 12,237,667

25.07.2012 Accountant General's Department 116,680 181,904,479

(b) Unspent Balance Total 124,530 194,142,145

DP Releases

05.10.2012 Ireland 1,292,300 2,036,949,106

11.10.2012 Royal Danish 1,992,197 3,140,160,677

29.11.2012 DFID 1,601,601 2,530,273,324

24.12.2012 KFW 1,059,467 1,673,057,313

27.02.2013 CIDA 974,374 1,538,777,640

07.03.2013 DFID 1,500,001 2,364,387,645

(c) DP Release Total 8,419,940 13,283,605,705

Funds Available (a+b+c) 9,112,952 14,364,243,894

Less Outflows

31.08.2012 Ministry of Finance-Vote 50 349,452 545,000,000


31.10.2012 PMO-RALG 63,932 100,000,000


14.11.2012 PMO-RALG 37,624 58,865,250

14.11.2012 Ministry of Finance-Vote 50 684,939 1,071,625,000


29.11.2012 National Audit Office 319,653 500,000,000

13.02.2013 Ministry of Finance-Vote 50 1,623,183 2,556,063,000



25.02.2013 Accountant General 1,122,493 1,780,830,000

25.02.2013 Ministry of Finance-Vote 50 1,308,606 2,076,097,000

28.02.2013 PMO-RALG 46,836 73,965,250



29.05.2013 PMO-RALG 322,079 512,169,500

27

18.06.2013 Ministry of Finance-Vote 50 689,866 1,099,325,000


Amount Transferred to Exchequer 8,070,870 12,739,295,000

Balance in The Holding Account as at 30 June,2013 1,042,082 1,661,787,850

Note: Holding Account Balance have been translated at Tshs 1,594.68 per US $ at 30 June 2013

During the period a total sum of Tshs 24,129,665,331 was released to components from

Government Fund, Basket Fund as well as Bilateral Projects. The release by sources was GoT

Tshs. 8,478,922,060/=, Bilateral Projects Tshs. 2,911,448,271/= and Basket Fund Tshs.

12,739,295,000/=

3.3 Actual Expenditure and Commitment

During the period actual expenditure and commitment amounted to Tshs. 19,456,556,160/=

being 81% of the total funds released. Actual expenditure and commitment by source was GoT

Tshs. 7,755,244,698/= being 91% of the released funds; Project Tshs. 2,300,718,540/= (79%)

and Basket Funds Tshs. 9,400,592,922/= being 74% of the released funds. Table 3.3 below

summarizes the overall funds release against actual expenditure for July 2012 to June 2013 while

table 3.4 shows the summary breakdown by component recipients.

Table 3.3: PFMRP IV Summary of Fund Release and Actual Expenditure and commitment

FY 2012/13

SOURCE OF

FUNDS

APPROVED

BUDGET

CUMMULATIVE

RELEASE

CUMMULATIVE

EXPENDITURE

AND

COMMITMENT

% ON

RELEASE

GOT 16,250,000,000 8,478,922,060 7,755,244,698 91%

P 3,996,904,853 2,911,448,271 2,300,718,540 79%

BF 13,350,800,000 12,739,295,000 9,400,592,922 74%

GRAND

TOTAL 33,597,704,853 24,129,665,331 19,456,556,160 81%

28

Table 3.4: PFMRP IV Fund Release against Expenditure and Commitment by component for FY 2012/13

S/N COMPONENT

SOURCE

OF FUND

APPROVED

BUDGET FY

2012/13 RELEASE

EXPENDITUR

E

COMMITED

FUNDS

TOTAL

EXPENDITUR

E AND

COMMITMEN

T

% ON

RELEASE

COMMENT

S ON

COMMITED

FUND


1

POLICY

ANALYSIS

DIVISION

GOT 500,000,000 252,000,000 204,614,260 - 204,614,260 81%

P 1,372,610,557 - - - -

BF 268,000,000 268,000,000 135,891,850 - 135,891,850 51%

SUB TOTAL 2,140,610,557 520,000,000 340,506,110 - 340,506,110 65%

2

PRIME

MINISTER'S OFFICE

REGIONAL

ADMINISTRATION AND

LOCAL

GOVERNMENT

GOT 300,000,000 - - - -

BF

745,000,000 745,000,000 745,000,000 - 745,000,000 100%

SUB TOTAL 1,045,000,000 745,000,000 745,000,000 - 745,000,000

100%

3

EXTERNAL

FINANCE

DIVISION

GOT 150,000,000 12,500,000 12,500,000 - 12,500,000 100%

P 95,530,473 95,530,473 95,530,473 - 95,530,473 100%

BF 115,000,000 115,000,000 - - - 0%

SUB TOTAL 360,530,473 223,030,473 108,030,473 - 108,030,473

48%

4

GOVERNMENT BUDGET

DIVISION

GOT 1,500,000,000 98,800,000 62,870,000 - 62,870,000 64%

- - - - -

BF 470,000,000 470,000,000 34,540,000 - 34,540,000 7%

SUB TOTAL 1,970,000,000 568,800,000 97,410,000 - 97,410,000 17%

5

MINISTRY OF

NATURAL RESOURCES

AND TOURISM BF 127,000,000 - - - -

SUB TOTAL 127,000,000 - - - -

29

S/N COMPONENT

SOURCE

OF FUND

APPROVED

BUDGET FY

2012/13 RELEASE

EXPENDITUR

E

COMMITED

FUNDS

TOTAL

EXPENDITUR

E AND

COMMITMEN

T

% ON

RELEASE

COMMENT

S ON

COMMITED

FUND

6

ACCOUNTANT GENERAL

DEPARTMENT

GOT 3,500,000,000 1,375,000,000 1,023,116,808 1,023,116,808 74%

BF 2,622,840,000 2,138,385,000 1,497,478,427 - 1,497,478,427 70%

SUB TOTAL 6,122,840,000 3,513,385,000 2,520,595,235 - 2,520,595,235

72%

7

PUBLIC

PROCUREMENT

REGULATORY

AUTHORITY

GOT 100,000,000 50,000,000 50,000,000 - 50,000,000 100%

P 2,032,520,000 2,319,673,975 1,708,944,244 - 1,708,944,244 74%

BF 1,317,188,000 1,317,188,000 1,317,188,000 - 1,317,188,000 100%

SUB TOTAL 3,449,708,000 3,686,861,975 3,076,132,244 - 3,076,132,244 83%

8

GOVERNMENT

ASSET

MANAGEMENT

GOT 200,000,000 50,000,000 44,296,796 44,296,796 89%

BF 1,378,572,000 1,378,572,000 204,836,950

591,102,665 795,939,615 58%

Signed

Contracts

SUB TOTAL 1,578,572,000 1,428,572,000 249,133,746

591,102,665 840,236,411 59%

9

INTERNAL

AUDITOR

GENERAL

DIVISION

GOT 300,000,000 - - - - TZS

485,364,980 Signed

Contracts and

TZS 395,935,020 Associated

costs

BF 1,323,050,000 1,323,050,000 373,957,935

881,300,000 1,255,257,935 95%

SUB TOTAL 1,623,050,000 1,323,050,000 373,957,935

881,300,000 1,255,257,935 95%

10

NATIONAL

AUDIT OFFICE

GOT 7,500,000,000 5,700,000,000 5,700,000,000 - 5,700,000,000 100%

P 469,097,486 469,097,486 469,097,486 - 469,097,486 100%

BF 1,654,850,000 1,654,800,000 1,654,800,000 - 1,654,800,000 100%

SUB TOTAL 9,623,947,486 7,823,897,486 7,823,897,486 - 7,823,897,486 100%

11

FINANCIAL

INFORMATION SYSTEMS

MANAGEMENT

GOT 600,000,000 206,750,000 192,206,211 - 0%

BF 243,000,000 243,000,000 128,315,352

69,888,096 198,203,448 82%

On-going

contract

SUB TOTAL 843,000,000 449,750,000 320,521,563

69,888,096 198,203,448 44%

30

S/N COMPONENT

SOURCE

OF FUND

APPROVED

BUDGET FY

2012/13 RELEASE

EXPENDITUR

E

COMMITED

FUNDS

TOTAL

EXPENDITUR

E AND

COMMITMEN

T

% ON

RELEASE

COMMENT

S ON

COMMITED

FUND

12

GOVERNMENT COMMUNICAT

ION UNIT

GOT 200,000,000 88,500,000 88,403,440 - 88,403,440 100%

BF 276,000,000 276,000,000 100,231,430 - 100,231,430 36%

SUB TOTAL 476,000,000 364,500,000 188,634,870 - 188,634,870 52%

13

ADMINISTRATI

ON AND

GENERAL

GOT 173,500,000 3,500,000 - - - 0%

BF 107,000,000 107,000,000 72,100,000 - 72,100,000 67%

SUB TOTAL 280,500,000 110,500,000 72,100,000 - 72,100,000 65%

14

PLANNING

DIVISION

GOT 864,000,000 379,372,060 343,064,861 - 343,064,861 90%

P 27,146,337 27,146,337 27,146,337 - 27,146,337 100%

BF 1,348,500,000 1,348,500,000 841,831,942

86,623,800 928,455,742 69%

On-going

contract

SUB TOTAL 2,239,646,337 1,755,018,397 1,212,043,140

86,623,800 1,298,666,940 74%

15

TREASURY REGISTRAR

GOT 300,000,000 200,000,000 198,593,103 - 198,593,103 99%

BF 372,800,000 372,800,000 320,345,000 - 320,345,000 86%

SUB TOTAL 672,800,000 572,800,000 518,938,103 - 518,938,103 91%

16

PUBLIC PROCUREMEN

T POLICY

DIVISION

GOT 62,500,000 62,500,000 27,785,430 - 27,785,430 44%

BF 482,000,000 482,000,000 170,101,550

166,734,000 336,835,550 70%

Signed

Contract

SUB TOTAL 544,500,000 544,500,000 197,886,980

166,734,000 364,620,980 67%

17 ZANZIBAR BF 500,000,000 500,000,000 8,325,925 - 8,325,925 2%

SUB TOTAL 500,000,000 500,000,000 8,325,925 - 8,325,925 2%

GRAND

TOTAL 33,597,704,853 24,129,665,331 17,853,113,810

1,795,648,561 19,456,556,160 81%

BY SOURCE

GOT 16,250,000,000 8,478,922,060 7,947,450,909 - 7,755,244,698 91%

31

S/N COMPONENT

SOURCE

OF FUND

APPROVED

BUDGET FY

2012/13 RELEASE

EXPENDITUR

E

COMMITED

FUNDS

TOTAL

EXPENDITUR

E AND

COMMITMEN

T

% ON

RELEASE

COMMENT

S ON

COMMITED

FUND

P 3,996,904,853 2,911,448,271 2,300,718,540 - 2,300,718,540 79%

BF 13,350,800,000 12,739,295,000 7,604,944,361

1,795,648,561 9,400,592,922 74%

32

CHAPTER FOUR

CHALLENGES AND RECOMMENDATIONS FOR NEXT PERIOD

Challenges

1. Late release of funds delayed the start of some critical activities. The DP disbursements were

received between October and late December, 2012. However, implementation of some

activities went on and the programme was in full swing by the end of December, 2012. As

such, actual expenditure will be captured in the next report. The challenges on delays of

operational funds release to components at the beginning of the fiscal year is anticipated to

be resolved under the new government budget cycle whereby, by end of June, the

Government Budget and Appropriation Bill will be approved by the Parliament for execution

from July 1st of each financial year.

2. The absence of the PFMRP GoT Secretariat to Support coordination. Given the absence, the

component managers showed dedication to ensuring activities were undertaken, challenges

addressed and information shared in TWGs and ad-hoc meetings.

Recommendations for next Financial Year (2013/14)

1. To build on the pace of PFMRP implementation, TWGs will continue to meet on a regular

basis to review emerging implementation constraints. Information sharing is to be enhanced

for smooth coordination to streamline Action Plan and Cash Flows.

2. Components are encouraged to undertake comprehensive capacity assessment in terms of

working tools and technical skills for the work load and nature of activities as per milestone

targets.

3. Linked to above, all stakeholders will begin to prepare the ground work (agreements) on the

possible revision of targets in the M&E framework so as to ensure that the process is

completed in time.

33

4. Given that a number of reform areas are dependent on legislative amendments, the TWGs

will endeavor to list their pending respective legislative so that top management can be

informed to take appropriate action.

