Mandating Procedures of Provinces Act, 2008
R 385
Political Party Funding Act, 2018 (Act No. 6 of 2018)SchedulesSchedule 2 : Regulations on Political Party Funding, 2017 |
| 1. | Definitions |
In these regulations a word or phrase to which a meaning has been assigned in the Act has that meaning, and, unless the context otherwise indicates—
"allocated moneys" means moneys allocated from the Funds to a represented political party during a particular financial year;
"disclosure threshold" means the threshold referred to in section 9(1)(a) of the Act;
"equitable allocation" means the allocation referred to in regulation 2(2)(b); and
"proportional allocation" means the allocation referred to in regulation 2(2)(a).
| 2. | Allocation of funding |
| (1) | The total amount of funding available for allocations from each of the Funds during a particular financial year must be announced by the Commission by notice in the Gazette within two weeks of the beginning of that financial year. |
| (2) | The allocations from the Funds to be made and paid to each of the represented political parties concerned are calculated by— |
| (a) | allocating two thirds of the total amount of funding determined in terms of subregulation (1) in respect of each of the Funds proportionally in accordance with regulation 3; and |
| (b) | allocating one third of the total amount of funding determined in terms of subregulation (1) in respect of each of the Funds equitably in accordance with regulation 4. |
| 3. | Proportional allocation |
The proportional allocation is determined by dividing each of the amounts contemplated in regulation 2(2)(a) proportionally among the represented political parties in accordance with the number of seats awarded to each party in the National Assembly and the provincial legislatures jointly.
| 4. | Equitable allocation |
The equitable allocation is determined in the following manner:
| (a) | The amounts contemplated in regulation 2(2)(b) must be allocated to the national and each of the provincial legislatures in proportion to the number of members of each of those legislatures; and |
| (b) | the allocation to a particular legislature in terms of paragraph (a) must be divided equally among the represented political parties in each of those legislatures. |
| 5. | Times, Intervals and instalments of payments |
| (1) | All allocations to which a represented political party is entitled as determined in terms of regulations 3 and 4, must be paid to the represented political party in question in four equal instalments, each within three months of the previous payment. The first instalment must be paid within four weeks of the beginning of the financial year in question. |
| (2) | In the event of an election being called in terms of section 49(2) or 108(2) of the Constitution in respect of a particular legislature, any outstanding instalments still to be paid in terms of subregulation (1) to the represented political parties in that legislature during the period of 21 days referred to in section 13(2)(a) of the Act, must be suspended. The instalments so suspended must be distributed within two weeks after the date of election to the political parties that gain representation in the legislature concerned as a result of the election in accordance with the provisions of regulations 3 and 4, as the case may be. |
| (3) | The date contemplated in section 26(2) will be the day when the money in the Multi-Party Democracy Fund reaches a total of one million rand. |
| 6. | Manner of payments |
| (1) | A represented political party must provide the Commission with particulars of the represented political party’s banking account contemplated in section 12(1)(b) of the Act, within two weeks of such a banking account being opened. |
| (2) | Any payments to be made to a represented political party in terms of these regulations must be paid into the represented political party’s banking account contemplated to in section 12(1)(b) of the Act. |
| 7. | Upper limit of donations |
The amount contemplated in section 8(2) of the Act is fifteen million rand within a financial year.
| 8. | Limit on donations from foreign entity |
The amount contemplated in section 8(5) of the Act is five million rand within a financial year.
| 9. | Disclosure limit |
The threshold referred to in section 9(1)(a) of the Act is R100 000,00 within a financial year.
| 10. | Separate books and records of account |
The separate books and records of account required by section 12(2)(c) of the Act must be kept according to generally recognised accepted accounting practices, and must include the following:
| (a) | Records showing all transactions involving allocated moneys; |
| (b) | records showing all assets acquired with allocated moneys; |
| (c) | records showing commitments entered into in respect of allocated moneys; |
| (d) | a balance sheet; |
| (e) | an income and expenditure statement; and |
| (f) | a cash flow statement. |
| 11. | Generally descriptive categories of purposes in connection with which amounts are spent |
| (1) | Financial statements prepared in relation to the Funds must show the amounts spent during a financial year in question by each represented political party that received allocations in accordance with these regulations in connection with purposes classifiable under the following descriptive categories: |
| (a) | Personnel expenditure; |
| (b) | accommodation; |
| (c) | travel expenses; |
| (d) | arrangement of meetings and rallies; |
| (e) | administration; |
| (f) | promotions and publications; and |
| (g) | legal expenses incurred in the public interest. |
| (2) | The information required for the purposes of subregulation (1) must be furnished to the Commission by the accounting officer referred to in section 12(1)(c) of the Act within three months after the end of the financial year in question. |
| 12. | Short title |
These regulations are called the Regulations on Political Party Funding, 2018.
