adminAccording to the latest council report, 150 council staff was allocated stands in various suburbs, namely Pumula South, Emganwini, Mahatshula and Emhlangeni under the pre-sale scheme.
Under the scheme, applicants, who should be on the active council housing waiting list, are required to pay a deposit of 35 percent and 15 percent value added tax (VAT) of the purchase price of the stand with the rest payable over a period of 18 months.
However, the report states that the workers failed to pay deposits for their stands because of delays in the payment of their salaries.
“Owing to the late payment of salaries by council, the concerned staff members are struggling to raise the necessary deposits and cannot meet the sale conditions that require a 35 percent down payment of the stand price including VAT to be paid within a 30-day period,” reads the report.
Applicants for medium density stands in Emhlangeni and Mahatshula suburbs are required to pay a deposit of $4 140 of the total cost of $8 280 while those in Emganwini high density suburb should pay $1 615,75 deposit of the total cost of $3 231.
Those in Pumula South are supposed to pay a deposit of $1 852,08 of the total cost of $3 704.
The workers have since requested the local authority to relax the payment terms for the stands to allow them to pay. Council policy allows that 10 percent of the housing stands allocated to beneficiaries should be reserved for council employees.
Early this year council came under fire from beneficiaries of housing projects who accused it of putting stringent conditions on the allocation of housing stands.
This was after the local authority demanded that home seekers who have been allocated stands at Emhlangeni medium density suburb, pay a deposit of $4 200 within three days or risk losing the stands. The same conditions have been applied to home seekers in Pumula and Emganwini, who were required to raise $2 700.
Beneficiaries alleged that council officials told them that if they failed to raise the money within the period, the offer would be revoked and they would not be eligible to access council stands in future.
In recent years the council has come under pressure from residents over its failure to provide housing stands against a ballooning housing waiting list estimated to be over 100 000.
Bulawayo Governor and Resident Minister Cain Mathema has repeatedly called on the council to improve provision of housing by giving people stands to build houses for themselves.
The council, on the other hand, contends that it does not have the capacity to provide bulk infrastructure because of its inadequate finances.
Online Reporter