The City Council awarded 12 procurement contracts worth US$602 868.21 in May 2026, but funding constraints continue to stall several critical infrastructure projects and delay supplier payments.
This is according to a report by town clerk Christopher Dube presented to council on June 17.
While procurement activity remains robust with contracts going to Bulawayo, Harare and South African firms, the city is struggling to keep key developments on track.
Of the 85 active contracts under implementation at the beginning of May, only 61 were progressing within schedule.
Seventeen had fallen behind, and seven were classified as non-performing.
Among the most affected projects are the rehabilitation of the Deep Section Tunnel Sewer, servicing of residential stands in Magwegwe Extension, Emhlangeni Phase II, Emganwini and Magwegwe West, as well as the refurbishment of Beit Hall.
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Two of the stalled projects - the Deep Section Tunnel Sewer and servicing of 390 high-density stands in Magwegwe West - are currently under arbitration due to long-standing disputes between contractors and the council.
The Beit Hall refurbishment has been suspended entirely after disagreements over price variation requests.
The contractor abandoned the site, and the city is now working to have the project formally handed over in its current state, with retention funds to be forfeited and council expected to complete the works.
Delays on housing servicing projects at Woodville/Paddonhurst, Emhlangeni Phase II and Magwegwe Extension were blamed on outstanding deliveries of plant, equipment and construction materials.
However, council noted that a front-end loader and a double steel roller had been received, while servicing of Tshabalala Extension is progressing internally.
The report also revealed that inadequate funding remains the biggest obstacle to project implementation.
“Several contracts including those for the supply and delivery of motor vehicles and road maintenance equipment remained unpaid for several months after the signing of contracts,” the report read.
The council said the financial services department was continuously engaged on funding modalities, and suppliers were kept updated.
Despite the challenges, major payments processed during May included US$269 114. 46 to the Bulawayo Waste Management Truckers Association for refuse collection, US$131 381. 25 to Barloworld Zimbabwe for plant and equipment, US$81 287.92 for City Hall fountain rehabilitation and US$18,740.13 for debt recovery services.
Total payments for the month amounted to US$467 596.42 and ZiG789 307.91.
Forty-seven tenders were advertised during May, with council resolving to receive and note the procurement report.
Meanwhile, three of the successful companies were wholly owned by women, one by young people, and four were jointly owned by men and women, reflecting ongoing efforts to promote inclusive procurement.