How metro will spend R200m windfall grant

Northern areas and Uitenhage to get lion’s share of funds given to the city by National Treasury


More than R100m of the windfall grant from the National Treasury will be spent on projects in the northern areas and Uitenhage.The rest of the money, which in total amounts to R200m, will be split among the townships in the Ibhayi cluster (R32m), Motherwell (R43m) and the rest of the city (R24m).The money will be used for the development of public open spaces, public lighting, eradication of illegal connections and tarring of gravel roads in wards across the metro.A report detailing how the money will be spent was unanimously agreed upon by all councillors at a council meeting on Tuesday.This was not without robust debate as opposition parties claimed they had not been consulted on how the money would be spent.The windfall Urban Settlements Development Grant (USDG) funding is money that was not spent by other spheres of government and given to the metro because it spent all its money before the end of the last financial year.The money was given on condition it is spent by June 30.It was the cause of Thursday’s council meeting collapsing because parties could not agree on how the money would be spent.On Tuesday, ANC chief whip of council Bicks Ndoni said not spending the money would be criminal.“This money needs to be spent in two months. If this money is not used it will be taken away from us and we cannot be part of that.“It will be criminal not to use this money because of political grandstanding,” he said.PA councillor Marlon Daniels said while he appreciated that some wards from the northern areas had been included, he felt the document was not ward specific.“We can’t just accept what’s given to us – R50m of the USDG grant must be allocated to the northern areas.“It’s about time we redress the imbalances of the past.“I see new projects, upgrades of cemeteries, but Papenkuil [cemetery] does not have a fence, which needs to be included, ” Daniels said.DA councillor Nqaba Bhanga said it would only accept the allocations if there would be no changes going forward.“In budgeting you must make sure money is allocated equitably to all citizens of the metro.“The budget of last week excluded the people of Uitenhage. The level of infrastructure problems there is unbelievable,” Bhanga said.He said he was happy that the northern areas had been included.ACDP councillor Lance Grootboom said he was worried the money would not be spent.“Today we got money to improve the lives of the people but this item before us is concerning as capital expenditure is around 34% [currently].”He said he was happy Uitenhage had been included.“Uitenhage is always neglected. No-one thinks of the people of Langa and Geraldsmith.”Budget and treasury political head Mkhuseli Mtsila said the narrative that there had been attempts to exclude the northern areas was disingenuous.“We’ve done a lot of work to set this budget.“We need to pass this USDG because the DA would never forgive us if we commit political suicide,” Mtsila said.

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