The town of Hennenman in the Free State has declared a dispute with its municipality. The dispute document follows below:
THE HENNENMAN RESIDENTS ASSOCIATION
HENNENMAN RESIDENTS ASSOCIATION
P.O. Box 447
Hennenman
9445 Fax: (057) 5733 143
THE MUNICIPAL MANAGER
THE HONOURABLE SPEAKER
THE HONOURABLE MAYOR
Mathjabeng MUNICIPALITY
P.O. Box 708
WELKOM
Fax: (057) 353 2161 / 352 1267
PER FAX
THE DIRECTOR-GENERAL
DEPARTMENT OF HEALTH
PRETORIA
FAX NO 012 323 0093
THE DIRECTOR-GENERAL
DEPARTMENT OF WATER AFFAIRS AND FORESTRY
PRETORIA
FAX NO 012 326 2715
THE MEC FOR LOCAL GOVERNMENT AND HOUSING
BLOEMFONTEIN
THE OFFICE OF THE AUDITOR –GENERAL
BLOEMFONTEIN
27 May 2008
Dear Sirs/Ms
DECLARATION OF DISPUTE
A. As you were informed in our earlier correspondence, the HENNENMAN
RESIDENTS ASSOCIATION was formed during the past year by
Hennenman and Phomolong residents and mandated by these residents during
public meetings to address the concerns of residents in respect of the
deterioration of the basic services under the present Municipal administration.
You are hereby notified that the HENNENMAN RESIDENTS
ASSOCIATION has been specifically mandated at public meetings in
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Hennenman to declare, as it hereby does, a dispute against the Mathjabeng
Municipality and which is based on the following grounds:
1. Sewerage
The dilapidated state of the sewerage works plant in Hennenman where
important components of the plants machinery are out of order, water
enters the Sand River, and all speak of incompetent management. Raw
sewerage is spilling onto the streets in Phomolong. This creates health
risks to all its residents. It is further placed on record that private
individuals had, out of their own accord and at their own expense,
repaired the sewerage truck in Phomolong as the Municipality failed in
its duty to do so. The fact that sewerage in an untreated form ends up
in the Sand River creates an ecological disaster waiting to happen. It
also contaminates the drinking water and serious health hazards exist
for all the residents in Hennenman and Phomolong alike.
2. Refuse removal
The community objects to the obviously disorganised and unhealthy
manner and the uncontrolled situation at the dumping sites in
Hennenman and specifically in Phomolong.
3. Infrastructure
Our problems with the general deterioration of the infrastructure
include, but are not limited to:
(a) The failure to properly maintain roads in Hennenman and in
Phomolong. Damage to the vehicles of residents occurs on a
regular basis due to potholes not being fixed in time despite
request being made for such repairs. Streets in Phomolong are
absolutely unusable by normal vehicles.
(b) The deterioration of sports facilities in Hennenman. Uniepark is
used by the residents of both Hennenman and Phomolong on a
regular basis but the facilities, especially the ablution facilities,
leaves a lot to be desired. It needs urgent repairs. .
(c) Street lights that are out of order. Private individuals are
replacing, as far as possible, light bulbs in Hennenman in order
to ensure well lit and safe streets. Once again this voluntary
work is being done at great personal expenses to the individuals
concerned.;
(d) The lack of control over the maintenance of sidewalks. Weeds
are taking over.;
(e) The deterioration of the Community hall is a disgrace. No
working electrical appliance exists any more. Tiles in the
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entrance hall are broken and in some places making unsafe
bulges which will break at any time. The toilet facilities are an
absolute mess and are not in working order. The kitchen in the
community hall is totally dysfunctional.
(f) The deterioration of the cemetery facilities in Hennenman. No
taps are to be found on the premises as al taps have been
forcibly removed.
(g) Road signs are either missing or so faded that it can not be read
any longer. This causes great safety risks to both motorists and
pedestrians alike in Hennenman and Phomolong.
(h) Stray animals on the main entrance road from Kroonstad as well
as on the entrance road servicing the smallholdings are a cause
of concern. Stray animals on municipal sites such as those
grazing around the Fire Brigade constitute a health and safety
risk.
4. Erroneous accounts
The many erroneous accounts received by residents during the past
months (and even letters of demand by attorneys based on erroneous
figures and faulty readings) speak of incompetence on the part of the
technical and financial departments of the Municipality. Section 95(e)
of the Municipal Systems Act states ensure that persons liable for
payments receive regular and accurate accounts that indicate the basis
for calculating the amounts due. This is not the case in Hennenman.
5. Financial Reports
It is known that the Municipality has failed for the past three financial
years to receive an unqualified audit report due to incompetent
administration. It is not known what steps the Municipality took to
address issues raised by the Auditor-General in this audit reports. The
enormous amounts that are spend on travelling cost especially the
Mayor and Municipal Manager.
6. Budgets
No invitation was given to members of the public to comment on any
portion of the Municipal Budget as contemplated in Act 56 of 2003.
We reserve our rights in this regard and herewith request the
following:
6.1 As required by Chapter 4, section 17 (3) of the Municipal Finance
Management Act no 56, 2003:
measurable performance objectives for revenue from each source
and for each vote in the budget; (MFMA Circular 28 – Annexure 4
supporting table 10);
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6.2 a projected cash flow for the budget year by revenue source,
broken down per month; (MFMA Circular 28 – Annexure 4 –
supporting table 9);
6.3 any proposed amendments to the Municipality’s IDP following the
annual review of the IDP in terms of section 34 of the Municipal
Systems Act;
6.4 particulars of the municipality’s investments; (MFMA Circular 28
– Annexure 4 – Supporting table 4 + 4a)
6.5 the proposed cost to the municipality for the budget year of the
salary, allowances and benefits of –
each political office-bearer of the municipality;
councillors of the municipality;
the municipal manager, the chief financial officer, each senior manager
of the municipality and any other official of the municipality having a
remuneration package greater than or equal to that of a senior
manager; (MFMA Circular 28 – Annexure 4 – supporting table 8 + 8a
+ 8b)
6.6 the total expenditure on salaries and wages be in balance on the
budget as opposed to the government guideline of maximum 35%.
