The Herald

Defaulting councillors owe Nelson Mandela Bay municipality thousands

Outstanding accounts total more than R400,000 but many are in dispute

The proposed deal is for three years, with funding of R6.765m earmarked for the 2024 event, R6.359m for 2025 and R5.977m for 2026
SOLID SUPPORT: The proposed deal is for three years, with funding of R6.765m earmarked for the 2024 event, R6.359m for 2025 and R5.977m for 2026 Picture: WERNER HILLS

Twenty Nelson Mandela Bay councillors owed the municipality a total of R410,142 for municipal rates and services that were more than three months overdue when the past financial year wrapped up.

The audited financial statements in the 2020/2021 annual report show that 15 councillors owed R342,738.

On top of this, only a handful made payment arrangements — totalling R67,404 — before the end of the financial year.

Former mayor Nqaba Bhanga is listed as owing R25,457 at the end of June 30 2021, with a payment arrangement in place for the full amount.

Bhanga, however, said the amount dated back to 2019 when he purchased a computer from the municipality when he returned to Bhisho as an MPL.

“My rates and services are paid through a stop order.

“My rates and services are always paid in full so I can avoid calls from The Herald.

“Whatever amount is owed is paid through a stop order.

“I don’t go to the municipal office to pay, it is automatically paid.”

The worst culprit was DA councillor Rano Kayser who topped the list at R111,196.

Kayser was not listed as having a payment arrangement at the time.

My rates and services are paid through a stop order. My rates and services are always paid in full so I can avoid calls from The Herald. Whatever amount is owed is paid through a stop order.”
Nqaba Bhanga

According to the Municipal Structures Act, it is illegal for councillors or any municipal employee to owe the institution they work for.

In terms of section 12A of the Municipal Systems Act, a councillor may not be in arrears for rates and services for more than 90 days.

The arrears were briefly discussed at a municipal public accounts committee on Tuesday.

Committee chair Khanya Ngqisha said he would go through each account and take action if needed.

He said the municipality had the authority to deduct no more than R5,000 from the salaries of councillors until the bill was settled.

“The reason the item was not discussed more was that councillors know that when in arrears they must make an arrangement to settle the account,” he said.

The arrears were raised in the meeting by ACDP councillor Lance Grootboom. 

He said it was a clear breach of the code of conduct, and an investigation should be conducted to hold those accountable.

“A councillor cannot be in arrears, it is a responsibility of rules and ethics to investigate any misconduct,” he said.

He said councillors were representatives of the community and should lead by example.

The metro could not expect residents to pay for services when the councillors did not.

As the financial statement dates back to June 2021, some councillors may have made payments since then.

It shows that seven councillors had made payment arrangements.

The rest had not yet done so by the end of the financial year.

The second-largest amount owed of R43,012 was by DA councillor Mxolisi Breakfast.

Some of the other councillors are:

  • ANC councillor Mendiswa Makunga (R40,318);
  • DA councillor Tsepo Ndwalaza (R25,098);
  • DA councillor Ziyanda Kalani (R23,068);
  • DA councillor Ingrid van Wyk (R18,621);
  • EFF councillor Siphokazi Ncana (R10,818);
  • DA councillor Georgina Faldtman (R7,725 with a R1,920 monthly arrangement); and
  • Former ANC Ward 23 councillor Sandile Nzanzeka (R7,413).

Some of the councillors owing high amounts have since died, with the remainder owing under R5,000.

Kayser said he had lodged a dispute with the municipality regarding the arrears as he was one of the thousands of ratepayers affected by the city’s inaccurate billing system.

“My service charges are directly deducted from my salary and on top of that I have been paying an amount on the arrears,” he said.

Kayser sent proof that the amounts were being deducted from his salary.

He said the R111,196 was disputed due to the inaccuracy in the billing system and the amount had since drastically dropped.

Breakfast said he had never owned a property in the Bay.

“This is shocking news. I was never notified of any account in arrears.

“I have been renting and maybe the owner of the house I am staying at has defaulted.”

Makunga also denied owning a property in the city.

“The municipality must produce the account in my name,” she said.

“I don’t even have a property or an account with the municipality.”

Faldtman said she did not owe a cent as she had settled an outstanding R1,600 and had only been left with R271, which was paid on Wednesday.

“I don’t know where they get these figures from.

“I went to the municipal offices with my meter readings after I received a bill of more than R20,000 last year.

“They checked the system and said I can go home because it was a mistake.

“I owed them R1,600 which I settled,” she said.

Kalani said she was aware of the account and had made an arrangement with the municipality.

She said the property was owned by her grandmother and that she had moved in last year while there was existing debt.

“I’m aware of the account and made arrangements.”

Nzanzeka said he had been paying off the arrears since 2016.

“I don’t understand how they calculate the meter readings.

“I went to make an arrangement years ago and sometimes would even pay more and then they deducted money directly from my salary,” he said.

“The charges are ridiculous. We are only two at home and after my term ended we went to our villages for a few months.

“When we came back, municipal charges were sitting at R15,000 of which I paid R2,000.”

“I’m not sure how much they would say I owe now,” he said.

Ncana said she also did not own a property.

Ndwalaza could not be reached for comment.

The Herald sent questions to city manager Noxolo Nqwazi, who referred the query to Bay chief financial officer Selwyn Thys.

However, the office had failed to respond by the time of going to print. 

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