Department's Strategic & Business Plans

Meeting report

SPORT AND RECREATION: PORTFOLIO COMMITTEE
5 March 2002
DEPARTMENT'S STRATEGIC & BUSINESS PLANS

Chairperson: Mr Bheki Ntuli (ANC)

Documents handed out:
Sport and Recreation South Africa: Strategic and Business Plans 2002/3
Funding, Policy and Liaison
Building for Sport and Recreation
2001/2002 Budget update

SUMMARY
Sport and Recreation reported on various issues, from the 2002/2003 business plans to funding, liaison and policy. The National Sport Amendment Act is to be promulgated and passed through Parliament. The national anthem will be recorded on compact disks and distributed among national federations to ensure uniformity. It is hoped that it will save the country embarrassment during major sports events.        

MINUTES
Sports Recreation SA (Dept of Sport & Recreation)
The meeting was briefed by a four-person delegation, led by Chief Director, Greg Fredericks. Others were SRSA head, Denver Hendricks, Chief of Finance Ms Elsie Cloete, and Senior Manager: Funding, Policy and Liaison, Mr Solomon Pango. (Please refer to the Powerpoint presentations).

Expenditure Trends
The Chief Director gave a comprehensive budget update and reported on expenditure trends during the 2001/2002 financial year. Estimates on medium-term expenditure and figures on "requested" and "remaining" funds were provided.

Priorities
Fraud prevention is still a priority. A culture of "zero tolerance" will be brought into place. A high level of awareness will be exercised. The main objective is to curb corruption. Misappropriation of funds in sport will not be tolerated. The government is committed to protecting its revenue and all its assets. Therefore, the assets of those it funds will also be protected. No one will be allowed to enrich hi/herself at the expense of the state. Following are pillars of the plan:
- to create an anti-fraud environment
- to properly understand and manage risk
- to be able to react immediately to a crime and swiftly deal with it

Basis for implementation:
fraud risk management committee
anti-fraud charter
fraud policy
 -     fraud awareness campaigns
 -     fraud awareness training for employees
 -     fraud hotline
 -     public service code for SRSA staff
 -     improve internal controls

An Internal Audit Function and an Audit Committee have been established. They share their services with the South African Institute for Drug Free Sport (SAIDS).

Mr Hendricks said there were many sports codes in SA, competing for resources. This was making funding difficult for the department. Marketing and communication was another priority. As a result, the SRSA website, which was inactive for a while, is being updated and is to be launched on March 15. The new White Paper on "Policy and Monitoring" will replace the existing one, which expires next year. The existing policy on HIV/Aids, together with policies on school sport, youth development and transformation, will be reviewed.        
 
SRSA prides itself on the fact that it is annually involved in celebrations of national events like World Aids Day, Youth Day, Women's Day, Human Rights Day and Heritage Day.

Mr Hendricks alleged that some federations were involved in what he called "double-dipping" (where they applied for funds from different sources at the same time). In the process they get double funding while many others suffer. Smaller federations, especially, were unable to sustain themselves. A great number of them were bankrupt as a result. This is a worrying phenomenon for the government. SRSA is looking for a plan to stop it. Further more, small federations will receive financial assistance. They will be assisted, not only financially, but will be helped to find sponsorship, and taught how to market themselves sufficiently and also how to organise international events for themselves.

The department is currently involved in extensive, ongoing HIV/Aids Awareness campaigns. They are conducted jointly with Lovelife. Their aim is to increase HIV/Aids awareness among sportsmen and women. The government, through USASA, is making an annual contribution of R25m to Lovelife. Anti-crime campaigns are also taking place countrywide which encourage the youth to take part in sport. The project is done in conjunction with the South African Police Services with the focus on high-crime areas.
 
Financial support
A new funding policy was finalized and introduced in February this year. It focuses on financial support for national federations. It also takes care of non-affiliated athletes. Another  programme, which comes into place next year, is designed to empower sportsmen and sportswomen and their coaches with skills. Compliance and performance will be monitored regularly.

Financial support and monitoring         
The department will coordinate support among SRSA, SASC and NOCSA. The plan is to be finalized later this month. A monitoring business-plan format will also be introduced. This involves the conversion of client support and monitoring process to electronic data capturing and development. The popular 26-episode television programme, "SIYADLALA", which is the brainchild of the SRSA, is being shown on SABCTV3 at the moment. It targets smaller federations.

