CHAIRMAN of the Interim Management Committee (IMC) of Linden, Mr. Orrin Gordon, has recently announced a reduction in rates and taxes for 2009.
He said the lesser levy is due to the global financial crunch but the situation facing the municipality could be bolstered if it is allowed to privatise its Kara Kara Toll Booth, at the southern end of the Soesdyke/Linden Highway.
Speaking at a media briefing recently in the Town Council Chamber, Gordon said the IMC had written to the subject minister, in 2006, about the toll booth proposal because it believes it can maximise revenue collection.
However, he said the IMC, which took control of policy making since November, has had several clashes with the Municipal Administration and a number of Town Clerks were changed in past years.
But, in considering the privatisation of the toll booth, Gordon said the arrangement proffered is one that would allow flexibility with the contractor.
He cited an instance where, through checking with Guyana Forestry Commission (GFC) which has vehicles that have to stop opposite on a regular basis, it was found that, although 500 trucks passed, the record showed less than 60.
Gordon said, at one time, the collector delivered $160,000, which worked out to about two trucks per day instead of 15 trucks going with lumber daily.
He said, in addition to that, containers are charged $5,000, whether they are carrying lumber or bauxite and it is clear that there are significant leakages at the toll booth.
“We don’t know if the leakage is deliberate but, at least, we can surmise that it is,” Gordon said.
According to him, it was so bad that, one night, a resident called him and she reported what happened and he ordered an investigation, after which the security and a clerk were immediately fired the next day.
Gordon said information was being sent but no follow-up action was taken, resulting in the privatisation proposition, in which new people will be hired.
He said it is frustrating and painful that a facility which is supposed to garner $2.5M monthly is delivering below $500,000
Gordon said the Kara Kara toll station is expected to earn in the vicinity of $100,000 daily, making an aggregate of between $2.5M and $3M per month, at least, discounting for one or two Sundays.
He observed that almost everything consumed in Linden, basically, is transported on trucks or other cargo carriers and, if a minimum of 15 vehicles leave the township with lumber on a daily basis, the municipality should be earning more rather than below a million dollars from tolls.
Gordon, acknowledging rising employment costs, among other things, advocated a new revenue garnering approach, which the IMC initiated but is now being adapted by other municipalities, like Anna Regina.
He said the strategy would see functionaries going out into the field from various sections within the municipality, as a team and consulting with residents on how they can pay their rates and taxes and deal with issues in the town.
It included how persons can make arrangements made for payments of arrears in installments but it has not been activated yet and is one of the sore disappointments with the Municipal Administration.