The Lautoka City Council is currently owed $10 million in rates and rental arrears according to figures presented in Parliament during the debate on the Council’s 2015–2017 Annual Reports.
While supporting the motion, Assistant Minister for Rural and Maritime Development and Disaster Management, Jovesa Vocea says that efficient municipal rate collection is essential to maintaining public services.
He also urged the Council to work with local communities to help reduce crime in the city.
Opposition MP Praveen Bala raised concerns over the performance of Special Administrators, who are tasked with reducing arrears.
He questioned the Minister for Local Government, Maciu Nalumisa on what actions would be taken against those who have failed to fulfill their responsibilities.
While responding to Bala, Nalumisa highlighted that the municipals have adopted interest rate profiling which improves rate collection.
He says this strategy led to $3.4 million in collections compared to $2.7 million last year, an increase of 25.9 percent.
The Minister says all CEOs have been reminded to manage their risks as rates are the main income driver for the municipalities.
The motion to adopt the annual reports was passed unanimously.
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