LOCATIONS ALLOCATED FROM AND TO BY THEIR PURPOSES

Property Management

LOCATIONS ALLOCATED FROM AND TO BY THEIR PURPOSES

Service Area/Years

Locations Allocated From(Item) Locations Allocated To(Item) 2004-

2012 2013 TOTAL

2004-2013 TOTAL

Social Service 15 - 15 71 4 75

Cultural Service 31 1 32 19 2 21

Medical Service 2 - 2 5 - 5

GENERAL TOTAL 122 13 135 220 33 253

with the purpose of evaluating them as assignment, barter etc.

and to perform determination of current value and to avoid making transactions below the current value of these real estate properties by performing an evaluation of current value

Graphic 14 . Own Revenues Report for 2013

Other Own Revenues

%32 3 evaluation service were purchased for ;”Beyoğlu Township,

Bereketzade District, 165 Block, 12, 13, 14, 15 Parcels, and Fatih Township, Alemdar District, 42 Block, 32 Parcel”, Some Parcels in Üsküdar and Bakırköy” and “Şişli Township, Meşrutiyet District, 1905 Block, 224Parcel Numbered

%68

Directorate of Real Estate Revenues

Resource. Department of Real Estate, 2013

62.475m2 Real Estate Property “D” Block within the possession of our municipality“.

Further, within the scope of financial study, creation of the best financing model and/or models in terms of investment, determination of outsource capacity of the project and minimum equity usage, review on the need of management capital, financability of the project and informing the local and foreign investors during the ender phase efficiency and in detail by performing the financial and economic studies on the Project of Tuzla Aydınlı vegetable and fruit market are very important, thus “Financial Study Service in terms of Feasibility/Evaluation Reports of Tuzla Aydınlı Vegetable Fruit Market Project” was purchased.

A total payment of 108,265 TL was made for the 1 study carried out from 2012 and 4 new services started and completed in 2014.

Sales and Renting Procedures

Property, management and possession types belonging to Istanbul Metropolitan Municipality can be listed as lands, premises, stores, billboards, newspaper sales buffets, ATM groups, car parks, seaports, sea vehicles, coast fill areas, fibreoptic cabling and data lines.

It is aimed to prepare the projects of real estate properties in our municipality's real estate property sales, having the design in accordance with the needs of the region and structuring the construction plans with these insights and submitting them to counted within real estate revenue.

Table 30

Istanbul Metropolitan Municipality may allocate real estate in its own property to district municipalities as well as other public organizations and institutions in line with their requirements.

Allocation of real estate belonging to such organizations and institutions to our Municipality may also be requested in order to use for our requirements. Furthermore, our Municipality may rent such real estate from persons, companies and public organizations and institutions in line with its requirements and services.

General Directorate of Foundations and Department of National Estate may be listed as the organizations providing most of the allocations for our Municipality. Organizations we have allocated real estate at most are Ministries, District Municipalities and our service departments under IMM.

Number and percentage information for allocations given and obtained by our Municipality for 2012 is shown in the table below.

Table 31

2012

Resource. Department of Real Estate, 2013

A total of 17.488.345 TL was spent by our Municipality for paid allocation procedures performed as well as 64 locations rented from organizations, persons and companies in line with the requirements and services of Istanbul Metropolitan Municipality in 2013.

Barter and Transfer Procedures

Kaynak. Emlak Yönetimi Daire Başkanl

Reconciliation Rates in Expropriation

2009 2010 2011 2012 2013

Expropriation Price Paid via Reconciliation Method (TL) (8th Article) 50.973.421 160.202.413 81.392.428 240.312.218 108.464.144

Expropriation Price Paid via Lawsuits (TL) (Article 10) 65.420.115 26.904.720 32.960.515 24.895.906 67.549.559

Expropriation Price via Confiscating Method (TL) 64.517.270 184.986.631 87.616.433 147.565.531 143.399.002

Reconciliation Rate (%) 63 86 71 90 72

TOTAL (TL) 180.910.806 372.093.764 201.969.376 412.773.655 319.412.706

the inventory of Metropolitan Municipality and exploited in accordance with their intended uses.

Transfer operation for an area of 41.433,39 m² and purchase of an ⁷⁰⁰

Graphic 15. Total Expropriation Payments and Total Expropriation Area

area of 25.213.76 m² and barter operation for an area of 10.820 m² were concluded in the districts of Sultangazi, Bağcılar, Ataşehir, Esenler, Eyüp was taken over with a price of 122.803.020.70 TL in 2013.

