CASTLE of GOOD HOPEPresentation by the Department of Defence

(Chief Logistics)

AIM

To enlighten the Portfolio Committee on Arts and Culture on the management and

ultimate ownership control of the Castle of Good Hope

SCOPEIntroduction to the CastleDefence Endowment Property and Account Act

Castle Management Act Minister of Defence (MOD) as Executive Authority

Castle Management Act Repeal BillConclusion

INTRODUCTION•The Castle of Good Hope has had a military

presence for over 300 years•This military presence echoes the origins, birth,

long history and prestige of the Castle•The Castle has been a regimental home for

several Citizen Force units as well as the Cape Corps; in certain cases for over a century, in others for decades

•A visible ceremonial, as well as a modern day operational military presence is part of Cape Town’s unique cultural heritage, which its citizens, visitors and tourists value and enjoy

DEFENCE ENDOWMENT PROPERTY AND ACCOUNT

ACTPreamble to the Defence Endowment Property and Account Act (Act No 33 of 1922):‘To make provision for the taking over by the Union Government of all War Department lands and buildings and certain Admiralty lands in the Union; for the conserving of them for defence purposes; and further, to make certain financial and other provision in respect of matters incidental thereto.’

DEFENCE ENDOWMENT PROPERTY AND ACCOUNT

ACT•Defence endowment property were transferred to the Government of the Union for the exclusive benefit of the ‘defence force organisations’ or to conserve the value of them for the benefit of these organisations

•The Castle is defence endowment property (as stipulated in the attached schedule to the Act)

•The Minister of Defence (MOD) is the appointed trustee with ultimate ownership responsibility for all defence endowment property

DEFENCE ENDOWMENT PROPERTY AND ACCOUNT

ACT•The Castle is ‘the property referred to in Item No 32 and 72 of the Schedule to the Act, and includes any building or portion of a building thereon’ (sec 1 of the Castle Management Act):

– Item No 32 ‘Grant [dd.] 23/3/1840, and two Transfer deeds dated 16/1/1890’ for ‘The Castle, Cape Town’ being ‘13 morgen, 341 sq roods and 121 sq. feet’ in size

– Item No 72 is ‘Grant [dd.] 23/3/1840’, for ‘The Castle, Clearance. Rights over Square A, B, C, D’ being ‘1 morgen, 493 sq. roods and 23 sq. feet’ in size

DEFENCE ENDOWMENT PROPERTY AND ACCOUNT

ACT•The Act makes provision for the following conditions wrt endowment property:

–disposal–transfer–servitude granted–lease etc.

•The MOD makes the ultimate decision pertaining to the above mentioned provisions

CASTLE MANAGEMENT ACT

Preamble to the Castle Management Act (Act No 207 of 1993):‘To establish the Castle Control Board for the purpose of exercising certain powers and performing certain functions and duties in respect of the land and buildings comprising the Castle; to provide for the purchase of the Castle by the Board; to provide for the employment of staff by the Board; and to provide for matters connected therewith.’

CASTLE MANAGEMENT ACT•The Castle Control Board (CCB) is a statutory body created by the Act

•The CCB is ‘established [as] a juristic person … which shall exercise the powers and perform the functions and duties conferred and imposed upon it by this Act’

•The CCB is a designated public entity (Schedule 3A) subject to the Public Finance Management Act (Act 1 of 1999)

•The CCB is responsible for the management of the Castle on behalf of the MOD

CASTLE MANAGEMENT ACT•The objectives of CCB are to (Sec. 3):

– preserve and protect the military and cultural heritage of the Castle

– optimize the tourism potential of the Castle– maximise the accessibility to the public

CCB Management•Clean A-G audit report•Sound financial statements•Appointment of relevant specialists to the Board•Effective management of the Castle in collaboration with the DOD

MOD as EXECUTIVE AUTHORITY

•The CCB as a public entity, has an executive authority – the Cabinet member accountable to Parliament – the Minister of Defence

•The Department of Defence is designated by the MOD (executive authority) as the department responsible for both the CCB as a public entity and the Castle as a defence endowment property

•The MOD is mandated to exercise strategic control over both the CCB and the Castle as a facility

•The Minister remains the trustee with ultimate ownership responsibility for the Castle as defence endowment property

CASTLE MANAGEMENT ACT REPEAL BILL

The purpose of the Castle Management Act (CMA) Repeal Bill was to repeal the CMA, dissolve the CCB and transfer the management and administrative control to the Department of Arts & Culture (DAC)

Porfolio Committee on Defence’s concerns:•Implications (intention) of the Repeal Bill is not clear

•Implications (intention) of the envisaged transfer of management and administrative functions are unclear

•Reasons provided by the DOD for the repeal of the Act are not sufficient

CASTLE MANAGEMENT ACT REPEAL BILL

Porfolio Committee on Defence’s concerns (cont):

•Capacity of DAC to administer and manage the Castle is in question

•Alternatives to repealing the Act were not investigated

•DAC was misinformed wrt the transfer of ownership of the Castle

•Unclear whether alternative management strategies were explored prior to the Repeal Bill

•Limited consultation on the Repeal Bill

CASTLE MANAGEMENT ACT REPEAL BILL

PCD Recommendations• The PCD recommended that the DOD reconsider

the Repeal Bill, where after the Bill was accordingly withdrawn on 4 June 2008

• The DOD and the CCB, on behalf of the Minister of Defence, continue to exercise strategic control

• All deliberations and discussions with DAC ito the transfer of the management and administrative control were discontinued with immediate effect

CONCLUSION Ministerial Instruction – Repeal Bill•Issued by the MOD dd 30 July 2008•Transfer of management and administrative control of the Castle to be discontinued

•Statutory Bodies appointed by the MOD responsible for the management of the Castle should continue

The characteristic military aura of discipline, smartness, efficiency and

colour precisely reflect the successful system by which the Castle has been

managed for centuries