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The GOOD party in the Drakenstein municipal area is demanding answers for why a new housing development in Simondium reportedly to the tune of R23 million was awarded to a private construction company “without council oversight” by the municipality’s Chief Financial Officer in 2017, when he served as Acting municipal manager at the time.
The party alleges the project was approved without council oversight, and the tender was awarded to Asla Devco (Pty) Ltd “without undergoing the checks and balances of a standard tender procedure.”
Keagen Gertse, GOOD councillor and caucus whip in Drakenstein, said based on the party’s questions tabled in council it has revealed that Jacques Carstens, the municipality’s Chief Financial Officer (CFO), at the time served as Acting Municipal Manager and Chairperson of the Bid Adjudication Committee.
“There is a clear conflict of interest,” she declared, “as deviations from tender procedures are usually approved by the Municipal Manager before it is reported to council, and this should therefore be avoided in any well-run government.
“For any council this should have been a grave concern, yet the DA has once again failed to show it is truly serious about clean governance.”
Paarl Post understands that the need for social housing in Simondium and other parts of Southern Paarl was identified in 2016.
Responding to the GOOD’s claims, Bradley Brown, Drakenstein's current CFO, told Paarl Post the party’s allegations are inaccurate and the matter of the deviation was “taken out of context”.
Brown said the urgent need to address housing challenges in Southern Paarl, including evictions, informal settlements and lack of housing opportunities in areas such as Simondium became a pressing issue back in 2016.
He said “at the time, evictions and the need for alternative accommodation came to the fore as serious challenges. The Brickfields/PA Camp Informal Settlements have the potential for uncontrolled growth, and the Simondium project was struggling to take off, which raised serious concerns in the housing sector of Southern Paarl.”
Brown added Asla Devco (Pty) Ltd also engaged with the municipality to explore potential solutions for the area, focusing particularly on addressing the challenges faced by the Brickfields Informal Settlement.
According to him a decision was made in 2017 to approach council to consider entering into an agreement with the construction company aimed at resolving the housing challenges within the Southern Paarl area.
He admitted that at the time the municipality did not have the internal capacity to address these challenges effectively and viewed partnering with a “turnkey contractor” as the most cost-effective solution.
According to Brown the item was brought before council on 26 October 2016, when a comprehensive explanation for Asla Devco (Pty) Ltd’s appointment was given.
He said following public participation on the issue, council resolved and gave effect to the appointment of the company for housing projects in Southern Paarl on 21 July 2017 as well as authorisation of the Municipal Manager, finalising a service-level agreement between company and the municipality.
“The initial appointment was made through a deviation process,” Brown said, “and all subsequent expenditures will be recorded as deviations. The project is currently underway.”
Gertse, however, said the current municipal council, in office since 2021, should be provided with a full report on how the company was awarded the contract and why the deviation was needed.
“The DA has already proven that it is not serious about dealing with alleged corruption, if one considers how they protected former Mayor Conrad Poole.
“If they are serious about clean, good governance they should table the report as a matter of urgency and allow opposition parties to scrutinise it.”
The project is a joint initiative of Drakenstein Municipality and the Western Cape Government and will bring about 384 housing opportunities.
The two spheres of government are investing a combined R77 million into the Simondium project, which will run over three years and include the development of infrastructure services.
