Kouga Municipality Billing Fiasco

The Kouga Municipality (KM) has sent out bills for January 2012 based on a 37 to 41 day month, as opposed to the usual 30 day period, the third time this has happened since July 2011. This is grossly unfair, if not downright illegal, since their charges and penalties are based on a sliding scale dependant on total usage in the billing period.  The vast majority of users will find themselves paying for electricity and water usage at a higher tariff than usual, because their total usage for the 41 day month is much higher than for a 30 day month. The highest tariff block costs R1.09/kwh, almost double the lowest tariff block of R0.58/kwh.

I tried to get comment from Carlien Burger, the acting Chief Financial Officer, and Sidney Fadi, the acting Municipal Manager at the Kouga Municipality. After 2 days of phoning and leaving messages, I was still unable to get hold of either official. I did manage to speak to Ria Van Heerden, in the collections department. She said that the long billing period was due to insufficient staff to read the meters over the holiday period. I am amazed that any organisation which spends 40% of its budget on staffing would ever dream of using a staff shortage as an excuse for anything. She also said that the KM could not do a general reversal of all the over-billed accounts, but that they had setup a system for giving credits to any ratepayer who queried their account personally at the KM offices.  It is not acceptable that the KM cannot produce correct accounts, and cannot even correct these accounts for all affected ratepayers when the errors are pointed out to them. Of course, it is not in the interests of the KM to correct these overcharges, which must have provided a welcome boost to the municipal income for January.

If your rates bill for January seems unusually high, you can claim the credit on your account which you are entitled to by visiting the KM offices in Da Gama Street and asking for Maureen Dodgen or Wilma Le Roux.  If you have any problems, contact Ria Van Heerden on 042 200 2125.

The KM MUST adopt an equitable and equal billing period policy in the future. Most businesses involved in a similar billing cycle adopt a 13 period per year approach, consisting of 12 periods of 28 days and 1 period of 29 days. The current arbitrary approach employed by the KM conflicts with the right to administrative fairness guaranteed by the South African constitution. The KM management must adopt a new approach before they lose yet another case in court.

Please remember the JBRA AGM on 22^nd February at 6pm at the Newton Hall. If you believe the JBRA should continue, please consider volunteering to sit on the committee.

Trevor Watkins

Chairman – Jeffreys Bay Residents Association.

PERSVERKLARING - SOUTPANSBERG BELASTINGBETALERSVERENIGING

Inligting verskaf deur Bennie du Preez

TEL: 082-651-3722  / E-POS: sbbv@iconnectsa.co.za

DATUM: 3 FEBRUARIE 2010

..........................................................................................................................................

Mev. Inga Gilfillan, voorsitter van die Soutpansberg Belastingbetalersvereniging (SBBV), het vreugdevol en met groot dankbaarheid kennis geneem van die uitspraak van Regter Vorster vanoggend in die Noord Gauteng Hoërhof.

LANG GESKIEDENIS VAN SWAK BESTUUR EN ADMINISTRATIEWE CHAOS

Die  jarelange stryd tuseen die inwoners van Louis Trichardt en die Makhado munisipaliteit om die uiters swak bestuur, finansiele wanbestuur en administratiewe chaos van die munisipaliteit hok te slaan, het Vrydagoggend 3 Februarie 2012 tot ‘n historiese oorwinning vir swaarbelaste belastingbetalers gelei.  Die stigting van die Soutpansbergbelastingbetalersvereniging (SBBV) was juis ‘n poging om die hoogsbesoldigde munisipale amptenare te dwing om net hulle werk te doen en hulle werk reg te doen! Die aksie het nou tot die hoogtepunt beweeg.

LANG GESKIEDENIS VAN INTIMIDASIE

Vir ‘n lang tyd het die munisipaliteit gereeld op ‘n maandelikse basis lede van die SBBV se krag onwettig afgesny – bloot om lede te intimideer en om lede so te ‘dwing’ om uit die SBBV te bedank. Mev. Gilfillan het gesê alle eer aan daardie lede wat nie onttrek het nie!  Vandag staan die SBBV sterker as ooit tevore! Maar almal het geweet dat dit nie so kan aangaan nie. Vergadering na vergadering is gehou sonder dat daar ‘n oplossing gekom het. Amtpenare wat laat kom, of wat nie opdaag nie, besluite van vergaderings wat eenvoudig nie uitgevoer word nie, het tot die drastiese stap gelei. Dit alles moes die komitee verduur terwille van ‘n beter toekoms vir ons mooi dorp, Louis Trichardt.

