Dear Editor,
The Mayor and City Council continues to work in all local communities to improve the physical condition and image of the nation’s capital.
In this effort the Georgetown municipality is faced with a number of very serious challenges including grossly inadequate financial resources. This financial inadequacy is predicated upon the council’s very narrow revenue base which is further affected by the neglect of some property owners to honour their civic obligation to the city to pay their rates.
In addition, the council has not had a valuation of properties undertaken for more than two decades; many property owners have changed the use of their properties from residential to commercial but continue to pay residential rates, and many new businesses have been established paying rates based on the old formula for valuation in the city.
There are some highly principled companies that honour their obligations to the city. However, there are others that do not demonstrate any sense of corporate social responsibility, for example, NICIL.
NICIL owes the council substantial sums going back as far as 2008, including one hundred and eighty two million dollars ($182,000,000.00) for property in Kingston, and an additional hundreds of millions of dollars for properties in the Industrial Site, and Charlestown. One business owes the council in excess of one hundred and sixty four million dollars ($164,000,000.00), and another, fifty-five million dollars ($55,000,000.00). Other big businesses are also indebted to this council with substantial amounts being owed.
In addition, when Guyana Power and Light Inc took over from the Guyana Electricity Corporation (GEC) many years ago, it did not honour the debt of the former corporation. Also, a previous administration took lands from the council in the Kingston area, (Luckhoo swimming pool) to construct the Marriott Hotel, and the city was not compensated for this. Guyana Water Inc took over from the Georgetown Water and Sewerage Corporation (GWSC), and again the council was never compensated for the transfer of its assets to the new water company.
Also, there has been an increase in the cost of goods and services used by council to provide services to local communities; the council is required to pay VAT, but there has been no increase in property rates for over twenty years.
At the moment, the council is working to improve its efficiency to collect outstanding rates. A recent report from the City Treasurer’s Department revealed that the council is owed in excess of eighteen billion dollars in rates by corporations and ordinary property-owners. This money must be collected because it belongs to the city, and the municipality needs every cent to sustain current level of work in communities and to provide additional services and facilities to all residents.
The council has already activated legal proceedings against the businesses referred to, as well as a number of others that failed consistently to pay their rates to the city.
As we look ahead, we continue to thank our workers for their patience, understanding and support for our effort to restore Georgetown to its pristine state. It is important to note that the cost of cleaning and restoring the city after years of neglect, is the delayed payment of wages and salaries for workers. However, though money is important, the council administration goes beyond pay to provide quality service to our citizens.
The administration remains committed to the welfare of our workers and the sustainable development of the nation’s capital.
Yours faithfully,
Royston King
Town Clerk
City of Georgetown