It is anticipated that flow of operational funds to components will improve in the third quarter

and thus implementation pace will have fully picked up. Government is committed to strengthen

and improve coordination of PFM reform agenda and stakeholders are encouraged to take an

active role to support and embrace results-oriented reforms interventions. The DPs, basket fund

and project contributors, share a common interest in ensuring synergy of efforts and resources in

a view to facilitate a smooth implementation of the programme.

An important development and exercise for the next period will be the repeat (third) assessments

of the PFM system at both central and local government through the PEFA assessments. The

GoT, jointly with the DPs, is committed to applying PEFA as a means of monitoring

improvements in Public Finance Management (PFM) in the country. The assessment process and

the PEFA report will be monitored and endorsed by the PFMRP through the Joint Steering

Committee (JSC) with PEFA secretariat verification checks along the process.

34

Annex 1

PFMRP ANNUAL REPORT FOR FY 2012/13

PFMRP IV M&E RESULT FRAMEWORK 2012 – 2017

STATUS AS AT 30TH

JUNE 2013

CODE: MILE STONE DESCRIPTIONS STATUS

(State

whether

Achieved,

On track,

Delayed

Pending,

At Risk)

COMMENTS ON THE STATUS RESPONSIBLE

COMPONENT

KRA 1: Revenue Management

Output 1.1: Improved quality of forecasting of fiscal aggregates for three years on a rolling basis

1.1.1 Study on forecasting targets and actual

revenue collection by June 2013

Delayed It was agreed that the milestone was vague. As such; it

was to be discussed during the 2013 supervision mission

TWG and rephrased to capture the core subject and

objective of the milestone. Given the reports from the

CAG and and PFM do not help to show the extent of

problem (model or use of the model), the intention of the

study is to help to have a more realistic revenue

projection. TRA has indicated that it is ready to conduct

the study.

PAD

35

1.1.2 Recommendations from study on forecasting

targets and actual revenue collection informs

budget preparations for budget 2014/15.

Pending This milestone needs to be rephrased in right of the

above milestone.

PAD

1.1.3 A team of trainers in revenue forecasting

developed by June 2014 (The milestone to be

reviewed in line with recommendation from

the study)

On track The implementation of this activity was planned to be

done between April and June 2013. However, it was

postponed to July, 2013 due to other pressing activities in

regards to Budget preparation. 2 TRA and 1 external

consultant are on board to the 5 trainees selected. The

study still remains an important output in terms of

improving the training.

PAD

Output 1.2:The Government improves efficiency in domestic revenue mobilization both at the policy and the administration levels by

updating legal instruments towards international best practices

1.2.1 The study on Non Tax Revenue (NTR) -

“Integration and Harmonization of Revenue

Collection Systems” completed by November

2013.

On track The study is on progress. The consultant is in the field

collecting data.

PAD

1.2.2 Submission of a bill to Parliament to enact Tax

Administration Act for the purpose of

establishing a common tax procedure among

different taxes collected by Tanzania revenue

authority (TRA) by November 2013

At risk A draft of Tax Administration Bill has been submitted to

the cabinet for approval. It is expected that Cabinet

approval and Attorney General Verification will be done

in time for the Bill to be submitted to parliament

depending on parliamentary calendar.

PAD

1.2.3 Review laws, rules and regulations for local

government revenue system to improve LGA

own sources in line with best practice by June,

2016

Pending Progress on Local Government Finance Act revision as

per milestone 1.3.6. As the LGAs are governed by

different laws (such as The Local Government (District

Authority) Act CAP 287, The Local Government (Urban)

Act CAP 288 and the Urban Authority (Rating) Act CAP

289) and other rules and regulations such as the Local

PMO-RALG

36

Government Financial Memorandum, these may also

need to be amended/reviewed to accommodate the

changes made under Local Government Finances Act

No. 9.

1.2.4 Take policy action to improve revenue

mobilization from natural resource sectors by

June, 2014

On track ToRs for consultancy to recommend policy action have

been developed and await availability of funds. However,

MNRT has some made progress: review of different fees

and charges chargeable for different services (antiquities,

royalty fee for forest products) to reflect the market

price; introduction of Tourism Development Levy (TDL)

with first collection started this year expecting to

contribute the increase of revenue by about 10 billion

TZ; grading of hotels in Dar es Salaam, Arusha and

Manyara regions which facilitates correct charge of

TALA License as well as improving tourism facilities

database; follow - up visits to revenue collection areas

and training to about 230 revenue collectors on the

regulations governing revenue collection in natural

resources sector, rules and regulations of revenue

collection as per Public Finance Act 2001 (Revised 2004)

MNRT

1.2.5 The action plan to implement the

recommendations from review of non tax

collection developed and implemented by June

2016

On track The action plan will be developed once the study is

finalized. Revised milestone and an interim (new)

milestone have been developed and renumbered next to

non-tax study: “1.2.2 Action plan to implement the

recommendations from review of non-tax collection

developed by June 2014” and “1.2.3 Costed action plan

incorporated in FY2015/16 for implementation.

PAD

37

1.2.6 Computerized revenue collection to at least

50% of participating MDAs and LGAs by

2016

On track Almost 50% reached mainly in Wildlife and Tourism.

Computerization of revenue collection is as a result of

recommendations of non-tax studies done over the years.

The Ministry has established two Computerized Revenue

Collection Systems which are now in use in Photographic

Tourism and Hunting Tourism using its recurrent budget.

Hunting Tourism system was operationalised in July,

2012 while Photographic Tourism System came into use

in July, 2013. Also the Ministry is in last stages of

completion of Logs Tracking System which will be used

by Tanzania Forest Services. In the year 2013/2014 the

Ministry is expecting to establish Tourism Operators

Licensing System. This system is expected to start in

January, 2014. (Milestone to be changed following

forestry moving to separate agency: link to LGA revenue

collection was with forestry dept)

MNRT

1.2.7 New TR's Bill presented to the Parliament by

June 2013

Delayed The first draft of new TR Bill has been submitted to

Cabinet Secretariat for an initial review. The bill is

expected to be sent to parliament by June, 2013

TR

1.2.8 150 Parastatals' Act Reviewed to be in line

with the New TR Act by June 2014

On Track The review of the individuals’ Parastatals acts will begin

after the bill is passed. However areas of conflicts have

been identified and incorporate in the new TR act

TR

1.2.9 TR's Office Capacities enhanced by June 2015 On track 33 TR Staff attended short courses in 2012/13 TR

1.2.10 M& E system for Parastatals reviewed and

implemented by June 2015

On track

Establishment of monitoring framework is reliant on the

enactment on the new TR Bill. Given the timeframe for

the Bill there is optimism that the framework will be set

up by June 2014. Further, TR undertook review of 31

TR

38

financial regulations, 31 staff regulations, 32 schemes of

service, 3 voluntary agreements and 12 strategic plans.

The mission was informed that the TR Act will be more

stringent on compliance. It is recommended that the

TWG during the Supervision Mission reviews this

milestone together with 4.4.3 and 4.4.4 as these three

milestones seem to refer the same monitoring

framework/M&E system.

1.2.11 Review the current system of tax exemptions

with the value-added Tax (VAT) regime and

amend the VAT Act with a view to be in line

with international best practices by November

2014

On track The Cabinet paper for the VAT Act is being prepared

with support from IMF consultant. The draft bill will

shared to internal stakeholders for comments.

CPAD

Output 1.3: Strengthened capacity of local government authorities to collect revenue by 2015

1.3.1 Completed assessment and evaluation of

revenue potential for major sources of

revenue to all LGAs by June 2013

Delayed Survey conducted to identify major revenue potentials in

30 LGAs including Shinyanga MC, Tabora MC, Magu

DC, Urambo DC, Kahama/Ushetu DC, Bunda DC,

Mtwara MC, Lindi MC, Mtwara DC, Newala DC,

Nachingwea DC, Ruagwa DC, Songea MC, Mbeya CC,

Iringa MC, Mbinga DC, Mbarali DC, Mufindi DC, Ilala

MC, Morogoro MC, Mpwapwa DC, Mvomero DC,

Kibaha TC, Bagamoyo DC, Arusha CC, Moshi MC,

Monduli DC, Siha DC, Korogwe TC and Muheza DC.

The process of collecting field data and the preparation

of initial draft report was completed. The report is

expected to be completed before the end of August,

2013.

PMO-RALG

39

1.3.2 PMO - RALG staff and Finance Management

Officers at RS are trained in tax revenue plans

and budgets to spearhead LGAs tax reviews

and reforms, June 2013

Delayed Training has not been undertaken yet. The TORs for the

consultant to conduct the training are yet to be shared and

training is expected to be completed before Dec 2014. A

total of 8 personnel will be trained: 8 staff from

PMORALG and 4 staff from RAS.

PMO-RALG

1.3.3 Local Authorities Tax administration teaching

and practice modules established and TOT

completed for all finance management staff at

the regional levels by June 2014

On track The training modules and TOT are yet to be developed

as part of 1.3.2.

PMO-RALG

1.3.4 Four (4) revenue accountants, 3 Council

management team members and 1 FMO from

each LGA and RS are trained on own source

revenue management in every two years.

On Track The ToT will facilitate the training of LGA staff as a

Step-by-step approach: Study Develop training

modules Train the ToT team (PMORALG and RS)

Train LGA.

PMO-RALG

1.3.5 Establishment of known and clear revenue

data base by each source of revenue, presence

of trained personnel and a clear follow up

arrangement at PMORALG and RS levels by

June, 2014

Pending The database is supposed to be developed based on the

study and encompass sources, rates, potentials, budget,

and collection methods. There is need to agree on the

intermediate steps to be taken for establishment of a

revenue database and for PMORALG to unpack this

milestone to reflect the work that needs to be covered on

the ground.

PMO-RALG

1.3.6 Completed study on the effectiveness,

relevancy and sufficiency of the provisions of

the Local Government Finances Act No. 9 by

June, 2013

Delayed . PMORALG to provide more details on status of the

study (i.e., TORs development, etc). However, no funds

were released for this activity.

PMO-RALG

1.3.7 A bill for an act to amend the Local

Government Finances Act No.9 of 1982 is

finalized and submitted to the Cabinet by

February 2014

At risk This activity is dependent on the study (milestone above)

completion. However, no funds were released for this

activity.

PMO-RALG

40

Output 1.4: Increase of Donor funding that flows through the exchequer system by 2016

1.4.1 National framework for managing

development cooperation (JAST) be reviewed

and put in operation by December 2012

Delayed Following the change in the budget cycle, the responsible

authorities for formulation of DCF were pre-occupied by

the budget activities and so were compelled to postpone

finalization of new DCF to the year 2013. Final version

of DCF is expected in October, 2013.

EFD

1.4.2 Revised JAST and AMP user guideline clearly

communicated to both parties by December

2012

Delayed JAST user guidelines to be shared as soon as it is

completed. Training on updated AMP was conducted to

obtain feedback from users. This feedback will be used to

improve the user guidelines which are been revised.

Further, the milestone needs to be revised to relate only

to AMP user guidelines and not revised JAST (DCF)

guidelines

EFD

1.4.3 Analysis of the trends of the direct project

fund portfolio disbursed via exchequer system

published and shared annually by June 2015

On Track The annual report of trends was published. The PEFA

2013 report positively highlights that the use of country

PFM systems by donors has improved. However, both

the PEFA and the EFD emphasised that there is more that

needs to be done particularly in creating a clear

understanding to both DPs and Sector Ministries/Project

implementing agencies on the importance of having

project funds on government budget

EFD

41

KRA 2: Planning and Budgeting:

Output 2.1: Strengthened capacity of MDAs, RSs and LGAs in implementing program based budgeting by June 2016.

2.1.1 All Sub programs, program objectives and

performance indicators defined by December

2012

On track Programs and sub-programs have been (tentatively)

defined and objectives, outputs and performance

indicators were developed from MKUKUTA II and

FYDP. Eight ministries were involved in training as a

part of pilot phase in fiscal year 2012/13. These

ministries are Community Gender and Children, Ministry

of Finance, Ministry of Education and Vocational

Training, Ministry of Health and Social Welfare,

Ministry of Agriculture, Food Security, Cooperatives,

Ministry of Water and Ministry of Infrastructure.

GBD

2.1.2 Chart of Accounts modified to accommodate

program based budgeting by Aug 2013

Achieved Chart of accounts has been modified to accommodate

PBB.

