BCC, TTI pockets big with parking system

Vusumuzi Dube, Online News Editor

TENDY Three Investments (TTI) has raised more than US$57 000 and $41 million in the first eight months after taking over parking management in Bulawayo.

The Bulawayo City Council (BCC) and TTI entered into a partnership last year that would see the latter rolling out the parking management system throughout the Central Business District, with the first paid bays coming into effect in February.

Although the system has been met with some resistance from motorists and the public, TTI has managed to note an improvement in revenue collected, from US$246, $106 746 and R401 in February to US$9 000, $3 million and R16 000 in September.

According to a council confidential report detailing revenue collected, the local authority, as at September, got US$33 833, $34,4 million, R32 948 and P669 in parking fees. 

For clamping fees; US$30 451, $13,3 million, R19 855 and P30 was raised while bus penalties raised were US$1 520, $48 000 and R4 230.

In total, the local authority therefore collected US$65 804, $47,7 million, R49 811 and P699 where they then paid Value Added Tax of US$8 300, $6 million, R7 200 and P88 meaning they were left with US$57 471, $41,7 million, R49 811 and P610.

According to the agreement, TTI gets 70 percent of the revenue collected from parking fees with BCC left with 30 percent, for clamping while initially the local authority was meant to get 100 percent of the fees, they are now sharing at 50 percent each as the two entities were jointly conducting the clamping duties.

According to this ratio the local authority has thus got US$10 140, $10,3 million, R 9 884 and P200, with TTI getting US$23 693, $24,1 million, R23 064 and P469 in the parking revenue. 

For the clamping each entity will get US$14 465, $6,7 million, R12 042 and P15. Debating on the revenue inflows Bulawayo councillors felt there was a need for TTI to also plough back into the city through various projects meant to uplift the city’s status.

“The committee considered the matter. Councillor Felix Mhaka noted that in some cities such as Harare, joint parking partners assisted in upgrading the environment of the areas in which they were operating through tree planting, availing cyclist and pedestrian lanes and installation of street lighting. He therefore was of the view that the joint parking venture between Council and Tendy Three Investments should emulate such initiatives. 

“The Deputy Mayor (Clr Mlandu Ncube) appreciated that the parking project had generated some revenue. His view was that the funds generated could be ploughed back to fund other projects like road rehabilitation. This would instill public trust to residents towards the purpose of the parking management initiative,” reads the council report.

The councillors noted that the income received from the project should reflect by maintaining parking areas and other areas that needed attention 

“In response the Deputy Financial Director explained that the parking system project was still at its inception stage and currently the main focus was on expanding it. However, when all this had been achieved surplus funds would be used to implement the various features that had been recommended by the committee. 

“The Acting Town Clerk explained that the initial agreement was that council would collect 100 percent of the clamping fees. However, council was currently getting 50 percent of the fees since it and Tendy Three Investments were jointly executing the clamping activities,” reads the report.