The eThekwini EXCO agreed to the appointment of a contractor to finalise construction of the KwaXimba Rural Human Settlements Project and the amendment of the scope of the contract. Explaining the reasons for the amendment of the contract, City Manager Sithole said eight local contractors were appointed in October 2012 to construct 850 houses, with each contractor allocated 106 top structures. However seven of the contractors had failed to deliver on time and were issued with non-performance letters in August last year. Only one contractor was performing and building houses to the required standards.
“Some of the sites were abandoned for a period of three months and as the Municipality we had to take over the project. The situation in KwaXimba is volatile politically and we are extending the work of the one performing contractor to finish the remaining houses. We have added 275 houses to the existing contract of 106 houses that he has already built.”
The existing budget of R8, 096, 280 has been increased to R33, 591,661. This increase includes the construction of additional 275 houses, NHBRC requirements previously not applicable, site access and security. Sithole said the increases were in line with the current housing subsidy threshold of about R97 000.
Deputy Mayor Nomvuzo Shabalala – who chaired EXCO in the absence of Mayor James Nxumalo who is on an international visit – said the Municipality has been assured by the community that there will be no disruption of the project. She said the continuation of the project was necessary in order to ensure continued stability in the community.
EXCO ratifies Cornubia launch spending