About R1 billion more could be collected by the City of Johannesburg if its property valuation roll is correct.
This is what the City of Johannesburg Mayor Herman Mashaba revealed on 1 December, at an event marking his first 100 days in office. Improving the property valuation process is one of the elements within the City’s billing system, a system at the core of the City’s ability to pay for its own expenses.
By end December a diagnostic exercise, including reviewing the indigent list, resolving billing queries and collecting more revenue, will be concluded.
“In the last property valuation process, the City had to file 60 000 objections against its own service provider. This cannot happen again because those who are over-valued object and many who are under-valued remain quiet,” he said.
Carte Blanche recently investigated an internal report alleging that 22 properties were devalued, within the property valuations department by almost half a billion rand, resulting in significantly lower rates and taxes paid to the City.
To watch the segment, click here
“The property valuation roll of 2013, has a significant number of under-valuations,” Mashaba said.
By correcting this, the City could bring in an estimated R1 billion more. “The tragedy is that we are talking about the wealthiest 0.5 per cent of the roll benefiting from under-valuations, and effectively being subsidised by the average residents of our city,” he added.
Even though the City’s revenue grew from 90 per cent to 98 per cent recently, Mashaba is still adamant that the City is committed to being a pro-poor government.
“A City that is pro-poor would collect this revenue and spend it on service delivery for the poor,” he said.
After reviewing the indigents list, Mashaba said that every month the poorest in the City will receive 50 kilowatt hours of electricity for free, six kilolitres of water for free, free sewage and refuse removal services.
Click here to read Mashaba’s speech
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