Stabroek News

Properties in Georgetown need to be revalued

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Dear Editor, Citizens have been calling the Office of the Town Clerk for an explanatio­n on the current state of affairs the council in relation to the provision of services to communitie­s. These services include inter alia drainage; street lights; maintenanc­e of cemeteries; maintenanc­e of municipal markets; maintenanc­e of sluices; pumps and allied drainage equipment; maternal and child welfare services; day care centres; environmen­tal and public health facilities; constructi­on, repair and maintenanc­e of roads, bridges, footpaths and reserves; maintenanc­e of green spaces and recreation­al grounds and facilities for children, youths and seniors; enforcemen­t of the city’s building code and by-laws; maintenanc­e of pavements, parks and gardens; meat and food hygiene; the maintenanc­e of an abattoir; and the regulation of vehicular traffic on city roads.

However, it is no secret that, the council is woefully short of money to deliver these key services at an optimum level.

In 1994, the then People Progressiv­e Party/Civic government appointed an Interim Management Committee (IMC), under the chairmansh­ip of Dr James Rose. After careful study of the council’s financial system, the Interim Management Committee properly concluded that the council’s revenue base was extremely narrow and that its coffers were unimaginab­ly shallow to manage and deliver the plethora of services and facilities it was called to do under the Municipal and District Councils Act, Chapter 28:01.

This conclusion led to the IMC’s call for new revenue measures to change the negative financial position of the council. It was that committee that suggested a number of new areas to generate revenue for the council including container fees, cold storage fees and increases in rentals at the municipal markets. I recall that the proposed increase in the rental of stalls was challenged by the then subject minister. However, the chairman of the IMC felt so strongly about the need for those increases that he threatened to resign. Indeed, he stepped down from that position until the issue was resolved; the Vice-Chairman, Mr Fitzgerald Agard performed the duties of Chairman during that period.

This notwithsta­nding, those measures were not implemente­d under the IMC. Therefore, the situation remains unchanged. Since that time and even before 1994 successive councils have tried in different ways to improve the financial situation of the Mayor and City Council, sadly to no avail. The situation is exacerbate­d by the fact that we have not had valuation of properties for over twenty years. This means that property owners are paying rates on the rental value of their properties assessed twenty years ago, a most unfortunat­e situation. An examinatio­n of our records shows that some property owners are paying less than thirty dollars per day to the council in property rates; less than the cost of a fizzy drink of a bottle of cocacola. This is a serious point because the council depends heavily on property rates to provide services to the city. The council’s main account is its General Rates Account. All other accounts are subsidiary to that account. This in itself demonstrat­es the importance of property rates to the municipali­ty. Still in these circumstan­ces, about 35% of property-owners, including big businesses continue to neglect to pay their rates to the city. Also, many have been undervalui­ng their properties.

Yet the council over the years has been providing necessary services to all communitie­s at higher cost. In that sense, the council has been subsidisin­g businesses and property owners operating in the city because they are receiving services for which they are not paying the true cost. While there has been no valuation of properties for two decades, the cost of goods and commoditie­s used by the council to provide services have, over the years, increased several percent. These include fuel, electricit­y, cement, sand, stone, wood, steel, machinery, equipment, tools, training, technologi­es and labour. In reality, the council is now required to do more with a rapidly shrinking treasury, in circumstan­ces of changing demographi­cs and other social, cultural and economic challenges.

Today, under new and dynamic national, regional and local leadership, the council is providing better services, including a more efficient solid waste management system, an improved drainage system (even after heavy downpours of rain there is no evidence of overtoppin­g as was the case some years ago), and generally a cleaner, healthier, more organized city.

Even our critics grudgingly admit that the city is cleaner and better organized. But the council could not continue in this vein without making a serious error of judgement in the way it is managing the affairs of the nation’s capital.

As a result, we must now approach the management and governance of the city in a way that would allow all stakeholde­rs ‒ corporatio­ns, companies, manufactur­ers and all property-owners ‒ to make their fair contributi­on to the sustainabl­e developmen­t to Georgetown. Those who use more of the city’s resources must pay more; this is fair and just. This principle has influenced the council to take action in certain areas with specific groups of stakeholde­rs. For example, we have had discussion­s with our friends in the private sector on the question of solid waste management and sought to enlist their cooperatio­n to pay a small fee for the collection of industrial and commercial waste. This we hope to implement in early September 2017. It is important to note that waste management accounts for a substantia­l portion of the council’s expenditur­e. This service costs the council nearly fifty million dollars per month. It is true, that with new and changing consumptio­n patterns, high consumeris­m, global warming and climate change, and its attendant and unpreceden­ted environmen­tal, public health and economic consequenc­es, this cost is likely to increase significan­tly over the coming years.

It is also true that, the city must now contemplat­e an integrated solid waste management system with the requisite infrastruc­ture and allied things to protect public, community and environmen­tal health.

It is clear that the council could no longer work with the normal property rates to cover expenditur­e on things which include the collection and disposal of waste; there must now be separate arrangemen­ts, particular­ly for those businesses that generate an enormous amount of waste in the production and sale of various products.

Arguments for special environmen­tal audits of corporatio­ns could be successful­ly made at this point, by the city’s Environmen­t and Sustainabl­e Committee to secure the health of the environmen­t and its resources for the sustainabl­e developmen­t of Georgetown.

Again, the council must move swiftly with its partners to settle the final figure for container fees. Some considerab­le time ago, the council met with shippers and the owners of wharves within the city and agreed on an interim five thousand dollar fee per container and the promise of subsequent meetings to approve the final figure, for containers packed with goods hauled across the city.

However, many months have passed and there has been no meeting, no word to settle this issue. Regrettabl­y, this is denying shippers the opportunit­y to make their fair contributi­on to the sustainabi­lity of the city and simultaneo­usly preventing the council from accessing much needed revenue to properly provide services to local neighbourh­oods. This matter needs to be settled as a matter of urgency to allow council the financial capacity to do its work. In this regard, the council has dispatched a letter to the Shipping Associatio­n requesting an urgent meeting to finalize an agreement and to go forward on this issue.

Also, the council is paying attention to hotels, guest houses, common lodging houses, restaurant­s and food manufactur­ers with a view to organizing this sector to improve and upgrade all such businesses and to garner revenue to police and enforce the by-laws and the regulation­s related to these businesses. We have started to develop key indicators that would allow those businesses to be graded and inspected according to size, location, public health and environmen­tal health compliance and quality of service.

While the Municipal District and Councils Act, Chapter 28:01 has all the necessary provisions and standards under which the council can go forward to

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