The municipality adopted the standards of GRAP for the first time in the 2009/10 financial year. The municipality had taken advantage of the transitional provisions as detailed in Directive 4, which exempts the municipality from valuation and disclosure requirements of GRAP 17. The municipality is required by legislation to report on a full GRAP framework for the reporting period ending 30 June 2012. Not all assets were accounted for in both the Asset Register and the AFS of the municipality. The Asset Register was not updated with all items on the municipality's valuation roll. Unique identification of each asset was not always reflected on the Asset Register. Assets already disposed of were still reflected on the Asset Register. The municipality agreed that it had a lack of capacity and skills. There was a high vacancy rate in the finance department and there was a need for funding and for the identification and valuation of infrastructure assets as per GRAP requirements.