GBD

2.1.3 MTEF reviewed to make program based

budget compatible by September 2014

On track Pilot MDAs reviewed their MTEF Plans GBD

2.1.4 Progress on the PBB Action plan

implementation annually

On track Continued to implement the Action Plan though it was

affected by the change of the budget cycle. The activities

lagging behind will be dealt with in the FY 2013/14

GBD

2.1.5 Completed phased training for all MDAs and

RSs by June 2014

On track Pilot MDAs were trained on the basic concepts of PBB

and reviewed their MTEF Plans based on PBB setting

GBD

2.1.6 Completed phased training for all LGAs by

June 2014

Pending The pilot for MDAs is still ongoing. The training for

LGAs will be decided at a later stage.

GBD

Output 2.2:Increased effective utilization of Planning and budgeting tools by 2016

2.2.1 MTSPBM reviewed by June 2013 Delayed Implementation of this activity was affected by the

implementation of the New budget Cycle; the division

GBD

42

intends to implement this activity in the FY 2013/14

2.2.2 Sixty MDAs, 21 RSs and 133 LGAs trained in

MTSPBM by June 2014

On track However, completion may be delayed as MoF is only at

the stage of developing a Training Budget Manual.

GBD

2.2.3 Reviewed MTSPBM to be applied during FY

2013/14

Pending To be applied in FY 2014/15 GBD

2.2.4 Annexes to budget book volume II for

Executive Agencies completed by June 2014

On track This milestone will be partially achieved by timeline, as

only some of the 133 public agencies will be covered by

June 2014. It will be included in the PBB Action Plan,

the level of detail required for these annexes is still under

discussion. MoF plans to organize training on MTEF to

public agencies

GBD

2.2.5 Action plan on implementation of

recommendations on budget legal framework

completed by June 2013

Delayed Mainly due to external constraints. Review of the Public

Finance Act is under process but the new Constitution is

likely to further delay it. The Local Government Finance

Act will also need to be changed, as it currently doesn’t

include IFMS. The PPP Act will also be changed. In

parallel, the Parliamentary Budget Committee is pushing

to have a separate Budget Act. Budget to advise on new

timeline.

GBD

2.2.6 At least 10 PER Main Dialogue meetings held

by June 2016

On track The PER process has been strongly revitalised since June

2012. The PER Champion Group has had regular

meetings on the on-going 5 studies and an annual

dissemination workshop is planned for beginning of

October 2014.

GBD

43

2.2.7 Phased training to MDAs, RSs and LGAs

Budget Committees on resources prioritization

and planning

On track Training for MDAs on Prioritization and Planning was

carried out and also MDAs were oriented to the New

budget cycle for their comments and implementation

GBD

2.2.8 Mechanism for quality assurance of Quarterly

Budget Performance Reports (level of detail,

timeliness, accuracy, consistency and

usefulness to decision makers, as well as for

budget transparency to citizens) established by

June 2013

Delayed GBD

Output 2.3: Strengthened capacity of LGAs for MTEF preparation by 2015

2.3.1 Proposal for budget information to be included

in the Budget guideline to be submitted to

National Budget Guideline committee by

October annually.

Achieved The process of collecting, scrutinizing and submitting all

LGAs own source budget information to National Budget

guideline Committee has successful been done.

PMO-RALG

2.3.2 Recommendations of various studies on LGAs

budget allocation formula reviewed by

December, 2012

Delayed There are significant delays in the review of the LGAs

budget allocation formulas. Analytical review has not

started yet, which puts at risk the whole sequence of

milestones.

PMO-RALG

2.3.3 Agreement on improvement of LGAs budget

allocation formulas among the sector Ministry

(PMORALG, MOF, PO-PSM and Sectors)


Delayed Pending achievement of 2.3.2. PMO-RALG

2.3.4 All LGAs budget allocation formulae reviewed

by June, 2014

Pending Pending achievement of 2.3.3 PMO-RALG

2.3.5 All reviewed LGAs budget allocation formulae

applied in the budget preparation during

2014/15 for the FY 2015/16 budget.

Pending Pending achievement of 2.3.4 PMO-RALG

44

2.3.6 Monitoring arrangements are in place for

measuring deviations in actual releases against

all formula-based allocations to LGAs by June

2015.

Pending Pending achievement of above milestones PMO-RALG

KRA 3: Budget Execution, Transparency and Accountability

Output 3.1 Improved public procurement performance by PEs by June 2015

3.1.1 Annual PPRA audit results confirm positive

trend on a yearly basis

On track Annual audit conducted and a preliminary result

indicates positive trend based on compliance and Value

for Money (VfM) audits in 30 PEs.

PPRA

3.1.2 Revised Procurement Implementation and

monitoring tools issued by December 2013

On Track A consultant has been hired to develop the Procurement

Implementation tools in line with the PPA,2011 and new

regulations which awaits approval of the Minister

PPRA

3.1.3 New Public Procurement Act, 2011,

Regulations and Tools disseminated to major

PE's and other stakeholders by December 2015

On track PPA, 2011 has been disseminated to 85 Board of

Directors and 189 Accounting officers of Public Entities.

PPA has been disseminated in in June and July 2013.

However, there are delays in the regulations given other

consideration to be incorporated in the PPA (e.g PPP

issues)

PPRA

3.1.4 Procurement Plans aligned with MDAs, LGAs

and Parastatals Institutional Strategic Plans by

June 2015

Achieved It has been mandatory that Public Procurement lan to be

part of the strategic plana and budget in the new PPA. A

3 days workshop was conducted for chairpersons of

LGAs council committees for Finance and planning do

deliberate on various procurement issues. 150

participants attended the workshop.

PPRA

3.1.5 Value for money procurement enhanced by

Framework contracts for common use items

and services by June 2017

On track A survey to update database on average prices of goods

and services in collaboration with GPSA is underway.

PPRA

45

3.1.6 PPRA operational and outreach capacity

strengthened by June 2014

On track A feasibility study for developing a permanent office in

Dar es Salaam has been done. Also procurement of

contractors for developing DSM and Arusha zonal

offices is on final stages. The Authority has requested

Municipal Councils, Ministry of Finance and GPSA for

allocation of office spaces in Mwanza, Dodoma and

Mbeya Regions for opening other offices.

There is a need to recruit 89/90 new staff to top the

current 52 staff. PPRA has requested a budget for new

staff and awaiting PO-PSM approval.

PPRA

3.1.7 All (393) PEs will have a fully functional

PMIS as a reporting tool for procuring entities

to report back to PPRA by Nov 2014

On track 610 Users from 299 PEs are now registered and use

PMIS

PPRA

3.1.8 e-procurement will start functioning as pilot

stage by Nov. 2016

On track Terms of reference for a consultancy has been developed

but will be finalized after approval of the new regulations

of PPA, 2011. A study tour will also be done by the

Board to learn from experiences of other countries.

PPRA

3.1.9 393 PEs audited by June 2013 Achieved 434 PEs were audited PPRA

3.1.10 Follow up audit of 100 PEs to be done

annually by 2016

On track This procurement audit for 2012/13 started in April 2013

and it is ongoing until end of August 2013.

PPRA

3.1.11 Annual Procurement Performance Evaluation

Report prepared and published annually

Achieved Annual Performance Evaluation Report for FY 2011/12

was prepared and submitted to the Minister in October,

2012.This report was submitted to the Parliament, PEs

and published PPRA website.

PPRA

Output 3.2: Strengthening public sector procurement by June 2015

3.2.1 Action Plan for implementing Public

Procurement Act is developed by December

Delayed The intention is for MoU with PPPD and PPRA to spell

out the cooperation so as to facilitate the PPA Action

PPRA

46

2012 (Milestone to be revised after finalization

of action plan)

Plan, harmonize and remove gaps.

3.2.2 New public procurement regulations prepared

and issued by June 2013

Delayed Parliament passed the PPA in 2011 and the draft of the

public procurement regulations has been prepared and

submitted to the Attorney General’s office for

verification. Following the minister’s finalization, the

regulation will be submitted to responsible parliamentary

committee.

PPD

3.2.3 Procurement training needs assessment

exercise completed by June, 2013

Delayed The consultant to carry out the exercise for LGAs (phase

I) has been hired and the inception report is under

preparation. The TOR for` MDAs (phase II) has been

submitted.

PPD

3.2.4 [300] procurement staff trained on public

procurement by June 2017 as per TNA.

Pending Pending. Will be done after completion of TNA exercise.

It was agreed that the number and type of training will be

revisited depending on the findings and

recommendations of the TNA. There may be need to

prepare for training modules given the TNA

recommendations.

PPD

3.2.5 Strategy on public procurement human

resource management developed and

disseminated by June, 2015

On track Zero draft for proposed PMU structure in the Public

Sector has been prepared using internal means instead of

using consultants.

PPD

3.2.6 Procurement and supplies staff database

maintained and updated by December, 2015

On track Data base information for 1,022 Public Procurement and

Supplies Staff have been verified (in Tanga and

Morogoro regions) and updated.

PPD

3.2.7 National procurement policy draft is finalized

by June 2013

Delayed The national procurement policy draft has been prepared

pending the accompanying implementation plan. The

national procurement policy draft will explain the PPA

and covers central and local government. A consultant

PPD

47

has been hired from University of Dar salaam and has

submitted a framework paper.

3.2.8 Stakeholders’ comments incorporated by June,

2013

Achieved Stakeholders’ meeting conducted and comments

incorporated in the draft National Procurement Policy.

PPD

3.2.9 PPDs' office and staff capacity enhanced by

June, 2013

On Track Eight PPD staff capacity enhanced with skills on public

policy formulation, implementation and evaluation.PPD

will offer training on public procurement policies for

those with relevant responsibilities. There are currently

17 staff in PPD.

PPD

3.2.10 -

3.2.17

The following milestones are related to the

final national procurement policy:

20 members of PPD staff equipped with

skills on public policy formulation,

implementation and evaluation by June,

2013

National procurement policy developed and

shared by December, 2014

National procurement policy (NPP) strategy

developed and implemented by June 2015

Printing and uploading the NPP on the

website by June, 2015

National procurement policy and

procurement law synchronized by June, 2015

Monitoring the implementation of the

National procurement policy by June, 2015

Evaluation and feedback of the

implementation of the National procurement

policy by June, 2016

On track On track. Will be done after completion of the National

Public Procurement Policy. The 2014 onwards targets for

the national procurement policy are all on track – targets

within reach.

PPD

48

1000 Stakeholders acquainted with the

National procurement Policy by June, 2016

Output 3.3:Strengthened capacity of MDAs Rs and LGAs in Cash Management by 2015

3.3.1 600 staff of MDAs and LGAs Trained on cash

Management using standardized materials by

June 30 2014( Milestones to be reviewed and

aligned after the East AFRITAC

recommendations on Cash and Banking

Arrangement Mission)

On track 271 staff from MDAs were trained on cash Management. ACGEN

3.3.2 Six bank accounts operated by each LGA by

December, 2013

Achieved Each LGA is now operating with six bank accounts ACGEN

Output 3.4: Strengthened Public Debt Management Capacity by 2015

3.4.1 The agreed actions arising from the Feb. 2012

World Bank debt management report shared

with key stakeholders by July 31, 2012

Achieved The report has been shared and it is available in the

Ministry of Finance website

PAD

3.4.2 Debt management policy developed and

shared by June 2013

Delayed

With technical support from the World Bank and the East

African MEFMI, MOF intends to conduct a debt

sustainability analysis (DSA), which covers both

domestic and external debt. The DSA output is expected

to serve as key inputs for the country’s new Public Debt

Management (PDM) Strategy that will guide the

government borrowing policy going forward.

PAD

3.4.3 Capacity of 50 Public Debt management staff

enhanced by June 2014

Pending

Despite funds not being available, capacity continues

adhoc basis (such as secondment of GoT to MEFIM on

risk management and another to WB HQ) while waiting

for PO PSM approval of new structure of DMO when a

PAD, ACCGEN

49

capacity building assessment will inform the capacity

needs. The new structure would include a middle office -

MO (PAD), front office -FO (BoT) and Back Office- BO

(ACGEN)

3.4.4 Reviewed Government Loans, Guarantees and

Grants Act by June 2014

On track

Review in progress. Team is drafting the revised Act

(combined with work on strategy). The draft will

incorporate provisions that will insure a greater control of

public indebtedness growth, and limit fiscal risks

stemming from contingent liabilities and also consider

possible conflicting legal frameworks under PPP Act and

Loans and Guarantees Act among others.

PAD

3.4.5 Debt Management department established by

June 2016.

On track

Despite funds not been released from basket funds,

waiting for presidential approval to operationalize and

provide the effective date for new DMO.

PAD

Output 3.5: Improved Integrity and content of government financial statements and migration from IPSAS cash Basis to

IPSAS accrual is progressing in accordance with the plans.

