Swedish Fortifications Agency

Swedish Fortifications Agency
Fortifikationsverket
The coat of arms of the Swedish Fortifications Agency
Agency overview
Formed 1994[1]
Preceding agency
  • Fortifikationsförvaltningen (1948-1994)[1]
Jurisdiction Sweden Government of Sweden
Headquarters Kungsgatan 43
631 89 Eskilstuna[2]
Employees 689 (as of 2008)[3]
Annual budget Self-sufficient through fees.[4]
Revenue 3.0 billion SEK(2008)[5]
Minister responsible
Agency executive
Parent agency Ministry of Finance[8]
Website Fortv.se

The Swedish Fortifications Agency (SFA) (Swedish: Fortifikationsverket, abbreviated FortV) is a Swedish government agency under the Swedish Ministry of Finance (Finansdepartementet), tasked with managing government-owned defense-related buildings and land.[9] The agency functions as the landlord for the Swedish Armed Forces (Försvarsmakten), managing various types of military installations.[8][10] The SFA is one of the largest holders of real estate in Sweden.[8]

Function in the government

The formation of the SFA in 1994 was part of the Swedish government effort to increase the cost-efficiency of government real estate usage through a system of internal rent, which was meant to emulate market-like conditions.[11] The main purpose with the reform was to create economic incentives for the authorities in the public sector to economise on premises.[12] In the defense sector, the real estate holdings were transferred from the Swedish Armed Forces — the user of the real estate — to the SFA; with the Swedish Armed Forces remaining in the estate as a tenant.[11]

Currently, the SFA acts as landlord for several Swedish government agencies in the defense sector.[13] The main tenant is the Swedish Armed Forces, which in 2007 was the source of over 90% of the SFA:s revenue.[13]

Economy

The SFA does not receive an allowance from the government budget.[4] Instead, it covers its expenses by charging rent for the real estate it leases.[4] In 2008, the agency's revenue was 3.0 billion SEK, and its net income 67 million SEK.[5] The rent is adjusted so that the net income — which goes into the state treasury — conforms to a predefined level of return on equity, as set by the Ministry of Finance.[14] To finance investments, the SFA borrows money from the National Debt Office (Riksgälden), which acts as the internal bank of the government.[15]

Personnel

The SFA employed 689 people in 2008.[3] The majority of the employees work on a local level in real estate units linked to garrisons,[16] where employees work in areas such as project management, property development and maintenance services.[17] At the regional and national level, employees work in real estate purchasing and sales, defense facility development, and various management functions.[17] The SFA considers its core competencies to be security and protective technology.[18] The agency has stated that it aims to increase the amount of outsourcing, and as an experiment in 2006, it outsourced the property maintenance of two garrisons.[19]

Karlberg Palace in Solna, Stockholm — which houses the Military Academy Karlberg — is one of the properties managed by the SFA.[20]

Real estate stock

In 2008, the book value of the government real estate stock managed by the SFA was 10.1 billion SEK,[21] largely consisting of depots, garrisons, training facilities, offices, and proving grounds.[22] In 2007, the total real estate stock included:[23]

  • 8 000 buildings
  • 3.3 million square meters of open space facilities
  • 7 700 defense facilities
  • 11 airfields
  • 380 000 hectares of land, including:
  • 100 000 hectares of forest

Notes

  1. 1 2 Swedish Fortifications Agency: "Archived copy". Archived from the original on 2007-07-08. Retrieved 2009-07-11.
  2. ↑ Swedish Fortifications Agency: "Archived copy". Archived from the original on 2009-02-25. Retrieved 2009-07-11.
  3. 1 2 Swedish Fortifications Agency 2008, p. 18.
  4. 1 2 3 Ministry of Finance 2009, p. 5.
  5. 1 2 Swedish Fortifications Agency 2008, p. 38.
  6. ↑ Ministry of Finance 2009:
  7. ↑ Swedish Fortifications Agency: "Archived copy". Archived from the original on 2007-01-10. Retrieved 2009-07-11.
  8. 1 2 3 Ministry of Finance 2009: "Archived copy". Archived from the original on 2009-06-07. Retrieved 2009-07-11.
  9. ↑ Ministry of Finance 2007
  10. ↑ Holmström 2008
  11. 1 2 Swedish Agency for Public Management 2004, p. 5-6
  12. ↑ Lind 2005
  13. 1 2 Swedish Fortifications Agency 2007, p. 12.
  14. ↑ Ministry of Finance 2009, p. 1.
  15. ↑ Ministry of Finance 2003
  16. ↑ Swedish Fortifications Agency 2008, p. 7.
  17. 1 2 Swedish Fortifications Agency: "Archived copy". Archived from the original on 2009-08-28. Retrieved 2009-07-11.
  18. ↑ Swedish Fortifications Agency 2008, p. 5.
  19. ↑ Swedish Fortifications Agency 2007, p. 8.
  20. ↑ Swedish Fortifications Agency: "Archived copy". Archived from the original on 2008-04-22. Retrieved 2009-07-19.
  21. ↑ Swedish Fortifications Agency, p. 39.
  22. ↑ Swedish Fortifications Agency 2007, pp. 18, 20.
  23. ↑ Swedish Fortifications Agency "Archived copy". Archived from the original on 2007-07-08. Retrieved 2009-07-11.

References

  • Ministry of Finance (2007). "Förordning (2007:758) med instruktion för Fortifikationsverket" [Ordinance (2007:758) with regulations for the Swedish Fortifications Agency]. Svensk Författningssamling (in Swedish). Sveriges Riksdag. Retrieved 10 July 2009.
  • Swedish Fortifications Agency (2009). "Official webpage" (in Swedish). Retrieved 10 July 2009.
  • Ministry of Finance (2009). "Official webpage" (in Swedish). Regeringskansliet. Retrieved 11 July 2009.
  • Ministry of Finance (2009). "Regleringsbrev 2009" [Appropriation directions 2009] (pdf) (in Swedish). Regeringskansliet. Retrieved 11 July 2009.
  • Swedish Fortifications Agency (2008). "Årsberättelse 2008" [Annual report 2008] (pdf) (in Swedish). Retrieved 11 July 2009.
  • Swedish Fortifications Agency (2007). "Årsredovisning 2007" [Annual financial report 2007] (pdf) (in Swedish). Retrieved 12 July 2009.
  • Swedish Fortifications Agency (2007). "Årsfakta 2007" [Yearly facts 2007] (pdf) (in Swedish). Retrieved 12 July 2009.
  • Holmström, Mikael (2008). "Myndigheter och nya förband hotas" [Government agencies and new military units endangered] (in Swedish). Svenska Dagbladet. Retrieved 12 July 2009.
  • Ministry of Finance (2003). "Nya principer vid utformning av statsbudgeten" [New principles in forming the government budget] (pdf) (in Swedish). Regeringskansliet. pp. 141–142. Retrieved 12 July 2009.
  • Lind, Hans; Ted Lindqvist (2005). "Real estate management in the Swedish public sector". Journal of Corporate Real Estate. Emerald Group Publishing Limited. 7 (2): 178–190. doi:10.1108/14630010510812594. ISSN 1463-001X. Retrieved 17 July 2009.
  • Swedish Agency for Public Management (2004). "Hyressättning och kapitalkostnader för försvarsfastigheter" [The setting of rent and the cost of equity in defense related real estate] (pdf) (in Swedish). Swedish Agency for Public Management. Retrieved 17 July 2009.
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