Purchasing Procedures

93 immovable premises were purchased by Department of Real Estate in Bakırköy, Bayrampaşa, Esenler, Zeytinburnu, Ümraniye, Pendik, Beşiktaş and Sultangazi districts in order to eliminate unfit structures in the region and to ensure regular urbanization within the scope of

600

urban renovation activities of Istanbul Metropolitan Municipality in 2013 and a total of 244.908.623,50 TL was paid for such immovable

2009 2010

Expropriation is the procedure of transferring real estate necessary for rendering public services or undertaking enterprises to which

organizations are obliged as per the relevant laws from private property to public property through paying their prices. Valuation works are performed for the location to be expropriated before such a procedure.

Firstly, a physical site survey is performed and then information is

Resource. Department of Real Estate, 2013

Graphic 16. Rates for Expropriated Areas by Their Project Objectives in 2013

%3 Transportation

obtained from real estate offices for immovable premises which will %16 be allocated to public services as required by the plan. Afterwards, surveys for existing structures on real estate are obtained and market value of the location is determined through examining immovable premises with sales transactions in progress in directorate of land registry.

In 2013 totally 570 files were submitted to Expropriation Commission by districts, valuation works for 464 files which account for about 78% of total files were completed after discussion on such files.

%28 public financial management, was regulated under the Fifth Section of Public Financial Management and Control Law No.

5018. The definition, structure and operation of internal control associated with the system were determined by law.

On the 55th article of Law no 5019, Internal Control is defined as “overall financial and other controls through the

Resource. Department of Real Estate, 2013

organization, method and process created by the administration so as to ensure that the activities are carried out effectively, economically and effectively in compliance with the targets of the administration, the designated policies and regulation; accounting books are kept accurately and completely; and financial information and management information are produced in a timely and reliable manner.

The law prescribes the aim of internal control as to ensure;

- Effective, economic and efficient management of public revenues, expenditures, assets and obligations,

- Public administrations operate in line with laws and other regulations,

- Irregularities and malpractices in any financial decision and operations are prevented,

- Regular and reliable reports and information are obtained on time in order to conclude and monitor decisions,

- Exploitation and dissipation of the assets are prevented and protected against loss.

Under the chairmanship of higher administration, expenditure units, the financial services unit which incorporate accounting and ex-ante financial auditing operations, and internal control unit constitute the main organizational structure of the internal control system. The law also gives the responsibility of overseeing and monitoring to the higher administration.

Through the mentioned regulations, our public financial management system was redesigned in line with international standards and EU practices, and an internal control system which covers all of the financial and non-financial operations within every public institution based on risk management was targeted.

Accordingly, 18 standards and 79 general conditions necessary for these standards were determined through Public Internal Auditing Standards communique published in Official Gazette with the date of 26.12.2007 by Finance Ministry. COSO Internal Auditing Model with a common area of usage both in private sector and public sector in developing countries was taken as a basis while determining such standards. Additionally, INTOSAI (The International Organization of Supreme Audit Institutions) Guidelines for Internal Auditing Standards for Public Sector and European Union Internal Auditing Standards were taken into consideration for legislation arrangements.

The activities for establishing an internal control system in compliance with Public Internal Auditing Standards were initiated in line with the manual issued by Directorate General of Budget and Financial Control, Ministry of Finance and these activities were continues in 2013 financial year.

After Istanbul Metropolitan Municipality First Public Internal Control Standards Compliance Activity Plan which includes the period of 01.07.2009-30.06.2011, Second Internal Control Activity Plan (ICAP 02) and Activity Plan Process Based Supervision Program for period 01.07.2009-30.06.2011 were prepared by our institution and was entered into force by submitting to Ministry of Finance with the approval of senior management.

2013 Financial Year Internal Control System and Corporate Second Internal Control Action Plan Period (01.01.2013-31.12.2013)

A total of 110 actions, 18 of which are for General Management function, 18 for Human Resources and Ethics

Implementations function, 13 for Information Systems, Record and Documentation Implementations function, 5 for Communication function, 22 for methods of Control Medium Analysis, 18 for Process Improvement Projects, 3 for Organizational Structuring, 3 for Internal Control component and 10 for Internal Control Coordination function were determined for the period that covers dates of 01..1.2011 - 31.12.2014.

Activities were commenced for a total of 80 actions, the starting and completing dates of which were estimated to be within the 2013 financial year in scope of the planning. Some of the actions for general management, information systems, human resources implementations, record-filing, internal control coordination, organizational structuring, process improvement projects and internal control were completed and launched. Studies for the package activities within the Activity Plan Control Environment Analysis Component. Evaluation of internal control system and implementation of necessary measures are very important for the efficiency of the system. For the expertise support necessary for maintaining the general standardization for the internal control implementations a service purchase tender was opened by our Strategy Development Directorate.

In accordance with the Public Internal Control Standards Communiqué, “Creation of Corporate Risk Management Model in Local Administrations and IMM Application” project was started in our Municipality on 15.04.2013 and completed on 31.12.2013.

Project was supported by Istanbul Development Agency (ISTKA).