3.5.1 Completed review of the IPSAS guideline

issued by PMORALG in 2008/09 to

accommodate the recent IPSAS updates by

June 2013

At risk It will be reviewed next FY. The TWG ACGEN was not

clear on if the review is related to the financial statement

as there is no IPSAS guideline issued by PMORALG.

Does this milestone relate to the need for the accounting

manual or template? Or should this milestone be

transferred to PMORALG?

ACGEN

3.5.2 Training to MDAs, RSs and LGAs accounting

officers to develop awareness on IPSAS

Accrual by 2013

On track 320 people (chief accountants from MDAs, Public

Accounts Committee (PAC) members and staff from

foreign embassies) have been trained.

ACGEN

50

3.5.3 Capacity building to 250 staffs from MDAs,

RSs and embassies to enhance skills in IPSAS

Accrual by 2014.

Achieved 250 staff from MDAs and Embassies were trained e on

IPSAS accrual.

ACCGEN

3.5.4 Public Finance Act. of 2001 and regulations

reviewed to address migration to IPSAS

accrual by 2016

On track The work is in progress. The committee is still collecting

opinions from various stakeholders. A draft of the

revised PFA is ready and currently is being circulated for

Stakeholders ‘comments since August 2012. It includes

provisions for migration to IPSAS Accrual and other

considerations including CAG and others

ACGEN

3.5.5 Consolidated template of financial statements

to include MDAs, Rs, LGAs, Controlled

entities and GBEs developed by June 2016

On track Currently the template of financial statement of MDAs

and RS has been completed. The rest of entities will be

taken on board as per the road map.

ACGEN

3.5.6 250 government accountants in MDAs /LGAs

trained in IPSAS accrual and accrual modules

for Epicor by September 2013

Achieved Training was conducted on IPSAS Accrual basis to

MDAs, RS & Embassies accountants.

ACGEN

3.5.7 Plan for migration towards IPSAS Accrual

accounting is completed by December 2013.

Achieved The 5 year road map is in place and often upgraded to be

fully compliant to IPSAS.

ACGEN

3.5.8 Plan is approved for execution and stakeholder

information sessions have been completed by

January 2014

Achieved The plan has been approved and is in use. Awareness

been done to some of the stakeholders (e.g. PAC

members). Other groups will follow

ACGEN

3.5.9 All legislative and policy supports have been

identified by 31st Dec.2014

On track Some of the legislative and policy supports have been

identified such as accounting policy, PFA, Accounting

manual, LGF act and TR act. The committee is still

collecting opinions from various stakeholders

ACGEN

3.5.10 Milestones for the transition have been On track Pending the completion of milestone 3.4.5 (Review of ACGEN

51

identified and approved (E.g. Public Finance

Act of 2001 and Regulations) amendments by

October 2014

PFA and its Regulations) Some milestones have been

identified

3.5.11 Plan to integrate all Rs and LGAs operation

into centralized IPSAS accrual architecture is

completed and PMO-RALG is fully engaged

as stakeholder by 31st Dec.2014

Pending Currently the Government (Central) is migrating to

accrual basis of accounting before considering moving in

centralized IPSAS Accrual architecture with all

stakeholders.

ACGEN

Output 3.6: Improve accountability in management of Government asset management for supporting migration to IPSAS

Accrual

3.6.1 Uploading of 16 additional MDAs in EPICOR

by December 2012

Delayed Before establishment of GAMD, 20 MDAs were

intergraded in EPICOR, as such; an additional 16 MDAs

were uploaded (using in house expertise) in EPICOR

making to total 36. The task of verifying assets

importation documents after testing and final uploading

is scheduled to be completed by August, 2013

GAMD

3.6.2 Asset Management (tracking) software

acquired by March 2013

Delayed The consultant was hired to undertake installation of

asset management software before June, 2013. The

installation is foreseen to be completed before

September, 2013.

GAMD

3.6.3 40 staff(25) regional heads(RSVs) and 15 from

HQ) trained on asset management function by

December 2013

On Track 4 staff scheduled to attend training on asset management.

Training programme is available

GAMD

3.6.4 Asset Management Policy prepared and

submitted by June 2015

On Track Contract has been awarded and ongoing. Draft policy is

scheduled to be received by February 2014

GAMD

3.6.5 Valuation of Government assets in 34 MDAs

and Rs completed by June 2016

On Track With support of the consultant, drafted and waiting for

the fund release to embark on tender.

GAMD

3.6.6 Progress against target reported annually At risk Milestone to be redefined GAMD

52


Output 4.1: Increased coverage and quality of the internal audit functions by 2016

4.1.1 Operational plan developed and approved by

June, 2013

Achieved Operation Plan for 5 year 2013 – 2017 approved and

disseminated to all Internal Audit Units.

IAG

4.1.2 Internal Audit manual/guidelines, standards

and quality assurance improvement

programme in line with International

Standards will be in place by June, 2013

Achieved a) The manual was prepared. Consultant is

incorporating comments from stakeholders.

b) Quality assurance and improvement program

procedures (QAIP) manual was prepared, approved

and disseminated.

c) Consultant for preparing Audit Committees

guidelines selected.

d) Manuals for LGAs and MDAs have been reviewed

by consultants (August 2012) to ensure consistency

with the International Practice Framework (IPPF),

training has been provided on IPPF and inception

report was produced for guidelines on quality

assurance. Stakeholders’ consultation conducted.

IAG

4.1.3 Effective internal audit units and audit

committees established to all MDAs and

LGAs by June, 2016

On Track a) Training on business processes of EPICOR for 38

internal auditors in MDAs was conducted.

b) Consultant for training of IPSAS selected to allow for

understanding of how financial statements are

prepared.

c) Data of Audit committees and internal auditors

from193 MDAs and RSs were collected.

d) Quarterly Audit Committees minutes for FY 2012/13

and Annual Audit Committees reports for FY

2011/12 were reviewed.

e) Awareness workshop on roles of internal auditors for

IAG

53

226 stakeholders (Mayors, Council Chairpersons and

Internal Audit) was conducted.

f) Training on roles of internal auditors to 114 audit

committees’ chairpersons was conducted.

4.1.4 The Pilot stage of Computerized Audit will be

finalized by June 2014

On track -Procurement of audit software is at tendering stage.

-Training will be conducted after procurement of audit

software

IAG

4.1.5 Computerized Audit in place by June 2016. Pending IAG

4.1.6 550 internal auditors and other stakeholders

trained in risk management process and risk

based audit by June, 2017.

On track a) The contract for consultancy service to train 150

Head of departments and Audit committee Members

from MDAs and LGAs on risk management process

has been signed and training preparation is on

process.

b) The contract for consultancy service to train 160

internal auditors from MDAS and LGAs on risks

based audit, Governance and Controls has been

signed and training preparation is on process.

c) Technical team for review and streamline Risk

Management process in PFA has been selected.

d) Preparation for monitoring the implementation of the

Institutional Risk Management Framework in 20

MDAs and 30 LGAs is on process

IAG

4.1.7 Technical Audits are conducted for 70 Projects

by 2016

On track The baseline survey has been done, Training on technical

audits to Internal auditor to be conducted from July 2013

and consultant already engaged.

IAG

Output 4.2: Strengthened External audit functions by 2016

4.2.1 The committee report on needs of legal

amendments (existing laws) to contribute

Achieved An AFROSAI-E team elevated NAOT to level 3 of

AFROSAI-E capability model in early 2013. The

NAOT

54

towards reaching level 3 submitted to the

attorney General and awareness programs

conducted by December 2012

ambition is now to move towards level 4. As such, a

report on need to revise the Laws and Policies was

submitted to the Attorney General’s Office for action,

however with the ongoing Constitutional review, the

amendment of various laws will follow after the new

Constitution. NAOT submitted to the Constitutional

Review committee NAOT views on Articles related to

NAOT meanwhile addressing Independence of the CAG.

4.2.2 50% of auditors to be accommodated in NAO

own offices by 2014

On track Construction of Dodoma and Rukwa on going, Dodoma

(80%), Rukwa (50%). Procurement process for

identification a Consultant to supervise construction of

two office buildings in Iringa and Mara regions is in final

stage. Meanwhile CAG is renting offices in 5 regions

(Tabora, Mwanza, Iringa, Tanga and Dar es Salaam) and

there are 11 own offices in Dar es Salaam, Morogoro,

Dodoma, Singida, Shinyanga, Kilimanjaro, Arusha,

Manyara, Ruvuma, Mbeya and Lindi regions.

NAOT

4.2.3 300 Auditors trained on Risk Based Audit

and 200 in IT audit by 2014

On track 200 auditors have been trained on Risk Based Audit and

100 auditors have been trained on IT audit. The Risk

Based audit approach will be applied during the coming

audit (October 2013), at the same time the office has

created a group of IT auditors who eventually will form

IT audit unit.

NAOT

4.2.4 Two Value for Money audit reports to be

produced each year by NAO staff without

technical assistance from external consultant

by 2014.

Achieved More than 5 performance audits p.a. are being carried out

using internal coaching, providing a base to build on.

NAOT

55

4.2.5 300 Auditors trained on international

standards of auditing and full adoption of

International Audit Standards by 2014

Achieved 200 auditors have been trained on International Standards

of auditing and 100 senior officers have been trained on

quality assurance. The NAOT Regularity Audit Manual

has been up dated to comply with International

Standards. There is fully adoption of International

standards

NAOT

4.2.6 Closing of books of accounts for Parastatals

harmonized and audit modalities agreed by

2014.

On track Forum with 176 CEOs of Public bodies to discuss on

harmonization of closing of books of accounts and round

table with Board of Directors of Parastatals was

conducted. Decision to harmonize closing of books of

accounts needs time and more discussion at technical

level

NAOT

4.2.7 Audit methodology in line with ISSAIs

guidelines adopted by June 2013

Achieved Alignment of audit methodology is progressing well,

with guidelines already in place.

NAOT

4.2.8 Scoping study to ascertain the parameters of

the outstanding matters Database is completed

by November 2012

Delayed The scoping study has been completed. Data for the

outstanding audit recommendations has been collected,

analysis is on going

NAOT

4.2.9 Establish a database that will separate findings

(monetary and non monetary) and

recommendations including by age, and record

follow up actions by December 2013.

On track Creation of data base for tracking outstanding audit

recommendations is ongoing. Data has been collected

analysis including preparations of software requirements

is ongoing

NAOT

4.2.10 200 Auditors trained on audit commanding

language (ACL) and other audit based

software by 2014

Achieved 200 Auditors has been trained on ACL. The office has

created a group of IT auditors who eventually will form

IT audit unit.

NAOT

4.2.11 NAO Headquarter is connected to 10

Regional offices using WAN by 2014

Achieved 12 NAOT offices have been connected with WAN fiber

optics, the office is currently using intranet for internal

communication with the help of WAN

NAOT

56

4.2.12 Two of five Team mate modules applied in

auditing by October 2014

On track Application of Team Mate modules on track. Action plan

in place to activate four modules with support from NAO

Development project and PFMRP.

NAOT

Output 4.3: Improved transparency on audit report (Central, Local and Parastatals levels) to strengthen scrutiny and accountability)

4.3.1 Citizen audit reports available for the 4

General audit reports by June 2013 and

onward and on annual basis

On track The citizen audit report for 5 General audit reports in

Kiswahili language has been prepared internally and

printed. Dissemination is expected in Mid July 2013.

NAOT

Output 4.4:Improved Performance of Parastatals by June 2016

4.4.1 Ten (10) Parastatals signed Performance

Contracts with TR by June 2014

Pending

The templates are yet to be agreed with the 10

parastatals.

TR

4.4.2 Database on Parastatals set up and functioning

by December 2014

Achieved The TR’s database (TRIMS) developed need to be

transferred to the New TR Office at Samora and updated.

TR

4.4.3 Monitoring framework for Parastatals set up

by June 2014

On track Establishment of monitoring framework is reliant on the



up by June 2014. The Milestone has been proposed to be

changed/ merged with others (1.2.10 and 4.4.4).

TR

4.4.4 Mechanism for measuring Parastatals’

compliance rate developed by June 2014

On track Establishment of monitoring framework is reliant on the



up by June 2014. The Milestone has been proposed to be

changed/ merged with others (1.2.10 and 4.4.3).

TR

Output 4.5: Strengthened Capacity of oversight functions of Parliamentary Accounts Committees by 2016

4.5.1 Capacity building interventions to PACs

conducted

On track Training to members of Parliamentary Accounts

Committees (PAC and LAAC) on interrogation skills,

understanding of CAG reports and elementary

NAOT

57

understanding of Financial statements was conducted.

