Hon Chair and hon members, this is a Bill that needs to be passed by the House. And in so far as its objects are concerned, there is no real controversy. The Bill simply extends the compliance period from four to six years for municipalities to implement the 2004 Local Government: Municipal Property Rates Act. Now, to the extent that there are indeed municipalities that have failed to comply with the new market-based valuation system - and we were given a figure of approximately 13 municipalities which had not made the deadline - it is clearly necessary that they be given time to comply.
The problem, it should be noted, is not primarily one of tardiness on their behalf, but is generally centred on the shortage of qualified valuators to undertake the valuation of all rateable properties in the municipalities. However, of greater significance in motivating the Bill is the fact that because the previous phasing-in period has come and gone, this terminated the legal basis of levying rates other than in terms of the new system.
The legal position, currently, is that these 13 municipalities are technically unable to levy rates, except via the 2004 Act which they have not complied with. Of course, they are continuing to levy rates in practice, but they are legally vulnerable since the levying of rates, other than in terms of the new Act, is expressly prohibited. It needs to be noted that although the objects of the Bill are uncontroversial, in principle the IFP is opposed to retrospective legislation, which we believe is generally, legally and politically undesirable. However, in this instance, we really have no choice and will therefore vote in favour of the Bill. Thank you, Chairman.