STATUS REPORT ON THE LOCAL GOVERNMENT Y2 READINESS

Issued by: GCIS

The National Year 2000 Task Team, which is co-ordinating government's approach to local government Y2K readiness, met today to review progress over the past three weeks since its last meeting. The NYTT consists of representatives from the Department of Constitutional Development, other departments and stakeholders, the 9 Provincial Local government Taks Teams (PYTT's), SALGA, Y2K Centre and representatives from business (M2K).

The NYTT received a Status Report on the Local Government Year 2000 Readiness Project.

The inventory being conducted to determine the precise scale of remedial needs for local authorities is now under way in all provinces. Most provinces will complete their inventories by the end of July, and the inventory programme as a whole is on course for the assessment to be completed by end of August 1999.

The Section 21 company, M2K, which has been set up by the private sector to give effect to its partnership with government in preparing local authorities for the Year 2000, now has offices at the Department of Constitutional Development. M2K, whose chair is Clem Sunter of Anglo American Corporation, is working in close co-operation with government to implement the following three phases of the local government readiness project:

Phase 1: the inventory and assessment of mission critical systems within all municipalities;

Phase 2: the correction of the systems not Y2K complient; and

Phase 3: the review and evaluation of the corrective measures.

The closing date for the tenders for the correction phase is 30 July 1999. The tender for the review and evaluation phase will be published on the same date.

The NYTT took note of recent media reports and speculation concerning the Correction Tender and the estimated total cost to government.

In this regard the NYTT wishes to point out that the value of the Correction Tender can only be determined once the inventory phase (phase 1) has been completed and there is no basis for the figure of R1 billion being cited in media reports. The two Section 21 companies involved in preparations for the Year 2000, namely the Y2K Decision Support Centre and M2K, are both represented on the NYTT and are working together, each with a focus on different aspects and phases of the process of ensuring Y2K readiness on the part of municipalities. Media reports suggesting that they are in competition are based on misunderstandings about their respective roles.

There will shortly be a briefing of the media and other sectors on the process and its progress.

Issued by: Government Communication and Information system

21 July 1999

Enquiries: Mr. Louis Buys Tel: (012) 334-0600 or Cell: 082 572 9353

Dr. Chippy Olver Tel: (012) 334-0600 or Cell: 082 568 0415