Tracking of implementation of projects was facilitated

and MPs visited a good number of projects.

KRA 5: Cross-Cutting Issues (Change Management and Programme Monitoring),

Output 5.1: Coordinate Integration, interfacing and rationalization of Government financial systems.

5.1.1 ICT mapping exercise showing location and

owners of all and peri-financial software

commenced with inception report published by

December 2012

Delayed ICT mapping exercise in progress. Draft report expected

in July, 2013.

FISM

5.1.2 Stakeholder coordination meetings held to

gather input and agree on cross functional

responsibilities for financial systems Planning

held on by December, 2012

Delayed A stakeholder workshop will be held to discuss the report

and recommendations arising from mapping exercise in

view of paving the way for a comprehensive action plan

towards integration option. Workshop to take place as

early as possible.

FISM

5.1.3 Sequenced, prioritized and costed action plan

to bring all GoT financial and peri-financial

software under one common Government

financial systems architecture with supporting

technical, infrastructure and management

structures completed and approved by the GoT

by June, 2013

Delayed It awaits a feasibility study report on ICT mapping on all

GoT financial and peri-financial software from the

consultant

FISM

5.1.4 Integration/Interfacing plan is engaged and

series of planned actions are being executed

and completed by October, 2015

On track. Target within reach. Awaits the process of action plan. FISM

5.1.5 IFMS infrastructure installed to new 34

LGAs, RSs and PMORALG institutions and

connected to central server at Dodoma and

MoF by June 2013

Delayed The process of selecting supplier and the signing of

contract terms for supplying IFMS infrastructure was

completed. The assignment is expected to be completed

at the end of August 2013.

PMO-RALG

58

5.1.6 MoF IFMS linked to PMO-RALG IFMS to the

immediate capture of the Approved Budget

and all Exchequer transfers to RSs and LGAs

respectively by June 2013.

Delayed There is need to recruit a consultant to create an

interface between the two EPICOR systems.

FISM/PMO-

RALG

5.1.7 Completed capacity building to key users of

IFMS from all LGAs, RS and PMORALG

institutions by June 2013.

On Track The initial stages with respect to this activity are in place.

The completeness of the whole processes is expected to

be on or before the end of 30th

September, 2013 as

promised.

PMO-RALG

5.1.8 Audit of IFMIs in LGAs conducted by June

2015

On track Target within reach PMO-RALG

Output 5.2: Utilization of EPICOR modules increased from seven to ten

5.2.1 EPICOR system upgrade complete by

December 2014

Achieved EPICOR system has been upgraded from version 7.3.5

to version 9.05 with 10 modules installed of which 6 are

activated

ACGEN

5.2.2 ACGEN Staff capacity enhanced by Dec.2014 On track Training to 40 ACCGEN staff. ACGEN

5.2.3 Training for IFMS end users on the upgraded

modules conducted by Dec 2014

On track Training in progress as 381 end users were trained on the

new version of EPICOR.

ACGEN

5.2.4 EPICOR is able to provide real-time

information to all LGAs on flow of funds by

July 2015

At risk Milestone to re-formulated PMO-RALG

Output 5.3: All software development and module upgrades are coordinated with the overarching plans for ICT

integration

5.3.1 FISM is operationalized and controls are put

in place to manage software acquisition and

development by December, 2012.

Delayed Server room has been modified to manage acquisition of

software and development, however FISM is still

working on the development of the strategy to control

stand alone software

FISM

59

5.3.2 FISM staff capacity enhanced by June, 2015. On Track 7 staffs have been trained on Data Center Infrastructure

Specialists, ICT Security, Database Management and

Data Center Operations Specialists

FISM

Output 5.4: Improved communication and public access to key fiscal information to stakeholders by 2016.

5.4.1 The Approved National Budget is published

on MOF website by September each year

On track Approved National Budget for 2012/13 published in the

website by September

GCU

5.4.2 Publish Citizens Budget by November each

year

Pending Late start of project implementation and late release of

fund for 2012/13 as such the citizen budget was not

published.

GCU

5.4.3 A Year-End Report (budget out turn)

comparing the actual budget execution to the

enacted budget is published on Ministry of

Finance website by October each year

Pending Budget out turn report for 2012/13 to be published in

November

GCU

5.4.4 MoF Communication Strategy developed and


Delayed The final draft of communication strategy has been

submitted to the ministry communication committee for

proof reading.

GCU

5.4.5 Fiscal Information and Budget Transparency

Publication Cycle developed and implemented

by June 2014

Pending Information is yet to be provided GCU

5.4.6 MoF website timely updated by June 2017 On track Website is regularly updated GCU

Output 5.5: Coordination and Standardization of PFM Training Achieved

5.5.1 Training mapping exercise completed by Dec

2012

Delayed Using In-house expertise, ToRs were developed for the

mapping exercise and finalized by Dec 2012. The

mapping was conducted and it covered 29 ministries, 14

regions and 28 district councils from selected regions.

The final report will be ready during the first quarter of

FY 2013/2014

DAHRM

60

5.5.2 Capacity building Plan developed and shared

with key Stakeholders by June 2013.

Delayed This milestone will be worked out in 2013/14 DAHRM

5.5.3 Two tracer studies conducted to measure the

impact of training and documented by June

2014 and 2016

Pending This milestone will be worked out in 2013/14 DAHRM

Output 5.6: PFMRP Component Managers are being guided by detailed multi-year operating plans

5.6.1 All activities are presented for inclusion in

PFMRP annual work plan are presented within

the context of a detailed multi-year operating

plans by June 2013

Achieved The 2012/13 PFMRP Annual Work plan (as well as five

year provisional work plan) includes activities that are

continually verified to be aligned with component

operational plans.

PD

Output 5.7: PFM activities are effectively planned and implemented

5.7.1 Capacity building Plan developed and shared

with key Stakeholders by Dec. 31, 2012

Delayed This milestone is been reported under milestone 5.5.2 PD/DAHRM

5.7.2 Training on Change Management and Strategic

Planning completed by December 2013

On track The Change Management Training was conducted at

ESAMI HQ to 150 staff from various MDAs.

Meanwhile, 30 Top Management staff from various

ministries was trained on the same by ESAMI in

Dodoma during Bunge Session in June, 2013.

PD

5.7.3 Results Based Management training has been

delivered to 60 PFMRP Component managers

by June 30, 2013.

Delayed Training will be conducted in 2013/14 PD

Output 5.8: Effective coordination of activities and support provided to the programme implementers

5.8.1 Secretariat procurement process completed by

July 2012

Delayed Half of the required Secretariat staff (procurement

specialist, Financial Expert and Communication

Specialist) had been recruited and already working. The

Program Coordinator, M & E Specialist and PFM

PD

61

Specialist are yet to be recruited.

5.8.2 Secretariat work plan is completed and

approved by JSC by December 2012

Delayed Waiting for other members of secretariat to be recruited PD

5.8.3 PFMRP Co-ordination secretariat facilitated

annually.

On track The PFMRP Secretariat was facilitated through provision

of office equipment, consumables, salaries, computers

and office.

ACGEN, PD

Out Put 5.9: PFM programme oversight and review is being guided by clearly defined milestones derived from an agreed M&E framework

5.9.1 Annual review and amendment of the M&E

framework to ensure ongoing congruence and

relevance annually by Nov 2012

On track The 2012 supervision mission recommended that a

thorough review of M& E framework would be more

suitable to be done following the 2013 PEFA results and

as part of 2013 Joint Supervision Mission. .

PD

Output 5.10 All major PFM reforms have been coordinated with and informed by relevant government and DP stakeholders groups

5.10.1 PFM information session completed to

disseminate results of: ICT mapping exercise,

ICT Harmonization Integration Plan by March

2013

Delayed The Information session for the ICT mapping exercise

and ICT Harmonization Integration Plan were not carried

out as planned.

PD

5.10.2 IAG action plan, ACGEN’s Plan to transition

to Accrual Accounting

On track The TWGs agreed to hold to hold awareness/information

sessions on various PFM themes (migration to IPSAS

accrual and creation of DMO) The information sessions

were not performed as planned

IAG , ACGEN’s

5.10.3 Minimum of one PFM reform information day

conducted for CSOs , DPs and GoT during

Public Service day annually by Dec.31st each

year

On track The PFM information session is planned to take place

with effect from 2013 December.

PD

62

Output 5.11: PFMRP implemented efficiently and effectively through result based management approach.

5.11.1 PFMRP implemented according to annual

work plan and milestones are being met

On track The PFMRP Annual work plan was implemented as per

the plan.

PD

5.11.2 Annual supervision mission are conducted by

Sept 30 of each year commencing 2012.

On track The 2012 Supervision Mission was carried out

successfully and the program rated as Satisfactory.

PD

5.11.3 Independent program evaluations are

completed in 2014

On track The evaluation is planned to take place in 2014. PD

5.11.4 Dialogue structures are working as evidenced

by combined DP/GoT Survey results (Survey

1-March 2013, Survey 2-March 2015 for

effective program implementation improved)

On track The dialogue has been on-going and working as required

within the PFMRP structure.

PD

5.11.5 Surveys to ensure that teams (KRA Teams

and JSC members) are actually working

completed, March 2013, March 2015 and

results informed to JSC for action.

On track The survey is planned to take place in the FY 2013/2014 PD

Output 5.12: National systems and process for intergovernmental transfer to LGAs streamlined and rationalized

5.12.1 TORs (for Streamlining and rationalizing

National systems and processes for

intergovernmental transfers to LGAs)

completed by July 2012.

Achieved The ToR was completed and the consultant procured. PD

5.12.2 Mapping commences September, 2012 Achieved The inception report for Mapping exercise was submitted

on February, 2013. The consultant is the field collecting

data

PD

5.12.3 Review and mapping of the systems and

processes for intergovernmental transfers

initiated with inception report finalized by

October 2012,

On track The exercise is on progress and the draft report is

expected in July, 2013.

PD

63

5.12.4 Comprehensive and sequenced action plan on a

recommendation of the mapping exercises on

the intergovernmental transfers finalized by

June 2013.

Delayed The activity was delayed due to delay of the report from

the consultant.

PD

5.12.5 Reports to be produced annually by end

September

Pending Reports to be produced after implementation of the

action plan.

PD

Output 5.13: Strengthened Public Financial Management Reforms in Zanzibar by 2017

5.13.1 Milestones developed and agreed after

discussion with Zanzibar and thereafter decide

on the support by September 2012

Delayed It is waiting development of the strategy ZANZIBAR

5.13.2 Zanzibar PFMRP Strategy developed by June

2013

Delayed Selection process for a consultant to support Zanzibar to

work on its strategic plan for PFM drawing on the

comprehensive PFM evaluation undertaken.

ZANZIBAR

64

Annex 2

FUND USE BY MILESTONE FOR THE YEAR 2012/2013

PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

KRA 1: REVENUE MANAGEMENT

Output 1.1:

Improved

quality of

forecasting of

fiscal

aggregates for

three years on a

rolling basis by

2015

Milestone 1.1.1. Study on forecasting targets and actual revenue

collection by June 2013

-

- CPAD

Milestone 1.1.2. Recommendations from study on forecasting

targets and actual revenue collection informs budget preparations for

budget 2014/15.

-

- CPAD

Milestone 1.1.3 A team of trainers in revenue forecasting developed

by June 2014 (milestone to be reviewed in line with

recommendations from the study)

112,000,000

59,500,000 CPAD

Sub Total 112,000,000 59,500,000

Output 1.2: The

Government

improves

efficiency in

domestic

revenue

mobilization

both at the

policy and the

administration

Milestone 1.2.1. The study on Non Tax Revenue (NTR)-“Integration

and Harmonization of Revenue Collection Systems” completed by

November 2013.

252,000,000

204,614,260 CPAD

Milestone 1.2.2. Submission of a bill to Parliament to enact Tax

Administration Act for the purpose of establishing a common tax

procedure among different taxes collected by Tanzania revenue

authority (TRA) by November 2013

63,000,000

52,000,000 CPAD

Milestone 1.2.3. Review Laws, rules and Regulations for Local

Government revenue system to improve LGA’s own sources in line

with best practices by June, 2016.