GENOEG IS GENOEG!!

Die 24e Januarie 2012 sal onthou was as die dag waarop die SBBV besluit het dat genoeg is genoeg. Die munisipaliteit het op die dag weer begin met onwettige afsnyding van elektrisiteit van lede. Dit terwyl lede wel elektrisiteitsverbruik op hulle rekeninge betaal. Die elektrisiteitsverbruik is nie deel van die rekening wat in die trustrekening inbetaal word nie. Briewe is aan die munisipaliteit geskryf en hulle gewaarsku dat die optrede onwettig is.  Dit is op rekord gestel dat die korrekte verordeninge (bylaws) nie in plek is nie. Die munisipaliteit het die vriendelike waarskuwing weereens geïgnoreer.  60 lede se krag is afgesny.  Kragopwekkers op die SBBV se koste is aan daardie lede verskaf.  Die SBBV het toe met ‘n dringende hoogeregshof aansoek die hof versoek om die munisipaliteit opdrag te gee om die onwettige optrede onmiddelik te staak.  Regter Vorster het op Vrydagoggend 3 Februarie 2012 in die Noord Gauteng Hoërhof opdrag gegee dat die munisipaliteit onmiddelik die kragtoevoer na die lede van die SBBV sonder verwyl moet herstel. Mev. Gilfillan het gesê dat daar reeds (08:30 uur) begin is om die kragtoevoer na die lede se huise te herstel.

ONGELOOFLIKE ONDERSTEUNING

Die voorsitter van die SBBV, Mev Inga Gilfillan en die bestuurder van die SBBV, Mev Aretha Smit het hulle dank en waardering uitgespreek teenoor die inwoners van Louis Trichardt vir die wonderlike ondersteuning. Hulle het veral die komiteelede bedank vir die ongelooflike ondersteuning. Mev. Gilfillan het inwoners wat nog nie aan die SBBV behoort nie, uitgenooi om by die wenspan aan te sluit. “Hou op kla en kom neem deel. Deur die SBBV kan jy iets doen. Maak die SBBV se hande sterk met getalle en jou bydrae kan die SBBV verder versterk.” Sy het die plaaslike prokuteur Mnr. Andre Naude, Adv Dennie du Preez en Mnr. Jaap Kelder van die Nasionale Belastingbetalersvereniging bedank vir die harde werk, insette en gewilligheid om die saak te ondersteun.

Sy het inwoners uitgenooi om nou in massa by die SBBV aan te sluit. “Ons het bewys ons kan ons lede beskerm terwyl ons goeie korporatiewe bestuur bevorder”, het sy gesê. Na jare se geduld, mooi praat, en verdraagsaamheid is dit nou tyd om op te tree. Die SBBV se kantoor is by die Harcourts (kantore met genoeg aansluitingsvorms reeds in plek!

