DA queries govt salaries, housing

The Democratic Alliance (DA) in Limpopo has written to both Provincial Treasury MEC Seaparo Sekoati and Cooperative Governance, Human Settlements and Traditional Affairs (Coghsta) MEC, Basikopo Makamu requesting immediate intervention into the alleged bloated employee component that takes up to 70% of the province’s total budget and low cost housing backlog.
It is alleged that the Provincial Government departments spend the lion’s share of their budgets on the compensation of employees while Coghsta continues to fail to meet housing targets. According to the party Spokesperson on Treasury Risham Maharaj, best practice is to not spend more than 55% of a provincial budget on staff salaries, meaning that Limpopo is almost 20% bloated, Maharaj reckoned.
He further claimed that bloated staff component in departments and high wage costs affect their ability to provide services to the people due to inadequate resources. This is evident in departments such as Health where there are accruals of over R1 billion, insufficient beds and equipment and inadequate medical services to residents, he explained and added that the Department of Education also has a R20 billion infrastructure and maintenance backlog.
On the other hand, the DA Provincial Leader and party spokesperson on Coghsta in Limpopo Jacques Smalle claimed that the department had failed to meet their housing targets during the 2014 to 2019 period. The target for the last 5 years was to build 80 600 houses but after the long wait 38 904 beneficiaries will not receive their houses by 2019 due to poor planning, late appointments of contractors and weak leadership at Coghsta, Smalle alleged.
He further indicated that during the 2014 to 2017 financial years, the department returned R1,466 billion meant for housing to Treasury and is expected to return funds again this financial year. A further 4 030 units from the 2017/18 financial year were not built and taking into account the department’s dismal track record, it is doubtful that the 7 450 units target for 2019/20 will be met, Smalle said. He concluded by saying they have already forwarded letters to the two MECs requesting immediate intervention on the issues raised.
At the time of going to print, comment from Coghsta Spokesperson Molebatsi Masedi was still awaited while Provincial Treasury Head of Communication Tebogo Chipi’s cellphone rang unanswered.

Story: ENDY SENYATSI
>>endy@observer.co.za