-

- PMORALG

65


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

levels by

updating legal

instruments

towards

international

best practices

Milestone 1.2.4.Take policy action to improve revenue mobilisation

from natural resource sectors by June 2014

-

- MNRT

Milestone 1.2.5 The action plan to implement the recommendations

from review of non tax collection developed and implemented by

2016

-

- CPAD

Milestone 1.2.6. Computerised revenue collection to at least 50% of

participating MDAs and LGAs by June 2016

-

- MNRT

Milestone 1.2.7: New TR's Bill presented to the Parliament by June

2013 230,000,000 189,290,000 TR

Milestone 1.2.8: 150 Parastatals’ Acts Reviewed to be in line with

the New TR Act by June 2016

-

- TR

Milestone1.2.9: TR’s Office Capacities enhanced by June 2014 342,800,000 329,648,103 TR

Milestone 1.2.10:M& E system for Parastatals reviewed and


-

- TR

Milestone 1.2.11: Review the current system of tax exemptions with

the value-added Tax (VAT) regime and amend the VAT Act with a

view to be in line with international best practices by November

2014

53,000,000

24,391,850 CPAD

940,800,000 799,944,213

Output 1.3:

Strengthened

capacity of local

Milestone 1.3.1 Completed assessment and evaluation of revenue

potential for all major own sources of revenue to all LGAs by June

2013

150,000,000

150,000,000 PMORALG

66


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

government

authorities to

collect revenue

by 2015

Milestone 1.3.2: PMO - RALG staff and Finance Management

Officers at RS to be trained in tax revenue plans and budgets to

spearhead LGAs tax reviews and reforms. June 2013

100,000,000

100,000,000 PMORALG

Milestone 1.3.3: Local Authorities Tax administration teaching and

practice modules established and TOT completed for all finance

management staff at the regional levels.

-

- PMORALG

Milestone 1.3.4 Four (4) revenue staff, 3 Council management

team members and 1 FMO from each LGA and RS are trained on

own source revenue management in every two years.

-

- PMORALG

Milestone 1.3.5 Establishment of known and clear revenue data base

for each source of revenue, presence of trained personnel and a clear

follow up arrangement at PMORALG and RS levels by June, 2014

-

- PMORALG

Milestone 1.3.6: Completed study on the effectiveness, relevancy

and sufficiency of the provisions of the Local Government Finances

Act No. 9 by June, 2013

31,500,000

31,500,000 PMORALG

Milestone 1.3.7: A bill for an act to amend the Local Government

Finances Act No.9 of 1982 is finalized and submitted to the Cabinet

by February 2014

36,300,000

36,300,000 PMORALG

317,800,000 317,800,000

Output 1.4:

Increase of

donor funding

Milestone 1.4.1: National framework for managing development co-

operation (JAST) be reviewed and put in operation by December

2012

108,030,473

108,030,473 CEF

67


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

that flows

through the

exchequer

system by 2016

Milestone 1.4.2: Revised JAST and AMP user guideline clearly

communicated to both parties by December 2012

115,000,000

- CEF

Milestone 1.4.3: Analysis of trends of direct project fund portfolio

disbursed via the exchequer published and shared annually by June

2015.

-

- CEF

223,030,473 108,030,473

KRA 2: BUDGETING AND PLANNING

Output 2.1

Strengthened

capacity of

MDAs, RSs and

LGAs in

implementing

program based

budgeting by

June 2016.

Milestone 2.1.1: All sub programs, program objectives and

performance indicators defined by December 2012

125,000,000

62,870,000 CB

Milestone 2.1.2: Chart of accounts Modified to accommodate

program based budgeting by August 2013

74,000,000

16,170,000 CB

Milestone 2.1.3: MTEF reviewed to make program compatible by

September 2014

28,800,000

- CB

Milestone 2.1.4: Progress on the PB Action Plan implementation - - CB

Milestone 2.1.5: Completed phased training for all MDAs and RSs

by 2014

39,000,000

18,370,000 CB

Milestone 2.1.6: Completed phased training for all LGAs by 2014 39,000,000 - CB

305,800,000 97,410,000

Output 2.2:

Increased

effective

utilization of

Milestone 2.2.1: MTSPBM reviewed by June 2013 57,000,000 - CB

Milestone 2.2.2: Sixty MDAs, 21 RSs and 133 LGA trained in

MTSPBM by June 2014 CB

Milestone 2.2.3: Reviewed MTSPBM to be applied during FY CB

68


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Planning and

budgeting tools

by 2016

2013/14

Milestone 2.2.4: Annexes to budget book volume II for Executive

Agencies completed by June 2014

61,000,000 CB

Milestone 2.2.5: Action plan on implementation of

recommendations on budget legal framework completed by June

2013

CB

Milestone 2.2.6: At least 10 PER Man Dialogue meetings held by

June 2016

125,000,000 CB

Milestone 2.2.7: Phased training to MDAs, RSs and LGAs Budget

Committees on resource prioritization and planning

20,000,000 CB

Milestone 2.2.8 Mechanism for Quality assurance (timeliness,

accuracy, consistency and usefulness to decision makers) established

by June 2013

40,000,000

- CPAD

303,000,000 -

Output 2.3:

Strengthened

capacity of

LGAs for

MTEF

preparation by

2015

Milestone 2.3.1: Proposal for budget information to be included in

the Budget guideline to be submitted to National Budget Guideline

committee by October annually.

42,575,000

42,575,000 PMORALG

Milestone 2.3.2 Recommendations of various studies on allocation

formula reviewed by December, 2012

47,844,000

47,844,000 PMORALG

Milestone 2.3.3 Agreement on improvement of budget allocation

formula among the Sector Ministries (PMO-RALG, MOF, PO-PSM

and Sectors) completed by June,2013

-

- PMORALG

69


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Milestone 2.3.4 All LGAs budget allocation formulae reviewed by

June, 2014

-

- PMORALG

Milestone 2.3.5 All reviewed LGAs budget allocation formulae

applied in the budget preparation during 2014/15 for the FY 15/16

budget.

-

- PMORALG

Milestone 2.3.6 Monitoring arrangements are in place for measuring

deviations in actual releases against all formula-based allocations to

LGAs by June 2015.

-

- PMORALG

90,419,000 90,419,000

KRA 3: BUDGET EXCUTION, ACCOUNTABILITY AND TRANSPARENCY

Output 3.1:

Improved public

procurement

performance by

Pes by 2015

Milestone 3.1.1: Annual PPRA audit results confirm positive trend

on a yearly basis

66,200,000

66,200,000 PPRA

Milestone 3.1.2: Revised procurement implementation and

monitoring tools issued by December 2013

88,100,000

88,100,000 PPRA

Milestone 3.1.3: New Public Procurement Act, 2011, Regulations

and Tools disseminated to major PEs and other key stakeholders by

December 2015

78,800,000

78,800,000 PPRA

Milestone 3.1.4: Procurement Plans aligned with MDAs, LGAs and

Parastatal Institutional Strategic Plans by June 2015

-

- PPRA

Milestone 3.1.5: Value for money procurement enhanced through

Framework contract in procurement of common use items and

services by June 2017

55,900,000

55,900,000 PPRA

70


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Milestone 3.1.6: PPRA operational and outreach capacity

strengthened by June 2014

1,819,091,921

1,819,091,921 PPRA

Milestone 3.1.7: All (393) PEs will have a fully functional PMIS as

a reporting tool for procuring entities to report back to PPRA by

Nov 2014

644,020,054

33,290,322 PPRA

Milestone 3.1.8: E- Procurement will start functioning as pilot stage

by Nov. 2016 -

- PPRA

Milestone 3.1.9: 393 PEs audited by June 2012

934,750,000

934,750,000 PPRA

Milestone:3.2.10: Follow up audit of 100 PEs to be done annually

by 2016

-

- PPRA

Milestone 3.1.11: Annual Procurement Performance Evaluation

Report prepared and published Annually

-

- PPRA

3,686,861,975 3,076,132,244

Output 3.2

Strengthened

public sector

procurement by

June, 2017

Milestone 3.2.1: Action plan for implementing PPA is developed by

December 2012 (Milestones to be revised after finalization of the

action plan)

-

- PPD

Milestone 3.2.2: New public procurement regulations prepared and

issued by June 2013

-

- PPD

Milestone 3.2.3: Procurement training needs assessment exercise

completed by June, 2013 178,000,000 21,711,800.00 PPD

71


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Milestone 3.2.4: [300] procurement staff trained on public

procurement by June, 2017 as per TNA

-

- PPD

Milestone 3.2.5: Strategy on public procurement human resource

developed and disseminated by June, 2015 73,000,000 64,525,230 PPD

Milestone 3.2.6:Procurement and supplies staff database maintained

and updated by December, 2015

25,500,000

3,176,200 PPD

Milestone 3.2.7: National procurement policy draft finalized by

June, 2013

-

- PPD

Milestone 3.2.8: Stakeholders’ comments incorporated by June,

2013

-

- PPD

Milestone 3.2.9: PPDs’ office and staff capacity enhanced by June,

2013

100,000,000

89,702,700 PPD

Milestone 3.2.10: 20 members of PPD staff equipped with skills on

public policy formulation, implementation and evaluation by June,

2013

-

- PPD

Milestone3.2.11: National procurement policy developed and

shared by December, 2014

64,000,000

18,771,050 PPD

Milestone3.2.12: National procurement policy (NPP) strategy

developed and implemented by June 2015

104,000,000

- PPD

Milestone3.2.13: Printing and uploading the NPP on the website by

June, 2015

-

- PPD

72


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Milestone3.2.14: National procurement policy and procurement law

synchronised by June, 2015

-

- PPD

Milestone3.2.15: Monitoring the implementation of the National

procurement policy by June, 2015

-

- PPD

Milestone 3.2.16: Evaluation and feedback of the implementation of

the National procurement policy by June, 2016

-

- PPD

Milestone 3.2.17: 1000 Stakeholders acquainted with the National

procurement Policy by June, 2016

-

- PPD

544,500,000 197,886,980

Output 3.3:

Strengthened

capacity of

MDAs, RSs and

LGAs in Cash

management by

2015

Milestone 3.3.1: 600 staff of MDAs and LGAs Trained on cash

Management using standardized materials by June 30 2014(

Milestones to be reviewed and aligned after the East AFRITAC

recommendations on Cash and Banking Arrangement Mission)

233,000,000

199,183,303 ACGEN

Milestone 3.3.2: Six bank accounts operated by each LGAs by

December 2013

-

- ACGEN

233,000,000 199,183,303

Output 3.4:

Strengthened

public debt

Milestone 3.4.1: The agreed actions arising from the Feb. 2012

World Bank debt management report shared with key stakeholders

by July 31, 2012

-

- CPAD

73


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

management

capacity by

2015

Milestone 3.4.2: Debt management policy developed and shared by

June 2013

-

- CPAD

Milestone 3.4.3: Capacity of 50 Public Debt staffs enhanced by

June 2014

-

- CPAD

Milestone 3.4.4: Reviewed Government Loans, Guarantees and

Grants Act by June 2014

-

- CPAD

Milestone 3.4.5: Debt Management department established by

June 2016

-

- CPAD

Output 3.5

Improved

contents and

quality of

financial

statements

through

migrating from

IPSAS Cash

basis to IPSAS

Accrual basis by

June 2016

Milestone 3.5.1 Completed review of the IPSAS guideline issued

by PMORALG in 2008/09 to accommodate the recent IPSAS

updates by June 2013

-

- ACGEN

Milestone 3.5.2 Training to the MDAs, RSs and LGAs accounting

officers to develop awareness on IPSAS Accrual by 2013

103,205,000

39,920,000 ACGEN

Milestone 3.5.3 Capacity building to 250 staffs from MDAS and

RSs and Embassies to enhance skills in IPSAS accrual by 2014

153,000,000

152,973,050 ACGEN

Milestone 3.5.4 Public Finance Act No.2001 and Regulations

reviewed to address migration to IPSAS accrual by 2016

30,000,000

- ACGEN

Milestone:3.5.5 Consolidated template of financial statements to

include MDAs,Rs,LGAs, Controlled entities &GBEs developed by

2016

29,000,000

- ACGEN

Milestone 3.5.6: 250 government accountants in MDAs /LGAs

trained in IPSAS accrual and accrual modules for Epicor by

September 2013

ACGEN

74


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Milestone 3.5.7 Plan for migration towards IPSAS Accrual

accounting is completed by December 2013.

