Office for Government Representation in Property Affairs (OGRPA) MEMBER UPDATE

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1 Office for Government Representation in Property Affairs (OGRPA) MEMBER UPDATE Annual Conference PuRE-net, Oslo,

2 RE PROPERTY IN CZECH REPUBLIC & OGRPA Decentralized state RE ownership OGRPA: manages mainly redundant RE property main goal (as to the property) = sale of state property which is not needed. OGRPA present portfolio: buildings and other structures plots of land movable items securities and shares By June 30, 2016 this amounts to an accounted value of 700 mil. EUR items

3 Specific floating real estate portfolio character: High volume of annual inflow and outflow of the property items. Average annual INFLOW and OUTFLOW in the last 3 years In RE Out RE Origin of high inflows of the RE: Escheats Assets secured in criminal proceedings Traced state ownership Land adjustments in the cadastre Not needed by other state institutions Acquired from other state institutions (expected)

4 CHANGES in LEGISLATION Act No. 219/2000 Coll. on STATE ASSETS by March 1, 2016 The Czech Republic has a decentralized system of state property ownership. The aim is to centralize state assets and the latest change in legislation has laid the foundation stone for it. 19a Optional for state institution to hand over property they use to OGRPA (OGRPA acts as a property manager) 19b Obligatory for state institutions to hand over redundant property to OGRPA (empty/fallow properties) assessed according its usefulness to the state (heritage/security) offered to other state institutions to rent (free of charge) sold /rented to the private sector through public tender in case of administrative buildings - government decision precedes the disposal

5 CRAB NEWS OGRPA administrates CRAB = Central Register of Administrative Buildings It serves as: IT tool to register all office area in state owned and in leased buildings. Source to draw information about office areas used by the government. Indicator to identify unnecessary state budget expenses on offices. OGRPA plays an exclusive role in the relocation of government employees: OGRPA submits outputs of CRAB to the Governmental (central) Relocation Commission to optimize the deployment of state employees and to reduce expenses on office space. Regional directors of OGRPA are the chairmen of 8 Regional Relocation Commissions. Since March 2016 it is obligatory for the state institutions to fill in data into CRAB. Except for the Ministry of the Interior and Ministry of Defence for security reasons.

6 THREE MAIN PILLARS SET BY THE NEW LEGISLATION in 2016 One central office in charge of disposal/rent of redundant state real estate property. One central office that acts as a property manager for those state institutions who have chosen to hand over their property to OGRPA. One central office for legal representation in state property cases (amendment on Act No. 201/2002 Coll. on OGRPA bill in the parliament).

7 STATE PROPERTY MAP Inventory check of real estate property Due to decentralized state ownership the OGRPA has developed a unique project drew up a number of maps showing layout of all state-owned properties in the Czech Republic (buildings/land/flats) according the Land Registry data There are state institutions/companies and (72%) out of them do not exist or have been abolished ( out of 1.6 mil RE) On OGRPA request the rest of the institutions do inventory check and has to inform OGRPA about the RE redundant properties (December 2016)

8 Thank you for your attention. See you in Prague - WT on KPIs May 2017

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