Detailed information was provided about the study under the Strategic Management title.

Internal Control System Tracking and Rehabilitation (IKSIR) project for performing the internal control system current status analysis within the body of Financial Services Directorate, analysis of the possible risks of current status and designing the applications for the improvement of current internal control system and completion of process measurement indicators was started on 06.03.2013 and completed on 02.09.2013. Detailed information on the study was provided under the title of Strategic Management.

With the purpose of performing the evaluation of Internal control system of Istanbul Metropolitan Municipality for 2013, realization data for the activities started in 2013 and have to be completed, located in Internal Control Activity Plan 02 (ICAP 02) was analyzed.

When the realization data of the activity are evaluated, 45 activities are completed, 31 activities are still in progress

4 activities are incomplete in our institution which is responsible for 80 activities in 2013. Realization rate of the activities in 2013 was determined as 82,37%.

Graphic 17. ICAP 02 Realization General Data

Resource. Department of Financial Services, 2013

Graphic 18. Activity Completion Rae (%)

100

Resource. Department of Financial Services, 2013

Table 33

1 Evaluation of strategic plan update necessity

1. Strategic plan update need

evaluation 100

2 Performing strategic plan updating study in

accordance with need evaluation result 1. Updated strategic plan 100

3 Evaluation of strategic plan renewal need and conditions

1. Evaluation of strategic plan and

renewal nee and conditions 100

5 Preparation of performance based investment and service program

1. Performance program

2. Investment Program 100

Control of specific, measureable, achievable, relevance and

periodic features of objectives of administration and units 1. Control list of specific, measureable, achievable, relevance and periodic features of objectives of administration and units

100

Table 33 Cont. realization of corporate strategy map and objectives

1. Corporate Human Resources plan 17

Information technologies planning for the realization of corporate strategy map and

objectives 1. Corporate Information Technologies

resource plan 100

9 Physical resource planning for the realization of corporate strategy map and objectives

1. Corporate physical resource plan 100

10 Financial resource planning for the realization of corporate strategy map and objectives

1. Corporate financial resource plan/budget 100

Informing the expectations of the administration within the frame of mission, vision and strategy map and the objectives of units determined in relation with this frame to the personnel

1. Personnel informing writing, presentation, minutes of meeting etc.

2. Personnel assignment document

100

Disclosing the objective, goal, strategy, existence and obligations and of the administration and the performance program to the public

1. Web site interface 100

Submitting the realization value of activity information and data and performance indicators to the coordinator

1. Unit activity and performance reports 100

Submitting the unit activity and performance

reports to senior management for evaluation 1. Corporate activity and performance report

100

Disclosing the application results of the administration budget for the first month period, expectations, objectives and activities of the second six month period to the public

1. Six-month evaluation report of Administration ( implementations and budget realizations,

expectations of second six-month, objectives, activities) 100

17 Preparation of expenditure units

activity reports 1. Expenditure units activity reports 100

18 Preparation of administrative activity report 1. Administration activity report 100

Human Resources

Improvement of recruitment and assignment based on professional ability system

1. Improvement recommendation form 2. Improvement application results report 3. Personnel need request form

Revision of "personnel evaluation model"

based on the measurement of the knowledge, experience, ability, professional ability and performance of the personnel

1. Revised personnel evaluation

legislation 17

21 Conducting the director and personnel evaluation process in accordance with the legislation

1. Performance evaluation results

interview minutes based on units 100

22 Determination of improvement for individual performance development,

Performing the application based on qualification principle and individual performance for personnel recruitment and promotion and performing necessary improvements for the current status

1. Personnel employment, promotion and increasing system improvement report

2. Improvement application results report

24 Process based education need analysis and planning

1. Education need analysis form

2. Education planning 100

Table 33 Cont.

25 Performance of education applications 1. Education planning 2. Post education satisfaction survey

100

26 Updating education system based on requests

during the period 1. Education plan updating evaluation report

100

Preparation of personnel manual which includes personnel evaluation model, service education process and employee rights

information and distributing it to the personnel 1. Personnel manual 100

28 Performing personnel need analysis based on process after the control environment analysis and definition

Informing the personnel through service trainings about the codes of conduct of public officials, decisions of public ethics board and mistake, irregularity and corruption notification methods

1. Education plan 2. Education participation chart

3. Awareness level measurement survey 4. Satisfaction survey

100

Submitting the codes of conduct of public officials, decisions of public ethics board and mistake, irregularity and corruption notification methods to personnel through intranet, e-mail etc. communication tools

1. Web site interface

2. E-mail notification form 100

36 Publishing the codes of conduct of organization in a visible place such as a panel

1. Corporate Codes of Conduct

2. Corporate Codes of Conduct Spread Order Plan 3. Leaflet / Brochure

Activation of IMM fileserver application (improvement of naming numerical documents, archiving etc. standards, creation of fileserver usage process and rules, preparation of necessary informing materials)

1. Fileserver application filing and authorization standards 2. Procedure on Fileserver usage

100

Designing the general information-data assurance system for the organization with the purpose of determining the control of the continuity and security of information systems, data entry authorizations and measures to be taken against mistake-irregularities

1. Corporate information – data assurance system

100

Informing within the scope of popularizing the information security awareness in the organization

Determination of the controls for the continuity and security of the information systems and publishing the procedures

1. Information systems control procedures 100

Development of mechanisms for the activation of information management (Development of awarding system for the information system usage, simplifying software development process and performing organizational arrangements, activation of IT change management etc.)

