An asset controller and/or sub-asset controllers must be appointed for each cost centre on an annual basis. The duty sheet of the asset controller must accompany such letter which must be signed by the cost centre manager. A copy of the appointment letter must be sent to Head Office. The appointment letter of the asset controller is attached as Annexure A and the Duty Sheet for Asset Controllers as Annexure B.

After the recent stocktake, asset control sheets of assets (furniture and equipment) were signed by cost centre managers and placed behind the door of each location for which they are responsible. This means that the assets must be there when the departmental asset register is audited.

During the approved annual stocktake period, it is imperative that no assets are moved from their location while the physical verification of assets is in process. During this process, it is the duty of the asset controller or sub-asset controller to arrange for access to all offices and to accompany Head Office officials to each office.

Arrangements must also be made with all officials who are making use of portable assets (notebooks/laptops, netbooks, cameras, data projectors, external hard drives, etc.) to make it available for physical verification.

In the past, it was found that cost centre managers had often not complied with the stipulations as set out in Circular 0028/2005, dated 23 May 2005, and Circular 0040 /2007, dated 13 August 2007, as assets had been moved without the completion of movement forms. This resulted in unnecessary audit queries. You are thus requested not to move any assets from a location unless the movement form, attached as Annexure C, is completed and approved.

When an official retires, resigns or is dismissed, a handing-over certificate must be signed by the person handing the assets over and the person taking the assets over. This form must be filed and a copy thereof must be sent to the Asset Management Unit at Head Office.

Should any newly purchased furniture and equipment be delivered directly to your office, it must immediately be reported by the asset controller to the Asset Management Unit at Head Office, who will arrange for the marking and barcoding of the assets and the updating of the asset register.

It is incumbent on users to arrange with the Centre for e-Innovation for the installation of new computers. Problems experienced with regard to computer equipment must also be reported to the Helpdesk of the Centre for e-Innovation on 021 483 4800 or email at CeI.ServiceDesk@westerncape.gov.za

Part 10.1.1 of the Western Cape Provincial Treasury Instruction, issued in terms of section 18(2)(a) of the PMFA on 28 March 2012, requires the accounting officer or accounting authority to ensure that the supply chain management system of the institution provides for an effective and efficient disposal management system which must minimise the holding of surplus and under-utilised assets.

In order to dispose of moveable assets (office furniture and equipment, including computer equipment), a Log 1 requisition form must be completed and signed by the responsibility manager of the cost centre.

The following information on the asset(s) to be disposed of must appear on the Log 1 form:

• A complete description
• The condition
• The precise location (building, floor and room number)
• The barcode number
• The serial number, where applicable

A completed BAS allocation form (PGWC 002) must accompany the Log 1 form. Expenditure which might be incurred in the disposal process will be allocated to the relevant responsibility manager.

The VA 27 form, signed by the delegated official at Head Office and members of the Disposal Committee, must be completed by the relevant officials after the assets have been dealt with in the manner approved by the delegated official. All this documentation must be filed appropriately for audit purposes.

Asset controllers must ensure that the barcodes on these assets are removed. These barcodes must be sent to Head Office for record purposes. Furthermore, the RSA mark on the asset must also be cancelled with an X. The disposal approval number and "DISPOSED OF" must be written with a permanent-marker pen on non IT-related assets. Stickers reflecting the same information must be placed on IT equipment.

The sale of all IT equipment will be arranged by Head Office. Other assets approved for dumping must be dumped at a registered dumping site and certification in this regard must be provided to Head Office. At least 2 officials must be present at the dumping of the assets.

It is sometimes found that items earmarked for disposal and those items approved for disposal are still being used. It must be emphasised that all furniture and equipment earmarked for disposal and those items approved for disposal must be kept in a safe and secure place until the disposal process is finalised. These assets remain the responsibility of the responsibility manager of the cost centre until it is removed.

Furthermore, it has also been found that IT equipment is being stripped. This is contrary to the prescripts for the disposal of IT equipment.

A record must be kept by the asset controller of all the assets at his cost centre that were disposed of.

Any item which is stolen or lost must, in terms of the loss control procedure, immediately be reported to the Central Loss Control Officer (CLCO) of the WCED at Head Office. Before such an incident is reported to the CLCO, it must, without delay, be reported to the nearest South African Police Service office.

The case number and all other relevant documents must be forwarded to the CLCO as well as the Asset Management Unit at Head Office, in order to update the asset register.

A record must be kept of all assets that were stolen and/or lost during the financial year.

National Treasury Instruction 21.2.1 states that the accounting officer may approve the acceptance of a donation to the state. The authority to approve the acceptance of donations has been delegated to an official with the rank of Chief Director.

Cost centre managers are requested to obtain the necessary approval before any donations of furniture and equipment are accepted. A copy of the approved memo must be submitted to the Asset Management Unit at Head office in order to update the asset register by following a set procedure.

In this regard, a register must be kept of all the donations received during the financial year. In this regard your attention is kindly drawn to the content of Logistical Services Minute 0011/2006, dated 13 March 2006.

1. "An accounting authority for a public entity—
   5. must take effective and appropriate disciplinary steps against any employee of the public entity who—
      1. contravenes or fails to comply with a provision of this Act;
      2. commits an act which undermines the financial management and internal control system of the public entity;..."