Tourism in sport          
Government's policy is in line with international relations policy. It gives priority to NEPAD and all identified partners. Tourism creates jobs through the promotion of sports stadiums and the promotion of indigenous sport events abroad. It provides attractive incentives for spectators at major sports events and assists in bidding for major events and hosting them.

Exchange programme
SRSA is involved in development projects with other SADC partners. There are on-going exchange programmes with Algeria, Egypt, Tunisia, Mali, Mozambique (NEPAD), China, Cuba, Canada, Flanders, France, Netherlands, Norway, Russia and the United Kingdom. SA missions abroad receive regular updates via a quarterly newsletter.

Migration of foreign sportspersons   
A development policy on migration comes into effect in September. Its mandate is to monitor and keep close control over the movement of sportspeople coming or going out of SA. It works in hand in hand with the department of Home Affairs.

Building for sport and recreation 
Solomon Pongo said a total of 55 projects were currently taking place in different areas. Kimberley is ahead with construction work on projects. Gearing of funds can be attributed mainly to the contribution and commitment of the Sports Trust.

Work on the construction and/or upgrading of 85 multi-purpose sport and recreation complexes is being set up now and will reach completion in February 2003. It will create thousands of opportunities and assist in poverty relief by creating 6 500 jobs. There will be community empowerment which will focus on sports management/administration. Local government structures shall be empowered. Local authority officials will also receive training in management and maintenance.   

Budget
According to Elsie Cloete, SRSA is expected to spend over R18m from the 2001/2 budget by the end of this month and there should be no underspending of the SRSA  2001/2 budget.

Discussion
Mr C Frolick (UDM) said he is concerned that the department may not be able to spend the R18m by end of the month. What would happen to it then?

Mr Hendricks assured him that it would certainly be spent. They were confident that less than R3m should remain by then. “Come March 15 and there will be no rollover”, he promised.

Frolick proposed that government projects must be fully inspected and monitored to counter fraud and theft, particularly the Eastern Cape were corruption was rife.

Hendricks answered that the department had a plan in place to fight fraud and corruption in sport. Details of this will be discussed at a meeting in Gauteng on March 8 which 32 federations will attend. Each will submit a proposal or plan which will be presented to the Minister. 

Mr Mlangeni (ANC) wanted to know what constituted fraud in sport. He also asked how the department was hoping to include golf in its development plan when was not a single golf course in the black townships?

Mr Fredericks said fraud meant all forms of crime, from theft to forgery. Mr Hendricks expained that both government and SRSA are aware of the problem about golf courses. They agree it needs attention. However, he denied that local authorities were reluctant to provide these facilities in the townships. His Ministry continues to encourage local authorities to provide facilities to all people. He felt that golf had a stigma as an elitist sport. But the department is trying its best to provide facilities. SRSA's application for the construction of golf courses in the townships was unsuccessful because of that same view (that golf is an elitist sport). As for fraud, government, with other stake-holders, has established a massive "fraud prevention programme" and it was succeeding.

Mr Z Ncinane (ANC) felt it was embarrassing to see sportspeople not able to sing the national anthem during international events. Perhaps it can be taught to players and youngsters all over the country?

The delegation announced that the anthem was in the process of being recorded on compact disks. The Department of Arts and Culture, who are the custodian of the national anthem, were involved in this matter and it was hoped they will be able to sort out the problem.

Ms N Lamani (ANC) was concerned about work permits and visas for foreign players. She wanted to know whether SRSA or anyone benefits from money made from the issuing of work permits, visas or any such documents. She also asked who was responsible for the medical welfare of players.

Mr Fredericks said that the department did not benefit at all from permits and visas. Mr redericks said it was the responsibility of SASSMA (South African Sports Science & Medical Association), NOCSA and units in the Olympic Committee and Sports Commission.

Mr R Pieterse (ANC) said tongue-in-cheek that he hoped that the departmental caps distributed at the briefing were manufactured in SA, rather than China or Japan.

Mr Federicks promptly replied that indeed they were designed and made here. He said Mr Pieterse could sleep well. The meeting ended on that light note.