Table 33 Cont.

44 Updating signatory authorities legislation by activating signature processes

1. Activity result report that includes analysis, classification, standard forms and revision process

47 Performing informative presentations for IMM record and filing studies

1. Document showing the status of personnel called for and participated to the briefing 2. Information satisfaction rates 3. Guide, presentation etc. material submitted within the scope of informing via intranet

100

49 Performing informative presentations for IMM archive filing studies

2. Control strategy and methods 3. Authority-approval inquiry

57 Transportation services management control

environment analysis and definition studies 70

58 Environment management control

60 KTD management control environment analysis

and definition studies 70

61 Health services and management control

environment analysis and definition studies 70

Social support servicesmanagement control

environment analysis and definition studies 70

63 Cultural servicesmanagement control environment analysis and

definition studies 70

Table 33 Cont.

ICAP 02 REALIZATION ICAP 02

Component Name

ICAP 02

No Activity Outcome

Activity Status Realization (%)

In Prog

ress In Prog

ress Completed In ProgressCompleted

Control Environment Analysis 65

Project design and project application control environment analysis and definition studies

1. Risk analysis

2. Control strategy and methods 3. Authority-approval inquiry 4. Sensitive duties 5. Revision process 6. Terms of reference 7. Task distribution chart 8. Procedures

66 Supply management control environment analysis and definition studies

67 Financial resource management control

environment analysis and definition studies 100

Human resource management control

environment analysis and definition studies 70

69 Information technology service management control environment analysis and definition studies

Internal/external relationships management control environment analysis and definition studies

71 Support services management control

environment analysis and definition studies 70

72 Affiliates management control environment analysis and definition studies

73 Legal processes management control

environment analysis and definition studies 70

74 Document and archive management control

environment analysis and definition studies 70

75 Decision approval processes resource management control environment analysis and definition studies

Supervision resource management control

environment analysis and definition studies 70

ICAP 02 REALIZATION ICAP 02

Component Name

ICAP 02

No Activity Outcome Activity Status Realization

Complete In ProgressIncomplete (%)

Process Improvement Projects

83 Supply method system development 1. Improvement recommendations

and application plan 0

84 Creation of supply data base (good, service, structure, tender, supplier information)

1.Data base that includes

Product/Service/Construction/Tender/Su pplier Information

85 Creation of supplier evaluation system

1. Supplier evaluation system 2.Materials such as guides, presentations etc. that describe the supplier evaluation system

3.Procedure for supplier evaluation process procedure

88 Evaluation of IMM real estate properties

1. Methods for active evaluation of IMM properties 2. Systematic approach for evaluation of portfolio

of IMM properties by reviewing periodically 70

90 Improvement and spread of information system usage in

support services 1. Improved software 100

92 Review of lodging management

1. Lodging inventory 2. Lodging request forms 3. Lodging repair request forms 4.Annual lodging repair plan

100

93 Increasing the building entry and building security service quality

1. Informing and education participation lists

2. Security and welcoming participation lists

3. Building security control form

100

95 Determination of legislation regulation need

1. Legislation arrangement necessity forms

2. Legislation regulation necessity report 70

Table 33 Cont.

Complete In Progress Incomplete (%)

Organizational Structure

Distribution of essential authorities and responsibilities of administrative organization structure, evaluating by considering the accountability and suitable reporting relationship and preparing the necessary arrangements

1. Corporate organization arrangement recommendation report

100

78 Evaluation of recommendations for the

administrative organization structure 1. Corporate organization arrangement recommendation evaluation report

100

Distribution of essential authorities and responsibilities of unit organization structure, evaluating by considering the accountability and suitable reporting relationship and preparing the necessary arrangements

98 Creation of internal audit plan and

program 1. Internal audit plan and program 100

99 Realization of internal audit applications and sharing

the results with management and related units 1. Internal audit reports 100

Table 33 Cont.

Activity Outcome Activity Status Realization

Complete In ProgressComplete (%)

Internal Audit 100

Determination, definition of briefing and training of board, group and teams for the

Belgede ANNUAL REPORT (sayfa 47-58)