Portfolio Committee Presentation

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• Portfolio Committee Presentation
• Presented by SV Mathobela
• DDG Asset Management

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PURPOSE

• Asset Register Enhancement
• Valuations,
• Condition Surveys and
• The Inter-operability of Information Technology
  systems using the E-Works platform.
• Must find strategies of identifying government
  assets that are presumed to still be unaccounted
  for and
• Establish which government immovable assets have
  been vandalized or lost in order to have a
  comprehensive Asset Register

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SUMMARY

• A 34 increase in information captured in an
  electronic database
• Database now contains information on the
  utilisation of assets
• Ability to allocate expenditure against
  individual properties
• Ability to assess properties that have no
  strategic value and be considered for land reform
  purposes and
• Asset registers enhances States ability to
  manage properties leased out to private entities
  and to generate accounts and record receipts
  electronically.
• INFORMATION NOW AVAILABLE IN ASSET REGISTER
• Physical address of asset
• Cadastral description of land parcels
• Extent, current use and user of assets
• Zoning of land / potential use of land
• Photographs of asset from different elevations
• Footprint sketch of site and improvements.

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THE FOLLOWING STEPS WILL BE UNDERTAKEN

• Extract and sort the properties information in
  excel format with (PMIS)
• Decide on methodologies to be applied
• Agree with approach and methodologies with the
  Auditor-General and obtain funding from Treasury
• Undertake the gathering and validation of
  relevant data and
• Appoint Private valuers to undertake the
  valuation.

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THE REQUIRED CADASTRAL DATA

• Location
• Title deed number
• Extent of land
• Description of property
• Usage (current and intended)
• Age of improvements
• Extent of improvements
• Details of occupants
• Details of income and expenditure (where
  applicable and if relevant)
• Condition of improvements
• Municipal valuations

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VALUATIONS

• THE PORTFOLIO INCLUDES
• Functional/specialized properties
• Commercial properties
• Residential properties
• Agricultural properties
• Historical buildings
• Vacant land
• Other structures such as dams, roads.

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CONDITION AUDITS

• The purpose of the template is for the works
  managers to complete the template and determine
  the scope of work for the repairs
• New Works and New Repair and Maintenance (RAMP)
  projects existing buildings audit must ensure
• The status quo for each building/facility has to
  be established and
• All those buildings that are found (via the
  status quo reports) to be in need of upgrade
  funds and manpower have to be invested to effect
  the required improvements.

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ACCESS FOR PEOPLE WITH DISABILITIES

• THE FOLLOWING CATEGORIES OF PEOPLE ARE AFFECTED
• Physically disabled
• Ambulatory problems (from temporary to problems
  due to age infirmity)
• Blind partially sighted
• Hearing impaired
• Speech impaired
• Intellectually challenged and
• Minors the aged.

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ASSET REGISTER ENHANCEMENT PROJECT

• THE NDPW STAFF ARE REQUIRED TO
• Collect and research basic land information per
  property, whether improved or vacant, against the
  Deeds Office information for example,
• Measure floor areas of buildings occupied by
  NDPWs client National Government Departments
• Establish and verify the occupancy of the
  identified State-owned properties and compare
  them with the user information of the immovable
  asset register
• Draw footprint sketches of improvement per
  property
• Capture all (if any) servitudes or service right
  permits affecting the properties, and
• Capture the front and side elevation of
  improvements on camera.

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ACCOUNTANT GENERAL ESSENTIAL FIELDS
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PROGRESS
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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• The objective is to draw up a list of all grey
  immovable assets within the Republic of South
  Africa and internationally, thereby, implementing
  required legislative oversight for better service
  delivery and enhanced shareholder value. The
  identification of hidden, unknown lost and/or
  missing properties is a huge task which requires
  good planning from the onset.
• Situational Analysis requires DPWs capability to
  acquire primary source information from the
  public through existing systems. One such system
  is the Call Centre.
• The approach of this process should cover the
  entire extent of the Republic and should not only
  be former TBVC focused. The former TBVC
  territories will require a modified process of
  verification due to the land administration
  practices prior 1994.
• The project plan will have to take account of the
  change of the provision made for essential
  services that occurred after 1994.

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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• This exercise will focus on the payroll transfers
  for the nominal rental paid by the civil servants
  and matched to the properties, erf and title deed
  numbers of the administrative systems of DPW and
  Land Affairs to reconcile with National and
  Provincial governments with a particular emphasis
  on Foreign Affairs and Intelligence asset
  registers. In order to achieve this, the project
  plan must encompass the following strategies
• From 1977 to 1994 a comprehensive audit should be
  conducted whose primary target is the
  administrative systems for SAPS and Correctional
  Services, with the secondary target being the
  rest of Government.
• For the period from 1994 to the present, to
  target the whole of the State in cognizance of
  the change of the criteria for the allocation of
  assets taking into consideration exceptions such
  as relocations.
• DPW establishes all SARS records for transfers
  and donation to the State and track if they ever
  made it to the State Register. In other words,
  verification of whether donations were
  intercepted or not.

