City council indefinitely suspends rates hike

Rates in low-density suburbs, commercial and industrial properties had been increased by up to 1 000 percent last month.

The majority of businesspeople in the city had said they would be forced to stop operations because they could not afford the new rates.
The owner of a flat in the city centre had his rates jumping from $155 to $2 028 while another building had a $3 354 rise.
In a statement responding to questions from Chronicle yesterday, the city’s senior public relations officer, Mrs Nesisa Mpofu, said residents should pay the old rates while the issue was being resolved.

“The rates increases have been effected as per the 2012 budget. However, in view of the number of complaints received from the ratepayers, the issue will soon be tabled before council for consideration. Meanwhile, the affected industrial and commercial ratepayers are being advised to pay their previous month’s rates until further notice,” said Mrs Mpofu.

She said council was aware of the economic hardships facing residents, but consumers had to pay to ensure continuation of service provision.

Mrs Mpofu encouraged ratepayers to attend council consultative meetings, saying decisions that affect them, like the rates increase, are discussed and passed at such gatherings.
“Council does things in consultation with residents because they are the owners of the city. Major issues like rates hikes  are not done in council offices. They are discussed with residents and once the ratepayers approve, they are implemented,” she said.
Mrs Mpofu said it was disappointing to note that the business community often stayed away from stakeholders’ meetings and only realise the impact of decisions made in their absence when their livelihood was threatened.

She said the new rates came into existence after the completion of the property valuation roll by the council last year.
“The valuation roll was drafted last year. It was open for inspection at the council offices between 19 August and 19 September 2011. The roll was advertised in the Gazette and two leading newspapers and all those who had objections were advised to do so in writing within 21 days from the date of the publication of the notice,” said Mrs Mpofu.

She said most stakeholders did not attend the meeting at which the effect of the valuation roll was explained.
“The Mayor finally signed the valuation roll on 5 October last year. There was not even a single objection from the affected people, whose views were continually sought throughout the process,” said Mrs Mpofu.
She called for increased co-operation and involvement of all stakeholders on issues that affected the city, saying it was the only way positive development could be achieved.

Mrs Mpofu said the level of rates was determined by the revenue budget.
“If, say the city needs to raise $10 000, the money would be divided by the total number of rateable properties in the city to arrive at the figure that each should pay. Each property would contribute a share proportionate to its value, those worth more would pay

more,” she said. 
The Zimbabwe National Chamber of Commerce’s Bulawayo chairperson, Mrs Ntombenhle Moyo, yesterday welcomed the decision by council to suspend effecting the new rates.
“We applaud the decision to suspend effecting the new rates which in our view are punitive. Council had not taken into account the plight of ratepayers, many of whom are no longer employed, following the closure of many businesses in the city. This would

have dealt the final blow to the recovery of industry in the city,” said Mrs Moyo.
She acknowledged that council had made an effort to liaise with stakeholders when the rates were finalised.
“They called a meeting at the City Hall. However, it was poorly advertised and as such very few people attended. Next time, they should be more vigorous in their approach to engage all stakeholders,” she said.

 

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