Brace yourself South Africa, we’re in for a rough ride

Monday, 16 January 2012
Source –www.mg.co.za

It is time for South Africa to knuckle down and work together in order to weather any pending  financial
storms, Finance Minister Pravin Gordhan said in his medium-term budget policy speech in Parliament on
Tuesday.
“It requires an extraordinary national effort from all role-players, committed not just to identifying the
barriers to progress, not just to proposing solutions, but also to working together, over the long haul,”
Gordhan said. Using the unfolding European sovereign debt crisis as a point of departure, Gordhan noted
that although many predicted the worst of the 2008 global financial crisis to be behind the world’s economy,
tough times lay ahead.
“We have learnt from the 2008 global crisis that sound fiscal and financial institutions do not provide
immunity against job losses in our own economy arising from turbulence originating elsewhere in the
world. Nor are they sufficient to reposition our economy on a new growth trajectory that creates jobs,
reduces inequality and improves the quality of life of our people,” he said.
While commentators and economists have painted the South African economy as being insulated from the
economic crises unfolding around the globe, Gordhan’s comments suggest such ideas have been naive.
Increased spending on infrastructure
In a rather dour address, Gordhan revealed how South Africa’s financial plans would be adjusted ahead of
the main budget statement in February next year, including the announcement of a massive plan to increase
the development of infrastructure and energy around the country. To this effect, infrastructure spending in
the current year is predicted to be R223-billion, accounting for 7.8% of South Africa’s gross domestic
product (GDP), as part of a plan to spend R802-billion in the sector over the next three years.
Infrastructure development plans include R292-billion for the energy sector, R226-billion for transport and
logistics, R39-billion for improving existing and developing new health facilities, R32-billion on education
infrastructure along with funding towards municipal and provincial housing. The majority of this
expenditure will be financed through borrowing — increasing the country’s debt levels.
Falling revenues and increased borrowing
It is expected that tax revenue will reach R729-billion in 2011, a figure R13-billion lower than originally
estimated. Accordingly, South Africa plans to borrow more from international financial institutions in order
to meet its plans to spend over R1-trillion in rolling our governmental programs.As a result, government
debt will rise to 40% of GDP in 2015, as compared to 23% in 2009.
GDP deficit figures for 2011 are forecast to reach 5.5%, dropping to 5.2% in 2012 and moving lower to 3.3%
in 2014/15. Actual GDP growth in 2012 is expected to reach 3.4% and rise to above 4% in 2014.
“While this level of growth is not as vibrant as we would like, it is a base on which to build,” Gordhan noted.
State officials’ belts to tighten
Gordhan was very open about the need to bring the public sector wage bill under control, noting it had risen
from 35% to nearly 40% of the treasury’s non-interest expenditure over the past three years. With this in
mind he unveiled a proposal for moderate cost-of-living adjustments to public wages from 2012 onwards.
“As the government, we see the need for the same principle of moderation to be applied to ourselves as
Cabinet ministers and other political office bearers. This must also be extended to senior management in the
public service and executives of state entities. It is vital that the private sector provides responsible
leadership as well,” he said.
Improve education
Education remains the sector with the highest budgetary allocation, with more than 20% of non-interest
allocations. However, “education and skills levels need to be strengthened as spending increases have
enabled a broadening of access to education, but quality must be enhanced”. The budget for the health
department was also increased, with an annual rise of 7.4%, marking an increase from R113-billion in 2011
to R140-billion in 2014. This includes the funding of National Health Insurance pilot projects planned to be
unveiled in ten districts countrywide in 2012.The Official IMFO Newsletter   www.imfo.co.za Page 6
Pull together
In conclusion, Gordhan was very candid about the need for all spheres of government to work together in
achieving the goals set out in the speech.
“This is a time for united action, for greater urgency and for an unconditional focus on those programmes
which will demonstrate to our people that we and the we will change their lives for the better,” he said.
www.mg.co.za

Finance woes dog municipalities

January 15 2012 at 01:51pm
Source – Business News...www.iol.co.za

Poor financial management has reached epidemic proportions among municipalities, according to a Sunday
Times report.

Of the country's 278 municipalities, 66 are in financial distress, while another 37 municipalities are heading
in the same direction, the Sunday Times reported, according to figures released by the National Treasury.
Symptoms of poor financial management included cadre deployment, crucial posts being left vacant,
political interference and poor revenue collection.

Some municipalities struggled to pay employees and contractors, risking service delivery. This also created
an environment conducive to corruption.

A significant number of municipalities underspent on capital items and grants, and there was a trend to cut
infrastructure maintenance spending.

By the end of the financial year last June, 20 municipalities reported closing cash positions that exceeded
one month's operating expenditure requirements.

Fifty municipalities failed to report closing cash positions, the paper reported. - Sapa

Individual declaration of disputes with the Kouga Municipality

Many ratepayers and residents of Jeffreys Bay have ongoing disputes with the Kouga Municipality (KM) over issues such as property valuation, sewage removal, water quality, rates and services payments, and so on. In most cases the KM deals with these disputes in their own good time, or fails to deal with them at all, while the ratepayer keeps paying and waiting for a resolution of a sometimes urgent problem.

A widespread rates boycott would need the support of many thousands of residents, many of whom do not have a current, specific problem with KM. In addition, a widespread rates boycott  would not solve specific problems, but would address governance in the km as a whole.

For these reasons, the Jeffreys Bay Residents Association (JBRA) is recommending that individual ratepayers and residents with a specific problem formally declare a dispute with the KM through legal channels. Once the dispute has been declared, the KM must formally respond to the dispute in writing through their legal department, and all disputed payments, levies and fines may be held in suspension until the resolution of the dispute.  For example, if you believe that your assessed rates are too high, and you have good grounds for this belief, then payment of the rates in dispute may be suspended until the resolution of the dispute.

The JBRA has reached an agreement with Blignault & Vennote, a firm of attorneys in St Francis road, Jeffreys Bay, to formally file a letter of dispute with the KM on behalf of a JBRA member for the amount of R80.  The resident will provide  name and address and details of the dispute to the attorney, who will then draft and deliver a registered letter to the Kouga Municipal offices, and will keep the letter on file at the attorney’s offices.  The dispute will also be logged on the Mobilitate website.