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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• DPW engages the Intelligence Structures to sort
  reclassification of the former National
  Intelligence Services (NIS), Military
  Intelligence (MI) Immovable Asset Registers.
• This is to reconcile in the current National
  Intelligence Agency and Military Intelligence
  Immovable Asset Registers to identify those
  assets not captured on the current system.
• The primary focus of this stream of work is to
  identify the assets outside the borders of the
  Republic, which for political reasons prior to
  1994 were not registered in the name of the RSA.
• For this stream of work, only security cleared
  individuals in agreement in the Intelligence
  community will handle it.

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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• The lack of comprehensive information and
  collection of data necessitates the need for the
  institutional framework to assist in the assets
  identification strategy, given the recurrent
  nature of this problem. Therefore, some of the
  strategies to identify assets and sensitize the
  public are outlined below.

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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• As an integral part of the whole identification
  strategy, DPW has identified certain statutory
  institutions as being central to the resolution
  of the above mentioned problem.
• Two such bodies are the National Assembly and the
  National Council of Provinces.
• The National Assembly and the National Council of
  Provinces may determine the time and duration of
  these sittings and its recess periods.
  Furthermore, these bodies must facilitate public
  involvement in the legislative and other
  processes of the Assembly and the council and its
  committees and conduct its business in an open
  manner, and hold its sittings, and those of its
  committees, in public.

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..IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• It is against this background that we must
  implore parliamentarians to use their recess
  periods and public involvement in soliciting
  location of the yet unidentified assets,
  particularly in the former homelands.

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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• Meetings must be convened between the National
  Council of Provinces and the portfolio Committee
  of Public Works with the intention of soliciting
  support by integrating this project as part of
  their programme and that it should be given
  priority. The Director-General, through the
  Ministers office can request such meetings where
  technocrats will make presentations.

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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• South African Local Government Association
  (SALGA) is an organization mandated by the new
  South African Constitution to assist in the
  wholesale transformation of local government in
  South Africa from the pre-1994 regime to the new
  dispensation under the countrys first
  democratically elected government.

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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• Since the constitution envisages an important
  role for organized local government in the new
  South Africa, with unique focus on developmental
  service delivery, the National Department of
  Public Works must, therefore, approach SALGA with
  a view of utilizing their extensive public reach
  of two hundred and eighty four municipalities (6
  metropolitans, 47 District and 231 smaller
  municipalities) to penetrate and search for the
  unidentified assets.
• This will help to identify and record most, if
  not all government properties within all the
  local municipalities in collaboration with SALGA.

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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• In respect of SALGA, the Director-General is
  requested to mandate DDG Asset Management to
  initiate and ensure that a meeting takes place
  between DPW and SALGA.

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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• Media can play a huge role in helping DPW
  ascertain the existence of hidden, unknown or
  missing properties through the placement of
  newspaper articles and broadcasting
  advertisements.
• The Department of Social Services on social
  grants and SAPS on unlicensed firearms were
  reportedly successful in this.

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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• There is a need for the establishment of a multi
  skilled task team comprising various players in
  the field such as IT, PPM and the regions that
  will comprise a steering committee. The technical
  task team must appoint dedicated property
  auditors who will be responsible for conducting
  the searches and reconciling them.

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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• The function of the task team will be to identify
  and reconcile the assets register with the deeds
  office records by running computerized searches
  (reconcile information available in the Deeds
  Office against the PMIS, Valuation Rolls of the
  municipalities against PMIS and the Deeds Office
  against the Valuation Roll of the municipalities)
  of all state owned properties.

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IDENTIFICATION OF ASSETS UNACCOUNTED FOR

• To reinforce the line function management of PPM,
  it is suggested that there be formed a project
  office comprising a project manager, using the
  existing Director .

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INABILITY TO IDENTIFY PROPERTIES IS AS A RESULT
OF A COMBINATION OF THE FOLLOWING FACTORS

• Theft
• Abuse / Vandalism
• Loss
• Corruption
• Entitlement
• Political history and sabotage
• Ignorance
• Forgotten

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IE-WORKS PROJECT

• To modify E-Works system and implement for use by
  the National Department and provincial
  departments who need an immovable asset
  management system.
• Ensure interoperability with provinces.
• Integrate the core systems of the Department
  (PMIS and WCS).
• Build based on IAMS Requirements specifications.
• Ensure alignment with IFMS.
• There needs to be common terminology of Asset
  Management.
• Who will be responsible for (Ownership) of the
  system.
• Business Rules sign-off and link to legislation,
  specifically GIAMA.
• In terms of other systems, will they continue to
  exist in the long term.
• Asset Register based on Minimum Reporting
  Requirements done.
• The module is on test mode already. Currently
  verifying business rules
• The iE-Works Shell system is also completed.
• System Requirements Specifications finalised
  (Version 1).
• PMIS and WCS conversion underway.
• Interfaces between the existing systems and
  iE-Works also underway.

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COMMUNICATION IMPLICATIONS

• The amnesty call must be implemented through
  various media including Radio, Television,
  Newspapers and Pamphlets.

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RECOMMENDATIONS

• The Director General approves the appointment of
  consultants to conduct a conditions audit of all
  DPWs immovable assets
• Funds procured for the purpose of conducting
  proper valuations and access to buildings for
  people with disabilities
• In line with the Ministers call for amnesty on
  the identification of missing assets, the
  departments issues communiqué through all forms
  of media to notify the RSA public of the said
  amnesty and
• The iE-Works project is enhanced.

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