Rate payers owe Bulawayo City Council $217 billion

THE Bulawayo City Council (BCC) has expressed concern over the rise in indebtedness by rate payers who owe the local authority more than $200 billion, which is a major setback to development and provision of basic service delivery.

Businesses, domestic consumers and Government departments owe close to $217 billion in unpaid monthly bills, and there is a need to intensify debt collection measures, city mayor Councillor David Coltart, said in a statement.

According to council, domestic debtors owe the biggest chunk with a staggering $128,5 billion followed by industry and commerce players who woe $69, 6 billion with Government debtors owing the least at $18, 98 billion.

All in total, the city council is owed $217,128,463,545.

Cllr Coltart said the arrears were accrued from property taxes and service fees as at the end of August 2023. As part of efforts to enhance revenue collection, he said starting this month the local authority will adopt austerity measures to ensure that all bills are paid timeously.

He also said the local authority will be intensifying its debt collection through service restrictions and other measures to all residential and commercial properties whose accounts are in arrears.

“The city’s indebtedness is a major cause for concern as it makes it difficult for the council to deliver efficient and timely services to the residents of the City of Kings,” said the mayor.

“I call upon the residents of Bulawayo, industrial and commercial institutions and Government organisations to partner us by timeously paying their bills.”

Cllr Coltart said timeous payment of bills will assist the city in acquiring adequate financial resources to provide the key services such as water, refuse removal and enable it to refurbish dilapidated infrastructure.

“I call upon each and every one of you to join us in moving Bulawayo forward. Payments and payment plans can be made at the city’s revenue offices,” he said.

The council has said it was also open for payment plans by residents who face challenges so as to avoid the tough path of taking legal action.

Contacted for comment, Zimbabwe National Chamber of Commerce (ZNCC) chairperson Mr Bekezela Moyo said the business sector was ready to fulfill its obligations and support the city’s growth.

“We encourage the business sector to comply and pay what is owed to the council. We are looking forward to Bulawayo restoring its legacy of being a clean city, with efficient service delivery,” he said. “By paying these debts it will ensure that we are guaranteed of a clean environment that is conducive for business and that will in-turn attract investment.”

Mr Moyo also urged the council to use proper channels in recovering its debts and desist from approaches that could frustrate stakeholders.

“To the business and Government sectors, it is wise to use our resources sparingly. For instance, Bulawayo has a serious water challenge, it is therefore wise to use it sparingly and not waste it,” he said.

Bulawayo Progressive Residents Association chairperson Mr Ambrose Sibindi said it was prudent for all sectors of the city to pay their debts to council but urged leniency on the less privileged families. “We have always urged people to pay their bills but then the council must also play its part and do some research. There are some residents that are failing to put food on the table and cutting them off will only make things worse,” he said.

“Times are hard and we should be considerate.”

Mr Sibindi urged council to consider introducing payment plans with residents to ensure that the local authority manages to recover its debts.

“If council seeks to recover its debt, then it should also consider introducing payment plans, especially with residents that are struggling.

“This will encourage them to then set aside at least a nominal amount to clear their arrears. Council should not be rigid in this case because they run the risk of facing off with residents,” he said.

“As an association we obviously do not condone that but we are saying if the council realises that some individuals are still struggling to pay even after they make payment plans then they must consider revising the plans,” said Mr Sibindi.

On the business sector Mr Sibindi said council should not be lenient as the sector was recording profits recorded from sales, contributed by residents.

“The business sector should just pay as they have the capacity and means. Citizens pay for goods and services every day, there is no excuse from the sector not to pay council,” said Mr Sibindi.

“Council must engage its relevant ministry to ensure that it pushes other sectors to clear their arrears.”