SAIDS AR 2019

THE SOUTH AFRICAN INSTITUTE FOR DRUG-FREE SPORT
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2020

22. GOING CONCERN

The Board of directors of the entity has performed a review of the entity’s results and its ability to
continue as a going concern in the foreseeable future.

The directors confirm that they are satisfied that the entity has adequate resources to continue operations
for the foreseeable future based on the following:

- the entity is the only accredited anti-doping body in South Africa

- the entity plays a regulatory role in the promotion of drug free sport, and is a key and necessary
constituent of society

- the entity has signed a service level agreement with the Department of Sport, Arts and Culture (DSAC)
for the 2020/21 financial year

- the entity has generated a surplus in the current year showing its efforts to achieve cost minimisation
and optimum utilisation of its revenues

The effects of the COVID 19 pandemic on the entity’s ability to continue to operate as a going concern
have been considered. The board of directors has no reason to believe that the entity will not be a
going concern in the year ahead. Refer to note 23 of the notes to the financial statements for additional
disclosure on events post reporting date.

23. EVENTS POST REPORTING DATE

In January 2020 there was a global outbreak of the Coronavirus (COVID 19), with the first case in South
Africa being confirmed in early March 2020.

As a precautionary measure to protect against the virus, the entity all its operations on 15th March 2020
and temporarily closed its doors on 18th March 2020, with employees being mandated to work remotely
from home.

On 23 March 2020, The President of South Africa announced a mandatory national lockdown for a period
of 21 days commencing on 26 March 2020 until 16 April 2020. The lockdown period was extended by two
weeks until the end of April 2020 in an effort to curb the spread of the Coronavirus.

The entity is a regulatory body in Sport and with the outbreak of the Coronavirus sporting events were
either suspended or cancelled.

As a result thereof, the entity could not deliver its anti-doping services to Sport for the last two weeks of
the financial year.

The effects of this are that the entity could not perform testing and lost out on generating Doping
Control Sales Revenue for this period.

In assessing the impact of the COVID 19 pandemic, the following factors were considered:

- the entity had exceeded its projected sales revenue from Doping Control Sales for the year by 122% at
the time of the financial year

- the entity had fully utilised its grant funding from the Department of Sports, Arts and Culture (DSAC)

- the entity has generated a surplus for the financial year, which is mainly attributed to sales revenue
generated from Doping Control Sales

The entity has not been able to perform testing or generate sales revenue from 01 April 2020 to date, due
to the national lockdown. However, sales revenue generated from Doping Control Sales is not the primary
source of the entity’s revenue. The entity is primarily funded by a grant received from the Department of
Sport, Arts and Culture.

99SAIDS ANNUAL REPORT 2019/20

THE SOUTH AFRICAN INSTITUTE FOR DRUG-FREE SPORT
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2020

23. EVENTS POST REPORTING DATE (Contd.)
A service level agreement as been entered into with the Department of Sport, Arts and Culture ensuring

that the entity will continue to operate for a period at least 12 months. Half of the grant funding has been
received, as is the practice of grant disbursements by the Department in prior years.

The events occurring after the reporting date are non-adjusting in terms of GRAP 14 as they have no
impact on the position of the entity at the reporting date.

24. CONTINGENT LIABILITY

The entity has a cash surplus for the year under review. The entity will request permission from National
Treasury to retain the surplus. Should permission not be granted, the entity will be liable to repay an
amount of R 709 621 to National Treasury.

25. GRAP STANDARDS APPROVED BUT NOT YET EFFECTIVE

At the date of authorisation of these financial statements, the following standards were approved but
not yet effective.

GRAP STANDARD EFFECTIVE DATE
GRAP 104 - Financial Instruments
No effective date has been determined by the Minister of
Finance

The entity has conducted an assessment of the above standards and has determined that there will be
no material impact on the entity.

100 SAIDS ANNUAL REPORT 2019/20

THE SOUTH AFRICAN INSTITUTE FOR DRUG-FREE SPORT
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2020

2020 2019
R’000 R’000

2 782 938
26. NATIONAL LOTTERIES COMMISSION FUNDING
2 782 938
Revenue - -
- 27
Expenditure
I-Play-Fairmedia campaign 10 -
I-Play-Fair team kit - 20
Education mobile van (branding & maintenance) - 10
Education team uniforms - 20
Event competitor hospitality/Expo stand - 3
Publications/Literature
Sports medicine seminar 117 -
Redir Lottery Mid Project progress visit 231 -
Redir Lottery Final assessment/report 26 -
Redir Lottery Training of Lab management staff 66 472
Education Campaigns 304 138
Education material and infrastructure 194 1
Market research 160 -
Research (ABP Doping Behaviour) 1 030 141
SAIDS & DBE curriculum integration 138 105
Technology and social media
Subscriptions 15 -
SAIDS vehicle costs 5 -
Lab analysis 200 -
Travel, accommodation and DCO Reimbursement 100 -
Transcription services 24 -
Travel and accommodation 10 -
Quality assurance 25 -
Hospitality 2 -

