Latest / Drive with John Perlman / How will The FF+ fix issues in 702 land?
Transcript
- 0:00Speaker 1: Your rates, your services, your reality. Follow the local government
- 0:06Speaker 1: elections on 702 Cape Talk and EWN.co.za.
- 0:11Speaker 2: 16 minutes past four on 702 Drive. We continue our
- 0:18Speaker 2: focus on what various political parties are offering to the
- 0:22Speaker 2: voters ahead of next week's local government elections today. We
- 0:26Speaker 2: focus on Freedom Front Plus, FF Plus. Twane Councillor and
- 0:30Speaker 2: mayoral candidate for that metro, Vili Spies, is our guest.
- 0:34Speaker 3: Mr.
- 0:34Speaker 2: Spies, welcome, and thanks very much for giving us your time.
- 0:39Speaker 2: I'm looking at your manifesto, and this particular proposal caught
- 0:42Speaker 2: my eye. A substantial portion of the tax money collected
- 0:46Speaker 2: in your ward, your property rates and levies, should be
- 0:49Speaker 2: reinvested there. The better the collection rate of a ward,
- 0:53Speaker 2: the more money should be spent on that ward's priorities.
- 0:57Speaker 2: What strikes me about that proposal is you seem to
- 1:00Speaker 2: view cities as potentially a series of islands where as
- 1:06Speaker 2: long as you can have things working properly in the
- 1:09Speaker 2: area where you live, then, you know, things will be
- 1:13Speaker 2: at least somewhat better, if not entirely ideal. Surely that's counterintuitive.
- 1:19Speaker 2: I mean, cities need to work as a whole, don't they?
- 1:22Speaker 3: They work as a whole, but... Every institution that works
- 1:28Speaker 3: as a whole, if you have a business and that
- 1:31Speaker 3: business consists of various divisions, it just makes sense to
- 1:36Speaker 3: measure the performance of every division within that business separately
- 1:41Speaker 3: and to remunerate and to reward good performance in those
- 1:46Speaker 3: divisions that are performing and to create mechanisms to help
- 1:51Speaker 3: those that are not performing to do better. The idea
- 1:54Speaker 3: is not to take away anything from any part. We
- 1:58Speaker 3: should remember that the actual levies that are being paid
- 2:03Speaker 3: is not the majority of the income of the council.
- 2:06Speaker 3: The council gets income from a whole range of sources,
- 2:10Speaker 3: electricity sales, water sales, national allocations. Even part of the
- 2:17Speaker 3: fuel levy forms part of the income of the city
- 2:21Speaker 3: as a whole. But those rates and taxes that are
- 2:24Speaker 3: paid within a specific ward, it just makes sense for
- 2:27Speaker 3: people to feel that they get something back for that.
- 2:32Speaker 3: If you do not do that, then you create a
- 2:34Speaker 3: disconnect and you will end up in a situation where
- 2:36Speaker 3: people won't pay anymore and people will lose interest in
- 2:41Speaker 3: what is happening on council level because they are being taxed.
- 2:46Speaker 3: but they can see nothing for that. So for that
- 2:48Speaker 3: very reason, we suggest that this is a mechanism. It's
- 2:52Speaker 3: not a way of creating islands. We all agree that
- 2:55Speaker 3: we live in one metropolitan area and the one metropolitan
- 2:59Speaker 3: area must succeed. But for the whole to succeed, the
- 3:04Speaker 3: different divisions and the different communities may succeed as well.
- 3:08Speaker 2: Well, let's explore your argument a little bit further, Mr. Spiess,
- 3:12Speaker 2: and take it in this direction. I mean, some of
- 3:14Speaker 2: the people who are in the areas that you're describing
- 3:19Speaker 2: live in the area but run businesses in other areas.
- 3:22Speaker 2: And in those businesses, they employ people who are coming
- 3:26Speaker 2: from areas that have a much, much smaller rateable base. Now,
- 3:30Speaker 2: if your workforce is not making it there because the
- 3:33Speaker 2: buses can't move down potholed streets or because bronchosporate being
- 3:38Speaker 2: a case in point, they can't come because their kids
- 3:40Speaker 2: have gastroenteritis. If you look at the overall welfare of
- 3:44Speaker 2: the people whose rates you think should be used on
- 3:47Speaker 2: their areas alone.
