Ekurhuleni Metro failed to spend national and provincial grants totalling R232.4-million during 2012/2013.
This amount has to be paid back, the metro approved at a council meeting last Thursday in Germiston.
This is one week before the budget for 2014/15, effective from July 1 was to be approved.
The metro also approved that R201.6-m of the R232.4-m that was not spent could be retained.
These grants from national and provincial spheres of government were given to Ekurhuleni to assist the metro in balancing its budget.
Human settlements was the department with the most unspent grants it received from Gauteng Province.This department will be paying back R13.7-m.
The failure of Ekurhuleni to spend these grants for building houses was one of the metro’s biggest challenges, as money could not be sourced for this from national governmental departments.
Estelle Visser of the DA, said houses could be built with the money not spent, as the demand for housing was very high in the metro.
She was also worried about the R403 380 the metro had to give back to province on a library grant.
Visser said with fewer books in the libraries the metro made no effort to create an environment of learning for young people.
Lesego Senthso of Cope, echoed Visser’s sentiments on human settlements, saying this department was incompetent.
People were living in squalor, while this department did not have a proper plan for spending its money effectively.
Neil Diamond of the ANC, and member of the metro’s finance committee, explained the money not used for library books was because of discounts and cancellations.
He said the ANC was concerned about the money that had to be re-paid and felt there had to be systems in place with early warning signs to make sure this situation would not be repeated.
