Msunduzi Museum Presentation to the Portfolio Committee on Arts and Culture Annual Report for the year ended 31 March 2018

VISION The Msunduzi and Ncome Museums will deliver an excellent cultural experience. Performers: Heritage Day Heritage Day : Dr Dumisani Goba (SATMA) Holiday Programme

MISSION The Msunduzi and Ncome Museums will actively preserve, promote and present our cultural heritage to benefit nation building and social upliftment. International Museums Day: Gracia Makiwane (Sinomlando Centre)

UNQUALIFIED AUDIT OPINION A qualified audit opinion based on non-compliance with the implementation of GRAP 103 was expressed by the AGSA in 2015-16 An unqualified audit opinion was expressed for 2016-17 An unqualified audit opinion was expressed for 2017-18

RECONCILLIATION BRIDGE Bridge between Ncome Museum and Blood River opened by President Zuma on 16 December 2014 as part of Ncome Museum Phase 2. Gate on bridge locked by Blood River Heritage Site due to unresolved issues 2 days after opening, these were subsequently resolved and a Joint Council Meeting was held on 20 August 2016 at Blood River SLA between Msunduzi Museum Council and Voortrekker Monument Council was signed and the bridge has been in operation since December 2016 Joint Ncome Blood River Management meetings held quarterly

Governance Council Chairperson : Prof SP Lekgoathi (1 April 2017 to 30 Nov 2017 ) Mr M Thango (1 December 2017 to 31 March 2018) Human Resources Committee Chairperson : Ms L Marais-Botes (1 April 2017 to 30 Nov 2017 ) Dr MJ Ndlovu (1 December 2017 to 31 March 2018) Audit Committee Chairperson : Prof B Stobie (1 April 2017 to 30 Nov 2017 ) Mr M Zikalala (7 February 2018 to 31 March 2018)

Responding to the Ministers Priorities The 5th Courageous Conversations Social Cohesion Conference was held at Ncome Museum with simultaneous translation provided by KZN DAC language services. 19 Commemorative Day events were held Africa month was celebrated and the OR Tambo lecture and exhibition was hosted in partnership with KZN Museum Library Week and Book Week activities took place to promote the use of libraries and encourage reading

PERFORMANCE ACHIEVEMENTS Msunduzi and Ncome Museums delivered a range of programmes and achieved 90% of all targets. Administration 83% achieved (1 target over achieved,1 target not achieved) Business Development 91% achieved (7 targets over achieved, 1 target not achieved) Public Engagement: Exhibitions 75% achieved (3 targets over achieved, 1 target not achieved) Public Engagement: Education 100% achieved (6 targets over achieved)

OTHER ACHIEVEMENTS 3 Research projects undertaken for exhibitions and publications 1 Museum Journal and 1 Museum Publication “Ulwazi” produced Msunduzi and Ncome Museum presented 150 educational programmes Msunduzi and Ncome Museum organised 21 Craft and herbal workshops

Linking Performance with Budgets Human Resources 41 approved posts , 5% vacancies 82 % African 5% Indian 5% Coloured 8 % white Linking Performance with Budgets Total Expenses R16 777 000 Compensation of Employees R10 616 000 Total Goods and Services R6 161 000 Total Revenue R19 053 000 (Including grant subsidy R16 039 000)

CHALLENGES Funding: The institution has utilised its reserves which are now depleted Remuneration rates and provision of adequate funding for governance structures Audit fees: Internal Audit R177 727 (1.1% of total operating expenditure) AGSA R702 865 (4.4% of total operating expenditure) The implementation of GRAP 103 on a ongoing basis will require additional funding in order to undertake entire collection revaluation every five years.

Audit Outcomes Implementation Plan Action Plan Description Audit Findings Action Plan Description Start Date Completion Date Person Responsible Position Title First Name Surname Performance target not reliable, well defined and specific Rewording of KPIs to be undertaken to ensure compliance with SMART criteria 1-Nov-18 31-Mar-19 Mr Robert Luyt Deputy Director Rewording of Technical Indicator Definitions Procurement process not followed SCM Checklist to be developed and implemented Ms Thenjiwe Khumalo CFO Inconsistent targets between planning and reporting documents, targets not reliable, not well defined and not specific - Programme 2 Business development Review consistency between planning and reporting documents

Audit Outcomes Implementation Plan Action Plan Description Audit Findings Action Plan Description Start Date Completion Date Person Responsible Position Title First Name Surname SCM Letter of references dated after letter of award Ensure all necessary documents are submitted before awarding of tenders 1-Nov-18 31-Mar-19 Mr Robert Luyt Deputy Director Procurement - Details of the winning bidder not published in the government tender bulletin or website of the auditee Ensure publication of tender awards on website or tender bulletin Ms Thenjiwe Khumalo CFO Suppliers with no physical address Ensure all the necessary information is available relating to suppliers Assets not in working condition Review assets not in working condition and adjust depreciation where necessary Misstatement of revenue and related accounts (Receivables, Income received in advance, Revenue, Hall hire deposits) Monthly reconciliation of revenue collected and income received in advance to be done and reviewed by an independent person

Audit Outcomes Implementation Plan Action Plan Description Audit Findings Action Plan Description Start Date Completion Date Person Responsible Position Progress Title First Name Surname Employee costs: Leave Testing: 1) No leave policy - Leave allowances stipulated on contract 2) Inaccurate leave balances and concerns on the Pastel payroll system 3) Leave application forms not authorised 4) Leave taken and not accounted for Develop Leave Policy 1-Aug-18 1-Dec-18 Dr Mlungisi Ngubane Director Done Review alignment of documentation with Pastel 1-Nov-18 Ms Thenjiwe Khumalo CFO Update leave form Mr Robert Luyt Deputy Director Reconciliations - no evidence and date of signatures for preparer and reviewer (Payroll and Bank reconciliations) Add date of preparation and name of reviewer, on bank and payroll reconciliation report

Implementation Plan : Irregular Expenditure Financial Year Amount Description Action Condonation 2015/16 R194 129 Travel Agent utilised without valid SLA Valid SLA is in place. Condoned by Council on 25 November 2017. 2016/17 R169 794 Utilizing a petrol station without obtaining quotations SLA in place with new service provider . Request to be made to Council for condonation. 2017/18 R13 175 Legal Fees utilised without 3 quotations (R10 910) Car Hire extended without 3 quotations (R2 265) SLA to be entered into with one legal firm. To be referred to Council. Application for condonation to be made to Treasury

Thank You