6.7 Repairs and maintenance to infrastructure being adjusted in the
budget to the guidelines stipulated by the government to be no less
than 15% of total budget.
6.8 With the budget, a breakdown of the expenses listed under General
Expenses to be provided.
2. As required by Chapter 5, section 34 (a) (i) of Municipal Systems
Act 2000; Assessment of Performance measurements in terms of
section 41:
No measuring or review performance reports have been measured or
reviewed as required by Section 41 (1) (c) (ii) of Municipal Systems
Act 2000.
Key performance indicators and performance targets have not been
made known to the public as required by Section 44 of the Municipal
Systems Act 2000. (MFMA Circular 28 – Annexure 5)
Annual reports on the previous Financial year and the Auditor
Generals reports thereon have not been presented by the Mayor to the
public as required by Section 46 of the Municipal Systems Act 2000.
Alignment of Budget with Integrated Development Plan – showing
REVENUE, OPEX and CAPEX. (MFMA Circular 28 – Annexure 4 –
supporting table 1 + 2 + 3)
Grant allocations (MFMA Circular 28 – Annexure 4 – Supporting table
5)
DRAFT TARRIFS:
Service tariffs are intended to fund the cost incurred to provide
municipal services by a municipality, to the community.
As intended by the various Acts, specifically the Municipal Systems
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Act, section 74, and a detailed presentation are required that reflects
the costs reasonably associated with rendering these services and
including:
1. capital costs,
2. operating costs,
3. maintenance costs,
4. admin costs
5. replacement costs and
6. interest charges, if any.
Further we would appreciate information on the following:
When was the budget published for comment?
How was the public informed of their right to comment on the
budget?
B. The Residents Association informs you that we believe that the deterioration
in the service levels is due to sheer incompetence and not to a shortage of
financial resources. However, if a shortage of funds are a relevant factor, we -
(a) assume that the Municipality will be able to provide proof of
complying with all aspects of section 135(3) of the Municipal
Financial Management Act, 2003 (Act No. 56 of 2003) (although the
Municipality is not known to have publicly announced a serious
financial problem as contemplated in that section). The question must
also be raised as to whether the Municipality had done everything in its
power to access Government and public sector funding, which we
doubt;
C. You are further informed that unless -
(a) appropriate action is taken and clear progress is made by your
Municipality in addressing the various complaints within fourteen days
from date hereof, and of which the Association expects to be informed;
(b) the Municipality, within the mentioned period and as part of the
appropriate mechanisms, processes and procedures to enable the local
community to participate in the affairs of the municipality which the
Municipality is obliged to create in terms of the section 17(2) of the
Municipal Systems Act, 2000 (Act No. 32 of 2000), establish a
standing monitoring committee, consisting of both Association
members and Municipal Councillors/Officials, in order to assess the
quality of services in Hennenman and Phomolong on a continuous
basis;
(c) the Municipality agrees to an independent performance audit of its
various departments,
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appropriate action will be taken by the residents. Such action may include, but
is not limited to, the withholding payment of the tariffs and charges payable in
respect of:
(i) Property assessment rates.
(ii) Reclaiming the costs incurred by individuals to do necessary repair
and maintenance work which should have been done by the
Municipality
It is hereby confirmed that residents do not intend to refrain from paying these
tariffs and charges but instead to deposit same in a trust bank account pending
the outcome of the dispute. We are not going to accept any interest charges on
the accounts of the residents who are deposit their money in the trust account,
because this account will also generate interest. Once the residents start to
withhold their rates and taxes, we will present the Chief Financial Officer with
a list of the residents who pay their rates and taxes into the trust account on a
monthly basis. Appropriate deductions will, however, be made in respect of
any expenditure incurred in procuring the services of contractors should your
Municipality fail to continue rendering any basic municipal service.
You are referred to section 102(2) of the said Municipal Systems Act which
provides that you are prohibited from applying credit control and debt
collection until such time as a dispute has been resolved.
D. Finally, we place on record that this extraordinary action will be taken
(a) as a last resort by a unified Hennenman public after -
(i) various complaints were laid by the residents and this
Association and community members about the state of
services and requests were made for a systematic program on
the part of the Municipality to tackle and finally solve all
deficiencies; and
(ii) various requests were made for consultations by this
Association which were, contrary to sections 5 (1)(b) and
17(2)(d) of the said Municipal Systems Act, never reacted to;
(b) as a clear vote of no confidence by the public in the competency and
quality of the administration of the Municipality. Please note that the
public does not have any desire to interfere in the running of local
government services but are now forced to do so;
(c) with the intent of arresting the further deterioration in local government
services in our area and not with any ulterior motives in mind, especially
not any motives aimed at inciting conflict with any particular councillor or
staff member or motives of a political nature.
(d) This dispute could be altered at any given time as new disputes arise.
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Yours faithfully,
_____________________
IA DE VILLIERS
(CHAIRPERSON)
______________________
______________________
On behalf of the HENNENMAN RESIDENTS ASSOCIATION
Committee Members:
IA De Villiers 082 570 1031
J Kemp 082 555 1268
JJ Calitz 083 281 1168
A Greyling 082 909 2132
W Badenhorst 082 925 5562
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RECEIPT OF :
DECLARATION OF DISPUTE
From the
HENNENMAN RESIDENTS ASSOCIATION
(Letter dated 27 May 2008)
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