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| Why the DA will not be supporting the proposed rates policy Guiding Principles- We maintain that any policy should contain guiding principles, in the case of a rates policy we believe that it is essential that equity, affordability, cost efficiency and sustainability should be stated as guiding principles. The inclusion of these would ensure that these principles are applied to all aspects of a policy. Appeals- We are most concerned about the situation regarding pensioners, the disabled and others on fixed incomes who lodge appeals. The owner is liable for the rates at the new value until such time as the appeal is heard. It could take more than a year for an appeal to actually be heard. This could cause tremendous hardship for those mentioned above who could well find themselves in a situation where they cannot afford to pay in the period between lodging and the actual appeal hearing. Provision for phasing in- We are extremely disappointed to note that this suggestion has been rejected. We maintain that this measure is extremely important to protect those ratepayers who suffer from a major shift in incidence. The mechanism would create an option for council to provide relief where such situations occur whether they are in flatted areas, townships or suburbs. This would be a fair approach as it would allow the ratepayer some time to adjust cash flow to meet the new rates payment. The DA cannot see any harm in including this mechanism in the policy. And will be moving, as an amendment, the following insertion: “If, in the implementation of the new valuation roll, the rates payable in respect of any property, after any applicable rebates contemplated in this Policy have been taken into account, exceed a percentage as determined by Council, the Council may consider a phasing of the increase in assessment rates” Liability of sectional title owners- Whilst we note sect. 15(b) 3 of the sectional Title Act allows for the approach suggested by council, it is our submission that it is grossly unfair and flies in the face of equitability and the “user pays” principle. Under the current proposal those ratepayers who have diligently paid their dues will be forced to pick up the tab for those who have not. As a party we cannot morally justify penalizing diligent ratepayers in this way. Selective information- It has become clear from recent press reports and comments by ANC Councillors that the valuation roll and other information has been provided to the ANC and not shared with other political parties on the council. This is a cause for great concern. The DA must place on record our dissatisfaction with the fact that the valuation roll has not been provided as this would have enabled a far better examination of the effects of the policy decisions we are expected to make. ##### |
| BUDGET PROCESS IS FLAWED 2 March'08 ' The process by which the Ethekwini Budget is being compiled is flawed and undemocratic. Ward councillor input is being ignored and relegated in favour of what appears to be a socialist welfare agenda driven by bureaucrats,' says Bluff DA ward councillor Duncan Du Bois. ' This was clearly demonstrated at the IDP workshop I attended on Sunday March 2. I was given a list of priorities for my ward (No. 66) and told that all I could change was the order. The list bears absolutely no relation to the priorities of Bluff residents who comprise 80% of ward 66. For the record the listed so-called priorities are: 1) Safety and security; 2) improved health; 3) skills development; 4) sustainable income: 5) HIV/Aids. My rejection of this list was recorded.' ' As the elected representative of this ward I have to point out that I had no input in the compilation of that list. Besides, four of the items are not even municipal functions. The list of priority items for ward 66 that I forwarded to the City Treasurer in December has been totally ignored. That list included the application of the town planning scheme to Clairwood, a bridge over SouthCoast Rd at the Blamey Rd intersection, robots at the Brighton / Grays Inn, Bideford / Tara intersections as well as Umbilo and Edwin Swales Dve.' ' It was also pointed out that on March 15 at the Big Mama meeting, the public consultation process will be finalised. The fine tuning will be left to the Metro Executive. This proves that lip service is paid to meaningful community participation. Worse still is that the mandates ward councillors received are being ignored. Product is not being delivered because the process is being manipulated. Transparency and accountability have become casualties along the way,' said Cllr Du Bois. ########### |
| Draft Budget and Rates Randage 16 March 2008 The DA has noted the tabling of the draft budget for the eThekwini municipality, like all budgets there are positive and negative aspects. Obviously we now await the detailed line item budget which will enable us to interrogate the budget more thoroughly. Some of the positives arising from the draft are: 1. The 200 new metro Police officers which will be trained-whilst this allocation is still insufficient to meet the challenge posed by crime and bylaw infringements across the city, it is a step in the right direction. 2. The allocation of R80 Million Rands for critical vacancies- the DA will be pushing to ensure that those vacancies which are closely related to actual service delivery are filled first. The organisation is already top heavy with a high proportion of salaries being expended on executives, senior managers and heads rather than those who carry out the actual work. 3. The rebates granted to both residential property (R120 000) and the rebates granted to pensioners, medically boarded persons, child headed households and grantees (400 000). The items which are of great concern are: 1. The rate randage- the city has released a draft randage of 0.009c/R, this is almost double the draft randage of Johannesburg and coupled with the hyper-inflationary 9.9% water increase and 15% electricity increase will cause a great deal of ratepayers across the city severe hardship. the DA notes with concern that every year the rates go up and yet the services on basic municipal functions such as streetsweeping, parks, general maintenance and traffic lights go down. Residents are already feeling the pinch of massive petrol price increases, increases in the interest rate and food price increases. The rates increases are only going to add to the burdens which they are experiencing. 