Tuesday, April 8, 2008

Tshwane Council Wasting Money on Vehicle Rentals


Press release: Councillor Adriana Randall. 8 April 2008
Persverklaring: Raadslid Adriana Randall. 8 April 2008


The Democratic Alliance (DA) has slammed the Tshwane City Council’s hefty vehicle rental account.

The approximate total cost for vehicle rentals for the period August 2007 until January 2008 is a staggering R 8 509 362-36, of which 91 vehicles were allocated to the Agriculture and Environmental Management department, and 50 to the Electricity department. The Metro Police Department only received 9 vehicles under this vehicle contract.

This is due to the fact that the Council is unable to procure vehicles in time to replace those of which the leases run out. “It is clear that the City Council’s fleet management and procurement sections are unable to plan in advance when they know when vehicles have to be replaced. This seems to be a result of incompetence and a lack of accountability among the respective sections” said Councillor Adriana Randall from the DA.

The DA seriously questions whether this is money wisely spent. “This can simply not be a cost effective way to manage the vehicle fleet of the City Council.” said Randall. She added that this type of extravagant expenditures makes it appear as if the City Council has absolutely no shortage of funds whatsoever. “We all know better, the Council cannot afford these rentals.”

The Democratic Alliance would like to know what plan the Council has in place to address its vehicle fleet needs. By renting vehicles at these costs the Council can buy the needed vehicles within a year or two to save millions in future.

The African National Congress (ANC) lead Council owes the tax and rates payers of Pretoria an answer. Considering the infrastructure needs of the city the DA condemns this type of extravagant spending and calls upon Council to release it’s plan together with a clear timeframe as to how a cost effective vehicle fleet is to be maintained in the next financial year.

There is a general outcry for better service delivery by all the communities of the Tshwane Metropolitan City . The DA will continue to expose such non-rational financial expenditures. Sound financial management is required for a well functioning city. The DA will persist in demanding it from the City Council.

The DA intends to question the mayor about the performance bonus structures for the two departments in question. “Surely the performance contracts of the managers in these departments should be linked to their core business of managing the fleet effectively and procuring the most cost effective options for the City Council. We want to know from the mayor whether this is indeed so and whether the managers in question will be penalized for causing such wasteful expenditure for the City Council” said Randall.

Councillor Adriana Randall (083 263 8667)

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