Lesedi municipality rate shock sparks legal storm

Property owners accuse MEC Jacob Mamabolo of bending the law to shield Lesedi municipality’s illegal property valuation roll.


The “shock condonation” by the Gauteng provincial government of Lesedi municipality’s failure to comply with the law in implementing its 2024–2029 general valuation roll has come under fire.

A letter issued by Gauteng MEC for cooperative governance and traditional affairs (Cogta) Jacob Mamabolo, dated 23 October, reportedly retroactively excused the municipality from due legal processes.

This was just weeks before the High Court in Johannesburg is due to hear a case, on 24 November, where the municipality’s handling of the valuation roll is being challenged on the grounds of illegality.

Lesedi municipality faces court over inflated property rates

Property owners and civic groups accuse Mamabolo of undermining judicial processes and shielding political allies in the Heidelberg-based municipality.

At the heart of the dispute is Lesedi’s alleged breach of Section 49, read with Section 32 of the Municipal Property Rates Act, which requires transparent public participation before implementing a new valuation roll.

Bouwe Wiersma, one of the lawyers representing property owners, said the matter concerned the unilateral reclassification of agricultural properties as residential or vacant residential, a move he said saw some owners’ rates skyrocket by up to 400%.

ALSO READ: Gauteng’s waste collection woes: R1 billion needed for landfills, R60 million for fleets

He said that with higher rates, the property owners suddenly received massive consumption accounts, even though agricultural properties have no basic electricity, no water supply or refuse removal and have gravel roads.

Wiersma said: “It’s clear the goal was to increase revenue, not to improve service delivery. This is an unfair administrative process designed to extract more property taxes while offering nothing in return.”

He said the municipality failed to issue proper notices, advertise adequately, or publish the valuation roll on its website – all of which are legally required steps before new rates can be enforced.

Municipality failed to issue proper notices

The municipality, Wiersma said, went ahead with implementing the valuation roll from 1 July, 2024 and even applied further increases from 1 July, 2025, effectively levying extra rates two budgets ahead of due process.

Property Park (Pty) Ltd, along with five other applicants, has since taken the municipality and Mamabolo to court after Cogta failed to intervene.

Their affidavits claim repeated non-compliance with public notice regulations and the absence of the mandatory second advertisement. Instead of enforcing the law, Mamabolo allegedly issued the condonation under Section 80 of the Act, a move property owners say exceeds his authority.

ALSO READ: 19-year lease, no rent payment and R1.3m power bill: Businessman’s battle with Gauteng municipality

“It’s a legal absurdity. This isn’t governance, it’s jungle justice. The MEC cannot simply rewrite the law to cover up a municipality’s mistakes and rob property owners of due process,” Wiersma said.

He said Lesedi’s draft budget projected R186.6 million in rates income based on a 4.9% increase, yet it collected R235.4 million, a R48.7 million surplus for the 2024-2025 financial year.

The applicants argue that if the court rules in their favour, the municipality could be forced to refund ratepayers with interest.

Dept stands by condonation

“This is governance by convenience, not by the rule of law. When public officials bend legislation to protect political interests, confidence in our institutions collapses,” he said.

Mamabolo’s spokesperson, Theo Nkonki, said the department stood by the condonation, claiming it was based on information supplied by the municipality.

“We had no reason to doubt the basis of their request. “On stakeholders raising issues, we believe their concerns should not be ignored. We will work with the municipality to create a platform where these can be heard.”

NOW READ: Raid on Dawid Kruiper Municipality offices: The 24 contracts under scrutiny

Read more on these topics

Gauteng property

SUBSCRIBE AND WIN!

Subscribe and you could win a Chery Tiggo Cross HEV Elite.

Enter Now