Presenter: OAG | March 2015 Discussion overview Principles - - PowerPoint PPT Presentation

AFS PACK TRAINING IMMOVABLE ASSET GUIDE

Presenter: OAG | March 2015

Discussion overview

• Principles
• Changes made and impact

2

Principles

• Basis – Section 239 (Act 200 of 1993)
• Function and sphere
• Mandate and GIAMA

custodians

3

Principles (cont.)

• DRDLR – custodian of land in country
• DPW – custodian of facilities and underlying land
• Provincial – custodian appointed by Premier

4

Principle (cont.)

• Land and building reflected separately
• Can be reflected by different departments
• Reflect structure where land not owned
• Custodians receive S42 transfer on final completion

 budget holder must accumulate WIP over contract period  budget holder must include asset in AR when ready for use  update AR with additional costs i.e. retention  all contractual obligations fulfilled final costing of project  transfer cost through AR to custodian

• Custodians update only on S42 receipt
• Impact – budget holder audited on spend and accumulation of cost in
• AR. Accountability. Asset transferred to custodian at verifiable cost

5

Principle (cont.)

• Distinction between ‘Asset Register’ and ‘Register’
• Asset Register – vested, title, Item 28(1) issued, endorsement awaited

(schools), specific legislation, capital budget spend

• Financial disclosure
• Register – function existing, deemed custodian, S42, state land used

without title

• Additional information narrative format
• Register – Deeds reflect as ‘state land’ – no custodial claim
• No register – land not yet surveyed

6

Changes made - Impact

• Changes: defined

– ‘ready for use’, – ‘final completion’, – deemed custodian - more detail

• Impact

– more clarity

7

Thank you