HomeBusinessBCC debt balloons to $106 million

BCC debt balloons to $106 million

-

BULAWAYO City Council (BCC)’s debt has ballooned to over $105 million in six months and the local authority is struggling to service it, latest council minutes have shown.

BY MTHANDAZO NYONI

The debt is about 67% of council’s $158 million 2015 budget.

BCC lost $47 million in 2013 after the government directed all municipalities to cancel domestic water bills and property taxes incurred by households between February 2009 and June 2013, citing a difficult economic environment.

Since the directive, according to the latest council minutes, municipal debt has increased to $106 million while revenue collected compared to the same period last year slightly improved by almost 7% to around $5,9 million from $5,5 million.

byo

According to the latest council minutes, as at June 31 council owed statutory bodies such as National Social Security Authority, Municipal Provident Fund and the Zimbabwe Manpower Development Fund about $41 million, TelOne and Zimbabwe Electricity Supply Authority about $53,6 million.

The council owes workers $4,3 million in outstanding salaries while unpaid taxes stand at $1 million. Financial institutions and trade creditors are owed $1 million and $2,1 million respectively.

The council is owed $3,6 million by the government. Residents owe council $108 million while land sale amounts to over $1,9 million.

Accrued income to the month of June 2015 amounted to $52 million versus the partial budget of $54 million for the same period, giving a negative variance of $2 million, council minutes indicate.

In 2014, BCC adopted a $158 million 2015 budget which raised tariffs by 4%.

Recent Posts

Stories you will enjoy

Recommended reading

1 COMMENT

  1. my buddy’s ex-wife makes $88 /hr on the laptop . She has been laid off for 6 months but last month her pay was $12492 just working on the laptop for a few hours.

    try this web-site …… Job-Finder7.Com

Comments are closed.