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'Joburg on track to meet revenue targets'

27th May 2004

By: jenny furness

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The City of Johannesburg yesterday reported that it is on track to meet its annual cash collection target of R7,4-billion with an average annual revenue collection rate of 89,2% compared to 85,3% six months ago.

This was announced by the executive mayor of Johannesburg, Councillor Amos Masondo, at a media briefing at the Metropolitan Centre in Braamfontein.

“Our monthly city payment level to date is 93,3% for the month of April,” said Masondo.

“In March, we collected 91,6%, February 97%, January 94,3% and in December we collected 92,1%. These high collection levels mean that we have exceeded our pro rata cash collection target by R109-million.”

Masondo said that, since February, the City of Johannesburg has resolved 66 300 queries that were in backlog and that all the clearance certificates that were in backlog, 886 in total, have been issued.

The mayor also said that Keith Sendwe, the CEO of the Revenue Shared Services Centre (RSSC) has been suspended pending an inquiry into alleged nonperformance. At the very latest, he expected the matter to be resolved by the end of July.

When asked if there were other members of the municipality that were to be investigated, Masonda said the municipality is not going to be going on a witch-hunt.

“We are not looking for people to blame but we are increasing the accountability of all staff members for nonperformance. If a staff member is not performing, action will be taken if necessary,” Masondo said.

Roland Hunter, executive director of the finance department and acting CEO of RSSC said that the problems of the metropolitan council were more difficult than originally envisaged and that the implementing of the much-anticipated consumer consultants will be delayed.

“We are committed to instituting consumer consultants although we will not see too many of these being integrated by the date of July 1 we set ourselves. One part of the city will see consumer consultants being implemented. Once this test phase has been completed and all the backlog and systems integration has been sorted out, we will roll out the consumer consultants to the rest of the city,” Hunter said.

A number of meter-reading contractors that have not performed have had their services terminated.

Masondo said that they retained the contractors on the merit of their work, not on whether or not they were black economic empowerment (BEE) companies.

“Obviously, the City of Johannesburg is complying with legislation on BEE, but our main criterion of evaluation is whether or not the company will be able to meet the requirements of a successful meter-reading company,” Masondo said.

Credit-control measures, as well as the removal of backlogs, are the pillars of the council’s plan to help Johannesburg’s flailing municipality.

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