Maravi

(HERALD) Council budget: Will it improve services?

Council budget: Will it improve services?
Thursday, 13 October 2011 00:00
Felex Share Features Writer

ONCE again it is the time of the year when in local government circles, clashes between ratepayers and councils are common as councils come up with draft budgets for the forthcoming year. Local authorities come up with expected expenditure proposals that, however, have to be approved by the parent ministry, Local Government and Urban Development.

Though drafting of council budget is supposed to be smooth sailing as residents and city fathers debate the council expenditure, the period has seen lots of clashes as council budgets estimates fail to conform to acceptable standards of service delivery.

Most council budgets countrywide have been deemed "anti-people" and branded "money-making schemes" that have seen increased cries from resident associations.

Harare, Zimbabwe's capital and by far the most populous city in the land, has witnessed more of the clashes as service delivery has failed to match the rates paid.

It is within this mode that the US$272 million 2012 budget has attracted mixed reactions from the residents with the majority arguing that the council had done well by not increasing rates.

The harsh economic climate was making it difficult for residents to own up and pay rates, leading to the huge amounts of money they owe to council.

Others, however, went ahead to seek a reduction of the current rates to those subsiding in 2010 saying there was no agreement on the rates adjustment effected last year by the city fathers

They argue that despite the pre-budget consultative meetings, Harare's final budget statement was a sharp contradiction to the residents' demands.

The consultative meetings have been blamed for their confusion and limited participation by residents resulting their input being ignored.

Observers say council's decision not to increase tariffs for the first time in many years was most welcome as it "shows that council is beginning to listen ro residents".

However, the big question from residents is: Is that the solution to the service delivery problems facing residents?

Can people really say council is beginning to listen to the demands of the people?
Council argued that by maintaining the existing tariffs, more residents would pay their bills hence boosting the council's revenue levels.

Glen Norah Ward 27 Councillor, Herbert Gomba believes not increasing charges will translate into an increase in revenue levels as residents will find reason to pay.
"The budget deals with the concerns of the people. Residents have always failed to cope with tariffs and this time we have confidence they will pay.

"We also have to take into consideration what people are earning, so I think this is the right direction for the city," he said.

Combined Residents Association director Mr Mufundo Mlilo said while the council would be commended for not increasing tariffs, it had excluded a lot of issues raised during the consultative meetings.

"There is no input from residents. We expected them to address the issue of water but they have failed and what it means is water woes will remain the order of the day because no efforts have been put in place to address the challenges," he said.

He said Government has given a directive for increased funding of water reticulation but there was no deliberate effort to increase water treatment budget despite the announcement that Unicef will be pulling out of the chemical deal next year.
On expected expenditure, salaries continue to gobble the lion's share of the council budget.

The city decided to marginally increase the budget for salaries and allowances from 40 to 41 percent.

This is in defiance of the Ministry of Local Government, Rural and Urban Development's directive that 70 percent of the revenue should be channelled towards service delivery while 30 percent goes to salaries.

The issue of salaries remains a pain as not only the 30 percent threshold is busted but there is also lack of a serious and efficient human resources audit to deal with ghost workers.

Clr Jonathan Tavarwisa criticised the budget, saying it was more of a "salary budget".

About US$112 million, which is 41 percent of the total budget has been earmarked for salaries and allowances.

"We have got many areas that need massive recapitalisation such as Harare quarry, but at the end of the day you see a huge amount of money going towards salaries.

"We have to come up with projects that generate money for the council rather than relying heavily on the ratepayers. If you look at it residents have always failed to finance our budgets and it is obvious they will fail to fund it again this time around," he said.

Under the 2012 budget, council expects to raise US$1 135 million from water and refuse rates.

Observers say council cannot afford to increase the salaries or rates since service delivery was not matching rates.

Mr Claude Katanda said: "While council want residents to fund its budget, the current earnings of the Harare residents, especially civil servants, let alone the informal traders, are already set below the poverty datum line.

"It therefore continues to baffle the mind as to how Harare thinks residents will afford to finance the budget when they are failing to put food on their tables and afford other services such as health, education and even burial."

Harare Residents Trust membership officer Mr Simbarashe Majamanda said the budget was simply a "cut and paste" document from the previous budget.

Mr Majamanda said the static tariffs were not a guarantee for improved services.
"This does not mean that service delivery would improve, probably we are going down the drain because people have a tendency of not paying. Of course rates are increasing but does that mean service delivery will improve?

"Things might actually get worse because they are currently failing to pay," he said.
He said service delivery and infrastructural development should be key in the crafting of the city budget.

Mr Majamanda said some local authorities overlooked such aspects by putting up budgets they cannot fund, resulting in them swindling the ratepayers.

"Local authorities should not embark on projects that are beyond their capacity as that creates problems for ratepayers."

Others said the tariffs remained way ahead of the reach of many.

"They are not going to realise anything because at the present moment people are failing to pay those high charges.

"We are tired of funding their upkeep. It is clear that no one can fund this budget and at the end of the day we are duped of our hard earned cash," said a resident Mr Moses Hungwe.

Urban planner Mr Arnold Matikasi said council should have prioritised road maintenance in next year's budget.

"Potholes are everywhere in Harare and this is where a lot of money should have gone. Let's not wait for the potholes to occur as it would be costly to maintain them," he said.

Great expectations were thrust on the current MDC-T led council by residents who predicted a major shift in service provision, after their experiences with the Commission that ran Harare before the 2008 elections.

To the dismay of residents, the city fathers have failed to deal with thousands of ghost workers who are still on its wage bill.

It seems the war between the city fathers and residents would continue as long as rates and charges are viewed as exorbitant.

But as public service providers, City of Harare and all other local authorities must be cognisant of the socio- economic realities obtained in the country.

Labels: COUNCILS, HARARE CITY COUNCIL, MDC

posted by MrK @ 6:38 PM