ITEMS dealt with at the 350th City of uMhlathuze Executive Committee meeting, included the following:
1. Tata ma chance
The city could lose more than R34-million as a result of Tata Steel being placed under Business Rescue on 14 July.
The sum represents the current (June) outstanding amount owed for services.
While a temporary moratorium has been placed on any claims against Tata Steel, Exco was assured a legal guarantee has been obtained for payment of future use of services.
Questions were raised about incentives and the ‘deal’ struck with Tata at the commencement of its Alton smelter plant.
A full report will serve before the next Exco meeting.
2. Financial turnaround lauded
From being barely able to spend half its capital budget a year ago, the city has improved to the stage where the expenditure figure is now close to 90%.
Attributed, among others, to a vastly enhanced and accelerated tender process, officials were praised for ‘implementing council’s service delivery mandate’.
‘This is a remarkable attainment. We represent the people’s aspirations – they want us to deliver,’ said Mayor Mdu Mhlongo.
‘And if we can achieve this turnaround, anything is possible.’
3. Women praised
Being the first Exco meeting in Women’s Month, appreciation was expressed for the role played by women in nation building.
‘We acknowledge their part in the liberation of South Africa,’ said Mayor Mhlongo.
‘Theirs was a different struggle, as they faced triple challenges and exploitation – at home, at work and in society as a whole.
‘We accord them singular appreciation for their bravery.’
4. Port land swap hiccup
Negotiations with Transnet National Ports Authority for trades of land that will enable port expansion, were put on hold until the future of the John Ross Parkway can be safeguarded for the City of uMhlathuze.
The land exchanges include a parcel of land (Erf 5333) that would accommodate a new lighthouse at Mzingazi, where the existing one is on the brink of falling into the sea owing to coastal dune erosion.
The city would, among others, also take over ownership of the site where the Carina substation is located; the Steel Bridge area and western half of the Mzingazi Canal; Pelican Island; and a portion of the Estuary.
It will also enter into a long-lease agreement at a nominal rental in respect of Naval Island and Newark Beach.
However, the section of land required for port expansion that will impact on the newly-built John Ross Parkway near the eSikhaleni robots is a bone of contention.
‘Port expansion is desirable for the city,’ said Mhlongo.
‘But we worked tirelessly to get the highway and there is no guarantee of who will pay should it need to be relocated. Serious cost issues are involved.’
It was agreed that legal advice be sought and the matter be dealt with by the Municipal Manager via a special Port Discussion Group, before the land transfer is approved.
5. Change of service provider
Mhlathuze Water has been awarded a three-year tender for the management, operation and maintenance of the city’s vast water and wastewater treatment works.
The Service Support Agent contract, which will average around R70-million per year, was for the past decade handled by WSSA.
Meanwhile, the city awaits this week a comprehensive report on water losses and the state of the water reticulation infrastructure.
‘There has already been a big improvement. While we can never have zero water losses, whereas we were once far below the norm, we are now well above it,’ said the mayor.
6. Little ado about much
The achievement of the city in securing a second consecutive unqualified (‘clean’) audit did not get the recognition it deserved.
That’s the view of Mayor Mhlongo, who especially criticised opposition parties for failing to acknowledge this feat.
‘Very few municipalities in the country can match the city’s financial performance and compliance with legislation.
‘It shows we are able to account for the monies with which we are entrusted.
‘We need to sustain this going forward and will do so thanks to the officials, and the council’s oversight.’
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