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Buffalo City Metro’s financial woes have compromised its operations and put critical services at risk.The city is so cash-strapped that, according to sources, transactions on its petrol cards used by some traffic officers have been rejected in recent weeks, with no remaining credit at some filling stations because of unpaid bills.
Buffalo City Metro’s staff owe the city R12.7m in rates arrears, while the city’s councillors are in arrears to the tune of R112,200. Now the city, facing dwindling cash reserves due to poor revenue collection, has announced measures to clamp down on people who do not pay their rates.
Buffalo City Metro, desperate to solve its cash flow problems, wants either the provincial or national government to reimburse it for millions it spent upgrading Settlers Way from the Fleet Street police station to King Phalo Airport.But both the provincial and national governments said the R72 stretch in question did not belong to them and they had no agreements with the city before the upgrade.
Residents have accused Buffalo City of ignoring court orders to repair the metro’s sewerage infrastructure which is destroying the Nahoon River.
East London businesses and residents are outraged by a push from Buffalo City Metro to get them to foot the bill for damage to electricity infrastructure caused by vandals and thieves