mbulelo smpofu
Sikhumbuzo Moyo, smoyo@chronicle.co.zw
DUE to mounting concerns about soaring costs, the Bulawayo business community is urging the City Council to be transparent about the salaries and perks of its nine directors, including the town clerk.
This request for disclosure coincides with the City Council’s scrutiny over its adherence to the Government’s 30/70 salary-to-service delivery budget ratio.
The call for transparency was made during a Ministry of Local Government and Public Works meeting attended by various city stakeholders and the Bulawayo City Council (BCC).
The meeting addressed a long-standing dispute over the local authority’s astronomical and unjustifiable tariff increases, especially in the more stable US dollar.
Tariff adjustments for 2022 and 2023 were miscalculated, resulting in exorbitant charges that forced businesses to scale down or relocate.
The stakeholders present included representatives from the Confederation of Zimbabwe Industries (CZI) Matabeleland Chapter, Zimbabwe National Chamber of Commerce (ZNCC), the three residents’ associations, and tourism players.
CZI Matabeleland Chapter led the call for disclosure, a position unanimously supported by all attendees at the council chambers.
In response, the Ministry of Local Government and Public Works’ director of local authorities’ inspectorate, Priscillar Mudzinge, who was chairing the meeting, agreed there was nothing untoward about the request for transparency.
“Those figures will have to be known; there is nothing secret about them, especially when even the President’s salary package is public knowledge. However, the figures will come out at the appropriate time when the proposed budget has been revised as agreed here,” said Mudzinge.
The meeting resolved to revise the 2025 budget and rebase the revised one to the 2017 budget.
BCC presented a US$309 million budget for 2025 in September, aimed at enhancing service delivery, focusing on gender-specific projects, and revitalising the city’s recreational facilities.
However, Chief Secretary to the President and Cabinet, Dr Martin Rushwaya, directed the Ministry of Local Government and Public Works last month not to approve the budget until the local authority addresses concerns raised by the business community regarding the 2024 budget.
CZI Matabeleland Chamber accused BCC of using an incorrect formula to index tariffs for 2022 and 2023 in US dollars, resulting in exorbitant charges.
Despite a series of meetings between CZI representatives, BCC officials, and Bulawayo Provincial Affairs and Devolution Minister, Judith Ncube, there was no resolution, resulting in an impasse.
In his letter to the Ministry of Local Government and Public Works permanent secretary, Dr John Basera, Dr Rushwaya said he found issues raised by CZI to be invaluable and deserving of engagement by the local authority.
The proposed budget is now null and void following last week’s resolution, which also set up a committee representing industry leaders, residents’ groups, tourism players, and academic institutions with the task of crafting the revised budget and presenting it to the ministry by January 7 next year.
The committee, chaired by Residents Chapter chairperson Thamsanqa Ndlovu, has already hit the ground running and on Thursday met with officials from the local authority as it pushes to meet the January 7 deadline.
“The committee will endeavour to meet the January 7, 2025, deadline. This may, however, be affected by how quickly Council management is able to provide the information required to the full team complement of stakeholders,” said Ndlovu.
The council was asked to present to the committee audited accounts from 2017 to now, and that information will be analysed by the committee to ascertain cost drivers.
Asked what the committee’s position was regarding bills that ratepayers have been paying since 2017 based on wrong calculations by the council, Ndlovu was non-committal but said the billing public will be advised in due course on the way forward.
“The committee is looking at various options and a recommendation will be made to the council,” said Ndlovu.
However, Saturday Chronicle understands that the committee has already resolved that ratepayers ought to resort to the 2017 tariffs until the revised budget is approved by the Ministry of Local Government and Public Works.
The council may find itself in a catch-22 situation, especially if the committee proves beyond doubt that its tariffs were hugely inflated.
A landlord who runs a shopping complex in the city recently revealed that their monthly bill in 2017 was US$1 600, but they are now paying US$19 000, a 1 150 percent increase in seven years.