31,633,800

7,813,800 ACGEN

Milestone 3.5.8 Plan is approved for execution and stakeholder

information sessions have been completed by January 2014

70,900,000

65,800,000 ACGEN

Milestone 3.5.9 All legislative and policy supports decisions have

been identified by December 2014

54,000,000

14,000,000 ACGEN

Milestone 3.5.10 Milestones for the transition have been identified

and approved Eg Public Finance Act No.2001 and Regulations

amendments by October 2014

-

- PMORALG

Milestone 3.5.11 Plan to integrate all RSs and LGAs operations

into the centralized IPSAS accrual architecture is completed and

PMO RALG is fully engaged as a stakeholder by 31 December 2014

-

- ACGEN

471,738,800 280,506,850

Output 3.6:

Improved

accountability

in management

of Government

Assets for

supporting

migration to

IPSAS Accrual

Milestone 3.6.1. Uploading of 16 additional MDAs in EPICOR by

December 2012

66,000,000

58,292,500 DGAM

Milestone 3.6.2. Asset Management(tracking) Software

installed and operational by March 2013

122,000,000

- DGAM

Milestone 3.6.3. 40 staff(25 regional heads(RSVs) and 15 from

HQ) trained on asset management function by December 2013

130,000,000

44,296,796 DGAM

Milestone 3.6.4. Asset Management Policy prepared and

submitted by June 2015

165,700,000

- DGAM

Milestone 3.6.5. Valuation of Govermnet assets in 34 MDAs and Rs


944,872,000

- DGAM

75


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Milestone 3.6.6.Progress against target reported annually. - - DGAM

1,428,572,000 102,589,296

KRA 4: BUDGET CONTROL AND OVERSIGHT

Output 4.1:

Increased

coverage and

quality of the

internal audit

functions by

2016

Milestone 4.1.1: Operational plan developed and approved by

December, 2013

-

- IAG

Milestone 4.1.2: Internal audit manual, guidelines, standards and

quality assurance as per international standards in operation by

June, 2013

369,000,000

174,427,435 IAG

Milestone 4.1.3: Effective internal audit units and audit committees

established to all MDAs and LGAs by June, 2016

153,800,000

51,300,000 IAG

Milestone 4.1.4: The pilot stage of Computerised Audit will be

finalized by June, 2014.

319,000,000

33,000,000 IAG

4.1.5 Computerised Audit in place by June 2016. - - IAG

Milestone 4.1.6: 550 internal auditors trained in risk management

process and risk based audit by June, 20167

364,500,000

99,693,000 IAG

4.1.7 Technical Audits are conducted for 70 Projects by June, 2016 116,750,000 15,537,500 IAG

1,323,050,000 373,957,935

Output 4.2:

Strengthened

External audit

functions by

Milestone 4.2.1: The committee report on needs of legal

amendments (existing laws) to contribute towards reaching level 3

submitted to the attorney General and awareness programmes

conducted by December 2012

150,000,000

150,000,000 CAG

76


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

2016 Milestone 4.2.2. 50% of Auditors to be accommodated in NAO

own offices by 2014

5,700,000,000

5,700,000,000 CAG

Milestone 4.2.3 300 Auditors trained on Risk Based Audit and

200 in IT audit by 2014

306,190,000

306,190,000 CAG

Milestone 4.2.4 Two Value for Money audit reports to be produced

each year by NAO staff without technical assistance from external

consultant by 2014.

29,939,020

29,939,020 CAG

Milestone 4.2.5 300 Auditors trained on international standards of

auditing and full adoption of International Audit Standards by

2014

293,339,402

293,339,402 CAG

Milestone 4.2.6. Closing of books of accounts for Parastatals

harmonized and audit modalities agreed by 2014.

50,000,000

50,000,000 CAG

Milestone 4.2.7 Audit methodology in line with ISSAIs guidelines

adopted by June 2013

322,675,741

322,675,741 CAG

Milestone 4.2.8 Scoping study to ascertain the parameters of the

outstanding matters Database is completed by November 2012

150,000,000

150,000,000 CAG

Milestone 4.2.9 Establish a database that will separate findings

(monetary and non monetary) and recommendations including by

age, and record follow up actions by December 2013.

-

- CAG

Milestone 4.2.10: 200 Auditors trained on audit commanding

language (ACL) and other audit based software by 2014

-

- CAG

Milestone 4.2.11: NAO Headquarter is connected to 10 Regional

offices using WAN by 2014

183,190,000

183,190,000 CAG

77


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Milestone 4.2.12: Two of five TeamMate modules applied in

auditing by October 2014

-

- CAG

7,185,334,163 7,185,334,163

Output 4.3:

Improved

transparency on

audit reports

(central, local

and parastatal

levels) to

strengthen

scrutiny and

accountability.

Milestone 4.3.1 Citizen audit reports available for the 4 General

audit reports by June 2013

204,190,000

204,190,000 CAG

Sub Total 204,190,000 204,190,000

Output 4.4:

Improved

Performance of

Parastatals by

June 2016

Milestone 4.4.1: Ten (10) Parastatals signed Performance Contracts

with TR by June 2014

- TR

Milestone 4.4.2: Database on Parastatals set up and functioning by

December 2014

-

- TR

Milestone 4.4.3: Monitoring framework for Parastatals set up by

June 2014

-

- TR

Milestone 4.4.4:Mechanism for measuring Parastatals’ compliance

rate developed by June 2014

-

- TR

78


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Sub Total

-

-

Output 4.5:

Strengthened

Capacity of

oversight

functions of

Parliamentary

Accounts

Committees by

2016

Milestone 4.5.1 Capacity building interventions to PACs conducted

434,373,323

434,373,323 CAG

434,373,323 434,373,323

KRA 5: CHANGE MANAGEMENT AND PROGRAMME MANAGEMENT

Output 5.1:

Coordinate

Integration,

interfacing and

rationalization of

Government

Milestone 5.1.1 ICT mapping exercise showing location and

owners of all and peri-financial software commenced with

inception report published by December 2012.

210,686,755

130,698,189 DFMIS

Milestone 5.1.2 Stakeholder coordination meetings held to gather

input and agree on cross functional responsibilities for financial

systems Planning held on by December, 2012

4,000,000

3,959,344 DFMIS

79


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

financial systems. Milestone 5.1.3: Sequenced, prioritized and costed action plan to

bring all GoT financial and peri-financial software under one

common ICT architecture with supporting technical, infrastructure

and management structures completed and approved by the GoT

by June, 2013

5,000,000

2,835,476 DFMIS

Milestone 5.1.4: Integration/Interfacing plan is engaged and series

of planned actions are being executed and completed by October,

2015

-

- DFMIS

Milestone 5.1.5: IFMS infrastructure installed to new 34 LGAs,

RSs and PMORALG institutions and connected to central server at

Dodoma and MoF by June 2013

253,960,000

253,960,000 PMORALG

Milestone 5.1.6: MoF IFMS linked to PMO-RALG IFMS to the

immediate capture of the Approved Budget and all Exchequer

transfers to RSs and LGAs respectively by June 2013.

-

- PMORALG

Milestone 5.1.7 Completed capacity building to key users of

IFMS from all LGAs, RS and PMORALG institutions by June

2013.

82,821,000

82,821,000 PMORALG

Milestone 5.1.8 Audit of IFMIs in LGAs conducted by June 2017 - - PMORALG

556,467,755 474,274,009

Output 5.2:

Utilization of

EPICOR Modules

increased from

Milestone 5.2.1: EPICOR system upgrade completed by

December 2014

350,000,000

350,000,000 ACGEN

Milestone 5.2.2 ACGEN staff capacity enhanced by Dec 2014.

119,000,000

112,000,000 ACGEN

80


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

four two to six

modules

Milestone 5.2.3 Training for IFMS end users on the upgraded

modules conducted by December 2014

98,021,200

96,806,300 ACGEN

Milestone 5.2.4 EPICOR is able to provide real-time information

to all LGAs on flow of funds by July 2015

59,700,000

- ACGEN

626,721,200 558,806,300 -

Output 5.3: All

software

development and

module upgrades

are coordinated

with the

overarching plans

for ICT

integration.

Milestone 5.3.1: DFISM is operationalized and controls are put in

place to manage software acquisition and development by

December, 2012.

81,000,000

48,417,742 DFISM

Milestone 5.3.2: DFISM staff capacity enhanced by June, 2015.

149,063,245

134,610,812 DFISM

230,063,245 183,028,554

Output 5.4:

Improved

communication

and public access

to key fiscal

information to

stakeholders by

2016

Milestone 5.4.1: The Approved National Budget is published

on Ministry of Finance website by September each year

10,000,000 GCU

Milestone 5.4.2: Publish Citizens Budget by November each year. 100,000,000 GCU

Milestone 5.4.3:A Year-End Report (budget out turn) comparing

the actual budget execution to the enacted budget is published on

Ministry of Finance website by October each year

12,000,000 GCU

Milestone 5.4.4:MoF Communication Strategy developed and


154,500,000

188,634,870 GCU

81


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Milestone 5.4.5: Fiscal Information and Budget Transparency

Publication Cycle developed and implemented by June 2014

72,000,000 GCU

Milestone 5.4.6: MoF website timely updated by June 2017

16,000,000 GCU

364,500,000 188,634,870

Output 5.5:

Coordination and

Standardization of

PFM Trainning

Achieved.

Milestone 5.5.1: Training mapping exercise completed by Dec

2012

107,000,000

72,100,000 DAHRM

Milestone 5.5.2: Capacity building Plan developed and result

measurement framework shared with key Stakeholders by June

2013

3,500,000

- DAHRM

Milestone 5.5.3: Two tracer studies conducted to measure impact

of training and documented by June 2014 and June 2016

-

- DAHRM

110,500,000 72,100,000

Output 5.6:

PFMRP

component

Managers are

being guided by

detailed multi-

year operating

plans.

Milestone 5.6.1: . All activities presented for inclusion in PFM RP

annual work plan are presented within the context of a detailed,

multi year operating plans by June 2013

61,000,000 54,089,000 DPD

61,000,000 54,089,000

82


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Output 5.7:PFM

activities are

effectively

planned and

implemented.

Milestone 5.7.1: Capacity building Plan developed and shared

with key Stakeholders by Dec. 31, 2012 - - DPD

Milestone 5.7.2: Training on Change Management and Strategic

Planning completed by Dec.31/13 230,372,060 230,372,260 DPD

Milestone 5.7.3: Results Based Management training has been

delivered to 60 PFM RP Component managers by June 30,2013 202,146,337 201,201,267 DPD

432,518,397 431,573,527

Output 5.8

Effective

coordination of

activities and

support provided

to the program

implementers

Milestone 5.8.1: Secretariat procurement process completed by

June 31/12 120,000,000 102,832,000 DPD

Milestone 5.8.2: Secretariat workplan is completed and approved

by JSC by December 2012 - - DPD

Milestone 5.8.3 PFMRP coordinate secretariat facilitated annually 494,545,000 277,390,672

DPD/ACGE

N

Improved Financial Management in LGA by June, 2015 491,380,000 334,981,974 ACGEN

Office Accomodation constructed/rehabilitated in all zones by june

2013 1,375,000,000 1,023,116,808 ACGEN

2,480,925,000 1,738,321,454

83


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Output 5.9 PFM

Program oversight

and review is

being guided by

clearly defined

Milestones

derived from an

agreed M&E

framework

Milestone 5.9.1: Annual review and amendment of the M&E

framework to ensure ongoing congruence and relevance annually

byNovember 2012.

50,000,000 - DPD

50,000,000 - DPD

Output 5.10 All

major PFM

reforms have

been coordinated

with and informed

by the relevant

government and

DP stakeholder

groups

Milestone 5.10.1: PFM information session completed to

disseminate results of: ICT mapping exercise, ICT Harmonization

Integration Plan

IAG action plan, AccGen’s Plan to transition to Accrual

Accounting conducted by March 31/13

130,000,000 - DPD

Milestone 5.10.2: IAG action plan, ACGEN's Plan to transition to

Accrual Accounting - -

IAG/ACGE

N

Milestone 5.10.2: Dec.31st each year Minimum of one PFM

reform information day conducted for CSOs , DPs and GoT during

Public Service day annually by Dec. 31st each year

94,000,000 59,073,370 DPD

224,000,000 59,073,370

84


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

Output

5.11:PFMRP

implemented

efficiently and

effectively

through result

based

management

approach.

Milestone 5.11.1: PFMRP im plemented according to annual

workplan and milestones are being met

96,000,000

96,000,000 DPD

Milestone 5.11.2: Annual supervision mission are conducted by

Sept 30 of each year commencing 2012. Independent program

evaluations are completed in 2014

74,000,000

74,000,000 DPD

Milestone 5.11.3: Independent program evaluations are completed

in 2014

95,000,000

50,000,000

Milestone 5.11.4: Dialogue structures are working as evidenced

by combined DP/GoT Survey results (Survey 1-March 2013,

Survey 2-March 2015 fr effective program implemetation

improved)

81,500,000

79,335,371 DPD

Milestone 5.11.5:Surveys to ensure that teams ( KRA Teams and

JSC members)nare actually working completed, March 2013,

March 2015 and results informed to JSC for action.