The R80 does not include further legal advice, or an assessment of the merits of the case. Any further legal costs relating to the dispute will be for the account of the resident raising the dispute.

The contact details for Blignault & Vennote are as follows:

Ernie Blignault BA.LLB.(Stell)

082 550 0391   042 293 2211

Blignault_vennote@telkomsa.net

PO Box 1500

Jeffreys Bay

6330

Verklaring van dispute met die Kouga Munisipaliteit deur individuele.

Baie belastingbetalers en inwoners van Jeffreysbaai het nimmereindigende dispute met die Kouga Munisipaliteit. Dit betrek sake soos eiendomswaardasie, rioolverwydering, water kwaliteit, tariewe en dienste betalings, ens. In die meeste gevalle word hierdie probleme op die goeie langdradige tempo van die Munisipaliteit hateer, indien ooit. Intussen moet die belastingbetaler aanhou betaal en wag op 'n oplossing van 'n probleem wat ernstig kan wees, of wat vir hom/haar ernstig is.

'n Effektiewe algemene belasting boikot vereis die samewerking van talle duisende inwoners, van wie die meeste waarskynlik nie 'n huidige spesifieke probleem het met die KM nie. Verder, 'n algemene belasting boikot se funksie sal hoofsaaklik wees om die wanadministrasie van die KM in die algemeen mee aan te vat.

Om hierie redes het die Jeffreysbaai se Inwonersvereniging (JBIV) die volgende roete daargestel vir die hantering deur individue en inwoners met dispute. Dit is om binne die reels van die reg formeel 'n dispuut te verklaar met KM. Nadat die dispuut verklaar is, moet KM formeel reageer, dit is 'n skriftelike reaksie op u brief van hul regsdepartement. Deur die dispuut te verklaar word aksie oor  alle betalings, heffings en boetes gestop tot die dispuut uitgeklaar en opgelos is. 'n Voorbeeld is, indien u op goeie gronde glo dat u aangeslane eiendomsbelasting te hoog is, dan word die betaling van u heffing opgeskort totdat die dispuut heeltemal opgelos is.

Die JBIV het 'n ooreenkoms aangegaan met Blignault & Vennote, 'n prokureursfirma in St Francisweg, Jeffreysbaai om 'n formele brief van dispuut te stuur aan die KM namens 'n JBIV lid, waarvan die koste R80 beloop. Die inwoner verskaf hul naam, adres en details van die dispuut aan die prokureur wat dan die brief skryf en lewer aan die KM kantore. Hulle liaseer ook 'n kopie van die brief in hulle kantore. Die dispuut word ook op Mobilitate webwerf aangeteken. Die fooi van R80 sluit nie verdure regsadvies in of 'n opinie oor die meriete van die saak nie. Koste van verdere regshulp is vir die rekening van die inwoner.

Die kontakdetails vir Blignault & Vennote is as volg:

Ernie Blignault BA.LLB.(Stell)

082 550 0391   042 293 2211

Blignault_vennote@telkomsa.net

Posbus 1500

Jeffreysbaai

6330

A Framework for Utilising Residents’ Skills in the Kouga Region

I (Trevor Watkins) developed this proposal in October 2011, after discussions with Glen Buchner and Dries van Heerden, on a way to assist the KM without costing a huge amount. The proposal was presented to the Acting Municipal Manager and the Mayor, on several occasions. No response was ever received.

Introduction

The Kouga Municipality (KM) is faced with formidable challenges – a fact that has been honestly acknowledged by the mayor and municipal manager. The KM is not alone in facing these challenges. Virtually every municipality in the country is compromised. Towns, cities and states all around the world are having to deal with reduced incomes, spiralling costs and rampant corruption.

This document contains a proposal to address these challenges using the existing skills and knowledge that already exist within our local population, without compromising the integrity of the democratic structures currently in place. These proposals will require sympathetic consideration, compromise and cooperation from all sides of the great South African divide. But South Africans have shown themselves capable of this cooperation in the past, given the right leadership.

Perhaps we can begin another phase of our journey on the great South African project right here in Kouga – perhaps we can bring about a municipal Codesa of our own.

