SACE ANNUAL REPORT PRESENTATION PARLIAMENT EDUCATION PORTFOLIO COMMITTEE

SACE ANNUAL REPORT PRESENTATION PARLIAMENT EDUCATION PORTFOLIO COMMITTEE 15 October 2010 09 h 00 - 13 h 00

Introduction • • This Presentation is intended to provide Parliament and the Nation with an account of activities that the SACE Council undertook during the 2009/10 financial year. We shall be presenting to this house matters that relate to our achievements in relation to the strategic objectives of Council and also on the core mandate of SACE as indicated in the SACE Act

Intro. continued • We would also in this presentation indicate some of the challenges encountered during the year under review • An indication of our intentions for the oncoming year would also be presented in this sitting.

Targets set for 2009/10 • Programme 1 • REGISTRATION Ø To register all qualifying educators Ø To maintain a credible data base of all registered educators

Actual performance against the set target • 28 723 Educators were registered as set out below : Ø Ø 6690 12 957 7961 1115 : : full registration provisionally registered foreign educators ECD practitioners The graphs on page 10 of the report clearly attest to these figures

Actual performance against the set target continued • We have indeed exceeded expectations in that all applications received by the office have been processed. • The SACE data base has been cleaned up to reflect the current situation on the educators registered however this process is still ongoing and hopefully in the next report we shall indicate progress • The total number of Educators on our register is now at 533 739

Targets set for 2009/10 • • Programme 2 Professional Development a. To facilitate the professional development of Educators b. To know and understand current challenges in the profession and make recommendations c. To promote and enhance the status of the teaching profession

Actual performance against the set target • Target A Ø The CPTD design document finalised’ Ø Endorsement criteria and all structures established. Ø The CPTD ICT system established Ø Endorsement handbook finalised and distributed to all stakeholders Ø 15000 educators provided with PDP guidelines Ø 10000 educators work shoped on PDP and IQMS std 5

Actual performance against the set target • Target B Ø CPTD research study on professional development completed; Ø Establishment of the teacher assistance facility Ø Improving the SACE research unit

Actual performance against the set target • Target C Ø World Teachers Day celebrations were held throughout the country. Ø The main event was held in the Northern Cape Ø Over 15 000 teachers participated in these events country wide as most provinces individually celebrated this day.

Targets set for 2008/09 • Programme 3 Ø Code of Ethics a. Compose. maintain. Enforce and from time to time review the code a. Ensure the investigation and finalisation of alleged breaches of the Code

Actual performance against the set target • Target A Ø The Code and the disciplinary procedures were reviewed during the year under review and the revised procedures distributed to the profession. Ø Convened a workshop on the SACE act and recommendations made in relation to amendments envisaged’ Ø These amendments were presented to the Do. E for consideration as part of the amendments to the SACE Act.

Actual performance against the set target • Target B Ø The number of complaints received against educators are 413 Ø 150 of these complaints have been finalised Ø These complaints are classified as follows: ü Verbal abuse 30 ü Sexual misconduct 85 ü Fraud 40 ü Racism 03 ü Corporal punishment 90 ü Unprofessional conduct 138 ü Non-jurisdiction 27

Targets set for 2008/09 • Programme 4 Ø Publicity and Communication a. Image building and corporate identity b. Outreach programmes c. Accessibility of SACE

Actual performance against the set target • Target A Ø The division produced and developed the following publications which were distributed to the stakeholders : Ø SACE generic posters which were distributed to all schools Ø Ø CPTD leaflets Diaries Annual reports Information booklet

Actual performance against the set target • Target B • We participated in a number of radio interviews. • We participated in all Provincial/Regional teacher union conferences. • As indicated in our last report we managed to engage with all SG’s in the provinces and met with all National teacher organizations. • We conducted school visits in Northern Cape. • We hosted the Nigerian teaching Council and also delegates from Botswana who visited the council to learn how best they could establish their own in Botswana. • We also attended the IFTRA Conference in Cardiff, where we were mandated to host the 2011 conference in South Africa • Also one of the tasks given to SACE was to facilitate the establishment of teaching councils in Africa.

Target c § In improving access to SACE we have established a call centre which has drastically improved the communication with our stakeholders. § Educator queries are now attended and resolved as speedily as possible.

• Programme 5 Administration • levy • Financial statements • Personnel • Accommodation

A. levy • Council increased monthly levies from R 6 to R 20 in August 2009 • Increase was intended for both sustainability and office accommodation • Public raised concerns on the increase • Council rescinded its own decision on the increase in February 2010 • The monthly levy remained at R 6 for the entire financial year. • Intended purposes were constraint

B. FINANCIAL STATEMENTS • Financial position • Financial performance • Statement of changes in net assets • Statement of cash flow

STATEMENT OF FINANIAL POSITION 2010 2009 Notes R R Assets Non-Current Assets Property, plant and equipment Intangible assets 2 3 14, 094, 601 4, 245, 357 18, 339, 958 13, 615, 633 2, 874, 929 16, 490, 562 Current Assets Trade and other receivables Cash and cash equivalents 4 5 6, 411, 439 1, 657, 739 8, 069, 178 26, 409, 136 578, 452 4, 704, 130 5, 282, 582 21, 773, 144 Total Assets

