Online Reporter
Fungai Lupande
Mashonaland Central Bureau
Rushinga Rural District Council (RDC) has adopted a deficit budget for 2026 in a bid to avert a budget impasse that could cripple service delivery, Chief Executive Officer Mr Jairos Masiye has said.
The decision follows objections raised by the business community over the council’s proposed budget, citing poor budget consultations and high tariffs.
This prompted the Ministry of Local Government and National Housing to dispatch its Chief Finance Advisor, Mr Alpha Nhamo, to attend a Finance Committee meeting to help resolve the dispute.
Addressing councillors, members of the business community and residents during the meeting, Mr Masiye said the adoption of the deficit budget was driven by the need to preserve unity within council and ensure continued operations amid persistent revenue shortfalls and fragile stakeholder relations.
“We took this position for the sake of peace and to ensure that the council continues functioning without internal conflicts,” said Mr Masiye.
“As leadership, we must stand behind one budget, even when compromises are required.”
He said the budget framework was deliberately structured to allow for continued engagement with residents and the business community as the council works to strengthen its revenue collection systems.
Mr Masiye disclosed that preliminary assessments indicate the council is currently owed approximately US$1.6 million, although the figure may increase once gaps in the billing database are corrected.
Revenue inflows remain critically low, particularly from residents, who have contributed a negligible proportion of expected collections.
Mr Masiye attributed this to long-standing resistance to paying rates and rentals.
“There is a culture of non-payment that we must confront head-on if council is to survive,” he said.
To address the challenge, Mr Masiye said the council plans to implement a revised property valuation system in line with the valuation law, which has already been gazetted following consultations.
He also acknowledged deep-seated trust deficits between the council and stakeholders, fuelled by perceptions that funds paid to the council are mismanaged.
“We inherited legacy debts and damaged confidence. Rebuilding trust is now central to our recovery,” he said.
Mr Masiye said the council’s turnaround strategy, introduced in 2025, prioritises stakeholder engagement, transparency and improved service delivery to enable the council to fund and execute projects independently.
He implored councillors to intensify grassroots engagement, stressing that sustainable revenue collection hinges on restored confidence and clear communication with residents and businesses.
Meanwhile, the Rushinga business community says it is optimistic about improved relations with the council following what it described as a successful engagement on the 2026 budget.
Rushinga Integrated Business Development Community (RIBDC) chairperson, Mr Theophilas Nzuma, said the consultative meeting marked a shift from past practices where stakeholder inputs were not fully reflected in submissions made to Central Government.
“What was submitted this time truly reflects our input as the business community and residents of Rushinga, not figures that were portrayed as ours when they were not,” said Mr Nzuma.
“For the first time, we could see that what we raised was taken on board by council.”
Mr Nzuma said the engagement had helped rebuild confidence between council and stakeholders after a period of strained relations.
“At some point, we were completely divorced from council, but with this kind of engagement, we are seeing a better relationship emerging.”