2. The 32 million rand hostel deficit- when the council passed the resolution to take 4 additional hostels onto the books the DA voted against it and warned of the huge deficit which would result. This is essentially a provincial government function, yet the funding now has to result in a rates increase. 3. The water loss account- the DA notes that despite repeated assurances by the ANC that the problem would be dealt with it has increased. 35% of all water bulk purchased by the council is unaccounted for. the ANC's unwillingness to get tough on those who steal water has meant that those who do pay are once again penalised. The DA will be going through the budget extremely carefully and looking for areas where cost savings can be made. We are convinced that the budget conceals a lot of political padding and "nice to haves". We are confident that by eliminating these we can bring the randage down to alleviate the burden on residents. DA repeats call for objection period to be extended. The Democratic Alliance on the eThekwini council is repeating its call for the objection period to the valuation roll to be extended. There are extremely valid reasons for this call as a number of residents across the city have still not yet received their section 49 notices notifying them officially of their value, this particularly seems to be the case in sectional title units. The fact that many residents were unable to access the website due to several crashes has only aggravated this. Not all residents have acess to the internet and the form itself is also complex and requires information, such as recent sales data, which could take weeks for a resident to obtain. It is also worth noting that the period for objections in the two other major metropolitan areas, Johannesburg and Cape Town, was over 90 days with Cape Town still accepting objection forms. The shock which has greeted a large number of residents in terms of skewed property valuations, coupled with the massive rates randage which is double that of Johannesburg (0.005c/R) and Cape Town (0.00459 c/R) is going to mean that a number of objections will be coming in. It is the city's duty in terms of the Municipal Property Rates Act to ensure that residents are given adequate time to lodge such objections. Issued by: Councillor John Steenhuisen, DA eThekwini Caucus leader- 083 6573864 ############## |
| THE RATES FIASCO 17 March 2008 Just as the process and approach to the street-renaming exercise was deeply flawed, so too is the way in which the ANC-controlled Ethekwini municipality has gone about determining property rates. The numerous anomalies and inconsistencies are the result of the very poor manner in which the harvesting of property information was carried out. 32 valuers several of whom are retired or out of practice conducted the valuation survey. For a metro of Durban's size they were simply not up to the job. As a result only 26% of assessed properties were actually physically accessed. No wonder there are such varied discrepancies in the ratings property owners have received. Given this unfolding fiasco, it is logical that the deadline for lodging objections should be extended as has been the case in Cape Town, but this has been declined by Dr Sutcliffe. The DA is also outraged by the premature releasing of the rate randage. Given the flood of objections, it amounts to poor accounting to proceed with a budget based on property rates that are being widely challenged. It would have been more sensible to settle the objections first and to postpone the application of the new rating system until 2009. It is also glaringly obvious from the figures released in Sutcliffe's own Metro newsheet that his statement about a rates rise of around 10% is devious nonsense. The average increase on the Bluff is given at 20% whilst Yellowwood Park residents are hit by 35%. Gilletts and Kingsburgh have been slammed with 86% and 89% respectively. This is utter madness. Yet ANC- supporting areas have been awarded either nominal rates increases or decreases such as 44% in Umlazi. Clearly a socialist agenda is openly at work in which massive cross-subsidisation is intended. As things stand, many are in danger of being rated out of their homes and those who are expected to pay these huge increases cannot expect to be compensated by an improvement in services. It is a tragic and outrageous situation that threatens Durban with ruin. At a time of downturn in the economy, prudence dictates that continued expansion of Durban's budget is not sustainable. Since July 2003 it has doubled in size from R9,7 billion to R20 billion in 2008. Yet the rates base has grown by little more than one percent per annum. ################# |
| RATEPAYERS URGED TO ATTEND BUDGET HEARINGS 6 April 2008 Ratepayers in the SUN circulation area are encouraged to attend Council-sponsored hearings this weekend. A hearing affecting the Bluff, Woodlands, Montclair and Yellowwood Park will be held at 9am on Sunday April 13 at the Ningizimu School in Kenyon Howden Rd Montclair. A hearing concerning ward 67 and ward 68 which takes in Austerville, Merewent, Jacobs and Treasure Beach areas will take place at 9am on Saturday, April 12 at the Ezimbokodweni Community Hall. For more details about this hearing, interested parties are urged to contact Councillor Aubrey Snyman on 082 700-7081. ' The DA urges ratepayers to attend these hearings and to demand detailed accounts as to how their rates are going to be spent in the areas in which they live,' says Bluff ward councillor Duncan Du Bois. ' Never before has the city's Budget been so large, yet the proposals promise very little by way of improvement to basic maintenance and services which appear to deteriorate from one year to the next. It's time to stop the rates rip-off and to insist on value for money in the areas in which we live,' he said. ####################### |