Zvishavane Town Council proposes $1,7m budget

ZVISHAVANE Town Council has proposed a $7,1 million budget for 2018 that will see rates and tariffs in the mining town remaining at current levels.

The budget will be a slight increase from this year’s $6,5 million and is subject to approval by the Ministry of Local Government, Public Works and National Housing for it to be passed.

The town council’s finance director, Mr George Jongoni, ruled out any rates and tariffs increases next year.

He said council slightly increased the 2018 budget banking on revenue anticipated to be generated from land sales for residential and commercial purposes.

“What has caused the increase in the 2018 budget is not an increase in rates or tariffs, but we have got pieces of land that we will dispose of and that land will give us money which we want to use to buy a grader, a bulldozer and other equipment,” said Mr Jongoni.

Mr Jongoni said his council had successfully implemented the zero budgeting system and made sure they achieved their financial year targets.

“Our budget is guided by the Government economic blueprint, the Zim-Asset document, and we also look at other guiding documents from our parent ministry,’’ he said.

“We have stuck also to the 70:30 percent ratio of service delivery expenditure and staff costs and we have been very clear on that.”

For 2018, Zvishavane Town Council has budgeted $2,8 million for the housing and administration account up from the current $2 million.

Council also budgeted slightly over $200 000 for roads under next year’s budget.

Commenting on the current year’s budget performance, finance committee chairperson Councillor Fatuma Phiri said his council had managed to collect 62 percent of expected revenue as at August 31.

Cllr Phiri said they had entered into several debt swap arrangements with their suppliers in the face of low revenue inflows caused by liquidity challenges that ratepayers are currently grappling with.

He said his council was pinning its hopes on the continued use of the multi-currency system in the country supported by bond notes.

Cllr Phiri said his council also expected more revenue inflows into its coffers from the expected reopening of Shabanie Mashava asbestos mines early next year.