DEPARTMENT OF ARTS AND CULTURE 5/13/2019 PUBLIC ENTITIES Act DIRECTOR-GENERAL: ARTS AND CULTURE DATE: 13/10/2015

PRESENTATION OUTLINE PERFORMANCE OVERVIEW INCOME AND EXPENDITURE REPORT BY THE AUDITOR-GENERAL GOVERNANCE

PERFORMANCE OVERVIEW 3

PERFORMANCE OVERVIEW 2012/13 2013/14 2014/15 Achieved 67% 69% Not achieved 33% 31%

PERFORMING ARTS INSTITUTIONS Key performance area 2012/13 2013/14 2014/15 Productions per year 353 427 500 Audience development 736 894 721 608 784 017 Festivals 14 15 Exhibitions 43 50 68 Educational programmes 24 16

HERITAGE INSTITUTIONS Key performance area 2012/13 2013/14 2014/15 Collections 8 619 696 8 679 967 8 611 149 Knowledge generation and dissemination (publications, public lectures, seminars) 228 298 310 Exhibitions 125 131 132 Audience development (visitor numbers) 1 375 051 1 465 830 1 221 241 Educational and outreach programmes (all educational and learner visits) 379 326 353 092 309 301 Number of permits issued per year (SAHRA) 169 52 170 Number of sites graded and declared per year (SAHRA) 5 9 15

DEVELOPMENT AGENCIES Key performance area 2012/13 2013/14 2014/15 Number of previously disadvantaged individuals and organisations successfully applying for funding (NAC) 184 155 337 Number of SMMEs and arts companies supported (NAC) 33 66 91 Number of projects funded from nodal provinces (NHC) 21 13 20 Number of content scripts developed (NFVF) 61 48 42 Number of SA films produced (NFVF) 28 26 39 Number of SA filmmakers supported (NFVF) 38 36 49 Number of bursaries awarded (NFVF) 172 210 113

LIBRARIES Key performance area 2012/13 2013/14 2014/15 Number of items catalogued providing bibliographic records per year 24137 19 500 21 934 Number of pages and images digitised 14 334 15 000 26 457 Number of books de-acidified per year 10 010 10 000 14 645 Number of books donated to promote and develop a culture of reading 43 210 7 600 14 153 Number of books clubs established 10 24 Number of grants allocated to authors 15 14 Number of digital playback devices distributed per year 560 605 721 Data only available from the years indicated

PANSALB 2011/12 2012/13 2013/14 2014/15 Key performance area Number of language policies reviewed per year 11 13 Number of dictionaries and CD’s developed / revised and produced per year Total number of national language bodies in place

SUMMARY OF INCOME AND EXPENDITURE 10

INCOME AND EXPENDITURE TRENDS 2012/13 2013/14 2014/15 R’000 Grants Received 1 042 078 1 115 481 1 319 831 Own Income 253 859 239 106 289 995 Total Income 1 295 936 1 354 587 1 609 826

REPORT BY AUDITOR-GENERAL 12

AUDIT OUTCOMES 2010/11 2011/12 2012/13 2013/14 2014/15 Clean 6 8 9 Unqualified 17 15 14 Qualified 2 4 7 10 Adverse 1 Disclaimer

AUDIT CLASSIFICATION PER PUBLIC ENTITY Unqualified with no emphasis of matter (Clean) Artscape Freedom Park Afrikaanse Taalmuseum en Monument National Arts Council National Film and Video Foundation Robben Island Museum National Museum Playhouse Company War Museum of the Boer Republics

AUDIT CLASSIFICATION PER PUBLIC ENTITY Unqualified with matters of emphasis South African Heritage Resources Agency South African Library for the Blind Performing Arts Council of the Free State National Heritage Council Market Theatre Foundation Luthuli Museum

AUDIT CLASSIFICATION PER PUBLIC ENTITY Qualified Ditsong Museums of South Africa National Library of South Africa Nelson Mandela Museum Windybrow Theatre National English Literary Museum Msunduzi Museum Iziko Museums of South Africa KwaZulu-Natal Museum South African State Theatre William Humphreys Art Gallery Disclaimer Pan South African Language Board

FINDINGS/ ISSUES RAISED AUDIT OUTCOMES ENTITY OUTCOME/OPINION FINDINGS/ ISSUES RAISED KZN MUSEUM QUALIFIED WITH FINDINGS Valuation of Heritage Assets in accordance with GRAP 103 MSUNDUZI MUSEUM Valuation of property, plant and equipment Targets not adhering to SMART principle IZIKO MUSEUMS OF SOUTH AFRICA Contingent liability for post-medical aid benefit of R5,2 million WINDYBROW THEATRE Windybrow Theatre did not provide for contingent liabilities pertaining to the pending law suits (Breach of contract and CEO and CFO). Windybrow Theatre does not have functioning internal audit unit. Goods and Services to the value of less than R500 000 were procured without price quotations. Accounting Authority did not keep complete, relevant and accurate information that is accessible to support procurement processes. No proper documentation to support irregular expenditure incurred.

AUDIT OUTCOMES ENTITY OUTCOME/OPINION FINDINGS/ ISSUES RAISED SOUTH AFRICAN STATE THEATRE QUALIFIED WITH FINDINGS Lack of Audit Committee for the significant portion of the year. Lack of dedicated internal audit function. No proper control systems for safeguarding and maintaining assets. Accounting Authority did not take effective steps in preventing irregular expenditure. DITSONG MUSEUMS QUALIFIED WITH FINDINGS No reliable system to determine impairment on receivables in accordance with GRAP 104 (Financial Instruments). Payments were made with in contravention of the Public Financial Management Act. The amount involved is R767 589. Liabilities of the entity are in excess of the assets of the entity by R20 936 403. This impact on DMSA status as a going concern. Accounting Authority did not submit strategic plan for 2014/15 as per Treasury Regulation 30.1.1. DMSA did not comply with GRAP 17 (Items of Property Plant and Equipment (PPE) not recorded in the asset register. PPE understated by R2 204 261. The entity did not comply with GRAP 103. DMSA did not recognize all Heritage Assets. NATIONAL LIBRARY OF SOUTH AFRICA Valuation of Heritage Assets in accordance with GRAP 103 Irregular Expenditure Procurement process were not followed WHAG Poor Internal control s

AUDIT OUTCOME ENTITY OUTCOME/OPINION FINDINGS/ ISSUES RAISED NELSON MANDELA MUSEUM QUALIFIED WITH FINDINGS Poor internal controls Valuation of Heritage Assets in accordance with GRAP 103 NELM Irregular expenditure PAN SOUTH AFRICAN LANGUAGE BOARD DISCLAIMER No sufficient audit evidence to support an audit opinion No sufficient evidence found on issues of administrative and operating expenditure; payables from exchange transaction; staff costs; property plant and equipment, wasteful expenditure, irregular expenditure; contingent liabilities Cash flow statement is materially misstated

GOVERNANCE 20

INSTITUTIONAL GOVERNANCE 2012/13 2013/14 2014/15 % of councils that are fully constituted 96% 100% Number of Council members 7-14 9-13 7-13 Number of council meetings 2-10 2-5 3-13 Number of council committee meetings 1-14 2-22 4-30 Attendance rate of council meetings 43-99% 35-88% 35-90% Number of audit committee meetings 3-4 3-5 2-3 Number of management meetings 4-40 10-28 Number of staff meetings 1-10

DEPARTMENT OF ARTS AND CULTURE 5/13/2019 THANK YOU