Road Traffic Infringement Agency

1. Road Traffic Infringement Agency Annual Report Presentation to the Portfolio Committee on Transport Thursday 10 October 2013 By Japh Chuwe Registrar

2. Contents PART I: Strategic Objectives • Strategic Objectives • Performance Summary on Strategic Objectives PART II: Performance review: 2012/13 Period • Background • Corporate governance: internal system of control • Human resource overview • Infringements Report: Issuing Authority Performance • Adjudications Performance • Financial Performance • Challenges • Highlights & Achievements PART III: Annual financial statements PART IV: Audit outcomes PART V: Conclusion

3. PART I: Strategic Objectives PART I: Strategic Objectives

4. Strategic Objectives • SO 1: Increase the Agency’s revenue share from outstanding road traffic infringement penalties • SO 2: Implementation of effective governance processes to achieve an unqualified opinion • SO 3: Implementation of AARTO communication campaigns • SO 4: Implementation of effective adjudication processes • SO 5: Comprehensive legislative review • SO 6: Full transfer of AARTO functions to the RTIA

5. Performance Summary on Strategic Objectives

6. Performance Summary on Strategic Objectives

7. Performance Summary on Strategic Objectives

8. PART II: PART II: Performance review 2012/13 Period

9. Background • The Agency started the year with a staff of 22 and increased its complement by 16 (72%) to a total of 38 • A government grant of R5m was allocated, with an additional virement of R14m towards the end of the financial year • The board continued operating, albeit stretched due to limited number of members, exacerbated by 1 resignation • Management continued to be overly stretched due to insufficient staff compliment

10. Corporate governance: Internal system of control • The Agency committed to implementing processes and systems for ensuring compliance to governance prescripts in the AARTO Act and PFMA • Implemented pro-active measures to address deficiencies and review progress on quarterly basis • Imbedded audit and verification measures in the business process, in the absence of an internal audit unit

11. Human resource overview • Increased staff compliment from 22 to 38 by end of the financial period (16, being 72% but less by 37 being 49% compared to approved target of 75) • 2 managers transferred from RTMC • 8 staff appointed for data clean-up of the NCR • ROs increased to 8

12. Human resource overview : Staff Profile

13. Infringements report : Issuing Authority performance

14. Infringements report : Issuing Authority performance

15. Infringements report : Issuing Authority performance Number of infringement notices captured in comparison with previous year

16. Infringements report : Issuing Authority performance Number of notices captured per category

17. Infringements report : Issuing Authority performance Number of infringement notices per category captured in comparison with previous year

18. Infringements report : Issuing Authority performance

19. Infringements report : Issuing Authority performance

20. Infringements report : Issuing Authority performance

21. Infringements report : Issuing Authority performance

22. Infringements report : Issuing Authority performance

23. Infringements report : Issuing Authority performance

24. Infringements report : Issuing Authority performance

25. Analysis of infringement performance • Johannesburg accounts for 73.7% of captured infringements • Tshwane accounts for 22.6% of captured infringements • Gauteng Community Safety accounts for 2.1% of captured infringements • RTMC accounts for 1.6% of captured infringements • AARTO 01 (handwritten) infringements account for 24% of all notices • AARTO 03 (speed) infringements account for 58% of all notices • AARTO 31 (parking) infringements account for 18% of all notices

26. Other Selective Options – Court option

27. Other Selective Options – Court option

28. Other Selective Options - Representations

29. Other Selective Options - Representations

30. Adjudications performance

31. Adjudications performance

32. Adjudications performance Number of Representations adjudicated in comparison with previous year

33. Adjudications performance

34. Adjudications performance

35. Adjudications performance

36. Adjudications performance

37. Agency notices: Courtesy letters

38. Agency notices: Enforcement Orders

39. Agency notices : Others

40. Financial performance : Payments made Payment Time Frames • Payments made within 1st phase (<32 days) whilst the infringement was still in the discounted stage. Infringer pays 50% which all goes to issuing authorities. • Payments made in 2ndphase (between 33 and 64 days). IA’s receive 50% and RTIA 50% (discount now forfeited) • Payments made in 3rdphase (after 64 days). IA’s receive 50% and RTIA 50%

41. Financial performance : Number of Payments made

42. Financial performance : Value of Payments made

43. Financial performance : Payments made Number of total infringement notices paid in comparison with previous year

44. Financial performance :

45. Financial performance : Monthly % payments made The higher payments during June & July was due to the serving of Enforcement Orders

46. Financial performance : % payments made

47. Challenges • Legislative inefficiencies • Inadequate funding - IT infrastructure - Staffing - Limited communication & education • Mandate conflicts on institutional arrangements • Governance (insufficient board membership)

48. Highlights & achievements • Audit Performance • - 2nd consecutive unqualified opinion • Legislative amendments • - Amendment Bill published for comment in • Gazette 36173 dated 20 February 2013 • Institutional capacitation • - cautious & strategic recruitment • - establishment of internal audit, IT & debt • collection units • Marketing & education • - leveraged on the DoT and other entities for • communications

49. PART III: Annual financial statements PART III: Annual Financial Statements

50. Highlights: Financial Performance