The Reality

• The responsibility for the governance of Kouga rests with 29 elected councillors. The ANC has 15 councillors and the DA has 14. Consequently, the ANC councillors are the governing party, and appoint the Mayor, mayoral committee and senior members of the municipality.
• Councillors are elected because the voters believe they will best represent their interests. Councillors do not necessarily have the specific management and technical skills required to run a municipality.
• The KM finances are in a bad way, with expenditure exceeding income, and many creditors not being paid.
• The KM is overstaffed, with staff expenditures well above the national norm.
• The Kouga infrastructure is weak or failing in many areas, and requires urgent attention.
• There are numerous cases of corruption pending within the KM. Oversight processes are weak.
• There is a large reservoir of management, engineering, and legal skills within the KM area, due to the large number of retirees living in the area. These skills have not been effectively utilised in the past.
• The KM area has distinct first world and third world components, whose interests are often at odds with each other. The KM council must look after the interests of ALL its residents.
• The KM cannot currently afford to hire expensive management consultants to address the many issues highlighted above.

The Challenge

The challenge, which this document attempts to address, is how to effectively and cheaply deploy the existing skills in the area in order to improve municipal services, without compromising the authority and responsibility of the elected representatives.

Any proposed solution which appears as a takeover of KM responsibilities, which disrespects the current officials, which is perceived as political or racist in any way, will predictably be rejected.  Any proposal which sidelines the roles and responsibilities of the councillors will never be accepted by the councillors.

Conversely, the KM must commit to cooperate fully with residents offering to share their time and skills, and must commit to seriously consider any recommendations which may arise. If carefully considered ideas and plans are simply dismissed or ignored, then this process will quickly fail.

The Proposal

In cooperation with the KM and Kouga businesses, a new not-for-profit entity is established to provide consulting services to the KM. For the sake of convenience let this entity be known as the KM Consulting Group (KMCG) within this document (Any other name can be chosen at a later date).

• The KMCG will be registered as a legal entity, such as a CC or company or NPO, a board of directors will be appointed, and a voluntary staff recruited from local businessmen and residents.
• The objective of KMCG is to provide consulting services to the KM at little or no cost, utilising the voluntary services of skilled retirees.
• The KMCG will maintain a database of skills in the local population which may be called upon.
• The KMCG will require some startup funding and support from the local community. Facilities such as meeting rooms, photocopy facilities, printing and stationery will be sourced from local businesses.
• The KM will present specific issues, questions or problems to the board of KMCG, who will then setup project teams to investigate these issues and propose a solution in the form of a written report.
• The KM will ensure that all the information and access to staff required by the project team is provided in good time. Where this access is not forthcoming, the project will be suspended.
• The KM will consider these reports, request modifications or explanations, then present the finalised reports to the KM management or the council for action.
• The KMCG project team will remain available to advise the KM on implementation of any accepted project.
• Each project team will prepare a detailed plan and budget for the consulting exercise, costing all work at market-related rates. Each project will require approval from the KMCG board before commencing. The Rand value of each consulting project will be carefully calculated and recorded.
• The KM will not be charged for a consulting project. Thus no tender or purchase procedures will be required before commencing the project. However, the KM must show the cost of each consulting project as an asset in its financial reports.
• The KMCG board and staff and consultants will receive no remuneration for their services, which are entirely voluntary. Out of pocket expenses will be reimbursed on presentation of documentation, where possible. Nevertheless, strict hourly recordkeeping will be maintained in order to correctly evaluate the cost of the project and its performance against budget.
• The objective of each consulting project is to offer specific practical advice on specific problems identified by the KM. The advice must avoid generalisation, politics, personal references, and ambiguity. The project report will contain a detailed breakdown of costs, staffing, materials, etc required for successful execution of the recommendations.

Project Examples

An illustrative list of possible projects is given below:

1. 2012 Budget development
2. Sewage plant engineering options
3. Revenue boosting alternatives
4. Potential cost savings in KM
5. Staffing reduction processes
6. Improved tender controls
7. Financial monitoring proposal
8. Low cost housing planning
9. Employment strategies for Kouga
10. Alternative health strategies for Kouga
11. Infrastructure maintenance strategies on a low budget
12. Paradise Beach Swamp drainage strategies

Conclusion

The purpose of this proposal is to suggest a strategy whereby the many unused skills available in the Kouga region can be usefully deployed to the benefit of the Kouga Municipality and the inhabitants of the area.  The proposal does not infringe on the autonomy of the KM or the council, will not add any financial burden to the already hard-pressed KM finances, but will provide them with a source of expert advice on the many difficult problems they face. It will require a major contribution of time and effort from some sectors of the population, who are already quite heavily taxed.  It will require mutual respect and cooperation from all parties.

However, if it leads to an improvement in the conditions in our small corner of paradise, it will be worth it.

Trevor Watkins

Sunday, 16 October 2011