Council writes off sport clubs’debt
Three local sports clubs’ outstanding municipal debt of over half a million rand was written off as bad debt.
George Council granted permission last Wednesday to write off an amount of about R655 000 for sewerage and refuse charges owed by Pacaltsdorp, Rosemoor and Thembalethu Sport Clubs.
The new contracts between the municipality and nine sport clubs (Blanco, Pacaltsdorp, Lawaaikamp, Maraiskamp/ Parkdene, Rosemoor, Thembalethu, Touwsranten, Uniondale/ Haarlem and George) will be amended to waive each sport club’s responsibility for payment of their monthly municipal service charges such as water, sanitation and refuse removal. The monthly municipal charges for the sport clubs will be treated as internal departmental charges by the municipality. In other words, they will keep book of the amounts, but it wouldn’t be recovered.
The recommendations were supported by the parties, but some did note their concern over the validity of the contracts between the clubs and the municipality. ACDP Councillor Johan du Toit said it will be the ratepayers, in the end, who have to pay for the bad debt. “These clubs do not have the means to pay the bills. Why was this not taken into consideration when the contracts were drawn up?” he asked. Gert van Niekerk of the Freedom Front Plus said his party doesn’t want to deprive the youth of their sport. He added his voice to Du Toit’s, saying contracts were concluded.
“This is a legal process,” said Van Niekerk. “If there is a breach of contract, there are legal processes that should be followed.”