Long wait as BCM diverts RDP millions

While thousands of Duncan Village families wait for the construction of their promised RDP houses in Reeston, Buffalo City Metro has taken R10-million from the housing project to fund other “performing projects”.

The R10-million housing funding is part of a larger R15.4-million taken from the metro’s Urban Settlement Development Grant, which has affected the Reeston housing project, among others.

The Duncan Village families will have to wait as BCM housing department reportedly encountered major budget “shortfalls” in a number of its projects in the 2015-16 financial year.

During a recent council meeting, executive mayor Alfred Mtsi asked the council to note the already implemented and approved virement (transfer) requests made by the housing department.

The R10-million Reeston funding was divided into half with R5-million transferred to Mdantsane’s Velwano, Ilinge, Dacawa, Masibulele and Masibambane informal settlements. The other R5-million went to the Fynbos and Ndancama informal settlements.

The redirection of funds was criticised by some opposition councillors, who said the move looked down on the other projects as if they were not important enough.

The report was also lambasted as lacking in detail as to why the affected projects were “slow moving”.

COPE councillor Khayalandile Twalingca said: “I have a problem when I receive a report that does not have enough information.

“There is information which still needs to be explained. We are told the transfers were taken from slow-moving projects but we don’t understand that kind of explanation.

“When you say ‘slow moving’ we don’t know which direction the projects are going and the reasons for that slow movement.”

Mtsi said the total R15.4-million had been moved to “performing projects”.

Residents from Sunny South have also been affected, with R3-million taken from their project and injected in Mdantsane’s Velwano, Ilinge, Dacawa, Masibulele and Masibambane informal settlements.

R1-million was taken from the stalling Mdantsane Zone 18 housing project and transferred to Block Yard TRA while R1.4-million was transferred from Ilitha North 177 units to Ilitha eradication of wooden houses to formal houses project.

Mtsi said: “The approval of this virement will result in the funding being fully utilised. Human settlements has budgetary shortfall in some of the fast-moving projects and some delays in other projects.

“They are projects that are performing above expectation on the construction of internal services which have already depleted their budget in March. The depleted budget of these projects will pose some challenges towards the payment of claims when approaching the month of June 2016.”

Buffalo City Metro spokesman Sibusiso Cindi said: “The money will be injected back into the projects during the budget adjustment process.

“ pending court case at the time compelled that the budget be transferred to other fast moving projects.”— mamelag@dispatch.co.za

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