- 3:49Speaker 3: How is that? John, let me just help you quickly.
- 3:53Speaker 4: Well, can I finish my question?
- 3:55Speaker 3: Well, can I finish my answer?
- 3:57Speaker 4: Well, I haven't got a question yet.
- 3:59Speaker 3: You are quoting incorrectly from our manifesto.
- 4:01Speaker 4: Okay, I'll give you a chance to correct that.
- 4:05Speaker 3: Our manifesto does not say that every single cent that
- 4:08Speaker 3: you are spending must go back.
- 4:09Speaker 4: To the question.
- 4:11Speaker 3: That's not what we are saying. And you read from it,
- 4:14Speaker 3: but now your own interpretation that you are drawing is
- 4:17Speaker 3: and that you are confronting me with differs from the reality.
- 4:21Speaker 3: The fact of the matter is that we say that
- 4:23Speaker 3: there need to be incentives. We say that there need
- 4:26Speaker 3: to be rewards for districts and boards where people are paying,
- 4:32Speaker 3: and people must see the benefits of what they are paying.
- 4:36Speaker 3: That's what we are saying. Mr.
- 4:40Speaker 4: Spies, I think you've made your point.
- 4:42Speaker 2: Let me quote exactly what your manifesto has. Settle your misgivings,
- 4:47Speaker 2: and then can I ask you my question?
- 4:50Speaker 3: Sure, you're welcome.
- 4:50Speaker 4: Okay, here we go.
- 4:51Speaker 2: A substantial portion of the tax money collected in your ward,
- 4:55Speaker 2: your property rates and levies, should be reinvested there. I
- 4:59Speaker 2: appreciate your correction. If I said all, then I put
- 5:03Speaker 2: that incorrectly. But I think we can regard that as settled.
- 5:06Speaker 2: Can I return to the question I asked you?
- 5:08Speaker 3: Thank you. I appreciate it.
- 5:09Speaker 4: Well, can I return to my question, or must I
- 5:11Speaker 4: ask it again?
- 5:13Speaker 3: Please ask it again.
- 5:14Speaker 4: Okay.
- 5:15Speaker 2: So the welfare of the people who would benefit from
- 5:17Speaker 2: the proposal you're making is partly derived from their living
- 5:21Speaker 2: circumstances in the communities where they live. But I would
- 5:24Speaker 2: put it to you, for example, they may run a
- 5:26Speaker 2: business where people who work there come from areas that
- 5:30Speaker 2: have a less affluent rateable base. Now, if those people
- 5:38Speaker 2: are either unable to come to work or unable to
- 5:41Speaker 2: perform adequately at work because, for example, transport is delayed
- 5:46Speaker 2: by potholes in the road or bronchial spray being a
- 5:49Speaker 2: case in point.
- 5:51Speaker 4: They're looking after kids who have severe gastro.
- 5:54Speaker 2: Might that not prove to be short-sighted if substantial amounts
- 5:59Speaker 2: of revenue don't find their way into the city coffers?
- 6:03Speaker 3: The substantial amounts of city revenue still comes from other
- 6:08Speaker 3: sources than local rates and taxes. And that's the important
- 6:12Speaker 3: thing that I've mentioned. Local rates and taxes does not
- 6:16Speaker 3: make up the majority of city income. So what's being
- 6:19Speaker 3: paid in a specific ward, and if I have a
- 6:22Speaker 3: business in one ward and I have a house in
- 6:25Speaker 3: a different ward, I pay taxes in both those areas
- 6:29Speaker 3: because I own property in both those areas. And if
- 6:34Speaker 3: I do not own the property, then I pay rent
- 6:37Speaker 3: for that property, and the landlord pays rates and taxes
- 6:41Speaker 3: for that specific property in question. So remember that in
- 6:45Speaker 3: the total picture, the rates and taxes are a portion
- 6:50Speaker 3: of the total city income. And the figures in the
- 6:55Speaker 3: region of 10% to 15% of the total city income
- 6:59Speaker 3: comes from rates and taxes.
- 7:01Speaker 4: That's a fair amount.
