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Victims remembered The executive mayor of Lejweleputsw wa, Sebenzile Ngangelizwe, lit a candle during last week’s council proceedings in remembranc ce of women raped, abused or killed by their partners. Photo: Kaya Mqeke
Budget approved, but . . . Marti Will mwill@volksblad.com
During a special council meeting held in Welkom last week, the 2017-’18 Matjhabeng Local Municipality budget was tabled and approved. The total annual Matjhabeng budget of R2,4 billion hinges on an 85% collection rate of municipal rates and taxes. The average collection rate currently varies between 48% and 64%. Residents who pay their monthly municipal bills face an average increase of 6,4% (water, assessment rates, refuse and sewerage and general tariffs). The electricity tariff will be increased by 1,8% in accordance with Nersa-approved tariff guidelines.
All depends on boosting low collection rate The budgeted revenue for electricity is R627 million. This is based on an assumption that the revenue base for electricity will increase. The tabled and accepted water budget for Matjhabeng for 2017-’18 is R343 million. The new budget assumes that the revenue base for water will increase as a result of the installation of water metres in unmetered areas. This assumption is based on the findings of the auditor general regarding unbilled water. The executive mayor of Matjhabeng, Nkosinjani Speelman, said in his budget address that Matjhabeng is faced with many challenges,
one of which is the unique migration pattern in the area. The Matjhabeng Municipality has over 150 000 foreign nationals who use water, electricity and roads. Speelman said that most of these people do not pay for services. “This budget must address the needs of the people of Matjhabeng. The new budget is focussed on financing development following public participation and listening to the needs of the community,” said Speelman. “The cash flow realities and declining cash position of the municipality compelled us to do an in-depth review of service delivery priorities as
part of the budget planning and process. Projects and expenditure were reprioritised as a result to eliminate spending on non-core activities. “Revenue enhancement will be strengthened through Operation Patala to increase the pay rate to 85%,” he said. Proposed revenue collection in 2017-’18 will include R279 million for property rates, R627 million for electricity, R343 million for water, some R90 million for refuse, some R148 million for sanitation, R30 million for rentals, R20 million for fines, R25 million income from the fresh produce market, almost R407 million in operational
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grants and almost R394 million in equitable share allocation. “We received a qualified report from the auditor general for the 2015-’16 financial year. A clean audit and a healthy cash flow position is my objective for the new financial year. Indeed, the time for talk is over,” said Speelman. André Styger of the DA in Matjhabeng said the DA voted against the budget on the basis that it is unrealistic because of the 85% collection rate it is built on. “Our average collection rate varies between 48% and 64% and nothing drastic has been submitted or is being planned that will ensure a collection increase of 25%. The budget is therefore, in the DA’s opinion, dead in the water.”
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