Communication and cooperation between the Administration Team and the Province had improved. However, there was a concerning conflict between the Director General of the Province and the Chief Administrator; 2. There was general consensus between the Premier, the Director General, the Chief Administrator and the Administrators of the five departments that there had been progress with respect to commitments previously made but there are challenges that still needed to be resolved; 3. Management of procurement processes, absence of guidelines, changing of Administrators and the fact that the intervention process was new, created challenges in as far as effective implementation was concerned; 4. Under spending on conditional grants occurred according to planned slow down in spending to contain costs. There were investigations in certain cases involving tenders/contracts by National Treasury and underperformance by the departments; 5. The Department of Public Service and Administration and the Office of the Premier had some challenges in dealing with the current disciplinary hearings for the 303 prioritised cases. As a result, the DPSA reported very little progress with respect to disciplinary cases; 6. The Committee was informed that the process of charging of some individuals was flawed and could lead to some cases being lost. The Department of Cooperative Governance and Traditional Affairs (CoGTA) was developing a draft legislation that would provide regulations on interventions in terms of section 100 (3) of the Constitution; 7. The officials of the Provincial Department of Health travelled to Centurion to access the BAS system and this cost the Department; 8. According to the Auditor General's findings, tenders amounting to a total of R27 million were awarded to 26 suppliers who failed to declare their interest in doing business and the Department of Health had spent R731 million in fruitless and wasteful expenditure (R8 million in expired medicine); 9. The Department of Health was moving in the right direction, unauthorised expenditure had been reduced but the Department still needed to stabilise compensation of employees; 10. Some of the challenges that led to the intervention in the Department of Health resurfaced from time to time. These included unavailability of medicine at the Depot, food crisis due to shortage of funds and payment of service providers on time (More than 15 service providers had not been paid at some point); 11. Some of the main responsibilities in the Department of Health had been handed over to the departmental officials already, with the Administrator just providing technical support; 12. National Treasury had withdrawn funds that the Provincial Department of Education had already committed to projects amounting to R235.5 million; 13. The Administrator of the Department of Education had good working relations with the MEC, the HOD and the provincial education officials, given that administrative support staff does not exist. According to the Administrator, the Province would sustain itself should the NCOP stop the intervention; 14. The Administrator of the Department of Education largely failed to substantiate and demonstrate progress achieved since October 2012 when reporting. Difficulty in reporting related to service delivery achieved; responses to recommendations made by the Committee and elaborating on the exit strategy presented; 15. The Administrator of the Department of Education also failed to respond to the Auditor General questions and issues raised that related to the findings on tender processes; 16. Education Infrastructure procurement was being done without the financial plan, leading to overrun of the budget; 17. The Provincial Department of Roads and Transport assisted the GAAL with R50 million funding but the agency generated only R6 million; 18. The GAAL CEO had been suspended, with pay, for the duration of the suspension due to irreparable differences. The CEO had since been recalled to resume work as of 29 April 2013; 19. The Administrator for the Department of Roads and Transport reported satisfaction on the basis that much of the ground had been covered and the majority of issues had been resolved. Concerns were expressed over infrastructure and winding down GAAL, to which the MEC and HOD concurred; and 20. The Provincial Department of Public Works and other provincial departments spent approximately R200 million per year on the buildings leased. These rental costs in Public Works were exorbitant at R2.5 million per month and the situation was not sustainable.