Municipal staff housing in the spotlight
The Knysna Municipal Public Accounts Committee (MPAC) will be investigating the extent to which the municipality’s Staff Housing Policy has been properly implemented over the past two years.
This decision was taken on 27 August after DA Councillor Luzuko Tyokolo submitted a motion for Council to investigate the matter. It was also resolved that MPAC should report to the Council within 60 days on the outcome of its investigation.
Municipal spokesperson Christopher Bezuidenhoudt confirmed the decision, but added, “MPAC is yet to consider the same resolution in their meeting. The MPAC meeting has been postponed until further notice.”
At the meeting, it was also decided that Acting Municipal Manager (AMM) Dr Louis Scheepers will investigate a decision by suspended Municipal Manager Dr Sithembele Vatala to extend staff leases and permit occupiers to remain in staff housing despite a council resolution to the contrary.
Review requested
On 29 July 2019, Council requested a review of and subsequent report on all municipal properties leased to staff members to be submitted to the mayoral committee and that no further leases, extensions or permission be given to the occupiers while the review was being conducted.
A report was presented to Council one month later which included a list of staff members who requested to continue living in municipal properties as they had no alternative accommodation.
In February this year, a report was tabled by Vatala asking Council to rescind the decision to not allow any further leases or extensions of leases, stating that the municipal Integrated Human Settlements Department was inundated with applications for staff housing submitted by current and new officials.
He pointed out the risk – as advised by the municipality’s insurance department – that the insurance does not cover municipal-owned properties that are left unoccupied for more than 30 consecutive days.
However, at the same meeting Council insisted on a comprehensive report on the options available on the leasing of municipal properties to staff; the possible sale of properties; and the market-related rental that could be obtained per property, and it was resolved that the report be submitted in the next special council meeting.
Month-to-month leases
According to DA Councillor Michelle Wasserman, at a council meeting on 7 July this year, the municipal Governance and Economic Development Committee was informed that the occupiers of municipal accommodation who had exceeded the 12-month limit had submitted a memorandum to Vatala requesting that, should Council wish to terminate their leases, same be converted to month-to-month leases until the Staff Housing Policy has been reviewed.
“Despite the Council resolution to the contrary, Dr Vatala approved this request and the employees were permitted to stay in the occupation of the municipal properties on a month-to-month basis,” she said.
Wasserman stated that at least 13 properties had been leased for longer than the 12-month limit prescribed by the policy. “From the addresses in the report presented to Council on 29 August 2019, it was clear that at least some of the rentals were way below a market-related value,” she said.
Policy ‘disregarded for years’
Wasserman, who called the contents of the report shocking, added that it is clear the Staff Housing Policy, which was designed to assist staff members for a limited period of up to 12 months by leasing municipal accommodation to them at a market-related rental while they found their own accommodation, has been disregarded for years.
“Some leases are way longer than 12 months, some rentals are not market-related and the procedure set out in the policy for selecting beneficiaries has not been followed in all cases,” said Wasserman.
Vatala said he is not in a position to comment on the matter as it is still sub judice.
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Source: Knysna Plett Herald News