Budget adjustments to save money and see growth in town

The adjustments to the draft budget of the municipality were officially approved during a special executive council and a council meeting on Thursday.

The meeting began with councillors congratulating each other on their success during the national elections, and special congratulations were offered to those councillors who elected to the National Assembly, or Provincial Legislature.

Newcastle Mayor, Afzul Rehman, said the municipality would be committed to cutting down expenditure and saving money in the new financial year.

“We want to invest and promote investment in our own town, but we need to save money, which means that we do not have to spend all the money we have been allocated in the budget,” advised Cllr Rehman.

He added the municipality was dedicated to service delivery in town, and as such, budget roadshows were taken to all parts of the community.

One of the biggest issues that was raised during the roadshows, was that many members of the community felt they were out of touch with the municipality.

The mayor felt the municipality would be more than capable to tackle issues in the coming year.

“While we may have taken a decision to not increase rates during the past years, the revaluation of homes in town has left many people extremely upset, and we have heard their cries,” continued Cllr Rehman.

In this manner, he proposed the decision of council to reduce the rate charges on properties.

The new charges would mean that agricultural farms would see a 20 per cent decrease, while residential homes would see a 10 percent decrease, and finally businesses would see a five percent decrease in the standard rate fees they had been charged.

Cutting rates also saw the municipality continue their support of the indigent policy. Indigent people earning less than R3 500 per month will not pay rates, while pensioners will see a 25 per cent reduction in their charges.

“The municipality is dedicating to cutting costs, saving money, and being innovative,” said Cllr Rehman.

However, Newcastle’s Democratic Alliance councillors opposed the new budget.

DA councillor, Bebsie Cronje, said the party had major issues with the rates.

“For many, these reductions in charges will not mean much, especially if your property’s valuation has gone up by more than 100 per cent.”