SRA touted as solution for Central

MBDA urges residents and business property owners to support the initiative

Even though Central in Port Elizabeth has an alarming list of issues, the people behind the proposed Special Rating Area (SRA) are hoping to emulate the success achieved in Richmond Hill.
This comes as the Mandela Bay Development Agency (MBDA) urges residents and business property owners to support the initiative before the consent period around the project is closed on October 31.
Successfully implemented in the Richmond Hill area – where crime has been significantly reduced and property values have increased – the MBDA and other stakeholders believe the establishment of an SRA in Central will throw a lifeline to an area which has long experienced decay.
In SA, the SRA concept was first implemented in Cape Town, where the city defined an SRA (section 21 company) as one that provides top-up services such as security, cleansing and urban management, to those provided by the South African Police Service and a municipality itself.
In the Bay, the Richmond Hill SRA has been operational for four years and was also formed in collaboration with the MBDA – an entity of the metro’s municipality.
MBDA operations manager Mcebisi Ncalu said nearly 40% of the funds collected by the Richmond Hill SRA were spent on additional neighbourhood safety and security while 20% went towards top-up waste management initiatives.
“There are also plans to assist the municipality with accelerating the maintenance of street lights, reducing the turnaround time and helping to keep the lights on – also as a means to curb crime and promote safety,” Ncalu said.
National Glass business manager Kenrick Brown is serving as the interim chair of the proposed Central SRA.“If you believe the area of Central is degenerating due to shortcomings in service delivery, crime, inadequate waste management and urban decay, then you as an owner or tenant can either wait for change or make it happen,” Brown said.
“The quickest and most legally effective means to create such a change in Central is the formation of an SRA.
“The purpose of an SRA is to arrest deterioration in a specific area, to improve the provision of basic services provided by the local municipality and to ensure the delivery of additional supplementary services.
“Our aim is to work with the local municipality through a collaborative approach and active citizenry to ensure that the area of Central is rehabilitated and installed as Port Elizabeth’s most sought-after area to live, work and play.”
Brown said the process of establishing the SRA had seen the initial inclusion area whittled down from 4,600 erven to 2,600, with the bulk comprising residential properties.
Commercial or business properties and 130 public benefit-orientated properties, such as churches, comprised the remainder of the properties included in the proposed SRA.
The SRA will cover a specific area within which property owners agree to pay a small percentage of monthly rates to a section 21 company as a levy.
“This is calculated as a 12% contribution in addition to current monthly rates, equating to approximately R10 or R20 per R100,000 of property value for residential or commercially rated erven respectively.”
To legally constitute an SRA, the majority (50% + 1) of property owners in the specified area are required to consent to its formation, and the levy will then be applicable to all property owners within the area.
Ncalu said the MBDA called on all residents and property owners in Central to communicate this initiative to all those who may have an interest in the improvement of Central.
Municipal spokesperson Kupido Baron said the local authority supported the initiative.
More information can be found at www.centralsra.co.za

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