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Bulawayo rewards loyal ratepayers

by Auxilia Katongomara
07 Dec 2015 at 08:40hrs | Views
THE Bulawayo City Council has resolved to reward ratepayers who did not benefit from the government's directive to write off debts by crediting each ratepayer's account with $100 in recognition of their efforts to keep the city afloat.
According to the latest council report, about 8,000 ratepayers did not benefit from government's July 23, 2013 directive as they were up to date with payments.

The waiver will see council crediting the ratepayers' accounts with close to $1 million. The government ordered councils to write off all domestic debts that were outstanding as at June, 30, 2013.

The Bulawayo City Council will also discount 10 percent on the total receipts made between November 1, 2013, and December 31, 2014, in favour of 746 non-domestic accounts whose balances for rates and services as at October 31, 2013, were either zero or overpaid.

Council wrote off $49 million it was owed by residents in 2013. According to the report, the chairman of the finance committee Mlandu Ncube said while the ministerial directive brought relief to the majority of the residents who did not prioritise payment for the services, it penalised those residents who paid their dues regularly

"As a result residents with a good payment record have been inquiring when Council would offer some recognition for their efforts in keeping the city afloat," Ncube said.

The previous council resolution of November 6, 2013, in recognition of the good ratepayers, he said, had agreed to grant a once off credit to customers whose accounts were either zero or in credit as at June 30, 2013.

He said during the recent 2016 budget consultations, residents reminded council that it was yet to fulfill its promise to thank the good ratepayers by crediting their accounts with a token amount. According to the report an analysis of the accounts shows that there were 7,921 domestic accounts whose balances at June 30, 2013, were zero or in credit.

"It's proposed that council credits such accounts with a once off amount of $100 per domestic account. This approach is similar to what Zesa and TelOne adopted when they passed credits of $160 to customers' accounts," said Ncube. Council recommended that a total of 8,667 accounts that had a balance of zero or below will benefit from the credits to be passed amounting to $942,323.76.

Clr Ncube reported that of the 1,744 non-domestic accounts that had zero or negative balances in 2013, only 43 percent continued paying. By December 2014 a mere 11 percent of the accounts maintained a zero or negative balance. "555 accounts continued paying council despite the liquidity challenges but failed to maintain their balance below zero, showing that some consumers may be demotivated by the lack of incentives for good ratepayers. We believe that these account holders should be motivated by the token 10 percent rebate, provided the ratepayer didn't benefit from the 50 percent discount incentive," said Ncube.


Source - chronicle