However, the actual savings turned out to be P4 million, which figure is nowhere near the initial projection. Therefore, this figure combined with the COVID-19 deficit of P18.3 million resulted in an overall deficit of P14.3 million.
Presenting at a full council meeting on Tuesday this week, SEDC chairperson Oshima Peloewetse said: “In March I reported that we used a total of P33,287,474.54 on COVID-19 expenditure to assist over 17,000 households with food hampers during the lockdown. I further stated that out of the P33,287,474.54 expended, we received P14,913,668.85; resulting in a deficit/shortfall of P18,373,805.69. This is, financially unsustainable, hence during its meeting held on the 15th April 2021, the Finance, Education and Performance Monitoring Committee resolved to suspend the 2021-22 Procurement Plan except for very critical items such as security services, cleaning services, refuse collection, just to name but a few.” The chairperson said the primary objective of suspending the 2021-2022 Procurement Plan is to save some funds that could assist in reducing the over P14 million deficit.
