By Own Correspondent| Council has resolved to enforce the collection of administration fees from former housing co-operatives and pay schemes as per the Council resolution and open accounts where members can pay administration fees towards the servicing of the stands.
According to minutes of a recent Education, Health, Housing and Community Services and Licensing Committee there has been concern over continued payment of administration fees to leaders of former housing cooperatives which were turned into pay schemes.
“In 2016, Council approved the Housing Pay Scheme Policy. This came about as a result of an outcry from co-operative members that co-operative executives were charging exorbitant administrative fees and not undertaking any servicing of the areas,” reads the minutes.
“Under the policy all new and old co-operatives were converted into Pay Schemes run by the Director of Housing and Community Services who would open an account where all individual Pay Scheme members would deposit administrative fees towards the servicing of their stands.
“Individual members would then sign Agreements of Sale with Council upon payment of land intrinsic value. Old co-operatives would surrender their database and payments to Council and members who had paid land intrinsic value would sign individual Agreements of Sale with Council. Council would take over the collection of administrative fees from the Pay Schemes.
“The Committee now expressed concern that regardless of such a policy having been adopted by Council, certain co-operative executives continued to charge administration fees on their members which was in direct contravention with the policy,” read the minutes.
The Director of Housing and Community Services, Mr Addmore Nhekairo, was requested to communicate with all housing Pay Scheme and former Co-operatives asking them to desist from charging members any administrative fees as this was now the prerogative of Council.
“The Director of Housing and Community Services was further requested to take over the administration of housing Pay Schemes, former Co-operatives and ensure he opened accounts where administration fees would be deposited and sign individual Agreements of Sale with pay scheme members who had paid land intrinsic value,” read the minutes.