RATEPAYERS DEMAND ANSWERS ON ‘RISKY’ E500M CIVIC CENTRE

MBABANE –  Ratepayers and residents of the capital city have demanded answers on the proposed public-private partnership (PPP) project, which entails the construction of a E500 million worth civic centre.

This transpired during the Mbabane City Ratepayers and Residents Association (MCRRA) Annual General Meeting (AGM) held at the MDS Hall yesterday. The project formed part of issues under any other business and programme director, Chris Morgan, shared a brief background on what the executive committee of the association had done in its efforts to get answers. The attending ratepayers and residents were informed that the executive committee of the association had serious concerns about the council’s refusal to share information on the proposed project.

awareness

It was mentioned that despite the project being massive and costly, there had been minimum public awareness. In particular, it was mentioned that while there was publicity some years ago, it was not known whether due diligence on the private sector investor had been done. The ratepayers were also informed that the municipality had said that the investor was allegedly set to spend the entire E500 million, but that the source of the funds were not known. Also, the ratepayers were told that the executive committee had not been privy to a formal comparative valuation but that there was an implication to the effect that there would be 10 per cent of equity in the investing company given back to the council. “A reciprocal project of this nature carries huge risks. Any emerging problems will be big and have financial impact on ratepayers and in turn residents,” Morgan said when sharing feedback with the ratepayers and residents.

He also made them aware that the executive committee offered its professional skills at no charge to review the project agreement and minimise risks before the projects could continue.
The feedback saw most of the attendees raising up their hands to indicate that they wanted to have their say. Those who got the opportunity to speak concurred that the project was risky and that in the end, it was the ratepayers and residents who would suffer. “In this small country of ours, I cannot understand how nobody knows who this investor is. How is it possible that this information is not available?” one of the attendees asked. Morgan then shared that if his memory served him well, there was a meeting in the council chambers where the name of the investor was shared. However, Morgan said he believed that there was so much privacy attached to the entire subject and that what was needed now was to find a way forward and deliberate on what could be done next.

matters

“There was never an opportunity to get more information. Bear in mind that there were other issues to discuss. There were a lot of other matters to deliberate on,” he said. It was also revealed during the AGM that an effort was made with the previous council that was in office and it also did not come forward with the information regarding the project. “We then went to the Minister of Housing and Urban Development, who welcomed and listened to our concern. With all due respect to him, while he requested to consult, it is a fact that we are running out of time,” Morgan informed the residents and ratepayers. He mentioned that this was not a witch hunt or ploy to accuse anyone but that there was a need to have all the concerns addressed regarding the matter. A ratepayer who identified himself as Babe Dlamini submitted that there was a need to review the law that governed the councillors elected. In his view, residents and ratepayers should be allowed to remove councillors who did not come forward with answers whenever there were questions or concerns raised.

councilors

“Recently, I read somewhere that councilors will receive an ex-gratia. To me this is insane because they have not done anything. It is like they are receiving an ex-gratia at my expense,” Dlamini submitted. Another speaker submitted that the concerns raised by the ratepayers and residents touched on public funds and the rates paid. “We have the right to know any projects that will in the end be financed through public funds. I submit that if the Ministry of Housing and Urban Development does not come forward, let us approach that of Finance since it handles issues of public finance management. All that we want is to know the name of the investor partner. Also, we need to be allowed to interrogate the process of selection, how was it conducted?” the resident asked.

On another note, the ratepayers and residents deliberated on the re-valuation programme of propertie, which has been deemed unsatisfactory in many aspects. Also, the issue of the rezoning to commercial property of Ward 5 was noted as a big issue. It was discussed that the council had failed to implement correctly the Rating Policy 2012 through consultations and collaborations. The attendees were informed that the executive committee secured a one-year concession for residential properties and that a Ward 5 Task Team had been established to handle the issue.

agreement

The AGM also discussed the tenure of the executive committee and the ratepayers and residents took part in a voting to reach an agreement on whether it should be in office for two or three years. As the debate continued, some of the speakers advised that members of the association should not just focus on the tenure of office but should also show support to the committee by participating during meetings. The final result of the voting was that the committee should be allowed to be in office for three years and consult with the ratepayers at all times. After that, the ratepayers and residents took part in the voting for the next bloc of committee members and it was revealed that from the nine who were in office, eight had communicated interest to be re-elected. As a result, it was agreed that only one member needed to be nominated in order to complete the number. The attendees were then given a chance to raise up their hands and nominate their candidates. A suggestion was made that there needed to be gender balance in the committee and this led to an agreement to nominate AM Recruitment Managing Director Advocate Carol Ngcobo.

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