Press Release

01 April 2009

For immediate release

Hibiscus Coast Municipality is transferring housing stock

Hibiscus Coast Municipality (HCM) led by Mayor Cllr NF Shusha and Speaker Cllr Ronnie Nair embarked on a mission from Monday, April 06 2009 to transfer housing stock to the qualifying beneficiaries.

The municipality has been working tirelessly to resolve the problem of pre - 1994 housing stock in Gamalakhe, Marburg, Merlewood and Palm View for the past several years. The intention was to hand over these state-owned houses, 663 in total, to existing qualifying beneficiaries, but arrears incurred by these households for municipal services proved a stumbling block.  

After consultations with the KZN Provincial Department of Housing, the Executive Committee meeting of 03 March 2009 took a resolution to park off all arrear rates amounts relating to the affected areas. This was done in accordance with the provisions of the Enhanced Extended Discount Benefit Scheme by the Department, which affords municipalities the flexibility to process the transfer of housing whilst exploring mechanisms of paying off arrears for rates and municipal services owed by mostly indigent residents. The Municipal Manager and CFO were further tasked to process the release of rates clearance certificates, as well as instructing conveyancers to proceed with the process of transfers immediately.

In actual terms this means that families from the above mentioned areas, who have mostly been unable to take ownership of their homes due to outstanding rates and levies which had accumulated over the years, will at last have dignity to a home. The municipality will “ring fence” the arrear rates whilst exploring sources of funding to write off the arrear amounts of indigent residents, as provided for by the municipality’s indigent policy. However, families granted indigent status will not be able to vacate or sell their homes for a period of five years from the date of transfer. Similarly, families who have outstanding arrears but are not indigent, will be required to sign an acknowledgement of debt and arrange to pay off their debt over the next five years at zero interest.     

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Issued by :                  Hibiscus Coast Municipality

Communications Unit

Contact Person:        Mr Xolani Dlangalala

            Tel:      (039) 688 2033

                                    Email: xolani@hcm.gov.za