LETTER | Oversight visit to properties part of municipal mandate

Budget and treasury political head Khanya Ngqisha conducted an oversight visit in Humewood and Summerstrand to check on leases of municipal-owned properties (Eugene Coetzee)

I write in response to the opinion piece authored by Gordon Upton on March 24, regarding my oversight visit to municipal-owned properties.

Firstly, it must be stated unequivocally that all properties visited during the oversight exercise belong to the municipality.

In my capacity as MMC [member of the mayoral committee] for budget and treasury, I am fully vested with the authority and responsibility to conduct oversight on municipal assets, particularly those that ought to be generating revenue for the public good.

This is not optional work, it is a constitutional and governance obligation.

Secondly, Mr Upton fundamentally misrepresents the purpose of the visit.

The intention was not to “discover” whether lease agreements existed within municipal records.

The purpose was straightforward and administrative: to verify alignment between lease agreements held by tenants and those held by the municipality.

This is a basic compliance exercise.

The question posed to tenants was simple, do you have your lease agreement?

If yes, produce it. If not, that raises concern.

There is nothing extraordinary or unlawful about this process.

Mr Upton’s assertion that such information could simply be obtained from municipal offices reflects either a misunderstanding or a deliberate mischaracterisation of oversight practices.

Verification requires engagement with both parties to ensure consistency, legality and accountability.

Furthermore, the claim attributed to me regarding projected rental income is taken out of context and misused to cast aspersions.

What remains true, however, is that the municipality has for too long been deprived of rightful revenue from its own assets.

This administration will not tolerate a situation where private businesses profit disproportionately at the expense of public resources.

We are dealing with a legacy where certain businesses have become overly comfortable operating under conditions that are not market-related and not beneficial to the municipality.

That era is coming to an end. We are intensifying efforts to regularise all lease agreements and ensure that rentals reflect fair market value.

We will pursue this objective with determination and without compromise.

It is also important to place on record that during a subsequent oversight visit conducted for property evaluation purposes, the overwhelming majority of businesses co-operated fully.

However, one establishment refused entry and actively obstructed officials from carrying out their duties.

Such conduct raises serious concerns and is being attended to accordingly.

Let me be clear: all municipal properties will undergo a full audit.

Where necessary, properties will be publicly advertised to ensure transparency, fairness and equal opportunity for all prospective tenants.

The municipality will no longer be held hostage by irregular arrangements or selective compliance.

The misleading narrative presented by Mr Upton will not deter us from executing our mandate.

Oversight, accountability, and revenue optimisation remain central to restoring the financial integrity of the municipality.

- Councillor Khanya Ngqisha, MMC: budget and treasury, Nelson Mandela Bay Metropolitan Municipality

The Herald


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