Page 283 - Department of Social Development Annual Report 2021

NOTES TO THE ANNUAL FINANCIAL STATEMENTS FOR THE YEAR ENDED

31 MARCH 2021

Buildings and Machinery
other fixed and
structures equipment

2019/20 Total

R’000 R’000 R’000
Not later than 1 year 23 244 223 23 467
Later than 1 year and not later than 5 years 50 756 93 50 849
Total lease commitments 74 000 316 74 316

The lease amount under buildings refer to the lease of office accommodation through the
Department of Public Works. The lease of office accommodation is renewed at the end of the lease
period if the office accommodation is still needed. The lease agreement in respect of the
photocopiers (machinery and equipment) were extended until June 2021. A new lease agreement
for thirty-six (36) months is in advance stage. The department is participation in the RT3 transversal
contract through National Treasury

The department entered into a lease agreement for additional covered parking near the office
building. The lease agreement is renewed when the contract expired as most of the covered
parking space in the city belongs to the same company. The current parking space is the nearest to
the office building.
There are no sub lease agreements

24.2 Finance leases

2020/21 Machinery and
equipment
Total

R’000 R’000
Not later than 1 year 6 146 6 146
Later than 1 year and not later than 5 years 4 261 4 261
Later than five years - -
Total lease commitments 10 407 10 407

Machinery and
equipment

2019/20 Total

R’000 R’000
Not later than 1 year 6 553 6 553
Later than 1 year and not later than 5 years 10 124 10 124
Total lease commitments 16 677 16 677

The financial Lease amounts relates to Cell phone contracts, Government Garage vehicles and
Data Cards contract.

There are no sub lease agreements

DEPARTMENT OF SOCIAL DEVELOPMENT ANNUAL REPORT 2020/21 283