STATEMENT OF FINANCIAL POSITION/ CONT Equity and Liabilities Equity Retained income Liabilities Non-Current Liabilities Finance lease obligation Trade and other payables Deferred income Total Liabilities Total Equity and Liabilities 16, 976, 866 6 6 9 7 105, 718 316, 054 9, 010, 498 9, 326, 552 9, 432, 270 26, 409, 136 14, 253, 032 376, 175 203, 699 3, 335, 291 3, 604, 947 7, 143, 937 7, 520, 112 21, 773, 144

Analysis of financial position • increase on assets - CPTD IT development • increase on debtors( debt acknowledged) CPTD services (DOBE) • Equity includes debtors and assets • Increase on receivables – cash flow pressure / rescission of levy increase decision

STATEMENT OF FINANCIAL PERFORMANCE Revenue Other income Operating expenses Operating loss Investment revenue Finance costs Loss for the year Other comprehensive income Total comprehensive profit /(loss) 2010 2009 Notes R R 10 42, 624, 525 288, 034 (40, 304, 613) 2, 607, 946 207, 151 (91, 263) 2, 723, 834 30, 329, 124 534, 720 (32, 133, 294) (1, 269, 450) 505, 986 (87, 861) (851, 325) 11 12 13

Analysis of financial performance • Increase in revenue – monthly levy increased from R 5 to R 6 w. e. f 1. 04. 2009 and CPTD(deffered and receivable income) • Decrease on interest income – decrease in reserve fund to fund cash flow pressure • Surplus of 2, 723 834

STATEMENT OF CHANGES IN NET ASSETS Balance at 01 April 2008 Changes in equity Total comprehensive loss for the year Total changes Opening balance as previously reported Adjustments Prior period errors Balance at 01 April 2009 as restated Changes in equity Total comprehensive income for the year Total changes Balance at 31 March 2010 Retained income R 15, 104, 357 Total equity R 15, 104, 357 (270, 921) 14, 833, 436 (580, 404) 14, 253, 032 2, 723, 834 16, 976, 866

Analysis of statement of changes in net assets • Increase in net assets – surplus for the year • Net assets of R 16, 976 866 comprise of the value of the purchase value of the property in Pretoria city ; cash on hand value of office equipment after depreciation

Statement of Cash flows • • • 2010 2009 Notes R R 14 37, 079, 068 (37, 001, 536) 77, 532 25, 766, 411 (23, 270, 615) 2, 495, 796 Cash flows from operating activities • • • Cash receipts from customers Cash paid to suppliers and employees Cash generated from operations Interest income • • • Cash flows from investing activities Purchase of property, plant and equipment Sale of property, plant and equipment Purchase of other intangible assets Expenditure on product development • Net cash from investing activities 207, 151 284, 683 Net cash from operating activities 2 2 3 3 505, 986 3, 001, 782 (1, 741, 580) 30, 299 (1, 789, 328) - (1, 743, 082) (397, 339) (2, 394, 501) (3, 500, 609) (4, 534, 922)

Statement of cash flows/cont Cash flows from financing activities Finance lease payments Total cash, cash equivalents and bank overdrafts movement for the year Cash, cash equivalents and bank overdrafts at the beginning of the year Total cash, cash equivalents and bank overdrafts at end of the year 169, 535 5 339, 993 (3, 046, 391) (1, 193, 147) 4, 704, 130 5, 897, 277 1, 657, 739 4, 704, 130

Analysis of statement of cash flow • 37 million generated from members in the form of registration fees and levies • Increased monthly levies to R 6 makes the comparative variance to 2009 • 3. 5 mil converted into assets • 1. 6 million was on hand on the 31 st march 2010

B. Personnel Ø Currently SACE has the staff complement of 60 Ø We are also moving very fast in ensuring that we implement the equity plan Ø The administration of the council is sound

c. Accommodation Ø We are still facing a challenge in this regard since we are operating from three different buildings. Ø The property we purchased earlier is in the process of being sold as a result of the council decision to do so. Ø The ELRC has also indicated formally that they need their space for they have a lot of projects to embark on but have limited space owing to us occupying their building

CHALLENGES • One of the challenges we encountered was the serious knock on our resources due to the funding we could not receive from the Education Department on CPTD. • We still are facing problems in relation to accommodation and this is one matter that should be attended to as a matter of urgency • On funding we are still challenged due to the council not being able to increase its levies however this matter was resolved recently in that the levies have now been increased to R 10 per teacher per month.

Challenges continued • Reaching out to the profession emphasising the principles of good practise and emphasising and monitoring the governments priorities on education including professional conduct of educators due to lack of both human and capital resources was still a challenge.

Challenges continued • Support in relation to ensuring that the CPTD system is fully implemented fully without any hindrance is still experienced.

Way forward for Council • • We believe as a Council we are slowly reaching out to our full potential and thanks to the ongoing support from our stakeholders. In the coming financial year new strategic plans would be drawn up for the next three years and this process would be inclusive of all stakeholders. Some of the key focus areas would amongst others include intensifying the research capacity and more advocacy and outreach to the profession and coming up with fund raising strategies and engaging with possible funders for SACE to achieve its objectives and assistance and guidance from the portfolio committee would be highly appreciated. . Currently we are engaged with the Maringo communication consortium in assisting with possible expansion of SACE services through better communication means and we still need to engage more in this regard.

• The Council will during the current financial year consider the levy increase through the thorough process of consultation with all stakeholders. • The sale of the Visagie building as the improvement costs were regarded to be high. • New accommodation model to be considered.

• Thank you for your attention