…as Mutare City Council hikes rate charges
Melinda Kusemachibi
The last quarter of the year 2021 saw local authorities engaging in meetings with various stakeholders as they sought to get residents’ input in the 2022 budgets, most of which are yet to be approved by government.
Most people braved Covid-19 restrictions to attend the budget consultations with the view that their input would be considered have been left with an egg on their face as the process seemed to set aside their contributions to go with what was in their pre-consultations budget statements.
Mutare City Council recently surprised residents in the eastern border town after a rates hike of reportedly around 150 percent instead of the 20 percent residents had proposed during the consultations.
Manica Youth Assembly (MAYA) Coordinator Jussa Kudherezera said that as an organization they have noted with concern how council hiked rates and rentals out of the blue without consulting residents.
“Manica Youth Assembly notes with deep concern the steep hikes in rates and rentals that City of Mutare has implemented albeit from the blue. The untimely hike comes at a time when the local authority finished 2022 budget consultation in November 2021 and we can hasten to say that this hike is uncalled for,” said Kudherezera.
He also said that the rates were raised by more than 150 percent and they feel that council is acting in bad faith.
“As a matter of fact, council raised rentals by more than 150 percent from $1300 to $3345 at Sakubva council rented accommodations such as McGreggors while in Maonde the charges have gone up from $1600 to $3900. This atrocious hike has been done without consulting residents.
“As residents directly affected by this unforeseen action, we feel greatly let down and disrespected by our council considering that during the budget consultations held in November last year, council through the budget committee proposed for a 20 percent hike. There is an outcry from all corners of the city,” added Kudherezera.
MAYA also said they call upon council to review these rates to 20 percent.
“In the meantime, we call upon City of Mutare to review these rates to 20 percent as proposed during the budget consultations even though the budget. We understand council requires funds to continue operating especially under this difficult economic situation. However, we do not understand where and how the local authority came up with the current figures when they officially told residents during budget consultations that the ‘rates by resolution increases proposal’ will not be considered any longer. We wonder, what has changed?” he said.
United Mutare Residents and Ratepayers Trust programmes coordinator Edson Dube indicated that the budget was pegged in US$ but residents can pay both in US$ or local currency.
“2021 Mutare City Council budget was pegged in US$, but residents could pay in both foreign and local currencies at the prevailing interbank rate. The 20 percent adjustment was on the US$ budget.
“It is supposed to be staggered over four quarters of a year, 10 percent in the first quarter and then 3, 3 percent for the subsequent quarters. Our understanding is that the 20 percent adjustment should still be payable in ZW$ at the prevailing interbank rate. Anything more than that does not reflect the wishes of the residents,” said Dube.
He added that the supplementary was rejected by the budget committee.
“The supplementary was out rightly rejected by the budget committee. We can be having a supplementary on a US$ denoted budget.
“As residents, we expect council to stick to what residents approved during consultations, projects budgeted for must be implemented to improve residents lives,” said Dube.
Mutare Residents and Ratepayers Association (MRRA) Programs Director David Mutambirwa said this is a clear betrayal and an insult to the ratepayers who are residents.
“If this information is correct, it is a clear betrayal and an insult to the ratepayers. The budget committee approved 20 percent which was supposed to be staggered over the year. This is very unfortunate to say the least,” said Mutambirwa.
He also said this was the first time a budget committee was considered and the needs of ratepayers should be taken into consideration.
“The consultations covered most of the critical stakeholders’ views and the first time a budget committee was conceived and was part of the budget consultations which gave some semblance of ownership in budget processes.
“If priorities and needs of the residents and ratepayers are taken into consideration, we expect some significant improvement in the relationship between the local authority and citizens resulting in improved revenue collection and intimately better service delivery,” added Mutambirwa.
Contacted for comment Mutare City Council Acting Town Clerk Blessing Chafesuka said during consultations, 20percent hike was equivalent to USD not ZW$.
“When we did consultations the residents association agreed to 150 percent price hikes, 20 percent was done to equivalent to USD not ZW$ hence leading it to raise to 150percent when converted to ZW$. On rentals we did evaluation with the government telling us that this house should cost this kind of amount,” said Chafesuka.