GEORGE NEWS - An understanding has been reached between the George Ratepayers Association (GRPA) and George Municipality’s (GM) Finance Directorate following the GRPA raising concerns over aspects of the city’s budget.

According to a statement by the GRPA’s chairperson, Jacques Wessels, issued on 5 August following an engagement with the municipality, there has been progress with their concerns being addressed, and there is now a commitment from both the GRPA and municipality to communicate and collaborate better.

George Herald previously reported that the GRPA had rejected the 2025/26 budget and integrated development plan (IDP). 

One of their biggest concerns was a lack of reliable statistical data on which financial and efficiency analyses could be based, which is necessary to know if the city is on a sustainable trajectory.

There was, among others, disagreement on the sources of statistics the municipality uses, which led to contradicting figures when trying to calculate ratios and analyse trends, said Wessels. 

“Our request was for the GM to agree on a single, authoritative source, such as Stats SA or similar reputable entities, for base demographic and operational data.”

The GRPA is also concerned about a lack of specific base data, for example, pertaining to demographics. 

Data on things like the quantities of bulk purchases of electricity and water, quantities of solid waste and sewage being managed, as well as kilometres of roads, bulk water lines and sewage piping are lacking.

The municipality has undertaken to provide statistics it has readily available, and also said the availability of information would improve as it would increasingly be using new technology and significantly upgraded financial and integrated project management systems that are being introduced in the current financial year.

The CFO, Riaan du Plessis, has furthermore agreed to provide information regarding unreported liabilities. These include labour disputes, a court case that involves a local developer (Cape Estates), and issues related to the failed urban development at the Garden Route Dam. 

The Finance Directorate will also provide reference points in the financial statements that pertain to the total legal financial liability of the city.

“Long-term sustainability of the city should not just be reflected in the adequacy of current service delivery and infrastructure, but also in figures and data in the municipal budget, from which trends can be extracted to help with planning for the future,” says the GRPA.

GRPA Chairman Jacques Wessels. Photo: Supplied

Lack of public participation

In response to the GRPA’s concern over a lack of public participation in the IDP and budget processes, the municipality has agreed to allow the association oversight access to information.

Wessels said the GRPA had submitted several formal, “well-meaning and thoroughly researched” submissions to the GM, which had not been responded to. 

“The public participation opportunities were poorly attended and were at best municipal information sharing sessions, with most ending in participants walking away disillusioned.”

Multiyear project evaluation system

There is also concern over disconnection in the planning cycle due to directorates that “largely function in silos”.

“The Rosemoor Stadium project exemplifies a complete disconnect from strategy (the IDP) to budget to actual implementation and review, making it impossible to track progress, efficiency or adherence to a long-term vision,” said Wessels.

In this regard, the municipality said it is introducing a comprehensive multiyear project evaluation system to balance financial resources and infrastructure needs.

George Municipality's CFO Riaan du Plessis

Ratepayers largely financing development infrastructure

The association thinks current ratepayers are largely financing development infrastructure, because capital contributions from new developments are inadequate to offset the additional burden on infrastructure and services that results from population growth and the densification of the city. 

In this regard, the capital contribution model for new and densification developments needs to be amended.

Wessels said the GM and GRPA have committed to meet on a regular basis to address concerns and find mutually acceptable resolutions. “The underlying message is a desire to contribute positively to improving financial management and transparency, neither engaging in fault-finding nor in confrontational exchanges.”

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