DEAR Editor;
I want to say without fear of compromise that the rates withholding movement is having the desired effect of bringing Umdoni’s leadership to its senses.
They are seeing in real terms the impact of taking ratepayers for granted and assuming they could take their money forever without bothering to render the services they are legally obliged to provide.
Collections have fallen from previous levels of 95 percent to 72 percent at the end of December 2020.
There have been some voices that are opposed to the strategy, but my take is that they have not understood the principles involved.
It was never the intention of the movement to refuse payment.
I know this from having followed the initiative from its genesis.
Given the long-established practice of ignoring ratepayers concerns and rejecting every form of constructive engagement from representatives, there was little else that ratepayers could do to drive home their demand for infrastructure maintenance.
As public representatives my colleagues and I in the Democratic Alliance have done everything conceivable that is within the legislated provisions, to change the severely unfair Integrated Development Plan and budgeting outcomes that have been foisted on ratepayers by a majority that enjoys the benefit of not paying rates.
This itself is a travesty and a deliberately engineered distortion of the law by the majority party to secure votes.
It is an issue we will pursue until a just and legally compliant outcome is achieved.
Property taxes (rates) must be applied consistently and fairly.
Budgets and other resources must be applied constructively and fairly.
Neglecting infrastructure in the economic engine house of our ratepaying areas is destructive and irresponsible.
It is a practice that was driven by the political intent to promote racial division in order to sustain the political status quo.
The tragic consequences of denying security of tenure (full title ownership) to rural residents is that economic development has been prevented from happening.
Investment into property requires security of tenure.
The failure to raise property taxes on these properties has meant that revenue for infrastructure development has been inadequate with the resultant economic starvation that is plain to see.
The argument that all rural residents cannot afford rates is patently dishonest.
The evidence abounds in the form of built structures that reach values into the millions.
Many wealthy residents who can afford to own large modern houses and expensive vehicles can and should be paying property taxes (rates).
They should be making their fair contribution to the overall development of our economy and our society, just like the pensioners do in ratepaying areas, from their limited incomes.
Those residents who are genuinely indigent will benefit from the indigent policy and provisions in the rates policy by-law. Our legislation has ensured their protection.
As public representatives we cannot participate in the rates withholding initiative, but we have for many years warned of its inevitability.
Now that it has happened, no one can claim ignorance.
The best way forward for us now, is to change the destructive patterns in budget compilation and service delivery that has existed for the past 20 years.
Municipal resources are for public service and not for self-enrichment through SCM manipulations, or for political popularity.
We have submitted motivation for the reallocation of funds in this adjustment budget, to address the backlogs in infrastructure maintenance.
The acting municipal manager, Mzubanzi Silinga, identified in his mid term review that the council erred by not allocating sufficient funds to this priority need, to the tune of R38 million.
It vindicates our objection to the 2020/21 budget.
Our alternative budget proved that it is financially affordable for Umdoni to plough back R50 million per annum into infrastructure maintenance and upgrades in areas that have religiously paid rates over the past 20 years.
Maintaining infrastructure maintains the economic value in property and hence the rates revenue that is raised on property.
We trust that the new leadership will see good reason to break with past practice and start the process of governing our institution for the benefit of all its citizens.
We cannot continue to operate under politically inspired divisions if we are serious about building a future that delivers economic growth and safe, healthy living conditions for future generations.
COUNCILLOR EDWIN BAPTIE
DA Caucus Leader, Umdoni
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