Capital expenditure 38 -
- Education material and infrastructure (gazebo’s) 26 -
- Education material and infrastructure (banners) 19 -
- Technology and social media (projectors) 40 -
- Technology and social media (website development)
101SAIDS ANNUAL REPORT 2019/20

THE SOUTH AFRICAN INSTITUTE FOR DRUG-FREE SPORT
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2020

SCHEDULE OF EXPENSES FOR THE YEAR ENDED 31 MARCH 2020

2020 2019
R’000 R’000


ADMINISTRATION EXPENDITURE 11 845 10 803
Amortisation of intangible assets
Audit fee - external 21 9
Audit fee - internal
Bad debts 903 959
Bank charges
Computer expenses 56 298
Consulting fees
Depreciation 259 20
Electricity and water
Finance cost 88 74
Gifts and entertainment
Insurance 285 266
Loss on sale/scrapping of assets
Office rental 41 69
Postage and telephone
Printing and stationery 295 230
Payroll costs
Penalties 53 49
Repairs and maintenance
Relocation 2 2
Staff amenities
Staff recruitment and training 4 5
Storage costs
Temporary staff costs 170 140
Travelling and accommodation
- -

1 170 1 056

389 343

377 172

7 195 6 589

- 20

2 1

- -

27 30

86 146

14 10

58 7

349 309

This supplementary information presented does not form part of the annual financial statements.

102 SAIDS ANNUAL REPORT 2019/20

THE SOUTH AFRICAN INSTITUTE FOR DRUG-FREE SPORT
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2020

SCHEDULE OF EXPENSES FOR THE YEAR ENDED 31 MARCH 2020 (Contd.)

2020 2019
R’000 R’000


EDUCATION PROGRAMME 2 840 1 307

Publications/Literature - 20

FIFA Legacy fund expenses - -

Vehicle costs 87 59

Gifts and entertainment - 2
32 10
Public relations and communications

Research - -

Seminars and workshops 799 259

Subscriptions 20 19

Website costs - 36

I PLAY FAIR Media campaign - 27
- -
Education equipment and promotional material

Education team uniforms - 20

Education mobile van (branding & maintenance) 10 -

Education material and infrastructure 304 138

Market research 194 1
160 -
Research (ABP Doping Behaviour)

SAIDS & DBE curriculum integration 1 030 141

Technology and social media 138 105

Education Campaigns 66 472

DOPING CONTROL 14 376 11 203

Courier costs 1 871 1 804

Doping control purchases 929 840

Doping test consumables 10 2

Doping control review commission 114 116

Doping control uniforms - 65

Stock written off 6 50

Insurance - medical malpractice 208 216

International testing services 62 125

Travelling accommodation and DCO remuneration 4 089 3 114

Therapeutic Use Exemption Commission 116 69

Laboratory analysis 5 823 4 511

Investigations and Intelligence 744 291

Long service award 5 -

Athlete Passport Management Unit (APMU) 25 -

Redir Lottery Mid project progress visit 117 -

Redir Lottery Final assessment/report 231 -

Redir Lottery Training of Lab management staff 26 -

This supplementary information presented does not form part of the annual financial statements.

103SAIDS ANNUAL REPORT 2019/20

THE SOUTH AFRICAN INSTITUTE FOR DRUG-FREE SPORT
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2020

SCHEDULE OF EXPENSES FOR THE YEAR ENDED 31 MARCH 2020 (Contd.)

2020 2019
R’000 R’000


RESULTS MANAGEMENT 1 590 1 665

Appeals 77 108

Legal counsel 710 818

Remuneration - Tribunal members 229 320

Transcription services 124 107

Travel and accommodation 260 216

Tribunal expenses 10 92

Counselling fees 13 -

Legal assistance 167 3

INTERNATIONAL LIAISON 352 791
International liaison-other 4 18
INADO services 10 9
Nigeria Project expenses - 166
Subsistence and travel allowances
Travelling and accommodation 70 115
268 483

CORPORATE SERVICES 642 570
Audit committee
Board meetings 75 48
Board members honoraria
Corporate gifts and entertainment - 24
Quality assurance
Travelling and accommodation 147 137
Training of board directors
TOTAL EXPENSES 20 18

138 123

262 214

- 9

31 645 26 339

This supplementary information presented does not form part of the annual financial statements.

104 SAIDS ANNUAL REPORT 2019/20

Sponsors & Partners

World Anti-Doping Agency (WADA) Conference on Doping In Sport 4-6 November 2019 – Katowice, Poland

South African Institute for Drug-Free Sport
4th Floor Sports Science Institute of South Africa
Boundary Road, Newlands, 7700

Tel: (021) 686 1634
Email: [email protected]
Website: www.drugfreesport.org.za
Facebook: /Drug-Free Sport ZA
Twitter: @drugfreesportZA

ISBN: 978-0-621-48869-2

Compliance Reference: ISO 9001:2015
Cover image: www.shutterstock.com
Published by: Tandym Print on behalf of
South African Institute for Drug-Free Sport