Rates policy implementation could be postponed, mayor confirms

POLOKWANE – Polokwane property owners may only start paying the new rates according to the new valuation roll at a later stage, as the possibility exists that the valuation roll will not be implemented with the commencement of the new financial year on July 1.

In an exclusive interview regarding the recent and ongoing controversy over the municipal valuation roll and draft rates policy, mayor Freddy Greaver said it was “normal” that there would be objections to the valuation roll.

He further said the municipality was trying to engage all stakeholders about concerns over valuation roll and policy issues.

“We have exhausted a lengthy process of consultation regarding issues pertaining to the roll and rates policy. Council has obtained an independent legal opinion and it was found that there was nothing wrong with the process,” he said.

Several property developers and owners with whom Review had discussions over the past few weeks, some of whom said they were ready to take legal action against the municipality, disagreed.

The municipality plans to table the budget for the next financial year today (Thursday). The budget should be tabled 30 days before the commencement of a new financial year for consideration. It is usually done in conjunction with the rates policy, upon which the budget is largely based. Greaver said the rates policy would be “noted” at the council meeting, and the municipality planned to have it accepted before the end of June. “We are extending the final adoption of the policy.”

According to Greaver, objections from ratepayers regarding valuations were mostly based on categories, perceived to be wrong by objectors, but the valuation roll was done in terms of the Municipal Property Rates Act, which superseded the policy. He said last year’s approved policy would be valid until the end of June.

“It is part of our commitment to work with concerned ratepayers. We consulted with the former municipal valuer and the recently appointed valuer who did the roll and looked at exceptions as to upwards and downwards valuations. We are working at a technical level. One roll is not an absolute roll and the outcomes should be reasonable and fair to ratepayers and based upon inputs and objections.

“We will have a supplementary roll at the end of this week, supplied by the valuer, based on objections lodged. Changes have been made. If ratepayers are still not happy, there is still time to object and adjustments can be made to the roll and the policy. It is an ongoing process,” Greaver said.

He further said the amended policy would be made available to the SA Property Owners Association. “The municipality wants to make sure the final adoption of the policy take place before the end of June, to adopt it before the new financial year.” He assured Review that the municipality was accommodating objections and representations. “There may be a delay of a few months before implementing the new rates,” he said.

Rates Watch’s Ben Espach, one of the organisation’s representatives at a meeting with the municipality on Monday, said they would receive a new concept policy for comment yesterday (Wednesday). Three weeks would be allowed for public consultation of the policy and it would possibly be accepted during a meeting on June 23.

Espach told Review that the municipality was willing to correct mistakes they had made and provide a supplementary roll as necessary. Certain categories such as “illegal use” would also be reintroduced in the “new” concept policy, and the municipality would review the high rates to be levied on vacant land.