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Sukulwenkosi Dube Plumtree Correspondent
LOCAL Government Minister Saviour Kasukuwere has rejected a budget proposal by Plumtree Town Council for the year 2016 which he dismissed as unprofessional and went on to advise the local authority that it should have submitted a feasible one by monthend. In a letter addressed to the Plumtree Town Council chairperson, Minister Kasukuwere raised concern over the proposed budget as 97 percent of the revenue collected by council would go towards salaries.
He also ordered the council to rationalise the salary of the town secretary, Mr Davis Dumezweni Luthe, as it remained high. He pointed out that the proposed Plumtree Town Council budget was characterised more by negative rather than positive aspects.
“I hereby inform you your 2016 budget has been rejected. Your council is to correct the budget and submit a feasible and professional document to my office before end of February. In the budget salaries are likely to consume 97 percent of revenue if collection levels remain the same. The salary of the town secretary has not been rationalised as required and as claimed in the 2015 budget,” wrote Minister Kasukuwere.
He said 53 percent of the revenue which had been collected by council last year had gone towards salaries. He said this was in violation of the 30:70 employment costs to service delivery ratio which had been set by Government.
Minister Kasukuwere said the council was in arrears of water chemical payments and the water account had a negative balance which indicated that the local authority was not capable of managing the water management responsibility.
“Despite failing to meet income projections the council continues to budget for a surplus that is completely unrealistic. Council continues to operate liquor income generating projects that raised a mere $2 400 throughout the whole of last year which is not worth the effort made to manage them,” said Minister Kasukuwere.
He said the level of creditors continued to increase which proved that the council was not using the budget which they were crafting each year as a real document. Minister Kasukuwere said it was time for the Plumtree Town Council to put in place new and effective methods to reduce its debt as previous methods were not working. Minister Kasukuwere said until the town council budget had been approved he was suspending all trips of council officials. He also pointed out that he was prohibiting unnecessary expenditures or capital purchases without written approval from the Permanent Secretary in the Ministry of Local Government.
Plumtree Town Council chairperson Mr Paulos Vini Hobane said the council was in a process of amending the budget. He said they hoped to have completed the process by 29 February which was the deadline set for them by the minister.
He said the council finance committee is yet to hold a meeting where they will revise salary scales which had been disapproved by Minister Kasukuwere.
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