- 7:02Speaker 3: 85%. Yes, and 85% comes from other sources.
- 7:07Speaker 2: Yes, but 15% is a substantial amount.
- 7:11Speaker 3: It is substantial. And if we say that if a
- 7:13Speaker 3: substantial amount, of that substantial amount, if I pay rates
- 7:18Speaker 3: and taxes in a specific ward, and those rates and
- 7:21Speaker 3: taxes are spent in the ward where those rates and
- 7:24Speaker 3: taxes are paid, then we reward payment. Obviously, we have
- 7:30Speaker 3: to conduct... and we have to enhance infrastructure in other areas.
- 7:38Speaker 3: But 85% of the city income comes from sources that
- 7:44Speaker 3: are not allocated to specific wards. We spent on a
- 7:49Speaker 3: large-scale business on the improvement of the city as a whole.
- 7:54Speaker 3: But what we want to see is rewards for areas
- 7:57Speaker 3: that are performing well. And we want to see that
- 8:01Speaker 3: those areas are remunerated or rewarded for the fact that
- 8:04Speaker 3: they are paying. That's a healthy business principle. And I
- 8:10Speaker 3: think even the company that you work for would reward
- 8:13Speaker 3: you if the income that you derive from the program
- 8:16Speaker 3: that you present is good. then you as a presenter
- 8:19Speaker 3: is also remunerated and rewarded for that.
- 8:22Speaker 2: Yes, please do pass that on to my bosses.
- 8:27Speaker 4: Can I ask you this, though?
- 8:29Speaker 2: One more aspect of your manifesto, because we've spent quite
- 8:31Speaker 2: a lot of time on this race issue. You say
- 8:34Speaker 2: it's important to first upgrade existing water infrastructure before investing
- 8:40Speaker 2: in new infrastructure. Cities grow, cities expand. How do you
- 8:46Speaker 2: get the balance right? I get that you've got to
- 8:48Speaker 2: fix what you have, but you've got to do one
- 8:51Speaker 2: before you do the other would suggest something rather more
- 8:54Speaker 2: linear that until you've done one, you can't do the other.
- 8:57Speaker 2: But how do you deal with the fact that cities
- 9:00Speaker 2: are growing?
- 9:01Speaker 4: There are new cluster homes going up. There are new
- 9:05Speaker 4: informal settlements.
- 9:07Speaker 2: If you look at the two extremes, surely you've got
- 9:09Speaker 2: to spend on both.
- 9:12Speaker 3: You have to spend on both, but the fact of
- 9:14Speaker 3: the matter is that it becomes impossible to spend on
- 9:16Speaker 3: both for two reasons. The one is only 2.5 billion
- 9:23Speaker 3: rand out of a 50 billion rand budget at the
- 9:28Speaker 3: moment can be spent on capital infrastructure in any event.
- 9:33Speaker 3: That's only 5% of the total budget that can be
- 9:38Speaker 3: spent on infrastructure. That's the current What we do have
- 9:44Speaker 3: is there's a multiplier effect of our failures because the
- 9:48Speaker 3: existing infrastructure is not maintained as it should be. And
- 9:52Speaker 3: that is for various reasons. One of the most important
- 9:55Speaker 3: reasons is the fact that we as a city have
- 9:58Speaker 3: not employed enough people. plumbers and electricians to maintain our infrastructure.
- 10:04Speaker 3: We are employing line managers. There are divisions within the
- 10:09Speaker 3: city where there's a line of management of five to
- 10:14Speaker 3: six managers, each one of them just managing one single person.
- 10:19Speaker 3: And then there's understaffing on the level of artisans, the
- 10:23Speaker 3: plumbers and the electricians who actually need to do the
- 10:26Speaker 3: maintenance work and do the repairs that are necessary for
- 10:33Speaker 3: the infrastructure to be upkept.
- 10:36Speaker 4: Thank you so much. We'll have to leave it there.
- 10:37Speaker 2: Willy Spears Freedom Front plus Tswane Councillor and Tswane Mayoral
- 10:42Speaker 2: Candidates will do another political party tomorrow and all of
- 10:46Speaker 2: the rest of this week. 27 minutes past four.