88,000,000

- DPD

434,500,000 299,335,371

Output 5.12:

National systems

and processes for

intergovernmental

transfers to LGAs

Streamlined and

Milestone 5.12.1: TORs completed by July 2012. 30,000,000 30,000,000 DPD

Milestone 5.12.2: Mapping commences September 2012. - - DPD

Milestone 5.12.3: Mapping commences September 2012. - - DPD

Milestone 5.12.3: Review and mapping of the systems and

processes for intergovernmental transfers initiated with inception

report finalised by October 2012

224,000,000

81,749,200 DPD

85


PFM

OUTPUT MILESTONE

Amount in Tsh

RESP. RECEIVED

AMOUNT

ACTUAL

EXPENDIT

URE

rationalized Milestone 5.12.4: Comprehensive and sequenced action plan on a

recommendation of the mapping exercises on the

intergovernmental transfers finalized by June 2013.

-

- DPD

Milestone 5.12.5: Reports to be produced annually by end

September. DPD

254,000,000 111,749,200

Output 5.13

Strenthen Public

Financial

Management

Reforms in

Zanzibar by June

2016

Milestone 5.13.1 Milestones developed and agreed after

discussion with Zanzibar and thereafter decide on the support by

September 2012

-

-

Milestone 5.13.2 Zanzibar PFMRP Strategy Developed by June

2013

500,000,000

8,325,925

ACGEN-Z

/OCAG

500,000,000 8,325,925

24,129,665,331 17,706,569,360

86

Annex 3

ANNUAL PROCUREMENT PROGRESS REPORT

FOR THE PERIOD 2012/13

1 2 3 4 5 6 7 8 9

Procurement

Reference

No.

Tender No. Description Local (Tshs.) Foreign (Tshs) Total amount

(Tshs)

Contract

Price (Tshs)

Selection

Method

Implementation

status as on 30th

June, 2013

1.01 Development, installation and

operationzalize of a non taxed revenue

collection system -

58,000,000

58,000,000

IC Draft ToR done but

was postponed until

next FY

1.02 Undertake a study to identify major

revenue sources at LGAs -

150,000,000

150,000,000 N/A

QCBS Done internally

1.03 Undertake 10 PER thematic studies conducted

-

80,000,000

80,000,000

CQ Not initiated

1.04 AE/018/2012-

13/HQ/C/08

Revise Standard Bidding documents and

other Procurement Implementation tools in

line with PPA, 2011 -

36,350,000

36,350,000

58,550,000

IC Contract signed and

implementation on

progress

1.05 AE/018/2012-13/HQ/C/07

Carry out procurement audits to determine the level of compliance to the PPA -

934,750,000

934,750,000 Various

IC Contract signed and

implementation on

progress

1.06 AE/018/2012-

13/HQ/C/011

Survey and update database on average

prices of goods and services in collaboration with GPSA

-

55,900,000

55,900,000 40,500,000

IC Negotiation in

progress

1.07 Prepare JAST II and AMP user guidelines

and disseminate 115,000,000 -

115,000,000

ISS Not initiated

1.08 Conduct Training Needs Assessment for TRs -

142,800,000

142,800,000

QCBS Not initiated

1.09 ME/004/2012-

13/HQ/C/26

Conduct capacity and training needs

assessment for Procurement and Supplies Staff in the Government Sector

19,000,000

159,000,000

178,000,000 166,734,000

QCBS Contract signed and

implementation on

progress

1.10 Develop human resource structure for

procurement and supplies staff in the

public sector 8,000,000

65,000,000

73,000,000

To be

undertaken

internally

CQ

1.11 ME/004/2010-

11/HQ/C/15

Preparation of Public Procurement Policy 10,000,000

33,000,000

43,000,000 66,715,000

On-going On-going

87

1 2 3 4 5 6 7 8 9

Procurement

Reference

No.


(Tshs)

Contract

Price (Tshs)

Selection

Method

Implementation

status as on 30th

June, 2013

1.12 Review public procurement systems -

20,000,000

20,000,000

IC Postponed until when the new PPA is out.

1.13 Provide Consultation and training on debt

management legal framework -

278,000,000

278,000,000

QCBS Not initiated

1.14 ME/004/2012-13/HQ/C/03

Development of Assets Management Policy 15,700,000

150,000,000

165,700,000 83,625,000

QCBS Contract signed

1.15 ME/004/2012-13/HQ/C/02

Valuation of Government assets 15,700,000

866,000,000

881,700,000

(i) 205,830,940,

(ii) 238,727,275

QCBS On-going

1.16 ME/004/2012-

13/HQ/C/14

Uploading 16 MDAs in EPICOR 16,000,000

50,000,000

66,000,000

SS Done internally

1.17 ME/004/2012-

13/C/19

Review and streamline Risk Management

process in PFA -

71,000,000

71,000,000

CQ Done internally

1.18 ME/004/2012-

13/HQ/C/11

Conduct mapping exercise on software and

hardware infrastructure 155,000,000

157,000,000

312,000,000 116,480,160

QCBS Assignment on

progress. Draft report

expected in July, 2013

1.19 ME/004/2012-13/HQ/C/23

Develop MoF communication strategy 200,000,000

66,000,000

266,000,000

266,000,000 QCBS On-going

1.20 Conduct TNA and mapping exercise for

PFM training 15,000,000

80,000,000

95,000,000

CQ Done internally

1.21 Conduct annual financial Audit -

45,000,000

45,000,000

CQ Done by NAO

1.22 Conduct annual procurement Audit -

50,000,000

50,000,000

CQ Not done

1.23 ME/004/2012-

13/HQ/C/21

Conduct Surveys to ensure the KRA

teams and JSC Members are actually working

-

88,000,000

88,000,000

CQ Not initiated

1.24 ME/004/2012-

13/HQ/C/07

Undertake study and review the system

and process of fund transfers to MDAs, RSs and LGAs

-

224,000,000

224,000,000 144,373,000

QCBS Assignment is in

progress. Draft report expected in July, 2013

1.25 ME/004/2012-

13/HQ/C/17

Train internal auditors on how to audit

development projects -

20,000,000

20,000,000 132,000,000

IC Contract signed

1.26 Facilitate 3 stakeholders workshop on the new TR draft Bill

-

15,000,000

15,000,000

IC Not initiated

1.27 Facilitate consultative meeting with key

stakeholders to identify legislative and

policy supports

-

14,000,000

14,000,000

IC Not initiated

88

1 2 3 4 5 6 7 8 9

Procurement

Reference

No.


(Tshs)

Contract

Price (Tshs)

Selection

Method

Implementation

status as on 30th

June, 2013

1.28 Facilitate PFMRP Co-ordination Unit -

700,000,000

700,000,000

IC Public Service Recruitment

Secretariat

1.29 Improvement of Financial reports in

LGAs -

200,220,000

200,220,000

QCBS Done internally

1.30 Set out systems to ensure proper

management and control of revenue

collections and reporting in the LGAs -

169,000,000

169,000,000

QCBS Not initiated

1.31 Development of Debt Management Policy -

263,200,000

263,200,000

QCBS Not initiated

1.32 Engage a consultant for the development

and implementation of the plan (to move

from IPSAS Cash Basis to IPSAS Accrual) -

50,000,000

50,000,000

IC Not initiated

1.33 IE/031/2009-10/HQ/C/01

Build capacity on development of business operations and support for the Government

IFMS -

202,520,000

202,520,000

392,400,000

QCBS Contract signed

1.34 Train IFMS end users on the upgraded

modules -

94,000,000

94,000,000

SS Undertaken internally

1.35 Construction of two office buildings 400,000,000 -

400,000,000 400,000,000

On-going On-going

1.36

(IE/001/NAO/HQ/C/2012-13/12)

Train 200 auditors on Risk based audit

-

154,000,000

154,000,000 *

CQ Done through PPRA

1.37 Train 100 auditors on IT audit -

146,000,000

146,000,000 *

IC Done through PPRA

1.38 IE/001/NAO/HQ/C/2012/2013/22

Conduct special audit of National budget -

123,000,000

123,000,000 *

CQ Evaluation stage

1.39 Establish system (electronic database) for

tracking ongoing and outstanding audit recommendations

-

150,000,000

150,000,000

QCBS Not initiated

2.01 Servers and computer software -

69,000,000

69,000,000

NCB Not initiated

2.02 ME/022/2012/20

13/NC/11

Information technology and office

equipment -

175,000,000

175,000,000 78,956,000*

NCB Negotiation stage

89

1 2 3 4 5 6 7 8 9

Procurement

Reference

No.


(Tshs)

Contract

Price (Tshs)

Selection

Method

Implementation

status as on 30th

June, 2013

2.03 Information technology and office equipment - Computers, printers and

scanners, Photocopiers; Filing Cabinets;

Air Conditioner

-

26,500,000

26,500,000

NCB Done

2.04 Furniture -

6,000,000

6,000,000

NS Done

2.05 Information technology and office

equipment - Computers and scanner -

19,500,000

19,500,000

GPSA Done

2.06 Scientific Equipment -

9,000,000

9,000,000

NS Done

2.07 Information technology and office equipment - Computers, photocopier

45,000,000 -

45,000,000

GPSA Done

2.08 Office equipment and furniture and air conditioners 6,500,000 -

6,500,000 *

GPSA Done

2.09 ME/004/2012-13/HQ/G/9

Motor vehicles -

100,000,000

100,000,000

NCB Not initiated

2.10 Motor vehicles -

100,000,000

100,000,000

NBC Not initiated

3.01 ME/004/2012-

13/HQ/G/08

Acquisition of software and installation of

Assets Management(tracking) software-

ASSET AUDITOR 4,000,000

118,000,000

122,000,000 62,919,450

NCB Done*

3.02 Update SBAS tool to enhance resource

allocation -

20,000,000

20,000,000

On-going Not initiated

3.03 Acquisition of audit software tools and

license fees -

140,000,000

140,000,000

NCB Tender processed but

was later nullified for re tendering

3.04 Installation and connection of gadgets for

Wide Area Net work to regional Offices -

177,000,000

177,000,000 177,000,000*

NCB Done

3.05 ME/022/2012/2013/NC/11

Install and service set up and connection of the system -

79,000,000

79,000,000

75,000,000* NCB

3.06 IE/031/2013-

13/HQ/C/28

Upgrading of Epicor from version 7.3.5 to

version 9.05 with three additional modules -

350,000,000

350,000,000 199,939,200

SS On-going

4.01 Refurbishment of Zonal offices in Arusha,

Iringa and Mwanza 100,000,000 -

100,000,000

NCB Not initiated

90

1 2 3 4 5 6 7 8 9

Procurement

Reference

No.


(Tshs)

Contract

Price (Tshs)

Selection

Method

Implementation

status as on 30th

June, 2013

4.02 Construction of two office buildings

7,000,000,000 -

7,000,000,000 *

NCB On-going. Sumbawanga 50%,

Dodoma 80% of works

accomplished

4.03 Construction of office accommodation in

Dodoma Sub-Treasury

3,500,000,000 -

3,500,000,000 *

NCB 95% of construction

completed.

Construction of worth Tshs. 698,204,848

done.

1.40 Develop and implement Zanzibar PFMRP

Strategy -

500,000,000

500,000,000

QCBS ToRs development on

progress

17 ME/004/2012-

13/HQ/C/12

Audit Committee Guidelines for Audit in

Public Sector 199,000,000 199,000,000 90,819,936 Contract signed

18 ME/004/2012-

13/HQ/C/15

Training to Audit Committees' members of

institutions in public sector 0 112,572,000 Contract signed

19 ME/004/2012-

13/HQ/C/18

Training on risk based audit, governance

and control of Internal Auditors from

MDAs and LGAs 137,000,000 137,000,000 68,340,000

Contract signed

20 ME/004/2012-

13/HQ/C/20

Training on risk management to head of

Departments and members of audit

committees of MDAs and LGAs 106,000,000 106,000,000

27,390,000

Contract signed

21 ME/004/2012-13/HQ/C/`16

To acquire and train internal auditors and the usage of Audit Software tools 319,000,000 319,000,000 140,000,000

Contract signed

21 ME/004/2012-13/HQ/C/14

To train internal auditors and the usage of Audit Software tools

69,000,000 69,000,000 50,634980 Contract signed

FINAL - tzdpg.or.tzANNUAL PROGRESS REPORT FOR FY 2012/13 FINAL CONTACT: Permanent Secretary Ministry...

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