CONSTITUTIONAL COURT RULING
Sassa in rushed meeting over welfare contract
The South African Security Services Agency (Sassa) is due to brief the portfolio committee on social development to provide an update on its "state of readiness regarding the implementation of the Constitutional Court ruling" over a welfare distribution contract on Wednesday, just before the budget. The last-minute scheduling of the meeting coincided with reports that Sassa has said it will not ask the court to extend the existing tender held by Net1-UEPS subsidiary Cash Paymaster Services (CPS). The decision not to extend the existing invalid tender beyond its March 31 expiration date does not rule out a new contract being awarded to CPS to deal with the critical handover period. This period could last for at least 12 months as other parties prepare to take over the distribution of 11-million social welfare grants in terms of a new tender. The cost of a new CPS contract is expected to be significantly more than the R2bn Sassa is currently paying. CPS is paid R16.44 (including VAT) ...
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